Egor Karpovich, CEO of Travel Code. We are a corporate travel management platform that helps businesses save on every trip.
Today’s corporate travel world doesn’t look anything like it did just a short time ago. In the recent past, corporate travel management was all about control. Policies were rigid, and employees who were sent out on the road had no option other than to comply with the rules and itineraries they were provided.
That doesn’t really fly any longer. In my work in corporate travel management, I’ve noticed that travelers increasingly expect to have flexibility at every step of their journey. What’s more, they expect that travel plans will keep their needs in mind, to make the whole experience an enjoyable one.
So how can businesses create a corporate travel management plan that satisfies employees’ needs while saving on costs? That’s the question we’ll tackle here.
Defining Corporate Travel Management
Let’s start by zooming out to the big picture. Corporate travel management refers to the systems, processes and people that plan, book and oversee an organization’s business travel. Yes, it’s about getting people from one place to another, but it’s also about getting great value for every dollar that is invested in the travel process.
When done properly, corporate travel can give employees a great experience while still meeting company goals. In my experience, that means keeping costs under control, hitting the objectives of the trip (meeting clients, closing deals, etc.) and minimizing risks in terms of safety.
How A Strong Travel Program Can Save Organizations Money
Saving money is not the only reason to build a strong travel program, but it is one of the key motivations. In my experience working in corporate travel, there are plenty of ways in which getting everything in order regarding travel can have a positive financial impact on an organization:
• Policy Compliance: A structured travel program can promote compliance with travel procedures, such as avoiding booking last-minute flights or reserving expensive luxury hotels that are outside the program.
• Reduced Admin Costs: The upfront work required to build a great travel program can pay off down the line with reduced overhead. I’ve found that when you use automated tools to reduce necessary manual intervention, labor costs associated with travel admin go down.
• Expense Insights: When travel expenses are properly tracked, you can spot patterns that open up opportunities to find savings and make adjustments to your procedures.
Setting Up Your Corporate Travel Program
There are several areas to keep in mind when setting up your program:
• Designating A Corporate Travel Manager
The corporate travel manager is responsible for bringing all of the moving parts of your program together into a cohesive package. Sometimes, this is a dedicated role within an organization. In smaller companies, the job of corporate travel manager may be one of many hats worn by someone in human resources. Whatever the case, it’s important to designate someone who will sit at the top of this process and oversee all activity.
There are many responsibilities that fall to the modern corporate travel manager, including keeping an eye on the budget, managing vendor relationships, ensuring compliance with company policies, and handling any emergencies that may arise during a trip. In short, choose a corporate travel manager who can serve as the link between the employees who are out on the road and the business leaders who want to maintain oversight and ensure efficiency.
• Choosing A Booking Method
It might seem like there are countless ways to book business travel today. But while this is a diverse market, virtually every option you will encounter is likely to fall into one of three categories:
1. Consumer Booking Sites: These are online, public-facing platforms that allow travelers to book flights, hotels and more on their own. Consumer booking sites are usually quick and convenient options, but be advised that many aren’t designed for corporate booking and may lack certain features.
2. Traditional Travel Agencies: Some companies use travel agencies to book their trips. This method is often favored for offering more of a human touch; however, it can also be more expensive and less flexible than other options.
3. Corporate Travel Platforms: These are software platforms designed specifically for the purpose of gathering all of the elements required for corporate travel management into one place. However, businesses may encounter challenges such as subscription costs, the need for employee training, or limitations if the platform doesn’t fully integrate with their existing systems. There are multiple options available, but I recommend looking for one that has solid client reviews and offers services for managing your organization’s booking, policy integration, budget management and reporting.
• Using The Four Pillars
It’s easy to get lost in the woods when trying to build a corporate travel system that meets all of your needs and serves every stakeholder in the process. Don’t let confusion get in the way of improving business travel in your organization; instead, use these four pillars as guideposts to keep you on track toward appropriate policies and procedures.
1. Travelers don’t want to feel micromanaged. In my experience, employees want to believe that you trust them to plan and book a trip that aligns with company policy. Build trust into the system, and you will likely find that most—if not all—of your people prove to be worthy of that trust.
2. Don’t have secrets in your travel program. Everyone involved at various levels of the organization should have the visibility they need to understand what’s going on and how the money is being spent.
3. Complex travel protocols often fail. Your people already have enough to do; they don’t need to be bogged down while trying to comply with complicated, unnecessary restrictions. Always aim for simplicity when building a travel policy, such as building automated approvals into the process, to make it more likely that things will go off without a hitch.
4. Remember duty of care. Every company is responsible for taking steps to keep employees safe while they travel. Part of this duty of care includes offering support in emergency situations and monitoring risks in certain travel destinations.
Change can be intimidating, but I believe the shifts taking place in corporate travel are for the better. The whole process is getting smarter, and many travelers are having better experiences while still meeting the objectives set by their employers. By using an updated, modern approach to corporate travel management, your organization can save money, encourage and support your traveling employees, and more.
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