How midsize companies can maximise ROI of their corporate travel programs

By Colin Temple, VP & GM, American Express Global Business Travel

Midsize companies play a crucial role in the strength of a country’s economy and face a different set of challenges from larger companies to grow their businesses, including when it comes to hiring and retaining talent.
 
According to a recent research report from American Express Global Business Travel and The Economist’s Intelligence Unit, titled How Medium-Sized Companies Can Wage the Battle for Talent, many midsize companies struggle to bring in talent to grow their companies because they do not have the resources, brand appeal or benefits to attract candidates.

Because their relatively small staff sizes make each hire that much more important, it is imperative that they find new strategies and leverage resources that give a hiring advantage.
 
The connection between recruiting & travel policy
 
A company’s travel policy can be positioned as a key differentiator and benefit for prospective employees, in addition to a tool for efficiency and growth. Midsize companies can use their travel policies as more of a benefit and typically have more flexibility to manage exceptions or customised experiences like combining business with leisure.
 
According to an Amex GBT, tClara and Airlines Reporting Corp. survey, titled Traveler Friction: Insights from U.S. Road Warriors, 85 percent of very frequent travelers would be interested in a job at a different firm if it offered an attractive travel policy, while 83% said a travel policy is as important, if not more important, than pay and responsibilities. Simply put, business travellers who are burned out likely work for a firm that does not offer favourable travel policies.
 
In-demand employees are also aware of their market value. When they look for new jobs, they look for a competitive, attractive travel policy. As such, travel managers in the middle market should ensure they understand the importance of business travel in their company’s growth efforts.
 
Acknowledging the challenges & embracing the solutions
 
Attracting the best people is not the easiest thing to do, especially when competing with larger companies. Commercial leaders need to understand the importance of business travel and how it is managed so they can leverage different offerings to grow their businesses in new marketplaces around the world. Companies are under pressure to make travel management programs more efficient, but many struggle to measure performance and identify the greatest opportunities for improvement.
 
Midsize companies should strive to create business travel programs that allow employees to get where they need to be to do business and to give those people a differentiated corporate travel experience. This was the guiding principle when GBT designed our own specialised offering for midsize companies. Midsize companies should keep the following in mind:
 
A policy that makes sure employees are taken care of and enjoy their business travel experience can be a key differentiator for people when looking for new employment opportunities. A company should use such a travel policy as a selling point, an advantage when compared with competition.
 
Flexibility and affordable/reasonable benefits for employees, including traveller-centric corporate travel policies, put a more personal, human touch on employee engagement.

For a midsize company, recruiting and retaining talent should be a primary focus for HR because talent is essential in running a successful business. When a company is doing well, it creates additional jobs, tax receipts and overall economic growth. And efficient corporate travel programs yield better talent retention, employee satisfaction and effectiveness - and of course more profits!