How To Write An Effective Travel Policy Manual

The Key Factor in Controlling Travel Expenses

Introduction

Balancing Corporate Culture With Appropriate Controls

Corporate Culture
Control of Administrative Behavior

Policy Development

• Regular updating
• Senior management support
• Clearly stated purpose, responsibilities, and enforcement
• Instructions
• Differentiation between in-town and out-of-town expenses
• Domestic and international travel distinctions
• Approval guidelines
• Corporate discounts and agreements
• Corporate contact

1. Making Travel Arrangements
2. Group and Meeting Travel
3. Air Travel
4. Lodging
5. Car Rentals
6. Meals and Entertainment
7. Documentation
8. Payment Methods
9. Expense Reports
10. Other Reimbursable Expenses
11. Non-reimbursable Expenses
12. Communicating the Travel Policy
13. Monitoring Policy Compliance
14. Enforcing Travel Policy

Controlling Meals and Entertainment Expenses

Factors That Influence Meal and Entertainment Spending
Inflation
Taxes
Internal Company Policies
Payment Methods
Kinds of Meal and Entertainment Expenses
Controlling Meal and Entertainment Expense
Per Diems
Spending Guidelines and Limits
Documentation and Reporting Requirements

Group and Meeting Travel

Quantify Group Travel Expenditures
Organizing for Effective Group Travel Management
Group Travel Agency Services

Pre-Meeting:
During the Meeting:
Post-Meeting:

Group Travel Purchasing Strategies

T&E Payment Methods

What Benefit Can Payments Offer
Weighing the Variables
• Type of traveler
• Type of travel
• Type of expense
• Definition of a traveler
• Location of travelers
Culture vs. Administration

Employee-Funded Payment Methods
Advantages of Employee Funding
Disadvantages of Employee Funding

Company-Funded Payment Methods

Cash Advances
Temporary Cash Advances
Guidelines for reduced reliance on temporary cash advances include:
Permanent Cash Advances
Advantages of Cash Advances
Disadvantages of Cash Advances

Direct Billing By Travel Vendors

Advantages of Direct Billing
Disadvantages of Direct Billing

Limited-Purpose Corporate Cards

Advantages of Limited-Purpose Corporate Cards
Disadvantages of Limited-Purpose Corporate Cards

Multipurpose Corporate Cards

Advantages of Multipurpose Corporate Card Systems
Disadvantages of Multipurpose Corporate Card Systems

Role of the Corporate Travel Manager

Managing the T&E Budget
Administering the Travel Policy
Vendor Management
Other Responsibilities
Selecting the Right Travel Manager