Effective Travel Management
In a complex, fast-changing environment, Carlson Wagonlit Travel works closely with clients to help them identify their priorities and optimize their travel programs. This means greater value in terms of safety, service and security for companies and their travelers. Sustainability is also a key factor in the equation. Today, by mitigating business travel’s impact on the environment, companies can help shape the future.
The eight key levers to effective travel management are at the heart of every well-managed travel program. They provide a robust framework from which to work and succeed. To that end, the CWT Travel Management Institute conducts in-depth research into the underlying principles of effective travel management and identifies best practices companies can implement with the help of CWT.
Provide the right services and assistance to travelers and optimize transaction
processing. Online booking tools for simple transactions, coupled with expert travel
counselors at the point of sale for complex itineraries and special services, drive savings and
increase traveler satisfaction and productivity.
Tackle hotel spend. Representing 30-40 percent of a total travel budget, hotel
spend is often less carefully managed than air spend. Establishing and closely monitoring a
preferred hotel program that travelers adhere to provides greater leverage for negotiations.
Security is also enhanced when travelers comply with a well-designed program that meets their
Continue to drive air and ground transportation savings. Optimized sourcing and
changes in traveler behavior can lead to greater savings. Negotiating with a limited number of
preferred airlines and requiring travelers to book restricted fares at least two weeks in advance
are two important means. Integrating rail into a travel program can also bring tangible results in
terms of savings, traveler comfort and convenience, and reduced carbon dioxide emissions. A well
thought-out ground transportation program takes car rental, limousine, chauffeur-driven “black car”
and taxi services into account too.
Increase policy compliance and optimize demand management. Together, a
well-designed travel policy and strict compliance can generate savings of on average 20 percent of
total travel spend.1 Mandates must be clear and compliance strictly enforced in five main areas:
advance air booking, restricted airfares, preferred suppliers, traveler comfort (authorized air
class/hotel category), and preferred booking channels. Demand management offers another way to
control costs by aligning travel with business needs. To that end, some trips may be replaced with
alternatives such as teleconferencing to reach the same objectives. Adjusting the travel policy,
increasing compliance and monitoring performance indicators also help optimize the quantity,
frequency and specifications of travel for better demand management.
Further consolidate travel programs. By bringing the components of a travel
program together on a local, regional or global level, companies can save up to 20 percent of total
travel spend and enhance service and security. A standardized travel policy, consistent booking and
fulfillment processes, and consolidated sourcing that includes just one travel management company
are keys to success.
Address security and corporate social responsibility. A company’s duty of care
applies to employees as well as the environment in which they operate. For starters, this means
successfully managing the risks associated with business travel, practicing responsible procurement
and reducing their carbon footprint.
Integrate meetings and events into the travel program. Meetings and events can
represent 25-40 percent of a total travel and entertainment budget. By integrating them into their
travel programs and applying the principles of effective travel management, companies can better
control and optimize their spend.
- Develop actionable dashboards and performance measures. Without relevant performance indicators and consolidated data delivered in a timely, accurate, easy-to-use fashion, it is impossible to evaluate a travel program and implement corrective measures where needed.
Do you want more information? Please download the report Effective Travel Management