Why Travel Companies Are Fast Embracing Back Office Automation

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The back office is one department that arrests minimal attention from the management – this is true not only for big IT firms but also for the travel agencies and others operating within the tourism sector. Yet, there are certain companies who believe automation of any process can boost overall productivity. Again, few others invest in a user-friendly travel agency back-office application to automate the back-end work.

Believe it or not, back office is the backbone of the company, which cater to some of the important operational activities including invoicing, procurement, and payroll of the employees, as well as management of other inventories. And, it is going to be a major blunder if travel companies completely ignore the benefits the back-end team puts in, such as cost-reduction, profit-maximization, promoting growth and boosting productivity.

But, such menial tasks are time-consuming and subject to human errors which are not acceptable at this time of automation and digitalization. And, these are probably some of the reasons why travel companies have started investing in finding a fitting travel agency back-office application for their enterprise or purchasing a travel agency back-office software to automate the entire back-end process.

What does recent market statistics say???

According to a new survey, nearly 99% of business leaders embrace the concept of ‘automation at work’. The same survey points out that more than half of the world’s business magnets are likely to implement automation to streamline their processes in the coming years.

Again the same report shows that nearly 52% of business leaders agree automation has reduced manual errors, wherein 43% of the same group believe automation can help achieve greater levels of productivity.

After all, back-office work involves a lot of paperwork and you may be surprised to learn that employees spend at least 520 hours on an average per year to carry out mundane, repetitive tasks which can be easily automated.

New employee onboarding, emailing, attending to password reset requests, office supply requests and few others are some of the examples of back-end processes which, if automated, can spare ample time for the employees to focus on other more productive job roles.

The figures are self-explanatory and paint a clear picture of how and where employees waste their productive hours at work. Having said that, it is time to understand those five reasons why more and more travel companies are aspiring for a well-maintained and comprehensive travel agency back-office application to automate their back-end processes.

Reasons to invest in a travel agency back office application

1. Reduce bulk paperwork to bare minimal

Attending to bulk paperwork can be a real nuisance at times, something which the back office team has to deal with every single day in office. Companies which rarely understand their pain can end up losing the game in the long run.

A joint poll conducted by Gallop and Wells Fargo showed that business leaders spent nearly 6.8 hours every week on low-value business activities and wasted 3.4 hours a week on replying to low-value emails.

Tasks such as release of payments, invoicing, tax policy, inventory management, and other back-end processes which can be handled automatically are carried out manually on a day-to-day basis. Employees engaged with such menial and monotonous tasks, often experience a lack of interest in bulk paperwork. Now, lack of interest can reduce their focus on work greatly, thereby leading to massive blunders which can eventually cost the reputation of the company.

Travel agency back office software such as My Hub Lite can prove to be a much better replacement of slow-working and high paid workforce.

2. Arrest human errors

Lost interest and lack of focus on work raises the percentage of human errors exponentially. Today’s travel industry rely on their human workforce for approximately 80% of their back-office tasks. This is a liability, both in terms of time and resources. But human error can be a potential threat to the company’s reputation and goodwill. And, such irreplaceable errors will just add to their workload and operational cost, especially when those same employees have to run a double check of the data and rectify them, one at a time.

On the other hand, travel agency back office application will ensure complete automation of these processes, thereby reducing time, cost and human error and boosting the company’s overall growth to the next level. Also, automation of back-end services will allow the same employees to concentrate more on other productive job roles.

3. Cut down operational costs

This point is also related to the first two.

It is understood that all endeavours cost monetary investment. This is where smart companies think smartly to search for ways to cut down their operational cost. They spend time and money more on finding ways to enhance their overall productivity, instead of wasting valuable resources on unproductive ventures.

For example –

Vendor performance reports entail reviewing and analyzing multiple data spreadsheets manually. Two or three employees are engaged for a couple of days to run a manual scan of the data and fish information which will add value to their company. Such tasks are an integral part of Backend KRAs. But a single mistake in data entry or data analyzing can cause a company thousands of dollars.

Investing in a fitting travel agency back office software can spare the employees from the tedious task of manual entry and data analyzation minus the silly mistakes.

So, a travel company can rather hire a single employee to monitor the software for an hour every day instead of getting two or more hands and a couple of days behind a single report.

4. Resolve workflow bottlenecks

Human error is common, especially when the entire backend operation rests on the shoulders of the backend team. Mismanagement of invoices, wrong entry of valuable data, inaccurate processing of supplier-distributor agreements or errors in accounting can disrupt the whole process and cause workflow bottlenecks.

And, reworking on the same reports is costly, yes!

For example –

Calculating, generating and printing invoices with incorrect figures will not only increase the labour of the employees but the cost is incurred for re-printing the invoices again.

One single error in the printed invoices will disrupt operation because the employees have to invest more of their productive hours in addressing those errors instead of focusing on other key areas. But, a responsive back-office software for travel agencies ensures effective management of bottlenecks or operational disruptions, identify the errors and take corrective measures without diverting employee attention from their current projects.

5. Responsive and user-friendly platform

Lastly, a responsive and user-friendly travel agency back office application will help travel companies streamline their back-end operations to a great extent.

Back office work is not easy and the growth of the company rests on how efficiently the team generate error-free results. The last thing the team needs is a complicated and unresponsive back office software application. A user-friendly software is what the travel agencies require to make backend operations less cumbersome.

Back office operations should be the prime area of concern for companies, including the travel agencies because they can impact the other areas of business such as customer relations, and supplier-distributor relationships. Automation of backend job roles is imperative to improve the overall productivity of the company. This is where travel agency back-office applications come as a saviour for the overtasked backend team.

About the author

Goranga Tech is one of the leading travel software company who develops various Travel Online Software & Travel Applications for the travel industry.

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