openSAP

Intelligent Spend Management Using SAP Concur

Week 4 Unit 1

00:00:05 In the past three weeks, we have examined several of SAP Concur's
00:00:09 Intelligent Spend Management products and features, those that are used pre-spend
00:00:14 and those used during the spend process. In this final week,
00:00:18 we will examine post-spending solutions, specifically our audit services, approval workflows,
00:00:24 payment solutions, and data analytics. Let's begin with SAP Concur's Audit Services.
00:00:33 In any organization, managers have a responsibility to control costs,
00:00:38 approve expenses, and ensure compliance with company policies.
00:00:43 In addition to their other tasks, on any day, managers may need to review expense reports,
00:00:48 verify the accuracy of submitted receipts and invoices, communicate report discrepancies to
their employees,
00:00:55 and ensure those discrepancies are corrected. On average, approximately 20% of expense
reports
00:01:03 have at least one non-compliant purchase. So the price of inaction can add up quickly.
00:01:12 SAP Concur addresses these concerns by offering fee-based audit services
00:01:16 for Concur Travel and Expense transactions. These services are conducted by certified
auditors
00:01:23 who provide unbiased verification and validation assessments for every line item
00:01:28 on selected expense reports. Operating 24/7, our global teams supports substantiation
00:01:34 and regulatory compliance in multiple languages including Chinese, Spanish, English, French,
and German.
00:01:47 Auditing over 18 million reports annually, Audit Services is efficient and effective.
00:01:52 They provide the following benefits. Audit Services reduces the manager's burden
00:01:57 of reviewing and validating every aspect of a report. They review the report first,
00:02:03 ensuring the accuracy and appropriateness of every field, entry, and receipt.
00:02:08 After the audit, reports are forwarded to the manager for approval.
00:02:12 With the data already verified, the manager can focus solely
00:02:15 on reviewing the business aspects of the claim. Audit Services, assisted by artificial
intelligence
00:02:22 and machine learning, ensures that all relevant data is captured and classified correctly,
00:02:28 allowing the client organization to fulfill their reporting obligations for budgeting,
00:02:32 forecasting, payroll taxes, and legislative records. Audit Services also drives compliance
00:02:40 with company policy and governmental regulations by identifying non-compliant expenditures,
overspending,
00:02:46 and prohibited purchases. Aided by reporting and analysis,
00:02:51 the Audit Services team identifies reporting trends as part of their work.
00:02:55 They consult with their clients to prompt consideration of policy changes
00:03:00 to meet the needs of their business. How does Audit Services work?
00:03:06 They provide two types of audit substantiation, receipt audit and policy audit.
00:03:11 When sold by itself, Receipt Audit provides artificial intelligence,
00:03:15 machine learning, and audit resources to verify that expense receipts
00:03:20 correctly match the data fields in an associated expense report.
00:03:24 Specifically, auditors review the date, amount, vendor name when required, payment method,

00:03:31 and expense type fields. On average, 20% of receipts fail the audit
00:03:36 because they are missing, illegible, incorrectly itemized, or the wrong receipt is attached.
00:03:42 Language is no barrier. Auditors will verify Chinese receipts
00:03:46 on a French employee's report, for instance. Policy Audit combines a receipt audit
00:03:53 along with custom auditing based on the client's policies and regulatory requirements.
00:03:58 Working together, SAP Concur and the client build a comprehensive set of audit criteria.
00:04:04 Policy Audit also includes tax checks, such as ensuring that value added tax, or VAT, amounts

00:04:11 are correctly recorded and match the calculations within the system. In addition, Policy Audit
provides reports of all exceptions that were captured
00:04:20 to help clients identify trends and employee behaviors so that corrective actions, such as
disciplinary actions,
00:04:28 education programs, or configuration changes, can be taken. Both services aspire to complete
audits
00:04:36 within 72 hours of receipt, excluding weekends and holidays. The circumstances that
automatically route an expense report
00:04:44 into the audit process are defined by the client's choices and the specifics of their SAP Concur
configuration.
00:04:51 SAP Concur recommends auditing 100% of expense reports to gain the broadest insights and
compliance enforcement.
00:04:59 However, clients can determine which reports are audited based on the following criteria.
00:05:05 Random percentage. Using an algorithm,
00:05:08 the system randomly selects expense reports for audit up to a predefined percentage.
00:05:14 Target list. A specific group of individuals
00:05:17 will have their reports audited. Special conditions.
00:05:22 Any report that contains a specific rule, such as exceeding $10,000
00:05:26 or having a particular expense type, will be routed for auditing.
00:05:31 Note, groups or individuals can be identified as exempt from audits if desired.
00:05:39 When an auditor reviews a report, one of the following results occurs.
00:05:44 If the report meets all requirements, the auditor approves it.
00:05:48 The report then passes to the next approver in the workflow, such as the employee's manager.

00:05:54 If the report fails to meet any requirements, the auditor returns it to the employee
00:05:58 with instructions on the necessary corrective actions. Once the report is fixed and resubmitted,

00:06:05 it will receive another full audit. If the report fails to meet any requirements
00:06:09 and it is disputed or the guidelines are unclear, the auditor will escalate the report
00:06:14 to the client's administration for review and resolution. An audit flag appears in the report's
audit regardless of outcome
00:06:22 to alert managers and administrators to the audit result. After auditing millions of reports,
00:06:30 SAP Concur has compiled a list of best practices. Here are a few.
00:06:35 Use reporting to identify managers who historically do not review receipts.
00:06:39 Audit 100% of their team. Any report with 90% or more out-of-pocket expenses
00:06:46 should be audited. Audit 100% of new employees

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00:06:51 for their first three to six months to ensure they understand and comply with company policies.

00:06:57 Apply the Policy Audit service prior to manager approval in the workflow.
00:07:01 This simplifies and streamlines the approval process by allowing employees to correct reports
00:07:06 before sending them to their managers and saves managers time by reducing the number of
rejected reports.
00:07:13 For clients first using Audit Services, audit 100% of expense reports
00:07:18 to establish a baseline understanding of employee compliance and identify common
irregularities.
00:07:24 Then, target auditing efforts on the challenging areas. This concludes the unit on Audit
Services.
00:07:36 You have learned about the two types of services, the process for audits, and several best
practices.
00:07:45 In the next unit, we will explore the approval workflow. See you in the next unit.

3
Week 4 Unit 2

00:00:05 In this unit, we will discuss how to configure approval workflows and the necessary
considerations.
00:00:11 The process is similar across our products with one exception, Concur Invoice.
00:00:16 Invoice has additional determinants. So we will begin by exploring Concur Expense,
00:00:29 then conclude by looking at the supplemental considerations of Concur Invoice.
00:00:34 Workflows are applied on the Approval Routing page in a two-step process.
00:00:39 Selecting the workflow route and setting the workflow preferences.
00:00:43 The system provides five routing options, each with a diagrammed example.
00:00:48 They are, processor. Reports are sent directly to the processor,
00:00:54 usually someone in accounting who is empowered to approve expenditures of any amount.
00:01:02 Manager to processor. Reports are sent to the employee's manager
00:01:09 for a thorough review and approval before going to the processor for payment.
00:01:13 This is the most common configuration. Manager to authorized approver to processor.
00:01:23 This configuration is used when a manager has an amount limit that they may approve.
00:01:27 When a report exceeds that limit, after the manager reviews and approves the report,
00:01:32 it is routed to the authorized approver to determine if the amount is acceptable
00:01:36 before sending it on to the processor for payment. Manager to second approver to processor.

00:01:45 This configuration is used in companies that require every expense report, regardless of
amount,
00:01:51 to obtain two approvals prior to processing. This is most frequently used when expenses need

00:01:57 to be split between multiple cost centers, as it allows managers from other cost centers
00:02:01 to review and approve the expenses as well. Manager to manager's manager to processor.
00:02:13 This configuration is used when each level of management has a set amount limit they can
approve.
00:02:18 A report with a large total amount will need to be reviewed and approved at each management
level
00:02:23 until it reaches a manager who is authorized to approve the total amount of the report.
00:02:28 Once that level is reached and the report is approved, then the report passes to the processor
for payment.
00:02:37 A manager's approval ability appears on the employee's profile page.
00:02:42 Default selections are provided for expense reports, cash advances, purchase requests,
00:02:47 budget, and invoice approvals. Expense reports require at least one manager's name
00:02:54 as no one is permitted to approve their own report. For companies with the budget workflow
feature enabled,
00:03:01 Include Budget Approver can be selected to include a budget approver to ensure that
spending decisions align with cost control initiatives.
00:03:10 Once the approval routing is defined, the administrator sets the workflow preferences.
00:03:17 Allow managers to add another approver to the list enables the manager to add another
manager to the flow
00:03:22 who is currently outside of the standard workflow. In our story, the cost of trade show
expenses
00:03:29 was shared by sales and marketing. Yvonne, the sales manager, could add Gabriel,
00:03:34 the marketing manager to the reports approval flow, since his department is paying a portion of
the costs.

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00:03:42 Allow employees to add another approver to the list acts similarly. In this case, the employee
filing the report is empowered
00:03:49 to add another manager, like Gabriel, as appropriate. Reroute to approver's manager
00:03:56 if report stays pending approval for this many days automatically escalates a report up the
hierarchy
00:04:03 if the approver does not review a report within a set number of days.
00:04:07 The default is 10 calendar days, but this can be modified. The approver will be notified when
the report appears
00:04:13 in their pending approvals queue, and then receive another message three days later,
00:04:18 if no action on the report is recorded in the system. After that the approver will receive daily
reminders
00:04:24 until the report is reviewed or the time limit is reached. At that point, the report is automatically
forwarded
00:04:30 to the approver's manager. The final condition is allow employees to recall reports.
00:04:37 This enables employees to recall reports that have been submitted to their manager's approval
queue.
00:04:43 Once recalled, the employee can edit and resubmit the report or delete it.
00:04:48 Note a report can only be recalled before the approver has reviewed and approved or rejected
it.
00:04:54 These approval configuration options are available in all products.
00:04:59 Concur Invoice, however, has additional options. Let's look at those now.
00:05:12 Assign invoice to purchase request owner directs the system to automatically transmit
00:05:17 a purchase order to the purchase request owner to begin the invoice approval process.
00:05:22 This ensures accounting teams that the purchase request owner has validated the invoice
00:05:27 and it allows accounts payable to resolve any discrepancies prior to payment.
00:05:33 Allow invoice processors to process their own invoices is an option for companies with a single
employee processor
00:05:39 who must submit and process their own invoices. Finally, send vendor payment e-mail
notifications for check
00:05:47 and ACH Concur Invoice Pay types has the system automatically e-mail vendors
00:05:53 when they are paid by ACH or check with Invoice Pay. This e-mail contains the date, amount,
invoice number,
00:06:00 payment date, payment method, check number if applicable, and any notes that may exist on
the payment submission.
00:06:07 This occurs for both partial and full payments. This concludes the unit on workflow approvals.
00:06:19 You have learned how to configure workflows in Concur Expense and Invoice,
00:06:23 and the considerations involved. In the next unit, we will explore payment methods.
00:06:34 See you in the next unit.

5
Week 4 Unit 3

00:00:06 The final phase in the intelligent spend lifecycle is accounts payable processing and payment.

00:00:11 Concur Expense and Invoice have separate but similar processing methods.
00:00:15 In this unit we will look at Concur Invoice. Just be aware that these steps are applicable to
Expense as well.
00:00:23 SAP Concur streamlines processing and repayment to reimburse employees and pay bills
directly and expediently.
00:00:31 With our products, the hassle of handling bank files, cutting checks, and validating payroll are
eliminated.
00:00:38 It's a winning solution for both employees and finance teams. Let's follow Claudia as she
processes an invoice
00:00:46 from the processing queue to the Payment Manager. She starts in Concur Invoice on the
Invoice Manager page,
00:00:56 which gives Claudia an overview of the status of all the active invoices.
00:01:01 She selects Processor then Process Invoices.
00:01:10 By default, Claudia sees the invoices that are ready for processing.
00:01:15 But she can select the Query button to search for invoices with different statuses.
00:01:22 Claudia selects the invoice by clicking on its name. She reviews the invoice details to ensure
they are correct.
00:01:31 If changes are required, she can return the report to the employee for corrections.
00:01:36 After validating all the data is correct, Claudia selects Approve.
00:01:43 This action transmits the report to the Payment Manager, which is our portal for expense
reports awaiting payment.
00:01:50 Claudia selects Payments then Payment Manager.
00:01:56 Within the Payment Manager expense reports are organized into batches.
00:02:01 Claudia can search historical batches, reschedule open batches,
00:02:05 view payment demand details including audit trails, or view report summary information.
00:02:11 Invoices that are approved for payment will be listed in the currently open batch.
00:02:16 Claudia can close batches manually by selecting Close Now on each item,
00:02:20 or she can schedule dates for the system to automatically close them. This prevents any new
payment demands
00:02:26 from being entered into a batch. Once a batch has been closed,
00:02:31 it cannot be recalled or altered. Claudia selects Close Now to close the batch.
00:02:38 To further streamline the processing-to-payment workflow SAP Concur offers Expense Pay.
00:02:44 This fee-based service uses electronic funds transfer, EFT, to advance funds from the
company's bank account to another account.
00:02:53 EFT can be used to pay card providers and reimburse employees. This reduces possible
accounting errors and ensures timely payment
00:03:00 for employee reimbursements and credit cards settlements. To use Expense Pay, a funding
account,
00:03:07 the bank account that Expense Pay draws funds from, must be established.
00:03:12 After the funding account is set up, an administrator defines the bank account
00:03:16 in the employee reimbursements and card programs. Let's see how Liam, our administrator,
00:03:22 prepares the employee reimbursement section. First, Liam selects Employee Reimbursements

00:03:30 from the Expense and Invoice Settings page. He selects New Employee Reimbursements.

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00:03:38 Then Liam enters the appropriate country and currency in the corresponding fields.
00:03:47 In the which payment method field, he selects Expense Pay By Concur
00:03:52 to define the reimbursement payment method. Finally, Liam saves the changes.
00:04:01 The new reimbursement method appears in the Employee Reimbursements list.
00:04:06 With this task complete, Expense Pay can process and reimburse employees
00:04:10 within three business days. An activation specialist will assist in setting up Expense Pay.
00:04:17 They will work with the client to ensure that the Expense Pay output data format and sequence

00:04:22 match the client's existing accounting system software, such as ADP or QuickBooks.
00:04:30 This concludes the unit on Payment Manager and Expense Pay. You learned about the
processor queue, the Payment Manager, and Expense Pay.
00:04:41 In the next unit, you will discover the benefits and applications of SAP Concur reporting
solutions.
00:04:48 See you in the next unit.

7
Week 4 Unit 4

00:00:06 Welcome back. In this unit, we'll be looking at data insights and analytics.
00:00:16 Every action occurring in an SAP Concur product, contains data points that are recorded in the
system.
00:00:22 Executives, finance teams, and managers know that every scrap of data says something
00:00:27 about their business, customers, and/or employees. For that data to be of use, however,
00:00:34 it has to be collected, organized, and analyzed so that useful and actionable conclusions
00:00:40 can be drawn from it. To meet this need,
00:00:43 SAP Concur offers a series of reports, both standard and custom.
00:00:48 With a consolidated view, drawing data from all our deployed products,
00:00:52 our reports provide stakeholders and management with near-real-time spending insights in
one place.
00:00:59 Presented in an easy-to-understand form, these reports offer visibility, analytics,
00:01:05 and trend identification to empower business decision makers.
00:01:09 SAP Concur offers three reporting options. A free offering of standardized reports
00:01:15 that capture the most widely used data points. A paid offering similar to the standardized
reports,
00:01:21 but it includes the ability to customize reports and extract calculated data points.
00:01:27 A fee-based dedicated consulting service that provides best practices
00:01:32 and configures custom reports to support company-specific strategic business initiatives.
00:01:38 Reporting is configurable and an implementation specialist will guide clients
00:01:42 through the process to ensure they receive the reporting functionality they require.
00:01:47 At a high level, reports are organized into different role-based views,
00:01:50 or a more global view of the entire organization. In the role-based view,
00:01:56 a manager would only see their own data and the data for their team,
00:01:59 the employees that have this manager as their report approver.
00:02:03 In the global view, data from across the entire organization is collected,
00:02:07 reports generated, and the larger trends are identified. Between standard and custom reports,

00:02:14 SAP Concur's library of reports numbers are in the hundreds. Let's briefly review the interface

00:02:21 and some of the standard reports as seen by Yvonne, the manager in our story.
00:02:27 From the home screen, Yvonne selects Analytics and then Analytics Home
00:02:34 to access the suite of reports available to her. At the top of the menu,
00:02:40 the reports are organized by deployed product. All,
00:02:46 Expense, Invoice,
00:02:53 and Travel. Yvonne selects Expense,
00:02:58 then Expense Accrual. This report shows expenses that her employees have accrued,
00:03:05 but haven't been paid yet. This lets Yvonne plan for upcoming impacts to her budget.
00:03:11 Next, Yvonne selects Analytics Home, then Attendee Details.
00:03:19 While the details are sparse in this example, the attendee details report provides spending
information
00:03:25 on attendees over multiple years. This is useful for analyzing trends
00:03:29 like the cost spent on dining or entertaining potential clients.
00:03:34 From the Analytics Home, Yvonne then selects Allocation Details.
00:03:42 This report highlights spending trends by expense type, such as airfare.

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00:03:47 She may consider changing how her team does business, if the report informed Yvonne
00:03:52 that 30% of her yearly budget was spent on travel-related costs.
00:04:00 Finally, Yvonne selects All from the Analytics Home. At the top of the reports list are the
overview reports
00:04:06 for each product. These provide a high-level, company-wide snapshot
00:04:11 of spending and trends within those products. Yvonne, along with the leadership of her
company,
00:04:16 choose to review the expense overview and invoice overview reports regularly
00:04:21 to monitor the health of their business. This concludes the unit on data insights and analytics.
00:04:40 We will conclude the course in the next unit.

9
Week 4 Unit 5

00:00:05 While SAP Concur's core products and numerous add-ons can be bought separately,
00:00:10 throughout this course we have highlighted the benefits of using our products together.
00:00:15 Our products synergize with one another to bring additional value and ease of use to our
customers.
00:00:21 That's the reason we call it a one-platform solution. Let's review the journey of the characters
in our story
00:00:28 in the context of spend management. Using Request, Della began the process
00:00:34 by seeking pre-spend approval on promotional items through a purchase request.
00:00:39 Yvonne, Della's manager, approved the request and dynamically added Gabriel,
00:00:44 who manages the marketing department, as another approver because the spend for the items

00:00:50 would come out of both of their budgets. While Gabriel approved the purchase,
00:00:54 Yvonne, using Budget, transferred funds between her budgets to compensate for the hit the
purchase would make
00:01:00 on her sales budget. With the funding in place and manager approvals received,
00:01:05 the request proceeds to Claudia, whose approval automatically generates a purchase order
00:01:10 and transmits it directly to the vendor. As the vendor is fulfilling the order,
00:01:15 Della and Mark book their flights and hotels for the upcoming trade show.
00:01:20 In keeping with the company policy, Della books her trip through Concur Travel,
00:01:24 which ensures that every aspect of her travel is policy compliant. And her data gets shared
with Expense,
00:01:30 to simplify report creation after her trip. She makes related arrangements,
00:01:35 car parking, in-flight Internet, and an Uber from the airport,
00:01:40 through the SAP Concur partner applications. Mark books his flight directly through the airline,

00:01:47 but because they are part of the Travel Partner Integrations,
00:01:50 Mark's travel data is routed to Concur Travel and Expense a short time later.
00:01:56 Weeks later, the vendor ships a portion of the purchase order.
00:02:01 Invoice spots this discrepancy when it runs three-way match to compare the packing slip,
purchase order,
00:02:08 and the vendor-submitted invoice for payment. Claudia authorizes payment only for the items
they received.
00:02:15 After the final portion of the order is received, the vendor is paid promptly the remaining
amount.
00:02:22 Travel day arrives. TripIt Pro alerts Della to a slight change in her departure time
00:02:27 and Go Now warns her that she needs to leave immediately because of traffic. At the airport,
00:02:33 Della buys a snack and uses ExpenseIt on her phone to capture and transmit a photo
00:02:38 of the receipt to Expense, eliminating the need for a paper receipt.
00:02:42 Every service Della booked through a partner application also sends receipts and transaction
data
00:02:47 to her Expense account. After she returns from the successful trade show,
00:02:51 Della has to create an expense report. Using Expense Assistant
00:02:56 and all the services mentioned previously, every related expense and receipt is automatically
imported
00:03:02 into her open report. Della has only to review the entries for accuracy
00:03:07 before submitting the report for approval. The report is automatically routed

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00:03:12 to the correct approvers in turn. Once approved,
00:03:16 Della is reimbursed quickly through Payment Manager and Expense Pay. The data from
Della's report and invoice,
00:03:24 along with the data from every other employee at the company, are gathered and sifted by
analytics,
00:03:29 and the reports are made available to managers and leadership,
00:03:32 to drive tactical and strategic business decisions. Our products in one-platform solution
00:03:40 deliver efficiency and ease of use, promote and enforce compliance,
00:03:44 and integrate tracing and accountability at every level of an organization,
00:03:48 to make spend visible and manage it intelligently. With that, we've arrived at the end of this
course.
00:03:56 We hope you found it informative and that we've clearly articulated the value
00:03:59 of combining our products to deliver value related to Intelligent Spend Management.
00:04:05 For further exploration of these topics, we invite you to contact our sales department
00:04:10 by visiting [Link]. Our expert team will guide you through how SAP Concur
00:04:15 can uniquely resolve any company's challenges. We hope that you enjoyed this course
00:04:21 and we look forward to your continued participation with openSAP. Thank you.

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