Travel management software, put simply, is used to book and manage travel arrangements online for business purposes and also track and report the previous trips. Such tools enable companies in enforcing and tracking their travel policies and consolidating travel invoices for reporting and expense purposes. Organizations use this software for simplifying purchasing decisions, centralizing records of employee travel expenses, and controlling corporate travel budgets.
The Different Types
Travel management software is of different types namely,
- Enterprises- This software is often times included in different business tools or provided as a standalone product which has the choice of integrating with different travel management tools like expense management software. The enterprise travel management software can at times be compared to the modernized online travel agency versions.
- Small & Medium-Sized Businesses- The SMB travel management software is more user friendly and relatable to the consumer mobile app particularly on the booking side. Akin to traditional enterprise options, they tend to integrate with other forms of corporate tools like mileage tracking software and expense management software.
Some of the alluring features of ideal travel management software include,
- Interactive Booking Interface- Every employee can get the finest rate and inventory on an interface that is easy-to-use. On a colleague’s behalf they can book travel or also for themselves that entails travel preferences, loyalty programs, payment methods, saved travel details, and others.
- Company Guideline Filters- It will allow companies in controlling the travel choices accessible via filtering listed prices which fall within the guidelines of their company. This allows teams stay in compliance and within budget.
- Scheduling and Calendar Coordination- Scheduling and calendar coordination is a vital feature as it enables other team members in planning their travel if the need be. This gives managers the ability of tracking the whereabouts of their employees and plan calls and meetings around the travel schedules.
- Tracking, Submission, and Expense Capture- Most travel management platforms possess the functionality for travel employees in digitally importing and submitting receipts for reimbursement. It allows them in tracking their submissions progress so they are aware when they will be reimbursed.
- Reporting- The best part, employees can create as well as submit expense reports with the software and also view past expenses and reports. Managers use this feature for tracking the travel budget of their team and also forecast future spend.
Travel management software has gained immense recognition owing to the plethora of benefits that it offers namely,
- Comprehensive Interaction Booking Interface- Through this software, employees are capable of searching, comparing, and booking travel directly via an interface either for another employee in the company or themselves. This interface can help in saving travel preferences payment methods, and loyalty programs in one place.
- Automate Compliance- The capability of integrating corporate travel policies into travel management software directly will reduce travel spend via helping teams meet budget and spend objectives. Such policies help in clarifying the forms of expenses the employees can claim, refuse to reimburse the travelers for claims which are not compliant and enable travel managers in ensuring their team optimizes their budget and stay within the guidelines of the company policy. The company policy enforcement automation also makes sure that no fraudulent expenses are submitted and approved accidentally.
- Incorporate Expense Management Tool- This tool helps managers as well as accounting teams through categorization of expenses that accurately optimize and organize the tracking of travel costs. Such tools help in managing the approval workflow for travel expenses for being processed and reimbursed and also analyze huge expense transactions which can be used for creating budgets and forecasting future spend.
- Enhance Reporting Capabilities- The reporting tool help in improving data-driven decisions and making travel management more effective overall. Such tools help in identifying bookings or noncompliant expenses more quickly and also recommend actions which can be taken for improving future results. The reporting also helps to manage travel programs effectively by identifying ways of saving money and monitoring travellers.
Owing to the numerous alluring features and various benefits, travel management software is widely used by managers, accounting teams, and consultants and sales teams.