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Cut costs by outsourcing business travel
Cut costs by outsourcing business travelKeywords: Business travel, Outsourcing
Travel is one of the top five expenditures for most companies, but money can be saved and service improved by outsourcing the management of travel to the experts, says business travel management company Ayscough Travel.
Business travel agents are able to bring cost savings, gained from their large scale buying power, to companies whose own travel budgets would not justify the favourable fares and rates. A business travel agent's expertise in booking routes and their knowledge of the best fares and means of transport will provide a high level of service and ensure that the most cost-effective option is offered.
Introducing a travel policy, managed by an agent, will establish the parameters for eligibility, e.g. which managers are entitled to travel in which class. This could save money as it reduces abuse by those not eligible and could be used to cut costs, for example, by ruling that no one travels first/business class. Also by pre-booking elements of a journey, e.g. hotels and car parking, further savings can be made.
One company to have made savings on their travel budget is medical diagnostics specialist Murex Biotech Ltd. Executives travel extensively to the worldwide headquarters in Chicago and the manufacturing plant in Johannesburg. Of 350 employees, 30 will travel frequently with a further travelling about once a year. Ayscough offered them savings of an estimated £54,000 per year compared to published airline fare rates.
Purchasing Manager Andy Simpson said: "Ayscough is able to use its intimate knowledge of airline fares structures to produce creative solutions to our travelling requirements. They negotiate route deals for our key destinations and are proactive in devising new ways for us to save money on our travel budget."
Simpson is responsible for all purchasing for Murex from paper-clips to raw materials. Increasingly he is using experts where they exist in each field. He says: "We started using Ayscough about four years ago but over time their role has increased from merely providing us with tickets to us working more in partnership. They understand our travel needs and are in an ideal position to advise us. They are also good at keeping us up to date on the latest changes and developments in the travel industry and how they affect us."
Carol Bayntun, Director of Sales, Marketing and Account Management, said: "Murex is a good example of the type of company that can benefit from outsourcing its travel arrangements. We can use our expertise to book the best fares and advise on the most sensible route for an often complicated trip. This leaves the company to get on with their core business without having to tie up valuable executive time making travel arrangements."
For more information on how Ayscough can help save your business money call on +44 (0) 20 7645 3900.
For more information contact Emma Smith or Catherine Raynor at Marketeer on 020 8742 3388 or e-mail email@example.com