SAN RAMON, CALIF.
2014 United States-Booked Air Volume: $127 million
2014 Global Air Volume: $290 million
2014 U.S. T&E: $250 million
2014 Global T&E: $400 million
Principal Air Suppliers: Delta, Singapore Airlines, Southwest, United
Principal Hotel Suppliers: Hilton, InterContinental, Marriott
Principal Car Rental Suppliers: Avis, Budget
Principal Online Booking Tool: Concur Travel
Principal Expense Supplier: Concur Expense
Principal Card Supplier: JPMorgan Chase
Consolidated Global TMC: Carlson Wagonlit Travel
Chevron’s United States-booked air volume decreased by
$19 million from 2013 to 2014, and volume is expected to
decrease by another $37 million this year.
In 2014, the energy giant achieved several travel program
accomplishments, including the selection and implementation
of a new expense tool provider; the first deployment of Concur
Travel in the Latin America region for the company; and the
consolidation of its visa and passport providers.
The program also delivered value creation savings of $98 million and distributed updated global travel policy procedures and
guidelines to travelers and travel bookers.
Also in 2014, Chevron built on the previous year’s work of
updating the global travel policy by adding stronger language
to highlight the safety benefits of booking through its preferred
travel management company and online booking tool; altering
existing procedures and guidelines documents to better reflect
cultural, industry and business realities; encouraging the use of
alternative modes communication, such as videoconferencing, to
curb travel; and promoting cost-reductive purchasing behaviors
For the current year, the company is focused on conducting a
request for proposals for its corporate T&E card.
Chevron also is utilizing technologies and smart travel communications that illustrate ways to reduce overall travel spend
and to drive stronger compliance.
The travel program continues to look for process efficiencies,
emphasizing travel risk management and traveler safety. It also
has begun a five-year strategy with Carlson Wagonlit Travel in
more than 50 countries.
The company plans to drive policy through smart travel communications that illustrate ways to reduce overall travel spend.
Chevron’s 14,450 business travelers use Concur for self-booking both inside and outside the United States.
Within the United States, about 80 percent of tickets were
booked through the tool, and 65 percent of those bookings
required no agent assistance. About 75 percent of tickets purchased in the United States were for flights headed to international destinations.
In the United States, Chevron uses commercial cards issued
through JPMorgan Chase, and it uses Concur as its expense
Companywide air volume decreased by more than 9 percent
year over year in 2014. Its companywide T&E of $400 million
was largely unchanged from 2013.
27 CISCO SYSTEMS
SAN JOSE, CALIF.
2014 United States-Booked Air Volume: $124 million
Principal Hotel Suppliers: Marriott, Starwood
Principal Online Booking Tool: Sabre Get There
Consolidated U.S. TMC: American Express Global Business Travel
In 2014, Cisco’s United States-booked air volume rose just over
10 percent from 2013’s $111 million.
The company achieved a high level of success and significant
savings in bringing a revenue-based rather than market share-based approach to its hotel negotiations.
Last year, it signed multiple multiyear deals with multibrand
hotel companies that contained no marketshare targets or
room-night commitments. Instead, it promised only revenue in
exchange for lower room rates. This strategy, which included
working with a smaller number of preferred hotels, brought
Cisco significant savings beyond its negotiated rates, which
already were industry leading, while providing hotel chains with
The philosophy behind the change is that rather than beating
each other up for incremental savings or revenue, suppliers
and buyers are better working as true partners. The approach
is to focus on strategic goals instead of a dynamic or static pricing formula.
This strategy allows Cisco’s hotel partners to earn more by
improving service and reducing costs and includes working with
preferred hotels to add Cisco’s remote conferencing tools, such as
TelePresence and WebEx, to their business centers.
To ensure that Cisco delivers on its commitments to its partners, the company has implemented policies that require travelers to book travel through preferred channels in order to
A prompt in its online booking tool also prevents travelers
from selecting nonpreferred hotels unless the booking is approved by a senior manager. As a result, the company now
claims that compliance with preferred hotel suppliers is higher
than 80 percent.
Cisco now is working to bring a similar approach to its deals
Last year, the company launched mobile booking capabilities
in more than 65 countries that enabled employees to book air,
hotel and car rental through a smartphone app created by travel
technology partner Sabre’s Get There and the internal Cisco team.
The travel team also worked with other policy owners to
tighten the language in its global policy to ensure its clarity
Meanwhile, the company reduced internal meetings spending
this year by providing access to its virtual meetings tools through
the online booking tool.
It also began consolidating its travel management services
through key hubs and more recently moved these hubs to virtual
centers, meaning that agents began working from home rather
than from Cisco physical locations, reducing real estate costs and
Other goals for this year include reviewing actionable data
insights and improving data delivery, as well as exploring open