Overview

Selective Travel Management (STM) were appointed to manage the international expenditure for a Higher Education customer. This client split their expenditure into domestic and international and appointed another Travel Management Company (TMC) to manage the domestic spend. Total travel expenditure was estimated to be £8m per annum.

Objectives

The client elected to consolidate their travel contract and formally appointed STM to manage the entire contract (both domestic and international). This included looking at procedures to simplify the booking process. 

Challenges

Using two TMCs caused multiple issues for the client including: 

• When a Traveller travelled domestically and then connected with an international flight, which TMC was used?
• The client had to hold review meetings with both TMCs, doubling the time to manage their travel contract.
• Two points of contacts for their travel bookers.
• Two usernames and login credentials were required to access two different self-booking platforms, which resulted in users having to attend two different training sessions.
• With differing emergency protocols, travellers were confused as to whom to contact for out of hours. 
• They had no consolidated spend, with each TMC providing reports in differing formats and containing different elements.
• Invoicing was processed differently between the two TMCs and no finance integration could take place.
• As much as the two TMCs were mandated, there was a large leakage of expenditure off contract.

Solution

Through a consultative approach with the client, we conducted a full integration with their finance system, resulting in the removal of the prior approval process. This resulted in a streamlined booking process and all bookings being instantaneously approved. Daily feeds of cost centres are provided by the client, which are automatically and instantaneously uploaded into our system, allowing their travellers to select a cost centre to complete a booking.

A full training programme, which incorporated both online and offline booking processes was undertaken by STM and all users of the system were effectively trained over a period of approximately 3 months.

By consolidating expenditure with one TMC, simplifying the processes to book travel, and implementing more stringent internal controls, the off contract spend has been greatly reduced with over 98% off all spend now booked through STM. The overall contract is now worth circa £15m per annum.