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This Is a Business Memo for Study Learning

Essay by   •  April 14, 2016  •  Study Guide  •  426 Words (2 Pages)  •  986 Views

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Due to the company’s rapid growth, the costs have grown faster than personnel, which lead to some growing pains. With your great understanding and support, I’m representing the Re-engineering Committee introduce to you what we investigate and the solution how to rationalize the travel policy to reduce and control the cost.

After investigation from the Committee’s membership and discussion with consultants in the company, the source of complaints from clients is the high travel cost due to our employees can book the airline flights, hotels and rental cars through whatever agents they pleased. So to reduce the travel cost, the efficient way is to consolidate our business with a single travel agency, and as the benefit company offered employees can still continue to keep their own frequent fliers miles.

With the detailed comparison and serious consideration among the 3 large travel agencies, Thomas Baker International, Canadian Express, and Aquamarine Travel. They all offer percentage saving for us. So we made the options to list down what their pros and cons as below:

Options

Pros

Cons

Thomas Baker

  • 5% annual savings
  • Broadest Coverage
  • Lack of service support outside regular business hours

Canada Express

  • 5% annual savings
  • Charge Card benefits with additional +1% reduction

  • Bad experiences with the service in more remote part of the world

Aquamarine Travel

  • 5% annual savings
  • Negotiable
  • Excellent service of a local firm
  • Do not have offices in many parts of the world

Based on the pros&cons of the 3 travel agencies, here’s the comparison for key areas:

 

Company

Cost Saving

Client Services

Coverage

Thomas Baker

5% discount

Low

Global

Canada Express

5%+1% discount

Medium

Global

Aquamarine Travel

5%

Good

Local

...

...

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