A study from Australia says that its small business sector spends the most on expense transactions than any other country. When compared to large organizations, they spend almost 25 percent more while on the road.
No matter what the size of the company, every business owner feels pressure to increase productivity. But why is it that the small businesses in Australia are spending the most on travel and expenses? Dynamic Business took a look at the issue and found some pretty surprising results. The small business of Australia are spending mind-boggling amounts of money on travel.
In the past, in countries like Australia especially, the only way to compete or even participate in global commerce involved expensive travel out of the country. This not only included the expense of the travel itself (airfare, lodging, meals, etc.) but the cost of lost time while employees were stuck on an airplane traveling thousands of miles to a business destination.
With all the technology we have now, it’s much more common for individual companies to have employees from different time zones, even different countries. One study shows that by 2030, almost 40 percent of Australia’s workers may be working independently as well as across national borders. That means it’s time for them to really kick their efficiency into gear and reduce the amount they spend on traveling.
PageUp People, one of Australia’s leading talent management organizations, has already proved that this is possible. Instead of spending thousands on business travel, they use video conferencing instead. Granted, many of us still prefer the good old fashioned face-to-face meetings. And in a perfect world, we would all be able to sit down in person to have all of our meetings. But in the real world, with growing technology, you have to grow with the times. Nothing can take the place of a handshake and being physically present, but your pockets will thank you for the amount of money you will save.
The article is quick to point out there’s no “one size fits all” approach to the dilemma of where and how to hold meetings. Certain environments lend themselves better to accomplishing certain goals. For example, if HR was in the process of “on-boarding” a group of new employees, a company might be better served to invest in the cost of travel to a single location where participants could physically interact with one another. A remote video conference version of this important activity would certainly deprive both employees and the business of valuable team-building time, both in and out of the office setting.
On the other hand, businesses hold numerous meetings that don’t require that kind of collaboration and authentic “face time.” For those, video technology offers the opportunity of sharing critical information in real time with people scattered across the globe without the expense of travel, food and lodging.
One Australian company, MYOB, a business management software firm, has realized the tremendous advantages of remote business technology and taken it to a new level. Only two per cent of their workforce is “on site.” They report not only increased savings on business travel, but happier, more productive employees.
We here at AccelaWork are big advocates of using technology to increase productivity growth. Each year, that field grows and puts more hi-tech devices in our hands. Not only will you save on the cost of business trips, but you’ll also open yourself up to different avenues, new employees, and new companies. Looking for more ways to become efficient? Reach out to one of our Indianapolis based business improvement consultants today for more information!