Travel Management Priorities for 2013 - Carlson Wagonlit Travel

E thexpense management: companies will increasinglyfocus on this area to improve data consolidation anduser experience.Air & ground Hotel Traveler experienceTravel managers juggle a wide range of data from many different sources to serve both day-to-day tactics and long-term strategy.However, getting accurate, comprehensive and workable data often remains a challenge. As companies are focusing more onmanaging the total cost of travel (including hotel amenity fees, additional airline costs, car rental extra fees, meals and so on), theyare naturally turning their attention to expense management. The economic downturn has been another key driver for companies tomaster this area.Sizeable benefitsWith improvements in expense management, companies can consolidate all-important data and increase control over spend whileaccessing a number of other benefits:Increased compliance. A strong travel and expenses policy and enhanced reporting capabilities can improve visibility and reducesystem abuses or outright fraud. This helps companies to meet regulatory requirements for accountability while supporting strategicobjectives. As an example, online expense claim tools can show out-of-policy spend items and send a reminder to travelers whileflagging non-compliance to auditors. In CWT’s survey of travel management priorities, 12 percent of travel managers intend toimplement an expense management tool to improve traveler compliance.Reduced expense management costs. Directsavings are possible when improvements aremade in areas such as policy, reporting andnegotiations with expense management providers.In addition, indirect savings can be achieved byimplementing more efficient processes, bothin terms of the technological systems usedand the way expense management teams areorganized. For example, an automated expensemanagement system can reduce the costof processing expense claims by more than30-40 percent, according to industry experts.Figure 20Three main areas are involved in expense managementExpensemanagementPolicyProcessesAuthorized expenses and amountsEmployee’s roles, cost centers andhierarchy in the expense approval processFiling of expense claims and invoicesProcessing and reconciliation of expense claimsApproval and reimbursement of expense claimsVAT reclaim and reimbursementAuditing34Web-based software, hosted softwareEnhanced traveler experience. Filing expensemanagement reports can be a heavy administrativetask that lowers productivity and can be a sourceof stress for employees. Companies can thereforeenhance the traveler experience by improvingexpense management tools and processes,SystemSource: CWT Travel Management Instituteor manual spreadsheetsensuring that the system in place is user-friendly and efficient. As a general rule, the more automated and integrated the system,the greater the time savings for everyone involved. Among the features worth considering are electronic reports (including scannedreceipts), mobile apps for on-the-go expense claims, easy-to-use expense categories, currency conversion, pre-populated claimsforms (integrating data from online booking tools and corporate payment cards), automated compliance checks, integration withfinance systems and automatic reimbursement.More detailed information on expense management can be found in an in-depth report by the CWT Travel Management Institute,Business Traveler Services: Finding the Right Fit (2011).