Library Archive - Travel Smart https://travelsmartcampaign.org/library/ Mon, 16 Dec 2024 16:45:06 +0000 en-GB hourly 1 https://wordpress.org/?v=6.6.2 https://travelsmartcampaign.org/wp-content/uploads/travel-smart-favicon-150x150.jpg Library Archive - Travel Smart https://travelsmartcampaign.org/library/ 32 32 French business travellers clearly prefer trains to other means of transport https://travelsmartcampaign.org/library/french-business-travelers-clearly-prefer-trains-to-other-means-of-transport/ Thu, 12 Dec 2024 08:50:44 +0000 https://travelsmartcampaign.org/?post_type=library&p=15717 The majority of business travellers believe their company should make rail their preferred means of transport, for trips of up to 8 hours.

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Travel Smart, a global campaign coordinated by T&E, encourages companies to reduce the emissions associated with their business travel. To better understand their employees’ behavior, the campaign commissioned a survey from Corporate Mobilities and OpinionWay in November 2024, on the opinions of French business travellers regarding their use of the train and their company’s policies as a quick and efficient way to reduce emissions from business flights.

The results, gathered from a representative sample of 510 respondents, show very clear trends in favor of train use over other means of transport:

  • 81% consider the train as a more productive way to travel, compared to other modes of transport
  • Half report that their companies are implementing the government’s recommendation to use the train by default for journeys up to 4 hours
  • A majority believe their companies should adopt rail travel as the mode of transport for journeys lasting up to 8 hours

 

Read the French version.

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Les voyageurs d’affaires français préfèrent nettement le train à d’autres moyens de transport https://travelsmartcampaign.org/library/les-voyageurs-daffaires-francais-preferent-nettement-le-train-a-dautres-moyens-de-transport/ Thu, 12 Dec 2024 08:38:51 +0000 https://travelsmartcampaign.org/?post_type=library&p=15715 Les voyageurs d’affaires considèrent majoritairement que leur entreprise devrait imposer le train comme moyen de transport, et ce, jusqu’à 8h00 de voyage, selon une nouvelle enquête de la campagne Travel Smart menée par Corporate Mobilities et Opinion Way.

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La campagne mondiale Travel Smart, coordonnée par T&E, encourage les entreprises à réduire les émissions liées à leurs déplacements professionnels. Afin de mieux comprendre le comportement de leurs employés, la campagne a commandé une enquête à Corporate Mobilities et OpinionWay en novembre 2024, sur les usages et opinions des voyageurs d’affaires français sur leur utilisation du train et les politiques de leur entreprise comme moyen rapide et efficace de réduire les émissions liées aux vols d’affaires.

Les résultats recueillis auprès d’un échantillon représentatif de 510 répondants, montrent des orientations très claires en faveur de l’usage du train par rapport à d’autres moyens de transport:

  • Pour 81% de voyageurs d’affaires, le train est considéré comme un moyen de transport plus productif que les autres
  • La moitié d’entre eux indiquent que leur entreprise mette en place la recommandation du gouvernement d’utiliser le train par défaut pour les trajets d’une durée inférieure à 4 heures
  • Les voyageurs d’affaires considèrent majoritairement que leur entreprise devrait imposer le train comme moyen de transport, et ce, jusqu’à 8h00 de voyage

 

Lire la version en anglais.

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Simon-Kucher https://travelsmartcampaign.org/library/simon-kucher-case-study/ Thu, 28 Nov 2024 13:52:42 +0000 https://travelsmartcampaign.org/?post_type=library&p=15544 Simon-Kucher: Driving decarbonization by integrating sustainability criteria into every business travel activity Simon-Kucher, a global consultancy, is one of the first German companies amongst leaders in the Travel Smart Ranking and has been recognized as a Rail Frontrunner for the second consecutive year by the Travel  Smart campaign. This achievement underscores their continuous commitment to […]

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Simon-Kucher: Driving decarbonization by integrating sustainability criteria into every business travel activity

Simon-Kucher, a global consultancy, is one of the first German companies amongst leaders in the Travel Smart Ranking and has been recognized as a Rail Frontrunner for the second consecutive year by the Travel  Smart campaign. This achievement underscores their continuous commitment to environmental sustainability, particularly in reducing emissions from corporate business travel activities, by prioritizing rail over air travel wherever possible while maintaining client relationships. We spoke with Anne Rupp, Global Head of ESG, to learn more  about Simon-Kucher’s strategy and their strides in reducing business travel emissions.

Simon-Kucher is in the leading categories of the Travel Smart Ranking. What have been the main  ingredients for you to be one of the first German companies at the top of the list?  

At Simon-Kucher, we envision ourselves generating sustainable growth and having a positive impact  on our people, planet, communities, and our clients. That is why we are aware of our environmental  impact on our planet by our business activities, particularly through business travel activities, as  travel is an integral part of client integration. Continuous monitoring of emissions, setting  emission reduction targets, as well as transparent reporting and communication of our emissions has  been key in getting Simon-Kucher into the top of the list. 

Additionally, our recognition as a Rail First frontrunner stems from embedding sustainability into our  corporate travel guidelines, prioritizing rail for shorter trips whenever feasible, and leveraging  science-based targets validated by the SBTi. Leadership support and the commitment of our employees, who champion these efforts in their daily work, have been instrumental. 

You are among the companies leading the shift from air to rail. Why has rail been such a key aspect  of your sustainable travel strategy?  

We believe that rail travel is a practical and efficient way to reduce our travel emissions while  maintaining client relationships. For trips under a certain time threshold, rail is the most sustainable choice of travel. Introduction of our Global Travel Guidelines and strong employee engagement have been  instrumental in the shift from air to rail travel. Beyond its environmental benefits, rail aligns with our  broader climate strategy and demonstrates our responsibility as a global consultancy. 

Simon-Kucher employees use trains by default for trips below a certain threshold. Could you detail  this measure and how it was decided?  

Our Global Travel Guidelines mandate rail travel for trips under a three-hour threshold and where  infrastructure is well developed and feasible. This decision was data-driven, informed by an analysis  of our most frequent travel routes and their carbon footprints. Working together with our Group  Travel Manager and feedback from our employees helped ensure the shift was both practical and  impactful. Additionally, the three-hour threshold was set based on balancing our sustainability goals with consultants’ productivity and convenience during travel while also maintaining client’s relationships. 

Consulting is among the sectors with the best scores in the ranking. What can other sectors learn  from this experience in reducing business travel-related emissions?  

Business travel is one of the biggest sources of emissions in the consulting sector, as meeting clients  is an integral part of our daily business activities. While travel remains essential, consulting can  successfully reduce emissions through a combination of strategies that other sectors can adopt. This  includes a data-driven approach to monitor and manage travel patterns, integrating clear travel  guidelines, and fostering strong employee engagement. Additionally, collaborating with clients to  minimize travel, investing in advanced virtual meeting tools, and building a culture that values  sustainability alongside operational excellence have proven effective in balancing business needs  with environmental responsibility. 

We believe that rail travel is a practical and efficient way to reduce our travel emissions while maintaining client’s relationships. Introduction of our Global Travel Guidelines and strong employee engagement has been instrumental in shift from air to rail travel.
Anne Rupp
Global Head of ESG, Simon-Kucher

What were the key factors that helped you set a reduction target?  

At Simon-Kucher, we are committed to environmental protection and sustainable business practices.  At the core of this commitment lies our strategic goals to fulfill our climate responsibility by reducing  our footprint in line with the Paris Agreement. Our vision and core values of “Creating Positive  Impact” drive us to set ambitious reduction targets. Additionally, meeting regulatory requirements,  addressing client expectations, and staying competitive further motivate our sustainability efforts. 

Our reduction targets are validated by SBTi, aligned with the Paris Agreement and are based on the  detailed analysis of our corporate carbon footprint.  

What challenges does Simon-Kucher find in reducing emissions from travel, and how do you  overcome them?  

Balancing sustainability goals with the need for in-person client meetings is a key challenge. To  address this, we focus on purposeful travel, ensuring that trips are planned to maximize value. Clear  communication, strong employee engagement, collaboration with departments and showcasing the  benefits of our travel guidelines have been critical to securing buy-in across the organization. 

Are there improvements in the quality of rail services that would further facilitate the uptake of  rail by Simon-Kucher employees?  

Reliability is essential. For consultants with tightly scheduled commitments, the ability to depend on  trains arriving on time is crucial. Improvements in cross-border connections, streamlined ticketing,  and expanded high-speed networks would further enhance rail’s feasibility and attractiveness.

What are the benefits of reducing flying emissions for the business and for employees?  

For the business, reducing flying emissions whenever feasible aligns with our ESG strategy and  enhances our reputation with clients. It demonstrates our commitment to sustainability and  supports long-term environmental goals. For employees, these efforts foster a sense of shared  responsibility and contribute to a forward-thinking corporate culture. 

What would you say to a company hesitating on setting a reduction goal?  

Start small but start now. Focus on areas where changes can make the biggest impact, such as  reducing short-haul flights and switching to rail. Setting clear but achievable goals and implementing  targeted measures builds momentum and shows stakeholders that sustainability is a priority. 

What are the next steps for Simon-Kucher in terms of business travel emissions reduction?  

We’re focused on refining our travel guidelines, collaborating with stakeholders to improve rail  access, and engaging employees to continue our progress toward net zero. Continuous reporting and  monitoring will remain central to tracking our success.

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Single ticketing is not enough: governments and the EU need to improve rail reliability to bring business travellers on trains https://travelsmartcampaign.org/library/single-ticketing-is-not-enough-governments-and-the-eu-need-to-improve-rail-reliability-to-bring-business-travellers-on-trains/ Sun, 24 Nov 2024 23:00:26 +0000 https://travelsmartcampaign.org/?post_type=library&p=15481 Across Europe, business travellers are increasingly opting for trains over planes. The EU Single Ticketing Regulation, expected in 2025, will accelerate the shift by simplifying cross-border and multi-operator rail ticketing. But if the EU and national governments want to truly capture the potential of this change, they must also improve the network reliability.

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Business travel by rail is on the rise in Europe 

Over the last decade, companies have taken clear steps to reduce their carbon footprint. As part of this effort, every year new businesses decide to reduce their air travel emissions by shifting to rail. This year again, the momentum is undeniable: companies are not just talking about it: they’re taking action.

Notable examples include Roland Berger, the global consulting firm, which has implemented a mandatory rail policy for journeys that can be completed by train in under 3:30 hours, while offering employees perks like first-class rail travel and allowing train time to count as work hours for work done during personal travel. Similarly, major pharmaceutical company AstraZeneca mandates rail travel for trips under four hours, and multinational bank ING restricts air travel on short-haul routes where high-speed rail is available.

These companies’ practices illustrate a bigger trend. Take the UK, for instance, where rail travel by public sector employees now outpaces air travel on routes between Scotland and London. France has also seen a surge in business rail travel, with SNCF, the national rail operator, reporting that corporate rail travel has returned to 2019 levels. In fact, the French government now strongly encourages companies to opt for rail on trips under four hours. This is the future of corporate travel in Europe, and it’s happening now.

Corporate travellers want better cross-border services

But bottlenecks still exist and if they are not addressed, the shift towards rail travel will halt. First, we need to solve the cumbersome processes to book rail tickets. That’s where the EU Single Ticketing Regulation comes in. Confirmed by the European Commission, it will be tabled in 2025 and will streamline the process of booking international rail journeys. Over 70 companies have already called on the EU to improve ticketing, and now the EU is responding. 

The new regulation will require rail operators to share their data across all platforms, allowing business travellers to book a single ticket for multi-leg journeys, no matter which operators are involved. This will not only make booking easier but will ensure that passengers benefit from full rights in case of delays or cancellations.

Second, the EU and governments must step up investments in rail infrastructure. Business travellers demand reliability, and in some countries, the service simply isn’t good enough. Investments in network maintenance and digitalisation are needed to reduce delays and cancellations. 

Take Germany, for example: less than two-thirds of Deutsche Bahn’s long-distance trains arrived on time in 2024. This unreliability has prompted leading business associations representing over 1500 members  and companies like SAP, IKEA retailer Ingka Group, Sweco, as well as the University of Liège to join environmental groups in calling on the German government to invest in modernising the rail network. 

Reliability issues are not unique to Germany. To fully unlock the potential of rail travel, Europe must leverage its rail infrastructure. The upcoming EU budget and the Connecting Europe Facility, a key EU funding tool, should be used to upgrade cross-border links.

It’s clear that business travellers are ready to make the shift. But to truly embrace this change, the EU and governments must act quickly. The EU’s Single Ticketing Regulation is a step in the right direction, but more investment in infrastructure for improved service reliability is essential.

Victor Thévenet, Rail Manager and Denise Auclair, Head of the Travel Smart Campaign

Originally published in Euractiv.

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El billete único no es una medida suficiente: se necesita mejorar la fiabilidad del tren en la UE para atraer a las personas que viajen por negocios https://travelsmartcampaign.org/library/el-billete-unico-no-es-una-medida-suficiente-se-necesita-mejorar-la-fiabilidad-del-tren-en-la-ue-para-atraer-a-las-personas-que-viajen-por-negocios/ Sun, 24 Nov 2024 23:00:10 +0000 https://travelsmartcampaign.org/?post_type=library&p=15491 Los trabajadores que viajan por negocios están optando cada vez más por los trenes en lugar de los aviones en la Unión Europea. El lanzamiento del Reglamento de Billete Único de la UE, previsto para 2025, prevé acelerar este cambio al simplificar la venta de billetes de tren transfronterizos y que agrupen a múltiples operadores. Sin embargo, aprovechar todo el potencial de este cambio requerirá la mejora de la fiabilidad de la red de ferrocarril

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Los viajes de negocios en tren están en auge 

En la última década, las empresas han tomado medidas claras para reducir su huella de carbono. Como parte de este esfuerzo, cada año nuevas empresas deciden reducir sus emisiones de viajes aéreos cambiando al tren. Este año, una vez más, el impulso es innegable: las empresas no solo hablan de ello, sino que están tomando medidas para que se haga realidad.

Ejemplos notables incluyen Roland Berger, una consultora que ha implementado una política ferroviaria obligatoria para los viajes que se pueden completar en tren en menos de 3:30 horas, ofreciendo a los empleados ventajas como viajes en primera clase y permitiendo que el tiempo en el tren cuente como horas de trabajo para el trabajo realizado durante el viaje personal. De manera similar, la principal compañía farmacéutica AstraZeneca exige viajes en tren para trayectos de menos de cuatro horas, y el banco multinacional ING restringe los viajes aéreos en rutas de corta distancia donde hay disponible tren de alta velocidad.

Las prácticas de estas empresas ilustran una tendencia mayor. Tomemos el Reino Unido, por ejemplo, donde los viajes en tren de los empleados del sector público ahora superan a los viajes aéreos en rutas entre Escocia y Londres. Francia también ha visto un aumento en los viajes de negocios en tren, con la SNCF, el operador nacional de ferrocarriles, informando que los viajes corporativos en tren han vuelto a los niveles de 2019. De hecho, el gobierno francés ahora alienta encarecidamente a las empresas a optar por el tren en viajes de menos de cuatro horas. Este es el futuro de los viajes corporativos en Europa, y ya está teniendo lugar.

Los viajeros corporativos quieren mejores servicios transfronterizos

Pero aún existen cuellos de botella y, si no se abordan, el cambio hacia el viaje en tren se detendrá. Primero, necesitamos resolver los procesos engorrosos que suponen reservar billetes de tren. Ahí es donde entra el Reglamento de Billete Único de la UE. Confirmado por la Comisión Europea, se presentará en 2025 y simplificará el proceso de reserva de viajes internacionales en tren. Más de 70 empresas ya han solicitado a la UE mejorar la venta de billetes, y ahora la UE está tomando cartas en el asunto.

El nuevo reglamento requerirá que los operadores ferroviarios compartan sus datos en todas las plataformas, permitiendo a los viajeros de negocios reservar un solo billete para viajes con múltiples tramos, sin importar qué operadores estén involucrados. Esto no solo facilitará la reserva, sino que garantizará que los pasajeros se beneficien de todos los derechos en caso de retrasos o cancelaciones.

Inversiones en Infraestructura

Para satisfacer las demandas de las personas que viajan por negocios, la UE y los gobiernos deben aumentar las inversiones en infraestructuras ferroviarias. Los viajeros de negocios demandan fiabilidad y, en algunos países, el servicio simplemente no es lo suficientemente bueno. Se necesitan inversiones en mantenimiento de la red y digitalización para reducir los retrasos y cancelaciones.

En Alemania, por ejemplo: menos de dos tercios de los trenes de larga distancia de Deutsche Bahn llegaron a tiempo en 2024. Esta falta de fiabilidad ha llevado a importantes asociaciones empresariales que representan a más de 1500 miembros y empresas como SAP, el minorista IKEA Ingka Group, Sweco, así como la Universidad de Lieja, a unirse a grupos medioambientales para pedir al gobierno alemán que invierta en la modernización de la red ferroviaria.

Conclusión

Los problemas de fiabilidad no son exclusivos de Alemania. Para desbloquear todo el potencial del viaje en tren, Europa debe aprovechar su infraestructura ferroviaria. El próximo presupuesto de la UE y el Mecanismo Conectar Europa, una herramienta clave de financiación de la UE, deben usarse para mejorar las conexiones transfronterizas.

Está claro que los viajeros de negocios están listos para hacer el cambio. Pero para abrazar verdaderamente este cambio, la UE y los gobiernos deben actuar rápidamente. El Reglamento de Billete Único de la UE es un paso en la dirección correcta, pero se necesita más inversión en infraestructuras para mejorar la fiabilidad del servicio.

Victor Thévenet, Coordinador ferroviario y Denise Auclair, responsable de la campaña Travel Smart

Publicado originalmente en Euractiv.

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Business travellers and environmental organisations across Europe call upon German government and political decision makers to ramp up rail https://travelsmartcampaign.org/library/business-travellers-and-environmental-organisations-across-europe-call-upon-german-government-and-political-decision-makers-to-ramp-up-rail/ Thu, 21 Nov 2024 09:19:33 +0000 https://travelsmartcampaign.org/?post_type=library&p=15411 In an open letter, associations with over 5,000 members, companies and numerous large and small companies, such as DAX-listed SAP and IKEA retailer Ingka Group, are calling on the current and next German government to create the conditions for the reliable expansion, modernisation and renovation of the rail network. “As business travellers, we want to improve […]

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In an open letter, associations with over 5,000 members, companies and numerous large and small companies, such as DAX-listed SAP and IKEA retailer Ingka Group, are calling on the current and next German government to create the conditions for the reliable expansion, modernisation and renovation of the rail network. “As business travellers, we want to improve our carbon footprint. We are prepared to travel by train instead of plane, because rail is 7.7 times more climate-friendly than air travel for national connections,” the organisations state in the letter. However, predictability and reliability are crucial for business travellers and in the year of the UEFA European Championship 2024, less than two thirds of Deutsche Bahn’s long-distance trains were on time.

The letter is addressed to Members of Parliament from the transport and budget committees. It calls on the current and next federal government to provide sufficient funds in the 2025 federal budget for the modernisation, digitalisation and expansion of the rail network, to simplify and secure the long-term financing of the railways by introducing a rolling rail fund over the course of several years and to ensure that rail tolls are significantly reduced and not increased.

“The stakes are often too high to deal with a large amount of uncertainty”, says Hugo Houppermans, Director of Anders Reizen, the Dutch business travellers coalition of 70 multinational corporations. “Many of the organisations in our coalition prioritise train over plane. Especially the trains from Amsterdam to London and Paris are usually fully booked. But the appetite to use trains running to and through Germany has been falling because of unreliability. This damages the climate and business. We need a top-notch German rail system and a stronger European coordination of rail infrastructure and cross-border trains.”

Jacob Rohm, Senior Policy Advisor for Climate-neutral Mobility at Germanwatch, says: “The German investment backlog in the rail network is slowing down European business travellers and their switch to climate-friendly rail travel. The current insecurity following the end of the German government shows just how important it is to resolve this backlog with reliable and efficient funding flows through a well-funded rail infrastructure fund. This is a key task for this and the next federal government. In the short term, funding for the general overhaul of central rail routes must also be secured for 2025”.

The letter has been signed by associations, companies and organisations at EU level and various member states, including the European Passenger Federation, the Anders Reizen coalition of 70 multinational corporations in the Netherlands, DAX-listed company SAP, IKEA retailer Ingka Group, medium-sized companies such as Europe’s largest architecture and engineering consultancy Sweco, the University of Liège and an opera house. It was coordinated by Transport & Environment, Germanwatch and VCD.

An external quote by Prof. Dr. Gerard Govers, Vice-Rector for Sustainability at KU Leuven university, which did not sign the letter, puts the initiative in context: “Scientists and professors frequently have to travel across Europe. When travelling to give a lecture or a speech, reliability is key. But all too often trans-European rail travel is marred by delays and even train cancellations. Germany needs to upgrade and expand its rail network, and the EU needs to accelerate the creation of new cross-border high-speed rail services with a synchronised timetable. The current business travellers initiative is therefore a welcome appealto the German government.”

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2024 Emission Tracker: Which sector is taking the lead in the race to cut corporate flying emissions? https://travelsmartcampaign.org/library/emission-tracker-which-sector-is-taking-the-lead-in-the-race-to-cut-corporate-flying-emissions/ Thu, 31 Oct 2024 15:04:00 +0000 https://travelsmartcampaign.org/?post_type=library&p=15223 Which sector is taking the lead in the race to cut corporate flying emissions? If you are working in a company, then you must have already travelled for work. You most likely took the plane for a meeting within the country, to a neighbouring one or to the other side of the globe.  Yes, taking […]

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Which sector is taking the lead in the race to cut corporate flying emissions?

If you are working in a company, then you must have already travelled for work. You most likely took the plane for a meeting within the country, to a neighbouring one or to the other side of the globe. 

Yes, taking the plane sounds very convenient. But it’s definitely not the most sustainable way to travel for business.   

We have been tracking the 2023 emissions of worldwide companies from the consulting, technology and pharmaceutical sectors. And we determined a clear leader in reducing corporate flying emissions. To end the suspense: it’s the consulting sector. 

Companies like Deloitte, Capgemini and Arcadis are part of the pacesetting sector which demonstrates the importance of setting clear targets to reduce emissions.

A leader and two laggards

You may have already worked in a consultancy and had a lot of online meetings. Then, you wouldn’t be surprised to learn that this sector is one of the best at cutting down on corporate flying. There can be many interpretations to this, but what we know from the data is that this sector does one thing more than the others: set clear targets

This means, setting targets to reduce business travel in general or air travel specifically by a certain year. These hold companies accountable for lowering emissions and help prevent a rebound to 2019 levels. For example, EY has set a target of -35% emissions by 2025 and reduced its emissions by -76% and -59%, in 2022 and 2023 respectively.  

However we also need to address the elephants in the room. KPMG and Accenture, the two top flyers of the group, haven’t set any specific targets and risk pulling down the whole sector in the future. 

This downgrade is even more at risk in the technology sector. Today, its overall emissions reduction is closer to the -50% goal of the Travel Smart campaign. The sector brings together the most top flyers out of all three. Those eight big polluters, such as Google, Apple, IBM or Microsoft, will very likely bring the whole sector down if they don’t set targets in the immediate term.  

Now, you may have worked in a pharmaceutical company instead and attended many in-person meetings. Then, your company is part of a sector that is lagging behind the other two. This sector has two top flyers that significantly impede the whole group in largely reducing business travel emissions. This is mainly due to these companies not having set specific targets to this effect. 

The sector has reduced its 2023 emissions by only -21%, compared with 2019 levels. The reduction could have been twice as much at -44%, if Johnson & Johnson and Merck had reduced their emissions by half. Instead, Johnson & Johnson only reduced them by 10% and Merck increased them by 29%.

Flying less is the way to Travel Smart

You may be asking, how can companies reduce their business air travel emissions? What if business travellers fly on planes that use sustainable aviation fuels (SAFs)? 

Although there are hopes for their contribution in the future, for now we can’t really rely on them to cut flying emissions – due to their limited scalability and not all being equally sustainable.  

The only solution to reduce these emissions in the short term is to fly less. In order to do that, companies need to set a clear target. And develop and implement all necessary measures to actually achieve it. 

Once these targets are set, there are several alternatives to attending meetings without flying. You can opt for using rail where possible. In fact, some companies have developed a rail policy such as PwC or Wipro. You can combine several of your meetings in order to avoid one-day trips or you can also use virtual collaboration tools. 

One last option for global companies – which have branches all over the world – is to send a representative of the branch of where the meeting is held. For example, as the European Vice President of Meta you would attend a meeting in Paris instead of flying out Mark Zuckerberg.

In the end

All in all, we have seen that the consulting sector is leading in cutting business travel emissions, all due to companies which have set clear targets. 

While the pharmaceutical and technology sectors are lagging behind, all due to top flyers with no credible targets holding back the whole group. 

In the end, we are left with one pending question: Why are those top flyers failing to set targets and keep flying emissions low, while others are leading the way?

Aiza Rodrigues Akhtar, Travel Smart Campaign Assistant

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Business travel: Johnson & Johnson and Merck hamper pharma sector’s efforts towards halving business flying emissions https://travelsmartcampaign.org/library/business-travel-johnson-johnson-and-merck-hamper-pharma-sectors-efforts-towards-halving-business-flying-emissions/ Sun, 27 Oct 2024 23:01:24 +0000 https://travelsmartcampaign.org/?post_type=library&p=15088 New analysis by T&E shows that the pharmaceutical sector’s business travel emissions reduced by 21% in 2023 compared to 2019 levels. If Johnson & Johnson and Merck had halved their flying emissions, the sector would have been on track to do so as well.

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A new analysis by Travel Smart, a campaign led by Transport & Environment, has found that the business travel emissions of eleven of the world’s major pharmaceutical companies dropped by an average of 21% in 2023 compared to 2019. This reduction could have been as large as -44% if the two pharmaceutical companies flying the most, Johnson & Johnson and Merck, had halved their emissions. Instead, Johnson & Johnson only reduced them by 10% and Merck increased them by 29%.

Sustained business flying reductions can only be ensured through targets. Out of the eleven companies analysed, only four have set a business travel target. Pfizer, AstraZeneca and Novo Nordisk have dropped their emissions by 55%, 52% and 52% respectively. The fourth company with a target, Roche, reduced them by 44%. 

However, most pharmaceutical companies haven’t committed to business flying reductions yet, and as a result of that in 2023, the travel emissions of those without targets started to creep back towards pre-covid levels. This includes UCB, Novartis, Bayer and Sanofi. Grifols did reduce its emissions last year, but there is no guarantee that this trend will continue as it hasn’t set a target.

Global pharmaceutical companies have a high responsibility to reduce business travel emissions, as they are seen as leaders in innovation due to their essential role in the context of health pandemics, and in light of increasing attention to the serious health risks from plane pollution to millions of people living around airports.

This analysis is the third of its kind the Travel Smart Campaign publishes. In July, Travel Smart found that business travel emissions of global consultancies were down by 46% compared to 2019 levels. In September, the campaign also revealed that technology companies had dropped their emissions by 49%. But the consulting sector is much more advanced when it comes to setting business travel reduction targets. 12 out of the 15 consultancies analysed had set a business flying objective, whereas only 7 in 26 tech companies have done so. 

However, both sectors have a common factor: top flyers without targets [1]. Neither Accenture nor KPMG International among the consultancies nor Alphabet (parent company of Google) and Microsoft in the tech sector have ensured a sustained reduction of their emissions by setting targets. And that is again the case in the pharmaceutical sector, with the novelty that Johnson & Johnson and Merck are actually making the whole sector lag behind in business flying reduction because of their outsized flying. 

“Top flyers should be leading by example, not watering down efforts to reduce business flying. What we’re seeing in the pharmaceutical sector is an extreme case of large polluters hampering  the sector’s progress towards flying less, but we’ve seen that story some other times. Johnson and Johnson, Merck and other large polluters must put limits on their flying, and they must do it now”, Denise Auclair, head of the Travel Smart campaign at T&E, explains.

Notes to editor

[1] The Travel Smart yearly ranking analyses how the largest companies across the world are performing on commitments to reduce corporate air travel emissions. The 25 businesses with more emissions that haven’t set a target yet are included in the “top flyers” group.

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Business travel: world’s biggest tech companies have halved their business flying compared with 2019 https://travelsmartcampaign.org/library/business-travel-worlds-biggest-tech-companies-have-halved-their-business-flying-compared-with-2019/ Tue, 10 Sep 2024 23:01:09 +0000 https://travelsmartcampaign.org/?post_type=library&p=14867 New analysis by T&E shows that while an impressive number of tech companies have cut their flying in half since 2019, companies which have not set targets to reduce flying emissions are slowly creeping back to 2019 levels. These include tech giants Google and Apple.

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A new analysis by Travel Smart, a campaign led by T&E, has found that the business travel emissions of 26 of the world’s major tech companies in 2023 dropped by an average of 49% compared to 2019. This is a significant reduction that shows many tech companies are on the right path to cut down a sizable share of their climate emissions. In 2022, the reduction was even more substantial (-62% compared to 2019), highlighting the need for business travel reduction targets to keep levels of flying low. 

Only 7 out of the 26 tech companies analyzed have set a specific travel emissions target. These targets are the only guarantee to avoid that emissions rise again to pre-pandemic levels. 

Among the worst performers are Alphabet (the parent company of Google) and Apple which are yet to set targets and whose travel emissions are on a trajectory to quickly return to 2019 levels, at only -23% and -31% respectively in 2023. 

On the other hand, India’s tech giant Wipro, a company which set a target of -55% by 2030, increased its reduction to -71%. This demonstrates the importance of target setting and other companies should be well advised to follow this path, the Travel Smart Campaign explains. 

This analysis is the second of its kind the Travel Smart Campaign publishes. In July, Travel Smart found that business travel emissions of global consultancies were down by 46% compared to 2019 levels. Although both sectors are on a positive path towards reaching the -50% reduction objective the Travel Smart Campaign for, 12 out of 15 consultancies analysed had set a target. These include PwC, EY and Deloitte.

Global tech companies have a high responsibility to reduce business travel emissions, as their CEOs often claim to be climate leaders and their companies brag about providing clients with the remote technologies that can serve as alternatives to high-emission travel. Top flyers without targets including SAP, IBM and Microsoft risk moving back towards their 2019 emissions levels if no specific reduction goals are set in place.

“Tech companies have claimed to be climate leaders for a long time and many have substantially reduced their business travel emissions, but if they want to be credible they must set reduction targets. How can Sundar Pichai say that Google is progressing to a sustainable future when its travel emissions are going in the wrong direction?”, Denise Auclair, corporate travel manager at T&E, explains.

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[Webinar] Carbon budgets: Swiss Re’s journey to halve air travel emissions https://travelsmartcampaign.org/library/webinar-swiss-res-successful-journey-to-air-travel-emissions-reduction-draft/ Mon, 12 Aug 2024 08:03:43 +0000 https://travelsmartcampaign.org/?post_type=library&p=14500 [Webinar] Carbon budgets: Swiss Re’s journey to halve air travel emissions Key information Title: Carbon Budgets Masterclass: How Swiss Re Achieved More Than 50% Reduction in Air Travel Emissions  Date: 17 July 2024 Host: Adam Braun, Co-founder and CEO of Clarasight  Participants: Andreas Gisler, Head of Travel Management and Leopoldo Gorla Senior Environmental Management Specialist […]

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[Webinar] Carbon budgets: Swiss Re's journey
to halve air travel emissions

Key information

  • Title: Carbon Budgets Masterclass: How Swiss Re Achieved More Than 50% Reduction in Air Travel Emissions 
  • Date: 17 July 2024
  • Host: Adam Braun, Co-founder and CEO of Clarasight 
  • Participants: Andreas Gisler, Head of Travel Management and Leopoldo Gorla Senior Environmental Management Specialist at Swiss Re; Denise Auclair, Travel Smart Campaign Manager at Transport & Environment 
  • Watch the webinar here.

Introduction

A new stage for sustainability has been reached in the corporate world: A shift from measuring emissions, to taking action to reduce emissions. 

What are the leading mechanisms driving change and transformation?  Carbon budgets are a prime example. They are the first amongst best practices identified by the Travel Smart Ranking of over 300 global companies on commitments and progress toward reducing air travel emissions. Denise Auclair highlighted several others: adopting a “virtual first” policy, prioritising rail when possible, eliminating one-day trips, decentralising operations, and incentivising goal achievement.

Adam Braun set the context: historically, companies haven’t done department-level carbon planning – but today there is a new regulatory and business imperative to do it. 

On the one hand, corporate sustainability reporting regulations will now require 50,000 companies to not only report on their historical emissions but to move forward with carbon targets and have credible transition plans to achieve emissions reductions. 

On the other hand, large companies are now asking suppliers to set targets and create carbon plans, recognizing that 70 to 80% of emissions are often within the supply chain.  

When it comes to reducing business travel emissions, Clarasight has identified four essentials where its carbon planning software can offer key capabilities: ensuring sustainability is a driver of business value, implementing drivers of behaviour change (eg. carbon budget, pricing, tie to compensation), modelling forecasts and scenarios for real business needs, and providing business leaders with data and tools to succeed.  

Andreas Gisler and Leopoldo Gorla spoke to these four components in their presentation, encapsulated in the below slide and Q&A. Swiss Re’s strategy, commitments and tools led to reducing their air travel emissions by more than 50%, and to their top performance in the Travel Smart Ranking. 

Source: This timeline is from Swiss Re’s presentation  

Questions & Answers (Q&A)

Swiss Re

We know this is a collaborative journey, can you provide an overview of who have been the key stakeholders driving the commitment to your travel emissions reduction, and why this is important to them given their roles?

In our case, the main commitment came directly from our senior management, the group Executive Committee, which is also responsible for the implementation of our group sustainability strategy. This has been a key element that helped the whole organisation to build the strategy, develop the necessary tools and also deliver on the commitments. It also supported collaboration between the sustainability and travel teams.  

Can you clarify what was the tipping point that you believe most helped get internal adoption to move to develop carbon budgets in particular?

The tipping point was the realisation in 2018 that the measures implemented in previous years didn’t really work – travel emissions were still going up. The senior management came to the conclusion that something else was needed. Therefore, it was decided to set a reduction target and implement a carbon budget that is coupled with our internal carbon price.

You’ve clearly built in-house software to enable forward-looking planning, ongoing analysis and custom carbon budget reporting – how long did this take and which capabilities unlocked the greatest transformation? 

It took us a couple of years to get where we are today. We consolidated our travel agency landscape and the first iteration of the dashboard was available in 2018. It really helped a lot to have one single global travel agency in place with whom we speak and who provides our data. The key element is definitely the dashboard, which is also a self-service option for the line managers and cost controllers, and also key to keep the travel community engaged.   

I’m sure you experienced resistance and may still today, what were the biggest obstacles you faced and how have you navigated that resistance? Is there anything you’d encourage others who want to implement similar strategies like a carbon budget?

We implemented the carbon budget just before we set our first target in 2020 when the pandemic started. The travel restrictions imposed by the pandemic helped because we were forced to stop travelling. And it proved to us that we could do business without travelling a lot. 

There are some corporate trips that are necessary for business purposes, and we don’t aim to stop travelling nor to reduce to a level that isn’t sustainable financially for the company. But we managed to avoid all those unnecessary trips that were happening in the past. Therefore, we kept some of these pandemic learnings to keep our emissions low. 

Were there any notable strategies or communication approaches that proved effective in gaining support from different departments or leadership levels?

An important thing is to have the data available to show to the senior management what needs to be done and also what are the outcomes of implementing those measures.

The tipping point was the realisation in 2018 that the measures implemented in previous years didn’t really work - travel emissions were still going up. The senior management came to the conclusion that something else was needed. Therefore, it was decided to set a reduction target and implement a carbon budget that is coupled with our internal carbon price.
Leopoldo Gorla
Senior Environmental Management Specialist at Swiss Re

Travel Smart

You called out some tactics of top performers but, what have you seen as unique culturally about top performing companies on your list? 

I’ll highlight three main elements: the first is commitment. In Swiss Re’s presentation we can see how they got started, how they set a target and how over time they saw the opportunity to increase the ambition of the target. Their current target is in line with what Transport & Environment has assessed as being necessary for the sustainability of the future of aviation, which is to keep business travel emissions below 50% of pre-pandemic levels. Some of the other companies we talk to have highlighted the challenge of seeing their emissions on an upward trend after the lifting of travel restrictions in 2022 and 2023 – and how it’s really important to keep working towards their commitments.   

The second is the continuous reassessment. Swiss Re is continuously reviewing and looking to improve the tools and measures they have. They recognised that the analysis that they did in 2018, where the average air travel per employee didn’t significantly reduce after implementing certain measures, is really significant. So they recognised which measures were working well and what was still lacking.  

The third is about the multiple benefits that reducing emissions can bring and how that’s important for the company’s internal and external communication. As well as  being good for the planet and for society, we can see the benefits of reducing emissions from a cost and economic perspective in the company, by for example avoiding unnecessary trips. But also from the travellers’ perspective, by caring for the employees and allowing them more freedom in the way they manage their travel choices, as Swiss Re did by building a self-service tool.    

Time stamps

  • [02:29-03:13] – Agenda of the webinar 
  • [03:13-04:10] – Introduction: Companies are shifting from measuring emissions to reducing emissions 
  • [04:10-11:30] – Denise Auclair presents the Travel Smart Ranking 
  • [11:30-18:20] – Adam Braun sets the context of corporate carbon planning  
  • [18:20-31:30] – Leopoldo Gorla presents Swiss Re’s approach to reducing greenhouse gas emissions  
  • [31:30-38:20] – Andreas Gisler presents Swiss Re’s Travel Planning Tool and the implementation of carbon metrics  
  • [38:20-39:17] – Swiss Re’s key takeaways
  • [39:17-56:00] – Q&A

Number of attendees

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