THE FUTURE OF WORK HOW BUSINESS TRAVEL IS CHANGING - DigiTravel Consulting

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THE FUTURE OF WORK HOW BUSINESS TRAVEL IS CHANGING - DigiTravel Consulting
HOW BUSINESS TRAVEL IS CHANGING
THE FUTURE OF WORK
                                        These Are the Critical Factors to Consider as Companies
                                        Devise Future of Work Rules for Employees and Travelers
CONTENT SOLUTIONS

                                        T
Erica Stevens
Writer
                                              he pandemic has blurred the lines between
                                              home and office and between business traveler
Mary Ann McNulty                              and employee. Now more than ever, companies
Executive Director, Content Solutions
mmcnulty@thebtngroup.com
                                        are learning how to listen to and care for their
                                        employees—whether they are in an office, traveling
Louis Magliaro                          or working from home.
Executive Vice President
& Group Publisher
lmagliaro@thebtngroup.com
                                        This process involves working out details around who returns to the
Lindsay Straub                          office, as well as when and how frequently. And it’s put travel managers
Associate Publisher
lstraub@thebtngroup.com
                                        in an ideal position to influence not just their company’s approach to
                                        travel, but to their people. “It isn’t about protecting a trip,” says Bruce
Mariza Moreira                          McIndoe, President, McIndoe Risk Advisory LLC. “It’s about protecting
Group Design Manager
                                        the person who happens to be on a trip, or on assignment, or just work-
Angelica Mundrick                       ing in the office or from home.”
Graphic Designer

Sponsored by                            That’s why McIndoe believes the nature of the travel buyer’s role is
                                        evolving—from one with an exclusive focus on the costs and risks of travel
                                        to a more holistic one centered on employee well-being. And the key to
                                        employee wellness, now and in the post-COVID era, is having flexible
                                        policies, a re-imagined duty of care, and cutting-edge technology.

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THE FUTURE OF WORK HOW BUSINESS TRAVEL IS CHANGING - DigiTravel Consulting
HOW BUSINESS TRAVEL IS CHANGING
THE FUTURE OF WORK

         DIGITAL HEALTH PASSPORTS                                                  European Union countries began rolling out digital

         AS A KEY TO RETURN TO WORK
                                                                                   passports this summer. In this rapidly developing
                                                                                   space, many other nations are considering the use
         While some companies, governments and suppliers                           of COVID-19 vaccine passports, either for intra- or
         are still exploring health passports as a key component                   international travel, including the U.K., Malaysia,
         of reopening, others are already requiring the use of                     Singapore, Greece, Denmark and the U.S.
         such digital tools to enter offices, buildings, countries,
         arenas, convention centers and universities.                              Multiple international organizations have launched
                                                                                   efforts to set standards and coordinate the design and
         Many international travelers are already familiar with                    implementation of vaccine passports for international
         the general concept, having carried paper vaccina-                        travel—including the World Health Organization,
         tion records (against malaria and yellow fever, for                       World Economic Forum, International Chamber of
         example) for years. But digital health passports that                     Commerce, and the International Air Travel Associ-
         track vaccination status and COVID test results in a                      ation. At the same time, some state governors and
         smartphone app are more efficient than paper, and                         legislatures have complicated matters by swiftly
         they’re already in use in several countries. Israel began                 adopting policies to prevent businesses, colleges or
         issuing vaccinated citizens digital ‘Green Passes’ in                     other entities from requiring the use of such passports
         February 2021, with the goal of allowing less restricted                  in their jurisdictions.
         internal movement and access to gyms and theaters,
         while China and Bahrain have issued digital vaccine                       Below is a list of some of the providers and partner-
         passports to expedite international travel.1                              ships that have emerged so far.

             Passport Provider                             Partners                                       Deployment Status
                                                           Delta, United Airlines, Walmart, some          Available now, but on a limited
             Clear Health Pass                             stadiums (Coors Field, Globe Life              basis (select flights to Hawaii only,
                                                           Field), the NBA and Ticketmaster               some stadiums)
                                                           The Commons Project, World
                                                           Economic Forum, many airlines
                                                           incl. United and Lufthansa and the
             CommonPass                                    Vaccination Credential Initiative,             Available now on select flights
                                                           a coalition of health and tech
                                                           leaders forged to speed digital
                                                           access to such records
                                                                                                          Available now for airlines
                                                                                                          participating in a trial (Singapore
             IATA Travel Pass                              Over 30 airlines
                                                                                                          Air, Ethiopian, Pegasus, Azerbaijan,
                                                                                                          Royal Brunei, ANA)

             IBM Digital Health Pass
                                                           Salesforce, State of New York                  Available now
             (Excelsior Pass)
                                                           American Airlines, British Airways,            Available now for international
             VeriFLY                                       Aer Lingus, Japan Airlines                     flights into the U.S. and abroad

             V-Health (HELIIX Health Pass)                 City of Las Vegas                              Available now
                                                                                                          Travelers can upload
             TripActions                                                                                  vaccination records and test
                                                                                                          results for easier access

         Sources: Company websites and information

         2
         1
              ey Questions about COVID-19 Vaccine Passports and the U.S., Anna Rouw, Kaiser Family Foundation, viewed May 15, 2021
             K
             (https://www.kff.org/coronavirus-COVID-19/issue-brief/key-questions-about-COVID-19-vaccine-passports-and-the-u-s/)
THE FUTURE OF WORK HOW BUSINESS TRAVEL IS CHANGING - DigiTravel Consulting
HOW BUSINESS TRAVEL IS CHANGING
THE FUTURE OF WORK

         Widespread use of vaccine passports, including in the
         U.S., is still far away—partly because successful global

                                                                          “It isn’t protecting
         vaccination programs are still years out. Will Tate,
         Partner at GoldSpring Consulting, notes that this is the
         main reason most companies haven’t issued policies
         with respect to health passports. “It’s just too early,”
                                                                          a trip. It’s about
         he says. “Vaccines need to be more readily available             protecting the person
                                                                          who happens to
         everywhere first.”

         In the meantime, companies and business travelers are
         in an uncomfortable kind of limbo, says McIndoe, “while
                                                                          be on a trip or on
         we deal with this hybrid environment of vaccinated and           assignment.”
         unvaccinated people for the foreseeable future.”
                                                                          ~Bruce McIndoe, President,
         NAVIGATING THE CHALLENGES                                          McIndoe Risk Advisory LLC
         OF COVID-ERA TRAVEL
         This hybrid vaccinated/unvaccinated environment
         can create significant headaches and research for          take care of a traveler,” he says. “It’s very challenging.”
         some corporate travelers as they navigate changing         In other words, travel in this “new normal” can
         testing and quarantine restrictions.                       be messy and labor-intensive—with the possible
                                                                    exception of a few isolated travel bubbles. Frequently
         Leading corporate travel solutions, and even some          updated booking flows, backed by knowledgeable
         travel managers, have aggregated data that their           agents, are even more important for corporate travel-
         travelers need on portals, communiques or as part of       ers to keep up with the latest news about reopened
         booking paths. That makes it easier for road warriors      country borders and quarantine requirements. Instead
         and company managers to ensure that travelers get          of researching rules and restrictions, travelers allow
         the most up-to-date information as they book, without      their corporate travel solution or travel managers to do
         having to waste time searching multiple sites.             the research for them.

         Business travelers should also be aware of potential       According to Koch, “The idea is, let’s get back to
         supply challenges, as pent-up leisure demand quickly       encouraging business, to figuring out a way that we
         outpaces supply. For example, J. Michael Silvey, Vice      can have travel.” Perhaps the way to survive is to follow
         President—Americas at Areka Consulting, says there         the advice of 6th-century philosopher Lao Tzu and be
         will be significantly more cars on the road this summer    like water: fluid and flexible. Remarkably, many compa-
         as domestic travelers begin to venture out. And as         nies have adapted their policies in just this way.
         leisure travelers pack flights, airlines are sometimes
         struggling to add planes and crews fast enough to          ADAPTABLE POLICIES
                                                                    ARE THE NORM
         keep up with the rebounding demand.

         In fact, Greeley Koch, Vice President, DigiTravel          Flexibility around travel is fast becoming the rule—
         Consulting, says supplier viability is top of mind for     especially with respect to who will travel where and
         most of his travel buyer clients, given how many jobs      when. For some companies, business travel never
         and services have been cut across the travel industry.     stopped, while others have started to ramp up again.
         “Travel buyers are having trouble even reaching peo-       With the ongoing uncertainty around the risk of
         ple at airlines or hotels, whether to negotiate rates or   COVID-19, many are allowing travelers to opt in or out.

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HOW BUSINESS TRAVEL IS CHANGING
THE FUTURE OF WORK

         “They want their employees to feel safe, first and fore-   Besides the inherent loss of intangibles and bonding
         most,” says Silvey. “If someone doesn’t want to travel,    via face-to-face encounters, a growing number of
         they don’t have to. And if the trip is mission critical,   studies are pointing to the mental health, well-being
         the company will find someone else” to go.                 and employee burnout concerns of “Zoom fatigue.”
                                                                    Stanford researchers earlier this year noted that video
         The more interesting question is whether they should       chats fatigue users for four primary reasons:
         travel at all. Caroline Strachan, Managing Partner at
         Festive Road consultancy, points out that companies        1) Excessive amounts of close-up eye contact is
         have discovered just how well video conferencing               highly intense.
         can work for get-togethers people used to travel for,      2) Seeing yourself during video chats constantly in
         such as an annual shareholder meeting. For many                real time is fatiguing.
         businesses, keeping those meetings virtual going           3) Video chats dramatically reduce our usual mobility.
         forward makes good sense, especially when doing so         4) The cognitive load is much higher in video chats.
         could save them millions of dollars.

              “Let’s get back to encouraging businesses to
              figuring out a way that we can have travel.”
              ~Greeley Koch, DigiTravel Consulting Managing Partner

         On the other hand, there is inherent value in face-to-     Navigating the right balance of virtual and in-person
         face meetings for some purposes—like collaboration,        encounters with co-workers, business partners and
         team building, or learning development. Sure, all          customers is now top of mind for many companies.
         these activities can happen over Zoom or Teams,
         but Koch and Strachan agree that something is lost         How are they handling the changes? A Gartner survey
         when they’re confined to a specific time. “You can’t       of HR, legal, compliance, finance and real estate
         underestimate how much happens during those                executives at 127 companies found that 82 percent of
         spontaneous interactions in the hallway, or at meals,”     respondents intend to permit remote working some
         says Koch. “You don’t want to give that up entirely.”      of the time as employees return to the workplace.
                                                                    Real estate firm CBRE also forecasts a rise in remote
         That’s why smart companies are still willing to invest     work, but also notes in “The Future Workplace: Top
         in travel, provided its value and purpose are clear.       10 Predictions,” that “the physical office still has a role
         “Putting that number back on the budget is a big           to play. Companies will rethink the role of a single HQ
         ask,” adds Strachan, “so we would encourage com-           in favor of a broader ecosystem of work sites that may
         panies to not think of travel as the default. Instead,     include regional offices, coworking spaces and home
         determine what can be gained from it—and if there          to support increasing and ongoing mobility.”
         are other options that would work equally well.”
                                                                    Instead of “me space,” CBRE forecasts much greater

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HOW BUSINESS TRAVEL IS CHANGING
THE FUTURE OF WORK

              For some companies, travel has never
              stopped, while others have started to ramp
              up travel again. Many are allowing travelers
              to opt-in or out.

         demand for “we space,” to accommodate team-               Travel managers also have noted the need for
         based, event-based and activity-based work. Whether       flexibility in travel policies as employees increasingly
         that space is in a company office, hotel, conference      return to travel. Whether that means allowing travel-
         facility or other location is the question for many.      ers to rent a car to drive to a meeting, take a nonstop
                                                                   instead of connecting flight, upgrade a class of
         Flexibility appears to be the key. Louise Miller,         service or book alternative lodging, travel managers
         Managing Partner, Americas at Areka Consulting,           are learning that flexibility is indeed key to navigating
         says, “I’m actually surprised how many companies are      unprecedented times. As more business travelers
         planning to offer their employees a menu of options       are expected to hit the road in coming months,
         as to how often they come into the office. Very few are   travel managers warn that such policies will need
         insisting on anything.” In a July article on corporate    to be baked into automated systems to manage the
         travel, McKinsey said that “72% of executives report      volume. With fewer travelers, many have been man-
         that their companies have started to adopt permanent      aging traveler expectations and concerns manually
         remote-working arrangements for a subset of their         on one-off approvals that simply won’t be feasible
         employees. Nearly 40% of the workforce in the United      as volume increases. Some are taking advantage of
         States has the potential to work from anywhere.           location-based or tier-based policy settings as well
         These signals and others suggest that many organi-        as location restrictions in automated booking tools to
         zations are reevaluating working and organization         ease the process for all.
         arrangements, including when, why and how their
         employees should hit the road.”                           To be sure, flexibility is needed as companies attempt
                                                                   to schedule team meetings with their new remote
         In the past year, some companies have allowed             workforces. Do they meet in a company office, hotel,
         employees to work from anywhere. As a result, some        conference center, a central destination or else-
         employees have relocated home offices to other states     where? Should their company pay for remote workers
         and countries to be closer to family or take advantage    to fly or drive to a meeting? Companies large and
         of a unique opportunity. Working from a different         small are facing such questions in this new normal.
         country for an extended period can pose both tax and
         immigration issues, prompting clarifications on such      NEW MANDATES ON TRAVEL
         flexible location rules. Frequently changing border
         closings, as well as testing and quarantine rules, are    To minimize the health risks of these important meetings,
         also prompting a need for patience and flexibility for    companies have implemented a variety of enhanced
         employees trying to navigate all.                         safety protocols—including new pre-trip approvals. Tate

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HOW BUSINESS TRAVEL IS CHANGING
THE FUTURE OF WORK

                                                                       This company gets kudos for making the best of a
                                                                       difficult situation. But ultimately, this level of admin-

         “Many companies
                                                                       istrative hassle is unsustainable. For employers,
                                                                       chasing every employee to get tested—possibly

         are planning to offer                                         every few days if they’re unvaccinated—will be
                                                                       a huge drain on resources. But it’s also a drain
         employees a menu of                                           on employees, who hope for (and will eventually

         options...very few are
                                                                       expect) a better experience.

         insisting on anything.”                                       “When companies really get to the pointy end of
                                                                       operationalizing these issues,” explains McIndoe,
         ~Louise Miller, Areka Consulting                             they’ll want to make the system more uniform and

           Managing Partner, Americas                                  less costly. Mandating is the way to do that.”

                                                                       At many companies, such corporate policies, or at least
                                                                       discussions, have been the focus of broad internal
                                                                       committees or task forces. Return-to-office and travel
         says many businesses now require security interviews,         policies often involve human resources, legal, risk
         risk assessments, and senior leader approval to travel,       management, administration, technology, and senior
         which will be frustrating for some road warriors.             leadership, along with travel and meetings. And, as
                                                                       executives see competitors returning to travel and
         But they’re also weighing whether to mandate vaccina-         meetings, some are rapidly changing the policies and
         tion, which could provoke much more than frustration          strategies implemented just a few months ago. Travel
         from employees. That is likely why 64 percent of the          managers need to check in often with leadership to
         travel buyers Tate’s firm surveyed recently said they are     ensure their current and future policies remain aligned
         planning to recommend—but not require—vaccination.            with current strategy.

         They’d rather leave mandating to the government               IMPROVING USER EXPERIENCES
         and do what they can to avoid legal challenges.
         “Particularly outside the U.S., where there are strict        Of course, new technology is key for streamlining
         employment contracts, this is an HR nightmare,” says          operations and improving user experience. Companies
         Miller. Nevertheless, 12 percent of Tate’s surveyed           have used the “pause” in travel to consolidate travel
         clients said they will mandate.                               suppliers, and to integrate and streamline as many
                                                                       disparate travel systems as possible, including travel
         The alternative could look something like a large             approval, booking, expense, payment, duty of care
         meeting held by one of Tate’s clients. Attendees had to       and even vaccine passport validations. Tools that
         sign a liability waiver, get tested onsite or show proof of   continually update travel restrictions and policies
         vaccination, and wear color-coded wristbands:                 now make it easy to find out the rules in any given
                                                                       destination. Some organizations even created at-a-
         • Green – fully vaccinated; okay to hug or not social        glance charts with their frequent city pairs or offices to
            distance.                                                  provide employees with a quick view of what’s allowed
         • Yellow – received one vaccine shot or had COVID;           and not on any given day. In addition, integrated
            prefer a fist bump and social distancing even if it’s      duty-of-care systems have allowed more companies to
            not required.                                              strongly encourage, if not mandate, that travelers book
         • Red – social distancing preferred; don’t want to be        through preferred channels to gain the benefits of the
            touched at all.                                            integrated services.

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HOW BUSINESS TRAVEL IS CHANGING
THE FUTURE OF WORK

         HOW SPEND MANAGEMENT                                              expense report ready for the employee to approve
         IS CHANGING                                                       and file. Machine learning and automation applied to
         These unified tools have also transformed the traditional         expense are not only helping employees file expense
         spend management process—and just in time. With                   reimbursement requests faster; they’re also helping
         more people working from home, the definition of                  accounting teams audit expenses, look for patterns of
         “T&E” has expanded. Employees are now spending                    fraud and detect anomalies like never before. Nearly one
         company money on items like office furniture and digital          in five cases of work fraud involves expense reimburse-
         subscriptions—and spend management systems that                   ment, according to the Association of Certified Fraud
         can account for this rise in spot purchasing are essential.       Examiners that regularly issues a report to the nation.
         Employees can’t wait around for lengthy approvals,
         after all, and finance departments need to ensure that            But Susan Lichtenstein, Managing Partner of
         spending falls within policy.                                     DigiTravel Consulting, sees great possibilities on the
                                                                           spend management front. “It’s time to remove all
         Leading companies have long integrated payment                    these superfluous layers of approval,” she says. The
         charges into individual expense reports to speed filing           technology exists. And with travel managers’ more
         for employees. The latest enhancements apply policy               prominent role in their companies, now is the perfect
         at the time of purchase, then automate feeds from                 opportunity to integrate these systems and take their
         other systems and treat each transaction as a separate            travel programs to an entirely new level. ■

             About TripActions

             Fast becoming the default for corporate travel and spend management, TripActions is the leading, cloud-based T&E
             platform that combines industry-leading technology with best-in-class travel agency service. Trusted by travel managers
             and finance teams alike at 5,000+ companies globally, TripActions leverages real-time data to keep traveling employees
             safe, control costs and save time.

             Learn more at tripactions.com.

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