Why should you use a public-sector framework when choosing a travel management company? Often, organisations within the public or not-for-profit (third) sector are up against tight budgets. They are constantly moving to improve efficiencies and create savings wherever possible.
Travel policy is an area where savings can be easily achieved
Implementing the following factors can help organisations stick to their budgets:
- Increased control
- Better visibility
- Reduction of administration around payments and approvals
- Access to government rates
- A wider array of content
Initially, it may appear that this type of service is inaccessible to public sector organisations. But there are now government-approved frameworks make the procurement of a travel management company easier.
Here are our top 5 reasons for utilising a public sector framework:
#1 Reducing your procurement timescale and cost
Government-approved frameworks are a fast and efficient way to market. They are also OJEU-compliant, and follow strict regulations to procure suppliers. So you can rest easy, knowing that they have taken the necessary diligence to choose only the best suppliers. Furthermore, the travel management suppliers will have gone to great lengths to ensure that they’re the right fit for you.
Conducting a mini-tender, or a direct award, reduces the time it takes your team to procure a company. This means you’ll save time and money before you’ve even signed the contract.
#2 It’s easy
Rather than undergoing lengthy contract negotiations, frameworks offer an easy call-off process to get you signed up. The pre-agreed terms and conditions will be standardised across the framework and suppliers and will be sure to have your interests covered.
This also means that you don’t need that specialist travel procurement knowledge in-house. Such knowledge is overkill for most third sector customers, for whom business travel is not a priority. Finally, the right TMC should offer you the support and expertise for rolling out a solution across your organisation. This in turn reduces your admin burden and gives you assurance that the process works.
#3 You can guarantee experience
In the travel industry, there are key players who are dominant in public and third sector space. So using public-sector framework means you’ll be able to find a company with experience of working with a similar organisation. They’ll be able to offer expert advice on transforming such an important area within your organisation. In addition to reducing spend and improving efficiencies in booking, they’ll advise on monitoring and paying for your business travel.
What’s the best way to find out if your chosen TMC is doing a good job for other organisations in your sector? See if there are any case studies or customers reviews – the proof is in the pudding.
#4 Size doesn’t matter
Lots of travel management companies will have certain criteria that they require their customers to hit before bringing them on board. These can be things such as contract scope, distribution of spend across travel types, % of online adoption required, and overall travel spend.
This is understandable as a TMC wants to ensure that they can focus on consistent excellent service. This starts right at the beginning of the sales process.
The benefit of a public-sector framework for you then is its combined buying power. A TMC will be able to offer you the same level of service as one of its larger corporate customers, even if your travel spend is nowhere near that threshold, precisely because of the easy call off process, and your association with the pre-agreed framework terms and conditions.
#5 Competitive fees and access to government rates
The larger buying power of a framework also means that suppliers can save customer costs in other areas too. Fees are kept minimal and very competitive, especially for the main travel types (usually rail and hotels), and there should also be exclusive access to government rates.