Mastering Biz Travel Practices

<B> Mastering Biz Travel Practices</B>
<I>Small Co. Shows Travel Practices Save</I>

By Sarah Welt

<I>Scottsdale, Ariz.</I> - By tracking industry trends and using negotiated discounts, Mastering Computers shaved 10 percent off its $1 million air budget last year.

The driving force behind such initiatives is Jeanne Gabres, who joined the software training company--a pioneer in the use of automation--four years ago when it did not have a managed travel program.

Gabres saved $100,000 simply by "keeping a critical eye on the market and booking accordingly." She added, "If we know we are going to enter a market, we will watch for trends and indicators of when is a good time to book a fare."

The result is that Mastering is spending an average of 15 cents per air mile, compared with the industry standard of 17 to 30 cents. Gabres said the company also has seen savings by sett ing up its automated booking product to book the lowest logical airfare.

Those successes are now to be followed by a new challenge. Mastering was acquired by Oakbrook Terrace, Ill.-based Platinum Technologies, last April. The acquisition will require integrating Mastering's travel program into Platinum's $30 million air spend. Gabres has mandated the use of its online booking system for travel reservations, and is in the process of switching its online booking system, travel agency and corporate card. Mastering also is incorporating its preferred airline and car rental agreements with Platinum's.

Last week, Mastering switched from Xtra On-line to E-Travel's booking product to comply with Platinum's request to use an Apollo CRS-compatible system. Platinum plans to keep a close eye on Mastering's booking program to see if it wants to go the online route in the future.

Today, Platinum has an onsite with Arrington Travel in Chicago. Said Gabres, "Their method has always been to call in to the agency and in turn, they've had to add extra bodies to accommodate growth. They are intrigued because we are the first acquisition to be automated in this fashion."

Mastering had been using a local agency, Bowers Travel Services in Scottsdale, but is in the process of phasing it out and going with Arrington to "keep it simple from an accounting perspective," Gabres said.

On the airline front, Gabres had been able to negotiate discounts with both Delta and United which, coincidentally, are Platinum's preferred carriers, making the acquisition in April even easier. "Even with $1 million, we signed discount contracts with Delta and America West, and had a smaller program with United," Gabres said.

Mastering was talking with British Airways, but has passed the baton to Platinum's travel manager, Penny Loupakos, to "renegotiate an even more lucrative deal. With their buying power, it makes sense for Platinum to take the lead in that."

Gabres is leaving hotel negotiations up to Platinum. The technology developer is in talks with Hyatt and Marriott.

On the car rental side, Mastering had discounts with Hertz and Avis--the same vendors as Platinum--making a transition much simpler. "It's just a matter of a rollover," said Gabres. "We've been able to leverage their discounts with both vendors."

Within the next month, Mastering will shift its travelers to Platinum's American Express corporate card. Mastering has been using Visa for individual travelers and Diners' Club for central billing.

Since Mastering began using Xtra On-line for booking three years ago, Gabres has been able to keep the corporate staff to just herself and an assistant to book travel for most of the company's 500 employees, up from 42 employees when Gabres began.

Productivity has changed as well. The automated process "takes one-third of the time," Gabres said. Without booking online, "we would have had to have a third, possibly a fourth person handling our type of volume. By staying automated, we have been able to maintain two bodies despite the growth we've experienced over the last couple of years." An STP has not been needed at Mastering because most tickets are electronic.

The training company got involved with automated booking by volunteering to be a test site for Xtra On-line.

Gabres attributes this move to putting Mastering on the map. "Because we were automated, airlines took interest in what we were doing. It intrigued them."

Now Gabres can't imagine booking travel any other way. "It tells you a lot at the front end so you're not wasting time on the phone, waiting for someone to research the same thing when you can see it right at your fingertips," Gabres said.

Gabres was not overly concerned about how the consolidation would affect her job. "Platinum has a travel manager who is working more on a global basis and she will continue. My role is to focus on education," she said. "We still need local support. Here in Scottsdale there is so much travel coming out of this market. We trained over 70,000 people last year."

Platinum acquired the company because it needed help with training, and Mastering plans to take over that function. "This side of the business is going to grow considerably," Gabres said. Mastering is on the road to doubling its travel spend through internal growth.

As for future initiatives, Mastering wants to get its arms around the volume of its training attendee base with the goal of being a one-stop shop for all travel services.

Cost containment will continue to be on Mastering's radar screen.

"We will definitely do the same volume in savings this year if not more, though expenses increase as we add more people," Gabres said. "Right now we are right on track to get our travel fully integrated with Platinum's and get that ironed out.