Softening Economy Reducing Business Travel

A survey of 450 of the largest U.S. companies shows, in order to cut costs, 56% have moved to reduce the number of employees traveling. Conducted by the National Business Travel Assn. (NBTA), the survey also found that 53% of respondents have pursued alternatives to travel such as video- and teleconferencing. In addition, more than 40% have altered corporate travel practices and policies as a way to recapture potential cost efficiencies. Surveyed corporations said they plan to reduce travel within the U.S. by 20%. Twenty-two percent said they will reduce travel to Asian markets. "Corporate America is bracing for tougher times and one of the most strategic operational safeguards is the effective management of corporate travel, which accounts for the third largest controllable expense within any corporation," says Mark A. Johnson, president, NBTA.