ACTE, National U.K. Association To Merge

The Association of Corporate Travel Executives and the U.K. and Ireland's Institute of Travel Management today announced their intention to merge. The merger has been approved by the boards of both organizations but also must be approved by a simple majority of the ITM membership. "Our feedback so far does not lead me to believe there will be any problems with winning the vote," said ITM chairman Tom Stone.

The merger would end nearly 50 years of independence for the ITM, but Stone said it would be worth becoming part of a larger global organization "because it gives us more gravitas in the global marketplace."

The recent history of the ITM is also extremely pertinent. In November 2004, it voted to alter its status from a buyer-led organization to mirror the structure of ACTE, in which buyers, suppliers and travel management companies have equal status. With this crucial point of differentiation gone, the raison d'etre for independence and the logic for competing with ACTE for finite sponsor resources were both weakened.

However, Stone denied that the ITM would have struggled without a merger. "We would have continued to function well, but this will enable ITM members to function at a higher level," he said.

ACTE president Greeley Koch said the merger also would give ACTE "a stronger voice."

ACTE has 2,500 members and the ITM 1,000. The United Kingdom will become a fifth region of ACTE, alongside the United States, Canada, Asia/Pacific and EMEA, and will command a new seat on the board. It will continue to employ its own executive director. ACTE also is to appoint an executive director for the U.S. region for the first time. ACTE leaders expect to appoint a new global executive director for ACTE by the end of February to replace the departing Nancy Holtzman.

Stone said the merger means ITM will withdraw from the Paragon partnership of national travel management associations that includes the National Business Travel Association. Asked whether ACTE intends to persuade any more national associations to merge with it, ACTE chairman Garth Jopling said, "it is not on our radar at the moment, but we wouldn't close the door to anyone else who came along."