10 ways to Reduce Expenses with effective automation of A/P and

Procurement

With increasing pressure on CFOs to shave off (yet another) 5-10% of spend each year
(!), what better way than to look at expense management and procure-to-pay
solutions?

Expenses have often been the “invisible dragon” in the room – eating away at the
profitability of your enterprise. CFOs and CPOs can tame the “beast” with Expenzing.

Post-modern ERPs like Expenzing represent the new wave of solutions, which augment
ERPs, to bring in higher efficiencies and controls in the finance and procurement
functions. Such solutions bring in expertise in specific areas to streamline and optimise,
as well as provide strategic process enhancements in procurement and payments.

Using the Expenzing suite, there are many dozens of ways to control expenses. A few
examples are listed here. 10 to be precise.

10 Ways to Reduce Expenses:

1. Small A/P teams which can increase their productivity by 100-300%!

Having an expense management solution enables businesses to run efficiently,

even with smaller A/P teams. Process employee reimbursements and supplier invoices
efficiently.

2. Centralisation. Stop maverick buying.

Automation helps get the HQ and the branch offices all on the same page. Centralisation
of procurement and payments has never been easier. Automated procure-to-pay and
sourcing solutions like Expenzing give you direct savings.

3. Enforcement of Rate Cards for all purchases and payments

After the Procurement team spends significant time in negotiating rates with suppliers
for ongoing purchases, the challenge becomes, “how to enforce the finalised rates”. An
automated system which enforces Rate Cards ensures that there is no way to bypass
negotiated rates, from any office or department.
4. Payment Fraud Mitigation

You can prevent fraudulent payments to wrong suppliers by using automated tools like
Expenzing for proper authorization of any payment. Automated due diligence to detect
potential frauds in payments makes your task easier.

5. Welcome, Auditors!

Don’t cringe when auditors want additional details! With detail level information being
online, you save time in audits. Now auditors can validate the controls deployed by you,
as well as can look into any specific payment made in the past.

6. Online Negotiations for best rates

Use new age tools like online Reverse Auctions to get the best rates from chosen
suppliers. This is a proven negotiation methodology that can help you get 20-30% lower
rates.

7. Save time and reduce errors in Tax credits

You can manage your GST input credits (or of any taxes of your country) efficiently, thus
saving time of your teams. Expenzing solutions help you streamline vendor
empanelment especially related to taxes. You can ensure that supplier invoices quote the
GST data correctly so you get the right tax credit.

8. Timely and Assured Receipt of Supplier Invoices!

With an effective automated solution, no supplier invoices are misplaced. You enable
your supplier to submit invoices online through the supplier portal to save time and get
discounts.

9. Optimised Travel Expense Processes

Travel expense management can be done effectively through a specialised travel

expense management software. The earlier you book, the cheaper the tickets. And
you can now minimise cancellation wastages. Also, reconcile ticket invoices through
automation to reduce the travel wastages.

10. Expense Policy Enforcement

Having an effective expense management solution enables the HQ to ensure

expense policy compliance and provides visibility and control over what’s claimed and
reimbursed.

Organization have wasted a lot of time, effort, and money in managing indirect expenses
the traditional way. Now is the time to go digital and manage spend better with
solutions like Expenzing to achieve financial control.