How AI masters the balancing act in business travel management

The desire for flexibility in business travel has never been as pronounced as it is today. It is becoming a challenge for companies to meet these requirements and at the same time fulfill their duty of care. Artificial intelligence is helping to combine the two.

Business travelers want to make their professional stays pleasant with bleisure trips or their preferred hotels. © SAP Concur
Business travelers want to make their professional stays pleasant with bleisure trips or their preferred hotels. © SAP Concur

Favorite hotel instead of standard chain, extended business trip for a weekend break in London, spontaneous rebookings. Employees expect their travel to be adaptable to their personal preferences. But the more individual and self-determined they want to travel, the more difficult it becomes for HR and business travel managers to ensure their safety, comply with guidelines and control budgets. This is where the concept of «flexicurity» comes in. In business travel management, the combination of «flexibility» and «security» describes the balancing act between flexibility for employees and their security while complying with the travel policy. Artificial intelligence can help companies to master this challenge. AI is primarily seen as an efficiency booster for faster travel planning and simplified travel expense reports. But it is also proving to be a key technology for reconciling employee wishes with company requirements.

Individual wishes meet complex realities

Business travelers want to make their professional stays more pleasant with bleisure trips or their preferred hotels. But in reality, cost pressure is increasing in companies and cost-cutting measures are on the rise. In the latest Global Business Travel Survey by SAP Concur, 86 % of business travelers from the DACH region report limited services such as the use of business and premium class or bleisure travel. In order to meet their individual expectations and comfort requirements, four out of five respondents would reach for their own wallet - for an additional hotel night, seat upgrades or preferred travel options. If employees cannot cover their preferences via the company's own travel platform, they switch to external channels or rebook locally. These so-called shadow bookings are only the most visible consequence of a deeper problem: gaps in transparency, compliance and control can arise where employee preferences and guidelines collide. Companies are faced with a dilemma: if they restrict travel freedom, they risk frustration; if they allow too much leeway, they lose control of costs.

Enabling flexibility with intelligent systems

Intelligent technologies take the burden off HR and business travel managers and give travellers flexibility through personalization. AI-supported booking systems make optimal use of budgets, automatically adhere to travel guidelines and take individual preferences into account. An example of what this looks like in practice: a team of five travels to a conference in Singapore. What requires several hours of manual coordination, an AI-supported solution takes care of in no time at all. It creates individual travel plans with personal preferences: from seating requests and catering options to preferred airlines and hotels. At the same time, it coordinates common arrival and departure times for greater safety and team cohesion. At the same time, all options are checked for compliance with guidelines and budget limits. The result: greater cost efficiency, satisfied employees, consistent compliance and significantly less administrative work.

Duty of care without loss of control

In addition to flexible travel arrangements, AI-supported solutions also help companies to meet their duty of care in a volatile environment and give their travelers the necessary sense of security. This is how the balancing act of flexicurity is achieved. Everyone in view: If employees book externally, for example to collect bonus points with airlines or to choose their favorite hotel, there is a risk: they are «invisible» to the company. If critical situations such as storms or political unrest occur while they are on the road, there is no overview of their whereabouts. AI-supported solutions can automatically record external bookings via connected platforms or confirmation emails and integrate them into the travel plan. Employees retain their flexibility and the company retains the necessary overview. Stay agile on the road: Travel planners and apps accompany travelers on their smartphones and provide them with information: Before they start their journey, they receive information about their destination, visa details and health and safety precautions. During the trip, they are warned in real time about changes to the itinerary, security risks at their destination or other unforeseen events. In the event of sudden strikes at the airport, for example, they are informed immediately so that they can book alternatives. Instead of being left in uncertainty, travelers can be supported around the clock by solutions that are seamlessly linked to their travel management system. At the same time, employers can react more quickly in crisis situations.

Flexicurity: The future of business travel management

For HR and business travel managers, the flexicurity approach in combination with AI offers measurable benefits: Employee wishes are taken into account when planning travel without neglecting company guidelines. At the same time, costs are optimized and the duty of care is easier to comply with. Although the use of AI requires initial investment, it pays off in the long term. Companies that embark on this path now will master the balance between flexibility and security and gain in productivity and employee satisfaction. It is now up to those responsible to seize this opportunity and make their companies fit for the future of travel.

Author

Ramona Gamm has been with SAP Concur for over ten years and deals with market requirements and trends in the business travel environment on a daily basis. As Senior Product Marketing Manager, she supports the introduction of new SAP Concur solutions in Central and Eastern Europe. > www.concur.com 

Ramona Gamm, Senior Product Marketing Manager at SAP Concur.

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