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Case Study: Travel Compliance and Cost Savings

A leading American retail company faced the challenge of rogue travelers and unexpected travel costs. With air volume of $4.5M, the company needed to reexamine their travel program to reduce travel spend and improve traveler compliance. CTM worked with this client to implement a travel program that included a customized travel policy and on-site dedicated agent services to improve traveler behavior and drive measurable savings.

The Challenge

Understanding the challenges the client faced in their existing travel program allowed CTM to identify key elements to address in a new travel program. With little or no travel policy in place, they suffered from a low level of traveler understanding of program objectives and company guidelines. This also left the company unable to drive cost savings through preferred airlines, hotels and car providers.

The Solution

CTM helped the client implement and communicate a complete policy as part of a managed program.

To create a tailored travel policy, we analyzed travel suppliers that matched their goals and suited their market needs. This helped us appoint a preferred airline, car rental company and hotel supplier to support immediate and future cost savings. We also set cost thresholds and standard options essential for air, car and hotel reservations.

After developing our approach, it was critical to communicate the benefits of a managed travel program and policy expectations to drive traveler behavior.

This client preferred an on-site travel agent and chose not to implement an online booking tool, rather focusing entirely on driving behavior modifications through personal service and direct communication. This allowed the on-site dedicated agent to act as an extension of their company, explaining the new travel guidelines and personally advising travelers on the best options within policy for each trip.

This also supports the collection of consistent information for situations that require a deviation from policy. For example, travelers may need a larger car when traveling in a group or need a higher cost threshold when visiting a city with higher than average rates. With our expertise, we were able to plan a process when it comes to exceptions to policy, collecting consistent out-of-policy coding relevant to their business needs to drive future policy enhancements.

Results

Monthly reporting now shows increased compliance and cost savings through modified traveler behavior and preferred supplier strategies. All out of policy exceptions are coded for reporting, analysis, and policy development. The on-site dedicated agent is continually educating travelers as they book, deepening the understanding of a managed program while promoting compliance and traveler satisfaction.

Let us help you

Every client has unique challenges. At CTM, we look at the challenges you face as opportunities to find innovative solutions by leveraging our expertise and our strong industry relationships. Complete the form below to learn more about how we can help your organization.

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