9 Common Corporate Travel Management Challenges — and How to Overcome Them

Corporate travel management isn’t just about booking flights and hotels — there’s much more at stake. Rising travel costs, enforcing policy compliance, and meeting employee expectations all add layers of complexity. Without streamlined technology, managing these demands can drain time and budget. 

Let’s dive into the most pressing challenges and explore practical solutions to keep your travel program efficient and employee-friendly.

1. Cost Control and Budget Management

The problem: In-person meetings are one of the main drivers of business growth, but rising airfares and hotel rates pose a significant challenge for businesses looking to curb costs. A Deloitte study found that most travel managers anticipate their companies’ travel spend will increase in 2024 (73%) and 2025 (58%). For those forecasting growth, the average expected increase is between 14% and 15% annually.

The solution: Adopting comprehensive travel management platforms can help businesses manage costs and improve policy compliance. These solutions often include automated expense tracking, policy enforcement, and real-time analytics to optimize travel budgets.

2. Policy Compliance

The Problem: Adhering to corporate travel policies requires time and effort. Many organizations struggle to consistently enforce these policies, which, when not followed, can lead to overspending and non-compliance. Complex travel policies often deter employees from following guidelines, exacerbating the issue.

The solution: Simplifying travel policies makes them easier to understand and follow. Providing clear guidelines and accessible information during the booking process encourages adherence and reduces violations.Some solutions use smart technology to integrate company policies, allowing employees to see what’s allowed and blocking out-of-policy bookings.

3. Traveler Experience and Satisfaction

The problem: Balancing cost control with traveler satisfaction is essential. Employees should have a seamless travel experience, including flexible booking options and adequate support during disruptions. However, stringent policies and high costs can lead to dissatisfaction, which may negatively affect productivity and morale.

The solution: To improve employee satisfaction, companies can offer flexible booking options, 24/7 support, and streamlined travel processes. Outsourcing to a travel management company (TMC) provides dedicated assistance so travelers can always access the support they need during their trips.

4. Technological Integration

The problem: Technology is crucial for efficient travel management, but many companies still rely on outdated systems with manual processes that are error-prone and time-consuming. The lack of integration can hinder the ability to streamline travel arrangements and manage expenses effectively.

The solution: Invest in modern travel management software that automates booking and expense reporting while enforcing policies. This integration saves time and provides insights into travel spending, helping companies make informed decisions.

5. Sustainability and Environmental Concerns

The problem: With an increasing emphasis on sustainability, companies are under pressure to minimize their carbon footprint. Sustainable travel options often come at a premium, adding complexity to travel management.

The solution: Collaborating with travel suppliers to identify greener options can help companies meet sustainability goals. This may involve selecting airlines and hotels committed to eco-friendly practices while tracking travel emissions.

6. Complex Booking Systems

The problem: Old-school travel booking with manual steps, repetitive processes, and outdated tools often results in errors, poor visibility into spending, and gaps in compliance. The lack of real-time data and integration across departments makes it harder to catch costly issues early. At the same time, employees struggle with inefficient booking and approval workflows — leading to frustrations on both sides. 

The solution: Modern travel management platforms streamline the booking process supporting employees in quickly securing flights, hotels, and transportation in one place. By reducing time spent on bookings, these platforms minimize travel stress and allow employees to focus on their work rather than the logistics.

7. Limited Support

The problem: Outdated corporate travel systems often lack 24/7 access, meaning urgent tasks like last-minute bookings, cancellations, or disruption management rely on manual oversight. This can lead to delays and unmet needs, especially if travelers encounter issues outside regular business hours.

The solution: Modern corporate travel management platforms offer 24/7 support with self-service options. These platforms allow travelers to manage bookings, make changes, and receive immediate assistance during emergencies without the limitations of outdated systems. This ensures faster response times and uninterrupted support, regardless of time or location.

8. One-Size Fits All Travel Programs

The problem: Traditional corporate travel programs often fall short by treating all trips and travelers the same, overlooking the specific needs and objectives of the business. Without customized solutions, companies may miss out on tailored travel options supporting cost control and sustainability goals. A lack of flexibility leads to less productive, less satisfying travel experiences and lower adherence to policies. 

The solution: Modern corporate travel management solutions are raising the bar on personalization and convenience through AI-powered features. Personalized travel recommendations, for example, tailor options to past traveler preferences and highlight sustainable choices, supporting eco-conscious travel.

9. Time-Consuming Expense Reporting

The problem: Manual expense reporting drains valuable time from employees and finance teams. Traditional processes demand extensive paperwork, tedious data entry, and lengthy approval steps that can lead to delays and errors. When employees juggle receipts and navigate a lengthy submission process, productivity and compliance suffer.

The solution: Automated expense tracking makes submitting reports a seamless process by removing manual steps and saving valuable time. Meanwhile, booking systems consolidate available options within company policy, making it easier for travelers to book in compliance while optimizing costs. This all-in-one approach streamlines end-to-end travel, benefitting companies and employees.

Corporate Travel Management Simplified

Despite the challenges, travel management doesn’t have to be stressful. From cost control and policy compliance to enhancing traveler satisfaction and helping companies meet sustainability goals, Navan can be the all-in-one solution to these challenges.

Ready to discover the comprehensive platform that integrates booking systems, expense management, AI-driven personalization, and sustainability initiatives? Book a demo.