Business Travel Show Europe is the place where
September 2022, Virtual
September 29 2022, Virtual
A new report claims large US businesses are spending more than $1 million in managing their corporate expenses.
Research from virtual card number provider Conferma, shows on average companies with more than 500 employees have an annual expense management cost of $1.075 million.
The study of 250 US chief financial officers found 66 per cent believe current processes are “too time consuming” and 58 per cent said they are “too costly”.
Conferma CEO Simon Barker said the research showed a “confused landscape” of multiple employees using multiple ways to claim expenses.
“It is costing US business time and money to navigate this landscape and should be subject to much more rigorous control and oversight,” said Barker.
When it comes to addressing the problem of costly expense management 90 per cent of CFOs said employees being able to make purchases on mobile devices was a “possible solution”.
Barker added: “Companies have to pay expenses, it’s a critical part of business life. Yet there is no additional reason why companies should face operational inefficiencies and excessive business costs.
“And employees face unnecessary difficulties too, they have to remember to keep receipts, fill out expenses claim forms and then wait, sometimes for weeks, to be reimbursed by their employers.”
The research was carried out between March 3 March 18 by Opinion Matters. The sample size was 250 Chief Financial Officers in company sizes of 500+ in the US.
Sign up to BBT’s twice-weekly newsletter