The fraud at the expense flies in european companies

Often time-consuming, the management expense is a problem that is poorly optimized, and even more the management of expenses related to business travel. Between paper, pencil, and an Excel table, many companies want to evolve their mode of operation.

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The notes of expenses, generating errors… and fraud
Created in 2012, Captio, leader on the Spanish market with more than 400 customers, is a platform that allows you to easily manage expense related to business travel in a single stream. CAPTIO integrates the process of management of the costs of doing business and thus improves the control and created new opportunities for cost savings for the company.

In order to make the point on this crucial issue for the proper management, and thus the sustainability of enterprises, Captio has achieved, for the 2nd year in a row, a survey of nearly 10,000 employees in travel status (a sample of 1 879 669 travel professional deferred to 130 companies, which corresponds to 9 994 employees in the move.)

In summary :
The amount of internal fraud in european companies is estimated to be 53 772,87€ on average per year and per company in 2016
The TPE and SMES are 2 times more affected than large companies.
Reimbursement of expenses the former is fraud the most prevalent for 33% of the companies
77% of companies equipped with tools to combat bad practices verify compliance with the policy of charges against 91,5% in 2015.
The cost of internal fraud has decreased to 3.27% between 2015 and 2016

Internal fraud on the travel expenses is a major concern for 77% of the companies.
To apply for reimbursement of old expenses is the most common case of fraudulent practices of employees. 33% of european companies have reported being the victim of this type of fraud, followed by the case of reimbursement of expenses doubled (26%), exceed the maximum amount allowed (13%) and expenses made over the weekend (10%).

Significant economic consequences to bear for the european companies : 53 772,87 € on average per year and per company which represents a cost of 699,47€ per employee, or 3,27% less than in 2015 (723,43 € per employee, according to the latest survey Captio realized in 2015).
“This reduction in the cost of internal fraud within companies can be explained by the awareness and willingness of companies to put in place management solutions for the effective control of travel expenses,” says Joaquim Segura, CRO and co-founder of Captio.

The consequences of internal fraud for businesses are multiple :
The reduction of the competitiveness,
A change in the strategic decisions of the company,
The deterioration of the work climate,
A damage to the E-reputation of the company

About the survey :
Captio has analyzed the expense reports submitted by employees in 130 companies in 2016 is approximately 1.9 million travelling expenses of the corresponding professional 9 994 employees. According to the survey, 12% of the costs analyzed are potentially fraudulent : 15% of the costs of VSES & SMES and 10% of the costs of large enterprises.

“We wanted to conduct this survey of our customers in order to assess the amount of internal fraud as well as losses for businesses. What are these so-called hidden costs, very often underestimated which can lead to the success or failure of a project, ” says Joaquim Segura, CRO and co-founder of Captio.

The different types of internal fraud detected in the businesses across Europe can be grouped into three categories :
the fraud amount, the fee amounts do not meet the policies of fee established,
the fraud proof, the costs are not justified correctly,
fraud date, there is a problem or an error in the timing of expenses.

Companies, aware of the cost of a management improper travel expenses wish to fight the fraud and adopt very often different measures to detect and reduce internal fraud.

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