The study examines the risk that organisations can be exposed to when M&E expenses and activities are not managed through a clear and comprehensive programme.

Key findings of the survey, which compiled the opinions of both meeting planners and leaders, include:

• 51% of meeting planners believe that risk is not properly mitigated in their organisation.
• 52% of planners do not receive a budget when meeting planning begins.
• 23% of planners sign contracts ,but only 6% of leaders state that planners are allowed to sign contracts.
• 68% of leaders said transparency of all data is a top priority; however 85% of meeting planners still simply use spreadsheets for their budget tracking.
• 64% of planners do not currently have a method to track meeting attendees in a time of crisis.

Danielle Puceta, director, American Express Meetings & Events for Japan, Asia Pacific and Australia, said complacency in the meetings and events planning process could have serious financial, legal and reputational consequences, in an environment of increasing security and safety issues.

“This research highlights the disparity between the precautions and procedures meetings leaders and planners feel should be or believe to be in place and actual current activity. It demonstrates how crucial it is for companies’ meeting planning processes to be formalized, documented and controlled as a means to minimise risk,” she added.

Legal and regulatory

Both leaders and planners cited the legal/regulatory category as one of the most important areas of opportunity for meetings management. According to the research, 37% of planners currently do not forward ancillary contracts (e.g. for items like ground transportation, audio visual services, entertainment) for further review to a manager for review or approval. A wide gap exists in the contract process where 23% of meeting planners sign contracts relating to their M&E activity themselves, on behalf of the contracts.

“Financial penalties, reputational damage and even legal action can result from not properly managing legal and regulatory requirements. So it’s not surprising that these categories are of most concern to meeting planners and leaders,” said Puceta. “To address these situations, we recommend our clients develop standard addenda and review processes for ancillary contracts, and a contract signing authorisation matrix outlining the appropriate levels of staff who are allowed to sign contracts.”

Financial

The other area most highly rated as an opportunity for meetings management was the financial category. The survey also revealed that while 82% of leaders said that providing a budget is either recommended or required at the onset of a meeting, 52% of planners do not receive a budget when meeting planning begins.

In addition, organisations appear to be wasting investment dollars by not using available attrition or cancellation penalty credits. Thirty-six percent of planners said they are unlikely or neutral on using available credits and 50% of leaders said that their policy does not require the use of available credits.

Visibility is also an issue highlighted in the survey – 27% of leaders are unable to track meeting expenses, and 32% of leaders are unable to report all meeting expenses.

“Small changes like adopting technology or online tools enabling meeting requestors to create estimated budgets, track actual spending and expenses, and also mandating the use of corporate purchasing cards for all meeting expenses can help meeting planners maximize budgets,” said Puceta. “It is also advisable to develop a process to identify available credits at the onset of sourcing each meeting and share these throughout the organisation. Utilising credits in this way can help to avoid unnecessary spending.”

Safety and security

Sixty-four percent of meeting planners surveyed and half of the leaders said that they do not currently have a method to track meeting attendees during a time of crisis. Additionally, 62% of all planners said they do not have access to international medical and security assistance during a crisis.

“It is vital for meeting planners to have tools and processes in place to be able to track attendees in times of crisis, as well as to have access to back-up information in case of a technical failure,” said Puceta. “A Standard Operating Procedure – or a plan to offer guidance in emergency situations – should be in place and frequently updated to reflect current conditions and technologies.”