Introduction to Strategies for improving and or putting in place a Corporate travel Program. Travel is a major spend item for most large organization and improvements in cost and service can be made.
2. What you can do
Reduce overall spend for same level of
service by 10% or more
Improve level of service for the traveler
Reduce Administrative burden
Improve level of safety for travelers
3. Simply Put this is how…
Consolidation of Spending
Creating arrangements with airlines, hotels,
and car rental companies that work for the
travelers
Creating simple booking tools
Continual review of spend and metrics
Team to review policy and practice
Include Security
Put the traveler first
4. Setting up program
There is no global solution
Establish high level global goals and
apply regionally
North America
Europe
ASEAN
China
Japan
Korea
5. What NOT to Do?
Assign someone to be in charge that is not an
experienced traveler
Assign Finance the primary responsibility
Maximize savings at inconvenience of traveler
Sacrifice safety for savings
Create multi-levels of policies
Make changes in policy based on business
conditions
Create over complex approval process
Pick a “Global Provider” that does not have direct
offices in all areas that are major operating sites
Rely too much on technology and self service
Try to apply a single solution to all sites
6. What to do
Set up advisory group of experience
travelers
Audit and maintain relationships with
key providers as you would any key
supplier
Establish clear metrics with travel
agency and reporting schedules
For major sites an onsite person still is
important for an optimum program
7. What to do
Treat the selection and review of travel
providers as any other key Purchase
Have appropriate level Purchasing person
lead that portion
Be formal and rigorous in the process
Set clear metrics and report regularily
8. Details
Set up direct lines with key providers for
immediate problem resolution putting
the traveler first
Get the travel agency to consolidate the
billing with as many of the providers as
possible. Take as much of the billing
admin out of the hands of the traveler
Flexibility is a key to sustaining program
9. Final Notes
Common practices in travel sometimes
different that in other corporate
Purchasing
Free trips
Visits to potential sites
Seminars in headquarters city of airlines
Use judgment and always get opinion of
another person and document what is being
done