How do you differentiate business spend management vs expense management? What are their components? Read this blog to find out.
Proactive Spend Management With Budgets
Expense management & AP Automation are crucial for running a business. Ensure you take these 3 key expense management tips into 2021.
2020 – the year that shook the world. For local Australians, we entered the year through the smog of the devastating nationwide bushfires to be quickly followed by the worldwide pandemic of COVID19. This year tested all of us – it provoked us, mobilised us, and distracted us. Taking the good with the bad, we all understood the importance of technology and how it helped us continue with our day to day processes. Now that we are getting back into gear, there has never been a more important time to review processes and areas to boost efficiencies including expense management and business spend. Let us take you through some top expense management tips to help you manage your expenses and get you into gear this new year.
Preparation is key for Expense Management
2020 was a clear example of ‘preparing for the worst’. Planning and strategising your approach on expense management this new year will ensure you don’t just get on track but stay on it. So, where do you start your preparation you may ask? Our answer – Budgets. Carefully constructed budgets allow a business to continually track its business allowing for strategic, long-term planning for everything from current operating costs to potential expansion. You can easily implement a dedicated budget tool, such as the Budget Module from ProSpend, which allows you to create and manage budgets with complete visibility. Amy Riley from Artrage Inc, mentions the Budget Module “increases the efficiency of the finance team by eliminating the need to send out Excel sheets of budgets to the budget owners periodically.”
Embrace AP Automation
If there was ever a year that presented us with the need for technology and automation, it was 2020. 1 in 3 Australians continues to work from home as businesses adjust to safe & mobile environments whilst reducing operating costs. However key expense procedures including sending invoices to approvers in a mobile environment can be painful and time-consuming. This is why AP Automation is crucial for businesses to automate complex workflows to save time and money by boosting efficiency by 62% and reducing processing costs by up to 80%. Leading AP Automation software is offered by local Australian provider, ProSpend, which streamlines the entire spend process for you through their Invoice Module. Mia Barwick from Friends School says “ProSpend makes it easy for our staff to submit and approve invoices and claims and makes complex workflows simpler.”
Buckle up, travel is set to take flight
Many providers now offer software that has made virtual meetings simple, but let’s admit it, travelling for business is essential with domestic travel projected to skyrocket by mid-2021. An increase in travel means an increase in expenditure, which will result in days per month chasing and reconciliation that you may have not equated. Businesses are recommended to seek software that removes manual processes involved in travel reconciliation, such as the Travel Manager from ProSpend. This software module makes expense management easy by delivering daily enhanced trip data directly from your travel management provider with automated matching and expense coding dramatically reducing the time it takes for the reconciliation of travel expenses. It also connects to your favourite travel software including Tramada, Uber for Business and much more.
Follow these easy expense management tips to ensure you are on the right path with your Accounts Payable this new year. You can experience these benefits plus more with a locally supported expense management tool that offers smart automation for all spend, such as ProSpend. Complete AP Automation with one platform to manage expenses, supplier invoices, purchase orders and travel spend; all with budget visibility.