2012 Annual Conference & TradeshowCelebrating 26 years of service to the Collegiate Travel Marketplace

CAN A FULLY AUTOMATED TRAVEL PROGRAM EXIST & SUCCEED

IN HIGHER EDUCATION?

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Background and Problems

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Background

Public Institution of Higher Ed founded by Thomas Jefferson in 1819

Does not have a “Travel Department”

FY 2011 University purchased approximately 22 million dollars worth of Travel related services

o8 million in Airo1.5 million in rental caro13 million in lodging

Here they are:

Travelers

Procurement

Hotels AirlinesRental Car

Online booking sites

What are the

travel rules?

Travel MGMT Vendors

9

Accounts Payable

5

Guest & Visitors

Visiting Professors

Visiting Family

Prospective Students

Sports fans

Website

Travel agent or booking site

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

The Problem

1) Lack of Fiscal Management

2) Not using available Technology

3) Process was fractured and confusing

4) No University Guests & Visitor travel assistance

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Crossroads DecisionCreate a new travel position

orOutsource

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Vision and Goals

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Post travel audit of vendor charges

Accurate spend Reports

Customized online booking tool

P-card allowed for lodging

Traveler monitoring and Risk MGMT

Single Award Travel MGMT Vendor

Online Travel Booking Engine

Vision of Travel MGMT

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Vision of Guest & Visitors

Visiting Professors

Visiting FamilyProspective Students

Sports fans WebsiteWith Travel

Tools

“One-stop-shop”

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

The Vision

Create a Travel Management Program that is:

1) Fiscally strategic and well managed

2) Technologically innovative

3) Simplified

4) Guest & Visitor friendly

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Implementation & Results

Online Booking Tool

Travel M

GMT

Vendor

UVA Travel

Step 1Travel MGMT

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Single Award: PanAm (formerly Travelectra)oLow transactional cost / no implementation costoPrice match guarantee

Completely customizable booking tooloTravel rules with hard or soft stopsoDifferent rules for different departmentsoAutomated (synchs with data sources)

100% post trip Audit

Travel Risk and information management

Allow P-card to be used for all three pieces of travel: Air, hotel, and car

Things a Travel MGMT Program Should have

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Travel MGMT: Success OverviewWhat Old way

(9 contract vendors)PanAm

Average $ $30 to $45 $4.35 to $17.75

Online Booking solution None Customized solution

Ability to negotiate with airlines

Near impossible Yes

P-card on Hotel spend No Yes

Post travel Audit Not included 100% audit of transactions

Revenue stream None Yes

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Travel MGMT: Money

UVA Reservation System Go online

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Where are your Travelers?

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Risk Workflow

G & V Lodging WidgetOnline Booking Tool

Travel M

GMT

Vendor

UVA Travel

Step 2Guests & Visitor Travel

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

What is a Widget?

Who are UVA’s Guests & Visitors?

Lodging Widget RFP

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Travel MGMT: Money

UVA Lodging WidgetGo online

LocalLodging

G & V Lodging WidgetOnline Booking Tool

Travel M

GMT

Vendor

UVA Travel

Step 3Create Local Lodging Contracts

23

Local Lodging Process

Call hotels for availability and rates

Circle back around to best option

Create PO and give vendororder confirmation

Pay invoicePO adjustment

Give rates and availability

Soft confirmation / Hold

Final confirmation communicationStay occurs

Send invoice to AP

UVA Department

Local Lodging Vendor

AP

PO Increase needed?

Ask Procurement – where is it in the process

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Competitive rates and friendly T&CsLong Agreement termVendor to vendor contractuals spelled outLocal corporate reward points: $50,000 in room certificates annuallyUniversity department approved “order confirmation document”Last room availability clauseP-card used for payment methodRevenue stream

Things a Local Lodging Program should have

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Negotiated with Travelectra to:oWaive booking fees for local lodgingoCharge the local hotels a 8% transaction feeoTravelectra keeps 4% / UVA gets the other 4% (about 80K annually)

Revenue for Local Lodging

Iden

tify

Coop

erati

ve

cont

ract

s

Natio

nal H

otel

Cont

ract

s

Car

Rental

contractsAir Contracts

LocalLodging

G & V Lodging WidgetOnline Booking Tool

Travel M

GMT

Vendor

UVA Travel

FutureStep 4

Create National / Worldwide Travel Contracts

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Can a Fully Automated Travel Program Exist & Succeed in Higher Education?

Answer to the Question

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Are we better off than we were 2 years ago?Pros

Fees / Rates / DiscountsP-card + lodgingNew Revenue SteamsServices for University G&VsBetter understanding of travel spendTravel & Risk MGMT Online booking tool

Pros

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Online booking toolImplementation

Size of teamSlippage

Travel policiesUpdatingConflicting with system capabilities

Audit requirementsLocal Lodgers

Transaction feesInternal website updates

Lessons Learned

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Trust

Communication

Shared Vision

Make no assumptions

Long term commitment

Tips for success

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Can a Fully Automated Travel Program Exist & Succeed in Higher Education?

Answer to the Question

Can a Fully Automated Travel Program Exist & Succeed in Higher Education

Questions?

Kevin Crabtree – Senior BuyerUniversity of Virginia

Procurement & Supplier Diversity Serviceskc5yc@virginia.edu

434-924-4219