AI-driven expense audits now catch fraud that supervisors and accounting previously missed.
1. Issue: Overlooking Fraud During the Approval Process
As a manufacturer and seller of industrial machinery, the company handles a high volume of expense reports due to frequent business travel.
The process for these reports is that an employee submits the report, their supervisor reviews and approves it, and then the accounting department handles the payment.
However, some expense reports contained fraudulent or non-compliant entries. Supervisors often failed to detect these issues, as the reports appeared to have no superficial problems, and approved them anyway.
As a result, the accounting department had to take on the additional task of checking for fraud, which significantly increased their workload.
2. Solution: Using AI to Detect Fraud and Policy Violations
To solve this problem, the process owner integrated an “AI Agent” step into the workflow.
The AI analyzes the submitted expense report against the company’s internal rules and regulations to identify potential fraud and policy violations.
AI reliably catches subtle fraud and policy violations missed by human eyes.
Before
View details of the workflow diagram
1.Expense Report
An employee submits an expense report.
x1.Generate Expense Report
Based on the report from step 1, a formatted report is automatically generated.
x2.Detect Report Deficiencies by AI
Irregularities are detected and highlighted by the AI based on the instructions and the expense report from x1.
2.Boss Approval
Boss Approval or Rejection
3.Payment
Accounting will either approve or reject the payment.
After
View details of the workflow diagram
1.Expense Report
An employee submits an expense report.
x1.Generate Expense Report
Based on the report from step 1, a formatted report is automatically generated.
x2.Detect Report Deficiencies by AI
Irregularities are detected and highlighted by the AI based on the instructions and the expense report from x1.
x3.Detect Issues in Report by AI
Based on the expense report from x1 and the provided instructions, the AI detects and highlights fraud and policy violations.
2.Boss Approval
Boss Approval or Rejection
3.Payment
Accounting will either approve or reject the payment.
3. Customers Case Study
Honda Motor Co., Ltd.
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Toho Gas Network Co., Ltd. (Negotiation and Design Section)
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MITSUBISHI PENCIL CO., LTD.
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View More4. Other Business Applications
We will enable AI-based reviews for the following tasks:
Ensuring Proper Purchase Requisitions
Monitoring Contract-Related Expenses
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