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CONNEXXUS
The University of California Travel Program
BACKGROUND VISION OVERVIEW PROGRESS REPORT FUTURE
U.C. Travel Management Office
May 2008
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BACKGROUND
CONNEXXUS

• Major Expense Item
• 250 Million/yr in Travel Entertainment Spend
• Air
• Hotel
• Car
• Meals
• Local Transportation
• No Central Management
• Minimal Preferred Suppliers
• No Strategic Sourcing
• 15 to 20 Savings Potential
• Board of Regents Priority

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BACKGROUND (continued)

• Listed as Strategic Sourcing Target
• Air
• Hotel
• Car
• Service Providers
• Focus
• Savings
• Consolidation
• Best PracticesNeed to Catch-Up
• Central Support
• Challenges
• How to Organize for the Effort
• How to Manage the System

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VISION

• Develop a branded trademark name for UC system
  wide travel management (Connexxus)
• Develop, implement manage an efficient, cost
  effective responsive travel program across all
  UC campuses and laboratories
• Focus on best practices and ensuring customer
  satisfaction
• Negotiate deep discounts with preferred suppliers
• Multiple reservation options
• Preferred supplier relationships will be
  monitored managed
• Market share needs to be delivered or
• Negotiations will be nonproductive
• Discounts will be withdrawn

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ORGANIZATION
Strategic Sourcing Steering Committee
Senior Management Anne Broome
Travel Program Dan Sampson LEAD
UC Travel Management Matt Golden
External Relations Manager Debra Almason
(all UC locations represented -Connexxus program
approvals)
UC Travel Council
Commodity Team
System Planning Focus
System Program Support
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THE UC TRAVEL COUNCIL

• Established January 2006
• Participants nominated by campus controllers
  lab CFOs
• One participant from each UC location
• Includes outside independent industry advisors
• Approves all recommendations on development
  implementation of Connexxus Travel Program
• Campus level involvement in basic program
  development decisions

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THE TEAMS

• Action Arm of Travel Council
• Airlines
• Hotels
• Rental Cars
• Agencies
• On-line Booking Tools
• Systems, Data Policy Compliance
• Implementation
• Coordination in Multiple Bid Processes with
  Strategic Sourcing

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FINANCIAL ISSUES PROJECTED SAVINGS

• 252 Million Total Travel and Entertainment Spend
• 134 Sourceable Spend - Subject to Preferred
  Supplier Contracts
• Small Business Requirements
• Maverick Spend
• Non-mandated Environment
• With Use of Preferred Suppliers
• 9.2 Million Year 1 50 Adoption Rate
• 12.6 Million Year 2 50 Adoption Rate
• 16.8 Million Year 3 70 Adoption Rate
• Max Saving 25 Million 100 Adoption
• All UC Locations Implemented to Connexxus by
  1/1/09

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TRAVEL COUNCIL PROGRAM UPDATE

• Wyndham Hotels 15 LRA BAR
• Starwood Hotels 20 LRA BAR
• Marriott Hotels 15 LRA BAR
• Southwest Airlines 5
• American Airline 17 Domestic 25
  International
• United Airlines 15
• Hertz Rent-a-car
• Enterprise/National

600,000 Savings
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Travel Council Program Update(Continued)

• Portfolio of Reservation Options
• BCD Travel
• UC Travel Center
• CliqBook Online Booking System
• Web Provider Orbitz
• UC Riverside UC San Diego- Implementation
  Started (Launch Date May 12, 2008)
• Current Focus
• Complete Connexxus Portal
• Complete Profile Management System
• Complete Data Consolidation Process
• UC Travel Management Office Operational
• Benchmarking Data Requirements
• Connexxus Policy Statement

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KEYS TO SUCCESS

• High level of participation across all locations
• Book within the system using preferred suppliers
• Traveler wins
• Campus wins
• UC wins
• Supplier wins
• Successful implementation- full use and access to
  Connexxus portal
• Support encouragement from Regents, Chancellors
  Senior Management
• Leverage UCs purchasing power to reduce the cost
  of travel