Megas Supporting Corp. Responsibility

Mega travel management companies are beginning to provide global corporate social responsibility initiatives in response to growing questions from companies about how to address their impact on society and on the environment, with most of the focus today on reducing and offsetting carbon footprints.

Earlier this month, BCD Travel announced the global rollout of its Corporate Social Responsibility program. Previously deployed in Europe, BCD's carbon emissions reporting tool is now available to all clients worldwide and has been integrated into the company's data management platform, DecisionSource: Data Manager. Unlike other carbon calculators, the tool consolidates reporting from both the United Kingdom's Department for Environment, Food and Rural Affairs (DEFRA), which is the standard reporting metric used by other travel management companies and the Greenhouse Gas Protocol Corporate Accounting and Reporting Standard.

BCD's Advito consulting services division has developed services to help travel managers implement CSR policies into their travel programs. "Corporations are asking us, well what can you do for us? That's really what drove this since clients seem really interested in TMCs helping them solve these questions," said Advito general manager, Mary Ellen George, who heads the initiative. "We are now taking this global approach and have a framework for the entire organization worldwide."

For more than 18 months, HRG Worldwide has been using a carbon calculator in European markets using the DEFRA metric, said Ian Flint, head of global consultancy for HRG Consulting. The calculator is a free offering to HRG clients, which can be used as a stand-alone tool or integrated into the HRG online booking tool. HRG is developing further reporting to provide consolidated reporting related to emissions on a travel category level.

Carlson Wagonlit Travel has been involved in reporting emissions to some clients for about 12 years and issuing annual average reports in Europe for several years, said David Tibbles, global product director of online booking and environment for Carlson Wagonlit Travel. The company's carbon calculator tool, which is in European use for more than a year, will roll out globally July 2 and will be integrated into Carlson's Horizon online booking tool and the recently launched Program Management Center. However, Tibbles said the calculator may not be as useful in some markets as it was in the U.K. "The citypairs will work out emissions for air journey and flag rail alternatives and give the emissions for the rail journey," he said. "In Europe, that works fairly well. Obviously, in the North American market there are few routes where that is viable."

BCD Travel entered a partnership with carbon offset provider Atmosfair. Carlson plans to partner with emissions offset providers that cater to local markets, Tibbles said. "In each region, there are very different ways of offsetting," he said. For example, "you tend to find that in France, there is a preference for reforestation or new forestation. Rather than going for one offsetting company, we need to have a choice for our customers. We'll do it regionally with up to four or five partners."

With approximately five requests a week from corporations for advice on how to move forward with emissions management and how to incorporate that into travel policies, Tibbles is working on finding ways to consolidate the data so travel managers effectively can measure their programs. "Getting the correct data and up-to-date data is fairly difficult," he said. "That's where we stick to one source of data. It is difficult to change a policy linked to CSR globally and there are not many customers that are currently thinking of changing their policy radically."

American Express Business Travel's Global Advisory Services division also has helped travel buyers develop CSR programs. For more than two years, the consulting division has been working with corporations in Europe, especially in the Nordic region, said Rex Heineman, policy practice leader for Amex Business Travel Global Advisory Services. "It's applicable from a global standpoint, but the main focus and main interest is in the European region and growing in the U.S.," he said. Heineman said Amex has partnered with a third-party provider to deliver a carbon calculator that uses the DEFRA system to clients.

Over the past six months, interest from multinational corporations has grown, and domestic corporations and midmarket clients also are showing interest, Heineman said. "In a North American perspective compared with six to nine months ago, there has been a 100 percent increase in interest about the issue," he said.

"There has been some level of interest in about 20 to 25 percent from the entire customer base," he said. "In a year to 18 months it will double that. It will take a little bit longer especially in the North American market for this to grow. It's going to be dependent on how this continually evolves in the world."

While the megas deliver carbon calculators and some consulting services, there needs to be more effort put into implementing an overall solution package that helps travel mangers incorporate CSR into their programs, said Bernard Harrop, managing director of U.K.-based consulting company IG Management. "The problem with travel management companies overall is they tend to focus on the first part, which is the technology solution," he said. "The biggest question is so what, now you've got it, now what are you going to do to help the company reduce the emissions?"

Along with carbon calculators, increased reporting capabilities and understanding sustainable procurement practices also are necessary for travel management companies to work with buyers on the environmental issue, said Johnson Controls global travel manager Mike Hall. "I'm looking to partner with a company that takes CSR to heart," which he said CWT has done. "The carbon calculator is nice, but to really be able to reduce our emissions, we can't just measure our emissions on a trip-by-trip basis, we have to be able to differentiate them by aircraft so we can drive our travelers to more efficient transportation to build it into our negotiations with carriers."