15 March 2021

How To Choose Your Expense Management Software

by Alex Miller

Every business and organization requires some form of business spend management and reporting system. While some choose to handle this business function manually, others have determined that expense management software is better suited to address their needs. Selecting the best spend management solution for your business is crucial. There are many factors and other aspects that need to be considered to pick the spend management platform. In the end, it will help manage your expenses and reporting, and make this function easier for your company.

You likely know that it is important to choose the right software for your organization. But do you know how to choose the best one? It is common for organizations to feel a bit lost regarding which factors to consider when selecting new software for themselves. This is a challenge that you don’t have to undertake blindly. Below is a comprehensive list of what needs to be considered in selecting your spend management system.

Here is what we are going to cover in this article:

Continue reading to learn more about how to choose the best software for your organization.

Challenges of Business Spend Management

Accurate and timely business spend management is a priority for most organizations and is a substantial challenge. This is especially true for those who choose to do it manually. While this function is necessary for any business or organization, ensure that it is done with as much accuracy as possible is difficult. Understanding the challenges that spend management causes will give you a better idea of what to consider when choosing a new expense management solution.

Increasing sundry operating expenses and online subscriptions are a concern for any business that incurs these kinds of expenses. Effectively monitoring and managing employee spend is the way to ensure that an organization can recognize and eliminate unnecessary costs.

Maintaining accurate records is time-consuming and comes with its fair share of errors. Keeping receipts and other forms of essential information ensures that employees comply with established policies and submit their paperwork in a timely manner. Many companies find it difficult to procure this information on time and keep it organized.

How Expense Management Software Helps

Business spend management systems offer an abundance of benefits that can improve how your organization reports, maintains and manages its expenses. Such software can help a company create a faster and simpler spend management process that is automated and completed in a timely manner. There is much less room for errors and delays when using a business spend management system. The increased operational efficiency of automating expense management allows you to repay your employees much faster, or do without reimbursements at all. At the same time you will also increase compliance and transparency within the company.

In addition to these benefits, employee spend management software allows your company to operate this function by enhancing productivity, visibility, and simplified reporting. You can be sure that the software flags expenses that are incorrect, and your policies are being enforced. There are much different software that you can choose for your small business or larger organization. Hence, it is crucial that you make sure you are selecting the one that is best suited for you and your needs.

Recommended reading: How to Future-proof Your Organisation Through Your Expense Management Software

Determine Your Business’s Challenges

As you begin to search for a spend management program, ask, what is not working with our current spend management system? To select the right software, first determine which areas of your company are suffering as a result of your current system. Having a comprehensive understanding of which features are needed to best serve your business will affect how well the software works for your organization. Does the software that you will use for your business spend management need to keep track of day-to-day expenses? What about travel? Are client lunches and entertainment a significant component of your business?

These are some ways in which your business accrues expenses. Now it is important to find software that has the capabilities to streamline the functions related to these costs. For example, any form of purchasing, such as meals, tickets, rides, etc., is likely going to require the presence of a receipt. Therefore, your expense management software should have a mobile app or camera feature. This allows your employees to scan receipts for more efficient reporting and save time.

Work With Your Team

There is one most effective way to determine how an expense management software should to operate for your needs. It is to speak with your team and those within the departments that interact with expense reporting and management. This will include those involved with accounting, finance, IT, and sales and those on the associate and management levels for most organizations.

Understanding the functionality that works best for each department can help you decide which features need to be present within the software you choose. Suppose you select a software that only works well for the accounting and finance departments. But it may not operate in the ways needed for management and associates to input their expense data.

Choosing Software Within Your Budget

Budgets play a crucial role in choosing which spend management solution is best for your organization. Considering your budget and its role in your decision can affect which software you end up picking. It also affects how you plan to implement that software. For example, your budget may determine whether your go with an on-premises solution or a cloud-based service.

Small and medium-sized businesses will have a different set of options compared to a larger corporation. Of course, you need to choose software within your budget. Still, you need to be sure that it provides a solution to your challenges while also adding considerable value to your organization.

SaaS Expense Management Solution

What Capabilities Do You Need?

You have to know the functionality and the purpose that your employee expense management platform needs to serve. This will impact the capabilities that you will require your software to offer. That is why it is important to understand your unique set of challenges and work closely with your team. This way you ensure that you are choosing a software that offers all the capabilities and functionalities needed. Only then can you look forward to efficiently and accurately track, manage, and report your organization’s expenses. Here are a few of the most commonly considered capabilities.

Mobile App Integration

If your employees need to track their expenses on the go, then a mobile app will be an integral part of your software system. A system that offers quick and streamlined features will ensure that your team is tracking their expenses and inputting the necessary information in real-time.

Automation

Software that offers a reasonable level of automation assists in decreasing human error and completing the expense tracking process faster. Automation allows tracking, managing, and reporting expenses to operate efficiently and streamlined. The more automation software offers, the easier it is to track and manage your expense reporting.

Interface

The more complicated the software and its interface, the more likely your employees are going to reject it or run into problems using it. A convenient and simple interface that is easy, straightforward, and quick for the end-user will have the most positive impact.

Recommended reading: 10 Features to Look for in Expense Management Software

Determine The Level Of Support You Need

Do your teams need a great amount of assistance using this type of software? Or are you confident that your IT department can provide solutions as problems arise? Understanding the level of supporting your team needs regarding your employee spend management system is crucial. The necessary level of support is different for each and every company. If you have a smaller business, you will likely need a greater amount of support, especially if you don’t have an IT department.

The Bottom Line

Ultimately, your spend management software has to provide the right set of features, functionality, and capabilities to serve your organization. Knowing your challenges will help to determine the best possible options regarding the software that you end choosing. Assess your current processes and how they impact your organization’s ability to accurately and efficiently track expenses. This will become the greatest source of information that allows you to choose the best software.

The three most important questions you need to ask when selecting a new expense management software are the following. Which are the current problems that my organization is facing? What does my software need to offer to help fix these problems? What best suits my budget?

Volve’s Expense Management Solution

Volve’s corporate card comes with an automated expense management solution and reporting tool. This enables all functions of business to capture productivity growth potential from time-cost reductions, greater accuracy, increased visibility and control.

From sales to human resources to finance operations, management can look forward to shifting resources away from repetitive manual practices. People can focus on realizing strategic goals that create more value and deliver higher returns.

Experience how one single solution can improve accountability, accuracy and efficiency. Test drive Volve today free for 30 days.

Alex Miller
Alex knows that the future relies on streamlining and optimizing the way companies do business. Alex brings this passion to Volve. Alex has a background in fintech, working to bring cutting tech to companies globally, and enjoys attending talks about tech and the future of digital.

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