Treasurer's
Office |
Purchasing Department
|
Travel Program Overview |
Introduction:
In an effort to develop cost savings, compliance and convenience, and at the request of the Trustees, the Treasurer’s Office has developed a central University-specific gateway for travel reservations. This new Travel Program builds on a growing consortium of over 40 colleges, universities and state governments and utilizes the latest Internet travel reservation tools, in conjunction with a core group of participating travel agencies, for individuals traveling on University business.
Background:
University travel services have traditionally been provided by an informal mix of local and out-of-town travel agencies in a decentralized, non-mandated environment. Basic business travel arrangements can also be made on-line, but this requires time-consuming Internet searches that are often unable to meet the specialized needs of the traveler’s itinerary, and are subject to a wide range of ticketing fees and restrictions. Consequently, much of the campus has utilized travel agencies for complex travel itineraries, but typically a premium has been paid for this service. An analysis of the University’s historic travel data was compared with experience at other benchmark campuses. The Treasurer’s Office identified this opportunity to develop a program that provides travel management tools to increase compliance, decrease costs, and strategically leverage Princeton’s travel volume to provide both Internet- and agency-based services to more effectively meet the collective travel needs of the campus community.
Reservation Options:
The core of this program centers on the philosophy that campus community requires the widest range of flexibility and choice in determining which reservation method best meets their needs. Hence, this program acts as a central gateway to a variety of reservation alternatives, with Princeton-specific pricing, that provide savings as well as the convenience of having them all on one site. Reservations can be made in any of the following ways using departmental Visa cards:
-
Travel Agencies - A multi-authorized network of committed travel agencies has been established, many of which are already widely used on campus, to enable departments to continue using the agency of their choice. Travel agencies provide specialized personal service, ideal for complex itineraries that cannot be found on the Internet.
- Internet
Travel Reservation Sites - Orbitz, Travelocity, Cheap Tickets and Expedia links are provided to enable departments to shop on-line across the widest variety of carriers. Note: Internet travel reservation sites change fares frequently and some offer more prominent placement to the airline carriers that pay them a fee. Therefore, several of the most common travel search engines have been included to ensure a range of carriers.
- Specific
Carriers - With many carrier options available, direct arrangements with Air Tran, America West, Southwest and Amtrak have been strategically contracted because their low prices and favorable cancellation, change and standby terms that often provide substantial benefits over other carriers. Additional airline carriers are actively being solicited for their participation.
- International
Flight Consolidators - On-line access to discounted international flight consolidator fares can be provided to enable departmental access to travel agency fares that recognize the Princeton Travel Program as a non-ticketing, ARC approved agency.
- Hotel
and Car Reservations - Links to several on-line hotel and hostel reservation sites are provided, in addition to the University’s list of preferred Princeton-area hotels and car rental agencies. Using these links ensures that the special Princeton rates are obtained.
Benefits:
The Princeton University Travel Program goes well beyond what other University travel sites typically offer. The Princeton University Travel Portal incorporates competition and a blend of all the current methods of booking travel to enable users to realize the following benefits:
- Centralization
- A single, central gateway is provided as a convenience for travelers through
which University discount, contract rates can be accessed and travel history
and savings can be documented, tracked and maintained.
- Reduced Rates
- Booking travel through the Princeton University Travel Portal ensures
that the traveler will receive the University’s specially discounted
contract rates.
- Travel Agencies
- By competitively bidding the agency business, the participating travel
agencies have significantly reduced their standard ticketing fees in order
to participate in this program.
- Airlines -
Direct access to reduced airfares can be obtained through the on-line
airline and reservation links that recognize Princeton University travelers
and pass along direct contract savings automatically to the traveler.
- Hotels - Direct
access to the University’s list of preferred Princeton-area hotel
rates, as well as to consortium hotel discounts in many other cities.
- Car Rentals
- Direct access to the University’s list of preferred car rental
agencies ensures that the special Princeton rates and insurance requirements
are obtained
-
Risk
Reduction - Favorable liability, insurance, cancellation, change
and standby terms are available from the Travel Portal participants.
- Fly American Act
Compliance - Agreements have been secured with travel agencies who certify
that a trip has been booked in compliance with the Fly America Act if the
traveler identifies themselves as a Princeton University employee traveling
on federal funds
- World Wide Tracking
- Includes a state-of-the-art program whose matching of travel itinerary
data with world events makes it possible to identify, locate and instantly
communicate with our travelers.
- Freedom of Choice
- Travelers are not forced to use a single agency or Internet site. In contrast,
supplier diversity is facilitated and travelers are able to maintain flexibility
with the selection of the specific reservation method that best meets their
needs (i.e., travelers can either book direct with an airline, hotel or
car rental agency; use a travel agency for complex itineraries; use an Internet
self-booking travel site, or use a combination of all three).
- Cost Savings
- By choosing to book travel through the Princeton University Travel Portal,
not only are travelers gaining access to reduced rates, the University is
able to offer this service at no cost. The Princeton University Travel Portal
is a built upon zero-cost, self-supporting business model.
Implementation:
The travel program, comprised of the committed travel agencies selected by the University plus the various Internet reservation tools, has been officially authorized for official University business travel. The implementation timeline was as follows:
- July 1, 2003 - The travel program was pilot-tested by three departments
for a six-week period.
-
October 1, 2003 - A formal evaluation and recommendation
was approved based on the results of the pilot test and
the travel program was officially
made available to the campus community for implementation by
the department heads and office managers.
- October 28, 2003 - Further marketing at the upcoming Vendor Fair, as many of the participating travel agencies will be in attendance and can provide additional information to the campus community about their services.
-
January 12, 2004 - A travel program orientation will be held in McDonnell A02 at 9:30 AM to familiarize department heads and office managers with the many aspects of the program, demonstrate the functionality and savings that can be achieved, and obtain feedback on the best way to inform the campus community.
- February 1, 2004 - The Travel Program will be featured in the spring issue of the Purchasing Department’s Newsletter, Purcha$ing
$en$e.
-
Spring 2004 - Individual departmental follow-up training
sessions visits will be scheduled by the Purchasing Department
as necessary.
Payments:
If University funds are used, departments may use their departmental Visa cards,
provided that government restrictions are observed on federally funded grants.
As in the past, all travel vouchers must be submitted to the Travel Accounting
Department so the travel reimbursement can be efficiently processed.
Fly America Act
In an effort to ensure compliance with the Fly America Act, agreements have
been secured with several travel agencies who will certify to the University
that a trip has been booked in compliance with the Fly America Act if the traveler
identifies themselves as a Princeton employee traveling on federal funds. The
Fly America Act requires the use of U.S. flag carriers to the maximum extent
possible. With the many code sharing arrangements among airlines, compliance
can be both complicated and difficult to monitor. Therefore, it is recommended
that travelers call one of the “Fly America Act Certified” travel
agencies directly to make reservations.
Worldwide Travel Tracking
Efforts are underway to establish IJET world traveler mapping, which is a state-of-the-art
program whose matching of travel itinerary data with world events makes it possible
to identify, locate and instantly communicate with our travelers. More information
on this addition to the Travel Program will be announced in the future.
Conclusion:
The travel industry is experiencing dramatic changes with the advent of the Internet, global events and industry competition. These factors make reservation and itinerary flexibility, favorable cancellation/standby/exchange terms and general risk management precautions even more important. This program provides the ability for departments to choose between using travel agencies at reduced rates, bypassing travel agencies whenever reduced rates are unnecessary, or to actually act as an agency under certain conditions that afford the best leverage.
FAQ’s:
Q: Why are only certain airlines emphasized?
A: The participating airlines were chosen specifically because of their low prices and favorable cancellation, change and standby terms that provide substantial benefits to the individual traveler. Ongoing negotiations with other major airlines may result in even more direct airline reservation options in the future.
Q: How were the participating travel agencies chosen?
A: An analysis was made of Princeton’s most frequently used travel agencies. The list obtained through this means was supplemented with others documented through an informal survey and Accounts Payable records. The final list included these, plus other travel agencies recommended by benchmark campuses for their high quality and/or value-added services. A competitive RFP was issued, and a bidding model followed, which led to the participating agencies agreeing to lower their ticketing fees and upgrade their services.
Q: How do I know one travel agency from the other? Which agency is best
for my needs?
A: Our hope is that you will find that the agency you are currently using is one of those authorized, just with lower ticket issue fees. In this case, there is no need to change your business process. If your agency hasn’t been selected, or if you have previously not used an agency, you may wish to contact several and see which one provides you with the best service and price. In general, selecting a travel agency is based on many factors, and ultimately it is a personal decision.
Q: May I still use the Internet to make my airline ticket and hotel
reservations?
A: Yes. As stated above, to not bring in the Internet for convenience and cost savings would be unrealistic. A number of links have been provided to several domestic and international Internet-based ticketing systems, and we anticipate that this part of the program will continue to grow.
Q: Can Departmental PNC Bank Visa Cards be used to make travel reservations?
A: Yes, provided that the reservation is for University-sponsored business travel. Departmental Visa cards may not be used for personal/spouse/guest travel.
Q: Are any of these agencies small, disadvantaged business concerns?
A: Yes, several are SDB’s and denoted as such on the web site.
Q: Who can use these agencies?
A: Faculty, staff, groups, guests and visitors of the University for business
purposes.
Q: Is overseas travel insurance required?
A: The University purchases Business Travel and Business Travel Accident Insurance for the benefit of staff and faculty while traveling on University business. This coverage is not available for vacation or leisure travel. Contact the Risk Management Department for more information.