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Travel procurement

TRAVEL MANAGEMENT CASE STUDY  

Tender and Consolidate 

THE COMPANY  

A leading food production group with multiple production facilities across the UK. 

THE SITUATION  

The company had a fragmented approach to travel and lacked visibility of total spend in this category. A large proportion of spend was processed as expenses, employees were using multiple booking tools and there was no coherent travel policy. The travel budget has risen considerably, and the company wanted to increase visibility of spend, reduce costs and improve duty of care. 

THE OBJECTIVE  

Standardise travel booking process 

THE STRATEGY  

Aggregate and consolidate travel requirements to a single TMC (Travel Management Company) 

THE APPROACH  

Engage with Travel Management Companies to discuss the company’s travel requirements and tender plan. From this market engagement, a tender document was created which allowed all potential TMC’s to submit a competitive proposal. 

THE OUTPUT  

A single TMC was awarded a 2+1 year contract with the following benefits: 
• Improved duty of care 
• A commitment by the TMC to reduce budgeted travel spend by 15% 
• Providing invoices that are compliant with VAT reclaim requirements 
• Bill-back capability 
• Extended payment terms 
• Availability of MI to help the company understand its spend profile 

CONTACT GATEWAY PROCUREMENT 01482 645 844 | enquiries@gatewayprocurement.co.uk   

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