Supply Mgt

In the latest edition of Supply Mangement magazine (essential reading for insomniacs and those who have lost the will to live) there was a 30 page Travel Management supplement. Anyway, there's an article entitled "Putting travellers out of business" discussing the need restricting business class usage :-
Length of flight - only allowed bus. class for journeys >10 hours
Personnel - only senior mgt
Reason - only allowed with important customers
Duration - allowed if your trip is shorter than the stay
Overnight flights - downgrade to PE on day flights.
Preferred carrier - restictions on travel with non-preferred carriers.

Intel (microchips) cut their bill by 70% by cutting out business class travel.Quote from their travel mgr "Traveller comfort cmoes after cost in the line-up. We tested the costs recently and business class came out 3.5 times higher than economy on routes over 8 hours."
Some companies are giving a free night at the destination if employees travel coach because of the saving.

This is bound to enter Virgin's thinking.
Also, true to form the article has 3 pics - 2 of the Virgin suite and one of the onboard bar. My goodness they pop up everywhere.

Interesting - Thanks for this galgorm.

Originally posted by galgorm
We tested the costs recently and business class came out 3.5 times higher than economy on routes over 8 hours.

Looking at unrestricted fare I'd say on VS it was a little more (Y=£700, PE=£1400, UCS=£3800)

Originally posted by galgorm
Some companies are giving a free night at the destination if employees travel coach because of the saving.

Like the idea of an incentive to travel Y but not sure this one appeals to me. I normally just want to get home.

Phil (Buffy)

[preiffer]

Originally posted by galgorm
Some companies are giving a free night at the destination if employees travel coach because of the saving.

Like the idea of an incentive to travel Y but not sure this one appeals to me. I normally just want to get home.

Fully agree.

It's of benefit to the COMPANY that you stay an extra night, not the employee - as the Saturday night (that this tactic often involves) directly affects the cost of the ticket...

Another area for this is the accumulation of FF miles, given that in most cases the company is paying for the ticket there are some companies that say the mileage earnt is actually theirs and not the individual travellers even when the FF card is in the travellers name.

Now I for 1 would be very peeved if I had to give any mileage back to my firm, after all its the company who elects to send someone on a trip, and in a situation where a person has to be away from their family for days on end at their employers behest I think mileage earnt acts as compensation.

I may be wrong on this but its what I think and feel [:(]

[preiffer]

The mileage issue can be very neatly dealt with through VS - by using FlyingCo [y]

Originally posted by preiffer
The mileage issue can be very neatly dealt with through VS - by using FlyingCo [y]

Thanks, luckily I no longer have this situation - now I just dont tell the firm I'm now with that I have FF cards!!!

Let's not forget also that larger companies, and mid-size, have the ability to negotiate deep discounts if they promise thresholds of travel with a particular carrier. This is why in the past I've been forced to fly AA or BA (never worked for a company with a Virgin deal [:(]) so sometimes the multiples are less.

Like many here, I've witnessed trends from business to PE/WT+ or policies stating biz only if >5 hrs. Not come across >10 hrs yet. If that were the case I'd plan all my meetings in SYD or SFO . Like Phil, I just want to get there and come home, and often work on route.

Its standard in many companies, with them for European flights insisting on you using the LoCo airlines, this is the future, remember, its got to come from somewhere the costs involved.

Many businesses, particularly american, seem to find PE an excuse for cost-cutting and put their employess there rather than J, citing it as biz instead of Y+.

Cheers,
VS045

[preiffer]

Ours is quite simple:

2 hours = Business

- plus -

2 hours = Business

That seems quite sensible Paul, although as i said earlier some businesses have a bit of trouble defining biz class on vs.

Cheers,
VS045

Originally posted by galgorm
Length of flight - only allowed bus. class for journeys >10 hours

Yup, I work for a large 'merican corporation, and that's the policy (with the addition of "cheapest fare & routing possible") [:(!]

Cheers

Michael

I have just been booking flight to Mumbai and thought that my travel dept was going to make me fly BAÉÉÉ. But my company have negotiated with Virgin and got great discount (Virgin are no a preferred airline) way hayÉ Now looking forward to Mumbai and and a trip to Sydney in UC.

Oh and the points and Tier points

PJ

I work for a smaller company. The policy for us is Y, whoever you are, where ever you are going. Tight I know, by egalitarian at least. Lots of areas of the travel policy do get critised, but amazingly this is not one of them - its they area everyone understands and happily accepts.

Originally posted by preiffer
Ours is quite simple:

2 hours = Business

- plus -

2 hours = Business

I think in this day and age that's a 'lucky' or generous policy ...