While we are on the subject of travel, we worked with a client who was struggling with paying increased transaction fees with their preferred travel agent. The company had over $15,000 annual air, hotel and auto rental bookings.

As a result, they had a dedicated onsite travel services operation including an onsite agency staff. These costs were subsidized by our client. When all factors were considered, a travel transaction cost the company approximately $35.

We reviewed their travel patterns and booking processes and discovered that over 60% of all transactions could be fulfilled via a self-service online booking tool.

Even with the cost of the tool, the net reduction in transaction costs would be $20/transaction and enable the company to reduce their dedicated agency headcount.

Vendor Management Consulting implemented a new online program and the client began to save on expenses immediately.