HRS The Hotel Expert Magazine - August 2013

Issue 01
The Hotel Expert.

HRS MAGAZINE FOR TRAVEL MANAGEMENT AND HOTEL PROCUREMENT
GLOBAL PRESENCE.
CHALLENGE: INTERNATIONALIZATION.
TRAVELLING IN CHINA. MICE LOCATION CHECK. NEW OFFICE.
THE BOOMTOWN OF SHANGHAI.
METROPOLIS PARIS.
DESTINATION SINGAPORE.
CHECK-IN.
EDITORIAL.
Dear readers, as an expert and manager in the business travel segment, you are the decision-maker when it comes to efficient organization and process optimization of travel management and hotel procurement. You are therefore not only offering your employees and colleagues the best possible travel conditions, but are also identifying huge savings potential for your company in terms of business travel costs. The growing importance of this field of activity was as good a reason as any for us to create a new medium with The Hotel Expert which is dedicated to the broad field of travel management and hotel procurement. Following the magazines successful launch in German-speaking countries, we are now also releasing an English version. In an attempt to further enhance a professional exchange of ideas across all industries, in the future we will also address issues that have an impact on the market, we will provide new sources of inspiration, we will take a look behind the scenes at our customers and also interview travel managers and hotel purchasers. By doing this, our declared aim is always to provide you with valuable benefits for your day-to-day operations. Benefits that HRS offers you with its expertise of over 40 years in the hotel industry, its international portfolio of hotels, its proprietary technologies and its best possible conditions. This first edition is dedicated to looking at the consequences of increasing globalization and internationalization in the travel management sector. We discuss challenges such as the practical implementation of professional welfare in times where there are increasing security threats and discuss the opportunities provided by consolidating travel agency partners and information worldwide. We also take you on a voyage of discovery to the growth market that is China and take a closer look at the MICE metropolis of Paris and its diverse possibilities for hosting events. We hope you enjoy reading the first edition of our magazine. Yours sincerely
Tobias Ragge, HRS Managing Director
COVERPHOTO: PLAINPICTURE/RAMESH AMRUTH
CONTENT
CONTENT.
ISSUE 01.
CHECK-IN.
NEWS. NEWS FROM THE INDUSTRY. 4
COVER STORY.
GLOBAL PRESENCE. CHALLENGE: INTERNATIONALIZATION. The globalization of travel management in a company is a major internal project. In order to achieve this objective, those responsible must not only show many years of patience and powers of persuasion. However, if the company succeeds, effort and patience usually pay off. OPERATING GLOBALLY, BUT SECURELY! INTERVIEW WITH CARSTEN CZUB, GEA GROUP. APPS MAKING EVERYTHING EASY. NEW POSSIBILITIES OFFERED BY MOBILE TECHNOLOGIES. 6
10
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PRACTICE.
TRAVELLING IN CHINA. BUSINESS TRIP TO THE BOOMTOWN OF SHANGHAI. There has been a particularly huge transformation in Shanghai which has developed from a sleeping colonial city to a modern business metropolis in a matter of just half a century. The city which is home to 16 million people represents a symbol of the boom in China. NEW BOOMTOWNS. THE GREAT UNKNOWNS. HOTEL PROCUREMENT OUTSOURCING. BEARINGPOINT & HRS. 18
24 26
SERVICE.
DESTINATION SINGAPORE. NEW ASIA PACIFIC HEADQUARTERS. SEARCH & BOOK. TRANSPARENT. QUICK. MEETS REQUIREMENTS. FRENCH FLAIR. MICE LOCATION CHECK: PARIS. Paris is one of the most popular cities for conferences and events in the world. The metropolis on the river Seine really stands out with amazing locations, one of the largest hotel selections in every category and sumptuous cuisine. 14 16 29
CHECK-OUT.
STATE OF THE ART. ART HOTELS DONT JUST INSPIRE CONNOISSEURS. 32
IMPRINT
Publisher: HRS Hotel Reservation Service, Robert Ragge GmbH, Blaubach 32, 50676 Cologne, Germany Contact: Kanika Sood, Tel. +65 6580 2828, kanika.sood@hrs.com Coordination, Editing and Implementation: publish! Medienkonzepte GmbH, Hanover, Germany Authors: Gary Bowerman, Dominik Maaen, Anke Pedersen, Romy Schumann, Ingo Thiel, Frank Willig Photographs: Robert Poorten, Jan Siefke and other image sources mentioned Copyright: HRS 2013
CHECK-IN.
PHOTO: INGRAM PUBLISHING/THINKSTOCK
BUSINESS & LEISURE.

HRS TEAMS UP WITH ACCOR WORLDWIDE.
S
RATES.
SYDNEY COUNTS REGIONS HIGHEST ROOM RATE.
anila, Auckland, Bangkok, Sydney and Jakarta recorded the strongest growth in average hotel room rates in the first half of 2013, compared to the same 2012 period. Data from HRS shows that average rates remained stable in Hanoi and New Delhi, while small decreases were recorded in Ho Chi Minh City and Seoul. Significant year-on-year price slowdowns were recorded in Singapore, Tokyo, Mumbai and Kuala Lumpur. Manilas average room rate during the period was SGD 207 up from SGD 174 in 2012, while Aucklands average rate jumped from SGD 181 to SGD 204 The highest average room rate in the Asia Pacific region during the first six months was SGD 335 recorded by Sydney, followed by Melbourne (SGD 263) and Singapore (SGD 243).
uccess connects: Accor, Europes biggest hotel group, and HRS have implemented a long-term global cooperation across both the leisure and corporate segments. All of Accors 3,500 properties, ranging from luxury to budget hotels in 92 countries, are bookable worldwide on the HRS, hotel.info and Tiscover websites, via a direct reservation system interface that provides all rates, availability and information in real time. Accor hotels offering corporate rates are also bookable on the HRS and hotel.de websites. Accor is one of the leading hotel operators worldwide and with its different brands it offers a broad variety in all price categories for private and business travellers. Hence, we can offer a wider range of hotels to our customers all over the world, said Tobias Ragge, CEO of HRS.
PARTNERSHIP.
NEW HOTEL BOOKING AGREEMENT.
n April, HRS entered into a distribution agreement with GetThere, a global technology company serving corporations and brands of Sabre. HRS detailed, high-quality content and information about 250,000 hotels, approximately 1.5 times more than the number of hotels available on most global distribution systems, is now available in 32 languages on GetTheres corporate travel reservation system, along with HRS flexible, and customer friendly booking terms. This partnership comes close on the heels of the HRS- Amadeus (E-Travel) partnership announced last year, which is currently being rolled out globally.
SMART PLANNING.
BOOM PREDICTED IN MOBILE TRAVEL BOOKING.
PHOTO: ISTOCKPHOTO/THINKSTOCK
martphone usage is expanding across Asia Pacific, and that may herald a trend towards greater mobile travel booking. The Ericsson Mobility Report revealed that global smartphone subscriptions totalled 1.2 billion at the end of 2012, and are expected to reach 4.5 billion in 2018. The total amount of mobile data traffic worldwide doubled in the first quarter of 2013 compared to the same 2012 period. Between January and March, 130 million new mobile subscribers were recorded across the planet, with China accounting for 30 million, 10 million in India and 27 million in the rest of Asia Pacific. The report noted that in Asia Pacific new subscribers are driving this trend, whereas in North America, it is based on increasing the number of subscriptions per individual. Ericssons research follows the publication of The Consumer Travel Report 2012, produced by PhoCusWright, which predicted greater smartphone usage for travel bookings in 2013.
NEWS
MEETING.
TOBIAS RAGGE HOSTS BUSINESS TRAVEL EVENTS.
CHINA.
HRS OPENS BEIJING OFFICE.
hinas business travel market is expanding fast, with an increase of more than 20% last year, and HRS is tracking the trends nationwide. In July, the company opened its second office in China, in the capital city of Beijing. The Beijing office is located in the central business district, and comprises hotel, customer service and sales teams. HRS also announced the launch of its Smart Online Booking Service, which helps customers to identify cost saving opportunities, optimise hotel booking process and control business travel costs. HRS first entered China 10 years ago, and established its Greater China headquarters in Shanghai, the nations east coast financial and commercial centre.
lobal trends in the managed travel industry, the importance of innovation, and opportunities for new business partnerships were the key discussion topics of a CEO business breakfast hosted on 27 June. Held to mark the entry of HRS into the Asia Pacific market and the official opening of operations in Singapore, the breakfast event gathered together leading names from Singapores hotel and travel industry. Later in the day, a lunch was held enabling local media to chat with Tobias Ragge, CEO of HRS, Jason Long, Head of Global Partnerships, Ralf Priemer, Board Member, Sales, Internationalization & Human Resources, hotel.info, and Christian Lukey, Commercial Director of HRS Asia Pacific.
PIPELINE.
REGIONAL HOTEL DEVELOPMENT REMAINS STRONG.
sia Pacific continues to be a growth region for hotel development, according to data from STR Global. The hospitality research firm revealed that 1,840 hotels, totalling 401,017 rooms, were either under construction or in the planning or final planning stages across the region at the end of June. The Upscale hotel segment accounted for the largest portion of rooms in the pipeline (25.5), followed by the Upper Upscale segment (22.8%). STRs research also shows that from January to May 2013, 188 hotels opened in the Asia Pacific region, with 451 further hotels slated to open before the end of the year. Looking ahead to 2014, STR predicts that 534 hotels will open throughout Asia Pacific, totalling 116,416 new rooms.
COVER STORY.
GLOBAL PRESENCE.
CHALLENGE: INTERNATIONALIZATION.
TEXT: DOMINIK MAASSEN PHOTO: PLAINPICTURE/RAMESH AMRUTH
The globalization of travel management in a company is a major internal project. In order to achieve this objective, those responsible must not only show many years of patience and powers of persuasion, but they also have to expect setbacks, as unpopular changes may not be accepted immediately by every employee. However, if the company succeeds in standardizing information, booking tools, guidelines and service providers throughout the countries, effort and patience usually pay off.
GLOBALIZATION
he world is constantly coming closer together and is developing into a global village. The more the internationalization of markets progresses, the more challenges also lie ahead for the travel manager. As is the case with economic enterprises being more and more globally active and products, services and capital moving freely around the world, employees are also travelling around the globe and around the clock.
GROWING MARKET, RISING COSTS

With the financial crisis coming to an end, the international market has started to recover again. After the Lehman insolvency and the negative consequences thereof, also for the travel market, business is picking up again especially in emerging countries and primarily in the BRIC states of Brazil, India and China, explains Michael Simon, as HRS Managing Director for the Corporate Solutions sector. An international study of the market research company 2hm confirms this assessment. Last year, 1,701 travel managers worldwide took part in a survey relating to this. According to this study, only 11 percent planned a reduction in business travel, while 35 percent of those surveyed in contrast anticipated more travelling and 53 percent expected the amount of travelling involved to remain the same. At the same time however, many travel managers are worried about an increase in costs as a result of additional expenses, government levies, fuel surcharges in the air traffic industry or higher credit card fees. Every second travel manager also anticipates an increase in hotel costs. It is therefore not surprising that most travel managers mainly focus on the strategic aim of cutting costs. Just behind this in terms of importance are optimum support and of course the safety of travellers. Many of the travel managers use the introduction of global travel management as an important tool. According to a study carried out by Amer-
COVER STORY.
ican Express in 2011, which also took a look at major companies and their travel programmes, the savings made with global travel management can amount to up to 20 percent.
GLOBAL VISION, LOCAL REALITY

It is an important aim to introduce global travel management. The greatest challenge for a travel manager is first of all to bridge the gap between the global approach from headquarters and the local requirements as well as the situation in that particular country, says Jrg Martin, Managing Director of CTC Corporate Travel Consulting. The german company advises its customers on this issue, and Jrg Martin worked for many years as a Global Travel Manager for the plant construction company SMS Siemag AG. Numerous challenges await the travel manager in his mission to establish a set of rules worldwide and then in implementing them as well. The process takes quite some time and requires a great deal of patience, says Martin. The best approach to take is to analyse each country independently. In every country, there are different
cultures, tax regulations or different accounting systems within companies. The more information the travel manager absorbs, the more complex the processes become. National companies often have the same local contractual partners for many years and rather feel faced with drawbacks. And not every service provider offers his services at any site worldwide. There are often problems especially in emerging countries because it is not possible to obtain the necessary approval for software or credit cards, says Martin.
Transnational credit card providers provide the necessary transparency for expenses. However, many companies also combine their contacts at their travel agencies. Instead of negotiating with 40 or 50 providers, these negotiations only take place with 3 or 4 providers, as the travel agency acts as a data interface. By having just a few providers, it is possible to cut analysis and communication expenditure.
USING NUMBERS CONSOLIDATING VOLUMES

If a company evaluates data in a uniform manner, then it is practical to introduce a joint online booking tool. There are now also systems available for evaluating costs worldwide in which all offices consolidate their information. Cloud Computing now enables employees to access these tools worldwide via the web. However, it is not just about simplifying processes and providing increased transparency, it is also about utilizing standardized figures. Booking volumes can thus be consolidated when entering negotiations with service providers and this helps to achieve cost efficiency. In this way, HRS offers discounts, for example, of up to 30 percent for large volumes. The top priority when taking all these steps is to think globally and act locally. People who live locally are becoming increasingly discontent with the fact that it is not just additional expenditure but also that more costs are being incurred than before. Specific requirements in a particular country must always be afforded enough scope for development. They should not be made into standardized solutions.
STANDARDIZED PROCESSES
The good news is that travel managers have a number of different tools and processes at their disposal with which they can create their global vision. The most important thing is to collect information at a central location to aid negotiations with service providers, to provide clear and concise reporting and therefore travel control. Using ERP company internal systems or external data warehouses, it is possible to combine information about bookings (travel agent), turnover (credit cards) and employees.
The top priority is to think global, act local.
HELP FROM SERVICE PROVIDERS

It is not always possible for a travel manager to have the necessary knowledge and oversight of what is going on
Jrg Martin, Managing Director of CTC Corporate Travel Consulting
GLOBALIZATION
Michael Simon, Member of the HRS Executive Board
internationally, says Michael Simon, member of the HRS Executive Board. Before, employees often travelled to a country where the options for travelling were similar to those of their home country, for example in terms of security. Now, many people travel to countries with a completely different infrastructure. As a result of globalization, service providers such as HRS are transforming from a central organization into a decentralized organization. We offer a travel manager the expertise of our local contacts for Asia for example at our offices in Singapore, Shanghai and Beijing. This enables him to find out more about the local providers, the market situation and the characteristics of a particular culture or peoples booking behaviour. In the growth market that is China, HRS now has a portfolio of around 20,000 hotels. In Japan, the number of hotels has increased significantly as well which means that we are able to meet customer flows there. Due to the attitudes of people locally, it is decisive to determine a sensitive and equally clear communication strategy for global travel management. In this case, it is important to show that there are more advantages than drawbacks so that travellers for instance can also benefit from improved safety measures. Global access to information means that employees can be found quicker in an emergency using tracking tools, for example. In order to bring different national companies which are part of different cultures closer to these advantages ideally in a direct discussion aside from using the decisive tools the travel manager has no other option but to do what other colleagues do and thats pack his suitcase and set off on his travels.
We offer the expertise of local employees!

IMPORTANT QUESTIONS FOR GLOBAL TRAVEL MANAGEMENT.
Have you appointed a manager for Strategy and Control? Do you still have to generate enthusiasm and demonstrate the benefits for individuals? Do you include national companies and stakeholders in the implementation process at an early stage? Have you created a communication platform for all national companies? Do you explain changes directly at the workplace in order to establish relations? Do you take note of cultural differences, regional mentalities and relationship networks that have already been established? Do you pay attention to national differences such as fiscal law, legislation, insurance and liabilities? Are you developing a global minimum directive and a process for adapting to local markets? Have you made all data transparent for negotiations and issued it to a service provider who then collates the data? Do you consolidate travel guidelines, online booking tools, company credit cards, controlling/reporting and service providers? Do you take advantage of global data access to also find colleagues in times of crisis?
COVER STORY.
OPERATING GLOBALLY, BUT SECURELY!

AN INTERVIEW WITH EXPERT CARSTEN CZUB FROM GEA GROUP
INTERVIEW: ANKE PEDERSEN PHOTOS: ROBERT POORTEN
In this era of globalization, global security risks occurring simultaneously now more than ever require the active support offered by travellers through their travel management. We talked to the globally-operating travel manager Carsten Czub about the cleverly devised Travel Risk Management at GEA, a German company that builds special-purpose machines.
Mr Czub, natural disasters, epidemics, bombings and hostage-taking in Algeria, Mali and Syria. Experts are warning that the number of incidents posing a security risk will further increase in future. GEA Group is a global company. How and where do you act? Our biggest asset is the employees. Thats why we are focussing on prevention rather than cure. Avoiding travel risks to and preserving the health of our employees is absolutely paramount, especially if they are in countries affected by crisis. Our aim is very much proactive care. But how can you achieve this with 25,000 employees throughout the world? As we always like to know exactly where our employees are, my approach is as follows: We need to have information! However, by this, I dont
necessarily mean a big brother type scenario. Thats why we dont track peoples mobile telephones or create motion profiles either. It goes without saying that we invest all our efforts into data protection. Our works committee is also kept constantly up-todate. Instead, travel management has pointed the way in terms of its systems. What would this involve exactly? Until 2006, all of our subsidiaries throughout the world operated with their own travel agencies. However, on this basis, it was impossible to consolidate our travel data worldwide. Thats why we decided from 2007 onwards to only work together with just a single travel agency in every country where we are represented with our companies. The aim was as follows: 1 country = 1 travel agency. In other words, 1 country = 1 inter-
10
GLOBAL SECURITY
The aim is: proactive care.

face. However, as we are aware that employees are reluctant to separate from long-term partners, we decided to opt against an international chain of travel agencies, especially as their quality varies from country to country. Furthermore, local suppliers are often significantly more familiar with regional conditions and circumstances. In short: In every country, all our local companies now cooperate in each case with a regional travel agency. In a manner of speaking, we came to a basic compromise. How long did this process of transformation last? Almost three years. Lets go back to the fact that you pointed the way in terms of systems. In tandem with the decision we took back then, we established a partnership with NP4, a travel data service provider from Germany. Since then, NP4 has compiled all our travel data based on our group structure. This works successfully as the company has data interfaces with all Global Distribution Systems (GDS)except with Travel Sky in China. It is therefore possible for all bookings made in countries which operate with a travel agency and of course all changes too to be forwarded directly to NP4, then processed by them and finally they are reported to us. Does this also apply to hotel bookings? This sector without doubt still represents a huge challenge for travel management. HRS has been consolidating our individual bookings for around three and a half years and in turn provides passive segments to NP4. Having this type of information makes it difficult to implement preventative measures. Thats exactly what we are going to change in the future. Until now, 90 percent of bookings for our hotels have been made outside the travel agent either by telephone or by fax. However, our employees will soon be obligated as part of the travel guideline to make reservations using HRS or at the travel agent. For this purpose, HRS has specifically created an interface to NP4 and in doing so has made a huge leap towards enhancing the entire process. The reservations enable you to find out exactly where somebody is, how long they are staying there and why they are staying there. Do you offer assistance worldwide so that your employees get exactly the help they need? Security escort, return transport etc. Control Risks is our partner in this respect and is a provider with a 24 hour support hotline. Furthermore, this is where all travel agency data is processed and synchronized with a country database. If there is a bombing or a similar event occurs somewhere in the world, then Control Risks coordinates the evacuation and if necessary the return transport of our employees. It goes without saying that all employees are also insured throughout the world. What does this country database encompass? It is a graphical colour representation of risks in all countries, regions and cities throughout the world. I can use it at any time to find out what the security situation may be like at a destination where one of my employees needs to travel to up to seven days in advance. Anything regarded as being above a medium risk is shown in orange, above a high risk in red and above an extreme risk in dark red. And is it possible for every employee to view this world map? They can do even more: When making a booking, an employee receives information about potential security risks at the relevant destination. If a high or extreme risk is indicated, an employee is only allowed to continue with his booking under specific conditions. As I mentioned, to avoid travelling and preserving the health of our employees is paramount for us. If employees still decide to travel however, then we require that they call our headquarters on a daily basis.
Are there special safety requirements that a hotel has to meet? It goes without saying that traveller requirements are different to those of the travel manager. Depending on the destination and dangerous situation, we check if a hotel is earthquake-proof or whether it is 500 meters above the waterline in the case of a Tsunami. In politically-troubled regions such as Pakistan or South Africa, we will check to see if the local government offers protection or if a certain area or region is guarded or monitored. Control Risks submits hotel recommendations to us on this basis. It would also be a real added value if a hotels security information were to be displayed when making a booking.
GEA Group AG. GEA Group AG, head office based in Dsseldorf/Germany, is one of the worlds largest system providers for the food processing industry and a wide range of process industries with group revenues of more than 5.7 billion euros in 2012. At the end of 2012, the company employed almost 25,000 employees worldwide in around 300 subsidiaries in about 50 countries. The company is listed on the German MDAX: www.gea.com
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COVER STORY.
NEW POSSIBILITIES OFFERED BY MOBILE TECHNOLOGIES.

TEXT: DOMINIK MAASSEN
12
PHOTO: MONKEY BUSINESS/THINKSTOCK
APPS MAKING EVERYTHINGEASY.
GLOBAL MOBILE
New digital technologies will also change the behaviour of business travellers in future. Today, business travellers can use their Smartphone throughout the world in their hotel or at the airport to check in. Travel managers should take certain criteria into account when choosing apps so that they can keep track of everything.
xperts predict that next year more people around the globe will surf the Internet using mobile devices than using PCs and laptops. According to forecasts, the number of apps downloaded will almost double in 2013, compared to the previous year. And three quarters of all major companies with more than 1500 employees see many different benefits in using these types of mobile applications for their business travellers.
MAKING THINGS SIMPLER FOR TRAVELLERS

The advantage of mobile apps is obvious: They are easy to use, save time and offer the person making a booking a great deal of flexibility anytime and anywhere, as the person travelling can respond immediately and independently using mostly free of charge programmes. Have you missed your flight? If so, you can soon find an alternative using the right application such as a train connection or a unoccupied vehicle from a car rental company. If there are no other options for departing after a business meeting, then the apps can also help you to find a hotel.
confirmation appears on the display, the amounts due are debited directly without using a credit card. In the future, customers will be able to save a great deal of time using this technology also when checking out from a hotel. Companies should take advantage of these new possibilities, as the desire of bookers for apps with the advantages mentioned above is unrelenting. And the trend is on the rise. Travel managers have to adopt a uniform approach in an attempt to also guarantee control over bookings and ensure the best possible overview thereof in future. This means that the use of apps corresponds to the companys travel guidelines. Everything that applied to travel agencies in the past and that was later incorporated into online booking systems is now equally important for using apps.
THE FEWER APPS THE BETTER

Normally the motto is: the fewer apps the better. Employees should process all data that is relevant for statistical purposes in a uniform manner using the same app. Otherwise data proliferation will soon occur, says Wolfgang Suchetzki, Director Key Account Management at HRS headquarter in Cologne. Travel managers are no longer able to control the travel habits of their colleagues if they make bookings erratically and in a disordered way. It is recommended limiting yourself to just a few apps and taking advantage of the benefits they have to offer: A useful app for business travellers for example improves the flow of information. It represents all means of transport in one itinerary and offers push services. For this purpose, there must be the option to integrate apps into the existing IT network. Then an app guarantees low roaming and maintenance costs and enables a persons location to be found so that travellers can be offered information and located. HRS offers a solution that can be completely integrated into the IT network, says Suchetzki. In the HRS app, it is thus possible, for example, to display special company discounts and contract data.
CUSTOMER ACCOUNT ALSO AVAILABLE IN APPS

A fundamental requirement for successfully integrating apps is that a booking is always made using the company account no matter whether you are using your computer or an app on your mobile. In order to sign up, a travel manager must always enter his customer number and the data is incorporated automatically into his reporting and analyses. If providers have good apps in their product range, then travel managers should consciously promote them. There is also the option of making devices available to which the IT department has preinstalled applications and to which employees cannot download any more applications. At the same time, it is laid down in the travel guidelines that employees are not allowed to use their private Smartphone for business trips.
SMARTPHONE REPLACES CREDIT CARD

The fact that a traveller always has his Smartphone at hand also offers additional benefits. Nowadays, the Smartphone offers a business traveller the option of also having his boarding documents, tickets or reservations in electronic form. In future, the Near-Field-Communication (NFC) technology will also make it possible to make payments using the Smartphone. An NFC transmitter is integrated into the payment chip for the Smartphone, which identifies the terminal at the checkout counter. After
PHOTO: MONKEY BUSINESS/THINKSTOCK
HRS APPS.
HRS App for iPhone www.iphone.hrs.com HRS App for BlackBerry www.blackberry.hrs.com
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SERVICE.
DESTINATION SINGAPORE.
NEW ASIA PACIFIC HEADQUARTERS.
TEXT: GARY BOWERMAN
HRS has expanded its footprint in Asia Pacifics rapidly growing business and leisure travel markets with the opening of a new regional operations hub in Singapore.
xtending an impressive global portfolio of hotel booking services to the young and savvy Asian consumer is one of the key factors behind HRS decision to locate its new Asia Pacific headquarters in Singapore. Asian travellers are increasingly travelling across the Asia Pacific region and to locations around the world for both business and leisure. Asia Pacific is a high-growth area and an important region to offer corporate travellers more choice and better service. We want to help companies here maximise profitability by cutting corporate travel costs through an efficient travel management system, said Tobias Ragge, CEO of HRS at the launch event for the Singapore office in June.
FIRST OFFICE OPENED TEN YEARS AGO

HRS, Europes leading hotel portal for business and private travellers, opened its first office in Asia ten years ago, in Shanghai, China, and in July announced the opening of a second office in the capital city, Beijing, as part of its plan to expand market share in China. With the new regional headquarters now opened in Singapore, HRS aims to leverage expansion in the fast-growing travel markets across South-East Asia in tandem with the rest of the dynamic Asia Pacific region. Asia Pacific is widely recognised as the powerhouse region for global travel and tourism. Strong growth of 7% was recorded in Asian outbound travel last year, according to the 2012/2013
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DESTINATION SINGAPORE
ITB World Travel Trends Report. This trend is expected to continue: The outlook for outbound tourism is overwhelmingly positive thanks to continued good prospects for the regions economies as incomes rise and consumers are able to travel more, the report adds. In the first four months of 2013, 298 million international tourists travelled worldwide, according to the UNWTO World Tourism Barometer. Asia and the Pacific registered a 6% increase year on year, giving the highest relative growth of any global region during the period. This figure was boosted by burgeoning arrivals in South East Asia (up 12%) and South Asia (up 9%).
The new regional HRS operations hub in Singapore.
15 EMPLOYEES
The new HRS Asia Pacific Singapore headquarters is headed by Commercial Director Christian Lukey, and employs 15 people across three different divisions; Hotel Solutions, Corporate Solutions and Marketing. The companys team of dedicated managers looks after the key markets in Asia Pacific, including, Japan, Korea, Indonesia, Malaysia, Singapore and Thailand. Asia is experiencing a strong economic growth and an unprecedented rise in the consumption of travel services. With the worlds biggest, youngest and most tech-friendly consumer group working and living in this region, it is a promising market to be in, says Christian Lukey. While there are other players in the market, our global customers have been asking us to expand our services here for some time already as they appreciate the modern and flexible approach HRS brings to corporate travel. paced business environment as a key part of the collage of experiences that sets the city abuzz. Singapore is a coveted destination for business conferences and meetings as well. The International Conventions Association ranked Singapore as the joint sixth city globally (alongside London) for total number of meetings in 2012. All of the cities placed above it on the list are located in Europe, while the second highest placed Asian city was Beijing, in 13th place. In addition, the diversification of hotels, shopping, dining and entertainment and new tourism attractions in recent years has redefined Singapores appeal as a leisure destination. It also has a high number of outbound travellers, serving as a hub in the region, and Changi International Airport regularly tops polls as for the worlds best airport. Singapores vibrant multicultural mix makes it an appealing place from which to conduct our regional operations. A well-qualified workforce, plus easy access to reliable technology and the strategic location of many multinational companies combine to create a unique opportunity for HRS to expand in the existing Asia Pacific region, says Christian Lukey. Our experienced team offers a unique blend of expertise and integrated solutions to large and medium-sized companies, which have not previously been able to fully assess the efficiency of their hotel programmes, Mr Lukey adds. Looking ahead, countries across the Asia Pacific region possess all the economic and social attributes to leapfrog the developmental stages that the rest of the world has taken two or three decades to overcome. We look forward to assisting our clients with their corporate travel strategies, which will be essential to their continued growth in the region. The opening of the Singapore regional headquarters was marked by a CEO business breakfast for industry clients and partners, hosted by HRS CEO Mr. Tobias Ragge. During the event, the HRS Intelligent Sourcing service was introduced to the audience. Later the same day, a media lunch was held to introduce HRS to the local media community. As part of the launch activities, HRS released its first ever brand campaign in the print media, which was targeted at Singapores business and travel management community. A series of brand and segment specific ads were launched in leading newspapers and business dailies, reaching a potential audience of over 1.5 million people.
POPULAR DESTINATION FOR BUSINESS TRAVEL

Singapore, known as the Lion City, was the natural choice, as it is home to numerous regional and global headquarters of multi-national organisations, plus many Asian companies. It is also a popular destination for business travel, and the Singapore Tourism Board heavily promotes the fast-
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SERVICE.
SEARCH & BOOK.

TRANSPARENT. QUICK. MEETS REQUIREMENTS.
TEXT: FRANK WILLIG
Since February, the HRS booking portal for companies has had a new look. During the last few months, product and online specialists have enhanced the platform making the hotel booking process even easier and more efficient for corporate customers.
s a market leader and an innovator, HRS pays particular attention to developing its products as efficiently as possible and adapting them accordingly to customer requirements. Last February, the third generation of the company booking portal went online, which HRS initially developed over ten years ago. Companies stand to gain from the improved standard of the new booking portal with numerous alterations. The main focus in enhancing the portal was on developing an intuitive menu navigation system to enable simpler and quicker navigation, using new filter functions to make finding relevant hotel offers a closely linked and quicker process as well as a customizable booking process for easy booking.
OPTIMIZED SEARCH AND FILTER FUNCTIONS

Companies can benefit from discounts of between 5 and 30 percent, which around 30,000 contract hotels of HRS offer when making a booking using the new portal. It goes without saying that rates negotiated by the company themselves are still on file. This means that the cheapest price will always be displayed to the user. If there are not many rooms available, the user will be informed of this in the hotel list and he can therefore make up his mind at an early stage. The HRS price limit function also enables employees to make a booking within the framework of the company travel guideline. The price limit can be fixed both on a global scale and for individual locations.
FAST BOOKING AND TRANSPARENT REPORTING

The booking process itself was also enhanced and it offers a number of customized and configurable functions. These include saving company credit card details and using alternative payment methods including the option of up to two cost absorption declarations. The AConto payment method therefore enables bookings to be made on account, while payment with a saved credit card makes it easier when paying a bill at a hotel using a credit card. Following this, all bookings made will be summarized in a report system which the travel manager can use to view and assess numerous reports and statistics at any time.
16
CORPORATE CUSTOMER PORTAL
SPECIFIC LOOK IN CORPORATE DESIGN

The design of the portal can be adapted to the image of the relevant corporate customer. It is possible to include the individual company colours and the company logo is also simple to integrate. Besides developing the design and functions of the booking portal, companies also give security for data encryption top priority. Users personal data is fundamentally transferred in encrypted form according to the 128 Bit SSL standard.
later date, a telephone hotline is available to provide expert advice at all times.
DISCOUNTS AND TOP QUALITY HOTELS

It is also possible to track down hotels with excellent customer orientation which can be easily identified using the new HRS award Top Quality Hotel. A hotel must meet strictly defined quality criteria in the following categories to receive the HRS seal of approval: customer satisfaction, quality hotel facilities, price reliability and good service. The Top Quality Hotel award makes it possible to recognize immediately which hotels in the hit list stand out through excellent customer service. The new booking portal therefore offers all companies a whole host of enhancements, which can be described vividly with three key words: More transparent. Quicker. Meets requirements better.
The booking tool
COMPREHENSIVE ADVICE FROM HRS

Implementing the booking portal is very simple and is performed in just a few steps. In a face-toface meeting, HRS specialists show everything the booking portal has to offer and together with the travel manager develop the available functions. Employees can gain a better understanding of these functions with the aid of training courses both online and in person. If any issue arises from using the portal at a
The list of hotels
17
PRACTICE.
TRAVELLING IN CHINA.
BUSINESS TRIP TO THE BOOMTOWN OF SHANGHAI.
TEXT: INGO THIEL PHOTOS: JAN SIEFKE
The Middle Kingdom is becoming an increasingly important trading partner for South-east Asian companies. There has been a particularly huge transformation in Shanghai which has developed from a sleeping colonial city to a modern business metropolis in a matter of just half a century. The city which is home to 16 million people represents a symbol of the boom in China.
he ascent upwards happens at a spectacular pace. The elevators at the World Financial Center in Shanghai race upwards at eight meters per second. It takes just one minute for a visitor to get from the ground floor to the top floor of the most prominent building in the Chinese financial metropolis with what is currently the highest observation deck in the world at 474 meters above ground. The New York architecture office Kohn Peder-
sen Fox Associates was tasked with constructing a building that would symbolize the financial power of the Peoples Republic.
RAPID RISE
Similar to the trip in the elevator, the Chinese economy has also enjoyed a rapid rise: The gross domestic product (GDP) amounted to around SGD 1.5 trillion back in 2003 and has been forecasted at around SGD 11.18 tril-
lion for this year. In comparison, established European economies like Germany have a gross domestic product of SGD 4.36 trillion and Singapore has SGD 349.8 billion. China has thus risen up into the leading group of countries and the Peoples Republic of China has been the leading exporter since 2009. And if everything goes according to what chief government planners have in store, then the Chinese GDP is likely to be at SGD 20
18
TRAVELLING IN CHINA
The Shanghai skyline is imposing and constantly going through change.
trillion by 2020 at the latest and China will overtake the pacesetter that is the USA.
BEING MOBILE IN THE CITY

You can also experience incredible numbers and an amazing tempo immediately after arriving into Shanghai at the ultra-modern Pudong airport: This is where the magnetic monorail Transrapid, which is known as the Shanghai Maglev Train (SMT) in China, trav-
els at a speed of up to 431km/h into the city centre. We recommend using the subway when attending business meetings, as the streets are regularly congested especially when there is rush-hour traffic. The Jiaotong Card is practical for this purpose. You can purchase this card from stations and top it up with credit. As well as using this smartcard for the metro, it is also possible to use it for taxis or as a method of payment at McDonalds.
When travelling with a taxi, passengers should be aware that, unlike in Singapore, Chinese drivers will not always know where to go if you give them the name of a hotel. Instead, they get their bearings by referring to road intersections and road names. As many drivers dont speak English either, it is beneficial to have the address of your destination written down in Chinese. Corporate clients of HRS can print out their hotel booking
19
PRACTICE.
The dense subway network represents the heart and soul of the metropolis.
confirmation with the address printed in Chinese or save it on their Smartphone a service that is always worth having close to hand.
GAINING AN UNDERSTANDING
In high-class restaurants, the waiters often speak English. If this is not the case, another option is to view the pictures of the dishes on the menu as a guide. It is also recommended that you always keep a city map close to hand, as otherwise it is difficult to ask somebody walking along the street for directions. Both in this situation and at business meetings, a visitor to Shanghai can quickly win somebody over by learning a few Chinese words. The most common expressions like Ni hao (Hello), Baituo (Please), XieXie (Thank you), Manmanchi (Enjoy your meal) or Gan bai (Cheers) quickly help to make the atmosphere more relaxed and can also open doors for you. In Shanghai, the doors for companies are very much open: More than 50,000 foreigners are already working here. The city is well on its way to taking over from Hong Kong and Singapore as the financial metropolis. Every effort was made in an attempt to make it to the top. For the Expo 2010 alone, the government allowed more than five square kilometres of land on the banks of the Huangpu river to be demolished and redesigned and with 70 million visitors, more people attended than ever before.
City of contrasts Tradition meets modernity!
Shanghai is the main financial centre in China.
IN THE CASE OF AN EMERGENCY.

The Singapore Consulate General in Shanghai is located at No.89 Wanshan Road, Shanghai 200336, Tel.: (0086 21) 6278 5566. It is possible to find pharmacies everywhere and most of them sell joint-venture medicines that are considerably less expensive than western medicines. The Shanghai No.1 Pharmacy at 616 Nanjing Road (East) is the largest pharmacy with a wide range of western medicines. If you need a doctor, you should consult your provider in the private sector ParkwayHealth, which has a number of medical centres in Shanghai and an international medical team that speaks English Dental practices are integrated into the Hongqiao and Jinqiao medical centres (www.parkwayhealth.cn). In emergency situations, please contact the hotel personnel. If you call the emergency number 120, the staff on the telephone are only able to understandMandarin. Foreigners are admitted to the nearest hospital with an international department subject to a charge (please take your passport and cash with you, as the medical centres do not accept any form of credit card payment).
WIDE SELECTION OF HOTELS

The local hotels correspond to the needs of a modern metropolis and their services and facilities are designed with international business customers in mind. However, you should avoid drinking tap water even in 5-star establishments. In many hotels, there is an express service for checking in and out, and the employees speak English. However, if you experience difficulties with your accommodation, HRS 24-hour hotline is there to help you.
20
TRAVELLING IN CHINA
The HRS office in Shanghai is able to provide assistance in the event of language problems when unexpected difficulties occur and ensure that customers get alternative accommodation of the same type if not better and without paying any additional charges. HRS has had a presence in China since 2002, employs just under 100 people and has an excellent knowledge of the hotel market with a hotel portfolio to match.
View from the World Financial Center in Shanghai at the Bund from 474 metres above ground.
CULINARY TREATS
Going for a meal together is also an important part of business life and thats why a company representative should know a few good restaurants. If you are going for a business lunch, we recommend that you visit Lost Heaven which, along with specialities from Yunnan, also offers an open air bar (YanAn Dong Rd.). You can also get a really great view from one of the tallest restaurants in the world, the three stories high 100 Century Avenue which extends from the 91st to the 93rd floor of the World Financial Center and has more than 500 wines on the menu. The numerous local restaurants are significantly less expensive. Shanghais speciality Xiao Long Mantou of pastry filled with meatballs and broth, which are put into bamboo baskets and then steamed, can be tried at Jia Jia Tang Bao (Huanghe Road 90). work drinks, then stay for dinner and where you can end the night perfectly with cocktails and a disco. Please visit the website www.smartshanghai.com for a fantastic overview of all the trendy bars, cafs and restaurants and for more information about the latest establishments that have recently opened or closed in fast-paced Shanghai.
AFTER WORK
The entertainment district of Xin Tian Di new paradise that is mainly visited only by rich locals, tourists and expatriates is jam packed with bars. We would particularly recommend the cocktail bars El Coctel (2/F, 47 Yongfu Rd.) in the style of the Golden Twenties and the Barbarossa (231 Nanjing Xi Road), a lounge with three floors in the middle of a lake in the peoples park, where you can go first of all for after
A CITY OF SUPERLATIVES
Shanghai is a city of superlatives which, like China itself, has continued to develop at a rapid rate. The Chinese government is doing everything within its power to turn the city into the leading financial centre of Asia
TOP 3. BUSINESS HOTELS RECOMMENDED BY ADAM QIAN, HRS OFFICE IN SHANGHAI.

SWISSOTEL GRAND SHANGHAI The Swissotel Grand Shanghai is an elegant design hotel situated right at the heart of the business quarter. Food connoisseurs can get the best steak money can buy at the affiliated Moons Steakhouse. The five star hotel was the proud recipient of the Chinas Leading Business Hotel award and has 467 rooms. It offers 4 restaurants and bars, a spa and wellness area, multifunctional conference rooms, Internet/WLAN services and a daily newspaper free of charge. Price starts at SGD 220. THE ETON The Eton is a modern design hotel with luxuriously furnished rooms and spacious suites. The hotel has a large wellness area with a swimming pool and a number of different restaurants with spectacular views. It is situated in the centre of the business and commercial quarter of Lujiazu. The hotel is only 10 minutes drive from the Shanghai New International Expo Centre. A car park and garage are available right next to the hotel. Price starts at SGD 230. BODI BOUTIQUE SHANGHAI PUDONG The Bodi Boutique Shanghai Pudong is an exquisite boutique hotel with an art deco design. The hotel is a real insider tip among travellers to Shanghai. It is a 4 star hotel with 90 rooms measuring between 46 and 110 square metres. The hotel facilities include a restaurant and bar as well as a gym. It also offers Internet/WLAN services and a daily newspaper free of charge and conference rooms. The Bodi Boutique is situated right at the heart of Pudong, which is the business and financial district of the city. Price starts at SGD 115.
Adam Qian, Hotel Market Manager, HRS Shanghai
21
PRACTICE.
The narrow streets of the old city are jam-packed with tourists and locals
TRAVEL ETIQUETTE. HRS TOP TEN TIPS

When making decisions, the feelings you have towards a person play a crucial role. Thats why it is vital to behave in the right way during negotiations.
01 02
Punctuality: It is not acceptable to be any more than five minutes late.
Hierarchy: Greet the most senior individuals first. Older people before the younger ones and men before women. The hierarchy is clear for all to see, as the most senior person always enters the room first.
Greeting: Do not make physical contact and do not nod your head. Simply bow slightly and lower your gaze. If someone shakes your hand, offer just a soft handshake.
03
Business card: It is best to have a dual language business card and to hand over the card with both hands and with the writing facing the person you are talking to. If you are offered a business card, always accept it with both hands and take a look at it. Do not put the business card away immediately that shows disrespect! Eye contact: Never look at somebody directly; that is considered intrusive. When holding a conversation always look to the side. When making a toast with somebody, you look them in the eye. Discussion: You must be patient. Do not directly say what you want. You should avoid confrontation at all costs and do not disagree with what your conversational partner says. It is best to use sentences like That may be difficult or I will try. Etiquette: Avoid blowing your nose during a conversation or even during dinner. If you need to do it, it is best to go to the toilet. Do not show the sole of your shoe to the people around you. Do not move anything with your feet and avoid crossing your legs. If you are offered a cigarette, it is best to accept it even if you are a non-smoker and put it in your shirt pocket. Gifts: You should wrap gifts in red or yellow paper, as these colours represent a zest for life. Do not wrap gifts in white paper and do not give four of the same gift, as like flowers and watches, this also symbolizes death. Do not unwrap gifts you receive straight away; put them to one side instead.
04 05 06 07
Address: Always use the surname of a Chinese person first and then their first name.
APPS.
Icoon (iOS) If you are not able to make yourself understood verbally, then you can use the free dictionary with almost 500 symbols to indicate exactly what you want to say. CamDictionary (iOS/ Android) Simply hold your camera up to the Chinese characters and you will be provided with an English translation. The basic version can be acquired free of charge. Explore Metro Guide (iOS) Subway maps and routes of the major Chinese cities. The guide interacts with Google Maps and station names are written in English and Chinese and also spoken in Chinese. This service is subject to a charge. Istaverse (iOS) Free portal that consolidates a number of different news channels including Shanghaiist. You will also receive news that the countrys press doesnt consider newsworthy. China Air Pollution Index (iOS) You can use this free app in real time to check whether it is currently advisable to wear a breathing mask.
08
09 10
Food: The host orders for everybody. You should at least try the dishes on offer. If you do not want to eat something, you should give a reason (e.g. that you are allergic or you are vegetarian). If you are full up, leave a little food remaining in your bowl, otherwise it will be filled up again. If you able to eat with chopsticks, it will definitely go down well. Do not cross your chopsticks, separate them, cross them over or put them upright in your rice bowl. Do not stab or skewer your food or play around with it.
22
TRAVELLING IN CHINA
Hustle and bustle in the peoples park of Shanghai far away in the background is the building site of the soon to be largest building in the city, the Shanghai Tower.
Traditional Chinese food can be found in old Shanghai around every corner.
NETWORKED.
Encryption technology on company laptops is subject to authorization and must be registered. There is a standard Chinese customs form for this purpose which can be filled out before arriving in China. If hardware is used for encrypting sensitive data, this hardware must come from China. If you do not comply with these regulations, the equipment you are using will likely be confiscated. BlackBerrys are compatible in China, however, roaming is expensive. It is advisable to purchase a Chinese SIM card especially if you are staying in China for a long time and these are available in kiosks and small shops. You can buy credit and use your own mobile telephone with your Chinese telephone number. WLAN or Internet connection comes as standard in hotels and conference centres and it is not unusual to find Internet cafs. If possible, always establish a data connection by using VPN Tunnel and use one-time passwords for internet access. It is not possible to access Internet pages such as Facebook, Twitter and YouTube and this may also apply to foreign media websites.
If you like to cook yourself, you can find many different ingredients at the citys traditional street markets.
and to turn the country into the most important economy. For South-east Asian companies, this enormous market with its 1.3 billion inhabitants is extremely important. And due to the fact that more and more small and me-
dium-sized companies from all around the world want to play their part in the boom, the number of people taking business trips to China in the next few years will increase significantly.
23
PRAXIS.
PRACTICE.
NEW BOOM TOWNS.

THE GREAT UNKNOWNS.
TEXT: INGO THIEL
China is growing rapidly. This growth is evident in four cities that not everybody will have necessarily heard of. The cities will be important for business travellers in future. In China, there are 35 major cities including metropolises that have four to five times as many inhabitants as Singapore. Shanghai may be the leading economic centre, but these cities that are still relatively un-known in parts of South-east Asia and Asia, are becoming more and more important for business travellers.
NANJING
Nanjing is the second largest city in the east of the country after Shanghai with a population of 7.5 million inhabitants. The industrial landscape of the former capital of China is characterized by five key industries electronics, vehicle construction, petrochemistry, iron/steel and energy. A number of international companies are already represented in Nanjing or have entered into a joint venture with Chinese partners including Volkswagen, BASF, Bosch and Siemens. On average, two new international companies establish themselves here every day. Heres a tip: take a boat ride at night along the Qinhuai river past the city wall of Nanjing! HRS hotel recommendation: InterContinental Nanjing 5 star luxury hotel. Landmark and the highest building in the city at 450 meters. It offers spectacular views of the skyline and the Zijin Mountain. Horizon Cafe on the 45th floor with a view of the sky. Exquisite restaurants with international, Indian, Italian, Chinese and Japanese cuisine, relaxation at a full-service spa as well as an indoor and outdoor pool.
ed around 190 kilometres from Shanghai and is therefore an ideal place to go for a day trip. The citys highlight is the West Lake (around 500 hectares in size) located close to the city centre. Its beauty makes it one of the most famous sites in China for Chinese people and it was named a UNESCO world heritage site in 2011. HRS hotel recommendation: Hangzhou Tower 5 star business hotel which offers excellent service. The largest shopping mall in Zhejiang is located in the same building. The hotel offers free WLAN and parking and provides a dry cleaning service and beauty salon.
HANGZHOU
The megacity that is largely unknown throughout Europe is the capital of the Chinese province of Zhejiang and has a population of more than seven million inhabitants. The largest textile factory in China is located in the silk city. The strongest industries in Hangzhou are mechanical, apparatus and plant engineering, car part manufacturing and domestic electrical appliances, production of electronic and telecommunications systems, synthetic fibres as well as food processing. The development of cutting-edge technologies is of great importance especially in the areas of information service, online games, modern media, leisure activities and tourism, exhibitions and conferences, etc. Hangzhou is situat-
24
RUSSIA
TRAVELLING TERMINE IN CHINA
KAZAKHSTAN
MONGOLIA Beijing KOREA JAPAN
CHINA
Chengdu
PAKISTAN NEPAL INDIA
Nanjing Hangzhou
Shanghai
Guangzhou
VIETNAM
Hongkong
CHENGDU
Chengdu is the capital of the Chinese province of Sichuan with more than ten million inhabitants. This main transport hub in West China is developing into both a manufacturing industry for mechanical engineering and aircraft construction, chemicals, pharmaceuticals and food and a financial centre. The West China International Economy and Trade Fair (WCIETF) has been held in Chengdu in May of each year since 2006. At the same time, the German Pavilion provides local companies with a forum to meet with potential partners from the Chinese market. People coming over to visit Chengdu from Germany should not miss out on the opportunity to visit one of the many tea houses. The local population congregates here for the Majiang games as well as for parties or even business meetings. HRS hotel recommendation: Kempinski Chengdu 5 star hotel with numerous restaurants that serve specialities from all over the world. Kempinski Chengdu also encompasses the Paulaner restaurant, a Cantonese restaurant
most distinguished import and export trade fair in China Canton Fair is held with several hundred thousands of purchasers and traders attending. The Canton Tower is around 600 meters tall and is an extraordinary architectural highlight. Since 2010, visitors have been able to use the observation deck to admire the amazing view of the megacity on the Pearl River. and a traditional tea house. It also offers free WLAN and a daily newspaper, a garage at the hotel and conference and meeting room facilities. HRS hotel recommendation: Grand International A luxurious 5 star hotel in the business quarter of Tianhe offering all types of amenities for business travellers such as free WLAN, a daily newspaper, dry cleaning services, a gym and an outdoor pool.
KANTON (GUANGZHOU)
The capital of the Guangdong province is the third largest city in China. Kanton is the main industrial and trade location known as the worlds factory and its main industry sectors are chemicals, telecommunications, electronic devices, machinery, shipbuilding, textiles, plastics, rubber as well as iron and steel production. Its leading service sectors are transport, storage, banking and insurance. More than 10,000 international companies have establishments in the economic metropolis. In spring and in autumn, the
25
PRACTICE.
HOTEL PROCUREMENT OUTSOURCING.

BEARINGPOINT & HRS.
TEXT: ROMY SCHUMANN
26
BEST PRACTICE
he German Company BearingPoint with offices worldwide offers consultancy services to companies and organizations in the commercial service, financial service and public service sectors in resolving their pressing and important issues. BearingPoint advisors work in close cooperation with their clients and together define ambitious objectives and develop solutions, processes and systems along the entire value added chain. This forms the basis for a significant contribution to business success and exceptional customer satisfaction. Since the takeover by its partners as part of a management buy-out, BearingPoint has become an independent business consultancy firm which combines entrepreneurship and management and technological expertise in a unique manner. Strategies are linked with new technologies and BearingPoint thus successfully advises companies and organizations from the economic, financial and public service sectors. BearingPoint has around 3,500 employees in 15 countries. The company has European roots, yet it supports its customers around the world with a global network. The consulting business involves intensive travel requirements. Over 2,900 BearingPoint advisors are out and about on average four times a week. This means that the majority of advisors spend weeks on end with customers at their place of business. In addition, meetings and events are also held. As a result, the demand for hotel accommodation is high. Due to the increase in travel expenses, BearingPoint decided for the first time two years ago to optimize hotel procurement for hotels worldwide.
perts developed an innovative service for analysing costs worldwide and optimizing hotel procurement. This resulted in savings of around 10 percent being generated. The consultancy has been using the Intelligent Sourcing solution for the third year in a row now. After the successful cooperation and positive results, it was an easy decision for us to keep faith with HRS in 2012 as well. I was surprised how fast the product was developed compared to the last couple of years, explains Richard Sebald, Manager Meeting & Travel Services at BearingPoint. HRS Intelligent Sourcing is a holistic approach consisting of five phases: analysis, developing a sourcing strategy, negotiating rates, rate loading and auditing and reporting. This means that the entire hotel procurement process chain will be offered from a single source for the first time with the aim of reducing the burden placed on travel management operations as well cutting process and travel costs. In the case of product development, we focussed in particular on offering our customers an end-to-end solution and on using for this purpose our own unique database of over 250,000 hotels and bookings of more than 35,000 corporate customers, which none of our competitors has says Michael Simon, Member of the HRS Executive Board and Head of Corporate Solutions at the HRS head office, in presenting the concept.
CHALLENGES
Initially, all the travel expenses from the previous few months were analysed. For this reason, BearingPoint provided HRS with a number of different data sources including credit card data and hotel and TMC statistics. This enabled HRS to gain a clear overview of the booking volume for individual destinations and hotels.
STRATEGIC HOTEL PROCUREMENT

As a corporate customer, BearingPoint addressed its concerns to HRS in 2010. Following this, the hotel ex-
We focused on offering our customers an end-to-end solution.

27
PRACTICE.
Richard Sebald, Manager Meeting & Travel Services at BearingPoint
The situation is as follows: While contract hotels constituted a high amount of accommodation in numerous destinations in 2010, this amount has improved significantly over the last few years resulting in a positive impact on hotel rates. HRS was able to derive specific recommendations based on these substantiated results: Reducing hotel costs by consolidating accommodation into a few contract hotels taking into account good value alternative hotels. However, as finding hotel accommodation is a very sensitive topic due to the fact that employees are often emotionally attached to a particular hotel as it makes them feel comfortable and gives them a feeling of familiarity, it was plausible to consolidate the hotels gradually.
IMPLEMENTATION
The concept developed by BearingPoint travel management along with HRS was designed to establish how the hotel portfolio from the previous year
was used by employees and where changes need to be made. In addition, HRS would propose suitable alternatives from its wide range of over 250,000 hotels worldwide. BearingPoint once again left the selection and negotiation phase entirely to the sourcing experts at HRS, which operated as a single point of contact. The offers of around 400 hotels were listed online via the HRS eRFP platform based on a transparent tendering process. Every hotel taking part was therefore able to view the offers of their fellow competitors right until the end and improve their own if they believed it necessary. This resulted in a market process being launched that ensured the best value rates from which BearingPoint was able to benefit. HRS experts used specialist HRS benchmark data to check different rates. If the rates were too high, as many as three rounds of negotiations were conducted for each hotel. In an attempt to also generate good prices and a high response rate in foreign markets, HRS foreign offices were also included in the negotiation process. Following the conclusion of rate negotiations, BearingPoint travel management made the final decision on which hotels were ultimately to be included in the portfolio. The team headed by Richard Sebald was also able to rely on the support and advice offered by HRS experts in making this decision. Within 24 hours, the rates were loaded into the HRS system enabling employees at BearingPoint to gain access to the new hotel list of their exclusive booking channel as quickly as possible.
MANAGEMENT INFORMATION
After the successful implementation, reports on bookable hotels and an immediate tracking process conducted by HRS on unavailable contract hotels ensured that a high rate of bookable hotels of over 97 percent of BearingPoints hotel portfolio was achieved. Since then, HRS communicates detailed evaluations every quarter which are discussed with BearingPoint travel management at review meetings.
PERFORMANCE FIGURES
Within two months, BearingPoints global hotel business was revised completely. In 2013, negotiations were held regarding a total of 61,200 room nights with 160 hotel partners in 20 countries and 62 destinations. This was carried out by the HRS team of sourcing experts made up of several members both at home and abroad. Due to their market expertise and local presence, it was possible to attain a hotel response rate of 94 percent. The re-negotiated rates and an optimized list of hotels resulted in accommodation costs once again being reduced considerably. Process costs also dropped significantly as a result of the burden on travel management operations being relieved. HRS has done an excellent job for us. Without their support and expertise, this type of prolonged analysis and negotiations would never have been possible. And ultimately we save on travel expenses despite the increase in business travel activities, explains Richard Sebald, Manager Meeting & Travel Services at BearingPoint. We are delighted with these results and in future we will also continue to enlist the help of HRS with hotel procurement, a service which HRS offers us free of charge.
Ultimately we save on travel expenses despite the increase in business travel activities!
28
SERVICE.
MICE LOCATION CHECK

FRENCH FLAIR.
MICE LOCATION CHECK: PARIS.
TEXT: INGO THIEL
According to a study conducted by the International Congress and Convention Association (ICCA), the French capital Paris is one of the most popular cities for conferences and events in the world. The metropolis on the river Seine really stands out with amazing locations, one of the largest selections of hotels in every category and sumptuous cuisine.
he reason why Paris is so important as a MICE location is down to its enormous repertoire. Few cities have so many options and at the same time offer such a special atmosphere and first-class facilities as Paris. Events planners can draw on practically unlimited resources: Meeting and conference rooms which hold between 10 and 10,000 people, more than 130,000 square metres of exhibition space, around 1,500 hotels with more than 80,000 rooms as well as over 70 top-quality restaurants. The French capital also offers unique locations
such as magnificent palaces and castles as well as a varied programme of events. With almost 14,000 flights in and out of Paris each week and the express train TGV, the French capital offers the best possible connectivity to cities worldwide.
HOTEL INDUSTRY
Event planners are spoilt for choice in Paris. However, given the large amount of different hotels in all categories, you can easily lose track. This is not a problem for the HRS MICE specialist Vronique Beaudron, as the French woman has had
her sight firmly set on the local hotel market for many years. Together with her colleagues at the company headquarters in Cologne, Beaudron has offered support to HRS corporate customers with their plans directly from the heart of the French capital. Since 2006, HRS has been based there and since then has not only gained an understanding of the market, but has also gained valuable experience and good contacts to the local hotel industry. Vronique Beaudrons favourite establishment is the five star hotel Le Collectionneur (51-57 rue de
29
SERVICE.
The five star hotel Le Collectionneur has its very own business centre
Courcelles), which has its very own business centre of 1,700 square metres. Furthermore, as a result of its close proximity to the Arc de Triomphe, popular congress venues such as the Palais des Congrs or the Parc des Expositions de Villepinte are easily accessible. One of the most frequently booked conference hotels at HRS is the four star hotel Marriott Rive Gauche (17 Boulevard Saint Jacques), which has its own conference centre with 40 rooms and a total area of 4,800 square metres on four floors, which is equipped to hold events for up to
2,000 people. If you are a planner of small meetings looking for the ideal accommodation, then HRS would recommend the Boutique Hotel Sezz (Avenue Fremiet): The four star hotel located near the Eiffel Tower has 26 rooms, well-equipped conference rooms and a stylish bar. HRS customers can make use of the applications Tagung Online (Conference Online) or Gruppe Online (Group Online) provided by the companys very own booking portal to gain a brief overview of the current range of hotels and their range of services.
LOCATIONS
Planners also have a great selection of venues to choose from: In Paris, there are hundreds of amazing locations, explains Jrme Poulalier, MICE expert from Atout France, the French tourist office. This makes it possible to identify solutions that are tailored to customer needs and requirements. Aside from the traditional conference centres like the Carroussel de Louvre (conferences with up to 1,600 people attending) or the Grand Palais for the Universal Exposition of 1900 (events with up to 6,000 attendees), the Cit de la Mode et du Design is a venue for events and exhibitions that is currently gaining in popularity. It is a trendy location with an enormous roof terrace. According to Poulalier, La Maison de la Mutualit is also very much in fashion. It is an art deco building that is located in the heart of the historical city centre with an amazing view overlooking the rooftops of Paris. The building has been completely modernised and has been equipped with state-of-the-art technology (15 to 2,000 attendees) and the Studio Harcourt, a photo studio where the
Taking a ride in the Ballon de Paris, a huge hot air balloon, gives you the opportunity to see the city from a birds eye view.
30
PHOTO: LE COLLECTIONNEUR
MICE LOCATION CHECK
stars have been going to get photographed since 1934. Portraits of more than 2,000 celebrities from all over the world are hanging on the walls of consecutive lounges. Thats why its an ideal location for a unique event.
FOOD AND CLUBBING

The Touch In is currently an extremely popular establishment for getting a bite to eat and going for a night out. It is a very futuristic restaurant with its very own cocktail bar and touch screen tables (20 Rue Vignon) and Le Barock (23 Rue de Ponthieu), an after work club in a loft style within easy reach of the Champs lyses. Typical Parisian restaurants include the Brasserie Bofinger (5-7 Rue de Bastille) and Le Procope (13 Rue de l ancienne comdie), the oldest caf in Paris. And if youre a huge football fan, why not pay a visit to the Rush Bar and watch the latest international soccer games live (32 Rue St Sbastien) at a corner house not far from the Bastille. The French metropolis is multifaceted and offers event planners huge potential in terms of venues, hotels and event facilities. Paris combines city life and business with a savoir vivre and pleasure an inspiring combination for conferences and events.
PROGRAMME OF EVENTS AND ENTERTAINMENT

Paris has a long list of historical sights and cultural attractions. The city therefore offers a whole host of options for rounding off your stay. You could take a look behind the scenes at the famous opera Palais Garnier, go to the legendary Lido cabaret or take a guided tour of the machine room at the Eiffel Tower. However, you dont have to climb the citys landmark to see the French metropolis from a great height. You can also take a ride in the Ballon de Paris, a huge hot air balloon which holds up to 30 people and floats at up to 150 metres above the city houses and streets. You are guaranteed to come away with lasting memories youll never forget.
MICE specialist Vronique Beaudron, HRS office in Paris
INFORMATIONS.
HRS IN PARIS
124 Boulevard Haussmann 75008 Paris Tel. +33 1 55 06 56 20 Fax +33 1 55 06 56 18 france@hrs.com www.hrs.fr
The Boutique Hotel Sezz is ideal for smaller meetings in Paris.
There is always a lot of hustle and bustle at the heart of the Champs lyses in Paris.
PHOTO: MANUEL ZUBLENA
31
CHECK-OUT.
STATE OF THE ART.

ART HOTELS DONT JUST INSPIRE CONNOISSEURS.
TEXT: ANKE PEDERSEN
Art Hotels are the most popular type of hotel among sophisticated travellers. These hotels are often managed with passion by mavericks and lateral entrants and they represent individualism, creativity and inspiration.
he 1960s building in the German metropolis of Cologne would hardly be noticed if it wasnt for its bold roof structure that looks just like a futuristic sculpture. The design also says a lot about what passers-by can expect to see inside. Because its not just the deconstructivist architecture with bold interwoven rooms, shapes and colours that makes this house something special. Hotel Chelsea owes its reputation to art. It is a habitable museum. At the reception, a neon artwork of the American artist Joseph Kosuth catches the eye and the rooms are decorated with works (needless to say they are all originals) by many artists, including
of course Martin Kippenberger from Germany, who once laid the foundations for this collection and in doing so helped to establish the hotels legendary reputation. The hotel that has been around since the 1980s is seen as the pioneer of a small but beautiful species in the hotel trade: The art hotels. In other words, establishments that target a particular clientele that expects more from a hotel than just a spacious room in a good location with a comfortable bed and a delicious breakfast. Guests who stay at hotels like the Chelsea are also looking for something that catches the eye. Many hotels have now discovered
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PHOTOS: SEVEN ONE SEVEN
PHOTO: ALTSTADT VIENNA
ART SICHERHEIT. HOTELS
PHOTOS: SEVEN ONE SEVEN
The Seven One Seven in Amsterdam relies on the atmospheric effect created by artists, poets and composers.
Martin Kippenberger Suite at the Hotel Chelsea in Cologne: The deal accommodation for art has resulted in Hotel Chelsea becoming the prototype for art hotels.
PHOTO: HOTEL CHELSEA
33
CHECK-OUT.
art and promote themselves as art hotels, explains Werner Peters, who founded the Chelsea Hotel almost by accident. The accomplished philosopher and political consultant actually only bought the dilapidated hotel to turn its impressive lobby into a caf. The rest happened completely by coincidence. And the deal accommodation for art was initially merely the result of a bet with artist Martin Kippenberger. Hotels with their own history and special ambience can now be found in almost all major cities around the world. Every hotel is different and unique in its own way. Almost all of them are located in urban areas where bohemian style, creativity and inventiveness are present. The Seven One Seven in the canal district of the Dutch capital, Amsterdam, for example, relies on the atmospheric effect created by artists, poets and composers. The nine differently
decorated suites adorn the names of greats such as Shakespeare and Schubert, Goethe, Dickens and Picasso and are in the style of a comfortable British country house. Freud could have lived here or maybe Thomas Mann. People who have tracked down the house hidden away in Prinsengracht 717 dont just discover a room or a bed, but also an experience, promises manager Brita Rhl. The same can be said about the Teufelhof in Basel which two Swiss theatre professionals opened in 1989, fulfilling their lifelong dream. Each of the 33 rooms has its own unique character and they have all been created as habitable works of art. Or about the hotel Altstadt Vienna, a patrician house built in 1902 in which the Austrian art and cultural scene comes together. My dream was always to run a hotel where I could also house my extensive collection of pictures, says Otto E. Wiesenthal, owner of the Altstadt Vienna ho-
tel. His principle is as follows Turn a place into somewhere you would happily spend your time culminates in a hotel dominated by unique art where art adorns the reception, the hallway, some bathrooms and guestrooms. It is a matter of fact that once you have stayed the night in an art hotel it is difficult to do without this experience in future.
Altstadt Vienna hotel at the artists district of Spittelberg: Hideaway for art, artists and connoisseurs.
34
COMPACT
HRS COMPACT.
THE MAIN CONTACTS AT A GLANCE.
SINGAPORE
8 Cross Street #23-07 PWC Building Singapore 048424 Tel. +65 6580 2828 Fax. +65 6580 2829 apac@hrs.com
HRS CONSULTANT CONTACT

Tel. +65 6580 2831 Fax. +65 6580 2829 Monday Friday 9 a.m. to 6 p.m. salesapac@hrs.com
CONFERENCES, EVENTS, GROUPS & TRADE FAIRS

Tel. +65 6580 2831 Fax. +65 6580 2829 Monday Friday 9 a.m. to 6 p.m. salesapac@hrs.com
ASIA CHINA
Level 27, Hong Yi Plaza 288 Jiu Jang Road Shanghai 200001 Tel. +86 21 5197 6700 Fax +86 21 5197 6747 asiaoffice@hrs.com China World Office 1,Level 11, 1Jianguomenwai Avenue, Chaoyang District Beijing, P.R.China Tel. +86 01 57379017 Fax +86 21 51976745 sales-cn@hrs.com
HEADQUARTER GERMANY
Blaubach 32 50676 Kln Tel. +49 221 2077-0 Fax +49 221 2077-211 office@hrs.de
EUROPE FRANCE
124 Boulevard Haussmann 75008 Paris Tel. +33 1 55 06 56 20 Fax +33 1 55 06 56 18 france@hrs.com
GREAT BRITAIN
The Triangle 5-17 Hammersmith Grove London W6 0LG Tel. +44 208 846 0640 Fax +44 20 8846 0641 ukoffice@hrs.com
ITALY
Via L. Bissolati, 54 00187 Roma Tel. +39 06 42031555 Fax +39 06 42031559 italiaoffice@hrs.com
POLAND
Aleja Jana Pawa II, 19 00-851 Warszawa Tel. +48 22 25 606 20 Fax +48 22 25 606 19 sales@hrs.pl
RUSSIA
4th Lesnoy pereulok., 4 125047 Moscow Tel. +7 495 663 8013 Fax +7 495 922 3999 russiaoffice@hrs.com
TURKEY
Beybi Giz Plaza Kat: 26 Ayazaga Mah. Meydan Sok. No: 1 34396 Maslak, Istanbul Fax +49 221 20 77 219 sirketler@hrs.com.tr
FEEDBACK?
YOUR OPINION IS IMPORTANT TO US.
Your Feedback. Dear readers, we will be grateful for any comments or feedPHOTO: ALTSTADT VIENNA
Issue 01
The Hotel Expert.

HRS MAGAZINE FOR TRAVEL MANAGEMENT AND HOTEL PROCUREMENT
back that you might have or if you would like to advise us on future topics for the magazine-The Hotel Expert. The editorial team would be happy to hear from you please contact us at Kanika.sood@hrs.com.
35
THE RIGHT HOTEL MAKES YOUR DAY.

SEARCH AT THE RIGHT PLACE: HRS.COM

HRS The Hotel Expert Magazine - August 2013

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Issue 01

The Hotel Expert.

THE BOOMTOWN OF SHANGHAI.

Tobias Ragge, HRS Managing Director

COVERPHOTO: PLAINPICTURE/RAMESH AMRUTH

PHOTO: INGRAM PUBLISHING/THINKSTOCK

BUSINESS & LEISURE.

GROWING MARKET, RISING COSTS

GLOBAL VISION, LOCAL REALITY

USING NUMBERS CONSOLIDATING VOLUMES

The top priority is to  think global, act local.

HELP FROM SERVICE PROVIDERS

Michael Simon, Member of the HRS Executive Board

We offer the expertise  of local employees!

OPERATING GLOBALLY, BUT SECURELY!

The aim is: proactive care.

NEW POSSIBILITIES OFFERED BY MOBILE TECHNOLOGIES.

PHOTO: MONKEY BUSINESS/THINKSTOCK

APPS MAKING EVERYTHINGEASY.

MAKING THINGS SIMPLER FOR TRAVELLERS

THE FEWER APPS THE BETTER

CUSTOMER ACCOUNT ALSO AVAILABLE IN APPS

SMARTPHONE REPLACES CREDIT CARD

PHOTO: MONKEY BUSINESS/THINKSTOCK

FIRST OFFICE OPENED TEN YEARS AGO

The new regional HRS operations hub in Singapore.

POPULAR DESTINATION FOR BUSINESS TRAVEL

SEARCH & BOOK.

OPTIMIZED SEARCH AND FILTER FUNCTIONS

FAST BOOKING AND TRANSPARENT REPORTING

CORPORATE CUSTOMER PORTAL

SPECIFIC LOOK IN CORPORATE DESIGN

DISCOUNTS AND TOP QUALITY HOTELS

The booking tool

COMPREHENSIVE ADVICE FROM HRS

The list of hotels

The Shanghai skyline is imposing and constantly going through change.

BEING MOBILE IN THE CITY

City of contrasts Tradition meets modernity!

Shanghai is the main financial centre in China.

IN THE CASE OF AN EMERGENCY.

WIDE SELECTION OF HOTELS

TOP 3. BUSINESS HOTELS RECOMMENDED BY ADAM QIAN, HRS OFFICE IN SHANGHAI.

Adam Qian, Hotel Market Manager, HRS Shanghai

TRAVEL ETIQUETTE. HRS TOP TEN TIPS

Punctuality: It is not acceptable to be any more than five minutes late.

NEW BOOM TOWNS.

TRAVELLING TERMINE IN CHINA

MONGOLIA Beijing KOREA JAPAN

HOTEL PROCUREMENT OUTSOURCING.

STRATEGIC HOTEL PROCUREMENT

We focused on offering our customers an end-to-end solution.

Richard Sebald, Manager Meeting & Travel Services at BearingPoint

MICE LOCATION CHECK

MICE LOCATION CHECK

FOOD AND CLUBBING

PROGRAMME OF EVENTS AND ENTERTAINMENT

MICE specialist Vronique Beaudron, HRS office in Paris

PHOTO: MANUEL ZUBLENA

STATE OF THE ART.

PHOTOS: SEVEN ONE SEVEN

PHOTO: ALTSTADT VIENNA

The top priority is to think global, act local.

We offer the expertise of local employees!