Welcome to the latest instalment of the ‘The View’. Here, we ask Reed & Mackay experts to share their ideas and insights around a topical issue affecting the business travel and event sectors and highlight solutions. With global travel spend rising – spending is projected to surpass $2 trillion by 2028 according to the latest GBTA Business Travel Index Report – the importance of a having a robust global travel management programme is vital. Yet factoring in potential challenges ahead, such as fluctuating economic outlooks, the drive towards Net Zero and changing geopolitical landscapes, is it more essential than ever to work with a travel management company (TMC) with global reach?
We ask Reed & Mackay Managing Director North America Isabel Torres and Reed & Mackay Global Operations Director Tony Peckham about how and where global TMCs can support companies in weathering those challenges.
How does partnering with a global TMC enhance companies’ operational efficiencies when managing global travel programmes?
“In a word, consistency,” Peckham says. “Partnering with a TMC with global presence provides your travel programmes with a consistent level of service across the world.”
Torres agrees. “Our global reach and enhanced buying power with suppliers allows us to achieve cost savings and add value. Simultaneously, it upholds duty of care and ensures comprehensive support for travellers,” Torres says.
What operational challenges do companies commonly face with global travel and how does a global TMC address these?
“We typically see organisations struggle to understand the nuances of countries, with travellers having limited knowledge of their destination,” Torres says. “When working with a global TMC, they will have travel consultants trained to have a global view, as well as regional and local knowledge. That’s invaluable.
“Leakage is the biggest challenge organisations face with global travel. Travellers booking directly, rather than through, travel providers mean spending is difficult to track. This leads to security risks as corporates are held liable for their travellers’ safety. However, as travellers booked directly, they cannot be accounted for.”
Can you explain the operational benefits of integrating technology and automation into travel management?
“At Reed & Mackay we integrate technology and automation into travel management through tools such as hotel rate and continuity checkers,” Torres says. “These ensure cost efficiency and booking accuracy. Air travel benefits from rate-check programmes that monitor fares up until 12 hours before departure.
“Moreover, proactive services like our Incident Management Unit (IMU) assist travellers during disruptions and flight monitoring software alerts consultants of any delays. These innovations enhance service quality, reduce costs and improve overall operational efficiency.”
Building on Torres point, Peckham highlights that “integration allows for operational consistency and efficiency. This unified approach contributes to quicker response times from consultants, as they are familiar with their clients’ needs. This familiarity helps guarantee accurate responses, which comply with corporate travel policies. Additionally, using a single TMC provides a sense of familiarity and reliability for travel bookers.”
How does a global TMC standardise travel policies and procedures across different regions? And what operational benefits does this standardisation have?
“The standardisation of travel policies and procedures is typically done based on the clients demands,” Torres explains. “Operationally, this allows us to consistently monitor their travel programme and ensure they benefit from cost savings and added value.”
What are the key operational benefits of having access to a global support network through a TMC, especially in handling travel disruptions and emergencies?
“At Reed & Mackay we have a global network of staff on hand to support travellers,” Torres says. “By being on the same tech stack across our (wholly owned) locations we can quickly deploy a ‘rapid response’ protocol to globally support the team most impacted by an incident. This includes triaging urgent enquiries to ensure we contact travellers as speedily as possible.”
Peckham adds: “Our traveller tracking technology allows us to track all travellers in real time and respond quickly to emergencies. We operate on a single system, which enables us to handle large groups of travellers and capture data. This can then be reviewed once the disruption is over.
“Furthermore, we can bring in a dedicated day team to assist if disruptions occur out of hours or if more resources are required. We implemented this measure to support our clients during the recent CrowdStrike IT disruption.”
