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Press Release

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13th March 2013

Smart Mobility Management Article – March 2013

Case Studies – International Baccalaureate Organisation

Lesley Turvey, Senior Partner 3Sixty Global, shares her experience of sourcing and implementing a global travel consolidation project at the International Baccalaureate Organisation (IB). In the last 6 years IB has seen student numbers increase organically by almost 100%. To sustain this level of growth,IB realised that simply increasing staff numbers and expanding operational arrangements would not be sufficient. A restructuring programme was duly initiated to develop IB into a truly global organisation. This has resulted in IB relocating to three new hubs; The Hague in the Netherlands, Bethesda, Maryland in the USA, and Singapore. Business travel representing almost 10% of IB costs base was a category in need of review. Lesley Turvey, Senior Partner at 3SIXTY global, who led the review said, “It was decided that the current fragmented travel and expense (T&E) service arrangements needed restructuring into a unified and consistent global framework.”

Going Global

Daniel Benham, Chief Financial Officer, outlined the four critical success factors that created the right environment for a successful global travel transformation project: 1.Management buy-in from the top; 2.Effective project governance with active sponsors; 3.A good team of internal colleagues and external consultants; and 4. A flexible timeline. The IBO decided that if a global programme was going to be successful then it needed to have the following features:

  • Effective Leadership: A Global Travel Manager, located in The Hague, would be appointed to drive T&E efficiency and effectiveness on a global basis;
  • TMC contract: One global TMC, or a lead TMC with partners under global contract, would be appointed for all transient travel;
  • Policy & Communication: A revised global travel policy, taking account of regional variations, would be implemented.
  • Self-booking: Travellers should be able to book online and directly with the TMC;
  • Payment: A single global solution for all travel expenditure using payment card technology would streamline administrative processes and generate process efficiency savings.
  • Reporting: Strategic and operational management reporting suites would be created to deliver meaningful data to budget holders, operational T&E staff and Senior Leadership.

This, in turn, would enable performance to be measured and help drive continuous improvement;

Making it Happen

The project was delivered in 2 phases, over 2 years. The 1st phase focused on project management and sourcing, and the 2nd on implementation. Turvey explained that the 1st phase consisted of 4 steps: Step 1 – Project Initiation and Stakeholder Engagement: IB identified the resource requirements and stakeholders for the project, and developed the project schedule. Step 2 – Situational Analysis: By engaging with global teams data on transactions, spend and costs was gathered, and a proposed list of must haves and nice to haves in the programme was created. Turvey advises, “It is important to ensure local perspectives are embedded in global agreements.” From this activity a list of potential suppliers was created and an evaluation meeting held with stakeholders to review requirements and draft a Request for Proposal (RFP). Step 3 – Strategy Creation and Approval: “We went out to potential suppliers via email, distributing the RFP, describing the process and hosting a supplier forum” explained Turvey. Alongside this, work was being undertaken by IB on how to compare and contrast suppliers which would be used to create a shortlist of potential suppliers. Step 4 – Strategy Implementation: Background checks were performed on shortlisted suppliers, clarifications sought and supplementary questions issued with Turvey adding that “We held supplier meetings before awarding the contract. Once a decision was made we then began to communicate how we were going to roll out the contract within the business”. Phase 2 saw the contract, which was awarded to BCD Travel along with the payment solution from Airplus, being implemented. The process lasted for 12 months, with The Hague Global Centre and USA and Latin America operations opting for a booking tool alongside offline booking. In Asia Pacific bookings are fulfilled offline.

Return on Investment

A programme that is simpler for the traveller, more efficient for the business and one that achieves better deals with suppliers has been the result. Benham said, “The IB global travel transformation project allowed the IB to move from four regional teams operating independently to three regional teams operating under a single global travel policy with one global travel management company. Complexity has been reduced, travel services have improved and the organization also now enjoys cost benefits”. The outsourcing of travel services has resulted in the closure of the IB Travel Office, and the establishment of global policies and procedures has seen expenditure on expensive flights and hotel nights reduce. Turvey added, “Having access to global data sets means IB is able to leverage supplier spend globally and now understands how travellers behave at a local and global level.”

Building on the Success

The global programme has been built on the foundations of solid data and success in the future requires excellent communication. Benham said, “Lesley has been a first rate consultant who also has been prepared to roll up sleeves and get involved in the day to day detail and decision making that is needed to successfully roll-out such a project. She has been with us when needed with her extensive up to date industry technical knowledge and personal skills to work alongside our staff.” Turvey believes that through the use of data IB has created a virtuous circle. Data enables the Global Travel Manager to analyse the programme from a global perspective and identify opportunities and risks, and this information is used to educate Senior Management, budget holders and travellers which, in turn, leads to changes in corporate and individual behaviour. She said, “All this means that the travel programme is now intelligently helping IB deliver its primary aim: quality educational programmes in a cost effective way.”  Jonathan Green