In any industry, preferred partnerships are two-way streets. In travel, that means buyers obtain value not only through favorable pricing and strong account management, but also dependable, beneficial servicing for their travelers-while making it all worthwhile for suppliers. In the most successful partnerships, collaboration brings to both sides innovation and financial reward, through the ebbs and flows of business cycles.
In our June issue of Procurement.travel, two profiled companies discuss what it means to be a "customer of choice." As described in Cover Story, asset management firm AllianceBernstein uses "supplier perspective analysis" to determine its importance to travel vendorsand has secured "marquee status" with its preferred travel management company by cultivating a tight, trusting relationship.
As part of a procure-to-pay project and a re-engineering of its travel purchasing, the University of Pennsylvania(Profile) also is learning the criteria for and merits of being a customer of choice with its vendors. It has found that total spend oftentimes is less important to suppliers than ease of doing business. And when it is easy for suppliers, Penn's rewards include cost savings, enhanced service, improved account management and early exposure to new technologies.
In AllianceBernstein's case, the company's preferred TMC is not one of the mega-agencies that serve hundreds of multinational companies. Similarly, in Case Study, you'll read that software firm Autodesk also relies on a mid-size agency, benefitting from tech-enabled travel data reporting that provides an avenue for scrutinizing traveler behavior.
Both examples prove that while the biggest TMCs continue to supply clients with effective tools for managing and analyzing travel costs--as Carlson Wagonlit Travel has done by combining travel agency and corporate card data(Payment)--modestly sized providers also deliver ingenuity and build meaningful, dedicated relationships.
Elsewhere in this issue, we touch on two practices that can yield savings and process efficiencies but thus far have not been widely adopted: automating and integrating travel expense and reimbursement(Technology) and using hotel e-folio data feeds(Leading Practices).
We also provide insight on the complex hotel negotiating cycle(Feature), a recent outsourcing deal involving strategic sourcing and travel and expense processing(Outsourcing), and the importance of risk mitigation in strategic meetings management(Meetings Perspective). Other benefits of strategic meetings management-including centralized sourcing, data protection through preferred registration agreements and simplified payment via a meetings card-are detailed in the Meetings Case Study of a new program at Microsoft Corp.