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Acte KDS Survey Results 2010

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Corporate Social Responsibility not abandoned in the recession, but top managers should set a better example in choosing green travel

Business Travel Show, London, February 9, 2010 – According to a new global study, organisations are sticking with their commitment to greener travel, despite the recession, but bosses are felt to be setting a poor example in their own travel choices.

For the fifth consecutive year, the Association of Corporate Travel Executives (ACTE) and KDS, the European leader in online Travel & Expense management systems, have undertaken an international survey of attitudes towards business travel and the environment. In December 2009 and January 2010, the opinions of 317 business travellers and procurement and travel executives were gauged via an online poll.

Unsurprisingly, cost-cutting is said to be the top business travel priority for organisations, but it is striking that Corporate Social Responsibility (CSR) programmes have not been ditched in the recession. The majority of respondents (57%) disagree that their company would care less about CSR because of the financial crisis. Supporting environmental sustainability is also still a mid-tier corporate concern, also according to a majority (46%) of those expressing a view.

However, most respondents (45%) say top managers set a bad example in the ‘greenness’ of their travel choices. The worst offenders are in France and United States: 44% of respondents in France say their managers set a poor example (good example: 36%); bosses in the US are also slammed by 44% of respondents (supported by 39%). The UK has the most virtuous bosses, whose travel choices are approved of by 51% of UK respondents (although criticised by 41%).

Other findings include:
• The majority of respondents (61%) saw employers cut the amount of business travel undertaken in 2009.
• Frustrating hopes for quick economic recovery, almost three-quarters expect to travel only the same amount this year, or even less (51%: travel unchanged; 21%: fewer trips). This is partly offset by the 27% who expect to travel more.
• Around 19% say travel reductions resulted from CSR goals as well as cost-cutting objectives.
• A growing number of travel departments are believed to report to senior management on business travel carbon emissions: in this survey, only 55% said this was not the case, versus 61% the previous year.

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Acte KDS Survey Results 2010

  1. 1. BUSINESS TRAVEL: RECOVERY WILL BE SLOW, BUT CSR COMMITMENT HOLDS FIRM 9 February 2010 ACTE – KDS Annual Study Chris Crowley ACTE President Elect – BCD Stanislas Berteloot – KDS Marketing Director
  2. 2. <ul><li>317 procurement and business travel executives </li></ul><ul><li>58% are procurement or travel executives (my replies refer to my company's policy) </li></ul><ul><li>22% UK, 35.6% France, 11.4% United States </li></ul><ul><li>27% take over 30 trips a year; 21% take 1-5 trips </li></ul><ul><li>33% work in organizations of over 10,000 employees </li></ul>DEMOGRAPHICS
  3. 3. KEY FINDINGS 1/2 <ul><li>Methodology: </li></ul><ul><li>Online survey of 317 procurement and business travel executives around the world </li></ul><ul><li>Conducted: Dec 2009 and Jan 2010 </li></ul><ul><li>A global sample with respondents based in locations as diverse as Africa, Asia, Scandinavia and South America. However, the largest are France (36%), UK (22%), United States (11%) and Germany (10%). </li></ul>
  4. 4. Fr UK U.S. Ger.
  5. 5. + 30 1 to 5 10 to 20
  6. 6. KEY FINDINGS 2/2 <ul><li>The majority (61%) saw business travel cut in 2009. </li></ul><ul><li>3/4 expect to travel only the same amount in 2010, or even less (51%: travel unchanged; 21%: fewer trips). </li></ul><ul><li>Cost-cutting is employers’ top business travel priority . </li></ul><ul><li>Supporting environmental sustainability is a corporate concern, for the majority (46%). </li></ul><ul><li>A growing number of travel departments report to senior management on business travel carbon emissions : only 55% said this was not the case, versus 61% the previous year. </li></ul><ul><li>Helping to unite the goals of CSR and travel cost-control, 35% of those with online travel booking tools say these now offer ways to monitor and reduce carbon emissions . </li></ul>
  7. 7. TRAVEL CUTS IN 2009 switched from air to rail 42%
  8. 8. TRAVEL CUTS IN 2009 26% 21% chose to travel less say bosses don’t set example in cost-cutting
  9. 9. TRAVEL CUTS IN 2009 54% France 72.5% UK say bosses set a good cost example
  10. 10. TRAVEL CUTS IN 2009 <ul><li>Cost control impacted modes of travel: 42% say they switched from short-haul flights to long-distance rail in order to save money. </li></ul><ul><li>40% traveled less in response to company policies. </li></ul><ul><li>64% said top management sets a good example in cost-control. </li></ul><ul><li>No travel reductions for 19% in 2009. </li></ul>Survey’s findings predict slow return to economic growth: only 27% expect their travel to increase, most say little or no improvement in 2010 .
  11. 11. BUT CSR REMAINS A PRIORITY may change travel choices because of ‘travel guilt’ 46%
  12. 12. Yes No Yes 46%
  13. 13. Guilt : the most commented question <ul><li>« It's not about &quot;guilt.&quot; It's about consciousness . » (UK, Large Org, Traveler) </li></ul><ul><li>« I work for an American company and I think they have a long way to go on this subject. » (UK, Large Org, Procurement) </li></ul><ul><li>«  CSR is the last thing a company worries about in times of financial crisis. » (France, Mid Org, Traveler) </li></ul><ul><li>« Some do, but unfortunately most don't and will only change if the policy mandates it . » (UK, Large Org, TM) </li></ul><ul><li>« I work for a US Company and unfortunately they do not generally have the same views as we do in the UK, and policy is driven from US, so this is difficult for us . » (UK, Large Org, Procurement) </li></ul>BUT CSR REMAINS A PRIORITY
  14. 14. BUT CSR REMAINS A PRIORITY 49% France 70% UK A Corporate Social Responsibility charter?
  15. 15. BUT CSR REMAINS A PRIORITY <ul><li>58% say their company has a CSR charter, and 57% say their organization would not lessen their commitment to CSR as a result of the financial crisis. </li></ul><ul><li>47.1% think feelings of guilt about the environmental impact of their trips might make business travelers change their travel choices. </li></ul><ul><li> Travel guilt increase: 41% in 2008, 42% in 2009 </li></ul>Despite focus on costs, organizations have stuck to their commitment to CSR in the recession
  16. 16. Fr: 61.3% Yes UK: 56% Yes
  17. 17. No Yes Don’t know
  18. 18. <ul><li>say their company prefers to do business with travel suppliers who are complying with a sustainable development charter </li></ul><ul><li>18% would like it to be the case </li></ul>41% UK BUT CSR REMAINS A PRIORITY
  19. 20. Yes No Own choice
  20. 21. Could be more active Doing the right thing