Controlling Mileage Costs with expenses
With expenses you can look at each claim individually, or as part of a group of claims. This enables your employee expense managers to identify areas for policy improvement including setting a default mileage for each road journey that a user takes.
Predefining your mileage retains the simple claim entry format. When a claimant selects a travel destination in the claim details section, the mileage field is automatically populated:
At a later stage all exceptions can be reported on using the online reporting module, which will allow you to introduce new policy retrospectively.
As the average mileage claim made by a claimant is over estimated by 20%, setting predefined limits can equate to a considerable saving for your organisation:
Claimant using a Company Car or those with a car allowance:
No. of claimants |
Average annual mileage claim |
Miles over claimed (20%) |
Loss at 11p per mile |
1 |
15,000 |
3,000 |
£330 |
50 |
15,000 |
3,000 |
£16,500 |
100 |
15,000 |
3,000 |
£33,000 |
Claimant using their Own Car:
No. of claimants |
Average annual mileage claim |
Miles over claimed ( 20% ) |
Loss at 40p per mile |
1 |
15,000 |
3,000 |
£1,200 |
50 |
15,000 |
3,000 |
£60,000 |
100 |
15,000 |
3,000 |
£120,000 |
If you have any questions about how expenses can help you to manage your employee expenses spend simply call our expenses team on 01522 881300 or request that a member of our team contacts you by clicking here
Measuring Expense Management's ROI Potential
Return on Investment (ROI) is a textbook methodology for Financial Managers, and is rapidly being recognised as a critical metric for understanding technology investment.
When it comes to expenses management, there are some key criteria which can help you to assess the project and predict the likelihood of a positive ROI:
Firstly
Breadth: How many people will be helped by an expense management system? The greater the number of people, the greater the ROI potential.
Usage Frequency: How often do people submit their expenses? The more frequent the usage, the greater the ROI potential.
Secondly
Cost: How much is processing employee expenses currently costing you (time & money)? The more costly the task the greater the potential benefit from automation and therefore the greater the ROI potential.
Knowledge: How will your employee use the expenses reports? The greater the potential to use the knowledge held in the system to increase effectiveness, the greater the ROI potential.
Communication: Communication between employees is costly, the more people who can access the relevant information the better the ROI potential.
Thirdly
Productivity: Gains in productivity are more difficult to measure since there are no direct budget reductions from increased productivity, however, you should consider the additional employees you would need to do the same level of work or the increase in output from the same number of employees. Increased worker efficiency is one of the primary benefits of technology – why else are all offices fitted out with PC’s, photocopiers, fax machines and telephones?
To help you assess the ROI potential of our expense management solution we have built an online ROI calculator. This calculator breaks down several of the points raised above in relation to expenses :
- Usage Frequency: How many of your employees regularly claim expenses
- Cost: The potential for processing savings
- Knowledge: The potential savings from policy analysis
- Plus, the potential for increase VAT recovery.
Learn more about the ROI potential of expenses for your organisation…
If you have any questions about how expenses can help you to manage your employee expenses spend simply call our expenses team on 01522 881300 or request that a member of our team contacts you by clicking here
expenses Customers have their say
USER STORY: A EUROPEAN SHARED SERVICES CENTRE
In September 2004, a European Shared Services Centre implemented expenses to improve the Employee Expenses approval process, here their Quality Analyst explains how the system has been helping the organisation to achieve their goals:
“expenses was uniquely simple to implement. As a web-based solution, deployment was unnecessary and implementation posed no major challenges. Users adapted fairly quickly to the new system, which is now accepted and appreciated for clearer visibility of each claim.”
“The main benefits to our organisation are the bespoke reporting, workflow approval process and the fact that accessibility is not tied to the company infrastructure.”
“The service we have received from Software Europe was excellent and we were given a lot of support before and during implementation. I would recommend them to other business users due to the excellent support we receive.”
Additional User Stories can be downloaded by clicking here
Calling All Managers!
As you are aware the expenses 2006 User Group is being held on Tuesday 24 & Wednesday 25 January 2006 and it is our pleasure to announce that this year’s event includes an additional stream focusing on real business issues, and how Software Europe's technologies can help you to meet your organisation’s goals. This stream is specifically aimed at Business Managers.
The Business Management Stream runs over two days and will enable business professionals from across the UK and Ireland to preview relevant products and learn more about how these technologies can help all levels of your organisation achieve good practice and increase profitability.
The Business Management Stream covers three main business areas:
- Employee Expenses Management – for Financial Managers
- Asset Management – for Procurement, Asset and Contract Managers
- IT Security – for Security Professionals
Each seminar style session will enable delegates to learn more about current business issues and the technologies available to help your organisation streamline processes; and maintain full control over business critical areas.
Our User Group offers the perfect setting to meet Software Europe, our suppliers and customers and discuss any issues relating to our product areas, our business practices or how we can help you to meet your goals.
As a Business Management delegate, you only need attend the sessions relevant to you. You can also take the opportunity to discuss any specific topics as a one-to-one session with our international experts in the informal breakout areas.
For further information and/or a copy of the agenda click here or call 01522 881300.
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