Five Interesting Facts about Corporate Travel Policy Metrics
Businesses use metrics to assess, track and monitor the performance. However, most of the companies do not analyze their travel data like they analyze data from other operating areas. This practice can result in poor corporate travel management. These are some of the facts that will provide you more visibility about travel policy metrics:
Metrics show the effectiveness of travel policy
Using metrics allow your company to gauge the effectiveness of travel policy. If the metrics show adverse results it could be the case that your policies are not clearly understood. This means the employees or your corporate travel management controls are ineffective. For example a policy requiring employees to book at least 14-days in advance can be beneficial for your sales team but not for the maintenance team. It would be dispatched with short notice.
Metrics reflect the breakdown of travel expenses
The metrics used on travel data also provide the company with better insights about different types of travel expense. It allows the company to make informed decisions, which can add to savings in corporate travel expenses. Hotel-only bookings can sorted by cities, and negotiated rates secure with preferred hotels, leading to at least 10% savings.
Metrics help in enforcing travel policy
As the metrics provide quantifiable results, it gives the company the opportunity to address any breach of policy and hold the employees accountable. This transparency in reporting the employee’s progress regarding business travel and better travel policy reinforcement. A company that has preferred hotels could flag any bookings made on non-preferred hotels in a given city, and require an explanation.
Metrics do not show the full picture
The metrics only show the quantifiable results and not the qualitative picture of the business travel. It may show you the average cost of travel, but it will not tell the quality of flight, satisfaction of the employee, etc. Using feedback forms can help overcome this issue. A report on ‘reason for booking change’ will shed light on some business practices worth revising.
The results of travel policy metrics can be misleading
The results provided by the metrics are not always correct. We say “garbage in, garbage out.” Using outdated or incorrect metrics can lead to misleading results that can lead to wrong decisions, which may cause dissatisfaction among employees. The companies focus on easing the data collection via the online booking or and Travel Management Company.
You can also use online booking tool to enforce travel policy. Learn more.