Case Study: Engagement in difficult times for Terumo BCT
Engagement in difficult times for Terumo BCT
About Terumo BCT
Terumo Blood and Cell Technologies (BCT) is a multinational biosciences company and a global leader in blood component, therapeutic apheresis, and cellular technologies. Perfectly aligned with FCM in company culture, Terumo believes in the power of collaborative creativity and cultivates a work environment where associates feel valued and are inspired to contribute and really make a difference in the world.
Background and objectives
When we started working with Terumo in 2015, Terumo was contending with programme leakage and fragmented traveller buying behaviour. This was cutting into their ability to obtain the best rates, get visibility into their programme and track travellers in case of incident. They wanted to engage their travellers in a positive way, so that they could get the benefits of programme compliance like cost savings and meeting their duty of care requirements, without forcing travellers to comply through hard mandates.
Then the COVID-19 pandemic hit, and suddenly Terumo was faced with an entirely new travel climate. Cost reductions and employee engagement became even more important, but the ways to achieve them had changed drastically.
In both these climates, FCM focused on what we do best: partnering with our clients in a strategic, proactive way; understanding their needs and using our experience and creativity to meet them swiftly.
“During the unexpected times that 2020 has provided in the travel industry, we have had a great partnership with FCM who has extended the normal travel relationship and duties to accommodate and keep us updated on any and all travel changes. They have been very proactive with moving airline tickets and updating any credits giving us a significate cost savings that we could have not done alone.”
Michelle Letbetter, Commodity Analyst Indirect Procurement, Supply Chain & Logistics, Terumo BCT
An engagement driven approach
Terumo BCT wanted to attain savings by focusing on traveller behaviour without mandating travel. They wanted to engage travellers by offering a great experience; helping them meet their strategic goal of developing integrated global reporting and consolidation, influencing travel buyer behaviour to increase savings, and elevating their traveller engagement with FCM.
Sharing the multitude of technology and benefits available to travellers reinforced this organic consolidation. During our quarterly travel reviews with Terumo BCT, we investigated aspects of the FCM product suite that we could customise to bring real value to Terumo BCT’s travel programme, for example, customised reporting, approval processes, and risk management solutions. Additionally, we offered facts and advice on Terumo BCT’s interests through the many webinars we conducted on travel tips and safety during COVID-19, through our return to travel tool kits, and communicated regularly to assist in policy consolidation.
Creating savings in Terumo's hotel programme
Together, Terumo and FCM identified the hotel programme as a key area to achieve cost savings, especially as traveller engagement and compliance increased. Our FCM Consulting division negotiated with more than 40 hotels for Terumom based on their travel patterns and spend for increased savings.
With the hotel contracts that FCM Consulting put in place, Terumo is projected to save 21% on their hotel program. All their negotiated hotel rates include breakfast and WiFi, and all permit Terumo travellers to cancel less than two days in advance (many are 24 hours or less).
These preferred partnerships further strengthen the reasons for travellers to book within the FCM ecosystem to get negotiated rates and amenities that they can’t get anywhere else.
And then the pandemic happened...
Right in the middle of the successes Terumo was achieving, the novel coronavirus emerged and transformed the business and travel landscape. Like many companies, Terumo had to adapt quickly and they turned to FCM for help.
Cost savings were more important than ever, but the way to achieve them had changed drastically. The traveller engagement they had built with FCM proved incredibly valuable, because their employees knew who to turn to for accurate, relevant information and for help navigating this new world.
As travel came to an almost complete stop, FCM was able to continue cost savings efforts by changing focus: monitoring Terumo’s unused tickets, applying refunds as necessary and providing data on cost avoidance in managing these tickets. Our support in unused ticket management is reinforcing future cost avoidance and ultimately savings.
Along with monthly meetings to unpack their unused ticket reports, we provided Terumo with a breakdown of unused ticket usage along predicted levels when travel begins to increase. In all likely scenarios (whether travel returns at 100%, 50%, or 10% in the next year), Terumo should have no problem utilising their unused tickets before they expire.
The value of traveller engagement in difficult times
The traveller engagement we had established with Terumo was instrumental in allowing FCM to quickly provide essential information to travellers once the pandemic hit - from travel bans and restrictions, to rates of new cases by location. As Terumo’s travellers were already engaged in FCM booking and information, our ability to support their travellers was streamlined and efficient.