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In order to control business travel costs, companies will implement a companywide travel policy[1] that will typically become a part of the employee handbook.
These policies and procedures are designed to act as a guideline for business travel and entertainment expenses and miscellaneous expense reimbursements. The policy contains expense limits and negotiated vendor rates. The policy also defines the process by which a traveler can deviate from the defined standards.
Travel policies can be written in a way that protects employees by giving the company access to their travel arrangements so that if an advisory is issued in an area where an employee is traveling, the company has the information to track down the traveler.
Ideally, travel policies ensure that employees understand all travel and expense policies and procedures, establish a system where travelers can be easily reimbursed for related expenses, and provide a reasonable level of service while keeping costs to a minimum. Implementing a travel policy is a part of global travel consolidation of a travel program.
A corporate travel management company can write a company’s travel policy for them and negotiate rates with travel vendors.
- ^ Tourism distribution: managing the travel intermediary By Berendien Lubbe p.205