How should procurement approach business travel partner bids?

Kiran Sidhu
Kiran Sidhu
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HR leaders, travel managers, and business owners alike have likely experienced the challenge of finding successful solutions to corporate traveller needs when brokering contracts with partners in the business travelling sphere. From hotel accommodations and flights to car rentals, travellers often require a more diverse set of services than can be found through traditional procurement methods — making it critical for organizations to form partnerships that offer well-rounded solutions suited for everyone involved.

Finding the perfect business travel partner can seem like a daunting proposition, with an ever-growing variety of online booking tools and new technologies available. However, making informed decisions about your chosen vendor comes down to having adequate discernment and knowledge—and it’s worth it! A successful relationship would result in cost savings that go beyond money: better workplace culture leads to increased loyalty for your brand.

Confidently move forward in the process of selecting your organization’s top-tier service providers. Our expertise will provide direction on how to strategically plan for the long haul when it comes to travelling, taking into account current needs along with desired performance objectives. With our guidance, you’ll be able to set yourself up for viable and successful outcomes over time!

Build a strategic sourcing process that works for your team

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Strategic sourcing is essential for procurement departments considering business travel partner contracts. Requiring proposals from potential partners that adhere to a thoughtful and transparent RFP format is the key step in this process. The requesting organization should articulate the scope of their requirement and define the evaluation criteria and expectations while maintaining an open yet professional tone that conveys trustworthiness, business acumen, optimism, creativity, and thoughtfulness. 

Organizations can use a process to evaluate potential partners, understand the market, specify negotiate points, compare offers made by suppliers, and ensure they make the best decision for their budget and needs. Once these parameters are in place, senior management should take the lead with input from the travel manager to ensure consistency throughout the entire sourcing process.

To guide you along this process, a Request for Proposal (RFP) should be carefully constructed by you with details regarding what is expected from the desired business traveller partner and exactly how the requirements should be met. 

  • Clear delivery expectations and specific instructions for submission need to be conveyed. 
  • The RFP should also include timelines and stipulations that safeguard any confidential information provided by potential suppliers. 

Strategic sourcing opens up numerous options to source travel contracts — allowing businesses to find the best pricing while meeting requirements they may not have previously known existed.

Set a standard before seeing travel partners’ proposals

Establishing a standard for viewing business travel partner contracts is critical for the success of any company’s procurement strategy. Company growth relies on informed and strategic decisions by business leaders to guarantee that their travel management service meets all the requirements to simplify the traveller experience while also allowing the company to get the greatest value. 

Having a predetermined standard before viewing any proposals by a travel management service makes both sides aware of what metrics need to be met and how they fit into the organization’s overall vision. This sets everyone up for success and allows efficient communication throughout the process—guaranteed beneficial for all involved. By noting your non-negotiables and filtering out a corporate travel management solution that doesn’t fit those requirements, you ensure that only the top contenders are in the running. 

Once you have a narrowed selection of viable partners, look into their value propositions and client reviews – this will give you a comprehensive look at each potential partner before signing on the dotted line. Ultimately, a clear idea of what you expect from your chosen partner, plus feedback from others who have used them, will help make sure your contract is tight and that all key stakeholders can be ultimately satisfied with the choice.

Compare bids from travel partners that made it past the initial screening

Comparing bids is essential to a successful procurement process regarding business travel partner contracts. Instead of making decisions based on poor connections and relationships, or reducing the choice to a mythical lowest common price denominator, set decision rules before viewing the bids. 

This way, you can be sure the evaluation criteria are based on the core needs of your business first and foremost. A bonus of this approach is that you can go through demo and trial periods with each potential partner to have detailed information that helps you reach the best decision for your company.

Finding the right business travel partner is essential to a company’s decision-making process. Comparing bids helps procurement understand the data behind each potential contract and helps make sure they are making the best decision possible. It allows procurement teams to asses options and compares the cost, quality of service, customer service, staff capabilities, and availability of amenities—while considering current budget restrictions. 

Pricing

Procurement should consider pricing when comparing bids from business travel partner prospects. You need a benchmark to ensure the best value for every dollar spent – but not at the sacrifice of quality. 

Taking thorough notes and having a side-by-side comparison of each vendor’s offering can make all the difference in determining which supplier delivers superior service or amenities at the best price. Diligent research early on can save money in the long run, so taking the time to ensure you have a deep understanding of the different bids will pay off immensely.

Quality

Finding a reliable business partner that meets your corporate travel needs is key. Quality should be at the top of any procurement team’s criteria when identifying the right vendors. Dig deeper than just taking a vendor’s word for it and explore how they’ve lived up to their commitment in the past. Ask around, get feedback from current and former customers, read professional reviews, and use third-party review sites – simple research can build awareness about hidden facts about any service provider. 

Quality assurance will play a central role in finding the best travel partner. Make sure to have a system already in place to assess and continuously re-evaluate those you’re working with. Altogether, these efforts should give your procurement team the peace it needs when selecting from bidders who could share in your travel journey each time an employee boards a plane or moves ahead with bookings.

Response 

When comparing bids from prospective business travel partners, procurement should consider the responses they provide. It is important to understand how a supplier handles contract changes and traveller concerns and whether they effectively and timely implement services and product updates. If quickly addressing client concerns and implementing contract changes is important, then response time should always be one of the main metrics you consider before making a decision. 

Effective supplier management and ensuring travellers have a smooth journey are essential to any successful procurement strategy. To that end, it is particularly helpful to partner with suppliers like TruTrip, who allow clients to customize their contract length for greater flexibility and control. Dealing with a reliable travel partner who meets your high standards, such as TruTrip, will result in smooth-running journeys for travellers and fewer headaches for you. This could be a key factor in helping the organization make the most advantageous decision for the company and its travellers when selecting a business travel partner.

Get your legal department’s input

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Regarding business travel partner contracts, getting the legal department’s input is essential for procurement teams. By consulting with their internal legal experts, procurement teams can ensure they understand the relevant laws and regulations that apply to the contract and its suppliers. 

Legal departments also have invaluable knowledge of the company’s policies, which will provide procurement with a better understanding of potential pre-existing relationships or obligations that may need to be considered. 

They can also review the supplier’s contract, ensuring that terms and conditions follow generally accepted standards and that the company isn’t liable for any undue risks due to their business travel partner contracts. With the help of their internal legal team, procurement can develop a comprehensive travel policy that is likely beneficial for safe and productive business trips.


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