Date post: | 20-Dec-2015 |
Category: |
Documents |
View: | 214 times |
Download: | 0 times |
Stages of Travel Stages of Travel Management Management ExcellenceExcellence
TRAVELANALYTICSINC
Industry Scores and Future Industry Scores and Future GoalsGoals
Presented byPresented byScott Gillespie, Scott Gillespie, CEOCEO
Scott Gillespie’s Background• Founder of Travel Analytics
– Developed TANGO™ and BRAVO™ for negotiating and managing airline supplier contracts
– Analyzed in excess of $10 Billion of annual air spend– Recipient of ACTE’s Industry Professionalism and Distinguished
Fellow honors– Named by Business Travel News as one of the travel industry’s most
influential executives
• Previously A.T. Kearney’s expert in strategic sourcing of travel suppliers
• MBA, University of Chicago– Concentration in Statistics
Some Past and Current Clients/Teachers
– AXA
– Baxter
– Capital One
– Coca-Cola
– Chevron
– Compaq
– DaimlerChrysler
– Dell Computer
– John Deere
– Ernst & Young
– ExxonMobil
– Ford
– Hewlett-Packard
– Hoffmann La Roche
– Invensys
– International Monetary Fund
– Lockheed Martin
– Microsoft
– Lucent Technologies
– Procter & Gamble
– Nortel Networks
– PricewaterhouseCoopers
– Saint-Gobain
– US Bank
Today’s Agenda• Framework, Methods, Limitations and Benefits• Who Participated and What Are Their Scores?• A Closer Look• The Road To Glory• What’s Working, What’s Not?• Where Are We Headed?• Is Bigger Better?• What’s Needed?• Individual Reports• Appendix
Some Appetizers:• Only 6% of firms rate their programs currently as
Stage 4 (the best) • 98% of firms want to be either Stage 3 or Stage 4• The highest-scoring dimension? Senior Management• The lowest-scoring dimension? Groups & Meetings• The two most important dimensions are Senior
Management and Travel Policy – True or False?
Stay Tuned!
What is the Stages of Travel Management Excellence Framework?
No real travelprogram; mostly
fighting fires
Basic travelprogram;
limited support
Advanced travelprogram;
good support
World classprogram;
Great support,Excellent
results
Stage 1
Stage 2
Stage 3
Stage 4
A set of dimensions and criteria with prescriptive power
Method for Conducting the Study• ACTE and Travel Analytics solicited a wide variety of
participants– Drawn from the ACTE Global membership base– Drawn from Non-ACTE travel and procurement managers
• All surveys were self-scored – no 3rd party validation• Data coded and analyzed by Travel Analytics• 63 Elements assigned to 14 Dimensions, in turn assigned to 4
Quadrants– Each Quadrant given equal weight– Each Dimension given equal weight within its Quadrant– Each Element given equal weight within its Dimension
• Each respondent given equal weight; i.e, not weighted by air spend
14 Major Dimensions
• Controls• Data• Demand Management• Feedback
• Goals• Groups and Meetings• Procurement
• Senior Management
• Suppliers• Transient Management• Travelers• Travel Organization• Travel Policy• Travel Strategy
Each Dimension Broken Down Into 63 ElementsDimension Elements
Controls Exceptions to travel policySupplier preferencing at the point of saleAbility to move business away from key suppliersAbility to pass travel costs to business units, divisions, etc.
DataAbility to consolidate enterprise-wide travel spendingAirline dataHotel dataAgency dataOther information needed for managing travel
Demand Mgmt.
Ability to eliminate unnecessary trips before they are takenGuidelines for evaluating the need for a tripSystem for evaluating a trip's valuePromotion of non-travel alternatives
Feedback Traveler SatisfactionTravel Policy ComplianceSenior Management SatisfactionSelf-Booking AdoptionContract ComplianceFinancial Performance
Dimension ElementsGoals Travel Policy Compliance
Senior Management SatisfactionAgency performanceSelf-Booking AdoptionContract ComplianceSupplier PerformanceTravel Department's Financial Performance
Groups and Meetings Ability to measure G/M spend
Communication between internal GM plannersCentralized visibility of G/M eventsProcesses for planning, sourcing and managing G/M events
Procurement Tender or RFP processAnalysis of pricingAnalysis of qualityAnalysis of risk (implementation, contract cancellation, traveler dissatisfaction)Travel's integration with ProcurementBasis for awarding contractsLegal Department's input
Dimensions and Elements, Cont’d.Dimension Elements
Senior Mgmt. Understanding of Travel ManagementOwnership of Travel ManagementLevel of Support and EnforcementUtilization of a Travel Council
Suppliers Delivery of the expected level of serviceResolution of traveler complaints and other operational issuesCurrent pricing
Transient Mgmt. Agency consolidation
Ability to control the point of saleAgency service qualityAgency productivityAgency as a trusted advisor/consultant
Travel Organization
Ability to execute major new travel policies and initiativesStaffingRecruitingCareer Advancement
Dimension ElementsTravel Policy Quality of travel to be purchased
Processes to be used for purchasing travelTypical consequences of not complying with a key travel policy
Travel Strategy Travel viewed as a factor for business success
Travel viewed as a factor in employee productivity and retentionSuccess at budgeting travel costsSuccess in tracking and reporting travel cost savings
TravelersAwareness of travel policies and preferred suppliersCompliance with key travel policiesInput on travel policies and suppliersOpinion of travel department
(Deleted)
Definitions were not provided
Two Levels of Analysis
Dimensions:
Feedback
Traveler Satisfaction
Travel Policy Compliance
Elements:
1 2 3 4
1 2 3 4
Criteria
Better
Little or none sought
1 2 3 4
1 2 3 4
Stage 1 Stage 4
Obtained irregularly
Obtained regularly
Clearly drives future actions
Average Feedback Score: 2.0
Current Score&
Goal Score
The Study Focused on 3 Measures
1. Current Score(What’s Working,
What’s Not)
2. Goal Score(Where Are We
Headed)
Scores are reported from the group’s Mean Average score
Overall Industry Scores
1.5
2.0
2.5
3.0
3.5
4.0
Current Score Goal Score
SO
E S
core
3. Gap to Goal
Most
Important
2nd Most
ImportantLeast Im
portant
Some Limitations and Benefits Of This StudyLimitations:• First application of Stages Of Excellence• Scores were not validated• Not a random sampling of the industry
Benefits:• Broad and neutral scoring mechanism• Provides a common lens for assessing travel programs• Facilitates frank discussions and goal-setting
Partial Participant ListABBAgilent TechnologiesAllied DomecqAMSAppleraAvayaBaxterBertelsmanBPCanadian PacificChironCoca-Cola EnterprisesConAgraDeloitte & Touche
84 participants with $4.5 Billion in annual air spend
Eli LillyEricssonErnst & YoungFedExFranklin TempletonIngersoll-RandInter IKEAKPMGLucentMicrosoftNikeNovo NordiskON SemiconductorOracle
Parker HannifinPharmaciaPraxairProcter & GambleSchlumbergerSeagate TechnologySICPA GroupSolvaySwiftUCLAUnited TechnologiesUS BankWashington MutualXerox
Key Demographics of Participants
Job Title Distribution
12%
15%
8%
64%
Travel Operations and Management, including Procurement
Travel Procurement
Procurement of Travel and other categories
Other
Spend Distribution
Large26%
Small35%
Medium39%
Small is < $15MM
Medium is $15MM to less than $50MM
Large is $50MM or more
2002 Annual Air Spend
Sample Size = 84 Participants
Region Distribution
Europe/N America
12%
Europe6%
North America
82%
Region from which the majority of travel
originates
How Did We Score?• Very close to the 2.5 mid-point for Overall Current Score• Most firms aspire to one full higher stage of excellence
Overall Industry by Stages
43%
50%
46%
52%
0%
20%
40%
60%
80%
100%
Current Stage Goal Stage
Stage 1 (0.5 - 1.4) Stage 2 (1.5 - 2.4)
Stage 3 (2.5 - 3.4) Stage 4 (3.5 - 4.5)
Overall Industry Scores
2.6
3.6
1.5
2.0
2.5
3.0
3.5
4.0
Current Score Goal Score
SO
E S
core
Are We Different by Spend?• At first glance, no obvious difference based on program size• More Large programs did better; Medium programs have
higher goals
Overall Industry Scores by Spend
2.72.5
2.7
3.53.6
3.5
1.5
2.0
2.5
3.0
3.5
4.0
Small Medium Large
SO
E S
core
Current Score Goal Score
Stages by Spend
38%52%
36%
55%39%
59%
59%
36%48%
48% 41%
64%
0%
20%
40%
60%
80%
100%
Sm
all
Me
diu
m
La
rge
Sm
all
Me
diu
m
La
rge
Current Goal
Are We Different by Region?• “Split” programs appear strongest, but…
Non-North American sample sizes are too small to be meaningful
Overall Industry Scores by Region
2.62.4
2.8
3.6 3.53.7
1.5
2.0
2.5
3.0
3.5
4.0
No
rth
Am
eri
ca
Eu
rop
e
Eu
rop
e/N
ort
hA
me
rica
SO
E S
core
Current Score Goal Score
Stages by Region
44%60%
30%
49%
40%
60%
47%60%
30%
10%
51%40%
70%
0%
20%
40%
60%
80%
100%
NA
mer
ica
Eur
ope
Eur
ope/
NA
mer
ica
NA
mer
ica
Eur
ope
Eur
ope/
NA
mer
ica
Current Goal
The Study Drew a Broad Sample• Fairly well-balanced distribution• Indicates the scales, criteria and sample are reasonable
Distribution of Average Scores
0
2
4
6
8
10
12
14
1.3
to 1
.5
1.5
to 1
.7
1.7
to 1
.9
1.9
to 2
.1
2.1
to 2
.3
2.3
to 2
.5
2.5
to 2
.7
2.7
to 2
.9
2.9
to 3
.1
3.1
to 3
.3
3.3
to 3
.5
3.5
to 3
.7
Nu
mb
er o
f R
esp
on
ses
Scale’s Mid-Point
Who’s Best In Class?• The top 25% of all respondents based on Current Scores were
assigned as Group A; the other 75% were assigned as Group B
• Group A’s average size = $71MM; half are larger than $35MM
• Group B’s average size = $51MM, half are larger than $21MM
Overall Group A and B Scores
3.3
2.4
3.83.5
1.5
2.0
2.5
3.0
3.5
4.0
Group A Group B
Current Score Goal Score
Overall Group A and B Stages
57%76%
41%24%
0%
20%
40%
60%
80%
100%
Group A Group B
Stage 1 Stage 2 Stage 3 Stage 4
How Do “B” Programs Get To Be “A” Programs?
No real travelprogram; mostly
fighting fires
Basic travelprogram;
limited support
Advanced travelprogram;
good support
World classprogram;
Great support,Excellent
results
Stage 1
Stage 2
Stage 3
Stage 4
By taking a series of prioritizedand often difficult steps
Let’s Look At What We Can Control…
SuppliersDemand ManagementGroups / Meetings
Senior Management Transient Mgmt.DataTravelersTravel StrategyFeedbackControls
Travel Organization Travel PolicyProcurementGoals
…And What’s Most Critical
Travel Manager’s Degree of Control Over the 14 Dimensions
Low HighModerate
Why Are These “Big Six” The Most Critical?• Senior Management
– Clearly necessary, but not sufficient
• Travel Policy– Critical for controlling traveler behavior
• Transient Management– The heart of delivering a managed travel program
• Procurement– Smart sourcing means big savings
• Data– The building blocks of business decisions
• Travel Organization– Good programs are built by good people
Why Are These Dimensions Not As Critical?• Suppliers
– Selected by the travel organization
• Travelers and Travel Strategy– Good scores are more the result of a good program, rather
than the cause
• Control, Goals and Feedback– A function of the travel organization
• Demand Management and Groups/Meetings– Often not in scope of Travel’s responsibility
Important Dimensions, Yes – but Not on the Critical Path
Are Any of the “Big 6” More Critical Than Others?
• Senior Management
• Travel Policy
• Transient Management
• Procurement
• Data
• Travel Organization
Necessary Dimensions
(Understands and Owns Travel, Level of Support)
Travel Org., Data
Senior Mgmt., Feedback, Travel Org., Data
Suppliers, Control, Travel Org., Data
Data, Feedback
Suppliers, Travel Org.
Senior Mgmt. - Maybe
Both Groups Emphasize Senior Mgmt., Procurement , Transient Management & Policy
Low Control Moderate Control High Control
Current ScoreOverall, Group A
2.7
2.9
3.1
3.2
3.2
3.3
3.3
3.3
3.4
3.4
3.4
3.5
3.5
3.7
1.5 2.0 2.5 3.0 3.5 4.0
Groups/Mtgs.
Demand Mgmt.
Suppliers
Data
Controls
Feedback
Goals
Procurement
Travel Org.
Travel Policy
Transient Mgmt.
Travel Strategy
Travelers
Senior Mgmt.
Current ScoreOverall, Group B
1.8
1.9
2.1
2.3
2.4
2.4
2.4
2.5
2.5
2.5
2.5
2.7
2.7
2.7
1.5 2.0 2.5 3.0 3.5 4.0
Demand Mgmt.
Groups/Mtgs.
Data
Travel Org.
Feedback
Goals
Suppliers
Travel Strategy
Travel Policy
Travelers
Controls
Transient Mgmt.
Procurement
Senior Mgmt.
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Data
Transient Mgmt.
Travel Org.
Travel Policy
Procurement
Senior Mgmt.
Data
Current ScoreOverall, Group B
1.8
1.9
2.1
2.3
2.4
2.4
2.4
2.5
2.5
2.5
2.5
2.7
2.7
2.7
1.5 2.0 2.5 3.0 3.5 4.0
Demand Mgmt.
Groups/Mtgs.
Data
Travel Org.
Feedback
Goals
Suppliers
Travel Strategy
Travel Policy
Travelers
Controls
Transient Mgmt.
Procurement
Senior Mgmt.
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Data
Current ScoreOverall, Group A
2.7
2.9
3.1
3.2
3.2
3.3
3.3
3.3
3.4
3.4
3.4
3.5
3.5
3.7
1.5 2.0 2.5 3.0 3.5 4.0
Groups/Mtgs.
Demand Mgmt.
Suppliers
Data
Controls
Feedback
Goals
Procurement
Travel Org.
Travel Policy
Transient Mgmt.
Travel Strategy
Travelers
Senior Mgmt.
Transient Mgmt.
Travel Org.
Travel Policy
Procurement
Senior Mgmt.
Data
Group A Has Done Much Better on the “Big Six” Dimensions
Low Control Moderate Control High Control
A’s avg.=
3.4 B’s avg.=
2.5
Group A Does Much Better On 2 Key Dimensions Than Group B – Travel Organization and Data
Low Control Moderate Control High Control
Current ScoreOverall, Group A
2.7
2.9
3.1
3.2
3.2
3.3
3.3
3.3
3.4
3.4
3.4
3.5
3.5
3.7
1.5 2.0 2.5 3.0 3.5 4.0
Groups/Mtgs.
Demand Mgmt.
Suppliers
Data
Controls
Feedback
Goals
Procurement
Travel Org.
Travel Policy
Transient Mgmt.
Travel Strategy
Travelers
Senior Mgmt.
Transient Mgmt.
Travel Org.
Travel Policy
Procurement
Senior Mgmt.
Current ScoreOverall, Group B
1.8
1.9
2.1
2.3
2.4
2.4
2.4
2.5
2.5
2.5
2.5
2.7
2.7
2.7
1.5 2.0 2.5 3.0 3.5 4.0
Demand Mgmt.
Groups/Mtgs.
Data
Travel Org.
Feedback
Goals
Suppliers
Travel Strategy
Travel Policy
Travelers
Controls
Transient Mgmt.
Procurement
Senior Mgmt.
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Data
Data
What’s Holding Group B Back?
Travel Organization ElementsDistribution by Current Stages, Group B
16%
35%
6%
10%
63%
37%
16%
40%
18%
23%
51%
46%
27%
0% 20% 40% 60% 80% 100%
CareerAdvancement
Recruiting
Staffing
Execute MajorInitiatives
Travel Organization
Recruiting, Career Advancement, Execution
Data ElementsDistribution by Current Stages, Group B
17%
48%
19%
57%
62%
37%
27%
41%
22%
29%
10%
57%
32%
11%
8%
0% 20% 40% 60% 80% 100%
Other Data
Agency Data
Hotel Data
Airline Data
Consolidation ofspend
Data
Hotel, Agency and Other Data; Unconsolidated
Spend
What’s Working, What’s Not - Summary• Six critical dimensions:
– Senior Mgmt., Transient Mgmt., Travel Policy, Procurement, Data and Travel Organization
• Group A programs have strong scores on all six critical dimensions– Of the six, Data is scored the lowest at 3.2
• Group B does fairly well at Senior Mgmt., Procurement, Transient Mgmt. And Travel Policy
• Groups/Meetings and Demand Mgmt. are well below average at most firms
• Group B scores below average on Travel Organization and Data – The two most critical dimensions
Both Groups Have Similar Relative Priorities
Goal ScoreOverall, Group B
3.0
3.3
3.3
3.4
3.4
3.5
3.5
3.5
3.5
3.6
3.6
3.6
3.7
3.8
2.5 3.0 3.5 4.0
Demand Mgmt.
Travel Org.
Groups/Mtgs.
Procurement
Travel Strategy
Controls
Feedback
Travel Policy
Goals
Data
Suppliers
Travelers
Transient Mgmt.
Senior Mgmt.
Transient Mgmt.
Procurement
Senior Mgmt.
Data
Travel Org.
Travel Policy
Low Control Moderate Control High Control
Goal ScoreOverall, Group A
3.6
3.6
3.6
3.7
3.8
3.9
3.9
3.9
3.9
3.9
3.9
3.9
3.9
4.1
2.5 3.0 3.5 4.0
Demand Mgmt.
Controls
Groups/Mtgs.
Procurement
Travel Org.
Feedback
Data
Travel Policy
Travelers
Travel Strategy
Transient Mgmt.
Suppliers
Goals
Senior Mgmt.
Travel Policy
Travel Org.
Transient Mgmt.
Senior Mgmt.
Procurement
Data
Improving Supplier Quality and Pricing Is a High Priority; Groups and Dem. Mgmt. Are Not
Low Control Moderate Control High Control
Goal ScoreOverall, Group A
3.6
3.6
3.6
3.7
3.8
3.9
3.9
3.9
3.9
3.9
3.9
3.9
3.9
4.1
2.5 3.0 3.5 4.0
Demand Mgmt.
Controls
Groups/Mtgs.
Procurement
Travel Org.
Feedback
Data
Travel Policy
Travelers
Travel Strategy
Transient Mgmt.
Suppliers
Goals
Senior Mgmt.
Transient Mgmt.
Senior Mgmt.
Procurement
Travel Policy
Travel Org.
Goal ScoreOverall, Group B
3.0
3.3
3.3
3.4
3.4
3.5
3.5
3.5
3.5
3.6
3.6
3.6
3.7
3.8
2.5 3.0 3.5 4.0
Demand Mgmt.
Travel Org.
Groups/Mtgs.
Procurement
Travel Strategy
Controls
Feedback
Travel Policy
Goals
Data
Suppliers
Travelers
Transient Mgmt.
Senior Mgmt.
Travel Org.
Travel Policy
Transient Mgmt.
Procurement
Senior Mgmt.
Data
Data
Group A Wants It All
Low Control Moderate Control High Control
Goal ScoreOverall, Group A
3.6
3.6
3.6
3.7
3.8
3.9
3.9
3.9
3.9
3.9
3.9
3.9
3.9
4.1
2.5 3.0 3.5 4.0
Demand Mgmt.
Controls
Groups/Mtgs.
Procurement
Travel Org.
Feedback
Data
Travel Policy
Travelers
Travel Strategy
Transient Mgmt.
Suppliers
Goals
Senior Mgmt.
Transient Mgmt.
Senior Mgmt.
Procurement
Travel Policy
Travel Org.
Data A’s avg.=
3.8
Group B Wants a Better Steering Wheel
Low Control Moderate Control High Control
Goal ScoreOverall, Group B
3.0
3.3
3.3
3.4
3.4
3.5
3.5
3.5
3.5
3.6
3.6
3.6
3.7
3.8
2.5 3.0 3.5 4.0
Demand Mgmt.
Travel Org.
Groups/Mtgs.
Procurement
Travel Strategy
Controls
Feedback
Travel Policy
Goals
Data
Suppliers
Travelers
Transient Mgmt.
Senior Mgmt.
Travel Org.
Travel Policy
Transient Mgmt.
Procurement
Senior Mgmt.
DataData
Goals
Feedback
Controls
But Why Is Travel Organization Near the Bottom for Group B?
Low Control Moderate Control High Control
Goal ScoreOverall, Group B
3.0
3.3
3.3
3.4
3.4
3.5
3.5
3.5
3.5
3.6
3.6
3.6
3.7
3.8
2.5 3.0 3.5 4.0
Demand Mgmt.
Travel Org.
Groups/Mtgs.
Procurement
Travel Strategy
Controls
Feedback
Travel Policy
Goals
Data
Suppliers
Travelers
Transient Mgmt.
Senior Mgmt.
Travel Org.
Travel Policy
Transient Mgmt.
Procurement
Senior Mgmt.
Data
Goal ScoreOverall, Group A
3.6
3.6
3.6
3.7
3.8
3.9
3.9
3.9
3.9
3.9
3.9
3.9
3.9
4.1
2.5 3.0 3.5 4.0
Demand Mgmt.
Controls
Groups/Mtgs.
Procurement
Travel Org.
Feedback
Data
Travel Policy
Travelers
Travel Strategy
Transient Mgmt.
Suppliers
Goals
Senior Mgmt.
Transient Mgmt.
Senior Mgmt.
Procurement
Travel Policy
Travel Org.
Data
Where Are We Headed - Summary
• Both groups set high goals (3.5+) for Senior Mgmt., Transient Mgmt., Suppliers, Travel Policy and Data
• Group B wants much stronger ability to control their programs
• Both groups put Demand Mgmt. and Groups at or near the bottom
• Group B puts less emphasis on Procurement and Travel Organization (3.4, 3.3)– Travel Organization is ranked the second-lowest goal
This looks like a self-imposed “Travel Ceiling”
Having a Large Program Does Not Mean Strong Scores on Travel Organization or Data
Current ScoreLarge Spend, Group B
1.9
2.1
2.2
2.4
2.4
2.5
2.5
2.5
2.5
2.6
2.6
2.6
2.6
3.1
1.5 2.0 2.5 3.0 3.5
Demand Mgmt.
Data
Groups/Mtgs.
Travel Org.
Goals
Feedback
Travel Policy
Travelers
Controls
Travel Strategy
Suppliers
Senior Mgmt.
Transient Mgmt.
Procurement
Travel Policy
Procurement
Transient Mgmt.
Senior Mgmt.
Travel Org.
Data
Low Control Moderate Control High Control
Current ScoreLarge Spend, Group A
2.4
2.9
2.9
3.2
3.3
3.3
3.3
3.3
3.3
3.3
3.3
3.3
3.4
3.6
1.5 2.0 2.5 3.0 3.5
Groups/Mtgs.
Demand Mgmt.
Data
Travelers
Suppliers
Controls
Travel Policy
Feedback
Travel Strategy
Transient Mgmt.
Goals
Travel Org.
Procurement
Senior Mgmt.
Transient Mgmt.
Travel Org.
Senior Mgmt.
Procurement
Travel Policy
Data
Medium Programs Show 1-Stage Difference
Current ScoreMedium Spend, Group A
2.7
3.0
3.0
3.0
3.2
3.2
3.3
3.3
3.4
3.4
3.4
3.5
3.6
3.7
1.0 2.0 3.0 4.0
Demand Mgmt.
Groups/Mtgs.
Suppliers
Data
Travel Org.
Controls
Procurement
Goals
Feedback
Travel Policy
Travel Strategy
Travelers
Senior Mgmt.
Transient Mgmt.
Travel Org.
Senior Mgmt.
Transient Mgmt.
Travel Policy
Procurement
Current ScoreMedium Spend, Group B
1.6
1.6
2.1
2.1
2.3
2.3
2.3
2.3
2.3
2.3
2.4
2.6
2.6
2.7
1.0 2.0 3.0 4.0
Groups/Mtgs.
Demand Mgmt.
Data
Travel Org.
Suppliers
Travel Strategy
Feedback
Travelers
Travel Policy
Controls
Goals
Procurement
Transient Mgmt.
Senior Mgmt.
Transient Mgmt.
Travel Policy
Procurement
Travel Org.
Senior Mgmt.
Low Control Moderate Control High Control
Data
Data
Current ScoreSmall Spend, Group A
2.6
2.8
2.9
3.1
3.2
3.2
3.3
3.3
3.4
3.4
3.5
3.5
3.6
3.7
1.5 2.0 2.5 3.0 3.5 4.0
Groups/Mtgs.
Demand Mgmt.
Suppliers
Controls
Feedback
Transient Mgmt.
Goals
Travel Org.
Data
Procurement
Travel Policy
Travelers
Travel Strategy
Senior Mgmt.
Current ScoreSmall Spend, Group B
1.9
2.0
2.2
2.3
2.3
2.3
2.4
2.4
2.5
2.5
2.7
2.7
2.7
2.7
1.5 2.0 2.5 3.0 3.5 4.0
Demand Mgmt.
Groups/Mtgs.
Data
Goals
Feedback
Travel Org.
Suppliers
Procurement
Travel Strategy
Travel Policy
Transient Mgmt.
Travelers
Senior Mgmt.
Controls
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Data
Data
Small Programs Also Show 1-Stage Difference
Better Use of Numbers and People• Deliver better data across the board
– Airline O&D data should be an “on tap” commodity
– Hotel folio data will drive better deals for everyone
• Develop integrated systems for stronger control of data, travel policies, goals and feedback– More executive dashboards and balanced scorecards
– Likely anchored at the point of sale
• Eliminate the ‘Travel Ceiling” – real or perceived• Re-write the role and reputation of the travel
manager
What Role Are We Talking About?
• Mission-Critical Processes• Globalization• Operations• Cost Control / Bottom-line Impact• Supplier Management• Strategic Sourcing• Customer (Traveler) and
Stakeholder Satisfaction• Change Management• Staff Development• Distribution Channels• Information and Internet
Technology
Key Management Challenges The Travel Manager, or…
(Sales and Manufacturing)
• General Manager• President• COO or CEO
Travel Management Is a
Great Career Opportunity……But Not
Without Risk
Upgrading a Travel Program One Full Stage Is a Big Challenge – and Therefore a Risk• Get the best resources
– Especially Travel Organization and Data
• Don’t accept budget constraints as an excuse– Most Dimensions can be improved at no significant cost
– Build a solid business case for those that do
• Set priorities carefully – you can’t do it all at once!– What’s really on the critical path?
– From whom can you learn and leverage?
All Set For Take-Off
With the Right Vision Our Industry Can Really Take
Flight!
Stage 1 Stage 2 Stage 3 Stage 4
Distribution of Current Scores by Stage
1%
43%50%
6%
0%
10%
20%
30%
40%
50%
60%
Stage 1 Stage 2 Stage 3 Stage 4
Where We Are Today Distribution of Goal Scores by Stage
0% 1%
46%52%
0%
10%
20%
30%
40%
50%
60%
Stage 1 Stage 2 Stage 3 Stage 4
Where We Want to Be
What Does an Individual Report Include?• Your responses are benchmarked against
– The entire ACTE/Travel Analytics peer set– A peer set based on your spend– Overall Group A– Overall Group B
• Covers Current Scores and Goals– For all 14 Dimensions– For all 63 Elements
• Custom benchmark groups can be arranged– Need more European participants for Regional
Benchmarking
How Can You Get an Individual Report?• If you contributed a survey by April 18th:
– You will want your individual report for Tuesday’s session• Interpreting Your Stages of Excellence Report• Tuesday, 4:15 to 5:30 pm in the _____ Room
– Pick up your sealed report at the podium after this presentation, or leave a message for Scott Gillespie at the Cyber Cafe
• If you contributed your survey between April 18-25th
– Your report will be e-mailed to you next week at no cost
• If you’d like to obtain an individual report:– $300 fee for current ACTE members and conference
attendees– $600 for all others
Ordering an Individual Report
To obtain an individual report,
1. Download the Stages of Excellence Scoring Tool from
www.travelanalytics.com/mainfree.htm
2. Submit the scored file by e-mail to
Your report will be e-mailed to you within 10 days
Discussion, Please!• What other conclusions can be drawn from
this data?• What works well about this approach?• How can the Stages of Excellence framework
be improved?– What’s missing?– What’s misunderstood?– What could be done better?
What’s Working, What’s NotCurrent Score
Overall, Group A
2.7
2.9
3.1
3.2
3.2
3.3
3.3
3.3
3.4
3.4
3.4
3.5
3.5
3.7
1.5 2.0 2.5 3.0 3.5 4.0
Groups/Mtgs.
Demand Mgmt.
Suppliers
Data
Controls
Feedback
Goals
Procurement
Travel Org.
Travel Policy
Transient Mgmt.
Travel Strategy
Travelers
Senior Mgmt.
Current ScoreOverall, Group B
1.8
1.9
2.1
2.3
2.4
2.4
2.4
2.5
2.5
2.5
2.5
2.7
2.7
2.7
1.5 2.0 2.5 3.0 3.5 4.0
Demand Mgmt.
Groups/Mtgs.
Data
Travel Org.
Feedback
Goals
Suppliers
Travel Strategy
Travel Policy
Travelers
Controls
Transient Mgmt.
Procurement
Senior Mgmt.
Stage 1 (0.5 – 1.4) Stage 2 (1.5 – 2.4) Stage 3 (2.5 – 3.4) Stage 4 (3.5 – 4.5)
Top 10 Elements, Current Scores
Group A, Overall Group B, OverallDimension Element Average
Score
1 Senior Mgmt.Ownership of Travel Management 2.94
2 Travel PolicyProcesses to be used for purchasing travel 2.93
3 ProcurementBasis for awarding contracts 2.90
4 Travel Org. Staffing 2.895 Transient Mgmt. Agency consolidation 2.88
6 Controls
Ability to pass travel costs to business units, divisions, etc. 2.79
7 ProcurementTravel's integration with Procurement 2.78
8 ControlsSupplier preferencing at the point of sale 2.76
9 Transient Mgmt.Ability to control the point of sale 2.76
10 Procurement Analysis of pricing 2.73
Dimension Element Average Score
1 Senior Mgmt.Ownership of Travel Management 4.08
2 Travel PolicyProcesses to be used for purchasing travel 3.84
3 Travel Org. Staffing 3.76
4 Travel Strategy
Success in tracking and reporting travel cost savings 3.67
5 Goals Agency performance 3.66
6 TravelersCompliance with key travel policies 3.64
7 Travel StrategyTravel viewed as a factor for business success 3.62
8 GoalsTravel Department's Financial Performance 3.58
9 Travel PolicyQuality of travel to be purchased 3.54
10 Transient Mgmt. Agency productivity 3.53
Bottom 10 Elements, Current ScoresGroup A, Overall Group B, Overall
54 Demand Mgmt.Guidelines for evaluating the need for a trip 2.87
55 Demand Mgmt.Promotion of non-travel alternatives 2.86
56 Demand Mgmt.System for evaluating a trip's value 2.84
57 Travel Policy
Typical consequences of not complying with a key travel policy 2.82
58 Suppliers Current pricing 2.79
59 Groups/Mtgs.Ability to measure G/M spend 2.79
60 Travel Org. Career Advancement 2.75
61 Groups/Mtgs.Communication between internal GM planners 2.65
62 Groups/Mtgs.
Processes for planning, sourcing and managing G/M events 2.60
63 Groups/Mtgs.Centralized visibility of G/M events 2.60
Dimension Element Average Score
54 Travel Org. Career Advancement 2.0
55 Groups/Mtgs.Communication between internal GM planners 1.9
56 Groups/Mtgs.
Processes for planning, sourcing and managing G/M events 1.9
57 Groups/Mtgs.Centralized visibility of G/M events 1.9
58 Travel Policy
Typical consequences of not complying with a key travel policy 1.8
59 Demand Mgmt.Guidelines for evaluating the need for a trip 1.8
60 Demand Mgmt.
Ability to eliminate unnecessary trips before they are taken 1.8
61 Travel Org. Recruiting 1.8
62 Data Hotel data 1.7
63 Demand Mgmt.System for evaluating a trip's value 1.5
Dimension Element Average Score
Tall Goals, Small GoalsGoal Score
Overall, Group B
3.0
3.3
3.3
3.4
3.4
3.5
3.5
3.5
3.5
3.6
3.6
3.6
3.7
3.8
2.5 3.0 3.5 4.0
Demand Mgmt.
Travel Org.
Groups/Mtgs.
Procurement
Travel Strategy
Controls
Feedback
Travel Policy
Goals
Data
Suppliers
Travelers
Transient Mgmt.
Senior Mgmt.
Goal ScoreOverall, Group A
3.6
3.6
3.6
3.7
3.8
3.9
3.9
3.9
3.9
3.9
3.9
3.9
3.9
4.1
2.5 3.0 3.5 4.0
Demand Mgmt.
Controls
Groups/Mtgs.
Procurement
Travel Org.
Feedback
Data
Travel Policy
Travelers
Travel Strategy
Transient Mgmt.
Suppliers
Goals
Senior Mgmt.
Stage 1 (0.5 – 1.4) Stage 2 (1.5 – 2.4) Stage 3 (2.5 – 3.4) Stage 4 (3.5 – 4.5)
Top 10 Elements, Goal ScoresGroup A, Overall Group B, Overall
Dimension Element Average Score
1 Senior Mgmt.Ownership of Travel Management 4.23
2 Travel Strategy
Success in tracking and reporting travel cost savings 4.20
3 Goals Agency performance 4.12
4 Travelers
Awareness of travel policies and preferred suppliers 4.10
5 Travel PolicyProcesses to be used for purchasing travel 4.09
6 Data
Ability to consolidate enterprise-wide travel spending 4.06
7 TravelersCompliance with key travel policies 4.06
8 Goals Travel Policy Compliance 4.05
9Transient Mgmt. Agency service quality 3.99
10 Feedback Travel Policy Compliance 3.99
Dimension Element Average Score
1 Travelers
Awareness of travel policies and preferred suppliers 3.87
2 Travel Strategy
Success in tracking and reporting travel cost savings 3.86
3 Data
Ability to consolidate enterprise-wide travel spending 3.81
4 Data Airline data 3.81
5 Senior Mgmt.Ownership of Travel Management 3.81
6 Senior Mgmt.Level of Support and Enforcement 3.80
7 Travel Org. Staffing 3.79
8 ControlsSupplier preferencing at the point of sale 3.79
9 Transient Mgmt.Ability to control the point of sale 3.79
10 TravelersOpinion of travel department 3.75
Bottom 10 Elements, Goal ScoresGroup A, Overall Group B, Overall
54 Feedback Self-Booking Adoption 3.56
55 TravelersInput on travel policies and suppliers 3.56
56 Travel Strategy
Travel viewed as a factor in employee productivity and retention 3.55
57 Groups/Mtgs.
Processes for planning, sourcing and managing G/M events 3.54
58 Demand Mgmt.Promotion of non-travel alternatives 3.48
59 Demand Mgmt.System for evaluating a trip's value 3.46
60 Procurement Tender or RFP process 3.45
61 Travel Org. Career Advancement 3.44
62 Controls
Ability to pass travel costs to business units, divisions, etc. 3.40
63 ControlsExceptions to travel policy 3.38
Dimension Element Average Score
54 Groups/Mtgs.Centralized visibility of G/M events 3.24
55 TravelersInput on travel policies and suppliers 3.18
56 Demand Mgmt.
Ability to eliminate unnecessary trips before they are taken 3.16
57 Demand Mgmt.Promotion of non-travel alternatives 3.08
58 ControlsExceptions to travel policy 3.06
59 Travel Org. Career Advancement 3.01
60 Travel Org. Recruiting 2.96
61 Travel Strategy
Travel viewed as a factor in employee productivity and retention 2.96
62 Demand Mgmt.Guidelines for evaluating the need for a trip 2.95
63 Demand Mgmt.System for evaluating a trip's value 2.65
Dimension Element Average Score
Big Steps, Little Steps
Top 4 Are The
Same
Goal GapOverall, Group A
0.36
0.37
0.39
0.42
0.43
0.44
0.49
0.50
0.57
0.60
0.69
0.71
0.85
0.99
0.00 0.50 1.00 1.50
Senior Mgmt.
Procurement
Controls
Travel Org.
Travelers
Travel Strategy
Transient Mgmt.
Travel Policy
Feedback
Goals
Data
Demand Mgmt.
Suppliers
Groups/Mtgs.
All Within
½ a Stage
Goal GapOverall Group B
0.71
0.96
0.97
1.02
1.05
1.05
1.07
1.11
1.14
1.14
1.18
1.21
1.39
1.45
0.00 0.50 1.00 1.50
Procurement
Controls
Travel Strategy
Transient Mgmt.
Travel Org.
Travel Policy
Senior Mgmt.
Feedback
Goals
Travelers
Demand Mgmt.
Suppliers
Groups/Mtgs.
Data
Big Steps, Little Steps: Large Programs
Goal GapLarge Spend, Group A
0.31
0.33
0.47
0.48
0.50
0.54
0.56
0.58
0.62
0.63
0.65
0.71
0.89
1.30
0.00 0.50 1.00 1.50
Senior Mgmt.
Procurement
Controls
Travel Strategy
Feedback
Travel Policy
Travelers
Travel Org.
Goals
Transient Mgmt.
Demand Mgmt.
Suppliers
Data
Groups/Mtgs.
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Goal GapLarge Spend, Group B
0.43
0.77
0.88
0.94
0.94
0.95
0.95
0.97
0.97
0.98
0.98
1.09
1.18
1.38
0.00 0.50 1.00 1.50
Procurement
Travel Strategy
Travel Org.
Suppliers
Transient Mgmt.
Controls
Senior Mgmt.
Travel Policy
Travelers
Feedback
Demand Mgmt.
Goals
Groups/Mtgs.
Data
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Data
Data
What’s Working, What’s NotCurrent Score
Medium Spend, Group A
2.7
3.0
3.0
3.0
3.2
3.2
3.3
3.3
3.4
3.4
3.4
3.5
3.6
3.7
1.0 2.0 3.0 4.0
Demand Mgmt.
Groups/Mtgs.
Suppliers
Data
Travel Org.
Controls
Procurement
Goals
Feedback
Travel Policy
Travel Strategy
Travelers
Senior Mgmt.
Transient Mgmt.
Travel Org.
Senior Mgmt.
Transient Mgmt.
Travel Policy
Procurement
Current ScoreMedium Spend, Group B
1.6
1.6
2.1
2.1
2.3
2.3
2.3
2.3
2.3
2.3
2.4
2.6
2.6
2.7
1.0 2.0 3.0 4.0
Groups/Mtgs.
Demand Mgmt.
Data
Travel Org.
Suppliers
Travel Strategy
Feedback
Travelers
Travel Policy
Controls
Goals
Procurement
Transient Mgmt.
Senior Mgmt.
Transient Mgmt.
Travel Policy
Procurement
Travel Org.
Senior Mgmt.
Low Control Moderate Control High Control
Mediu
m
Pro
gra
ms
Data
Data
Tall Goals, Small Goals: Medium Programs
Goal ScoreMedium Spend, Group A
3.5
3.5
3.6
3.7
3.7
3.9
3.9
3.9
3.9
3.9
4.0
4.0
4.1
4.1
2.5 3.0 3.5 4.0 4.5
Demand Mgmt.
Controls
Groups/Mtgs.
Travel Org.
Procurement
Feedback
Data
Goals
Travel Strategy
Travel Policy
Travelers
Senior Mgmt.
Suppliers
Transient Mgmt.
Goal ScoreMedium Spend, Group B
3.0
3.4
3.4
3.5
3.5
3.5
3.6
3.6
3.6
3.6
3.7
3.8
3.8
3.8
2.5 3.0 3.5 4.0 4.5
Demand Mgmt.
Travel Org.
Groups/Mtgs.
Travel Strategy
Travel Policy
Procurement
Controls
Feedback
Travelers
Goals
Data
Suppliers
Transient Mgmt.
Senior Mgmt.Transient Mgmt.
Travel Org.
Senior Mgmt.
Procurement
Travel Policy
Transient Mgmt.
Travel Org.
Senior Mgmt.
Procurement
Travel Policy
Low Control Moderate Control High Control
Mediu
m
Pro
gra
ms
Data
Data
Big Steps, Little Steps: Medium Programs
Goal GapMedium Spend, Group A
0.31
0.37
0.40
0.43
0.44
0.46
0.50
0.51
0.55
0.60
0.69
0.83
0.87
1.04
0.00 0.50 1.00 1.50 2.00
Controls
Senior Mgmt.
Transient Mgmt.
Procurement
Travel Org.
Feedback
Travelers
Travel Strategy
Travel Policy
Goals
Groups/Mtgs.
Data
Demand Mgmt.
Suppliers
Goal GapMedium Spend, Group B
1.00
1.12
1.16
1.19
1.21
1.26
1.27
1.32
1.33
1.34
1.34
1.51
1.64
1.84
0.00 0.50 1.00 1.50 2.00
Procurement
Senior Mgmt.
Transient Mgmt.
Travel Policy
Travel Strategy
Controls
Goals
Travel Org.
Feedback
Travelers
Demand Mgmt.
Suppliers
Data
Groups/Mtgs.
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Transient Mgmt.
Data
Data
What’s Working, What’s Not: Small Programs
Current ScoreSmall Spend, Group A
2.6
2.8
2.9
3.1
3.2
3.2
3.3
3.3
3.4
3.4
3.5
3.5
3.6
3.7
1.5 2.0 2.5 3.0 3.5 4.0
Groups/Mtgs.
Demand Mgmt.
Suppliers
Controls
Feedback
Transient Mgmt.
Goals
Travel Org.
Data
Procurement
Travel Policy
Travelers
Travel Strategy
Senior Mgmt.
Current ScoreSmall Spend, Group B
1.9
2.0
2.2
2.3
2.3
2.3
2.4
2.4
2.5
2.5
2.7
2.7
2.7
2.7
1.5 2.0 2.5 3.0 3.5 4.0
Demand Mgmt.
Groups/Mtgs.
Data
Goals
Feedback
Travel Org.
Suppliers
Procurement
Travel Strategy
Travel Policy
Transient Mgmt.
Travelers
Senior Mgmt.
Controls
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Lo
w C
on
trol
Mo
derate C
on
trol
Hig
h C
on
trol
Data
Data
Tall Goals, Small Goals: Small Programs
Goal ScoreSmall Spend, Group B
3.0
3.1
3.1
3.2
3.3
3.4
3.4
3.4
3.5
3.5
3.5
3.6
3.7
3.8
2.5 3.0 3.5 4.0
Demand Mgmt.
Procurement
Groups/Mtgs.
Travel Org.
Feedback
Travel Strategy
Goals
Controls
Data
Suppliers
Travel Policy
Transient Mgmt.
Travelers
Senior Mgmt.
Goal ScoreSmall Spend, Group A
3.6
3.6
3.7
3.7
3.8
3.8
3.8
3.9
3.9
3.9
4.0
4.0
4.0
4.3
2.5 3.0 3.5 4.0
Controls
Demand Mgmt.
Groups/Mtgs.
Travel Org.
Suppliers
Procurement
Transient Mgmt.
Data
Goals
Travel Policy
Feedback
Travelers
Travel Strategy
Senior Mgmt.
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Transient Mgmt.
Travel Policy
Travel Org.
Senior Mgmt.
Procurement
Low Control Moderate Control High Control
Data
Data
Big Steps, Little Steps: Small Programs
Goal GapSmall Spend, Group A
0.36
0.36
0.41
0.47
0.48
0.50
0.52
0.53
0.59
0.63
0.75
0.84
0.88
1.06
0.00 0.50 1.00 1.50
Travel Strategy
Procurement
Travel Org.
Travelers
Travel Policy
Controls
Data
Senior Mgmt.
Transient Mgmt.
Goals
Feedback
Demand Mgmt.
Suppliers
Groups/Mtgs.
Goal GapSmall Spend, Group B
0.63
0.66
0.87
0.90
0.94
0.98
1.00
1.04
1.06
1.06
1.09
1.10
1.10
1.28
0.00 0.50 1.00 1.50
Procurement
Controls
Travel Org.
Travel Strategy
Transient Mgmt.
Travel Policy
Feedback
Travelers
Goals
Suppliers
Demand Mgmt.
Groups/Mtgs.
Senior Mgmt.
Data
Travel Policy
Transient Mgmt.
Travel Org.
Senior Mgmt.
Procurement
Transient Mgmt.
Travel Org.
Senior Mgmt.
Procurement
Travel Policy