The Future of Corporate Finance: 6 Key Trends in 2024/25

Corporate finance is evolving rapidly, influenced by digital innovation, shifting employee expectations, and increasingly stringent compliance requirements.  

This shift towards smarter, more streamlined financial management was the focus of a fascinating discussion at The Expense Summit 2024.  

This summit was where David Parker, a FinTech expert and founder of Polymath Consulting, and Bas Janssen, Head of Strategic Initiatives at Mobilexpense, explored the trends shaping the future of expense management. 

With David’s extensive background advising leading fintech companies and his role in open banking in the UK, and Bas’s deep expertise in financial technology innovation, this conversation brings together two dynamic perspectives.  

The pair offered insights on everything from AI-driven spend management to real-time payment solutions, carbon accounting, and the ever-important convergence of finance and HR. 

Corporate finance at a glance in 2024

“Broadly speaking, the European market post-COVID has been relatively buoyant.” explains David.

Companies are doing their best to attract talent, and there’s a shift in how businesses approach employee expenses. Historically, expense claims were a hassle. Now, companies see streamlined expense processes as a recruitment and retention tool, considering the employee experience just as much as customer experience.  

Finance teams are encouraged to make processes seamless so that employees feel valued. 
 
In addition to improving employee satisfaction, we’re also seeing finance departments keen to leverage big data for more strategic planning. With visibility into spending data, finance teams can predict future expenses and budget accordingly, rather than treating expenses as a 'black hole.'  

This is particularly valuable as they use analytics to drive smarter financial decisions. 

Six trends defining corporate finance in 2024/25

1. AI-driven spend management

The potential of AI in expense management is game-changing. For years, AI’s role was largely limited to basic, rule-based functions, which left room for inefficiencies and manual oversight. But now, thanks to advancements in large language models, AI can flag non-compliant expenses automatically. 

As we discussed, this new generation of AI allows companies to identify potential compliance issues in real time.  

“Imagine an employee submits an expense that doesn’t align with policy—AI can catch that right away and prompt a check-in,” explains Bas Janssen. This shift isn’t just about accuracy; it empowers finance teams by lightening the load of manual checks and speeds up processes across the board. 

2. Real-time payment solutions

Virtual cards and real-time payments are giving finance teams a more versatile approach to managing employee expenses. With these tools, organisations can set unique credit limits based on an employee’s role, granting flexibility while protecting the company budget. 

“Traditionally, credit cards didn’t offer real-time tracking, making it difficult to control spending. Now, we’re seeing the power of giving employees financial autonomy,” Bas points out.  

This change means finance teams can empower employees with the ability to make purchases as needed while maintaining full visibility and control, thanks to real-time transaction data. 

3. Carbon counting and green finance

Sustainability is more than a trend—it’s a business imperative, driven by both corporate responsibility and regulatory requirements. With new legislation across Europe, companies are now tasked with tracking emissions tied to employee mobility and everyday purchases. This process can be challenging, especially when trying to measure things like the CO2 impact of every expense. 

“Carbon tracking can be complex, but we’re seeing tools emerge that give companies a way to approximate their emissions,” Bas explained.  

While these tools aren’t always 100% precise, they offer companies a way to work towards sustainability goals by getting a clearer view of their environmental impact and identifying areas for improvement. 

4. Real-time compliance and reporting

One of the biggest shifts in corporate finance is the move toward real-time compliance. Gone are the days when employees submitted their expenses weeks after the fact, often struggling to recall specifics. Today’s finance tools allow companies to check compliance almost instantaneously. 

“Real-time compliance removes the guesswork from expense management”.  

This setup not only reduces compliance risks but also gives employees immediate feedback, helping them stay aligned with company policies without the need for time-consuming reconciliations later. 

5. The office of the CFO

The role of the CFO has evolved significantly, with a push towards a single, centralised spend management platform. By consolidating expense management, invoice processing, and accounts payable into one dashboard, CFOs now have a holistic view of company finances. 

“It’s no longer about isolated processes; it’s about creating a cohesive strategy,” Bas shared during the interview.  

This shift allows CFOs to make more strategic, data-driven decisions and provides clarity across departments. Ultimately, it supports a more agile approach to financial planning. 

6. Finance and HR convergence

Finally, we’re seeing a closer collaboration between finance and HR departments, and it’s having a profound impact on employee experience. HR teams are advocating for processes that are just as convenient for employees as they are compliant for the company. Treating employees as “internal customers” is now essential for retention and engagement. 

“Expense management can actually be an employee benefit when it’s done right.” says David Parker. 

This approach is about more than streamlining; it’s about respecting employees’ time and simplifying their work lives. 

A smooth expense process is now a key factor in recruitment and retention, showing employees that their time and contributions are valued. 

Looking back: Declaree’s story

Mobilexpense was founded in 2000, initially focusing on compliant expense processes for large enterprises globally.  

“Declaree, on the other hand, launched in 2014 with a different approach, prioritising user experience by enabling employees to manage expenses easily.”  says Bas.  

After merging with Mobilexpense in 2019, we’ve combined our focus on user-centric innovation with robust international compliance. COVID-19 has further accelerated the shift in expense management, changing both travel dynamics and expense tracking. 

For example, many companies now think about travel in a more flexible way, encompassing mobility solutions beyond traditional hotel and airfare services.  

The duty of care has also become paramount. In the event of another pandemic, businesses want systems in place to keep employees safe and expense-compliant. 

Looking ahead: The future of expense management 

The session wrapped up with a thought-provoking vision for the future: an “Uber” for expense management.  

Imagine a world where expenses are automatically managed and logged without any need for manual entry or reporting. This seamless approach to expense management could transform the employee experience, giving back valuable time and enhancing job satisfaction. 

Join the conversation: Watch more from The Expense Summit 2024 

Interested in diving deeper into these key trends and gaining insights from leaders across the industry? Watch the full session of David Parker and Bas Janssen below.

All sessions from The Expense Summit 2024 are available here. Visit our website to watch and learn how your organisation can stay ahead in the ever-evolving world of corporate finance.