When was the last time you reviewed your travel and expense program and policy? The travel and expense management section of Runzheimer’s 2016 Workforce Mobility Benchmark Report has data and benchmarks for program and outsourcing approach, travel volume and spend.
As technology continues to evolve, the travel industry continues to be impacted by improved user experience and analytics. It’s a best practice to regularly review and update your program and policies to account for changes in technology and traveler behavior. The full report has an extensive amount of insights, but here are a few key points that you can review right away:
1) Average total cost per trip - $2,726: While the Global Business Travel Association (GBTA) reported 5% growth in travel spending, we found the cost of an individual trip has decreased by 7%. There are multiple factors that contributed to this, but the strongest was historically low prices for airfare in 2015.
2) Average direct spend per traveler per year - $11,844: Average direct spend has been gradually increasing since 2010 when average direct spend was $9,751. However, the increase over last year is extremely minimal (<1%) and could be signaling a leveling off trend as costs stabilize.
3) Average number of travelers supported by 1 full-time employee – 420: Wow! One Person keeping track of 420 business travelers? How is that possible? Well, the short answer is automation. The survey discovered that 92% of organizations have some level of automation in their program, allowing travel managers to do more with less.
4) Forty-eight percent of organizations still use a manual process for recording business mileage – Mileage is one of the highest expenses for organizations, yet many do not require a receipt for it. With almost half of companies still using a manual process, there is the possibility of inaccuracy, fraud and overspending.
So, how do you stack up? Have you seen the costs of individual trips decrease, but your overall spend increase? How many people do you have supporting your business travelers? Are you one of the 48% that still manually records mileage?
Enough questions- let’s give you some answers. Request a full copy of the report today, and you can set up time with a consultant to benchmark your program.