T&E makes up 10% of all controllable spend, making it a significant budget line item. But there’s a significant opportunity for growth if you can get a firm grasp on your travel spend. CFOs and Finance Directors are uniquely positioned when it comes to strategic financial decision making and problem solving around travel spend.
But travel spend problems don’t always start with travel — they often start with data, or a lack thereof. Finance leaders combat restricted visibility into what travelers are booking, largely because about half of all business trips are booked outside a company’s designated platform. Without visibility into this spend in real-time, true control is nearly impossible.
TripActions partnered with CFO.com to dissect the challenges of the modern CFO and how a traveler-friendly program can give finance leaders the tools they need to gain control of their organization’s spend. Here’s what we learned:
T&E is a huge component of corporate spend, which means it touches nearly everyone in the organization. There’s no way to sugar coat it: moving from traditional systems can be just as big of a headache as the manual processes themselves. However, that doesn’t mean keeping up with these systems is the only way forward, especially as your company scales.
Delaying transformation causes a whole host of issues, including losing the ability to leverage T&E data for strategic planning. While legacy travel management platforms fail to deliver a traveler-friendly experience, the greater issue manifests behind the scenes with the resulting lack of visibility or spend control. After all, there’s no telling what impact T&E will have on your bottom line if you’re not privy to what employees are spending until long after their business trips are over.
With new tech-forward tools in hand, CFOs can champion greater visibility and control over travel spend, all without sacrificing employee experience and satisfaction. And the time to act is now. The sooner you have real-time visibility, the sooner you will have the data and insights to optimize your travel program and drive savings.
Bringing on modern tools and processes to take control over your organization’s travel expense management has tangible benefits that go beyond just financial statements:
While there is never the perfect time for change, it’s important to recognize that with the right tools and a plan in place, championing transformation is a challenging but necessary role for CFOs and Finance Directors.
If you’re looking for a way to (finally!) take control of your company’s T&E, download CFO.com’s Strategies to Enhance Control Over Travel Spend ebook.