What is T&E?
“T&E” stands for “travel and expense.” In simple definition T&E means, expenses incurred by a business professional during his/her travel for a business purpose. Primarily travel expenses include meals, stay and transportation.
Usually, businesses assign 10% of their total budget towards T&E. During 2017, business travel accounted for 1.23 trillion U.S. dollars to global economic contribution, and this number is forecasted to grow by 7% in 2019. It’s a huge amount of money and significant enough for any organization to keep a track of it and get complete visibility on the spend.
How does it impact your business?
Companies are going global; hence we have observed a significant increase in the volume of business travel in the past few years. As a result, the finance department is under tremendous pressure to increase the travel budget and gain complete visibility for each spends. This is a humongous task to achieve, as it is directly related to the compliance policies and impacts the bottom line of the company.
We empathize with the finance department as T&E expense management is the second-most difficult operating cost to control. And with the increasing number of business travel and travel budget, it has become highly impossible to manage it, with automation.
How can you better manage your T&E?
As the owner of the finance department, you would like to get complete visibility of your company’s travel and expense budget and the key places where you could reduce the costs. But, if you are not using any automation tool, this looks difficult, because
1. You will not have the right data on how much your company is spending on T&E.
2. All your T&E data will be stored at various places making it difficult for you to consolidate and evaluate.
3. Most of your operations are manual, you might not have time to think that there are other ways to save a lot of money on expense bills.
All the above-mentioned challenges will be addressed if you start using a cloud-based automated T&E management solution. There are many T&E management solutions available in the market, we have just listed some of the top T&E management solutions here:
(a) SAP Concur
The benefit of using a good T&E management solution
A good T&E management solution will give you end to end visibility of your business travel spend and enable you to reimburse employees more quickly. It will also ensure that the employees are submitting expenses that comply with your company’s T&E policy. If you are not using any T&E solutions, start exploring now. FinTrans Solutions can help you evaluate your T&E process and suggest the best solution for you.