Recently we touched on the importance of spend visibility for businesses, especially regarding the productivity and efficiency of c-leaders. Leadership teams can leverage this practice to gain insight and implement new processes that benefit business growth.
Today we wanted to touch on the biggest factors that influence a company’s level of spend visibility.
- Data Quality: More companies than not struggle with the accuracy of their spending reports, which often occurs from incongruencies in data quality. This much be executed with precision and accuracy to ensure leaders make appropriate spending decisions.
- Organizational Structure: Spend visibility is directly influenced by your organization’s structure. For example, is your procurement process decentralized or centralized? In this case, the latter gives you enhanced insight into spending and expense tracking.
- Technology: Software and technology are vital to the accuracy of your spending visibility. Automated software ensures nothing slips through the cracks on your spending reports. On the other hand, manual or spreadsheet-based processes usually lead to decreased visibility.
Every business looking to refine its spending visibility should evaluate these three categories. Consider the areas where you can streamline efficiency and gain a deeper understanding of your spending as a result.
Want to learn more? Contact Us to know how to start optimizing your AP data and recover working capital.
