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Travel expenses control depends on what the financial manager says.
On June 24, 2022, the digital seminar forum on corporate travel expenses control was successfully held. Around the digital frontier trend, the pain point of digital transformation of the industry, reducing costs and increasing efficiency of enterprises and other topics, well-known business leaders and industry experts held an ideological feast at the scene of 100+, and the discussion on travel expenses control 4.0 aroused widespread concern, and * * * rang.

In order to better present the exchange of mid-year events in the control of travel expenses, according to the keynote speeches and interactive questions and answers of the on-site guests, we sorted out the complete contents of the innovation and practice of the 4.0 model, and provided frontier exploration for corporate executives such as corporate finance leaders, administrative leaders, IT leaders and procurement leaders, as well as professionals such as travel service providers and industry scholars. We look forward to cooperating with you to create a new era of business travel management.

This article is written in combination with guest speeches, and everyone is welcome to discuss it backstage.

0 1 Travel management enters the 4.0 era.

As we all know, travel expenses are the second largest controllable cost for enterprises. Travel expenses management has a wide range of pain points, regardless of industry or enterprise, but travel services are not the whole of corporate travel activities. In the past model, employees always used the way of reimbursement in advance, and employees suffered from "advance payment"; Finance is often in the situation of unequal data and frequent reconciliation, and is deeply involved in the heavy work of repeated accounting; The administrative end is tired of dealing with all kinds of problems fed back by employees, but the satisfaction of employees has not increased; The company's travel management policies and demands can't be implemented, and there is a gap with business promotion, so there is no effective way to carry out travel informatization construction. We will find that it is difficult for a single service provider to solve all the problems in the process of finding solutions. How can we make travel no longer a problem that plagues enterprises?

According to the current situation of enterprise technology platform construction, under the original 2.0 and 3.0 modes, enterprises generally sign agreements with 1 TMC and pay service fees to TMC, and the products are managed by service providers. The product is not a product directly docked or signed by the enterprise first, and there is a risk of killing. Travel booking and service are all jumping modes, not platform modes of centralized travel, so it is impossible to realize multi-supplier price comparison procurement. Once the supplier is changed, the original data will not be retained, and the sunk cost and opportunity are also high. The control of the price difference is realized by the service provider, but the closed-loop management of the whole process is not realized.

Travel expenses are more frequent than other businesses, and auditing is often a key issue. In recent years, enterprises in various industries have paid more and more attention to the importance of internal control in enterprise management. Pre-bank specification, in-bank control and post-bank optimization are all necessary specifications to achieve internal control and compliance of travel expenses, which cannot be achieved only by back-end reimbursement. Intelligent reimbursement is only a part of the construction of digital cost control system.

Imagine if travel management can achieve: pre-departure approval, control travel budget and scale; The employee appointment process is visible and traceable; Real-time data transmission, bill synchronous docking, bill automatic collection and reimbursement automatic write-off. Man-machine collaboration, the whole process from expense application to reimbursement is automatic and mobile, efficient and fast. Then, will the phenomenon of not spending and reimbursing travel expenses according to regulations still happen?

Looking back on the development of the whole travel control industry and the practice of enterprises in travel and expense management, from offline mining of 1.0 mode, to TMC service of 2.0 mode, and then to expense control reimbursement jumping mode of 3.0, although the mode and technology of enterprise travel control are constantly upgrading and iterating, it is difficult to realize the closed loop of expense control by jumping to the third-party TMC at the consumer end. It was not until the emergence of the 4.0 model, the deep integration of travel consumption scenarios and cost control, and the empowerment of digital technology to the travel control platform that the current travel management ills of enterprises were truly solved.

What enterprises really need is a scientific travel procurement plan, a perfect implementation platform of internal control system, and a digital solution covering the whole process cost control before and after the event.

02 Travel Expense Control 4.0: A Leap from 3.0 to 4.0

From the perspective of industry development, the upgrade from 3.0 to 4.0 has two key factors: First, it is integrated into the comprehensive consumption scene and included in the fee control system, which runs through the whole process before, during and after the event; Second, intelligent technology reshapes the humanized experience of financial cost control, thus promoting the enterprise ideal of everyone's cost control.

Different from the simple reimbursement system, the travel expense control 4.0 model draws lessons from the successful experience of more than 30 industries and 100 head enterprises, creatively integrates the travel expense scene into the expense control, establishes an open centralized procurement platform that aggregates multiple suppliers, realizes the price comparison of a product with multiple suppliers, meets the compliance requirements of enterprise procurement, controls the expenses from the source of consumption, and allows each employee to consciously participate in the expense control, finally forming the whole process before, during and after.

What are the theoretical basis and characteristic advantages behind the successful practice of the travel expense control 4.0 model at the innovation level? This is what many experts are curious about.

1 This figure is the price comparison-the first fee control platform+centralized purchasing price comparison platform model in the industry. Many manufacturers can compare prices, but the degree and specialization are different. Take the comparison of air ticket prices as an example. It is common for everyone to display all the ticket data. How much is this flight and that one? This is just the same frequency ratio. In fact, we have to compare prices in the same dimension, on the same flight and in the same cabin. Because a cabin may have multiple quotations, such as airline official website price, dealer special price, enterprise agreement price, etc. , it is not necessarily the same cabin to compare. Price comparison should also consider the amount of the agreement between the enterprise and the airline, and when the evaluation of the agreement will be completed, which is not the optimal price and which is not the final optimal. Some operational controls here are very important.

The second is the offline and scene management mode. Expense management is a highly professional business, which spans three major fields: business, finance and taxation. Many softwares are designed from the financial point of view. When employees use it, they should choose an accounting subject, and when reimbursing, they should also choose which special account this expenditure belongs to, and fill in the account number and bank information. But not all employees know professional financial knowledge, so they always feel very difficult when using it.

In order to solve this problem, we finally summed up a set of management mode based on business types, and set up the scope of application, form template, approval process, reimbursement review rules, payment rules and budget settings, expense standards, expense templates, query and reservation control rules of the business. After the enterprise provides it, the system can automatically configure the business type, expense type and account. Employees only need to go through different processes according to what happened, and the financial department doesn't care whether the correct expense types and accounting subjects have been collected, which is easy to understand and easy to use.

This is also the third innovation, based on the all-round management idea of enterprise management, instead of simply making an reimbursement system, not only considering financial links, but also considering business management demands, and finance is only one of them.

References:

Baijiahao? Industry Insight | Digital Innovation and Practice of Travel Expense Control 4.0 Mode.