How Your Small Business Can Travel Economically and Efficiently
Travelling is considered to be an essential part of many successful businesses. It is always better to conduct a face to face meeting rather than a conference call with a potential client. However, business travel is seen as a norm for large companies. Large companies usually have well-equipped policies and plans for traveling, and also have the required budget for it. On the other hand, small businesses will struggle with business travel due to budget limits and limited numbers of employees. Concur Technologies has conducted a research indicating that small businesses are likely to spend up to %20 more than other businesses when it comes to traveling. This can be avoided by having two main aspects. The first one is good organizations, and the second is a clear travel policy.
A good organization for small businesses is mainly done by a consolidation of information. Failing to do so will result in miscommunication and misunderstanding and eventually lead to greater travel cost. Most companies are moving toward the creation of a consolidated system, mostly for travel purposes. ACTE (Association of corporate travel executives) and GBTA (Global business travel associations) indicated that more than half of employees surveyed indicated that they are planning to impose “Total Cost of Travel’ system in their businesses. This will result in clearly stating which part of traveling is costing more and how it can be managed.
A good policy will include a strong mean of achieving compliance within your employees. The usual trend has been revolving around controlling supplier costs so far. However, this is shifting toward controlling traveler’s behaviors rather than supplier’s cost. The main purpose is not targeted toward “Significant Savings” and focus more on “Cost Avoidance”.
Characteristics of small business travelers are different from big corporations. It has been noticed that small business travelers actually travel more, and prefer face-to-face meetings. According to classifications based on age, younger travelers are known to be less budget conscious and more concerned with convenience other than cost. These are certain characteristic that can be dealt with by implying the above points in terms of organizations and policies.