U.S. businesses are 5 times more likely to pay fines, 7 times more susceptible to fraud, and 9 times more likely to uncover non-compliance in audits than their European counterparts, according to The Compliance Wake-up Call from Basware.
In fact, more than 83% of U.S. finance leaders say fragmented approaches exposed their organizations to major risks, including frequent fines, fraudulent activity, and e-invoice rejections that are eroding margins and cash flow and stalling plans for growth.
“International commerce is shifting toward standardized, government-connected transaction ecosystems, and business growth depends on operational readiness,” says Markus Hornburg, SVP, global compliance, Basware. “If compliance lags, expansion becomes risky and expensive. Companies that can’t scale their processes will struggle to scale the business.”
Key takeaways:
- Only one-third (33%) of executives say their organizations are highly effective at scaling compliance processes as their business grows.
- Nearly half (47%) say they have struggled with market expansion or upkeep as a result.
- Just 13% of U.S. companies doing business globally have created a cross-functional team that owns compliance.
- 25% of companies still use spreadsheets, 45% rely on OCR/scanning and only 29% have fully embedded e-invoicing platforms.
- 35% say they are highly confident in their ability to implement e-invoicing solutions that meet country-specific mandates.
- 96% say that investing more in compliance technologies would save time and money in the long term.
- 25% say they’re highly effective at factoring compliance into digital transformation initiatives.
