From receipts to Microsoft Excel spreadsheet templates, travel and entertainment expense reporting is historically rooted in manual, paper-based processes. However, for companies of a certain size or with certain reporting and operational requirements, paper and spreadsheets may not offer everything these organizations need in an expense management solution. Today, T&E automation software can help lower processing costs, improve control over spending, increase travel policy compliance and much more. Join Certify for this insightful live webinar comparing the pros and cons of manual, paper-based reporting processes with a fully automated expense management system.

1. T&E Management for 2015:
Comparing Spreadsheets with Expense Report Automation
October 15, 2015

2. • The expense report processing costs for spreadsheet-based manual
processes and automated systems
• How to improve control over employee spending and business travel
decisions
• What companies like yours are doing to enforce policy compliance
and reduce fraud
• New ways automation can tame your data management and simplify
administrative reporting
• Strategies to streamline the expense reporting process and improve
productivity
After attending this event you will learn:
Learning objectives
2

3. • Today’s event will be recorded and all attendees will be kept in listen-
only mode to eliminate excessive background noise.
• Links to today’s presentation and the recording of this webinar will be
sent out to all attendees within 24 hours of the event.
• Please ask questions on today’s topic via the “Questions” box in your
GoToWebinar control panel at any time during the event. We will do our
best to get to your questions during the Q&A/panel discussion at the
end of the event. If we do not get to your question, we will follow up
with you directly to address your question.
Webinar event notes
3

4. Ben Parker
Regional Sales Executive
Ernie Humphrey
Chief Executive Officer
Today’s speakers
4

5. • Industry-leading with first fully automated expense system
• #2 expense report software providing travel and expense
solutions since 2008
• 64 languages, 140+ currencies, clients in 80 countries
• #1 Highest Rated Expense Management Software on
G2 Crowd, with a 4.8 out of 5 star rating
• Over 25 million expense transactions in 2014
• Processing over $10+ billion/year in expense reports
About Certify
5

6. 6
T&E Management Trends:
Manual vs. Automated

7. a) Paper-based/spreadsheets
b) ERP system (Oracle, Microsoft Dynamics, etc.)
c) Web-based expense software (Certify, Concur, etc.)
d) Not applicable
POLLING QUESTION 1
How does your organization currently
manage T&E spend?
7

8. 8
Reference: Certify Annual Expense Management Outlook 2015
Manual processes are used by the majority of companies, however Excel or
electronic spreadsheets, pen/paper and homegrown systems provide little control
or visibility.
37%
WEB-BASED
43%
MANUAL
19%
ERP
Methods for managing T&E reporting

9. T&E Adoption Rates
Manual - 64%
ERP - 11%
Web-Based - 25%
Manual - 19%
ERP - 33%
Web-Based - 48%
Manual - 48%
ERP - 19%
Web-Based - 34%
Small Business Medium Business Large Business
Reference: Certify’s Annual Travel & Expense Management Survey 2015
T&E management trends
9

10. 10
$50k – $5mm
Mid-Size Company
101 – 999 employees
> $5,000,000
Large Enterprise
More than 1,000 employees
< $50,000
Small Business
Less than 100 employees
Reference: Certify Annual Expense Management Outlook 2015
Annual T&E spend by company size

11. of small businesses have migrated off of
Excel/spreadsheets as their expense management
system within the last 12 months
of small businesses currently use a web-based
expense system, compared to 8% last year.
20%
67%
25%
of companies indicated Excel/spreadsheets as
their expense management system in 2014
Reference: Certify Annual Expense Management Outlook 2015
The shift to web-based expense systems
11

12. 12
Comparison #1:
Processing Costs

13. a) Under $7 per report
b) $10−$20 per report
c) $25 or more per report
d) We do not track these costs
What is the average cost to process a single expense
report at your organization?
POLLING QUESTION 2
13

14. 14
$36−$64 depending upon the degree of
automation used (American Express)
Best-in-class companies: $7.17 Laggard organizations: $41.12
(Aberdeen Group)
$26.63
manual
$17.31
semi-automated
$6.85
fully automated
(PayStream Advisors)
Expense report processing costs

15. 15
• Man hours to create, review and approve reports
• Hard costs for paper, printing and postage
• Time required for reconciliation and reimbursement
• Storage fees to archive expense reports
• Lost productivity
PayStream Advisors 2015
of all companies do not know their
expense report processing costs80%
Expense report processing costs

16. 16
Gather receipts,
itineraries and write down
non-receipt items
Enter expenses in Excel with
category, vendor, dates, etc.
Print spreadsheets, tape or
staple receipts and make
copies
Sign report/date report
and present or mail to
manager
And then … wait
Receive reports for all
employees at different times
during the month/quarter
Check expenses for
receipts, review for out-
of-policy items, etc.
If errors, return report to
employee to start over;
wait for resubmission
Sign/approve reports and
route to the next
manager or to AP
Receive reports for all
employees at different times
during the month/quarter
Match receipts with line-
items, verify all charges,
dates and vendors
Check for receipts, manager
approvals, out-of-policy
items, etc.
Manually enter expense
data into accounting
software
Manually enter data
from accounting
software to payroll for
reimbursement
Accountants
Managers
Employees
Manual expense reporting costs

17. 17
48%
28%
20%
32%
24%
13%
Need to reduce expense
processing costs
Need to eliminate
manual/paper-based
processes
Lack of business traveler
productivitiy
Best-in-Class Laggards
Top Pressures Driving
T&E Improvements
Aberdeen Group Travel and Expense Management: Spend and Save
Cost and process inefficiency drive change

18. 18
Comparison #2:
Spending Controls

19. 19
Spreadsheets offer little control:
• Does not integrate with electronic systems for travel booking,
corporate payments, AP, ERP, HRIS, etc.
• Inefficient and redundant manual data entry negatively affects
employee productivity and leads to reporting errors
• Making the right policy choices left to employee discretion
when planning travel and making business purchases
Spending control

20. 20
Aberdeen Group: Travel and Expense Management: Spend and Save Maybe …
88%
58%
87%
77%
68%
63%
34%
63%
50%
35%
Expense reports audited
regularly
Automatic linkage between
expense mgt. and back-end
systems
Online travel booking
system
Commercial card
system/program
End-to-end expense mgt.
solution
Best-in-Class Industry Average
T&E strategies and tools used by best-in-class companies

21. 21
• Direct control over T&E expenses through
policy restrictions, spending caps, reduced
fees and more
• Full view into traveler data for tracking
compliance and leveraging supplier
negotiation
• Value-added services including fraud
protection, travel-related insurance, global
support, etc.
77%
50%
Commercial card system/program
Best-in-Class
Industry Average
Corporate credit card integration

22. 22
Open Booking
(through direct
provider)
Online Travel
Sites/Agencies
(i.e. Expedia,
Orbitz, Kayak)
Online Booking
Tool (OBT)
(i.e. Carlson,
Get There)
Travel Agency
(through a
travel agent)
PRO: Flexibility
CON: No control over
policy enforcement
PRO: Flexibility
CON: No control over
policy enforcement
PRO: Policy enforcement
CONS: Contracts and
systems; minimum
transactions. Best for
organizations spending
over $2mm on T&E.
PRO: Full-service policy
enforcement
CONS: Cost; $40-50 fee in
addition to booking fees.
Best for organizations
spending over $4mm on
T&E.
Online Travel Sites
Travel Agency
Online Booking Tool
68%
21%
11%
48%
42%
10%
How companies are
booking travel:
Manual process
Web-based process
Integrated corporate travel

23. 23
Mileage reimbursement before and after using an
automated system with integrated mapping
Oct. '13 - Mar '14 Oct. '14 - Mar. '15
$362,000
SAVED
Certify enterprise client:
• 12,000+ retail locations
• 100,000 employees
• 58,000 users creating and
submitting expense
reports annually
in mileage
T&E control = real savings

24. 24
Comparison #3:
Policy Compliance

25. a) We have no formal T&E policy
b) Manual review process
c) Automated system that flags violations
d) Policy is not enforced
How does your organization enforce compliance
with T&E policies?
POLLING QUESTION 3
25

26. Manual policy review is
inefficient and creates room
for error and fraud
78%
Of companies indicate
they have a T&E policy
65%Of those companies are manually
reviewing for policy violations
Policy enforcement trends
26

27. 27
• Expense fraud accounted for nearly 14% of all occupational fraud in 2014 with a
median loss of more than $30,000
• Businesses with fewer than 100 employees have a 28% higher median fraud loss
than those 100+
• Organizations that monitor compliance experience a 70% decrease in fraudulent
spending
Association of Certified Fraud Examiners
Oversight Systems
82%
Expense report fraud

28. 28
1. Establish a corporate travel and entertainment expense policy
• Clearly defined for all employees with ongoing training
• Executive support for T&E policy is essential
2. Integrate your policy into the expense system, setting both:
• Hard Policies (decline expense exceeding X amount)
• Soft Policies (manager’s discretion for approval)
3. Allow technology to enforce policies, notifying employees and
managers of violations, including:
• Missing receipts
• Duplicate expenses
• Items exceeding spend limits
Flagged violation, notifying manager amount exceeded policy limit
Automate policy compliance

29. 29
1. An end-to-end expense management system
allows administrators to automate policy controls
across a single platform for improved employee
compliance
2. Pre-trip approvals using an integrated online
travel booking system can stop out-of-policy
expenses before they occur (used by 87% of all
best-in-class companies)
3. Mobile applications encourage policy
compliance by making it easier for employees;
mobile also reduces expense report processing
costs by up to 65%
Adopt a unified platform

30. 30
Comparison #4:
Reporting Visibility

31. 31
One spreadsheet can’t tell the whole story:
• Inability to link receipts or images with expense line items; you can email
spreadsheet expense reports but can’t link receipts
• Lack of integration with corporate and accounting systems limits availability and
accessibility of expense data
• Inefficient, labor-intensive manual administrative reporting process subject to
human error affecting accuracy of information
• Auditing expense reporting via a manual process is ineffective, often relies on
sampling due to sheer volume
Reporting visibility

32. 32
• 55% of all organizations’ main
priority for 2014 was to enhance
visibility into overall T&E spend
• Manual processes provide only 30%
visibility vs. 61%+ visibility with web-
based expense systems
• 74% companies using cloud/web-
based systems regularly audit
expense reports vs. 44% of
companies on manual system
61%
57%
74%
57%
30%
40%
44%
29%
Visibility into
T&E Spend
Regular
Reporting
Regular Audits
of Expenses
Automated Data
Analytics
Web-Based Expense System Manual Expense Process
Reference: Certify’s Annual Travel & Expense Management Survey 2015
Technology improves visibility

33. • Documented path of approvals—Has each
expense report been reviewed and approved by
the right person at the appropriate time?
• Expense reports by employee—Which individual
employees (or departments) are expensing the
most? Are they managing the budget responsibly?
• Expense spend by category—Which areas are
costing the company the most? Can we add
controls, negotiate preferred rates, etc.?
33
Insight into process and spending

34. 34
Additional analytics for GL dimensions, pending reports, approval actions,
processed reports, multiple input parameters and more
Expenses By Category
shows totals for expense
categories and employees
simultaneously
Meals Attendees
displays group meals expenses
with detailed and free text
attendee information
Mileage By Employee
captures personal automobile
usage including subtotals by
employee
Expense Policy Review
shows processed and in-progress
expenses with policy violations and
other potential issues
Reports available with automation

35. 35
Comparison #5:
Process Automation

36. 36
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Reviewing for policy violations
Reconciling the data
Errors on the report
Employees losing receipts
Time it takes to reconcile, review, and
approve
Employee's failure to submit reports on time
Inefficiency tops the list:
Reference: Certify’s Annual Travel & Expense Management Survey 2015
Top pain points in 2014

37. 37
Reference: Certify’s Annual Travel & Expense Management Survey 2015
Process is an opportunity:
36%
25%
21%
14%
4%
Expense Management
Process
Integration Between
Systems
Travel Booking Mobility Software Deployment
Top areas to improve in 2015

38. 38
• Automated approval workflow: Managers instantly notified
of reports pending approval, decreasing lifecycles and
reimbursement times
• Online expense report creation: create, submit and approve
expense reports online; no more time-consuming
spreadsheets
• Mobile receipt capture: employees take a photo of a receipt
with their smartphone instantly turning it into an electronic
receipt
• Direct feeds: automated feeds sync data with accounting,
credit card and HR systems to simplify reporting and
eliminate redundant manual data entry
Examples of T&E automation

39. 39
Remove barriers to efficiency:
• Take guesswork out of T&E policy compliance
• Expedite spend capture and report creation
• Eliminate manual processes, redundant data entry
• Provide a single, familiar platform for all users
Give travelers the power of mobile apps:
• Automate receipt capture
• Reduce paper usage and storage
• Streamline report creation and review
• Approve reports anywhere, anytime (managers)
Streamline workflow inside and out

40. 40
• Transition from manual to automated expense management process with 500
company employees using the system
• Streamlined processes for expense report creation, plus mobile access with
automatic receipt capture
• $40,000 first year savings from avoiding duplicate/out of policy expenses and
reduced paper postage costs
• Increased visibility from extensive integrated reporting capabilities also used to
help with annual budget planning
• Reduced overhead—the full-time accountant for expense auditing was reassigned
to a higher-value function within the company
Benefits with Certify

41. Thank You

42. Q & A