How would you design a company travel policy? [MERGED THREADS]
Feb 15, 2007, 11:00 pm
#1
Original Poster
Join Date: Jun 2006
Location: California
Programs: AS,WN,UA,B6,hotels
Posts: 4,239
How would you design a company travel policy? [MERGED THREADS]
Inspired by complaint threads like http://www.flyertalk.com/forum/showthread.php?t=659894 and http://www.flyertalk.com/forum/showthread.php?t=660074 ...
How would you design a company travel policy?
Given the usual general goals: make business travel convenient and comfortable for traveling employees without costing excessive amounts of money or encouraging abuse (e.g. employees expensing triple the usual fare to go on a mileage run or the royal suite in the hotel or the exotic car).
How would you design a company travel policy?
Given the usual general goals: make business travel convenient and comfortable for traveling employees without costing excessive amounts of money or encouraging abuse (e.g. employees expensing triple the usual fare to go on a mileage run or the royal suite in the hotel or the exotic car).
Feb 16, 2007, 9:08 am
#2
Moderator: Coupon Connection & S.P.A.M
Join Date: May 2000
Location: Louisville, KY
Programs: Destination Unknown, TSA Disparager Diamond (LTDD)
Posts: 57,955
1. Spend the company's money as if it were your own.
2. Violation of #1 will result in letting a non-traveling employee book your travel for 3 months. Further violations will result in longer periods of being booked on undesirable carriers and in undesirable hotels in the name of the bottom line.
2. Violation of #1 will result in letting a non-traveling employee book your travel for 3 months. Further violations will result in longer periods of being booked on undesirable carriers and in undesirable hotels in the name of the bottom line.
Feb 16, 2007, 9:40 am
#3
Join Date: Jan 2005
Location: Vancouver, Canada
Programs: United MileagePlus Silver, Nexus, Global Entry
Posts: 8,798
>How would you design a company travel policy?
One of the things that frustrates me about corporate travel is how some companies inability to book in advance results in suffering for the employees.
I realize a lot of business travel has to be last minute, but a lot of it also doesn't have to be. For example, if you're going to send employees to a conference in eight months, book the hotel room now! Don't complain about $40 / day in taxi rides because unavailability forced you to book the employee in a hotel 20 km away.
Regards,
Geoff Glave
Vancouver, Canada
One of the things that frustrates me about corporate travel is how some companies inability to book in advance results in suffering for the employees.
I realize a lot of business travel has to be last minute, but a lot of it also doesn't have to be. For example, if you're going to send employees to a conference in eight months, book the hotel room now! Don't complain about $40 / day in taxi rides because unavailability forced you to book the employee in a hotel 20 km away.
Regards,
Geoff Glave
Vancouver, Canada
Feb 16, 2007, 1:03 pm
#4
Join Date: Aug 2000
Location: Exile
Posts: 15,661
I actually DID have to draft an interim Travel and Expenditure Policy for my company a couple years ago before our HR department came into existence and took over that function. I tried to keep it simple and it was much appreciated. Nowadays, nobody can even understand what our policy is, so everyone ignores it.
I have reproduced much of my original policy below (with some industry-specific policies edited as they are not relevant to mainstream industries).
I have reproduced much of my original policy below (with some industry-specific policies edited as they are not relevant to mainstream industries).
TRAVEL AND EXPENDITURE POLICY
Principle
The guiding principle of this policy is that an employee should neither accrue a profit nor suffer a loss as a result of company travel.
Process
Employees are authorized to spend amounts within reason that directly support the purpose of their travel. These amounts will be fully reimbursed by the company after review of relevant receipts.
Cash advances in foreign currency may be provided on request and are subject to the same documentary requirements as expense claims. Excess monies should be returned at the end of each trip and all spending accounted for.
Air Travel
• Tickets may be purchased at the lowest Economy Class market fare that suits travel plans.
• Revenue travel in Business Class must be expressly authorized.
• Purchase requests must be completed and approved prior to any revenue tickets being purchased.
Hotel Accommodation
• All accommodation will be single rooms except under special circumstances.
• Hotels should be selected that are modest but safe and clean and conveniently located. Examples of appropriate hotels include Holiday Inn, Courtyard by Marriott, etc…
• Corporate discounts or negotiated rates must be utilised when possible. Corporate discounts are available at Sheraton, Marriott, Holiday Inn, Intercontinental and Hilton hotels.
• Company will not be responsible for additional charges to accommodate accompanying non-company personnel.
• Where possible, all charges from the hotel should be charged to the room and consolidated on a single receipt.
• Private charges for incidentals should be itemised and are not reimbursable.
Communications
• The purpose of company provided telecommunications is to ensure efficiency of running the business. Personal calls should be kept to a minimum.
• Personnel should utilise company provided telecommunications where possible and refrain from utilising third party networks unless necessary.
• Use of hotel telephones and international roaming should be restricted to essential purposes only.
• Internet facility (wireless/hi-speed/dialup) for business purposes may be purchased at the relevant hourly or daily rates.
Meals and Incidentals
• Personnel will be entitled to a daily allowance of expenses for meals and incidental expenses as per the per diem chart. Any amount above this limit will require specific authorization.
• Use of hotel laundry is authorized for trips of duration 5 days or longer, or in the event of unplanned extension of travel dates.
Visas, Health and Insurance
• When required, visas must be obtained in advance where practical. Company will provide sponsorship letters and all required documentation. Visa costs will be reimbursed on presentation of receipts.
• Personnel must ensure they have all recommended inoculations for travel. Costs will be reimbursed on presentation of receipts.
• Company will provide a health insurance policy for all traveling employees. All medical expenses should be claimed under this policy where possible.
Ground Transportation
• Public transportation should be utilised where possible and convenient, keeping in mind optimum use of time. Please save tickets and request receipts from taxis where possible.
• Personnel are authorized to rent vehicles if required at a daily rate not to exceed US$50 per vehicle per day or equivalent in local currency, not including taxes and fees. Personnel must ensure that full insurance coverage is in place, either through existing personal or company policies, or via purchase from the rental company.
• In locations with increased security risks, a driver/security escort may be required and should be hired a reasonable charge in addition to vehicle costs.
• Fuel expenditure will be reimbursed upon presentation of receipts.
Entertainment
• Entertainment of business contacts is permitted within reason and should have express authorization where possible.
• Entertainment of government contacts must be expressly authorized and must be appropriately documented together with a report of the business transacted at the meeting.
• Receipts must be presented for all individual transactions that exceed $10.
Gifts and Gratuities
• Only approved corporate gifts may be given to business associates.
• No gifts or gratuities should be given or promised to Government officials without express authorization.
• Gratuities for business related assistance provided by service personnel (eg. porters, checkin agents, etc…) should be documented and reimbursement claimed.
All managers are expected to act in good faith with regards to travel expenses. Abuse of the policy will result in its revision and/or disciplinary action.
Principle
The guiding principle of this policy is that an employee should neither accrue a profit nor suffer a loss as a result of company travel.
Process
Employees are authorized to spend amounts within reason that directly support the purpose of their travel. These amounts will be fully reimbursed by the company after review of relevant receipts.
Cash advances in foreign currency may be provided on request and are subject to the same documentary requirements as expense claims. Excess monies should be returned at the end of each trip and all spending accounted for.
Air Travel
• Tickets may be purchased at the lowest Economy Class market fare that suits travel plans.
• Revenue travel in Business Class must be expressly authorized.
• Purchase requests must be completed and approved prior to any revenue tickets being purchased.
Hotel Accommodation
• All accommodation will be single rooms except under special circumstances.
• Hotels should be selected that are modest but safe and clean and conveniently located. Examples of appropriate hotels include Holiday Inn, Courtyard by Marriott, etc…
• Corporate discounts or negotiated rates must be utilised when possible. Corporate discounts are available at Sheraton, Marriott, Holiday Inn, Intercontinental and Hilton hotels.
• Company will not be responsible for additional charges to accommodate accompanying non-company personnel.
• Where possible, all charges from the hotel should be charged to the room and consolidated on a single receipt.
• Private charges for incidentals should be itemised and are not reimbursable.
Communications
• The purpose of company provided telecommunications is to ensure efficiency of running the business. Personal calls should be kept to a minimum.
• Personnel should utilise company provided telecommunications where possible and refrain from utilising third party networks unless necessary.
• Use of hotel telephones and international roaming should be restricted to essential purposes only.
• Internet facility (wireless/hi-speed/dialup) for business purposes may be purchased at the relevant hourly or daily rates.
Meals and Incidentals
• Personnel will be entitled to a daily allowance of expenses for meals and incidental expenses as per the per diem chart. Any amount above this limit will require specific authorization.
• Use of hotel laundry is authorized for trips of duration 5 days or longer, or in the event of unplanned extension of travel dates.
Visas, Health and Insurance
• When required, visas must be obtained in advance where practical. Company will provide sponsorship letters and all required documentation. Visa costs will be reimbursed on presentation of receipts.
• Personnel must ensure they have all recommended inoculations for travel. Costs will be reimbursed on presentation of receipts.
• Company will provide a health insurance policy for all traveling employees. All medical expenses should be claimed under this policy where possible.
Ground Transportation
• Public transportation should be utilised where possible and convenient, keeping in mind optimum use of time. Please save tickets and request receipts from taxis where possible.
• Personnel are authorized to rent vehicles if required at a daily rate not to exceed US$50 per vehicle per day or equivalent in local currency, not including taxes and fees. Personnel must ensure that full insurance coverage is in place, either through existing personal or company policies, or via purchase from the rental company.
• In locations with increased security risks, a driver/security escort may be required and should be hired a reasonable charge in addition to vehicle costs.
• Fuel expenditure will be reimbursed upon presentation of receipts.
Entertainment
• Entertainment of business contacts is permitted within reason and should have express authorization where possible.
• Entertainment of government contacts must be expressly authorized and must be appropriately documented together with a report of the business transacted at the meeting.
• Receipts must be presented for all individual transactions that exceed $10.
Gifts and Gratuities
• Only approved corporate gifts may be given to business associates.
• No gifts or gratuities should be given or promised to Government officials without express authorization.
• Gratuities for business related assistance provided by service personnel (eg. porters, checkin agents, etc…) should be documented and reimbursement claimed.
All managers are expected to act in good faith with regards to travel expenses. Abuse of the policy will result in its revision and/or disciplinary action.
Feb 16, 2007, 7:29 pm
#6
Join Date: May 2003
Location: GEG
Programs: Motel 6 Club Avoir Le Cafard
Posts: 5,027
Since you are designing a policy from the standpoint of the Company, here goes.
1. All travel shall be booked by my secretary Shirleen who I am proud to announce, has just received her G.E.D. Let's hear it for Shirleen!
2. All employees shall pay for all airfare, hotels, car rentals and incidentals using personal credit cards.
3. Receipts are required for all expenditures of $0.25 or more.
4. All expense reports and all receipts shall be turned in within 24 hours of return from travel to be considered for reimbursement.
5. Expense checks shall be issued within 90 to 120 days if the expense report is in order. Expense reports that must be resubmitted will be subject to further delays.
1. All travel shall be booked by my secretary Shirleen who I am proud to announce, has just received her G.E.D. Let's hear it for Shirleen!
2. All employees shall pay for all airfare, hotels, car rentals and incidentals using personal credit cards.
3. Receipts are required for all expenditures of $0.25 or more.
4. All expense reports and all receipts shall be turned in within 24 hours of return from travel to be considered for reimbursement.
5. Expense checks shall be issued within 90 to 120 days if the expense report is in order. Expense reports that must be resubmitted will be subject to further delays.
Feb 17, 2007, 12:29 pm
#9
Join Date: Jan 2005
Location: Vancouver, Canada
Programs: United MileagePlus Silver, Nexus, Global Entry
Posts: 8,798
>2. All employees shall pay for all airfare, hotels,
>car rentals and incidentals using personal credit cards.
I actually don't mind this one - In my wife's case it means tens-of-thousands of aeroplan miles that go into our account which we otherwise wouldn't see.
Cheers,
Geoff Glave
Vancouver, Canada
>car rentals and incidentals using personal credit cards.
I actually don't mind this one - In my wife's case it means tens-of-thousands of aeroplan miles that go into our account which we otherwise wouldn't see.
Cheers,
Geoff Glave
Vancouver, Canada
Feb 17, 2007, 12:55 pm
#11
Join Date: Dec 2006
Location: Washington, DC
Programs: US-CP, UA, Marriott Rewards, HHonors, Avis,
Posts: 4,549
No matter what the policy is, I would make it as specific as possible; an example is my employer's per diem policy which is about 40 pages long and has a clear cut-off for all major cities in the world and lots of minor ones. I would also keep a network of preferred hotels and airlines BUT allow employees to go off-list at their discretion any time the non-preferred vendor was less expensive. That's easily documented--- many big companies have self-service travel sites for employees to make their own arrangements, and a tweak to that software could capture all the airfares or hotel rates that came up in the employee's search. I would make nonstop flights the standard because connecting through isn't always cheaper, definitely wastes the employee's time, and leads to too many potential problems.
Feb 17, 2007, 2:23 pm
#12
Moderator: Coupon Connection & S.P.A.M
Join Date: May 2000
Location: Louisville, KY
Programs: Destination Unknown, TSA Disparager Diamond (LTDD)
Posts: 57,955
No matter what the policy is, I would make it as specific as possible; an example is my employer's per diem policy which is about 40 pages long and has a clear cut-off for all major cities in the world and lots of minor ones. I would also keep a network of preferred hotels and airlines BUT allow employees to go off-list at their discretion any time the non-preferred vendor was less expensive. That's easily documented--- many big companies have self-service travel sites for employees to make their own arrangements, and a tweak to that software could capture all the airfares or hotel rates that came up in the employee's search. I would make nonstop flights the standard because connecting through isn't always cheaper, definitely wastes the employee's time, and leads to too many potential problems.
I have zero desire to work for a company that forces me to fly Southwest just because there's a nonstop. If I want to leave an hour earlier and connect on a preferred carrier for the same relative price, I should be able to.
I want to use onboard power, lounges, have a shot at upgrading to F/J, and accumulate meaningful rewards I can use. Being forced to use a LCC when there's little to no savings to be had just makes me want to work elsewhere.
Feb 18, 2007, 7:41 am
#15
Join Date: Nov 2006
Programs: Flying Blue, easyJet Plus (!)
Posts: 1,762
This is all very well, but some people are more careful with their own money than others! (For example, I in my current role am in certain circumstances allowed first class rail travel, but I normally go for Standard as it is perfectly adequate and the cost of First Class in the UK is offensively high to the point I consider it a complete waste of money).
This is one of the areas where per-diems, allowances etc are better for the company. You decide how much you wish to pay per day for food, hotel etc (though obviously not flights and the like) and pay it, and if the employee wishes to splash out or economise they can do so, and either throw in the extra or gain slightly from it. The trouble with this, of course, is tax.
This is one of the areas where per-diems, allowances etc are better for the company. You decide how much you wish to pay per day for food, hotel etc (though obviously not flights and the like) and pay it, and if the employee wishes to splash out or economise they can do so, and either throw in the extra or gain slightly from it. The trouble with this, of course, is tax.