Travel Expense Allowances Out of Touch with Reality: Concur Releases 'Reiwa Business Travel Guidebook'

Concur, a leader in travel and expense management cloud solutions, has published the 'Reiwa Business Travel Guidebook' under the supervision of Nippon Travel Agency Corporate Solutions. The guidebook compiles challenges in corporate travel management and key points for policy revision.

This guide is designed for accounting, HR, procurement, and general affairs departments, as well as employees themselves. It provides practical advice on developing travel policies, streamlining booking and reimbursement, and strengthening safety management to create a better travel environment.

Background of the 'Reiwa Business Travel Guidebook'

The corporate travel environment is shifting due to rising inbound demand, currency depreciation, inflation in travel and lodging costs, and the need for enhanced risk management and AI/DX adoption. However, many companies continue to rely on outdated travel policies and operational workflows.

Concur’s independent survey of 600 travelers and managers revealed that 62.2% of companies have seen an increase in business travel compared to pre-pandemic levels. Due to rising accommodation costs, 76.2% reported that company allowances do not cover expenses, leading 47.7% to book travel outside of company policy.

Furthermore, while enterprises are required to fulfill a 'duty of care,' less than 46% have introduced risk training. Additionally, 85% expressed a desire for AI-powered travel management, wanting to automate non-value-added administrative tasks.

Concur developed this guidebook to help companies navigate these challenges. It utilizes Concur’s survey data and Nippon Travel Agency's practical insights to explain how companies should revise their travel management strategies.

Recommended for:

Accounting, HR, Procurement, and General Affairs Departments: - Uncertain if current policies match market rates for lodging and travel. - Concerned about traveler safety and emergency response. - Want to visualize travel costs and usage data. - Considering new travel styles to boost employee motivation.

Employees: - Finding pre-approval and expense reimbursement tedious. - Feeling that current rules are outdated. - Seeking safe and well-supported travel environments. - Wanting to use AI/digital tools for efficiency.

Key Highlights of the Guidebook:

1. 76% Report Insufficient Allowances: Check Your Rules Against Reality It highlights pitfalls in outdated policies—such as obsolete spending limits—and provides a roadmap to transform travel from a 'cost' to a 'competitive advantage.'

2. Risk Education: 'Contact Us If Something Happens' is Not Risk Management Risks like natural disasters and security concerns are diversifying. The guide introduces proactive risk management, including ISO31030 compliance and traveler education, moving from reactive to preventative systems.

3. 85% Want AI in Travel Management: A First Step Toward DX It outlines possibilities for using AI and DX to reduce human intervention in booking and policy checking, making travel management smarter.

4. 70% Say Travel Boosts Motivation: Toward New Travel Experiences For employees, travel is more than just moving; it encompasses unique on-site opportunities.