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Home›Travel›How Companies Can Reduce Costs on Business Travel

How Companies Can Reduce Costs on Business Travel

By Kely Mark
June 2, 2019
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With countries just beginning to conquer the economical downturn that affected the planet in ’09, firms that have survived will always be looking for methods to chop costs. Business travel is among the areas that occupy a lot of company spending. It is a fact that travel is essential for companies whether it’s inside the country or abroad. However it is possible to reduce around the costs of economic travel and therefore save your valuable company money.

1. Utilization of technology. With today’s technology available these days like web conference and video calling, it might not be essential to travel a large number of miles and spend 1000s of dollars to be able to attend a celebration or perhaps be within the same geographically location using the person or people you do business with.

2. Utilization of one charge card to purchase company travel. One major benefit of using this method is the fact that the organization will accumulate frequent flyer miles from various airlines as well as from hotels that will eventually result in various awards, like upgrades around the type of travel by an air travel, free air tickets, free hotel accommodation as well as airport terminal transfers which can be a saving for the organization.

3. Negotiate with airlines and hotels for special rates. It’s surprising the number of companies don’t do that but how much money held in business travel could be enormous if your company negotiated preferential rates with airlines and hotels a lot of whom are extremely prepared to provide this whether it means the organisation patronising their professional services.

4. Possess a company travel policy. Insufficient a business policy on travel can result in unnecessary travel abroad, including excessive paying for airline travel and hotel accommodation. A business must have strict policies on when travel could be carried out by whom and staff people should be advised of those policies. Also there must be responsibility for any company travel done including reason behind travel, type of travel, hotels remained in and length of time allocated to business travel.

5. In case your company utilizes a travel management company to deal with its travel and hotel bookings, it is crucial that they know of the company’s travel policy and it is need to minimise on travel costs. You need to use a travel management company that’s willing to help you out in minimising these costs. If at all possible compare the rates of countless travel management companies to find out if you’re obtaining the best rates available for sale. This comparison ought to be done regularly. Also every so often, you need to ask your travel management company to issue you with reports of all of the travel made by your organization that will help you monitor and understand how much you’re paying for travel.

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