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Volunteerism and its Role in the Incentive Travel Market:
Perception and Use by Intermediaries and Companies
Residing in Germany
by Alin Keiger
School: Architecture and Built Environment
Course: MA Conference and Events Management
Module Code: 4TRS7A4
Module Title: Dissertation
Student No.: 12772458
Supervisor: Barbora Cherifi
Submission Date: 06/09/2011
UNIVERSITY OF WESTMINSTER
Declaration
Declaration
“This Dissertation is the work of Alin Keiger. All other contributors are
acknowledged in the text and listed in the bibliography.
Word count: 16481 words”
Abstract
4
Abstract
Incentive travel as a motivational tool in Germany is relatively novice and
sparsely researched. The international incentive travel industry currently faces a
trend to integrate social legacy initiatives during incentive trips. This is firstly
determined by the pressure for companies to operate in a social responsible
way. Secondly, increasing workforce changes have an impact on this trend. The
aim of this research paper is to investigate the trend of volunteerism as an
element of incentive travel in Germany. This is researched on intermediaries’ and
companies’ perception and use of volunteerism as an element of incentive
travel, whereby the performance of the German incentive travel market is taken
into consideration. Therefore a qualitative approach was selected. For data
collection two open-format questionnaires were designed to receive opinions
and attitudes of volunteerism as an element of incentive travel from
intermediaries and companies, residing in Germany. Findings show that the
trend of volunteerism as an element of incentive travel is perceived and used
very differently by intermediaries and companies. The past economic
performances have had an impact on the development of the incentive travel
market and thus on evolving trends, which seem to be in conflict with the trend
of integrating social activities on incentive trips. The forecasted, but slow
recovery of the incentive travel market appears to have the potential for this
trend in Germany, as also corporate social responsibility becomes of increasing
relevance to companies in Germany. Nevertheless, whether companies make use
of volunteerism during incentive trips and to what extent, this appears to
depend on their culture, requirements, e.g. budget and time, and corporate
social responsibility strategy. Recommendations are provided at the end of the
project.
Keywords: Incentive travel, voluntary work, corporate social responsibility, CSR
activities, volunteerism
Table of Content
5
Table of Content
Declaration .............................................................................................................. 3
Abstract ................................................................................................................... 4
Table of Content ...................................................................................................... 5
List of Tables ............................................................................................................ 8
List of Figures .......................................................................................................... 9
List of Abbreviations ............................................................................................. 10
Acknowledgement ................................................................................................ 11
1 Introduction .................................................................................................. 12
1.1 Aim and Research Questions .................................................................. 12
1.2 Rationale for this Research .................................................................... 12
1.3 Research Context .................................................................................... 13
1.4 Methodology .......................................................................................... 14
1.5 Structure ................................................................................................. 14
2 Literature Review .......................................................................................... 15
2.1 Incentive Travel ...................................................................................... 15
2.1.1 Buyers and Intermediaries .............................................................. 15
2.1.2 Definitions of Incentive Travel ........................................................ 16
2.1.3 Concept of Incentive Travel ............................................................ 17
2.1.4 Role of Incentive Travel for Companies .......................................... 19
2.2 Corporate Social Responsibility .............................................................. 20
2.2.1 Definition ......................................................................................... 20
2.2.2 Concept of Corporate Social Responsibility .................................... 21
Table of Content
6
2.3 Volunteerism in Relation to Incentive Travel ......................................... 22
2.3.1 Benefits of Voluntary Work............................................................. 25
2.3.2 Challenges and Problems of Voluntary Work ................................. 27
2.3.3 Considerations for Integrating Volunteerism into Incentive Trips . 29
2.4 CSR in Germany ...................................................................................... 32
3 Methodology ................................................................................................. 34
3.1 Qualitative Approach .............................................................................. 35
3.2 Selection of Method ............................................................................... 35
3.2.1 Secondary Research ........................................................................ 35
3.2.2 Primary Research ............................................................................ 36
3.2.2.1 Open-Format Questionnaires .................................................. 37
3.2.2.2 Sampling................................................................................... 38
3.2.3 Pilot study ........................................................................................ 40
3.2.4 Ethical Considerations ..................................................................... 41
3.3 Analysis of Qualitative Data ................................................................... 42
3.4 Limitations .............................................................................................. 43
4 Results ........................................................................................................... 44
4.1 Research Question One .......................................................................... 48
4.1.1 Primary and Secondary Data Results .............................................. 48
4.2 Research Question Two .......................................................................... 58
4.2.1 Primary and Secondary Data Results .............................................. 58
4.3 Research Question Three ....................................................................... 64
4.3.1 Primary Data Results ....................................................................... 64
4.3.2 Secondary Data Results ................................................................... 65
5 Discussion of Findings ................................................................................... 70
Table of Content
7
5.1 The Use of Volunteerism as an Element of Incentive Travel by Selected
German Intermediaries in Relation to Organising Incentive Travel for
Corporate Clients .............................................................................................. 70
5.2 The Perception of Volunteerism as an Element of Incentive Travel by
Selected German Intermediaries in Relation to Organising Incentive Travel for
Corporate Clients .............................................................................................. 74
5.3 The German Incentive Travel Market for Corporate Companies Residing
in Germany, Including Issues of Volunteerism as an Element of Incentive Travel
................................................................................................................ 78
6 Conclusions and Recommendations ............................................................. 82
6.1 Conclusions ............................................................................................. 82
6.2 Recommendations for the German Incentive Travel Industry .............. 83
6.3 Recommendations for Further Research ............................................... 84
References ............................................................................................................. 86
Appendices ............................................................................................................ 98
A Questionnaire to Intermediaries .............................................................. 98
B Questionnaire to Companies .................................................................. 101
List of Tables
8
List of Tables
Table 2.1: Benefits of voluntary work as an element of incentive travel ............. 26
Table 2.2: Challenges and problems of voluntary work as an element of incentive
travel ............................................................................................................. 29
Table 3.1: Overview of survey participants .......................................................... 40
Table 4.1: Type of agency as perceived by respondents ...................................... 44
Table 4.2: Overview of respondent from corporate company 1 .......................... 45
Table 4.3: Internal secondary data for research question one and two .............. 46
Table 4.4: External secondary data for research question one and two .............. 46
Table 4.5: External secondary data for research question three ......................... 47
Table 4.6: Demand by industry sectors and incentive travel participants ........... 49
Table 4.7: Examples of secondary research results on experiences .................... 50
List of Figures
9
List of Figures
Figure 2.1 Incentive travel buyers by sector ......................................................... 15
Figure 2.2: Five steps for a successful integration of CSR into events .................. 31
Figure 4.1: Overview of respondents from intermediaries .................................. 45
Figure 4.2: Average number of incentive trips without voluntary work executed
by German Intermediaries for German companies ...................................... 52
Figure 4.3: Average number of incentive trips including voluntary work executed
by German Intermediaries for German ........................................................ 52
Figure 4.4: Average number of incentive trips without voluntary work executed
by German Intermediaries for international companies in Germany .......... 53
Figure 4.5: Average number of incentive trips including voluntary work executed
by German Intermediaries for international companies in Germany .......... 53
Figure 4.6: Preferred destinations by Germany companies ................................. 56
Figure 4.7: Preferred destinations by international companies residing in
Germany ........................................................................................................ 57
Figure 4.8: Duration of incentive trips in Germany .............................................. 67
List of Abbreviations
10
List of Abbreviations
CC Corporate Citizenship
CSR Corporate Social Responsibility
CV Corporate Volunteering
ISO International Standard Organisation
IT Incentive Travel
MICE Meetings, Incentives, Conventions and Events
NPO Non-Profit Organisation
SR Social Responsibility
Acknowledgment
11
Acknowledgement
Herewith I would like show my appreciation towards all who have supported me
and therefore made it possible to complete this work.
In particular, I would like to thank my supervisor Barbora Cherifi, as I esteem her
patience and endorsement during this time. It was wonderful working with you.
A very cordial thanks is also given to my fiancé who was always there for me, for
any kind of assistance. Thanks for everything – I cannot put it into words what
you have been giving to me.
Last but not least a heartfelt thanks is given to Rob Davidson, a fantastic lecturer
and business tourism industry expert and the initiator of the author’s
dissertation idea.
Introduction
12
1 Introduction
1.1 Aim and Research Questions
This paper aims to investigate an internationally developing trend on the German
incentive travel (IT) market, namely volunteerism as an integral part of incentive
trips by companies and intermediaries, including the performance of the IT
market in Germany for this trend. For this paper the following research questions
have been developed.
1. How do selected intermediaries in Germany use voluntary work as an
element of incentive travel in relation to planning/organising incentive
travel for their corporate clients?
2. How do selected intermediaries in Germany perceive voluntary work as
an element of incentive travel in relation to planning/organising incentive
travel for their corporate clients?
3. How does the German incentive travel market perform for corporate
companies residing in Germany, including issues of voluntary work as an
element of incentive travel?
1.2 Rationale for this Research
Increasing emphasis is put on researching the MICE (Meetings, Incentives,
Conventions and Events) industry, conceptually and empirically for several
reasons, including identifying trends (Weber & Chon, 2002). The MICE industry is
a relatively young industry but maturing at rapid rate (Rogers, 2008; Weber &
Chon, 2002). Topics about corporate volunteering (CV) are gradually more
studied because of rising discussions on corporate social responsibility (CSR), i.e.
companies and organisations are ever more prone to operate in socially
responsible ways (McWilliams & Siegel, 2001; Mikkila & Toppinen, 2008; Barth et
al., 2007). Volunteerism as an element of IT is apparently a relatively young
trend. Thus, only current literature of the last decade, e.g. (Davidson, 2010 c;
Gillis & Spring, 2001; Kotler & Lee, 2005) has been found.
Introduction
13
The respective research questions were established because there is a need for
investigating the following aspects. Firstly, there is a need for further research on
the German IT market, especially in relation to volunteerism as not much has
been explored. To be more precise, there are only two direct studies about the
German incentive market available, which can be considered as valid. Therefore,
the author attempted to put attention on the German IT market and seeks to
explore the current state of the market, perceived and used by companies and
intermediaries, focusing on the trend to integrate voluntary work on incentive
trips. Additionally, the author attempts to identify a comprehension on this trend
in general while evaluating the potential operativeness of this trend for
Germany.
1.3 Research Context
This academic research encompasses various disciplines, which are in the field of
economics, tourism respectively business tourism and sociology. Incentives,
including IT, play a particular role within the MICE industry as part of the overall
business tourism industry (Weber & Chon, 2002; Davidson & Cope, 2003). A
pioneer in the incentive sector is the USA. To this day, occurring trends in the
incentive travel market mostly emerge from the USA (Davidson & Cope, 2003).
The trend of leaving a social legacy at IT destinations arises due to increasing
corporate social responsibility considerations and workforce changes (Lenhart,
2008; Ruby, 2007 b; Davidson, 2009). Companies use social events during
incentive trips as measures for showing their actions and at the same time to
increase business performances, by motivating employees as CSR becomes a
motivational tool (Bertelsmann Stiftung, 2010; Scovil, 2011).
In addition, the researched topic faces challenges and issues with regard to
definitions and terminology (Weber & Chon, 2002). Many terms used within this
paper are equivalent in its meaning. CSR is an overall term describing a wide
range of potential activities for organisations. With reference to this work, often
the term CSR activity is used. For this, several synonym words exist and are
Introduction
14
continuously employed due to the multi-disciplinarity of this work. Examples are:
voluntary work, social projects, volunteerism, voluntourism, and social legacy
initiatives.
1.4 Methodology
The approach chosen for this dissertation is qualitative. To set up the basis of this
paper, a literature review is conducted, including the use of books, journals,
press articles, and online sources. Primary research is conducted in form of two
online standardised open-format questionnaires. Secondary research, both
internal and external data is analysed to rejoin the established research
questions. For data analysis, a manual method was applied according to a
thematic analysis, which was also used for secondary data analysis.
1.5 Structure
Following the introduction, the literature review deals with establishing a
comprehension about the IT market in general in correspondence to the focus of
the research. Therefore, intermediaries and buyers of the IT market are
presented as well as the concept of IT is introduced and the role of using IT from
companies’ perspectives. Since CSR in business is the overall term used for one’s
commitment to socially responsible behaviour, the concept of CSR is
subsequently introduced. Additionally, volunteerism in relation to IT in general is
presented, focusing on its emergence, its benefits, challenges and problems. In
the following, potential suggestions are outlined of how to overcome the
challenges and problems. Due to the geographical focus of the research, the
concept of CSR for Germany is finally introduced. Chapter three then outlines the
methodology used, including the limitations for this research paper, followed by
results presentation of the collected and analysed data. Subsequently, in chapter
five the findings are discussed, while putting emphasis on answering the
developed questions under research, whereby inferences between the research
questions are not excludable. Finally, conclusions and recommendations are
drawn.
Literature Review
15
2 Literature Review
2.1 Incentive Travel
2.1.1 Buyers and Intermediaries
The industry sectors spending money in incentive travels hardly change from
year to year (Davidson & Cope, 2003). In general, the major buyers are the
automotive, financial service, pharmaceutical, office equipment, electronic and
consumer durable sectors (The European, 1995, cited in Davidson and Cope,
2003; Roythorne, 2010). A global research carried out by IRF (2009) names
roughly the same markets (Figure 2.1). Consuming incentive travel by corporate
companies is related to remaining competitive in the market (Davidson & Cope,
2003; RDA, 2010).
Figure 2.1 Incentive travel buyers by sector
Source: IRF (2009)
The USA is still the biggest buyer market and the leading trend setter affecting IT
trends (Davidson & Cope, 2003), after Europe with Germany, France, the U.K.
and Italy (Davidson & Cope, 2003; Joppe et al., 2002).
20.2%
18.8%
16.1%
15.9%
15.7%
13.4%
0.0%
0% 10% 20% 30%
Automotive dealer
Electronic Computer/Component …
Commercial Banking
Insurance Agency/Brokerage
Pharmaceutical …
Telecommunication Reseller
None of the below
Literature Review
16
Intermediaries are external agencies which organise IT programmes or offer
incentive-related services to their clients (Davidson & Cope, 2003; Swarbrooke &
Horner, 2001; Selling Communications, Inc., 2004). They vary in size and range of
services offered, from full-service, including the design and execution of the
programme as well as promotion services to assisting with the incentive trip and
offering travel arrangements (Davidson & Cope, 2003). Such intermediaries can
be incentive travel houses, travel agents (Davidson & Cope, 2003; Holloway et
al., 2009) and cruise lines (Selling Communications, Inc., 2004). Moreover,
business travel agencies, Destination Management Companies and Destination
Marketing Organisations are used (Davidson & Cope, 2003). Swarbrooke &
Horner (2001) add event management agencies as incentive travel organiser.
Intermediaries are used, because the process of organising an IT programme is
very complex, interfering with buyers and suppliers (Davidson & Cope, 2003;
Holloway et al., 2009).
2.1.2 Definitions of Incentive Travel
One issue and challenge in the business tourism industry are the varying forms of
definitions and terms used, aggravating research and data collection and
comparability (Rogers, 2008; Weber & Chon, 2002). The MICE industry
comprised four industry components – meetings, incentives, conventions and
events. Often the acronym “MICE” is used as a generic term in research,
although the four components describe different activities (Weber & Chon, 2002;
Rogers, 2008). Furthermore, for each MICE component varying definitions exist.
The term incentive travel is no exception (Weber & Chon, 2002). Davidson &
Cope (2003, p. 161) claim that “one of the difficulties involved in collecting data
on incentive travel arises from the questions of what exactly constitutes an
incentive trip”. It is often not distinguishable which corporate events can be
classified as incentive trips as they often include incentive elements (Davidson &
Cope, 2003; Davidson & Rogers, 2006).
Literature Review
17
Companies often see IT programmes as both a motivational and management
tool (Witt et al., 1992). Definitions focus on either of these aspects. For example,
Wason (1990, cited in Witt et al., 1992) defines that IT ”uses the promise,
fulfilment and memory of an exceptional travel related experience to motivate
participating individuals to attain exceptional levels of achievement in their
places of work” (p. 276). In contrast, Westwood (1990, cited in Witt et al., 1992)
stresses the management aspect and defines IT as “offering the reward of a visit
to a highly desirable destination in return for meeting clearly defined and
attainable objectives within a fixed programme period” (p. 276). According to the
Site (NA, cited in Davidson & Cope, 2003), IT is “a global management tool that
uses an exceptional travel experience to motivate and/or recognise participants
for increased levels of performance in support of organisational goals” (p. 158).
2.1.3 Concept of Incentive Travel
Incentive travel is widely perceived as a powerful motivational tool (Joppe et al.,
2000) and recognized as the highest motivational reward programme, topping
cash and merchandise rewards in business today (Cottrell et al., 1999; Davidson,
2010 c; Gaia, 2008). Incentive trips for the employees are entirely on the
company’s expenses (Davidson & Cope, 2003; Holloway et al., 2009). The
programme involves transportation (Fischer, 2000), accommodation,
entertainment, food and beverage functions, and spectator or participative
events (Davidson & Cope, 2003; Davidson & Rogers, 2006).
An incentive trip can either be performed individually or as a group (Davisdon &
Cope, 2003; Holloway et al., 2009). Generally speaking, sales people, who
participate in an incentive trip, have won a competition about selling the most
units the company produces, within a given period of time (Davidson & Cope,
2003). It is, therefore, considered as a reward programme that is exclusive,
luxurious and provides memorable experiences. It is supposed to be different to
up-market package holidays or to those available that individual holidaymaker
can afford (Davidson & Cope, 2003; Fischer, 2000; Jeffrey & Shaffer, 2007).
Literature Review
18
Most authors agree that incentive trips are mostly undertaken by employees of
the company’s sales force in order to increase performances for better outcomes
that are critical to business operations and growth (Davidson & Cope, 2003;
Holloway et al., 2009; Gaia, 2008; Shinew & Backman, 1995; Joppe et al., 2002;
IRF, 2008). However, this is changing and companies use approaches to focus on
all employees to be successful in the market (Joppe et al., 2002). For example: to
suppliers, buyers, independent sales force and product managers (CAT
Consultores Asociados EN TURISMO, 2003). The sales staffs are still the
traditional audience for IT, but increasing attention is paid to non-sales staff,
according to Joppe et al. (2002). It is also claimed that planners of IT programmes
should consider the rewarded employee’s influence by spouses/partners
(Davidson & Cope, 2003; Shinew & Backman, 1995; Fischer, 2000).
“As with any market, fashion changes” and so do IT destinations (Fischer, 2000).
Site (2010 b) survey shows that the top three destinations are currently Africa,
Hawaii, and China. Recent years have shown a decline in budget for incentive
trip, tight programmes, and shorter durations due to the financial crises,
recovering slowly (Scofidio, 2010 c; Site, 2011; Alonzo, 2010; IRF, 2011) but
needs to be treated with caution (IRF, 2011). Many companies increasingly
include business/meeting elements in their IT programmes, because of taxation
issues (Grimaldi, 2011; Davidson & Cope, 2003). Furthermore, a top incentive
trend for 2011 is related to CSR (IRF, 2010; IRF, 2011). “CSR is the third most
important driver of employee engagement overall, incorporating elements of
sustainability into programs moving forward will be crucial.” (IRF, 2011, p. 4).
However, exotic and luxury rewards are still a significant element of IT by
providers and users obviously reflecting the wants of their target group,
according to Site (2010 b). More about CSR/volunteerism in relation to IT is
discussed in section 2.3.
Literature Review
19
2.1.4 Role of Incentive Travel for Companies
From the management perspective, an IT programme is a cost on the company’s
expenditures substantiated by tangible and intangible benefits the programme
implicates. Tangible benefits are related to financial criteria, positively
influencing the company financially (Severt & Breiter, 2010). Intangible benefits
are related to those positively impacting the company internally, e.g. it improves
retention, builds motivation, and provides employee recognition (Severt &
Breiter, 2010). Witt et al. (1992) and the IRF (2009) list further reasons for
companies’ involvement in IT. Reasons include facilitating communications and
networking opportunities particularly with company executives, fostering
corporate culture and social interaction, generating enthusiasm for the following
business period, starting new and maintaining relationships and advancing
loyalty to the company.
Motivated employees create a substantial competitive advantage that finally
leads to an increase in sales and revenue of the company (RDA, 2010; Deloitte,
2011). Additionally, Severt and Breiter (2010) found out that recognition given is
a significant aspect in the incentive programme to motivate employees. Hansen
et al. (2002, p. 72) highlights, “as long as recognition and reward, and the
corresponding motivational process, are treated as a single phenomenon,
advancements in employee motivation will not be forthcoming”. Thus, both
reward (the incentive trip) and retention of recognition on an incentive trip are
important motivational factors (Severt & Breiter, 2010). Additionally, travel as a
tangible incentive serves as a reminder, i.e. memories and pictures of the
employee’s performance (Jeffrey & Shaffer, 2007).
Literature Review
20
2.2 Corporate Social Responsibility
2.2.1 Definition
CSR is also known as corporate citizenship, corporate volunteering (CV),
corporate philanthropy, corporate responsibility and sustainability (Gourgue,
2010; Bundesministerium für Arbeit und Soziales, NA; Reputation Institute,
2010). The topic around CSR has had different meanings and definitions until
2010. Even in research, different definitions are used, often in accordance to
their research scope. According to Falck & Heblich (2007, p. 247), “CSR is
regarded as voluntary corporate commitment to exceed the explicit and implicit
obligations imposed on a company by society’s expectations of conventional
corporate behaviour”. The EU-Commission (2009) defines CSR “as a concept
whereby companies integrate social and environmental concerns in their business
operations and in their interaction with their stakeholders on a voluntary basis”
(p. 1). In other words, CSR involves companies acting voluntarily and beyond the
law, and fulfilling legal obligations to achieve or to rise to social and
environmental challenges (European Commission, 1995-2010; Fuchs, 2010).
Due to inconclusive definitions and meanings of CSR, the International Standard
Organisation (ISO) has developed an international, non-certification standard
regarding guidance on social responsibility (SR), published in November 2010
(ISO, NA a). “It is intended for use by organisations of all types, in both public and
private sectors, in developed and developing countries, as well as in economies in
transition. It will assist them in their efforts to operate in the socially responsible
manner that society increasingly demands.” (ISO, NA a). The ISO has developed
this standard on ‘social responsibility` instead of ‘corporate social responsibility’
as it intends to be guidance for all types of organisations (ISO, NA a). ISO
Secretary-General Rob Steele highlights “the principles of corporate social
responsible are really the principle of social responsibility” (ISO, NA c).
Literature Review
21
2.2.2 Concept of Corporate Social Responsibility
The concept of CSR has changed its focus many times in the last fifty years
(Perrini, 2005). CSR becomes increasingly important to organisations and
companies (ISO, NA b; Pinchera, 2008 a; Gatehouse, 2009; Scholtens, 2008; Levis,
2006; McWilliams & Siegel, 2001; Mikkila & Toppinen, 2008; Basil et al., 2011;
Barth et al., 2007; Reputation Institute, 2010).
The pressure for operating in a socially responsible manner comes from
consumers, customers, governments, associations (ISO, NA a; Scott, 2005) and
the public (Arvidsson, 2010; ISO, NA a), as well as from suppliers and employees
(McWilliams & Siegel, 2001; Scott, 2005). While corporate scandals have also
increased social and ethical commitment, companies focus more on CSR in
corporate communication (Arvidsson, 2010; Falck & Heblich, 2007). As a result,
often “companies engage in CSR activities to avoid negative impacts instead of
being driven by a will to make a social betterment or acting in accordance with
what is fundamentally believed to be right to do” Arvidsson (2010, p. 339).
Further authors (Pinchera, 2008 a; Gourgue, 2010; Davidson, 2009) reinforce
that as ‘greenwashing’, i.e. companies claiming CSR initiatives without
foundation.
CSR comprises the “triple bottom line”, meaning people, planet and profit, which
companies must respect in their activities (Davidson, 2010 a; Pinchera, 2008 a;
Gourgue, 2010) that also “encompasses social awareness, and community
support” (Pinchera, 2008 a). Organisations realise that “lasting success must be
built on credible business practices and the prevention of such activities as
fraudulent accounting and labour exploitation” (ISO, NA a). Corporations are
socially and ethically accountable towards their stakeholders, who play an
important role in the concept of CSR (Reputation Institute, 2010; Perrini, 2005;
Rogers, 2008; ISO, NA b). Additionally, CSR can be considered as an efficient
management strategy and can be a significant factor in the company’s success,
as the market rewards social activities of enterprises (Falck & Heblich, 2007).
Literature Review
22
Since there is a standard developed for CSR, the author will only focus on this in
order to remove ambiguity, which evolved in the last decades.
ISO 26000 intends to encourage organisations to do the following:
“to go beyond legal compliance, recognizing that compliance with law is a
fundamental duty of any organisation and an essential part of their social
responsibility. [...] In applying ISO 26000, it is advisable that organisation
take into consideration societal, environmental, legal, cultural, political
and organisational diversity, as well as differences in economic conditions,
while being consistent with international norms of behaviour” (ISO, NA d).
The topic of CSR is a very complex one and the ISO 26000 is a guidance to look at
the principles and objectives of SR and enables those applying these in their own
organisation (ISO, NA c). However, it “is not intended to prevent the development
of national standards that are more specific, more demanding, or of a different
type” (ISO, NA d).
2.3 Volunteerism in Relation to Incentive Travel
Not all luxury travellers or tourists can be without a sense of guilt when travelling
to a developing country, e.g., to Vietnam, knowing that there are people who do
not earn the kind of money that luxury tourists spend on as little as one meal
(Arnold, 2010). Doing something good for the people at IT destinations becomes
a trend that is described by Davidson (2010 b; 2009). There are two factors
driving this trend. One is the issue of CSR that companies increasingly need to
take into consideration. The other aspect is related to the changing attitude of IT
participants, who are members of the Generation Y, an increasing younger
workforce. These people are unsatisfied with the flamboyant consumption that
often categorises incentive trips, especially when such travels take place to
disadvantaged and impoverished destinations. Not only the employees but also
entire businesses (Reputation Institute, 2010) have the desire to make a
difference and give something back to the locals or unprivileged people
(Davidson, 2010 b; Davidson, 2010 a; Gossein, cited in Pinchera, 2008 b; City of
Literature Review
23
London, 2010). Additionally, those participating in volunteer projects have the
motivation to develop new skills for future career opportunities (Deloitte, 2011;
City of London, 2010). CSR is now increasingly recognised as a driver for
motivating employees, resulting in business benefits (Scovil, 2011).
Davidson (2010 c) highlights the year 2008 when Generation X (born between
1965-1980) and Y (born between 1981 and 1999) was able to out-vote Baby
Boomers (born between 1946-1964). “As these two generations become
increasingly represented in business, the media, and public life, their values,
attitudes and lifestyles are gradually replacing those of the previous generations”
(Davidson, 2010 c, p. 117); also agreed by Twenge et al. (2010). Both, Generation
X and Generation Y, also called Generation Next, Echo Boomers and others, “like
previous generations before them, are finding at times difficulty to work side by
side because their experiences, goals, and expectations differ” (Kogan, 2001).
Generation Y is characterised among many others as open-minded to diversity,
fair, and social conscious. They also desire a work-life balance, and thus, opposed
to previous generations in manifestation (Davidson, 2010 c). In contrast,
altruistic work values, e.g. helping and societal worth are as much in favour as
with previous generations, according to Twenge et al. (2010). In contrast, many
other authors characterise Generation Y as highly socially-conscious, more than
other generations (Cone, 2006; Tulgan & Marting, 2001; Needlemann, 2008 cited
in Twenge et al., 2010; Deloitte, 2011; Reputation Institute, 2010).
The characteristics and the differentiation in values and attitudes of the
Generation Y in comparison to previous generations have an impact on the
organisational operation of companies (Davidson, 2010 c; Ruby, 2007 c; Twenge
et al., 2010) and in the participation of conferences and incentive trips
(Davidson, 2010 c). In summary, Generation Y likes to be more actively involved
(ValueOptions, NA; Davidson, 2010 c; Fishman, 2007) at the design stage of
conferences and incentive trips (Davidson, 2010 c; Pink cited in Scofidio, 2010 a).
Furthermore, they are more concerned of environmental issues and SR, i.e.
Literature Review
24
reducing negative impacts on nature and the human environment (Davidson,
2010 c). Regarding the former, it helps to understand Generation Y’s needs, to
better recognise them and to give the trip more meaning, e.g. including
volunteer work elements, hence rethinking incentives and other motivational
schemes (Davidson, 2010 c; Pink cited in Scofidio, 2010 a). It is claimed that the
old form of motivation “does not work for today’s self-actualized workforce [...]
in the long-term as it narrows people’s focus, stifle creativity and can actually
cause people to cut corners in a way that hinders the success of a company rather
than enhances it” (Pink cited in Scofidio, 2010 a). Contrary are findings by Pagani-
Tousignant (2011), which show that older workers also like to be engaged in
volunteering opportunities than most companies might expect. This is because
they have skills, know-how, experiences, and free-time and still like to learn.
Therefore understanding older workers becomes also significant (Pagani-
Tousignant, 2011).
Incentive travel planners focus more on leaving a lasting social legacy at the
destinations when organising an IT programme (Davidson, 2010 b). Real and
potential examples of social legacy initiatives are stated by Davidson (2010 b;
2010 a) and Gatehouse (2009). Those include raising money for a local charity,
e.g., at the event’s gala dinner. As a result, the tourists can enjoy the tours while
knowing that their money benefits the local community. Further social legacy
initiatives include, taking a day or half-day to work directly on a project, e.g.,
landscaping the garden of a local retirement home, constructing a library in a
village school, maintaining classrooms for underprivileged children, and many
others.
There is only very little direct research and information available in terms of
volunteerism as an element of IT. However, the IRF (2010) study on incentive
trends found out that more than half of their respondents request CSR as part of
the motivational programme sometimes, while 26% never had requested it, 16%
request it often and 7% every time. Volunteering is increasingly demanded by
Literature Review
25
companies and their employees (Pinchera, 2008 b; Lenhart, 2008; Wickrema,
2010; Basil et al., 2011) and becomes part of IT (Davidson, 2009; Lenhart, 2008;
Wickrema, 2010). A Site study shows that CSR is seen as important but 55,7% do
not included CSR activities in IT (Site, 2011). Voluntourism has become of great
magnitude in upscale leisure travel; the incentive industry inclines to pursue the
trends (Lenhart, 2008). Additionally, community volunteer projects for incentive
groups are versatile, so the visiting destinations (Lenhart, 2008; Site, 2010 d).
Moreover, Lenhart (2008) states that “the motivational and performance
improvement objectives behind incentive travel are well served by incorporating
a charitable effort into the agenda”. However, such services are often
underestimated (Pinchera, 2008 a).
2.3.1 Benefits of Voluntary Work
Companies can create a profound impact on communities life and living at the
destination and the industry when CSR activities are used effectively (Pinchera,
2008 b; Davidson, 2009) in order to overcome greenwashing issues (Wickrema,
2010).Volunteer initiatives have a great impact on people/employees, e.g. it is
personally fulfilling, inspiring and imparts moral satisfaction (Pinchera, 2008 a;
Amrhein, 2009; Davidson, 2009; Pinchera, 2008 b; Lenhart, 2008; Deloitte, 2011).
Moreover, it adds additional value to the experiences of the trip by means of
definitions in general (Wickrema, 2010) and leave lasting memories (Keenan,
2010).
It brings benefits for the company, the employees, the community (Pinchera,
2008 a; Deloitte, 2011; Reputation Institute, 2010; Porter & Kramer, 2002), the
destination, the intermediaries and companies’ stakeholders (Amrhein, 2009;
Porter & Kramer, 2002). Resulting benefits include strong loyalty among
employees towards their company (Gatehouse, 2009; Davidson, 2010 b; Deloitte,
2011), and a boost in motivation by employees (Amrhein, 2009; Pink cited in
Scofido, 2010 a; Spinkle & Maines, 2010; Deloitte, 2011), resulting in e.g.
retention of employees, and sales generation (Reputation Institute, 2010;
Literature Review
26
Parbotheeah et al., 2004). Furthermore, promise of loyalty by customers,
promise of money for investors (Amrhein, 2009), a growing positive reputation
and image of companies (Gatehouse, 2009; Davidson, 2010 b; IMUG, 2006; Gillis
& Spring, 2001; Weber, 2008; Deloitte, 2011; Reputation Institute, 2011) and the
business tourism industry are recognized benefits (Davidson, 2009).
With regard to potential chances for intermediaries, Amrhein states (2009) that
there are only a few advantages in comparison to the others involved. Such
chances can be positive media coverage received through the supply and later
through the demanding company. Additionally intermediaries can use it to for a
new positioning in the market towards sustainability and fair tourism and to
increase its level of awareness in the market (Amrhein, 2009). Table 2.1
summarises the benefits.
Benefits
MICE Industry Improvement of image perception
Employees Fulfilling/ Motivational
Loyalty towards company
Additional experience on the trip
Leave lasting memories
Stakeholders Promise of loyalty by customers
Promise of money for investors
Companies Image and reputation enhancement
Employee retention and loyalty
Increase in sales and other business benefits
Intermediaries Positive media coverage
Opportunities for a new market positioning
Awareness in the market
Communities On life and living
Table 2.1: Benefits of voluntary work as an element of incentive travel
Source: Own illustration according to various authors referenced within section
2.3.1.
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27
2.3.2 Challenges and Problems of Voluntary Work
Although voluntary work as an element of IT entails potential chances,
challenges, problems and impacts should be considered before committing to a
programme (Amrhein, 2009). An article (Gandhi, 2011) on voluntourism claims
that the help cannot be guaranteed to be meaningful as some critics deem that
volunteer’ needs may have a higher priority over the communities’ needs.
Whether such a programme during an incentive trip is reasonable, depends on
the travel length and the type of destination (Amrhein, 2009). Consequently,
these two factors determine the type of volunteer programme during an
incentive trip (Amrhein, 2009). Additionally, there are problems considered with
transience, i.e. moving in and out of projects and local unemployment because
people perform jobs for free while a local might be paid to carry out the duty
(Gandhi, 2011). Questionable are also the impacts the trip actually entails, e.g. an
trip is not economically reasonable if the distance and the duration to the
destination is not proportional to the CO2 emission as this may have a higher
negative impact than the IT participants intend to do something good at the
destination (Amrhein, 2009).
Moreover, IT is considered as prestige and hence less communicated through the
media because of received negative perception about the incentive and/or MICE
industry (Amrhein, 2009; Wickrema, 2010; Keenan, 2010; Welch, 2011; Scofidio,
2009). However, in correspondence to charity work incentive travel may be less
affected by negative media coverage and can create new perceptions of the
MICE, including incentive industry and employees can still be rewarded
(Amrhein, 2009; Wickrema, 2010; Keenan, 2010).
By intermediaries it is often claimed that organising giveback activities involves
time and money (Lenhart, 2008; Hall, 2011; Davidson, 2009; Keenan, 2010), as
well as it is a challenge to find an activity for hundreds of attendees that benefits
the local community in a given period of time (Lenhart, 2008; Hall, 2011; Daniel,
cited in Keenan, 2010). Additionally, with regard to duration of incentive trips
Literature Review
28
Amrhein (2009) found out that most incentive trips range from two to six days,
while volunteer tourism offers are hardly available under three days; most of
them last between seven and fourteen days. Moreover, organisers may have
difficulties in convincing corporate companies to volunteer on incentive trips as
corporate clients may perceive it as additional work because the programme is
considered as a reward for employees (Lenhart, 2008). Options giving of CSR
projects are helpful (Keenan, 2010; Site, 2010 d), however pushing companies to
a projects is not an appropriate way as the project needs to fit to the companies
culture (Keenan, 2010; Site, 2010 d). As well as fostering trust and cooperation
among the various people on incentive trips may not be in harmony to make a
volunteer project work (Lenhart, 2008). Moreover, no interest in volunteering by
employees may be a barrier, although only about 17% of Generation Y in a
conducted study has mentioned it (Deloitte, 2011). Issues may already occur
when tracing the volunteer programme because there are rogue programme
suppliers on the market, not taking the beneficence serious, exploiting the
various components involved (Amrhein, 2009).
Additionally, Clemmons (2005 a) highlights that risk and lack factors have a
debilitating effect on developing voluntourism projects for the MICE industry.
Risk issues include, liability risk, safety risk of clients/guests, risk of event or
project failures and risk of client dissatisfaction. Lack factors include, lack of
knowledge or understanding how to produce and manage significant CSR events
effectively (Keenan, 2010; Clemmons, 2005 a). In addition, unfamiliarity, lack of
suppliers and lack of financial resources are claimed by MICE professionals
(Clemmons, 2005 a). Moreover, “many non-profit organisations (NPOs) do not
understand how, nor do they have the resources, to work with incentive groups
[...]. As well as it does not match their goals and needs” (Site, 2010 d, p. 2). Table
2.2 summarises the challenges and problems.
Literature Review
29
Challenges and Problems
Meaningfulness cannot be guaranteed
Volunteer' needs vs. communities' needs
Reasonableness depends on duration and type of destination
Transience
Danger to foster local unemployment
Perception issues of IT industry
May not be economically reasonable
Time and cost
Finding the right activity
Duration issues
Client and employee issues and challenges
Rouge programme suppliers
Risk and lack issues by intermediaries and NPO's
Table 2.2: Challenges and problems of voluntary work as an element of incentive travel
Source: Own illustration according to various authors referenced within section
2.3.2.
2.3.3 Considerations for Integrating Volunteerism into Incentive Trips
As a consequence of the above mentioned obstacles it is recommended to
research any trip with care, applying a sensitive approach (Gandhi, 2011;
Lenhart, 2008; Davidson, 2009; Amrhein, 2009); consulting local historians and
organisations, so that the charitable activity fits into the local heritage (Lenhart,
2008). A company acting socially responsible should consider choosing an area of
responsibility that coincides with their business goals and products, marketing
campaign and stakeholder wishes (Kotler & Lee, 2005; Barth et al., 2007).
Incentive travel could be inserted into an already existing CSR strategy of a
company, possibly in the long-term, in alignment with the corporate culture and
companies core objectives (Amrhein, 2009, Keenan, 2010). Therefore, setting the
right focus to where and how to integrate CV (Porter & Kramer, 2002). Site (2010
d) names factors to take into consideration before setting up a CSR project, such
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as destination and goals, age and physical fitness of participants, budget, activity
preferences by participants and whether locals shall be involved.
The pointed out risk and lack factors can be mitigated for example through a
specific insurance, information provision to participants, acquisition of
knowledge and familiarity for the particular type of voluntary project
(Clemmons, 2005 b; Clemmons, 2005 c). Furthermore, it is important to be
flexible and open minded, to discuss concerns, wants and needs in advance,
especially in relation to the mentioned issues with NPOs (Site, 2010 d).
Moreover, it is suggested to achieving a concrete understanding of Generation
Y’s needs and interests, in order to keep them motivated and satisfied within the
workplace (Davidson, 2010 c; Pink cited in Scofidio, 2010 a; Deloitte, 2011) and
to maintain the future success of various business event sectors, including the IT
sector (Davidson, 2010 c). Yet, an effective IT programme depends on the design
and execution appealing to Generation Y (Davidson, 2010 c). However, previous
generations’ needs ought to be considered as well, as they are still active in the
workforce (Davidson, 2010 c; Pagani-Tousignant, 2011).
Additionally, charitable projects should be communicated as “voluntary options
and scheduled in such a way that attendees still have plenty of time for leisure
activities” (Lenhart, 2008). There are many projects that can be conducted under
these conditions (Katz, cited in Lenhart, 2008). Hall (2011) states, that it is often
sensible to donate money to a charity which allocates the money appropriately.
This is also claimed by Davidson (2009) as the most common way to leave a
legacy for short trips. However, each company needs to evaluate the
reasonableness by itself or in cooperation with the organiser (Amrhein, 2009).
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31
Figure 2.2 shows five steps of how CSR activities can be successfully integrated
into event and live-communication measures, including incentive trips (Sans,
2010).
Figure 2.2: Five steps for a successful integration of CSR into events
Source: Own illustration, according to Sans (2010).
• This is the simplest1.
Enthusiasm for the Ideas
• Budget and timeframe
• Number of participants
• Obtain commitment
2.
Check Underlying Conditions
• Get a professional partner on board
• Permits and legal regulations
• Patience and pacing with the NPOs
• Needs of the organisation's focus
3.
Research, Research, Research
• The high art: Integrating business competences of participants
• Ensure continuity and sustainability
4.
Develop an Approach Suitable for the
Customers
• You need to ache to do something5.
Joy and Authenticity
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2.4 CSR in Germany
The concept of CSR has become a phenomenon in Germany since the 1990s
(Habish & Wegner, 2004; Matten, 2005; Falck & Heblich, 2007). Due to the
development of CSR in America, the American concept of CSR encounters certain
conditions in Europe, different to those in America with regard to
implementation and utilisation of CSR (Pleaon GmbH & IFOK GmbH, 2008). As a
result of globalisation, CSR has increasingly gained relevance (German Federal
Government, NA). Globalisation also makes companies less constrained by
society’s basic order than in the past, due to different country regulations and
laws (Falck & Heblich, 2007).
Discussions on CSR in Germany have only attracted reluctant public effectiveness
in comparison to the European neighbour countries (Habish & Wegner, 2004;
Pleaon GmbH & IFOK GmbH, 2008; Falck & Heblich, 2007), but it has increased
within the past years (German Federal Government, NA). It is stated that German
companies are confronted with the topic of CSR at their international sites as
well as through the reporting requirements and Investor Relations (Habish &
Wegner, 2004). In addition, Matten (2005) claims the external pressure, e.g.
efforts in standardisation by the EU, conformation to best practice approaches,
and the professionalisation of manager occupations, as being factors which
influence discussions on CSR in Germany. As a result, international companies,
residing in Germany have higher CSR standards in their headquarter country than
in their overseas branch (Matten, 2005). Conversely, many German companies
with an overseas branch show stronger SR than in their original national social
environment (Matten, 2005).
Regional CSR initiatives were initiated by organisations. However, many of them
failed in their efficiency (Habish & Wegner, 2004). The German Federal
Government states, that there is a lack of visibility towards the various CSR
activities by German companies as well as there is no clear German CSR-Profile
domestically and abroad (German Federal Government, NA). According to a
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study by the IMUG (cited in Sans, 2010) 80% of German companies perceive CSR
as important to be embedded in the company. About 32% claim that it is
integrated in an overall strategic CSR concept. 67% of the corporate respondents
believe that CSR will gain importance in the future. 40% like to intensify the
commitment. However, less than 1% of German companies integrate CSR in live
communication measures (Sans, 2010).
As stated by the ISO, the developed ISO 26000 does not prevent developing
national standards (ISO, NA d). The German Federal Government (2010)
published an action plan for CSR in October 2010. With this action plan, the
German Federal Government intends to consolidate and increase SR of
enterprises and public institutions as it is a basic element of the social market
economy in Germany (German Federal Government, 2010) and an interaction
between politic, economy and society (German Federal Government, NA). With
regard to the ISO 26000, this standard on SR is not for certification purposes,
according to ISO (NA a). However, German companies have raised a request of
confirmation by an external certification authority. Therefore the BDI (Federal
Association of the German Industry) fears that it could become a certification
standard and thus a marketing tool, resulting in high costs for companies
(Henkel, 2010).
Corporate Volunteering or Corporate Citizenship as a component of CSR
practices is claimed to be an increasing trend by companies residing in Germany
(Habish & Wegner, 2004; Bertelsmann Stiftung, 2010), also because there seems
to be no legal or fiscal obstacles in the way (Habish & Wegner, 2004).
Bertelsmann Stiftung (2010) has developed a guideline on CV in cooperation with
German companies, about planning and measuring CV as it is an integral part of
SR of companies. Actions to be taken exist in a wide range; not all initiatives are
suitable for every organisation (BDA, NA; Bertelsmann Stiftung, 2010), resulting
in employee motivation, customer loyalty, fostering company’s reputation and
awareness (Bertelsmann Stiftung, 2010).
Methodology
34
3 Methodology
The aim of this research is to investigate the trend of volunteerism as an element
of incentive travel in Germany. The perception and use of voluntary work as an
element of incentive travel by German intermediaries and buyers is explored,
including the performance of the German IT market for corporate buyers.
In order to reach the aim, the following research questions have been
developed, and their way of how to approach them is explained in the next
sections. Holliday (2007) refers to the use of research questions as a method to
reduce the richness and the complexity of the chosen topic to a few precise
assertions. Research questions help to clarify the purpose of the research,
enabling the researcher then to make decisions about assessing a research
design (Patton, 1990).
Research Questions:
1. How do selected intermediaries in Germany use voluntary work as an
element of incentive travel in relation to planning/organising incentive
travel for their corporate clients?
2. How do selected intermediaries in Germany perceive voluntary work as
an element of incentive travel in relation to planning/organising incentive
travel for their corporate clients?
3. How does the German incentive travel market perform for corporate
companies residing in Germany, including issues of voluntary work as an
element of incentive travel?
Methodology
35
3.1 Qualitative Approach
Qualitative research involves “an interpretive, naturalistic approach” without
comparing events in terms of measurement or amounts (Thomas, 2003, p. 1).
Qualitative research aims to develop an understanding of the context and to
discover underlying motives (Altinay & Paraskevas, 2008; Kumar, 2008).
Respondents have the possibility to illustrate the concepts from their
perspectives (Altinay & Paraskevas, 2008). Therefore, the selected issues under
study and the collected data is a more in-depth and detailed representation
(Altinay & Paraskevas, 2008; Patton, 1990) that allows collecting comprehensive
information about a smaller sample (Veal, 1997; Patton, 1990). The disadvantage
of qualitative inquiry is that it reduces generalisability (Patton, 1990). Data
collection and analysis take time and resources and are perceived as difficult
(Altinay & Paraskevas, 2008).
Due to the exploratory nature of this research, respondents have the possibility
to express their own opinion and perspectives. Thus, a qualitative approach was
chosen. A further motive for choosing a qualitative method was the expectedly
small number of study participants. Additionally, this approach allows gathering
detailed data in order to answer the research questions.
3.2 Selection of Method
3.2.1 Secondary Research
Most secondary sources of information are sources of data already available or
collected by someone else for one’s own research (Smith, 2010; Veal, 1997).
However, so called administrative data is also available. This kind of data is often
unpublished but it can provide quicker answers to particular research questions
and is rather cost-efficient (Veal, 1997). Saunders (2009) refers to documentary
data, including e-mail correspondence and public data sets, written and non-
written materials, frequently used.
Methodology
36
Secondary data, both internal and external is used to facilitate answering the
research questions, e.g. in form of including, website analysis, and survey
reports. Website analysis was conducted in order to retrieve data about
intermediaries offering social activities during incentive trips. However, there
seem to be relatively less intermediaries in Germany who directly promote
volunteerism as an element of IT on their website, thus it was not possible to
analyse further websites. The type of secondary data used is stated in chapter
four.
3.2.2 Primary Research
There are various data collection techniques available; however, not all
techniques are suitable for the respective purpose of research (Altinay &
Paraskevas, 2008; Ghauri & Gronhaug, 2002). For this research paper,
questionnaires were chosen to collect data. Questionnaires are among the most
popular methods of collecting data (Altinay & Paraskevas, 2008; Ghauri &
Gronhaug, 2002). Furthermore, questionnaires are rather inexpensive (Altinay &
Paraskevas, 2008). Additionally, there are different ways with regard to
questionnaire administration, which are face-to-face contact, postal contact and
online contact (Altinay & Paraskevas, 2008). As with any other method, online
administration has advantages and disadvantages (Altinay & Paraskevas, 2008).
An advantage is that it can be completed quicker than research-administered,
e.g. face-to-face interviews. A significant disadvantage is that responses and
understanding difficulties of the questions cannot be clarified (Altinay &
Paraskevas, 2008).
However, in this case, an online contact was chosen, due to limited resources
such as time and money, because the author was the only person conducting the
research and not capable of travelling to the respondents, as they are
widespread around Germany.
Methodology
37
3.2.2.1 Open-Format Questionnaires
A questionnaire can be used to collect different types of data, such as opinions
(Thomas, 2003), behaviours, attitudes, and attributes (Altinay & Paraskevas,
2008; Ghauri & Gronhaug, 2002). It enables the researcher to find out, for
example people’s perception about a particular subject (Kumar, 2008). The
advantage of the usage of open-format questions is to gather data which are
rich, detailed and variable in content (Altinay & Paraskevas, 2008). It also allows
participants to respond in an unconstraint way and in their own words (Fischer &
Buglear, 2010; Smith, 2010; Bradburn et al., 2004). Therefore, it enables the
researcher to comprehend and capture opinions from others without
predetermining certain points of view or answers, by selecting questionnaire
categories in advance (Patton, 1990; Veal, 1997). Disadvantages are, for instance
the richness of the collected date needs summarizing to reduce the complexity of
the data (Bardburn et al., 2004). Furthermore, open-format questions make the
analysis of the findings more complicated (Altinay & Paraskevas, 2008; Patton,
1990).
Although there are many disadvantages, open-format questionnaires were
chosen, because of the already mentioned advantages: the possibility to collect
rich and detailed data and because of the opportunity for the participants to
answer in an unconstraint way (Altinay & Paraskevas, 2008; Fischer & Buglear,
2010; Smith, 2010). For the purpose of this research, open-format questionnaires
were considered as most suitable, also because there is little contemporary
research done. With reference to the title of this dissertation consisting of
wordings like “perception” and “use”, it becomes obvious that opinions and
attitudes are demanded, thus open-format questions are most appropriate. The
questionnaire is based on the literature review and on the research questions in
order to receive valid data to rejoin the research questions.
Methodology
38
Data was collected by sending out two different standardised questionnaires by
email to the previously contacted company and intermediaries, residing in
Germany who agreed to fill in the questionnaire. The email contained a hyperlink
that held the questionnaire, as suggested in Fischer & Buglear (2010) and Brace
(2008). It is therefore a web-based survey (Smith, 2010). The online survey was
conducted by the software LimeSurvey v1.85 with a self-created survey
template. One type of questionnaire (Appendix A) was sent to intermediaries, in
order to assemble responses to research questions one and two. The other type
of questionnaire was delivered to the company, which is supposed to answer
partly research question three (Appendix B). Although the research focus lies on
the perception and use of voluntary work as an element of incentive travel, the
questionnaire, in particular for the companies was in such a way designed to
allow companies which have not conducted charitable activities on incentive
trips to participate.
3.2.2.2 Sampling
Sampling is a process that involves choosing the right timing, location and people
to send the questionnaire (Smith, 2010). The chosen study population is referred
to as a sample (Smith, 2010). There are a number of sampling concepts available,
which represent either a probability or a non-probability sample (Ghauri &
Gronhaug, 2002; Altinay & Paraskevas, 2008). Sampling enables the research to
“draw conclusions regarding the entire population” (Altinay & Paraskevas, 2008,
p. 89). The smaller number of participants is more time-efficient, less costly
(Altinay & Paraskevas, 2008; Ghauri & Gronhaug, 2002), more accurate, and
manageable since the researcher is able to better control the number of
elements (Altinay & Paraskevas, 2008).
Methodology
39
For all questionnaires a ‘convenience sampling’ method was chosen, although it
is a non-probability technique (Altinay & Paraskevas, 2008; Smith, 2010) and can
be highly biased (Altinay & Paraskevas, 2008). However, it eases the process of
sampling because the selection of participants is determined by convenient
accessibility (Altinay & Paraskevas, 2008; Smith, 2010; Ghauri & Gronhaug,
2002). Furthermore, obstacles, such as time and cost, must be considered
(Altinay & Paraskevas, 2008; Smith, 2010).
Additionally, the method of ‘snowball sampling’ was used after experiencing
difficulties in contacting corporate companies, residing in Germany (section 3.4).
Snowball sampling works well for a small number of potential respondents and is
useful when access to a sample is limited (Smith, 2010). Nevertheless, snowball
sampling is also classified under the category of non-probability sampling
(Altinay & Paraskevas, 2008; Smith, 2010). Furthermore, it is a difficult method to
reach participants because the researcher may be unaware of a network
connection (Jennings, 2010).
With regard to the sampling process, the sample was contacted from April 2011
until August 2011. A sample size of about six companies and six intermediaries
were chosen. Companies that were identified as the major buyers of IT (IRF,
2009; Davidson & Cope, 2003; Roythorne, 2010) were aimed to be reached. In
total, about 480 potential participants were contacted. Finally, one corporate
company agreed to participate. Furthermore, seven intermediaries agreed to act
as respondents. Regarding the intermediaries, there was one person asked to fill
in the questionnaire designed for those responsible for planning/organising
incentive trips for corporate clients. For companies, the person responsible for
planning incentive trips at their company was asked to complete the
questionnaire. Table 3.1 summarises the sample size. More information about
the participants is given in chapter four.
Methodology
40
Name Type of Company Sample Size (in person)
Intermediary 1 Intermediary 1
Intermediary 2 Intermediary 1
Intermediary 3 Intermediary 1
Intermediary 4 Intermediary 1
Intermediary 5 Intermediary 1
Intermediary 6 Intermediary 1
Intermediary 7 Intermediary 1
Company 1 Corporate Company 1
Table 3.1: Overview of survey participants
3.2.3 Pilot study
A pilot study is the testing of a questionnaire prior to embarking the data
collection procedure (Veal, 1997, p. 194). The purpose of a pilot is among other
to test the questionnaire wording, the sequence of the questions and the layout
(Veal, 1997). Blaxter et al. (2010) add that it helps to find out how well the
chosen research techniques and methods work in practice, and as a
consequence, the questionnaire can be modified if necessary.
The first pilot study for the corporate company questionnaire was carried out
with an expert on the incentive travel market. Consequently, the order of the
questions was partly changed as well as a clearer structure was applied, i.e.
simplistic, single questions rather than a mass of many questions in one were
designed to produce a better understandable questionnaire. Additionally, some
questions were modified in order to keep the research focus. Moreover, the
layout was adjusted to make it more comfortable for the participants to read and
write when filling in the survey. The questionnaire for the intermediaries was
designed much later, due to appearing difficulties (section 3.4). The research
instrument was the same as for the other questionnaire. Thus, experiences were
transferred from the first pilot study to the intermediary questionnaire.
Nevertheless, a pilot study was conducted with an expert. As a result, the
content did not need much alteration. However, some questions were added,
some deleted or changed respectively to the research questions.
Methodology
41
3.2.4 Ethical Considerations
Ethical considerations within the field of research have become significant due to
various factors, such as the legislative alteration in data protection (Jennings,
2010; SRA, 2003). Ethical issues also apply to ways of accessing people and
organisations and data collection (Saunders, 2009). Researchers are supposed to
apply an appropriate code of conduct or ethical guidelines of research in order to
protect the rights of human and non-human subjects (Jennings, 2010), i.e. aiming
at doing good and reducing harm (Orb et al., 2000; Saunders, 2009). Researchers
carry the responsibility for their actions that entails “thinking about the
consequences of one’s actions upon others” (SRA, 2003, p. 7). Ethical correctness
when gaining access to participants, using a qualitative method can be achieved
by, e.g. allowing sufficient time, becoming familiar with the sample, and
supplying an account of purpose (Saunders, 2009). Ethical responsibility is an
ongoing process impacting various stages of the research process (Orb et al.,
2000; Sauders, 2009)
For this research ethical issues were considered, for example in terms of
accessing people at the beginning of the research process. Therefore, the author
has made herself familiar with the different people and organisations to contact.
Whether the respective organisations were actually suitable for the survey was
not always predictable. Firstly, survey requests were mostly send by e-mail,
providing a clear account of purpose and requirements. Sufficient time for a
response, about two weeks were mostly given, taking into account their required
time to process the request and holiday periods, before contacting again if
necessary.
Methodology
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3.3 Analysis of Qualitative Data
A qualitative method generates large volumes of data (Patton, 1990; Altinay &
Paraskevas, 2008). “Data analysis is the process of bringing order, structure and
meaning to the mass of collected data.” (Ghauri & Gronhaug, 2002, p. 137). In a
more precise way, Altinay & Paraskevas (2008, p. 167) state that “qualitative
data analysis is the conceptual interpretation of the dataset as a whole, using
specific analytic strategies to convert the raw data into logical description and
explanation of the phenomenon under study”. Different procedures exist for
analysing and interpreting the collected set of data (Patton, 1990; Jennings,
2010). However, there is the danger of overdoing the coding process, what may
lead to a quantitative paradigm (Jennings, 2010) as well as errors can occur
(Altinay & Paraskevas, 2008).
For this purpose, a thematic analysis was employed. “The interactive nature of
analysis allows recognising important themes” (Sauders, 2009, p. 488) emerging
through data analysis and subsequently organising them (Holliday, 2007). “The
formation of themes represents the necessary dialogue between data and
researcher, which emerges from and then helps to further make sense of the
data, and then to provide a structure of writing” (Holiday, 2007, p. 94). As with
the analysis of quantitative data, there are computer software programmes
available to facilitate the analysis of qualitative data (Ghauri & Gronhaug, 2002;
Miles & Huberman, 1994). The themes in this research arose from the raw
questionnaire data, which were, however manually organised and theme
headings given in relation to the respective research questions. Secondary data
was also analysed according to emerging themes.
Methodology
43
3.4 Limitations
Due to the low response rate and the applied research instrument, the results
cannot be treated as representative, nor are they generalisable. As the author
was the only person researching, only a limited number of intermediaries and
companies could have been selected. Besides that, temporal limitations
occurred, which made it impossible to contact a greater number of participants.
Initially, for this research the focus was set to investigate companies and their
employees. Due to a low response rate, those, who denied participating, did so
due to time or resource constraints, no interest in this research topic or because
incentive travel for employees is not a component in their company.
Additionally, often specific internal company guidelines disallow participating in
external surveys. As a result of the low response rate, the designed
questionnaire for the employees had to be omitted. Due to this, alternative ways
of getting data were necessary. Thus, collecting data through intermediaries has
broadened the focus of the research.
Lack of conducted research and information for this topic on the German market
aggravated secondary data collection and specific research findings. Financial
issues also affected the choice of method, thus questionnaires were only carried
out online and not face-to-face, that may have had implications in data
collection. Finally, collected data was translated from German to English, thus,
errors in meaning may have occurred.
Results
44
4 Results
The following chapter presents the findings from primary as well as secondary
research. The subsequent sub-section reflects the research questions which shall
be rejoined, corresponding to emerged themes during data analysis.
Primary research information about the respondents from the intermediary
survey is summarized in Table 4.1 and Table 4.2. The type of agency as perceived
by respondents is stated in Table 4.1 and additional information in Table 4.2. This
information applies also to research question one and two.
Even
t A
gen
cy
Ince
nti
ve T
rave
l Ho
use
Des
tin
atio
n M
anag
eme
nt
Co
mp
any
Pro
fess
ion
al C
on
fere
nce
Org
anis
er/
Mee
tin
g P
lan
ner
Gro
un
d H
and
ler
Des
tin
atio
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arke
tin
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Org
anis
atio
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Tou
r O
per
ato
r w
ith
Ince
nti
ve D
epar
tmen
t
Intermediary 1 (I1) X X X X
Intermediary 2 (I2) X X X X X X
Intermediary 3 (I3) X X
Intermediary 4 (I4) X1 X X
Intermediary 5 (I5) X X
Intermediary 6 (I6) X
Intermediary 7 (I7) X X
Table 4.1: Type of agency as perceived by respondents
1 Incentive Travel Ship
Type of agency as
perceived by respondents
Intermediaries
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45
Figure 4.1: Overview of respondents from intermediaries
Primary research information about the corporate company from the company
survey and the respondent is summarised in Table 4.2, applying to research
question three.
Type of company Pharmaceutical and biotechnological company
Location Global headquarter in the USA and internationally represented in several countries, including Germany
Respondent position in the company
Manager of the Congress Management and Public
Respondent age 42 Respondent’s gender Female
Table 4.2: Overview of respondent from corporate company 1
46 45 44 45
3432 31
0
5
10
15
20
25
30
35
40
45
50A
ge [
year
s]
Male Female
Co
-ow
ner
/Sh
areh
old
er
Pro
ject
lead
er
Ow
ner
MIC
E M
anag
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Ow
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Pro
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lead
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Pro
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lead
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Secondary research data, both internal and external for research question one
and two is presented Table 4.3 and Table 4.4. The internal data received from a
German intermediary, preferred to remain anonymous.
Internal secondary data
Name of intermediary: Intermediary in Germany (Anomy)
Type of source: Power Point Presentation
Citation: (BUSINESS & NATURE, NA)
Table 4.3: Internal secondary data for research question one and two
External secondary data
Name of intermediary: BUSINESS & NATURE GmbH
Type of source: Website
URL: http://www.business-nature.de
Location of intermediary: Munich, Germany
Citation: (BUSINESS & NATURE, NA)
Name of intermediary: Hirschfeld Touristik Event GmbH & Co. KG
Type of source: Website
URL: http://www.hirschfeld.de
Location of intermediary: Erfurt, Germany
Citation:
(Hirschfeld Touristik Event GmbH & Co. KG,
2000-2011) and (Hirschfeld Touristik Event
GmbH & Co. KG , NA)
Name of intermediary: Zeitwandel - Travel & Charity Movements
Type of source: Website
URL: http://www.zeitwandel.net
Location of intermediary: Oberstaufen, Germany
Citation: (Zeitwandel, 2011)
Table 4.4: External secondary data for research question one and two
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External secondary data for research question three is represented in Table 4.5.
It has to be acknowledged that two studies (IMEX, 2007 a; IMEX, 2009) are not
solely representing the German market. It is rather an EU cross-country survey
but with strong responses from Germany.
External secondary data
Name of secondary data Market Analysis of Incentive Travel in Germany
Citation: (Kirstges, 2001)
Name of secondary data 2010 Study of the German Incentive &
Motivational Travel Market
Citation: (Site, 2010 a)
Name of secondary data
How German and International Buyers View
Meetings and Incentive Travel Options in
Germany - A New Poll by IMEX
Citation: (IMEX, 2007 b)
Name of secondary data Site – Incentive Travel Factbook 2007: Pan-
European Resport
Citation: (IMEX, 2007 a)
Name of secondary data Site – Incentive Travel Factbook 2009: 5th
Annual Pan-European Report
Citation: (IMEX, 2009)
Type of source: Report
Name of secondary data Corporate Volunteering in Deutschland (CV in
Germany)
Citation: (Müller & Stahl, 2011)
Table 4.5: External secondary data for research question three
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4.1 Research Question One
The first research question was formulated as follows.
How do selected intermediaries in Germany use voluntary work as an
element of incentive travel in relation to planning/organising incentive
travel for their corporate clients?
4.1.1 Primary and Secondary Data Results
Differences between Companies
Differences between companies are related to differences between German
companies and international companies, residing in Germany. Questions were
continuously asked to whether the survey participants perceive differences
between the mentioned types. Respondents did not perceive significant
differences affecting the use of volunteerism during IT. Only I5 referrers to
project issues and states “depending on the company’s domicile abroad, projects
can be of interest, which are unattractive for Germany as arrival and departure is
different”.
Demand
The demand theme is related to both the industry sectors, where companies,
who use incentive travel, come from and from which divisions’ IT participants
come from resp. the job ranking that was listed. This is presented in Table 4.6.
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Industry Sectors Participants
Automotive (I1, I2) Sales force (I1)
Auditing (I1) In case of automotive: customer service employees (I1)
Publishing (I1) Middle Management (I2, I3, I6)
Trade (I1) Upper Management (I2, I3, I6)
Pharmacy (I2) No limits, depending on the company’s structure (I5)
Medical (I2) “Normal” employees (I6)
Financial Institutions (I6) Executive boards (I1, I6)
Insurance Companies (I6) All areas (I7)
Service Provider (I6)
Diverse Industries (I3, I4, I5, I6, I7)
Table 4.6: Demand by industry sectors and incentive travel participants
As there were no differences visible between German companies and
international companies, it was not further divided.
Experiences
With reference to executing incentive trip with elements of voluntary work,
some respondents have either no experiences due to no enquiries from
companies (I4), or have made an attempt at offering incentive trips with
voluntary work towards corporate companies, though with negative response
from corporate clients (I1,I2). Intermediary 2 for example states: “’Good idea, but
we are not allowed to do it’. This is the almost stereotype answer, which we
received from national clients as we have offered a project in cooperation with a
foundation.” I5 has just started her business in 2011, thus has not a lot of
experiences but “sees not a big difference to ordinary incentive trips as in
cooperation with the regional Destination Management Company everything will
be planed and organised in detail”.
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I6 has had experiences with it and states “despite great interest by clients, the
organisation of such events/incentives is pretty difficult, as the recipients (e.g.
social associations, kindergartens) of such achievements are often disapproved of
executing an event”. I7 has also had experiences in executing CSR activities on
incentive trips, such as “building a playground for disabled aid organisation and a
football pitch for youth institutions”. In addition, when integrating CSR activities
they “were usually conducted for half a day until maximal one day (out of three
to four days). Until now the results were always positive. The participants return
and talk about the CSR activity first and not about the five-star hotel” (I7).
Secondary data findings show that German intermediaries have experiences with
volunteerism during IT. Nevertheless, experiences seem to be limited due to the
small number of identified websites. Table 4.7 shows these examples.
Examples on Experiences
A trip to South Africa was executed for 200 managers of an international
pharmaceutical company in 2010. On one day, the managers were divided into
15 groups, i.e. projects were they have cooked meals for 6000 children, built
two play grounds and a basketball court. Additionally they have worked out
marketing strategies in workshops in cooperation with the aid organisations on-
site, visited HIV-Hospices and installed a solar and battery-powered night-time
illumination at the community centre. (German Intermediary, NA)
A house constructing trip to Poland, i.e. building houses for unprivileged, low-
income people living in poor housing situations domestically and international in
cooperation with a non-profit organisation, namely ‘Habitat for Humanity e.V.’
Such a trip was executed for Daimler Financial Services, headquartered in
Germany. (Hirschfeld Touristik Event GmbH & Co. KG, NA)
Zeitwandel (2011) offers for example an incentive trip to Madagascar in co-
operation with the non-profit organisation “Madagaskar und Wir e.V.” engaging
in projects to overcome social problems at the destination, regarding education
and health.
Table 4.7: Examples of secondary research results on experiences
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Types of Social Commitment
When it comes to the type of social commitment, which companies might prefer
I1 names social commitment “with local reference to subsidiaries or factories”,
while I2 claims donations, because “they are easy to contrive, and additional
value in terms of marketing is very high when properly communicated”. I5 refers
to “support for children, education, and involvement in problem cases, e.g.
drinking water and in development, e.g. help for self-help.” I6 states that “many
would like to do something with humans, especially for children, for example
facilitating a climbing tower for a kindergarten or renovating an orphan home”.
I7 names also working with children. Additionally, “ecological projects are in the
ascendant, e.g. cleansing a piece of woodland or planting a new forest plantation
area” (I6).
Yearly Number of Incentive Trips
The average number of conducted incentive trips per year is summarized in
Figure 4.2 to Figure 4.5. Hereby, categories were developed in order to see a
difference between German and international companies in Germany. These
categories are respectively incentive trips without voluntary work and incentive
trips including voluntary work.
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Figure 4.2: Average number of incentive trips without voluntary work executed by German Intermediaries for German companies
Figure 4.3: Average number of incentive trips including voluntary work executed by German Intermediaries for German
12.55 3
150
0
> 150
10
0
20
40
60
80
100
120
140
160
I1 I2 I3 I4 I5 I6 I7
Nu
mb
er
of
Ince
nti
ve T
rip
s
Intermediaries
Number of incentive trips without voluntary work for German companies
0 0 0 0 0
5 5
0
2
4
6
8
10
I1 I2 I3 I4 I5 I6 I7
Nu
mb
er
of
Ince
nti
ve T
rip
s
Intermediaries
Number of incentive trips including voluntary work for German companies
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Figure 4.4: Average number of incentive trips without voluntary work executed by German Intermediaries for international companies in Germany
Figure 4.5: Average number of incentive trips including voluntary work executed by German Intermediaries for international companies in Germany
12.55 1
100
> 150
5
0
20
40
60
80
100
120
140
160
I1 I2 I3 I4 I5 I6 I7
Nu
mb
er
of
Ince
nti
ve T
rip
s
Intermediaries
Number of incentive trips without voluntary work for international companies, residing in Germany
0 0 0 0 0
5
2
0
2
4
6
8
10
I1 I2 I3 I4 I5 I6 I7
Nu
mb
er
of
Ince
nti
ve T
rip
s
Intermediaries
Number of incentive trips including voluntary work for international companies, residing in Germany
Results
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Incentive trips with an element of voluntary work were rarely executed for
German companies and for international companies, residing in Germany. Only
intermediary 6 and 7 have made use of CSR activities as an integral part of IT,
about five trips per year. Intermediary 5 has not executed incentive trips yet, as
she started her business in 2011. Intermediary 6 has stated that they mediate
1600 incentive trips per year to their external partner for whom they promote
and consult IT. Therefore, the represented numbers in Figure 4.2 and Figure 4.4,
shows >150 for both German and international companies residing in Germany.
Additionally, they do not distinguish between German companies and
international companies, residing in Germany, therefore the numbers given are
taken as an average for both.
Duration
Despite the fact that some respondents had no experience in the actual
execution of voluntary work as an element of IT, they only assume the average
duration of such trips. These assumptions vary between two and three days.
According to I1, “the trip might not be longer with CSR activities”.
Intermediaries with experiences have a different view on duration issues. I5
declares that due to her alleged knowledge incentive trips with voluntary work
“can last from five days to two weeks. However, criterion such as time of arrival
and departure, the types of projects/ the work that can be made with regard to
the NPO must be considered. Furthermore, the demand of the company, i.e. how
strong is their desire for integration and how much time can the company with
their employees invest should be taken into account. Depending on criteria
considerations, a difference to ordinary incentives exist, or even not”. I6 states a
duration of “one day but rather for teambuilding activities. Travels abroad for
multi-day project are usually longer in duration than “ordinary” incentive trips,
lasting at least one week, otherwise three to four days”. I7 states that the
“duration is mostly restricted to three to five days, no matter CSR is integrated”.
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Websites of Intermediaries (Hirschfeld Touristik Event GmbH & Co. KG, 2000-
2011; Zeitwandel, 2011) show that incentive trips with elements of voluntary
work last four to five days at least. Another trip was executed within three days
to South Africa (BUSINESS & NATURE, NA).
Role of and Preferred Destinations
The importance of selecting a destination by companies when considering
voluntary work as an element of the trip could not have been directly answered
by some intermediaries due to a lack of experiences. I1 thinks that “it certainly
depends on the specific client requirements”. In contrast, the experienced I7
declares: “Independent from the destination, there are always institutions one
can support.” I2 believes that in general the distance to the destination is
important and states “as little time difference as possible, already three hours
(Emirates) could be too much. Arrival “over night” is better than losing a
workday”. However, I5 states “that it plays a role in terms of whether the
destination is a developing country, an area of conflict, whether infrastructure is
available in such countries, as well as it depends on arrival and departure time”.
Experienced I6 believes that “it depends on the duration of the planed event
(one-day, multi-days and more). The greater the time-budget the further away
the destination can be. The budget plays a role here, as arrival is often a great
element of the costs, particularly by air journeys. Of course, good accessibility
should be given, because participants will otherwise spend too much energy on
that being absent during the event”.
Additionally preferred destinations by corporate companies were stated by the
surveyed intermediaries, differentiating German (Figure 4.6) and international
companies residing in Germany (Figure 4.7).
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Figure 4.6: Preferred destinations by Germany companies
Preferred destinations by German companies
"No specific ones, there are no real trend destinations
currently" (I1). "Southern Spain. South
Africa, because most
flights are over night" (I2).
"Not far away and safe" (I3).
"We do only offer Oslo/
Norway" (I4)
"Brasil and South America are in fashion"
(I5).
"Germany" (I6)
"Europe & Africa" (I7)
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Figure 4.7: Preferred destinations by international companies residing in Germany
Preferred destinations
by international companies in
Germany
"No specific ones, there are no real
trend destinations currently" (I1).
"Germany itself, because our clients
“must” show the own facilities as a
mandatory component to the
flown in employees" (I2).
"Norway" (I4)
"I have no experiences yet"
(I5).
"To date Germany. A reason may that
most group enquiries come
from those whose employees are
working in Germany." (I6)
"Europe, USA & Africa" (I7)
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4.2 Research Question Two
Research question two was formulated as follows:
How do selected intermediaries in Germany perceive voluntary work as an
element of incentive travel in relation to planning/organising incentive
travel for their corporate clients?
4.2.1 Primary and Secondary Data Results
Trend Awareness
Some respondents are negatively aware of the increasing trend to social
commitment during incentive trips both, in Germany and in their own
organisation. Though, a distinction has to be made here. Some respondents are
very low until not aware of this trend in Germany in general (I2, I3, I4, I6). Others
than do perceive this trend in their own organisation, negatively and positively,
usually depending on whether they have had experiences (I2, I5, I6, I7). Reasons
for their perception and other opinions are given as follows.
I2 does not perceive this trend at all in Germany because “the incentive market in
general stagnates on the same level, contentwise and financially for about five
years. Incentives in general are always difficult to sell, due to strict internal
guidelines (compliance rules) which make incentives look like bribe. Additionally,
the pharmaceutical code contributed to the stagnation of the incentive market.
Today, incentives are more one-day activities rather than real travels”. I6 has not
perceived this trend in Germany yet but at her workplace. She has not “seen any
kind of advertisement, medial reports or the like” but thinks that “integrating
voluntary work within the context of incentive travel is a very welcome trend”. In
contrast, I5 perceives this trend as very strong as she has specialised in charity
incentives and events only. Thus for her “volunteerism, also called corporate
volunteering is the trend in general. An increasing trend is noticeable, especially
in the media, as more companies have recognized that the customer’s purchase
decision strongly depends on the perceived product image, and what could be
more meaningful and honourable than espousing lasting social legacy. Although,
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the concept of voluntourism in relation to incentive travel is not yet really
adopted by German companies in comparison to the USA and UK, where more
implementation has been made in this area” (I5).
With regard to the trend awareness within their own organisations, I2 states that
“90% of the executed incentive trips at our house come from none-European
countries to Germany. This may be a reason why the total market number
stagnates but not declines. In my opinion, for German enquiries the
regressiveness counts. Example: Since four years, we have been executing an
incentive trip for a German automobile manufacturer to Germany, who invites
customer and employees from South Africa and Namibia – the budget increases
every year. At the same time, a foundation shares the office for which we tried to
finish and sell incentive trips including voluntary work. Not a single German
company has used this possibility – compliance rules have made this impossible”
(I2). In contrast, I6 declares to perceive this trend as “very positive because in
recent years the demand for social events is consistently noticeable. Many of our
partner agencies have therefore re-designed concepts, suitable to this subject. A
reason for this could be that companies, who regularly conduct incentive facing
the question, with what else can we motivate our employees. A social project
represents an accomplished change above other fun-emphasising event
conceptions”. I7 as well observes that “within the last two years, we can sell this
topic better to our clients as events become increasingly sustainable and are
meaningfully designed”.
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Sustainability and Significance Perceptions
Opinions towards sustainability and the significance of volunteerism during
incentive trips vary again. I1 is rather critically attuned towards this issue
declaring “when we conceive voluntary work in terms of CSR activities, then it
only makes sense if there is a story or provable connection to or from the
company. Normally, the trips have a motivational function, independent whether
they are rewarding or encouraging. This must also be applied for CSR-Programme
elements, which in some cases, certainly can be attributed to a high motivational
function. Nevertheless, it needs to fit to the self-conception of a company and it
should not stay by the CSR activities during the journey”. Additionally, I1 makes
clear with an example that it depends on the type of CSR activity whether the
work is sustainable. He states that “playing football in South-Africa with
Township-children or planting trees somewhere and then vanishing is pointless”.
In addition, I2 mentions that voluntary work as an element of incentive travels is
“generally a good cause, however, we do not see any potential” and does “not
see longevity in the market for this niche topic”. Another issue of incentive trips
and voluntary work is that “in theory, an incentive with voluntary work is more
sustainable. De facto, for the clients, the sustainability in the sense of a positive
memory, prevailing for those employees who participate, is more important”, as
believed by I2.
Other views are related to the significance that such trips have to intermediaries.
I2 states: “Certainly, volunteering is an added value, but it cannot be seen as truly
“voluntary”, because it is linked to the purpose of the incentive.” In contrast, I5
claims that “depending on the design of the concept it can make a positive
impression and it can awaken interest. Engaging in voluntary work during an
incentive trip in order to convey as a company ‘social responsibility’ towards
employees makes very much sense in a time when there is an increasing question
of meaning and sustainability”. I7 states: “Many wonderful destinations on earth
are unfortunately not as blessed as western countries. Therefore, we always try
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to integrate the CSR thought in the complete concept. At the end of the day,
there are only winners, some are happy about the help and the rest leave the
destination with a good conscience and the feeling to have made the world a
little better!”
Greenwashing
Greenwashing is the overall term used that describes companies who declare
CSR activities without foundation. I1 perceives that voluntary work as an element
of IT is related to greenwashing. He states: “When we conceive voluntary work in
terms of CSR activities, then it only makes sense if this is not understood as an
alibi-programme. Though, unfortunately, this is the case by the majority of whom
you read. CSR measures are especially important for the companies and
customers own awareness. In the least cases it is correctly lived. I assume that
essential parts of the implemented programmes are pure pseudo programmes.
It behaves exactly as with the CO² compensation for air travel. 95% of this extra
money is not spent by the companies - it is also a growing segment with high alibi
potential.”
Benefits
There are perceived benefits which relate to both companies and intermediaries.
Due to a lack of experience, not all respondents were able to precisely state
benefits of incentive trips with volunteer character. However, some respondents
attempted to make assumptions and to give an opinion.
I6 states that “it is a different way to motivate employees, so they can do
something good and at the same time improve team work because they come
together at a different level than in everyday work”. A secondary data result
shows that CSR activities in corporate events, including incentives trips indicates
sustainability, emotion, and endowment with meanings, positive image, as well
as joy and authenticity for all involved (BUSINESS & NATURE, NA).
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Intermediaries assume that incentive trips and voluntary work have the following
advantages for themselves. I2 states “as an incentive trip with voluntary work is
longer in duration, theoretically, it increases, as well theoretically the mediated
services and therefore the achieving margin”. I7 has a different opinion. “For us it
was always important to give something back to the locals and we are happy
that this has reached the “mainstream“. It is not about earning money, but rather
about making the world a little bit better. This is a great advantage for us!” I5
believes that “if one is capable of acting as an intermediary, i.e. capable of
empathy, one can develop a network through the requisite knowledge, and from
this all parties can benefit”. I6 sees advantages for “extending its portfolio,
fielding new idea and in doing so contributing to social commitment”.
Risks/Issues
Intermediaries perceive risks and other issues for the companies and for
themselves when considering voluntary work during incentive trips. An issue or
risk for companies is highlighted by intermediary 2: “In my experiences, duration
and cost of such a travel do not stand in any relation to the desired sustainable
effect. An example: For the foundation, we cooperate with; we generate
donations by corporate clients, for whom we execute incentives. Cynically spoken,
one makes a donation which was a sop to his bad conscience, when sending
employees on an incentive trip.” I5 mentions possible issues in terms of “arrival
and departure conditions, also visa requirements. For example, a project in the
north of Argentina with a travel time of 24 hours, whereby people need to change
twice is not attractive for German companies”. Additionally, “projects in
developing countries are not rare, regardless of the poor infrastructure. In some
cases it is a matter of areas of conflict. Some risks exist in executing the trip” (I5).
Similar is I7’s perception stating “frequently, there are concerns about
participants’ safety and when the client is confronted by it the first time; one
fears that the ‘good mood of the trip’ will be disturbed, because one works with
“serious” topics. This appraisal, however, always changes to the opposite; the
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participants are enthusiastic before the project and are proud of the
achievements afterwards”.
With regard to potential risks and issues for the intermediaries own organisation,
I1 declares that “the impacts are indistinguishable and that the programme has
consequently failed”. While, I2 states: “If we had still been offering incentives
with such content, we would not have executes incentives at all, with great
certainty. So, there are at least a few, but on a consistent level in terms of
number and budget.” I5 sees no risk or issues for his company saying that “one
can only win as a good mediator”. Furthermore, “high costs due to great
organisational efforts, partly even higher cost through material input and
unreadiness by providers of embarking in such projects” is perceived as a
problem or risks by I6. “The recipients (e.g. social associations, kindergartens) of
such achievements are often disapproved of executing an event. There is a lack of
decisiveness by the providers (NPO) as they are concerned that the normal work
activities can be disturbed” (I6). I7 refers to “freeloaders, using this trend as a
business model, which has nothing to do with CSR anymore”. Additionally,
“companies have different mentalities and different ethical codes of conduct. One
needs to find a balance between the project and the sensitivity of the
participants. One should never offer projects which are not suitable for the target
group” (I7).
Changes in Age in Relation to the Programme Design
This theme is related to whether the respondents perceive a change in the age of
the participants; consequently whether they perceive that a change impacts the
programme design of incentive trips. Some respondents state that the German
society becomes increasingly older (I2, I3). The content of an incentive trip itself
seems not to be effected but the quality. I2 states that “our society becomes
older. Therefore the average age of our incentive guests increases. At the same
time, incentives are offered mostly to the middle and upper management.
Consequently, the quality of the executed incentives at our house increases”. I1
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does neither perceive a change in the participants’ age nor in the programme
design. “Fellow passengers range from middle twenties to end forties, in fewer
cases above. It always depends if the directors board or management board join
the trip.” I6 does also not observe a change because “there are often mixed
groups of different ages”. Contrary, I5 claims that “certainly, in the area of
corporate volunteering more young people will participate as the
accommodation and conditions at the destination are normally not very
comfortable and older people are entitled to it”. So I7 asserting that “at the
moment the participants are becoming again younger, what makes it easier to
integrate CSR projects”.
4.3 Research Question Three
Research question three was formulated as follows.
How does the German incentive travel market perform for corporate
companies residing in Germany, including issues of voluntary work as an
element of incentive travel?
4.3.1 Primary Data Results
Incentive Travel Participant Information
The surveyed respondent company 1 (C1) offers one incentive trip for their field
sales force yearly, whereby ten employees participate out of 100 employees,
who compete about the trip internally. Those who won the incentive trip are 35
years old on average.
Trend awareness and Experiences
The respondent does neither perceive voluntary work as an element of IT as an
increasing trend in Germany nor in the company. As a consequence the
respondent has had no experiences in executing voluntary work during incentive
trips. She perceives incentive trips as follows: “The trip should be a reward for
performances and should not include additional work.” As a result, the
respondent could not reflect any implications for the company neither internal
Results
65
nor external. According to the survey participant, the main purpose for offering
incentive trips to their field sales force is to “achieve sales targets”.
Destinations
The respondent states that “India, Africa, and South America” are preferred
destinations for incentive trips in general. The choice of destinations is not
determined by the possibilities of voluntary work.
Corporate Social Responsibility
C1 possesses a CSR guideline, which is only available to the companies’ staff.
However, according to the respondent, the CSR-Strategy “has nothing to do with
incentive trips”. The respondent does not know the ISO 26000, which shall be a
guideline for all kind of organisation when applying SR practices.
4.3.2 Secondary Data Results
German Incentive Travel Buyers
Most IT buyers are from the banking, finance, insurance, pharmaceutical,
medical, chemical and Information Technology sectors, as well as from the food,
beverage, tobacco and trade sectors (Site, 2010 a). Additionally, Kirstges (2001)
identified German IT buyers from the service, and manufacturing sectors.
Type of Incentive Travel Participants and Objectives
German companies offer incentives predominantly to sales and marketing staff,
followed by dealers and then non-sales employees, as return on investment is
expected when offering incentive travel programmes for sales/distribution
employees rather than for other stakeholders, e.g. customers and partners
(Kirstges, 2001). “A notable trend is the emphasis being placed on introducing
incentive rewards to staff working in administrative roles and whose contribution
to corporate profit might lie more in generating business ideas or suggesting
cost-cutting and efficiency-boosting measures” (IMEX, 2007 a, p. 1).
Results
66
In Germany, IT is primarily used for staff motivation aimed on future
performance (Kirstges, 2001). Furthermore, IT is used to reward employees,
motivate staff, to improve performances, for further education of employees,
and for sales promotion to increase in sales (Site, 2010 a). Travel incentives in the
German market are identified as long-lasting and memorable, more effective,
and more eventful and special (Kirstges, 2001) than other types of incentives,
although German companies are novices to the use of incentive travel in
comparison to U.S companies (Kirstges, 2001).
Destination Preferences
German companies prefer travels within Europe and in Germany (SITE Germany,
NA, cited in Kristges, 2001; Site, 2010 a). At present, 52% of German incentive
trips are domestic, while 48% are organised and held abroad (Site, 2010 a).
Incentive trips within Germany are chosen because of the predominantly
advantages which are proximity, ease, safety (Kirstges, 2001) and reliability
(IMEX, 2007 b). The disadvantages are among others perceived bad weather and
the lack of attractiveness due to familiarity (Kirstges, 2001). European
destinations, such as France, Austria, Spain, Great Britain, and the
Mediterranean as a cruise destination are preferred (Kirstges, 2001).
Duration
Figure 4.8 summarizes the preferred duration time of incentive trips in Germany,
domestically and outbound. Hereby, two studies (Kirstges, 2001; Site, 2010 a)
were taken. The respective numbers from each study were recalculated
correspondingly to receive figures for single days. Thus, two numbers from
Kirstges (2001) study were excluded as they were uncooperative with numbers
from the Site (2010 a) study2. However, both studies highlight a trend towards
incentive trips including weekends, not interfering with the work week. The
figure clarifies what both studies found out – preferred travel duration lies
2 The two omitted numbers reflect a low response rate; 13% take participants on an incentive trip
for 2-3 days during the week, and 4%, 4-6 days at weekdays.
Results
67
between two and three days, favoured over the weekend. Companies prefer that
their employees spend less time out of the office, although the trips are primarily
meant as a reward (Site, 2010 a). The staff also has individual obligations, and
therefore, do not want to spend too much time travelling (Site, 2010 a). The
number of trips longer than four days is decreasing (Kirstges, 2001). Shorter
distances and fewer days appear to be a trend (IMEX, 2007 a; IMEX, 2009; Site,
2010 a).
Figure 4.8: Duration of incentive trips in Germany
Source: Own illustration, according to Site (2010 a) and Kirstges (2001)
5% 5%
77%
10%3% 0% 0%
10%
29% 29%
9% 9% 9% 6%
0%
20%
40%
60%
80%
100%
> 1 day > 2 day > 3 day > 4 day > 5 day > 6 day > 7 day
Per
cen
tage
of
resp
on
den
ts
Duration
Site (2010 a) Kirstges (2001)
Results
68
Number of Incentive Travel and Participants
On average, about 15 incentive trips per year are organised by the corporate
sector, although most companies offer four to nine trips in Germany (Site, 2010
a). Kirstges (2001) study shows that companies offer one to four incentives per
year contingent on the target population in Germany.
With regard to numbers of participants of incentive trips, there are various types
of formats within the different sectors. Most incentive trips have an average
attendance of 20 to 49 participants and almost as much have an average
attendance of 50 to 99 participants (Site, 2010 a). Kirstges (2001) found out that
on average 10 to 105 participants are present at incentive trip, depending on the
target group. In the context of these numbers, it is also mentioned that Germany
has always been a strong producer of smaller incentives with up to 100
attendants (Site, 2010 a). However, within the banking, finance, insurance,
pharmaceutical, medical, chemical, and automotive sectors there are also
incentive trips with more than 250 participants (Site, 2010 a).
Incentive Travel Trends
The economic condition has had an effect on the IT market in terms of a decline
in business over the past years but the situation tends to recover (Site, 2010 a;
IMEX, 2009). The economic climate in Germany has grown by 3.6 percent in 2010
after a GDP decrease of 4.7 percent in 2009, in the context of the financial crisis
(Sadrozinski, 2010). However, due to current global economic conditions, the
German market is also slightly affected, although it is not perceived to fall in a
recession; economy is expected to grow by 3% in 2011 (Kaiser, 2011).
A trend appears in terms of including conferences, meetings, team-building
activities and round-table discussions in IT programmes (IMEX, 2009; Site, 2010
a; IMEX, 2007 a), “so called ‘meetcentives’ or hybrid conference and reward
programme” (IMEX, 2009). This seems to have specific tax reasons in Germany
(Kirstges, 2001; Site, 2010 a; IMEX, 2009).
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69
Furthermore, the content of incentive trips in the future will include less leisure
and more training and education (Site, 2010 a). Lifestyle matters, such as health,
food, sports will influence the programme design. Moreover, originality (novelty)
of programmes will be more important (Site, 2010 a; IMEX, 2009). Additionally,
buyers will desire more value and quality for less money. Increasingly shorter
trips were already mentioned within the ‘Venue Preferences and Duration’
theme.
Sustainability becomes increasingly relevant in IT considerations for both
environmental and social issues (Site, 2010 a; IMEX, 2009; IMEX, 2007 a).
Corporate Volunteering in general is a significant aspect for German companies,
although the study does not specifically name CV as parts of an incentive trip
(Müller & Stahl, 2011). However, it is mostly requested by employees and aims
on for example enhancing the work climate and corporate culture, team and
social skills, and performance motivation (Müller & Stahl, 2011). The Pan-
European Report (IMEX, 2009) found out that CSR activities are demanded by IT
earners. Although it is not strongly demanded – position eight out of eight from
given categories. “Reported socially responsible initiatives have included ‘helping
a children’s home in South Africa’” (IMEX, 2007 a). However, Site (2010 a) states
“social legacy projects are of importance but are not perceived as important as
we might think due to the general media discussion about these topics”.
Discussion of Findings
70
5 Discussion of Findings
This chapter aims to discuss the findings from primary and secondary data
analysis linked with the literature review. The findings are discussed in relation to
the developed research questions.
5.1 The Use of Volunteerism as an Element of Incentive Travel by
Selected German Intermediaries in Relation to Organising Incentive
Travel for Corporate Clients
Regarding the focus of this paper, i.e. taking companies into consideration with a
national and international headquarter; intermediaries hardly perceive any
differences with reference to volunteerism and IT, which may be of critical
importance when executing such incentive trips. It seems that companies are
treated as alike no matter their main branch office. Nevertheless the fact of
having a company office abroad proved relevant. Subsequently other
destinations may be of interest, which may not appeal to German companies due
to already discussed challenges and problems, e.g. duration time. The literature
by contrast shows distinctions in terms of using CSR standards, depending on
their main place of business (Matten, 2005).
With reference to the demand, intermediaries have listed several industry
sectors from where buyers come from. Those are similar to the major buyers
stated by Davidson and Cope (2003), IRF (2009) and Roythorne (2010). It appears
that German buyers of IT products are from all kind of industries, including
service providers, trade, publishing and auditing. These were not part of the
major IT buyers listed in the literature review, but identified by secondary
research on the German IT market. Regarding the participants of incentive trips,
it appears that to all kind of employees IT is offered to motivate and reward
them in Germany, from “normal” employees, to sales-force, various
management levels and executive boards. Even though most authors agree that
IT is undertaken by the company’s sales force (Gaia, 2008; IRF, 2008; Davidson &
Discussion of Findings
71
Cope, 2003; Shinew & Backman, 1995), all other employees are increasingly
considered for incentive trips (Peltier & Dahl, 2011; Joppe et al., 2002).
Some surveyed German intermediaries have had no experiences in executing
incentive trips with volunteer character, resulting from the perceived disinterest
by companies relating to both, no enquiries and denials when offering such
options to companies. This is also visible in Figure 4.3 and Figure 4.5 showing the
conducted average number of incentive trips by intermediaries. Only
intermediary 6 and 7 are involved in actually organising incentive trips with
voluntary work. The otherwise relatively small numbers of incentive trips in
Figure 4.2 and Figure 4.4 reflect the average number of executed incentive trips
in Germany, according to secondary research findings (Site, 2010 a; Kirstges,
2001).
Intermediaries, who have had experiences, name also obstacles, which are
discussed in section 5.2. However, they have experienced such trips very
positively based on the outcomes. They executed a variety of incentive trips with
different CSR activities, comparable to the literature (Davidson, 2010 a;
Davidson, 2010 b; Gatehouse, 2009). Nevertheless secondary data results
demonstrate that also German intermediaries have made use of such IT
programmes, even though there seems to be only a few in the market, having
established a focus and market position on these activities for corporate clients.
In the literature it is stated that there is a wide range of CSR activities possible
(Lenhart, 2008; BDA, NA; Bertelsmann Stiftung, 2010). Therefore, survey
intermediaries have very different opinions regarding favoured types of social
commitment, for example donations, education and development projects.
Secondary data results show as well various projects, e.g. constructing a house,
developing marketing strategies for the local NPOs, and building playgrounds are
on offer or already executed. These are similar to examples given in the
literature (Gatehouse, 2009; Davidson, 2010 b). The choice of project depends
Discussion of Findings
72
on the specific client requirements with regard to time issues, budget, type of
participants and other considerations, also agreed by Site (2010 d).
Duration issues appears to be a critical aspects when considering volunteerism as
an element of IT on the current state of the German IT market in general. The
latter is further discussed in section 5.3. By intermediaries, duration of incentive
trips with CSR activities is perceived and used very differently as a result of their
level of experiences. A clear preference/trend is not visible. This may be due to
diverse client needs and requirements. Generally, according to primary and
secondary data results it could be stated that incentive trips without voluntary
work last two to three days. Whereas incentive trips with voluntary elements
appear to be longer in duration, at least three days, usually four to five days and
even much longer. Whether or not an incentive trip should be during the week
or during weekends is not stated by intermediaries but addressed in section 5.3.
Contrary to such duration times are incentive travel trends (Alonzo, 2010;
Scofidio B. , 2010 c; Site, 2011), which are also discussed in section 5.3, and the
stagnation of the German incentive travel market as perceived by surveyed
intermediaries. However, it seems to be again depending on client’s objectives
for such trips. The perception and experience of longer durations by
intermediaries may also be due to the perception that CSR activities are an
additional element and not a solely part of the programme, as the regular
incentive trip is a reward and motivational programme that contains
entertainment, conferences and so forth (Fischer, 2000; Davidson & Cope, 2003;
Davidson & Roger, 2006). As already highlighted, what IT participants motivates
seems to change; leaving a social legacy and doing something good are
increasing motivational factors by Generation Y and older people (Arnold, 2010;
Davidson, 2009; City of London, 2010; Pinchera, 2008 b; Pagani-Tousignant,
2011; Wickrema, 2010).
Discussion of Findings
73
Preferred destinations and its role for incentive trips including volunteerism vary
by surveyed intermediaries, as also stated by Lenhart (2008) and Site (2010 d).
However due to the level of experiences by intermediaries precise statements
were often not directly possible for incentive trips with voluntary work.
Nevertheless it seems that the choice of destination for CSR activities may play a
great role, including factors such as time difference to the destination, duration
of the trip, accessibility, and available budget of companies. Here again duration
seems to be of high significance, including the perception that companies do not
like to lose a workday because of companies’ and employees’ preferences,
according to secondary research findings (Site, 2010 a; Kirstges, 2001).
With regard to the type of destination, there seem to be no clear preferences at
the moment overall for both German companies and international companies
residing in Germany. Those intermediaries who mentioned specific destinations
may perceive these as top destinations because of their specialisation. However,
literature also states that destination choices do always change (Fischer, 2000).
Yet Germany itself was several times mentioned, especially as a preference for
international companies. A reason may be the outlined advantages of Germany
(Site, 2010 a; Kirstges, 2001) and, as perceived by intermediaries that it is a must
to present Germany as a destination, especially when employees from oversee
offices participating in the trip. Additionally, Africa was mentioned, apparently
because of the relatively close distance to Germany.
Discussion of Findings
74
5.2 The Perception of Volunteerism as an Element of Incentive Travel
by Selected German Intermediaries in Relation to Organising
Incentive Travel for Corporate Clients
In general, German intermediaries’ perceptions of voluntary work as an element
of IT vary significantly. Results show that survey participants who have a rather
critical attitude towards volunteerism during incentive trips seem to arise from
negative experiences. In contrast, those who have a positive opinion towards this
subject or have had experiences in executing perceive IT with CSR activities as
added valued, whereby all involved can benefit.
Some intermediaries are not aware that the trend has reached Germany. Some
respondents see a movement because companies residing in Germany focus
more on CSR but have not yet really adopted it within incentive trips. CSR is a
relatively young phenomenon in Germany (Habish & Wegner, 2004; Pleaon
GmbH & IFOK GmbH, 2008; Falck & Heblich, 2007), so is IT as identified through
secondary research (Kirstges, 2001). Nevertheless, CV increasingly gains
relevance by companies residing in Germany and there are no legal or fiscal
obstacles in the way for implementing CSR activities (Habish & Wegner, 2004;
Bertelsmann Stiftung, 2010). Additionally, the international standard ISO 26000
highlights (ISO, NA d) that SR activities are to go beyond legal compliance,
besides being optional (German Federal Government, NA). However, it appears
due to some intermediaries perception that even such obstacles, including
compliance rules, entrepreneurial, fiscal and internal industry standards have
made incentive trips with voluntary work impossible resp. are hindering it from
developing. However, a few companies take such programmes into
consideration, as stated by intermediaries and presented through the examples
explored through secondary research.
Discussion of Findings
75
Moreover, the stagnation of the German IT market as perceived by respondents
seems to negatively impact this trend as well. Findings from the literature also
show that the IT market is still affected by the financial crisis in terms of budget,
content and duration of incentive trips (Alonzo, 2010; Site, 2010 d; IRF, 2011).
Contrary then are the efforts and considerations made to include CSR activities in
incentive trips, affecting the usage as discussed in section 5.1.
Respondents with a negative view on CSR activities during incentive trips do not
perceive it as sustainable or do not see a potential for this niche market. This is in
contrast to the overall media discussion about CSR, Generation Y, CV and the
increasing demand to integrate volunteerism in IT (Davidson, 2009; Davidson,
2010 b; Ruby, 2007 b; Pinchera, 2008 b). Furthermore, this is also in contrast to
findings from secondary research, which show that companies increasingly
consider CV (Müller & Stahl, 2011). As well as a demand for CSR activities at
incentive trips exist, even though not very strongly (IMEX, 2009). Respondents
with a positive attitude realise the significance for such trips. This is related to
the internal and external pressure for companies to operate in a sustainable way
and to peoples’ desire to do something good for unprivileged communities.
Literature findings are equivalent (Davidson, 2009; Pinchera, 2008 b; Davidson,
2010 c; Scofidio B. , 2010 a).
Furthermore, IT with volunteer character it is also perceived as additional work
that reduces the perceived significance of this trend. Incentive trips are supposed
to be rewarding and motivating (Severt & Breiter, 2010; Hansen et al., 2002;
Jeffrey & Shaffer, 2007). This perception is also claimed to be a challenge by
Lenhart (2008). Nevertheless, literature suggests that Generation Y, as well as
older workforces increasingly seek to be engaged in CV as they are highly socially
conscious (Davidson, 2009). Consequently, this has an effect on the IT
programme design (Davidson, 2010 c; Ruby, 2007 c, Pink, cited in Scofidio, 2010
a). As well as such activities are perceived as motivation (Pinchera, 2008 a;
Amrhein, 2009; Lenhart, 2008).
Discussion of Findings
76
Additionally, it is perceived that voluntary work during incentive trips should be
an integral part of the companies CSR-Programme and not a single activity
without achieving sustainability in the long-term. Literature also argues that in
order to create an impact on communities, CSR activities need to be used
effectively (Davidson, 2009; Pinchera, 2008 b). Furthermore, it is perceived that
often companies make use of CSR activities in order to foster their awareness
and reputation to their customers. This results in greenwashing perceptions by
the intermediaries and an issue in the literature due to the pressure to operate
in a social responsible manner (Scott, 2005; Arvidsson, 2010; McWilliams &
Siegel, 2001; Gourgue, 2010).
In Germany some intermediaries do not see a change in age in relation to the
programme design as they realise that increasingly older employees participating
on incentive trips due to demographic changes towards an older society on the
one hand. This results in increasingly higher quality considerations of the
programme as it is perceived that older people do not like the uncomfortable
conditions which may be an element of an incentive trips with voluntary work in
developing countries. In contrast, the literature suggests that also older worker
seeking to be engaged in CV (Pagani-Tousignant, 2011). On the other hand, a
change in age of incentive travel participants, resulting in programme changes is
not perceived although participants of young ages (middle twenties to forties)
are usually earners of incentive trips. A reason may either be that there is no
interest by companies to provide volunteering opportunities, or because
employees, although very few, are not interested as identified by Deloitte
(2011). Furthermore, other respondents perceive that participants become
younger again that they are curios in voluntary work instead of older people due
to the already mentioned basic conditions, hence it seem to be easier to
integrate CSR activities in an incentive trip. Here again, the assumption that older
people also like to be engaged as mentioned in the literature (Pagani-Tousignant,
2011) is not considered.
Discussion of Findings
77
Depending on the overall perception of voluntary work as an element of
incentive travel, responses are ambiguous with regard to benefit, risks and issues
for companies and themselves. As described in the literature review advantages
include image and reputation improvement for companies (Gatehouse, 2009;
IMUG, 2006; Gillis & Spring, 2001; Weber, 2008), satisfaction for employees
(Amrhein, 2009; Scofido, 2010 a, Sprinkle & Maines, 2010, Reputation Institute,
2010) and change in market position for intermediaries (Amrhein, 2009). Primary
and secondary research shows comparable benefit observations. The results
show additional benefits, such as improvement of team work skills for
employees, increasing the margin for intermediaries due to added services, and
network development which helps to benefit all involved.
In the literature review challenges and problems of voluntary work during
incentive trips were demonstrated, including duration issues (Amrhein, 2009),
time and cost issues (Lenhart, 2008; Hall, 2011; Davidson, 2009; Keenan, 2010)
and risk and lack factors (Clemmons, 2005 a). Respondents also notice costs and
duration, including arrival and departure time as obstacles. Additionally,
accessibility of the destination due to unavailable infrastructure to developing
countries is highlighted to be a challenge. Furthermore, programme failure, high
costs in terms of rising organisational efforts and material for intermediaries, and
freeloader issues are noted. Moreover, risk and lack issues of NPOs were
perceived as barriers for integrating social activities into incentive trips by the
respondents. These aspects were also identified in the literature (Clemmons,
2005 a; Site, 2010 d).
Discussion of Findings
78
5.3 The German Incentive Travel Market for Corporate Companies
Residing in Germany, Including Issues of Volunteerism as an
Element of Incentive Travel
The primary research participant company 1 operates in the pharmaceutical/
biotechnological sector, which is one of the biggest IT buyers on the German
market as identified in secondary data (Site, 2010 a; Kirstges, 2001), also
examined in the literature review (Davidson & Cope, 2003; IRF, 2009; Roythorne,
2010). Furthermore, primary data results from the surveyed company shows that
about ten employees are participating in an incentive trip. This number lies in
between secondary research findings. Tough, pharmaceutical companies have
often more than 250 participants (Site, 2010 a; Kirstges, 2001). The number of
offered incentive trips per year (one), is relatively less than other companies
organise on average for their employees in Germany, according to secondary
data (Site, 2010 a; Kirstges, 2001). The survey company’s employees who
participate are in average 35 years. This age does not comply to the age of
Generation Y but with Generation X, born between 1965-1980 (Davidson, 2010
c). Consequently, this may be a reason why company 1 does not offer voluntary
work at incentive trips, because most researchers (Cone , 2006; Tulgan & Martin,
2001; Deloitte, 2011; Reputation Institute, 2010; Davidson, 2010 c) agree that
Generation Y is more socially-conscious than Generation X and previous
generations. Nevertheless, older people like to be involved in volunteerism
(Pagani-Tousignant, 2011). Furthermore, C1 perceives volunteerism as additional
work, not truly voluntary. The latter is mentioned by Lenhart (2008) and already
discussed by intermediaries’ perception in relation to organising IT for corporate
clients (5.2). The age of other IT buyers’ employees were not identified. Thus, it is
not possible to link it in more detail to literature finding about Generation Y.
Discussion of Findings
79
The supplied incentive trips by C1 are for field sales staff, to achieve sales targets
of the company. IT participants and the objectives are as well noticeable by
secondary results (Kirstges, 2001; Site, 2010 a; IMEX, 2007 a), thus an aim by
other companies residing in Germany. German companies use IT mostly for sales
and marketing staff and increasingly for other employees to, among increasing
sales, reward, motivate and educate participants/employees. Additionally,
findings in the literature show equal objectives for companies using IT (Witt et al,
1992; RDA, 2010; Deloitte, 2011; Severt & Breiter, 2010).
Regarding the CSR strategy, C1 possesses an internal CSR strategy, which
however is not liked to incentive travel. Thus, volunteerism during incentive trips
may not be in consideration for them but acting socially responsible appears to
be an issue in this company. Nevertheless, the researched trend is not perceived
by company 1. Research on CSR in general and in Germany, as well as secondary
data results shows that CSR and CV becomes increasingly significant for
companies (ISO, NA b; Scholtens, 2008; Levis, 2006; Mc Williams & Siegel, 2001,
Reputation Institute, 2010; Site 2010 a; IMEX, 2009). So do CSR activities in
consideration to IT (Davidson, 2009; Lenhart, 2008; Wickrema, 2010). However,
for Germany less than 1% of companies integrate CSR in live-communication
events, including IT (IMUG cited in Sans, 2010). Though, secondary research on
the German market shows that IT earner prefer it as a component of incentive
trips (IMEX, 2009). However, not yet as strong as other programme elements,
e.g. cultural, sport activities, and educational elements preferred by corporate
planners (Site, 2010 a; IMEX, 2007 a; IMEX, 2009). Contrary are findings in the
literature, demonstrating that sometimes more than half of the surveyed
respondents demand CSR components during IT (IRF, 2010).
Discussion of Findings
80
Referring to the IS0 26000, primary data results show that the company is not
aware of this standard. Therefore it cannot be linked to IT. During secondary
research it was also not possible to identify a link between the usage of ISO
26000 by German companies and IT. A reason may be that the document was
only recently published and not implemented yet. However it is expected that
this standard will become an important reference document for CSR (IMUG,
2010). Companies have requested confirmation by an external certification
authority (Henkel, 2010), although this is not envisaged by the ISO (NA a).
Therefore, it is assumable that German companies make use of the document,
but whether those companies use IT and whether the standard can be applied to
IT cannot be alleged.
Company 1’s preferred destinations are slightly in contrast to the choice of
destinations by other German companies, namely Europe and Germany itself.
This is a trend by German companies due to a cut in budget, resulting in shorter
distances and the predominantly advantages of Germany as a destination. A
reason for the preference of non-European countries by company 1 could be that
the headquarter is based in the USA. Nevertheless, travelling abroad is still
considered due to the concept of IT, which is expected to be memorable, special
and so forth as secondary results (Kirstges, 2001) and literature review show
(Holloway et al., 2009, Fischer, 2000; Jeffrey & Shaffer, 2007; Davidson & Cope,
2003). As mentioned earlier (5.1) it was also noticeable that non-European
countries are in favour by intermediaries’ clients, especially Africa. These
destinations are subsequently correlating with company’s 1 top destinations.
With reference to the last stated destination, it seems that developing countries,
among Europe, including Germany are strongly considered for incentive trips.
Therefore, it appears that volunteerism on incentive trips may be a potential
considerations in the future by companies
Discussion of Findings
81
As mentioned several times, the IT trend with regard to duration seems to be in
contrast to incentive trips duration with voluntary work. Companies residing in
Germany execute incentive trips mostly for two to three days (over the
weekend) as also perceived by intermediaries, affected by the current state of
the German IT market, although it seems to recover. The German market may
recover quicker because the overall economy is expected to grow, according to
secondary research findings (Kaiser, 2011). Referring back to the duration times,
trips over the weekend are preferred as they should not interfere with the work
week and because of employees’ obligations. Duration times for voluntary work
were not identified by German companies due to a lack of research.
Intermediaries’ assumptions show that such trips are longer in duration, as also
described in the literature (Amrhein, 2009). Less than three days appears to be
hardly possible (Amrhein, 2009), although incentive trips with volunteerism for
three days do exist, according to secondary research (BUSINESS & NATURE, NA).
However, in these cases exact programme components in addition to voluntary
work were not possible to identify. Therefore, whether such trips meet the
perceived standard for more quality, which is another trend explored through
primary and secondary research (Site, 2010 a), could not be examined. The
desire for more quality by German companies as secondary research shows
might also stand in contrast to the development of CSR activities integrated into
IT when trips are offered to developing countries. This may not be the case when
choosing trips domestically and within Europe.
Conclusions and Recommendations
82
6 Conclusions and Recommendations
6.1 Conclusions
The perception and use of voluntary work as an element of IT by intermediaries
vary significantly, from very negative to very positive in their opinions and
attitudes. Often it depends on the experiences in offering and executing such
trips and with their clients. In general those who do not have experiences are
critically attuned or have negative views of this subject. Those intermediaries
who have had experiences are overall positively appointed to this trend, even
though risks are involved. Companies residing in Germany are increasingly
interested in operating socially responsible, but evidence towards IT is less
directly visible. Evidence is only observable through the experiences by some
intermediaries and secondary research showing a demand for social projects in
live communication event. With regard to the demand, alterations in the
workforce impacting this trend in general, although linking this to the German
market was difficult in this study, due to a low response rate by companies
residing in Germany.
Duration issues appear to be an important factor. Views of findings vary
significantly. In general it seems that incentive trips with volunteerism are longer
in duration, even though shorter trips are possible. However, it depends on the
corporate companies’ objectives of the trip. As a consequence, shorter durations
may less include typical elements of IT, such as entertainment, cultural activities
and lifestyle matters, e.g. health. Longer trips in contrast do not correlate with IT
trends for Germany, at present.
The IT market in Germany is determined by economic conditions, currently
facing recovery from the financial crisis. This seems to determine site selection,
duration, and programme elements, including whether CSR activities are
integrated by companies. The trend to use voluntary work within incentive trips
by German companies and intermediaries is only slightly visible. Therefore it
Conclusions and Recommendations
83
appears that this trend is in an introduction/developing stage. Although there is
not enough research undertaken in terms of volunteerism as an element of IT in
Germany, evidence towards this trend does exist. This is due to the mentioned
volunteerism examples during IT by intermediaries for corporate clients, which
were successfully implemented. CSR, including corporate volunteering becomes
increasingly significant in business operations in Germany. Consequently, at this
point it can be concluded that if the current state of the IT market in Germany
recovers, CSR activities may increasingly become a part of these trips. At present,
it seems that decisions depend on the companies’ requirements.
6.2 Recommendations for the German Incentive Travel Industry
Among the already mentioned considerations for integrating CSR initiatives into
incentive trips in section 2.3.3, German intermediaries and companies should
develop an understanding about the importance of volunteerism during
incentive trips in order to overcome problems with unfamiliarity and perceived
risks about this topic. Developing a comprehension may also reduce any issues
leading to negative perceptions. In addition to this, intermediaries should
develop an understanding of NPO’s concerns when integrating them in CSR
activities for companies. These identified issues are recommended to
communicate to companies, to make them understand potential harassments for
which solutions can be found. Consequently, communication between the
parties is highly important.
A CSR project should also be sustainable in the long-term. In doing so, negative
media coverage could be prevented with regard to greenwashing issues for both,
the companies and intermediaries. Intermediaries in particular could decrease
perception problems of the IT industry by promoting and communicating IT as
socially responsible.
Conclusions and Recommendations
84
However the author recommends not focusing solely on CSR activities for IT,
because of the current economic conditions and the current state of the German
IT market. Additionally, not all companies may prefer CSR activities during
incentive trips, but perhaps for team-building events. The corporate sector could
make use of social activities during incentive trips in order to motivate their
employees and at the same time to enhance its image and reputation towards
stakeholders.
Finally, the author recommends forming a network and/or a database of
intermediaries in Germany and globally, who use volunteerism as an element of
IT. Social media can lead the way and hereby people can exchange experiences
and learn from each other. Furthermore, it may help companies to realise the
supply of CSR activities during incentive trips, possibly resulting in greater usage
of these programmes. Furthermore, association events, and trade shows etc.
could be a place to further stimulate this trend and to discuss concerns with
experts in this field.
6.3 Recommendations for Further Research
Due to a low response rate and a lack of secondary research by companies in
Germany, difficulties arose in investigating the field of current participant’s age
and involvement in relation to IT. Therefore, conclusions could not have been
drawn of workforce changes and Generation Y issues on the German IT market.
Further research is therefore needed with regard to whether Germany’s
Generation Y is increasingly the earners of incentive trips and involved in the
programme content design of incentive trip as demanded by Generation Y and
how this is or can be actually implemented within the company. Additionally the
resulting implications for involving potential participants on the company itself
and the intermediary should be considered.
Further research would also be needed in terms of the actual implications on the
local people and local aid organisations or non-profit organisations. This research
has solely focused on intermediaries’ and companies’ perceptions and use.
Conclusions and Recommendations
85
Additionally, due to no responses by German companies, the initially planned
research on companies’ employees had to be omitted. Therefore it is
recommended setting up a research paper on the perception and behaviour of
employees with regard to this trend again. For this it is suggested to cooperate
with research institution or alike in order to use an existing network.
Furthermore, the ISO 26000 as the new international guideline for SR may
become an important reference document. However, it was not possible
indentifying a direct relation between ISO 26000 and IT due to a low response
rate by companies. Therefore further research is necessary of whether this
standard can also be a guideline for the use of IT, how it can be used for
incentive trips and possible implications resulting from it.
Moreover, perceived and actual incentive trip durations, including CSR activities
vary. As already mentioned incentive tips with voluntary work appear to be
longer in duration. Whether longer trips will be of interest by companies in
Germany and in relation to volunteerism needs to be further researched,
including considerations about the current state of the German IT market and
economic conditions in Germany.
Finally, referring to short trips, e.g. three days and including voluntary work
appears to be restricted in other programme elements, e.g. cultural activities.
Recognition and reward are considered as important motivational factors of an
incentive trip. The motivational aspect is given within a trip including voluntary
work as increasingly demanded by employees. The reward aspect is the trip itself
for employees. However, a question that arises is, how a short trip without or
less other, apparently still important content elements can be considered as
rewarding when trips remain shorter and compressed. How do employees
perceive these issues? Additionally, how can short trips, with recognition giving,
voluntary work and other programme elements be arranged in balance to satisfy
all needs?
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Appendices
98
Appendices
A Questionnaire to Intermediaries
The perception and use of voluntary work as an element of incentive travel in
relation to organising/planning such trips for companies, residing in Germany.
Part I
1. Name of your company?
2. Your position at the company?
3. Your age?
4. Your gender?
5. As what kind of intermediary to you see yourself? Please choose the
respective categories.
- Event Agency
- Advertising Agency
- Incentive Travel House
- Business Travel Agency
- Destination Management Company
- Ground Handler
- Destination Marketing Organisation
- Professional Conference Organiser/Meeting Planner
- Tour Operator with Incentive Department
- Travel Agency
- Others
Appendices
99
Part II
1. What is your attitude to volunteering during incentive trips?
2. In average, how many incentive trips for German corporate companies do
you conduct per year?
Without voluntary work:
With voluntary work: Please
3. In average, how many incentive trips for international companies, residing in
Germany do you conduct per year?
Without voluntary work:
With voluntary work:
4. In average, what duration comprises an incentive trip with components of
voluntary work? Are there differences between incentive travels without
voluntary work?
5. From which sectors do your clients, ...
- ... German companies
- ... International companies, residing in Germany
come from?
6. From which company departments do the incentive travel participants, who
take part on incentive trips resp. incentive trips with elements of voluntary
work come from?
7. Voluntary commitment during incentive trips is an increasing trend. How do
you perceive this trend in Germany?
7.1. How do you perceive this trend in your company? Please provide
examples.
7.2. Do you see differences between German companies and
international companies, residing in Germany? Which?
8. What are your experiences when organising/planning voluntary work during
incentive trips for corporate clients, residing in Germany? Please provide
examples.
Appendices
100
8.1. Do you see differences between German companies and
international companies, residing in Germany? Which?
9. What impression with regard to the perception and use of voluntary work as
an element of incentive travel do you acquire of corporate companies,
residing in Germany?
9.1. Do you see differences between German companies and
international companies, residing in Germany? Which?
10. What do your clients, residing in Germany favour on an incentive trip and/or
the programme as an element of voluntary work?
10.1. Do you see differences between German companies and
international companies, residing in Germany? Which
10.2. What advantages do you recognize as an intermediary?
11. What disadvantages/risks do your clients, residing in Germany see on an
incentive travel and/or the programme with elements of voluntary work?
11.1. Do you see differences between German companies and
international companies, residing in Germany? Which?
11.2. What disadvantages/risks do you see as an intermediary?
12. What type of social commitment do your clients, residing in Germany
prefer? Why?
12.1. Do you see differences between German companies and
international companies, residing in Germany? Which?
13. Do you see a shift in the age of the incentive travel participants and hence in
the increasing trend in the design of the incentive-travel programme?
14. To what extend does the destination play a role in the organization/planning
of incentive trips featuring voluntary work?
14.1. What destinations are preferred by German companies?
14.2. What destinations are preferred by international companies,
residing in Germany?
15. Do you have any further comment about the topic of voluntary work as an
element of incentive travel?
Appendices
101
B Questionnaire to Companies
Part I
1. Name of your company?
2. What is your position at the company?
3. Your age?
4. Your gender?
Part II
The perception and use of voluntary work as an element of incentive travel by
companies, residing in Germany.
1. For which members of staff are incentive trips provided?
2. What purpose do you pursue by offering such incentive programmes to your
employees?
3. How many incentive trips do you conduct per year?
4. In average, what is the number of employees, who go on the incentive trips?
5. In average, what is the number of employees, who compete to win the
incentive trip?
6. What is the average age of your employees, who take part on incentive
trips?
7. Voluntary engagement during incentive trips is an increasing trend. How do
you perceive this trend in Germany?
7.1. How do you perceive this trend in your company?
8. As a company, have you already executed voluntary work, whatsoever
during incentive trips? Please give examples.
8.1. If yes, what purpose does the company like to pursue?
8.2. If no, why not?
9. What impacts has voluntary work during incentive trips on your company,
internal and external?
10. What do you contribute to the design of incentive travels at the company?
Appendices
102
11. How do you design incentive trips? Why? You are welcome to give detailed
examples!
11.1. Who is involved in the design of the programme elements? Why?
12. What are your top three destinations?
12.1. Is the choice of destination determined by the opportunities it
offers for the participants to carry out voluntary work? If yes, please
explain in detail!
13. Do you have any further comments?
Part III
The role of voluntary work during incentive trips in the CSR strategy of selected
companies, residing in Germany.
1. Do you have a CSR-Strategy for your company?
1.1. How does the CSR-Strategy comport with regard to voluntary
work, in relation to incentive travel?
2. In 2010, an international standard, ISO 26.000 was published. ISO 26.000
should serve as a guideline for the adoption of `social responsibility` for
companies and organisations of any kind.
2.1. Did your company implement ISO 26.000?
2.2. How does your company use it as a guideline for incentive travel
programmes?
2.3. If not, do you consider using the standard in the future?
3. How do you communicate voluntary work and sustainability in your
company?
3.1. What purpose do you pursue?
3.2. How does it affect the design of incentive travels?
4. Do you have any further comments?