The article notes that despite cloud technologies, most companies still rely on manual AP. An IFO study shows on average 50% of invoices are received by paper, 37% by email and 5% by fax. A 2016 Aberdeen Group study found manual invoice approval takes an average of 17 days and costs $31 per invoice. Ardent Partners research shows automation can reduce invoice processing costs by up to 70%.
A SAP Concur blog post cites a commissioned Forrester Consulting study finding that nearly two-thirds of surveyed SMB financial leaders picked managing expenses/cash flow as their top financial challenge. The study shows SMBs' key expense and travel challenges focus on user-induced errors and long time requirements. Smaller businesses (1-499 employees) called out time requirements for paperwork and approvals as their top challenge, while larger businesses (500-999 employees) gave a small edge to inaccuracies caused by human error. Surveyed businesses considered improved process efficiency the most important benefit of automated expense and travel solutions. More than three-quarters of SMBs…
The article notes manual invoice processes are costly and many financial decision makers are unaware. Outdated systems, inaccuracies, labor costs and decreased productivity are four key issues. ACFE estimates a typical organization loses 5% of revenue to fraud annually; AMI-Partners found implementing a vendor invoice management solution saves an average of $13 per invoice and $34,116 annually.
A SAP Concur blog post discusses the limitations of using spreadsheets for expense tracking in small businesses. It states spreadsheets lack version control, leading to inconsistent and inaccurate data; make it hard to quickly draw conclusions; are prone to small errors in data entry or formulas that balloon into larger ones; can't provide historical views to spot trends; make data aggregation a nightmare; and lack flexibility and scalability. It recommends considering a purpose-built expense management system and offers best practices for finding suitable software.
A SAP Concur blog post lists five reasons businesses should move past outdated invoice systems: better visibility, reduced costs, less paperwork, increased productivity, and user mobility. It states many CFOs and financial decision makers don't feel they have big-picture visibility into invoicing and office expenses; manual paper-based processes drive up labor costs, with businesses unknowingly throwing away thousands to millions of dollars each year on manual AP steps that could be automated; physical documents are subject to loss, fire, flood, and theft; and mobile and cloud solutions allow invoice processing and approvals via tablets and smartphones, reducing late payments.
A SAP Concur blog post states that manual, paper-based expense report processes can take hours, with employees spending large portions of their days digging through receipts and manually inputting expenditures, while finance departments review and reconcile reports. It cites SMB Group data: 30% of SMBs support telecommuting for 20% or more of employees, 18% expect the percentage of telecommuting workers to increase next year, 57% say 20% or more of their workforce travels for work, and 14% expect this number to increase next year. It recommends SMBs choose a scalable mobile expense system like Concur Expense, where employees simply photograph receipts.
A SAP Concur blog post details Concur Invoice features: automating the entire invoice management process from capture to pay, integrating with Concur Travel and Expense. Invoices can be submitted via email, fax, hard copy, or electronically. AI-powered OCR extracts data, validated and corrected by an auditor or invoice verifier. The system automatically matches invoices to POs and goods receipts, flags exceptions, and uses dynamic approval workflows. Concur Invoice Analytics provides real-time visibility into invoice status and spend. It cites Prison Fellowship, which saved minutes per invoice after using Concur Invoice.
A SAP Concur blog post states that processing a paper invoice costs $23 on average, while automation reduces the cost to $3.41 and cuts processing time by up to 75%. It lists five benefits of paying vendors on time: capturing maximum early-payment discounts and avoiding late-payment penalties and interest; building a positive reputation; receiving VIP service and pricing from vendors; preserving good credit; and gaining vendor flexibility during cash flow crunches. It also notes Concur Invoice gives suppliers a portal to view payment status and remittance information.
An IDC study commissioned by SAP Concur identifies five stages of travel and expense management (TEM) maturity: paper-based reporting, automated processes, purpose-built mobile/cloud apps, platform ecosystem, and intelligent/predictive processes. IDC says less-mature TEM processes become a mounting source of lost productivity and revenue and increased employee dissatisfaction as companies expand. Greater maturity brings returns in productivity, support time, travel costs, and risk.
An IDC study commissioned by SAP Concur interviewed seven organizations using SAP Concur solutions, with an average employee size of 1,906. IDC calculates an average benefit of $1.96 million per customer per year ($97,447 per 100 users) and a 650% ROI over three years. Benefits come from less time planning travel and completing reports, lower support staffing, better compliance and audit efficiency, and analytics-driven savings. The article also lists a five-stage TEM maturity model.
A SAP Concur blog says smaller universities and community colleges often waste time and resources on manual processes and lack spend visibility. It lists six benefits of automating AP, travel, and expense: eliminating paper, faster reimbursement, actionable data, adoption and compliance, traveler safety, and reduced fraud and waste. It cites a Kelton study saying manual-system institutions spend over five extra hours per expense report and over two extra hours per invoice, and a 2018 ACFE survey saying 18% of higher-ed fraud comes from expense reimbursement schemes.