Data analytics can automate the reimbursement process by processing requests in real time, analyzing historical data, and identifying employee patterns. This provides companies with the ability to predict reimbursement timelines, reduce errors, streamline approval workflows, and minimize delays. This not only ensures timely reimbursements but also improves cash flow management.

With the Global Business Travel Association reporting that on average, 19% of expense reports contain errors, companies put themselves at serious risk of fraudulent claims when managing reimbursements. Data analytics can detect anomalies and suspicious patterns in real-time, flagging potential fraud before it starts. Machine learning algorithms continuously learn from new data, enhancing their ability to identify sophisticated security risks and fraud, protecting companies financial and brand integrity. Additionally, it is crucial for companies and their advisors to stay compliant with evolving industry regulations to avoid further costly penalties and legal issues. Analytics can help companies ensure compliance by monitoring reimbursement processes 24/7 and flagging any deviations from established guidelines. The best way for companies to stay safe and minimize risk is to stay proactive.  

Equity for employees

While maximizing reimbursements is vital for a company's financial health, utilizing data analytics also plays a pivotal role for employees by providing insights into compensation, benefits, and performance management.

Analyzing compensation data allows companies to identify disparities in pay and address inequities by comparing salaries across different demographics, roles and experience levels. Organizations can ensure that employees are compensated fairly and equitably, fostering a positive work environment and increasing employee retention. Along with compensation, employee benefits, such as health care, retirement plans and wellness programs, are critical components to obtaining and retaining employees. Data analytics can be used to track benefit utilization patterns on a more regular basis and help companies understand which benefits are most valued by employees, leading to a more tailored benefits package. 

Companies can also utilize data analytics to provide comprehensive overviews of employee performance. Through aggregating data from various sources such as project results, peer reviews, goal achievement, etc, companies can ensure that promotions and raises are based on measurable goals, allowing for greater transparency and overall satisfaction. With 92% of employees saying they prefer to receive feedback more often than once a year, it is critical for companies to ensure there are systems in place to support their career development. 

And lastly, understanding employee engagement levels and identifying factors contributing to turnover is crucial for retaining top talent and cost savings. Data analytics can analyze feedback from surveys, exit interviews, and other sources to uncover trends and root causes of employee turnover that may be missed by human analysis. Armed with these insights, companies can implement targeted initiatives and goals to improve employee morale and reduce turnover rates.

Time to take the leap

Data analytics has the potential to revolutionize how companies maximize reimbursements and promote equity among employees. By leveraging new, advanced technologies to analyze data, organizations and their benefits advisors can enhance accuracy, efficiency, and fraud detection while simultaneously enabling fair compensation, optimized benefits, and objective performance management for employees. 

In an era where data is abundant and technology is rapidly advancing, businesses that embrace data analytics will be better positioned to thrive in the years ahead. And as companies continue to innovate and refine their use of data, the potential for maximizing reimbursements and promoting a quality workplace will only grow, creating a more productive, satisfied workforce and company. 

Jessica Chronchio is VP of People Operations at Motus.