Millennials are the next generation to shape the future of procurement, travel management and business. Defined as people born between 1982 and 2000, millennials represent more than one quarter of the nation’s population, making them the largest generation in US history. By 2020, over half of the workforce will be made up of millennials, and their different mindset, habits and preferences can have an impact on your company’s bottom line.
Questions about what a group purchasing organization (GPO) is, or what it has to do with emerging travel categories?
Almost all of the companies that we work with use some kind of online booking tool (OBT) and expense software for travel. Some companies love what they have and, as I mentioned in an earlier post, others feel that their tools are underutilized for a variety of reasons.
Implementing a strategic meetings management program (SMMP) is a huge benefit for busy organizations. But this new strategy can be met with pushback from concerned internal meeting planners.
As a travel category manager, members often come to me with similar complaints about online booking tools (OBTs) “it can’t do this…” or “it can’t do that.” However, once we get into deeper conversations about the issues, I quickly realize that it’s not an issue with the actual OBT technology, but instead certain functionalities are turned off and alerts aren’t set up. Or, the company policy isn’t tied to the tool correctly, so travelers aren’t warned when they are making non-compliant travel arrangements.
A strategic approach to meetings management is on the rise, and you know what else is? The use of virtual and augmented reality in this space.
Although car rental is a mature category, industry changes affecting rates, fees and technology cause procurement and travel to review their contracts every few years. The category is ripe with opportunities for increased cost savings and employee satisfaction, but there can be resistance to change. Employees get comfortable using the same provider and travel managers fall victim to the belief that all suppliers offer the same benefits.
When evaluating car rental spend, it can be tempting only to compare the daily rental rates of a contract, but this rarely, if ever, provides a true picture of the total cost. While base rates are certainly the foundation of car rental spend, they are only one component of the total cost of a car rental program. Items such as city surcharges, energy recovery fees, fuel charges, insurance premiums, and GPS fees greatly impact car rental spend. These charges can be further amplified by organizational travel habits.