Introduction to Travel and Tour Management

Chapter 3: Travel Management Company’s Operations

CHAPTER 3
Travel Management Company’s Operations

The Travel Operations Department is the core of the TMC business. It is engaged in the efficient and
effective delivery of the organization’s services as partners or agents of travel suppliers. The Operations
functions are divided into five, namely:

1. Counter Counselling
2. Reservations
3. Fare Calculations
4. Ticketing
5. Documentations

1. Counter Counselling

It aims to conclude counter sales, which are transactions captured by the travel counselors or staff.
These transactions are the results of providing information, and recommending suitable and attractive
products. Effective counter counselling leads to counter sales. It includes suggesting itineraries and
insuring proper travel documentation.

Flight Itinerary Planning

It is the process by which cities to be visited are arranged in the desired sequence to conform with the
passenger’s desired travel plans, starting from the point of origin, to the destination/s to be visited. To
do this, agents identify the city pairs involved – that is, origin/destination, or where a sector begins and
ends. Roundtrips are having two segments (Origin/Destination, and Destination/Origin). Once this is
placed, the agent shall locate and reserve based on the schedules of flights (ETD/ETA) and frequency of
flights (Daily, Weekly or any day of the week). To do this correctly, agents should have prior extensive
knowledge on world geography, airline flight geography, and map reading.

When planning a flight itinerary, the following rules should be made implemented:

a. Avoid crisscrossing
b. Avoid backtracking
c. The lesser carriers used, the better.
a. It is always concerned with competitive airfares.

Basic Procedures in Flight Itinerary Planning

The simplest procedure is to select direct, non-stop flights from one point to another, until the final d
estination. Should there no non-stop flights from the origin, to the destination, the procedure is to use
an imaginary circle around a key city, and use it as a Hub of a wheel, with various destinations located at
the spokes of the wheel.

For example, you are to locate a flight from Cebu to Istanbul (CEB-IST). As an agent, you can locate any
flights connecting thru the GDS. But, should there be no direct flights from CEB to IST, you are to locate
any possible cities as transfer airports that will connect to Istanbul.
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Chapter 3: Travel Management Company’s Operations

RUH

IST HKG

ICN

MANILA

CAI
CEBU

The 24-Hour Time Zones

The arrival and departure times are expressed in local times. These are in a 24-hour format, where hours
are expressed in four digits. (Example: 07:30am is 0730H, and is read as “o-seven-hundred-thirty
hours”).

The world is divided into 24 time zones, with the Greenwich Meridian Line as the reference. Each 15-
degree deviation from the GML corresponds to 1-hour time difference. A movement of 15 degrees East
of GML is GMT+1, while a 15-degree movement westward, is GMT-1. The GMT, or the Greenwich
Meridian Time is the basis of locating time zones around the world. The east and west zones meet finally
at the International Date Line (IDL), where 1200H east is the same as 2400H in the west. Note that the
time zones are not set straight, thus, it is jagged so as to avoid crossing between landmasses which can
make the same country having multiple time zones.

As Earth rotates, GMT progresses to 1 hour, so that at the time in Manila (GMT+8) is 2100H, if the GMT
is at 1300H.

During the summer months, some countries modify their standard times by one hour. This temporary
change is called Daylight Saving Time (DST). The reason for this is that countries wish to spend more
waking hours in daylight.

At the IDL, if a plane crosses it from west to east, a day is gained. Otherwise, when a plane crosses IDL
from east to west, a day is lost. (Example: Plane A leaves LAX by July 10, can reach MNL by July 12; and
Plane B leaves MNL by July 11, can reach LAX by July 11 also).
Introduction to Travel and Tour Management
Chapter 3: Travel Management Company’s Operations

The Booking Card for Travel

The booking card is the working form of the Operations Department. It has complete record of all
requirements of the passenger and provides a history of actions taken, confirmation, option dates and
relevant information. The following are filled out in the Booking Card:

1. Date of issue of the card

2. Reference Number
3. Name/s of the Passenger/s (Surname/First Name/Title; MR-male, MS-female, MISS-female child,
MSTR – male child, INF-infant)
4. Home Address, Phone Number, E-mail Address
5. Company Name and Address, and Contacts
6. Flight Itinerary/ies – all flight schedules requested or recommended for the passenger.
a. Flight Date/s – write in this format: 04JUL
b. From/To – IATA Codes are used, with the origin-destination citypair
c. Flight Number – alphanumeric airline code with the flight number (PR732)
d. Class – pertains to the type of booking class requested
e. ETD/ETA – estimated times of departure and arrival
f. Status – if it is CONFIRMED, WAITLISTED, RECONFIRMED, etc.
g. Option – ticket time limit, or the time and date of the desired issue date
h. PNR – passenger name record
i. Fare
j. Total Airfare per Passenger
k. Number of Passengers
l. Total Amount Due
7. Hotel Accommodations
a. City
b. Arrival Details
c. Departure Details
d. Hotel Name
e. Type of Room
f. Rate
g. Number of Rooms
h. Number of Nights
i. Total (Room Rate x number of nights)
j. Total hotel accommodations
8. Sightseeing Tours
a. City
b. Date
c. Sightseeing Tour Name
d. Hours of Tour
e. Part of the Day (AM-morning, PM-afternoon, EV-evening)
f. PP Rate – Rate of tour per passenger
g. Number of Pax
h. Total (Sightseeing cost x number of tours)
i. Total Sightseeing Tours
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Chapter 3: Travel Management Company’s Operations

9. Prepared by – name of the Travel Counselor

10. Summary – grand total of costs

2. Reservations and Confirmations

Advanced requests for available space and services at some time in the future are called as
reservations. A written or obvious advice by a supplier that a reservation has been accepted and
honored is called a confirmation.

Methods of Flight Reservations

1. Manual Reservations – these are traditional ways of placing reservation before the advent of e-
commerce and the Internet. It involves direct contact with the supplier’s staff via mobile or
regular phone. It is highly personal and fosters client-intermediary and intermediary-supplier
commercial relations. When doing this method, provide the following:
a. Sector/Leg Required
b. Date of Travel
c. Flight Number/Class of Service
d. Passenger/s Name/s
When these are provided, the airline will issue a PNR, with a status of the reservation –
Confirmed, Waitlisted, Unable.
2. Electronic Reservations – it was introduced thru the advent of e-mail correspondence, and
involves writing to the email address of the supplier and receiving a reply from a department or
individual. Another way is to place an electronic reservation thru an interactive website where
no human contact is involved. The site has field and boxes to fill in requests, and the site
automatically issues a PNR once the request has been confirmed.
3. Automated Reservations – these are placed through a Global Distribution System wherein the
supplier is a member. Unlike electronic, this method provides the availability of a service first,
allowing the client to make a choice. After selection is made and inputted, the system can
provide confirmations.

Other Reservations

1. Accommodations
In placing manual reservations with hotels, resorts or any other lodging establishments, for
lodging or board, the following information must be provided:
a. Passenger’s Name and Number
b. Inclusive Dates – specify the check-in and check-out details
c. Rooms Breakdown – specify the type of rooms desired, and the number of rooms.
d. Arrival and Departure Information
e. Meals Required
f. Special Functions and Activities
g. Form of Payment (FOP)
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Chapter 3: Travel Management Company’s Operations

2. Sightseeing Tours and Tour Packages

a. Passenger’s Name and Numbers
b. Date of the Sightseeing Tour/Inclusive Dates of the Tour Package
c. Number of rooms and types
d. Forms of Payment (FOP)
3. Cruises
a. Passenger’s Name and Numbers
b. Date of Departure and Arrival
c. Embarkation/Debarkation Points
d. Type of Accommodation and Breakdown
4. Restaurants and Other Establishments
a. Passenger’s Name and Numbers
b. Date of Event/Function
c. Number of Tables
d. Form of Payment

3. Fare Calculation

The amount to be charged for an air journey is dependent on the type of journey to be undertaken.
For example, a passenger who boards an aircraft at point A, flies direct, non-stop to point B, and
disembarks will be charged the corresponding published fare for that trip. However, most journeys are
not that simple. A passenger may ask for an intermediate stop/s, return trips or different classes of
service.

FARE – amount charged by a carrier of a passenger and his allowable free baggage, and is the current
fare which a carrier in the publication it normally uses to publish fares, holds out to the public as being
applicable to the class of service to be furnished.

4. Ticketing

Only after the reservations have been processes and confirmed and the applicable airfares
calculated, can the Ticketing Officer issue an air ticket. It is the final step in processing a passenger’s air
travel requirements. A ticket is a contract between a passenger and a carrier and represents a
passenger’s payment to the travel agent.

Types of Tickets

a. Paper
Although these are phased out worldwide, it is important to understand the composition,
format and content of these to enable a better understanding of an electronic ticket.

AUDIT COUPON – contains the original details of the transaction. It is detached after completion
and validation of the ticket and attached to the sales report.
FLIGHT COUPON(S) – which are left in the ticket until a passenger checks in at the airport. Upon
checking-in, the counter staff lifts the applicable coupon as his flight pass. Each coupon is valid
only for travel between the points named in the said coupon.
AGENT COUPON – removed at the time the ticket is completed and validated; it is retained by
the issuing office as its copy.
Introduction to Travel and Tour Management
Chapter 3: Travel Management Company’s Operations

PASSENGER COUPON – retained by the passenger after the trip. It contains the details of the
transaction and is similar to a receipt for money paid.

The Paper Ticket may also include Conditions of Carriage, Terms and Conditions, Limitations on
Carrier’s Liability, general information of check-in time, reconfirmation requirements, carriage
of dangerous goods and the like.

b. Electronic
IATA announced in 2004 that it would aim to eliminate paper tickets by December 1, 2007. An
E-Ticket (ET) is a paperless electronic document used for ticketing passengers, particularly in the
commercial airline industry. The ticket per se is stored in the airlines vast computerized
reservation system, while the passenger is provided with a so-called transaction receipt, which
specifies all details of the air journey. E-Ticketing is the process of simplifying the issuance of
paperless e-tickets, generating electronic reports and monitoring materialization of bookings.

ADVANTAGES DISADVANTAGES
For customers: Stress free ticketing no to Possibility of a technology crash
tickets to lose; no last minute queues.
For airlines: Savings of up to $9 for ticket Less portable than a paper ticket
printing and processing
For the travel agent: will allow them to Security issues in self-check in kiosks.
explore greater opportunities to manage the
corporate travel experience.

5. Documentation
It refers to the process of legally securing the necessary travel papers for prospective
passengers. These are divided into:
1. Documents required for leaving the country of origin
2. Documents required for transit countries
3. Documents required for entry to, and exit from, the destination country
4. Documents required for reentry to the country of origin
The documentation function in a TMC is the primary responsibility of the Liaison or
Documentation Officer. In small and medium sized TMC, the Documentation Officer reports to
the Travel Counselor. However, in large TMC’s, where the volume of documentation is
substantial, a documentation supervisor oversees filing and releasing of documents, and the
scheduling of the required personal appearance at various embassies.
Introduction to Travel and Tour Management
Chapter 2: Travel Management Company’s Operations

Types of Travel Documents:

1. Essential Documents secured from Philippine Statistics Authority (PSA)
2. Passports
3. Visas
4. BI Clearances