What is Total Expense Management (TEM)?
What is one of the biggest challenges facing mid-sized businesses in 2023? Cost management. With unstable financial markets forcing businesses to cut costs, optimizing workflows is crucial to staying ahead and creating the space to innovate.
In a recent interview, Darren Moquist, UnitedHealthcare CEO of Local Markets, tackles the question at the forefront of many employers’ minds, “How can I lower the cost of healthcare?” Now, while healthcare might not seem related to telecom and technology, there’s a valuable lesson we can learn from this interview, which is that Moquist believes in a combination of health plans and network design to both improve health outcomes and reduce cost. This keeps UnitedHealthcare competitive while helping both the insurance company and the organization for which they are providing services: strategic management.
Why does this matter to the average business? Because a concept called Total Expense Management works in the same way. The goal of this concept is to provide strategic guidance that reduces expenses, improves visibility, and increases compliance for businesses across industries. When businesses are faced with budget cuts and streamlining efficiency, Total Expense Management steps in to create a solution that makes the most out of what is available.
What is Total Expense Management?
Total Expense Management is a comprehensive approach to managing all of an organization’s expenses. Total Expense Management is more narrow than general expense management—a term that refers to any process or system for tracking and managing expenses.
Total Expense Management typically includes a wider range of features than traditional expense management systems, such as expense policy management, expense approval workflows, and expense data analysis. This makes it a more robust tool for organizations that want to improve their expense management and achieve their financial goals.
Total Expense Management allows organizations to:
- Identify and reduce unnecessary expenses
- Gain better visibility into their spending and help them make more informed decisions
- Comply with regulations, including those related to data privacy and security
- Streamline expense management processes, freeing up time for other tasks
Who Needs Total Expense Management?
Total Expense Management solutions are used by organizations of all sizes, from small businesses to large enterprises. Total Expense Management is particularly beneficial for organizations with complex expense management requirements, like those with a global workforce—not all that uncommon in 2023.
How Is Total Expense Management Different from Telecom Expense Management (TEM)?
Total Expense Management and Telecom Expense Management (TEM) are distinct concepts, with TEM focusing specifically on managing telecom-related expenses. In contrast, Total Expense Management encompasses a broader scope, extending beyond telecom expenses to include all types of expenditures within an organization. While TEM primarily deals with the optimization of telecom costs, such as voice and data services, Total Expense Management takes a holistic approach to expense management, incorporating areas like travel, utilities, office supplies, software licensing, and more. Total Expense Management provides a comprehensive solution for organizations to gain control over their entire expense landscape, enabling them to reduce costs, streamline processes, enforce policies, and maximize financial efficiency across all expense categories.
What Can Total Expense Management Do For My Business?
- Inventory Management: Maintain an accurate, up-to-date inventory of all telecom and total expenses to identify unused resources, prevent overpayment, and ensure accountability.
- Expense Management: Track, validate, and process telecom expenses, including identifying billing errors, disputing charges, and ensuring timely payments.
- Contract Management: Source, monitor, and manage telecom contracts to ensure alignment with organizational needs, compliance, and opportunities for cost reductions.
- Usage Monitoring and Optimization: Analyze and monitor telecom and utility usage patterns to identify cost-saving opportunities and improve overall efficiency. Help your business monitor compliance in areas such as ESG to identify areas of reduction in energy and environmental impact.
- Procurement and Provisioning: Oversee procurement and provisioning of telecom services, hardware, and software by selecting vendors, sourcing services, and ensuring best-in-market pricing.
How to Find the Right Total Expense Management Solution for Your Business
The first step to finding the right Total Expense Management solution for your business is to consider the following questions:
- Do I have clear visibility into all of my organization’s expenses, including telecom costs, across different categories?
- Are manual processes consuming significant time and resources?
- Are there instances of billing discrepancies or unoptimized contracts?
- Are there opportunities for cost reduction and optimization?
- Is it challenging to enforce expense policies, monitor compliance, and identify potential inefficiencies or errors?
If any of these questions lead to hesitation, then you may benefit from considering a Total Expense Management solution to help you make the most of your business.
Total Expense Management Made Simple with TEAM®: Seamlessly Manage Telecom Expenses and More
Introducing TEAM®: Your All-In-One Total Expense and Audit Management Powerhouse. With our professionally managed application, you can seamlessly manage your telecom and utility expense inventory, costs, contracts, and assets. Our user-friendly web-based portal provides unparalleled visibility into your entire telecom spend, from long-distance and local services to internet access, subscription IT services, audio conferencing, and cloud-based services.
Experience the convenience of accessing all your telecom expense information in one centralized location. Our MACD (moves, adds, changes, and disconnects) help desk ensures that your inventory stays accurate, avoiding any discrepancies. With TEAM®, you gain access to tailored, categorized spend reports, empowering you to dive deep into individual invoice details and make informed decisions.
But it doesn’t stop there. Our Total Expense Management solution goes beyond telecom spending. We also manage all expenses for many of our customers. This comprehensive approach provides you with invaluable insights and a comprehensive view of all costs across all locations, eliminating the need for multiple portals or systems.
Contact us today to learn more about how our TEAM® application can streamline your telecom and utility expense management, provide unparalleled visibility into your expenses, and empower your business to make informed financial decisions.
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