| For your company to truly reap the rewards of a | | | | software solution in the pre-trip phase: |
| structured corporate travel policy, it must focus on one | | | | For instance: |
| thing above all else: compliance. Unfortunately, while the | | | | - The traveler can use the work flow component of a |
| explosion in convenient Self Booking Tools gives you a | | | | corporate expense management software solution to |
| lot more freedom of choice, it also makes compliance | | | | create travel request and approval records rather than |
| a great deal more challenging. Any technology that | | | | using something less structured like emails. |
| supports an increase in compliance to policy has merit; | | | | - Using the corporate expense management software |
| it will save your company money and bring back the | | | | solution, the traveler can create a "commitment" |
| benefits of corporate travel. | | | | record at the time of booking for subsequent matching |
| Today's diversity of choice in self booking tools makes | | | | of the credit card transaction when it comes through. |
| compliance through denial of access a very difficult | | | | - You can obtain a download of trip data from your |
| protocol to enforce. What you really need is a funnel | | | | TMC, and travelers can seek to match that against trip |
| through which 100% of your company's travel activity | | | | card transactions, thus reducing the quantity of manual |
| must pass. In the corporate world, the only viable | | | | entries required of the travel coordinator. |
| funnel is the payment mechanism - getting paid is the | | | | - The corporate expense management software |
| ultimate leveler. If you use a corporate credit card as | | | | solution provides travelers with a real-time log of |
| the payment mechanism, supported by a corporate | | | | commitments beyond what might be recorded in a |
| expense management software solution, and suppliers | | | | personal diary. |
| who can report back to you a reasonable level of | | | | How does it apply to your company? |
| data, you stand a very good chance of supporting the | | | | In looking at the business case for this exercise, you |
| compliance objective. | | | | do need to closely examine a number of factors to |
| A compliance-friendly corporate expense | | | | determine the benefits you will actually realize: |
| management software solution | | | | - There are no industry-wide standards, and the |
| A corporate expense management software solution | | | | market tends to work as a series of isolated closed |
| which processes card transactions (and possesses | | | | provider loops - your efficiencies will be greatest if can |
| decent workflow) requires the traveler to personally | | | | conduct your business entirely within one closed loop. It |
| justify all deviations from policy to their supervisor - on | | | | is up to you to determine if you can obtain maximum |
| a transaction by transaction basis. Just as importantly, | | | | purchasing power in this environment. |
| the warehoused individual transactions give the | | | | - The importance you place on understanding the |
| corporate travel manager the opportunity to conduct | | | | cumulative value of travel booked but not yet paid. |
| spend analysis and examine individual and aggregate | | | | - The extent to which you can source the data you |
| behaviors. | | | | require from your travelers via a TMC data feed and, |
| You might argue that this is after the act, but it still | | | | consequently, the keystroke savings you can achieve |
| encourages compliance. As per all card based | | | | for those travelers. |
| procurement systems, if an employee consistently | | | | - The productivity gains you will obtain for your |
| deviates from company policy, they may be penalized | | | | travelers by virtue of them setting up trip details in your |
| (e.g. card withdrawal, official warning, employment | | | | corporate expense management software solution at |
| termination, etc.). The threat of negative repercussions | | | | time of booking rather than at time of arrival of the |
| acts as a deterrent to card misuse, thereby increasing | | | | card transaction. |
| the level of compliance. | | | | The combination of Electronic Travel Management and |
| The benefits of policy compliance | | | | Expense Management is an important subset of |
| 80% of the business case benefits of corporate travel | | | | eProcurement, and it is subject to the same challenges |
| will come from travel policy compliance. This requires: | | | | facing all eProcurement initiatives over the past 10 |
| - Sound policy and procedures; | | | | years - industry standards, supplier participation, and a |
| - A comprehensive communication strategy; | | | | seamless marketplace. Until these elements are all in |
| - A gate through which all activity can be channeled | | | | place, greatest advantage will be gained by companies |
| (the card and the corporate expense management | | | | that focus on the big picture of where they can |
| software solution); and | | | | achieve maximum purchasing value with reasonable |
| - Tools to monitor and measure compliance. | | | | purchasing productivity - usually based on being able to |
| There will also be some peripheral benefits to be | | | | perform an analysis of spend patterns and behavior. |
| gained from a corporate expense management | | | | |