Caroline Allen and Michael Hare Action stations
Now, more than ever, we need to unite as an industry and share best practice So, perhaps after a more
AS WE EMBARK ON 2012, we can look back and reflect on what was a ‘cautiously optimistic’ year. We saw confidence return to the market and in many areas have seen some level of growth, despite austerity measures in the UK and in many other countries in Europe and beyond. There is still global economic
fragility and we are on tenterhooks to see what will happen to the euro. Will it survive or will we see a return to the drachma, lire, punt, franc or even the mark? The economic landscape is, at best, uncertain. Greece, Italy, Ireland and the French have all lost their Standard & Poor's triple AAA rating and, if any or all default on their debt and withdraw from the euro, the financial burden to
shore up the shortfall will move to other economies. Despite the downgrade in its financial rating, France is in reasonable shape compared to many other countries and the German economy is strong, so they are likely to bear a far greater burden of any defaulted Euro debt. Greece has already had 50 per cent of its debt written off as it was discovered to be more than four times above the acceptable Euro partner level. While the UK can feel
relieved it resisted the single currency, we are not exactly home free. Our economy is still inextricably linked to the euro as much as the dollar and the yen, and the consequences of its success or failure have equally far reaching implications for us.
Times change
Michael Hare, outgoing chairman of the GTMC, reflects on an eventful three years But if there is one constant in
THE OLD ADAGE is that time flies, and as I sit here to write this column – my last as chairman of the Guild of Travel Management Companies – I can only say my tenure at the helm of the organisation seems to have gone quicker than a gunpowder flash.
January 2009, when I
took on the role, seems like another age now. We had a different government then, and while we were in the midst of a recession, the talk was of more hopeful times to come for the world economy. The euro was still strong,
Europe united, the US on the brink of recovery, and talk was of a possible future British government that would be in favour of a third runway at Heathrow, against further rises in airport passenger duty (APD), for less regulation and red tape and more in favour of helping UK plc to regain its position as a major trading nation.
life, it is change. Wind the clocks forward to today and we have a different government, but one that has ruled out expansion at Heathrow, is hiking up APD at an alarming rate, and seems to ignore the fact that the UK is becoming less competitive from a business travel point of view with every day that passes. And that’s without adding into the mix that most of the major economies of the world are back in recession – or on the brink of going that way. For me, the uncertainties and changes of the past three years have emphasised one thing in particular: the industry today needs a collective voice, one that is powerful, respected and authoritative. And it needs that body more than ever before. So now, as I prepare to hand the baton of leadership across to the incoming chairman, Ajay Sodha, I can reflect on how the organisation has changed and how it is positioned to face the challenges of the future.
Five years ago, the GTMC set out a blueprint to evolve from an organisation that was primarily a collection of travel management companies (TMCs) exchanging views and networking, to becoming an organisation that drew all the industry together, created a voice of authority and expertise, communicated with governments and regulators, facilitated all stakeholders in the industry and, above all, promoted the interests of the business traveller. Since 2009 the GTMC has made great strides in achieving its goal. Our working parties – which cover every segment of the sector, from aviation to surface transport and hotels to human resources – now offers greater access and closer collaboration for TMC and supplier alike. We have seen and experienced tremendous success in putting business travel on to the agenda of government ministers, MPs and their respective civil servants and political researchers – the
confident year in 2011 we all need to focus on strategic investment and smarter ways of working. Cost control will undoubtedly be top of most corporate agendas through 2012. Now more than ever we need to unite as an industry and share best practice with each other. I for one, however, am quite
energised about the prospects for 2012 and am expecting a very busy year ahead. After the excitement of establishing Russia as a new corporate travel market for ACTE members in early 2009, I will be picking up the reins for ACTE in the Middle East as well as developing additional programming for the Nordics – all fascinating regions and
Opinion The ACTE column
brimming with potential. Once again ACTE will provide the education content for BTM London and will also plan the education sessions for GIBTM in Abu Dhabi. It’s going to be a busy year. Make sure you join us – check our full programme of events throughout the year at
www.acte.org
Caroline Allen is ACTE’s regional director; for more information visit
www.acte.org or contact
callen@acte.org
The GTMC column
majority of whom, just three years ago, hardly knew the sector existed. Clearly, there is much still to do, particularly in light of the Chancellor’s Autumn Statement and his intention to maintain APD rises at double the rate of inflation. But at least the industry now has a link to the government and the regulators, is in active dialogue with the key influencers and is arguing its corner effectively. So, while the GTMC ushers
in a new chairman and deputy chair, the pace of the organisation will continue unbroken – protecting and promoting the interests of the business traveller.
Michael Hare is the outgoing chairman of the GTMC.
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