Learn How Online Expense Report Software Can Prevent Fraud
The more your business expands, the more difficult it is to keep an eye on every dollar spent. With ever changing regulations and business norms, complying with policies and procedures can seem virtually impossible.
What to audit? How often? Which departments or teams? How to distinguish mistakes versus manipulations in numbers? How to continuously track T & E expenses of employees?
Here, we’ll guide you how to strike a balance between auditing and uncovering fraud:
Fight or Prevent Fraud
Although audits work great in preventing fraud, it is important to make out the difference between real fraud and appearance fraud (unintentional). Here, you can learn how to identify those instances and take corrective actions against avoiding fraud.
Apparently, it is deemed that people who work for you don’t intend to commit fraud. But, sometimes they accidentally commit mistakes, which can be avoided by taking appropriate steps.
The simplest way to eliminate errors is by using the corporate card. Managing business expenses through cash advances and other manual ways can leave room for error. You will not be able to get detailed and accurate figures of spend when you manage your business spend with these methods. With the corporate card, you can avoid such mistakes and can focus on fraudulent behavior.
Outlining your T & E policy around corporate card usage can do wonders and makes things easy for your travelers. This can prevent or flag expenses that do not comply with T & E policies, so you can stop excessive spending before it actually happens. With such policies in place and a workforce that understands them – you can save money, increase traveler satisfaction and avoid expense fraud altogether.
Communication is the Key
Let your employees know that you are tracking and auditing. Tell them that the reimbursement claims are subjected to audits and even surprise audits.
It is better to check with your auditing systems, validate cash expenses, identify location & expense types, conduct random checks, and take a detective approach.
Implementing a zero-tolerance policy and taking appropriate steps on fraudulent behavior can prevent fraud. Allowing third parties to audit expense claims will avoid you from being the bad guy.
Above all, giving your employees the right tools such as expense management software that can incorporate T & E policies will help identify fraud easier and faster.