Hogg Robinson Group contract (FOI)

​Request

What are the terms of the contract between the States and the Hogg Robinson Group, HRG. How much has the States paid for that contract per year since it was agreed in 2012. When was the contract last reviewed?

Clarification

A

What are the terms of the contract between the States and the Hogg Robinson Group, HRG?

How much does the States pay per year? Is it a set amount or does it depend? 

What are the terms of the contract? For example, what service does the company provide and in exchange for what. Does it earn commission on bookings made?

As an addition, what arrangement was in place prior to the HRG contract? 

B

How much has the States paid for that contract per year since it was agreed in 2012.

C

When was the contract last reviewed?

Response

A

The contract has been in place since July 2012.

The contract was awarded after an openly advertised tender process which commenced in 2011. Evaluation was based upon the Most Economically Advantageous Tender (MEAT) which combines a mix of quality and price criteria.

The annual amount paid to HRG is detailed within Q2. It is not a set amount per annum but has variable components eg volume and type of transactions undertaken.   

The services provided by our travel management company include, but is not limited to:

• provision of an end-to-end travel technology solution for bookings to be created by States of Jersey approved personnel for air, hotel, car hire, rail and airport parking

• provision of an offline traditional travel booking service with an experienced States of Jersey dedicated team who can provide advice or carry out bookings for the majority of differing travel types

• rate negotiation

• 24 hour, 365 day emergency cover

• dedicated account and contract management

• provision of tailored management information

• centralised electronic invoicing including use of an embedded lodge card for payments to reduce expenses administration

The contract was originally for a two-year period with an option to extend for a further three years subject to the agreement of both parties.

The service is offered in exchange for fees. Fees vary eg depending upon volume and the type of travel transaction undertaken.

The contract does make a provision for commissions to be collected, however, the travel industry as a whole pays fewer commissions as a result of direct bookings via the internet.  

Prior to the HRG contract there was a varied approach to travel management across the States of Jersey. Travel bookings were managed by either:

• use of a travel management company

• direct bookings via the internet or directly with travel suppliers

• utilisation of an in-house travel office for department specific requirements

B​

Note: The cost increase in 2014 is due to the Health and Social Services Department joining the contract in late 2013.

C

The contract has formal quarterly reviews, however, is continuously monitored throughout the year due to the high level of transactions that are undertaken. The contract commenced in July 2012 and was extended in accordance with the terms in July 2014 for a further 3 years, expiring July 2017.