Key Points:
- In 2024, advancements in AI are expected to drive virtual payments and predictive analytics in spend management.
- AI will transform spend management by enabling near-immediate reimbursement and automated audits for business expenses.
- Predictive analytics tools will emerge in 2024, allowing for data-backed recommendations to improve business operations.
- Generative AI will become more widely adopted and will provide a significant competitive advantage.
According to Christopher Juneau, Head of SAP Concur Market Strategy, and Tim Lebel, Vice President and Head of Spend Products, AI will simplify reimbursement in 2024. Traditional company credit cards will be replaced by a wider use of virtual payments for business expenses. AI will validate most transactions as compliant, allowing for nearly immediate reimbursements. Any exceptions will cause AI-driven, automated audits for compliance.
In addition to transforming payment methods, AI is also expected to advance predictive analytics in spend management. Many organizations currently have access to large amounts of financial data, but lack the resources to efficiently analyze it. With generative AI, systems can analyze financial data and provide data-backed recommendations. This allows finance professionals to delegate time-consuming analysis tasks to an AI system, saving considerable time and effort.
Predictive analytics in spend management can offer valuable insights and solutions to improve business operations. For example, generative AI could predict the best time to book a business trip or the optimal date for a team meeting to minimize travel costs. As a result, companies can use their resources more efficiently.
Generative AI, a concept that was new in 2023, is predicted to be widely adopted in 2024, giving companies a substantial competitive advantage. It’s crucial for finance leaders and professionals to explore these emerging technologies and seek ways to improve financial processes.