AI and Spend Management: 5 Steps to Maximise Efficiency and Compliance

Finance leaders are under constant pressure to streamline operations while maintaining compliance and minimising risk. By harnessing the power of AI and machine learning (ML), it’s easier to automate tedious manual tasks, boost compliance and make smarter, data-driven decisions. In this blog, we’ll walk through 5 practical steps to embracing AI-infused business spend management solutions to ensure you get the most out of what AI has to offer – now and in the future.

1. Allow AI to unleash the power of your data

AI-powered solutions allow you to dig through massive amounts of travel and expense (T&E) data, supercharging your ability to identify spending patterns, spot trends and provide insights into employee behaviours. From there, you can make informed decisions about travel policies, pinpoint areas of potential savings and tackle compliance issues before they escalate.

SAP Concur solutions harness the power of our available T&E data to provide enhanced, personalised Generative AI (GenAI) experiences.

2. Understand that AI is continually evolving

The rapid pace of GenAI advancements means that you need to be prepared for continuous change and ensure that the implementation of AI doesn’t disrupt existing workflows or make employees feel unsafe. With media reports highlighting increasing concerns about privacy and potential bias due to human inputs skewing AI algorithms, businesses want assurances. Nearly half of business travellers (48%) want to know their personal data will be protected and 37% want to feel confident that the tools do not create any potential bias.

3. Trust AI to build ever-greater compliance

AI-powered solutions can help employees adhere to company policies by ensuring that T&E submissions align with corporate guidelines before they’re even made. For example, AI can automatically flag expenses that fall outside of company policy, helping reduce errors and ensuring your business remains compliant with global legislative requirements.

AI can also assist in tax reclaim processes and help reduce risk. According to 65% of CFOs, AI will result in more effective risk management. 

4. Encourage humans to continue doing what they do best

It’s important to reassure employees that AI isn’t here to take their job. It’s here to boost their performance and free them up to jump onto more strategic, rewarding work. According to a recent survey, 64% of CFOs see AI’s value in automating mundane tasks, while 61% believe it will improve overall efficiency.

AI can also help employees personalise travel options, balancing their preferences with cost-effectiveness to suggest optimal travel itineraries based on historical data. Nearly one in five business travellers (19%) would prefer an AI-curated list of personalised business travel options instead of getting recommendations from a travel agent or their colleagues.

But with 58% of CFOs saying they understand very little about AI and only 4% saying they have a strong knowledge, there is still a lot to learn. It’s crucial to invest in staff training and the hiring of new experts where necessary. At the moment, 34% of travel managers believe their potential for success is being limited by their company’s expectation to adopt AI powered tools without training.

The good news is, AI-infused SAP Concur solutions already harness the power of AI, making it easy for finance and travel teams to realise the benefits immediately.

Our AI solutions enhance employee experience by simplifying and automating expense management. Employees can quickly capture and submit expenses through AI-powered tools that extract details and match them to categories, reducing manual effort. 

Real-time feedback on policy compliance, automated reminders and instant flagging of discrepancies streamline the process, minimise errors and eliminate frustration, allowing employees to focus on their work while ensuring accuracy and adherence to company policies.

5. Align AI initiatives with your long-term strategic vision

AI initiatives should align with your organisation’s broader strategic goals, focus on solving specific problems and deliver measurable value. For instance, AI can be used to run predictive analytics and forecast future travel and expense costs based on historical trends, helping finance teams prepare more accurate budgets and financial plans.

AI can also improve decision-making and enhance strategic financial planning by offering deeper insights into spending patterns. According to 67% of CFOs, AI will significantly improve forecasting accuracy, allowing organisations to make more informed decisions and plan more effectively for the future.AI: The short- and long-term gains

AI offers businesses an unprecedented opportunity to enhance efficiency, compliance and decision-making. By embracing AI-infused spend management solutions, you can automate manual tasks, gain valuable insights into your data and ensure that employees remain focused on high-value work. 

To maximise the benefits of AI, you must adopt a strategic approach, stay informed about evolving technologies, support teams with training and ensure any initiatives align with long-term business goals. By doing so, you can unlock the full potential of AI to drive smarter, more efficient operations.

For a deeper dive into how AI is transforming T&E, read our ‘Think AI is new to SAP Concur? Think Again!’ eBook.