'Sustainable business travel is imperative, not a nice-to-have'

A recent study revealed that 53 per cent of workers would prefer to work for companies that actively engage in promoting sustainable travel, highlighting the risk of losing top talent for any business dragging its feet in updating its travel policies and environmental policies.

The initial expenses of adopting eco-friendly practices might seem steep, but the costs of ignoring sustainability in corporate travel could be much higher.

In this article, I explore how businesses can pave the way to building sustainable business travel programmes.

1.

Why sustainable business travel is necessary

Climate change caused by human activities, contributed to 2023 being the hottest year recorded.

This revelation comes as no surprise, aligning itself with predictions made by climatologist Ed Hawkins’ Warming Stripes model, vividly depicting the significant rise of average global temperatures between 1850 to date.

Tourism, including business travel, is responsible for 8-11 per cent of the world’s carbon emissions. Furthermore, it is forecasted that carbon emissions from transport for global travel will grow by 25 percent in 2030.

"Tourism, including business travel, is responsible for 8-11 per cent of the world’s carbon emissions."

2.

Making policies sustainable

Adopting more sustainable practices is essential for steering companies and their stakeholders towards more sustainable travel.

Such policies encourage the selection of trains or electric vehicles over planes, promote taking fewer but longer trips and encourage choosing accommodation options that are recognised for their commitment to sustainability through relevant and genuine accreditations.

They also suggest opting for direct flights and leveraging virtual meetings to cut down on greenhouse gas (GHG) emissions, emphasizing that these minor adjustments can make quite a difference.

For example, planes emit 4.84 times more GHG than trains, while opting to travel by train instead of driving will generate ten times fewer GHGs than the equivalent journey by car.

Integrating criteria related to environmental, social and governance (ESG) initiatives in the request for proposal (RFP) stage promotes a green travel supply chain, supporting eco-conscious businesses and simplifying the role of travel managers in adopting sustainable practices for future travel planning.

When selecting accommodation, it is important to assess their sustainable practices alongside sustainability credentials. This includes reusing towels and bedding, opting for renewable energy, avoiding single-use plastics and sourcing locally.

RFPs should also look for evidence of sustainability awards, contributions to social value, transparency about carbon footprints and strong carbon data management capabilities.

A detailed corporate travel policy on sustainability informs travellers about eco-friendly practices, outlining the company’s environmental stance, explaining the process for travel approval and bookings and setting out the desired targets to be achieved.

This will foster adaptability in travellers’ habits and help manage expectations.

Travel management companies (TMCs) use their relevant experience and expertise building out comprehensive and personlised travel policies tailored to empower travellers in making sustainable choices at the point of booking.

"Planes emit 4.84 times more greenhouse gasses than trains..."

"A detailed corporate travel policy on sustainability informs travellers about eco-friendly practices, outlining the company’s environmental stance..."

3.

Leveraging offsetting and avoiding greenwashing

While sustainable aviation fuel (SAF) presents a step in the right direction, experts agree significant progress is needed for it to become a viable option.

Carbon offsetting and removal can be a legitimate means to lessen the climate impact of corporate travel and hospitality, but without accurate carbon data, businesses run the risk of greenwashing.

To effectively implement carbon offsetting and removal while avoiding accusations of greenwashing, businesses should prioritise reducing emissions through sustainable travel policies, select offset programmes supported by verifiable carbon data, ensure transparency in reporting the impact they have on the climate, refrain from exaggerated claims of carbon neutrality, regularly update their strategies based on the most recent carbon data and involve stakeholder education in the process.

By analysing and measuring carbon data, companies can set and achieve offsetting and removal goals through feasible direct replacements, ensuring their claims are backed by current carbon data.

"To effectively implement carbon offsetting and removal while avoiding accusations of greenwashing, businesses should prioritise reducing emissions through sustainable travel policies..."

4.

Managing carbon data and setting targets

Managing carbon data and setting targets are essential steps for companies to take informed action that is aligned with sustainability policies, showcasing a commitment to reducing the negative climate impact of corporate travel and ensuring the effectiveness of sustainability policies.

The involvement of stakeholders plays a critical role in reaching sustainability targets, because managing and measuring carbon data, alongside target setting, is an effective way to secure stakeholder support, ensuring the long-term success of sustainability policies and objectives.

Through accurate reporting and forecasting, cost-savings are achieved, risks are properly managed, positive brand image and market-leadership status are earned and regulatory compliance is adhered to.

Modern digitalised and centralised data management systems enhance the transparency, efficiency and cost-effectiveness of this process. By storing historical and real-time data in a centralised platform, future sustainability policies can be continuously refined, ensuring they are increasingly aligned with the latest sustainability and climate challenges.

"Managing and measuring carbon data, alongside target setting, is an effective way to secure stakeholder support..."