The effect of policy on your travel program
Business travel in Iraq is a step behind because as many researches have proven a travel program without a travel policy that regulates it generate minimum or no saving at all.
In the Iraqi market the story is two-folded; one, most companies depend heavily on their HR department to manage travel arrangements and most HR officers don’t have adequate knowledge on how to best create a travel program that generate savings, two, majority of companies don’t even follow above method and blindly follow a travel agency’s lead and book tickets without any feedback.
There aren’t many local companies that are aware of the concept of Travel Management. As for foreign companies having branches inside of Iraq, their travel program is either managed by a TMC outside of Iraq or they use their HR department to book travel.
The crucial point that every corporation misses is the fact that there is a HUGE difference between travel agencies and travel management companies (TMCs). If we look at both concepts barely we will see that a travel management company provides you with a carefully constructed travel policy that will save annual travel costs.
A study by Carlson Wagonlit Travel have shown that a sound and up-to-date travel policy that takes care of travelers, provide negotiated benefits, and support companies objectives can save up to 20% on the total travel budget!
The bottom line: a good policy takes care of travelers and saves money for the company. It is a must to have a policy. A point to keep in mind is that policies that are not crafted by expert travel managers are like birds on a rainy day, they just can’t fly far away.