As a journey supervisor, you will have entry to swathes of worker journey knowledge. Every time an worker travels for enterprise, an enormous quantity of information is created—from how a lot the journey price and the way it was booked, to which distributors have been used, and the way carefully the journey complies together with your company journey coverage.
All of this knowledge gives you with the perception you want to observe key efficiency indicators (KPIs) for journey administration. Normally, organizations will determine which KPIs for journey administration to deal with by making certain that they align with their journey budgets, total enterprise journey targets, and journey business benchmarks.
It’s your job to not solely set up and monitor the proper journey administration KPIs on your group but in addition to leverage the outcomes and switch them into actionable insights to assist optimize your journey administration program.
So, which KPIs for journey administration are most essential to measure? Under, we’ll cowl 9 journey administration KPIs which can be essential for many organizations.
What kinds of KPIs for journey administration do you have to be measuring?
Many organizations view measuring journey KPIs primarily as a solution to cut back prices or optimize the way in which they use their journey price range. Nonetheless, though price financial savings are essential, there are additionally different essential components to contemplate.
Listed here are 4 broad kinds of company journey metrics that every one organizations ought to measure:
Monetary metrics
These metrics are associated to how organizations can get monetary savings and defend their backside line. For instance, this class covers KPIs that measure coverage compliance, overspend outdoors of reserving instruments, complete spend, and price financial savings. Cancellation prices and common spend per vertical (flight prices, resort prices, and so forth.) would additionally fall below this class.
How TravelPerk makes monitoring journey spend easy
The one solution to actually keep on prime of what you are promoting journey price range, is with entry to real-time reporting. With TravelPerk’s subtle reporting instruments you may break prices down by worker, staff, journey sort, common journey price, recoverable VAT, and extra.
High quality metrics
High quality metrics cowl KPIs that relate to worker satisfaction. For instance, KPIs of this sort measure traveler satisfaction, traveler engagement with accepted reserving platforms, and SLA settlement satisfaction by distributors.
Enterprise metrics
Lastly, enterprise metrics cowl return on funding (ROI) and productiveness KPIs. For instance, organizations can measure journey success price, productiveness price, and the influence on journey inside departments to gauge how profitable their journey program is.
Sustainability metrics
Measuring sustainability metrics is essential for corporations to fulfill their company social duty targets. Many areas are ceaselessly releasing new environmental laws, corresponding to the Company Sustainability Reporting Directive (CSRD) within the European Union, and organizations ought to be monitoring sustainability KPIs to remain compliant.
Some examples of sustainability metrics are the quantity of CO2 being produced by enterprise journey, how a lot of this CO2 is offset, which transport sorts are getting used (prepare journey, air journey, and so forth.), and whether or not there are alternatives to make journey extra eco-friendly.
9 High KPIs for journey administration
Now that we’ve lined an important journey administration KPI classes, under, we’ll undergo 9 KPIs that your group ought to measure to guage the effectiveness of its company enterprise journey coverage.
1. Reserving instrument adoption
If your organization has invested in a reserving instrument or a full-service journey administration platform, you doubtless did so with the intention of streamlining processes, making certain compliance, and, importantly, making financial savings on company journey.
Though you’re on board with the journey reserving answer, what number of of your touring workers are utilizing different reserving channels to make journey preparations? Measuring the proportion of workers who’ve absolutely adopted the instrument as their main technique of creating journey preparations will enable you consider how efficient the web reserving instrument is, and the extent of ROI you’re getting out of it.
Plus, your reserving instrument will solely present workers accepted suppliers which have been included in your company journey coverage, and are more likely to give you company reductions. To achieve higher reserving visibility, divide the booked and ticketed spend by your complete journey spend to find how properly your group has adopted your reserving instrument.
2. Use of accepted strategies of cost
Very similar to your reserving instrument, it’s essential to get a deal with on how compliant your workers are with the types of cost they’re utilizing.
For instance, organizations that present their workers with an organization bank card to cowl enterprise journey bills have to know the degrees of non-compliance with their cost coverage. A journey and expense coverage is supposed to assist organizations hold occupational fraud at bay, streamline the reimbursement course of, and adjust to tax workplace rules. Plus, having accepted cost strategies makes it simpler to watch journey spend and determine areas for optimization.
You possibly can measure how properly your workers are adhering to your cost coverage by dividing your travel-related spend on an organization bank card by your complete journey spend.
Have to measure the proper metrics for what you are promoting journey program?
3. Share of bookings made inside coverage
Does your organization have a company journey coverage in place? Journey insurance policies are key for staying on prime of spending, rising reserving effectivity, and maintaining vacationers secure.
It’s essential to grasp how many individuals are reserving inside coverage over time. You’ll additionally need to know the explanations for any coverage violations: are managers taking too lengthy to approve enterprise journeys, inflicting them to go up in worth? Is the coverage too strict? Or are vacationers reserving their journeys too last-minute? By observing traits within the knowledge, you’ll have the ability to uncover potential flaws in your organization’s journey administration program.
4. Financial savings from company journey reductions
Securing company journey reductions is an effective way for organizations to maintain prices low. Whereas many corporations spend time individually negotiating reductions with totally different distributors, there’s a higher and simpler means to do that. Journey administration platforms like TravelPerk typically have their very own offers with distributors, and supply unique reductions on journey providers (like airline ticket costs, resort rooms, and automobile leases) to all their prospects, to allow them to benefit from company reductions with out having to barter their very own charges.
To measure the proportion your organization has saved by securing company charges and reductions by means of your journey administration platform, take the common market price and subtract the discounted price, then divide by the common market price and multiply by 100.
Able to take pleasure in price financial savings on enterprise journey?
5. Traveler satisfaction
Understanding how joyful your touring workers are is essential to enterprise success. In the event that they aren’t proud of their journey experiences, their unhappiness is probably going related together with your company journey program and coverage. As with different areas of enterprise, when workers are sad, retention charges are more likely to plummet.
Requiring vacationers to take common satisfaction surveys about their journey experiences offers you perception into how properly your journey insurance policies are working. Ask them about their transportation, lodging, expense, and reserving experiences to determine areas for enchancment.
6. Share of adjustments, rebookings, and cancellations
The place doable, you need to keep away from making any adjustments to bookings since they often incur steep expenses and extra spend.
Check out the proportion of rebookings, adjustments, and cancellations throughout a selected interval. This offers you an thought of whether or not there are particular occasions of the month or 12 months when adjustments to bookings happen, whether or not they are often attributed to particular departments, and what causes got for the adjustments. From there, you may think about how greatest to scale back the whole quantity of adjustments made to authentic bookings.
If vacationers are making loads of last-minute adjustments, think about using a versatile journey reserving choice like FlexiPerk. FlexiPerk permits TravelPerk prospects to e-book any flight, resort, automobile, or prepare at any price, after which cancel at any time and obtain an 80% refund as credit score on the platform. This ends in a 40% common financial savings in comparison with conventional versatile fares.
7. Share of advance bookings
Reserving forward saves organizations cash, and usually provides extra flexibility and selection with journey preparations. Normally, your workers ought to be reserving journey as far upfront as doable.
In fact, eventualities that decision for last-minute bookings can all the time come up. However, in the event you check out what number of days upfront journey preparations are made on common, you’ll get an image of whether or not you want to alter your journey reserving processes and/or insurance policies.
8. Variety of journey incident stories
You will have a authorized obligation to maintain your workers secure once they journey. This is called responsibility of care. To satisfy your responsibility of care obligations, you’ll have to have journey danger administration insurance policies in place that tackle dangers like political unrest, sickness, regional safety issues, and entry necessities.
Take an excellent take a look at the whole variety of incident stories over a selected timeframe to gauge simply how secure your workers are once they journey. Plus, be proactive about any further measures you may put in place to make sure their security throughout any future enterprise journey.
Lastly, to fulfill your sustainability targets, you’ll want a means of measuring your group’s carbon footprint. This entails understanding how a lot CO2 is being launched into the environment throughout enterprise journey.
Upon getting visibility over your carbon footprint, you may determine alternatives for extra sustainable journey. For instance, vacationers might take trains as an alternative of flying at any time when doable, and will additionally go for public transportation over non-public taxis as soon as they’ve arrived at their vacation spot. TravelPerk’s GreenPerk program permits companies to routinely calculate the carbon footprint of their enterprise journey program, and attain web zero emissions by investing in carbon offsets.
