Creating a Corporate Travel Policy That Works
A well-designed corporate travel policy saves money, keeps employees safe, and reduces administrative headaches. Here's how to build one that actually gets followed.
Why Your Travel Policy Matters
Companies without clear travel policies typically spend 20-30% more on ground transportation than those with established guidelines. But it's not just about cost—a good policy also:
Ensures employee safety with vetted vendors
Simplifies expense reporting
Provides visibility into travel spending
Demonstrates duty of care compliance
Key Components of an Effective Policy
1. Approved Vendors
Establish preferred vendor relationships for ground transportation. Working with a single provider like PEW Transportation enables:
Negotiated volume discounts
Consolidated monthly billing
Consistent service quality
Simplified expense tracking
2. Booking Procedures
Define how employees should book travel:
Use the company's online booking tool or contact the travel coordinator
Book at least 24 hours in advance when possible
Include project codes for cost allocation
Specify approval requirements for premium services
3. Vehicle Class Guidelines
Set clear standards for which situations warrant which vehicle types:
**Sedan:** Individual executive travel, client meetings
**SUV:** Groups of 3-4, airport transfers with luggage
**Sprinter Van:** Team travel, client entertainment groups
**Bus:** Large group events, off-site meetings
4. Expense Limits
Establish reasonable limits while maintaining flexibility:
Standard airport transfer rates
Hourly charter maximums
Approval thresholds for premium services
Guidelines for gratuities
Duty of Care Considerations
Your policy should address employee safety:
Require vetted transportation providers with proper insurance
Enable real-time trip tracking for risk management
Ensure 24/7 support availability
Document emergency procedures
Implementation Tips
**Communicate Clearly:** Distribute the policy widely and explain the reasoning behind key provisions.
**Make Compliance Easy:** If following the policy is harder than going around it, employees will go around it.
**Review Annually:** Travel patterns and costs change. Update your policy at least once per year.
**Gather Feedback:** Ask frequent travelers what's working and what isn't.
Measuring Success
Track these metrics to evaluate your policy's effectiveness:
Ground transportation spend vs. budget
Policy compliance rate
Employee satisfaction scores
Vendor performance metrics
Cost per trip trends
A good corporate travel policy isn't about restricting employees—it's about making business travel smoother, safer, and more cost-effective for everyone.
