HRG Turns U.S. Firm Into Consulting Arm

HRG, the new brand of Hogg Robinson Corporate and Employee Services, today announced it acquired Princeton, N.J.-based Partnership Travel Consulting, adding to its U.S.-based travel management company operations that include the former Robustelli World Travel and Sea Gate Travel, and making PTC president Andrew Menkes the president of the new HRG Consulting North America.

"Like the Godfather, it was an offer I couldn't refuse," Menkes said of today's announcement. "I trade off no longer doing agency requests for proposals. There are only four global players now, and I'd rather do all the work after the corporation has selected the agency. I pick up a global organization, technology I could never get my hands on, and the independence to run the division, since it's brand-new."

Menkes, who has known HRG CEO David Radcliffe for 20 years, reports directly to Chris Fry, corporate and marketing director of HRG. John Asselta, Barry Lemley and David Wardell of Partnership Travel Consulting will join Menkes at HRG's new division, and Menkes said he would expand the team as client projects warrant. Earl Foster and Steven Schoen have decided to pursue other interests and Tom Wilkinson said he will remain independent and continue to offer services similar to those of PTC.

"I have really enjoyed the opportunity to work with Andy," Wilkinson said. "I support what he's doing, but for me, I just returned to independent consulting and my current professional focus has a lot to do with agency evaluation and management, so I didn't feel at this time that I could make that change. HRG has an opportunity to build a global network from a clean sheet of paper, and Andy has a great opportunity here."

It will be business as usual over the next several months Menkes said, adding that the company will retain its Princeton offices as it begins operations as HRG's new consulting division, providing services similar to those of American Express' Eclipse Advisors and WorldTravel's TPS Consulting.

Menkes said he communicated the news to clients this week and the response has been encouraging. "I'd like to believe that we will hold onto all clients with the exception of any that ask for a global travel management company RFP," he said. "We would certainly pass on that particular project to avoid any perceived or potential conflict of interest, but for the rest of them, the response has been overwhelmingly positive because of the other project opportunities that we can now do: airline, hotel RFPs, benchmarking, data analysis, etc."

HRG's intention to invest in research capabilities is one of the main reasons Menkes said he accepted the global travel management company's acquisition offer. "There is a team of 14 consultants based in Europe, and some of the work they do are for non-Hogg Robinson clients," he said. "These are corporate clients of other travel management companies, so effective day one, I am able to use the resources of the consulting team in Europe, including the analytical tools. The game plan is for me to develop a similar group here in the U.S., recognizing the unique needs of the market and the time zone difference."