7 Pain Points of an Inefficient Expense Management System
Employee travel and expense management can be complex and time-consuming. If the system is slow and inefficient, as well as fraught with errors, it’s not an ideal situation. In fact, far from it. There are many disadvantages to ineffective expense management that can cost both the employees and the company in the long run.
Therefore, many organizations are opting to on-board better, more efficient programs such as Gorilla Expense to help them simplify the expense process. Such a solution can provide great value both for the employees and the companies.
Let’s take a look at the 7 major pain points of an inefficient management:
7 Pain Points of Inefficient Expense Management
1. Lost receipts and inaccurate paper trail. Somewhere along the expense management process, paper receipts may get lost or misplaced, either by the employees or the managers. In fact, whole reports may even get lost. This can lead to frustration and even grievances, from both employees and management, as the reimbursement process would take months to clear up and verify. Also, a lot of time is wasted by finance/accounting teams chasing expense receipts
Gorilla Expense solution: The software can capture all expenses and business-related transactions, even when employees are on the road, so that the records can be stored as they happen. The data can also be retrieved anytime from the system. Our Receipt Box feature is particularly useful as it scans, syncs, ingests email receipts and even auto-attaches receipts to incoming credit card expenses.
2. Inaccurate VAT and tax computations. Manual computations may create problems in terms of errors and data that may slip through. It may be hard for employees to determine the right taxes, especially if there are international transactions that may require different computations.
Gorilla Expense solution: Having Gorilla Expense automates this system so that surcharges may be computed and applied accurately.
3. Long waiting game. The expense processing and reimbursement process is time-consuming, and any mistake would mean the process may have to be started again, resulting to longer wait times. Reimbursements may take over a month.
Gorilla Expense solution: Gorilla Expense accelerates this process from start to finish, and with high visibility. Receipts can be recorded as they happen, and expense claim can be filed immediately, with very little to no delay.
4. Reconciling credit card statements can be frustrating. Management has to manually code & verify each credit card expense from every employee, and this can bog down employee productivity.
Gorilla Expense solution: The solution allows you to conveniently match your employee expense claim lines with specific credit card transactions.
5. Eye-straining, time-consuming process of filling Excel sheets with expense claims. Updating Excel sheets can be excruciating. A single mistake in one cell can affect the rest of the calculations, and sometimes, tracking mistakes can be almost impossible.
Gorilla Expense solution: Built-in formulas and easy-to-fill fields allow you an easier way to input your data without the headache.
6. Last-minute chaos. Most employees try to avoid processing expense claims until the last minute, which is usually at the end of the month. This results to a chaotic environment by month’s end, when all employees are running around to close accounts before the due date.
Gorilla Expense solution: Employees can submit their expense reports or claims as they happen, and managers can approve them in real-time. This helps prevent bogging down and bottlenecks that often occur at the end of the month.
7. Fraudulent reporting. Expenses can be forged by employees, on top of other compliance issues. Organizations may not realize that they’re shelling out more money than they should because of these fraudulent activities.
Gorilla Expense solution: With Gorilla Expense, you can assign policies that make capturing and reporting expenses mandatory for employees. There are also measures in place that you can put to prevent fraudulent reporting.
Want to upgrade your existing expense management system to Gorilla Expense? Talk to us to know how you can do it.
