August 11, 2024

“Our Cases”: How We Saved 162% of Time and 37% of Expenses on Employee Business Trips

We continue to share our successes and are ready to tell you about the next case from the “Our Cases” section. In this case, we will tell the story of a successful project that our company implemented for one of its clients.

In accordance with the terms of the non-disclosure agreement (NDA), we will omit some details, such as the name of the client company, exact figures and specific technical solutions. This case will demonstrate our approach to solving complex business problems and achieving goals, while strictly maintaining client confidentiality.

Given:

  • Client: XXX
  • Industry: consulting, outsourcing
  • Number of employees: 75+
  • Number of business trips: 25+ per month
  • Business trip destinations: 80% of trips are to Europe, 20% to the USA and Eastern countries .
  • Feature: three representative offices ( Milan, Munich, Warsaw )

Customer problem:

Employee trips include business consultations, strategic sessions and trainings for corporate clients. The team also actively participates in international exhibitions and conferences, for example, in Germany and the UAE.

The difficulty was in the diversity of types of employee employment. This meant that accounting nuances arose that could significantly affect the amount of the company's income tax. For example, employees on an employment contract, where the territory of performance of duties is limited, to account for business trips, it is enough to collect all the documents in one place and automatically upload them to the accounting system.

Employees on contract work require special attention: in order for their flights to be recognized as business trips that are compensated by the company, special conditions must be specified in the contract.

But in the case of individual entrepreneurs, it is important to quickly identify their expenses so that they are not reflected for income tax purposes, but are included in the invoice for the appropriate amount.

Difficulties in organization:

  1. Employees faced many challenges when organizing business trips. Different resources for purchasing tickets and booking accommodations led to lost documents. The lengthy process of searching and coordinating payments was inconvenient for urgent trips or changes in plans.
  2. The lack of a single customer database also created problems. When it was necessary to hold an important strategic session, delays were unacceptable. Sometimes plane and train tickets were booked literally a few hours before departure, and the employee had to catch the next flight. If the department manager was unavailable, no one knew where to quickly find the employee's data to buy a ticket.
  3. Errors in data and closing documents had to be resolved manually, which was time-consuming. Customers faced problems when processing returns, as it required additional operations, such as refunding advances, adjusting accounting documents, and accounting for expenses in accordance with corporate policies.
  4. Difficulties were also created by the lack of understanding of what category the employee belongs to, for what purpose he is being sent on a business trip, and what conditions are available to him according to the company’s travel policy.
  5. The long period of receiving and loading invoices into the accounting program led to a significant increase in the period closing time.

Thus, organizing business trips was a real challenge, requiring optimization and improvement of processes for greater efficiency and convenience. In addition, all these difficulties were reflected in the tax base and profitability of the client's company.

Solution:

The integration of the accounting system and the TravelHub application was a real find for the company. We not only increased the efficiency of the client's employees, but also solved many problems that previously seemed insoluble.

  • The unified service of our platform for booking tickets and accommodation allowed us to enter all employees into the database, indicating their category and status according to the company's travel policy. All the client's employees received access to this database, which allowed them to quickly and easily find the necessary information.
  • Uploading all documents to the accounting software now takes just one click. This allows you to calculate daily allowances and pay employees in a timely manner.
  • Previously, booking on various sites took an office manager more than an hour. Now, thanks to the TravelHub platform, this process takes only 5 minutes. Trip approval is either not required, since travel policy settings are taken into account, or it occurs in the form of a short call thanks to preliminary booking, which fixes the cost for some time while the decision-making process is in progress.
  • Moreover, now business trip booking can be done not only by office managers, but also by travelers themselves. This eliminates the risk of losing documentation or data entry errors. Employees do not need to worry about collecting receipts and documents during trips - all this goes directly to the accountant, and the employee can focus on their tasks. Forming reporting documents for a business trip takes only 5 minutes.
  • If a trip needs to be returned or rescheduled, the platform automatically handles all necessary accounting operations, including refunding advances, adjusting expenses, and recalculating taxes.

Thus, integration with TravelHub not only simplified the process of organizing client business trips, but also significantly increased the overall efficiency of the company.

Results:

The time for organizing and reporting on trips has been reduced several times. Thanks to a clearly justified travel policy and the possibility of pre-booking, it was possible not only to optimize travel expenses, but also to include 40% more business trip expenses in expenses for income tax purposes than before. This significantly reduced the tax burden on the company.

Feedback: " Thanks to TravelHub, we have radically changed our approach to organizing business trips. Innovative solutions and a high level of service have allowed us to significantly optimize costs and increase the efficiency of our business processes. We definitely recommend this company!"

If you want to achieve similar results and optimize your business processes, contact the TravelHub team for a consultation. Our experts will help you implement similar solutions and take your business to the next level. Contact us today and start transforming your business now!

 

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