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• Recognize emerging trends in business travel and expense management for 2015

• Evaluate expense report processing costs and return on investment

• List the ways automation can simplify data management and administrative reporting

• Recognize strategies to streamline the expense reporting process and improve productivity

Learning Objectives

After attending this event you will be able to:

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Expense Management Strategies to Maximize ROI in 2016

Robert Neveu, President & Co-founder, Certify

Mark Philley, Corporate Payroll Manager, Superior Energy Services

Sara Faulk Fontenot, General Ledger Analyst, Superior Energy

Services

Today’s Speakers

Robert Neveu

President and Co-founder

Certify

Sara Faulk Fontenot

General Ledger Analyst

Superior Energy Services

Mark Philley

Corporate Payroll Manager

Superior Energy Services

6

• Industry-leading with first fully automated expense system

• #2 expense report software providing travel and expense

solutions since 2008

• 64 languages, 140+ currencies, clients in 80 countries

• #1 Highest Rated Expense Management Software on

G2 Crowd, with a 4.8 out of 5 star rating

• Over 25 million expense transactions in 2014

• Processing over $10+ billion/year in expense reports

About Certify

7

Spending Trends:

Why Expense Management Matters

8

T&E Spending is Substantial

$1.25tU.S. business travel spending 2015

(estimate: GBTA)

$310bglobal business travel

spending 2015

International Domestic

$2,502 $1,002

Average base cost per business

trip for air, hotel and car rental

(Travel Leaders Corporate)

9

25% of all U.S. companies spend $1 million or

more on annual T&E expenses (PayStream Advisors)

of total annual

budget for T&E(Aberdeen Group)

10-12%

Business Investment in T&E

10

T&E Spending by Company Size

$50k – $5mm

Mid-Size Company101 – 999 employees

> $5,000,000

Large EnterpriseMore than 1,000 employees

< $50,000

Small BusinessLess than 100 employees

Reference: Certify Annual Expense Management Outlook 2015

Average annual T&E spend

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MEALS

AIRFARE

LODGINGGAS

MISC.

CELL PHONE

CAR RENTAL

GROCERIES

SUPPLIES

TAXI

TOLLS

SHIPPING

PARKING

1. Meals 21%

2. Airfare 16%

3. Lodging 14%

4. Gas 12%

5. Misc. 8%

6. Cell Phone 6%

7. Car Rental 5%

8. Groceries 5%

9. Supplies 5%

10.Taxi 5%

11.Tolls 2%

12.Shipping 2%

13.Parking 1%

Reference: Certify’s SpendSmart™ Report, Q4 2014

How the Expense Budget is Spent

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Polling Question

Expense Management ROI:

What It Is, How to Get It

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• Hard costs for paper, printing and postage

• Hours to create, review and approve reports

• Time required for reconciliation and reimbursement

• Storage fees to archive expense reports

• Lost productivity

Hidden Costs of a Manual System

Reducing processing costs is the #1 T&E improvement for 48% of all best-in-class companies

(Aberdeen Group)

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$6.85fully automated

$17.31 semi-automated

$26.63 manual

Expense Report Processing Costs

Average cost to process a single

expense report by system type:

of companies do not

track their expense

report processing costs80%

Reference: PayStream Advisors

16

T&E Cost Savings Strategies Used by

Best-in-Class Companies

Aberdeen Group: Travel and Expense Management: Spend and Save

88%

58%

87%

77%

68%

Expense reports auditedregularly

Automatic linkagebetween expense mgt.and back-end systems

Online travel bookingsystem

Commercial cardsystem/program

End-to-end expense mgt.solution

52%automate key components of expense management

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Expense Management Automation

• Cost savings: reduce costs in time and materials required to process expense reports

• Process efficiency: eliminate data entry and errors, improve administrative reporting

• Increased productivity: mobile and cloud-based accessibility simplify expense management

• Policy compliance: integrate company T&E policies and spending controls

Why do best-in-class companies turn to automation?

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Polling Question

Methods for Managing T&E Reporting

2013 2014 2015 2016

Cloud/Web-Based 36% 44% 37% 35%

ExcelSpreadsheets 35% 29% 32% 37%

HomegrownSolution 7% 5% 7% 5%

PenandPaper 10% 4% 4% 8%

ERP 12% 18% 19% 15%

Reference: Certify’s Annual Travel & Expense Management Survey 2013-2016

The mix of expense management systems remains consistent

20

ROI Requires an Initial Investment

Are you planning to switch or currently in the process of evaluating vendors for a new web-based system?

62% of all companies planning to make the switch will do so in the next 12 months

Reference: Certify’s Annual Travel & Expense Management Survey 2016

37%Small Business

46%Midsized

Companies

53%Enterprise

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Benefits of Investing in Automation

Actual benefits of using a web-based system

surpass expectation in every category

Reference: Certify’s Annual Travel & Expense Management Survey 2016

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How ROI is Achieved

What are the ways you’ve achieved ROI on your

new expense management system?

58%53%

33%

26%22% 22%

Improvedefficiency/expensereporting process

Reduction inprocessing costs (less

paper, postage,storage etc.)

Mobile accessibility Increased employeeproductivity

Elimination ofpayment for duplicate

expenses

Reduction inoverhead/staffing

requirements

Reference: Certify’s Annual Travel & Expense Management Survey 2016

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Average Time to ROI is Improving

2015 Expense Trends Survey

24

Average Time to ROI is Improving

2015 Expense Trends Survey

2016 Expense Trends Survey

25

Automation at Work:

Superior Energy Services

26

About Superior Energy Services

• Leading provider of oilfield services, technology and expertise to global oil and gas producers

• Headquartered in Houston, TX, with offices in the United Kingdom and Brazil

• Operating 40 subsidiaries; 10,000 employees worldwide; $4 billion annual revenue

27

Expense Management Challenges

• Company growth and acquisitions was the driving factor to simplify expense management processes

• Evaluated several vendors to help with transition from paper-based reporting process to a web-based solution

• Needed to replace multiple legacy systems with a single solution for all employees, at any location

• Small team of accounts payable employees to support the organization; must automate key expense functions

28

Benefits with T&E Automation

• Streamlined the entire expense report process including integrated policy controls, AP software and corporate credit cards

• Mobile app and mobile manager approvals add greatest value to the company’s large number of remote and jobsite-based employees

• Reduced expense report processing times by 50%, plus faster employee reimbursement integrated with company payroll

• Provides a single, easy-to-use platform accessible to all employees; 1,000 monthly users in 8 subsidiaries now on the system

29

Maximizing ROI:

Automated Reporting Features

30

Top T&E Strategies to Achieve ROI

STRATEGIES OUTCOMES

MobileAccessibilityReducecosts,simplifythereportingprocess,andimproveproductivityforemployeesandmanagers

SystemsIntegrationStreamlinedataentry,reduceerrorsandimprove

efficienciesinbackendprocessingfunctions

AutomatedControlsAutomatepolicyenforcement,eliminatepayment

ofduplicateexpensesandcontrolspending

ReportingVisibilityLeveragereal-timeaccesstodetailedspending

metricsandkeyworkflowanalytics

31

Simplify the Reporting Process

Top mobile features for greater efficiency:

• Optical character recognition/auto-fill: snap photos of receipts, automatically parse data into reports

• Mobile report creation: build expense reports from the road as receipts are captured and saved

• Remote approvals: managers can review and approve reports from any location to reduce delays

Mobile OCR and auto-fill

Mobile lowers processing costs by 65%, improves reimbursement rate 40% (Aberdeen Group)

32

Automate Policy and Spending Controls

• Make policy automatic: apply built-in spending caps, reporting requirements (meal attendees, receipts, etc.), vendor preferences, and more for better compliance

• Eliminate duplicate receipts/expenses: automatic system reviews identify duplicate expenses, flag out-of-policy expenses, reduce fraud, and save money

• Seamless travel booking: integrated travel booking ensures best rates and efficient expense reporting, plus pre-trip approvals to maximize spending control

• Manage expense reporting on time: set a schedule to automatically build reports, notify employees and managers, and submit expenses (specific to Certify)

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A Quick Note About Fraud

• Expense fraud accounted for nearly 14% of all occupational fraud in

2014 with a median loss of more than $30,000

• Businesses with fewer than 100 employees have a 28% higher median

fraud loss than those 100+

• 2016 Annual Trends: 85% of organizations have a written T&E policy;

73% use a manual review process to monitor compliance

Association of Certified Fraud Examiners

Oversight Systems

82%

34

Integrations: the Key to Efficiency

Expense

• Accounting Systems: automate key accounting functions and streamline workflow

• Corporate Credit Cards: direct control over employee spending, faster reconciliation

• Corporate Systems: reduce data entry and errors across multiple redundant systems

• ACH Reimbursement: direct deposit for more efficient reimbursement, simplified accounting

35

You Can’t Measure What You Can’t See

Actionable insights into key spending and process metrics:

• Spending: analyze company spend by expense category, department, individual employee, monthly reimbursements, etc.

• Compliance: review processed and in-progress reports, policy violations, identify risk and offenders, and improve company compliance rates

• Workflow: monitor people and process; documented path of approvals ensure expenses are reviewed/approved according to guidelines

36

Thank You

Q & A

• Thanks to our speakers

• Join us at www.proformative.com to continue the

conversation with your peers in our community

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or sponsor, tell us on the survey!

A Few Final Items

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Polling Question