Case Study: Driving Travel Compliance and Sustainable Cost Savings
A global leader in content publishing, production, broadcasting and distribution, Lagardère Sports Singapore office was working with two travel agencies - one responsible for booking multi-segments trips for the top management team; while the other for direct point-to-point travel for the general travellers. Therefore, there was limited visibility on their total travel spend as data consolidation proved to be challenging.
In 2017, FCM Travel Solutions was appointed and tasked to consolidate and streamline Lagardère Sports’ travel program for all 135 travellers to drive cost savings and efficiency.
To mitigate the resistance to change, FCM worked closely with the Travel Manager to develop a series of communications to ensure the ease of transition. To kick off the process, FCM met with all the Travel Bookers to understand their booking preferences and align their expectations with the Service Level Agreement (SLA). FCM also shared useful booking and cost savings tips with the Travel Bookers to enhance their knowledge of managing travel arrangements.
An internal briefing for all the travellers was also conducted prior to the implementation of the travel program to address any doubts. It also provided the opportunity for them to meet with their appointed FCM Account Manager and Travel Consultant. In addition, to close any communication gaps, FCM provided regular updates on the progress of the consolidation of the travel program. These were done via ready-to-share templates, which facilitated internal communication within Lagardère Sports.
Post implementation, the Account Manager also established a weekly catch-up for four consecutive months to ensure the travel program was on the right track.
Air Program Analysis
To drive further savings, FCM conducted an in-depth review of the air program that was in place and made recommendations for alternative airlines that could deliver similar travel experience for a lower fare. These alternative airlines were recommended based on the top business destinations they travel to.
Enhanced Policy Compliance
The dedicated FCM Travel Consultant acts as a custodian of the travel policy and ensures compliance at every stage of the booking process, including mandatory pre-trip approval.
FCM monthly report generated from our global reporting tool, FCM Reporting & Analytics, provided full visibility of their travel spend. It also enabled the Account Manager to identify opportunities, missed savings opportunities and make recommendations for greater travel management efficiency and savings during the quarterly reviews.
Based on the review of Lagardère Sports’ air program, FCM identified another airline that is of the same standard as their preferred and savings up to S$12K was recorded for a single route.
FCM also proposed and helped to secure multiple routes based on the travel pattern and data collected to maximise the potential mileage of the alternative airlines. This has also provided the travellers with more flight options and competitive airfares.
Within seven months of implementation, Lagardère Sports saw an overall reduction in travel spend.
Through their program consolidation with FCM, Lagardère Sports managed to reduce its transaction fees to approximately 2% of their total travel spend compared to the initial 4%. By taking on an active role in policy compliance and offering Lagardère Sports access to FCM Global Fares, FCM also delivered additional cost savings close to S$60K during the first seven months.