Travel Policy for Digital Signal Corporation … Business Proposal
Pages: 10 (2037 words) | Style: n/a | Sources: 8
Company Travel Policy
This business proposal is purposed on forming a travel policy for Digital Signal Corporation. There are a number of elements, which hinder the success of the company, and also increase the costs incurred by the company in general. The development of a travel policy for the corporation, which is in relationship with their travel budget, will make sure that there is fiscal culpability on the part of the employees of the company. It is recommended that the departure flights should be set on Wednesday and Thursday evenings. On the other hand, return flights are recommended for Thursday evenings or Friday mornings. The company should also change the guidelines on vacations and business travels. This is to make sure that employees do not extend business travels to vacations. This is a cost saving measure for the company. More so, it is suggested that the corporation ought to permit a maximum layover period of 48 hours. This is principally obligatory to guarantee that the personnel do not take up stop-offs, which are needless.
Company Travel Policy
There is a great need for change in Digital Signal Corporation with regard to the processes, techniques, products, people, as well as structure centered on events that are presently taking place in the business setting of the company. The goal of this business proposal is to develop a travel policy that is clear and concise, and achieves to the norm and not the exception. The objective is to be able to manage the travel process in a manner that is accountable and well organized, in relation to travel policy development execution and management. The key fundamentals in this business proposal encompass managing the control and coverage of the travel expenses, preventing any exploitation of the company, and also guaranteeing the safety and well-being of the traveler. The following business proposal will take into consideration the different aspects that the senior management of the team should ponder on and revise, so as to increase the probability of the company's success.
Development of Travel Policy
Being in the corporate and business world, it is imperative for Digital Signal Corporation to develop a travel policy for its business travel operations. This will offer guidance and instructions, with regard to ascertaining the legitimate and accepted travel and business associated expenses incurred by the company. It is imperative for travel and expense reports to be implemented in order for employees to be catered for, regarding their business expenses. More so, it is imperative for the company to have a policy that ensures cost saving and cost effectiveness in its business operations (Kelly, 2014).In the contemporary, Digital Signal Corporation, essentially, does not have a travel policy, and developing one is very important for its operations. The establishment of a travel policy for the company will enable the management to profoundly define and describe what is considered a satisfactory travel expense, and what is not deemed satisfactory (Crawford, 2015). In addition, the management team of the company will be able to administer and control its costs (London, 2010). This implies that if any problems or inconsistencies would come about concerning a member of staff's expense report, the management will have the capacity to utilize the transcribed policy, as authentication for the decision, to consent or repudiate compensation of a particular expense (Jordan, n.d).
The formation of a travel policy for the company, which is in tandem with the travel budget of the company, will make sure that there is fiscal accountability on the part of the personnel of the company. This sort of policy will also make it much easier and simpler to control and monitor the overall travel expenditures incurred by the company. In addition, the management team of the company will be able to make a determination as to whether the budget that has been allotted for travel expenses ought to be appraised and revised, or not (Jordan, n.d). For instance, the company will be able to appraise the budget in an annual manner, and restructure it accordingly, so as to cover any rising traveling expenses. It can be perceived that the current travel budget is not followed and taken into account. This is a worrying factor as the company can end up paying exorbitant amounts for the travel expenses. The suggested travel limits and particularly on international flights is $3,500.
Business Flight Departure and Return Days
Another aspect to be included in the travel policy of the company is the days of departure and return for the flights set for the employees. It is recommended that the departure flights to be set on Wednesday and Thursday evenings. On the other hand, return flights are recommended to be set for Thursday evenings or Friday mornings. This, in particular, is a strategic move to be included in the travel policy so as to create cost savings. According to Woodruff (2013), the day of the week without question, makes a vast difference, when it comes to which day the employees should fly. This is for the reason that it has been perceived that Tuesdays, Wednesdays and Saturdays, are in general, the days, which have the least expensive trips and flights within the United States. The set return days, Wednesday and Thursday, for the travel policy, can be considered perfect. This is for the reason stated by Woodruff (2013); it has come to be some sort of urban legend to purchase tickets on these days, as they are the cheapest. This is largely because it is, in fact, correct, that airlines commonly publish system-wide deals and transactions on those days. In addition, it is considered that the perfect time for the company to book the flights for the employees is seven weeks, for flights, which are domestic. In addition, it is considered to be costly for the company to purchase the flights a week before (Woodruff, 2013).
Vacations and Business Travel
Another aspect that ought to be taken into consideration is that the company, thus far, has allowed vacations to be tacked on to business travel. This is an aspect that ought not to be allowed as is quite costly for the company. This is a flaw in the prevailing system being employed by the company, and is not a clever practice of conducting international business travel. Companies in the present travel market set proper guidelines to ensure that the employees do not include their vacations on to their business travels. According to Alban (2009), there are an increasing number of employees who are prolonging their business travel trips in order to fit in some vacation time. As a result, this becomes more expensive for the company, and increases the travel budget that was initially set by the management. The lack of guidelines causes the employees to take advantage of this flaw. For example, majority of the employees would take into consideration that since their plane ticket and expenses for the hotel have already been paid for by the company, they would opt to take additional number of days as this would not cost them anything (Alban, 2009). Owing to this flaw in the guidelines of the company, the employees end up taking advantage of the luxurious resorts, for example, in Las Vegas, where the company sets them up. Ultimately, this becomes much costly for the company (De Lollis, 2008).
There is great need for the company to institute a guideline regarding layovers and stopovers. At the moment, the company does not monitor or supervise the layovers clocked in by the employees during their business travels. This ought to be changed. It is recommended that the company should allow a maximum layover period of 48 hours. This is largely necessary to ensure that the employees do not take up stopovers, which are unnecessary. International organizations or establishments have undertaken great steps in limiting the stopover time periods to limit the costs they incur, and also to increase their success in the industry. For instance, according to the travel policy initiated by the United Nations Environmental Program (UNEP), if a business journey or trip is interjected by the employee for private opportuneness, only a maximum of 24 hours is allowed. The employee is not permitted to have an extensive and lengthy layover that is more than the one entitled to him or her. As a result, the employee is bound to pay for the difference in the expense amounts that result (UNEP, n.d). In addition, guidelines ought to be set in order to ensure that employees do not exploit the company in terms of limited resources. For instance, if the employees take very long layovers, for example, for 120 days, the company ought to deduct this time period from their allowed vacation period. In addition, the company should institute a guideline that does not allow the payment of stopover costs, when the layover is unnecessary, and extends beyond the allowed 48 hours. This will enable the company to reduce the costs it incurs on an annual basis, on the… [END OF PREVIEW]
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