Weighing up in-country service or hub solution

in country TMC versus hub solution for business travel management
White Papers 24 Jul 2016

The benefits of local service for your travellers and your bottom line.

Assessing what type of travel management service model best suits the interests of an organisation, can be a complex one. For large organisations with a global presence, this decision is best made on a region-by-region and country-by-country basis. For many, the key question is whether to opt for a local travel operation or to consolidate travel purchasing via a regional hub.
 

Both options have a number of benefits and limitations.

Organisations need to first consider:

  • their travellers maturity in booking travel with a TMC;
  • company travel volumes;
  • travel market maturity;
  • local operational priorities;
  • the deployment of technology enablement;
  • payment options;
  • financial reporting, and;
  • timezones and currencies across the region.

Some companies may also need to take into account local cultural nuances, particular market issues and the diversity of languages used in the region.The benefits of local service for your travellers and your bottom line.

Travel management

The importance of local supplier relationships needs to be weighed up against the benefits of taking a regional approach. SME global clients need to evaluate if their volumes are large enough to have extended operating hours (to cover timezones) and various bi-lingual consultants (to cover various nationalities).

Hub solution

Travellers

On the ground knowledge and fluency in the local language, can both be important in finding the most efficient model for travellers. In the FCm annual survey travellers continually thank us for providing in-market local services and local languages support.

local service v hub solution

Finance and Accounting

Payment options, credit card acceptance and tax issues have the ability to simplify or complicate travel management programs.

local service v hub solution

Suppliers

Local relationships can be very valuable in gaining supplier support, while a regional approach with a single contact can assist with policy compliance.

local service v hub solution

Finding the most suitable solution for an organisation’s travel objectives and budget, may require the knowledge and perspective provided by an experienced travel management company. 

FCm Travel Solutions can tailor the right service and finance model for every organisation, with the flexibility to evolve along with the lifecycle of a travel program. In some cases, the ultimate solution may need to be implemented in a number of stages over several years under the guidance of our experienced account managers.