While most businesses switch to digitized and automated solutions, a number of myths and misconceptions exist with the expense management solution. It’s been a long while when businesses use paper and spreadsheets to manage their business expenses. Here we talk about the myths and misconceptions of online expense software and take you to the bottom of what is true, therefore you can decide on it.
Automated solutions are expensive
This is the most common misconception associated with online expense software. Businesses often overlook the costs associated with manual procedures. Manual data entry is the major loophole in spreadsheet based solutions. The process requires employees to record and submit monthly expenses-right from data entry to receipt scanning and submission. A person should review submitted expenses and verify against company’s policy. And, the finance team should correct VAT codes, merchant details and amounts where errors exist. Then, data should be manually transferred to their accounting system for process reimbursements.
Every stage involves manual and time consuming task that disturbs employee core responsibilities. Finally, calculate the cost of the time spent to manage these activities and how does this impact generating revenue.
Learning curve outweigh the benefits
Organizations hesitate switching to other systems due to the fact that learning curve and resources are required to roll out for new systems. User training, testing and final roll out will be taken care by the service provider. You should plan accordingly to make the switching process extremely painless and efficient.
Large organizations get benefited
The benefits of automating expense processes include: low processing costs, strict enforcement of policies, transparency, quick reimbursement times, better compliance and great regulatory requirements. These are a few benefits that every organization can get regardless of headcount. SME to large corporate, every firm can get benefited from the perks that expense software brings in.
Online expense software reduces time and manpower that is actually required to manage employee expense reporting. The solution eliminates bottlenecks and reduces reimbursement cycle times so that employees feel stress-free.