Combine digital and compliance expertise to proactively control expense fraud and mitigate noncompliant exposure
Digital technologies and analytics can improve efficiency, speed, and accuracy, but you still need a team of risk and compliance professionals to analyze and review exceptions and apply their judgment to any insights from the technology.
An audit or review is only complete when you've performed substantive reviews, meaning you've validated the exceptions, completed a root-cause analysis of the final gaps, and defined a remedial action plan. When organizations understand the source of noncompliance, they can act on it to minimize the likelihood that it may happen again by adjusting policies and encouraging behavioral change.
By combining automation and analytics with compliance expertise, companies can unlock new capabilities and transform their T&E audit processes. This enables them to:
- Proactively avoid regulatory violations and sharpen fraud detection by reviewing 100% of T&E transactions and detecting all potential incidents of noncompliance
- Move away from reactive tracking – chief financial and compliance officers and their teams can become proactive with preventive controls that use near-real-time monitoring and reporting
- Improve employee spend behavior – the insights from root-cause analysis guide the creating of remediation plans and improvements for policies and procedures so you can prevent fraud and boost overall compliance health
- Enhance savings – organizations can spot overspending and reduce leakage by between 3% and 5% of annual T&E spend. And by reducing the level of manual audit work required to review T&E transactions, they can cut overall audit costs by approximately 40%
Combining a data-driven, digitally enabled T&E audit program with risk and compliance knowledge, your company gains major advantages over standard methods. It can significantly increase your ability to monitor regulatory compliance and fraud and de-risk your organization.
By stepping beyond standard approaches with a complete, user-friendly, and industry-agnostic T&E monitoring solution, your company can benefit from actionable insights and feedback mechanisms that cut the time spent reviewing expenses, pay employees faster, reduce errors, improve cash flow, and enhance experiences.
Authored by Subhashis Nath, Service Line Leader, Enterprise Risk and Compliance, Genpact