Can You Explain Your Card Program Data?

If, without warning, management asks you to explain one or more pieces of your card program data, would you be prepared? No matter the topic, you do not want to be fumbling around for an answer. Memorizing key metrics is a good start, but understanding what is behind the numbers is more meaningful. Described below are four things your management may wonder or ask about, and what you should know to shine in the spotlight of their scrutiny.

Related Resources

• P-Card program metrics

• Building or refining a metrics plan

• How to present numbers/statistics with flair

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1. Process Savings from Card Usage

Sharing your organization’s process savings via your Intranet and/or in a report to management showcases the value of your P-Card program, so be ready to explain:

• how you calculated the process savings

• how P-Cards save time and money for your organization compared to your other internal purchase-to-pay processes

• why your organization’s savings are higher or lower than industry averages

2. Card Spend

Relaying progress toward goals and how the current year compares to past years helps keep management informed; see example graphs below. Ensure you can explain any dips and/or upward spikes and provide related detail, even if the reason is obvious (e.g., pandemic, the construction of a new office building, a company merger/acquisition, etc.).

3. Revenue Share

Announcing the revenue share (rebate) received from the issuer is always exciting, but do not stop with the dollar total. Include a note about where your organization stands, based on your current contract terms. Are you maximizing the revenue share opportunity? Why or why not?

4. Internal Fraud/Compliance

Apprising management of the compliance level with card policies and procedures is equally important.

• If you do not have issues, it is something to highlight, including the reasons for the success. Perhaps you maintain a current risk assessment that drives you to close any control gaps.

• If you have had internal fraud and/or compliance issues, be able to articulate the contributing factors and related remedies. Also, if there are more compliance problems today than in the past, determine why. Has compliance always been on the poor side, but new/better auditing is uncovering more now?

Internal fraud data, as well as process savings, are two things included within the P-Card Risk Analysis Template from Recharged Education.