executive board paper: wyse travel confederation ... · wyse travel confederation page 1 of 43...
Post on 02-Jun-2020
4 Views
Preview:
TRANSCRIPT
WYSE Travel Confederation
Page 1 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
ExecutiveBoardpaper:WYSETravelConfederationStreamliningforGrowth
WYSE Travel Confederation
Page 2 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
TableofContentsList of acronyms: ..................................................................................................................................................... 5
Executive Summary ................................................................................................................................................. 6
Introduction ............................................................................................................................................................ 8
Background ............................................................................................................................................................. 9
The evolution and challenges facing WYSE Travel Confederation ...................................................................... 9
Current status ..................................................................................................................................................... 9
Where to from here? ........................................................................................................................................ 10
Proposed consolidation ........................................................................................................................................ 11
Aims and objectives .......................................................................................................................................... 11
Considerations ...................................................................................................................................................... 11
Core Organisational Pillars ................................................................................................................................ 11
Strategic priorities ............................................................................................................................................. 12
Governance and organisational structure ............................................................................................................ 12
Executive Board ............................................................................................................................................. 12
Finance and Audit Committee ...................................................................................................................... 12
Sector Associations ....................................................................................................................................... 12
Governance structure infographic .................................................................................................................... 13
Current financial status of the Sector Associations .......................................................................................... 14
Consolidation of the Sector Associations with WYSE ........................................................................................... 15
Benefits The following overarching benefits of the proposed consolidation include: .................................... 15
Sector Association Brands ................................................................................................................................. 15
New proposed Governance Structure .................................................................................................................. 16
Terms of reference ................................................................................................................................................ 16
Executive Board ................................................................................................................................................. 16
Finance and Audit Committee .......................................................................................................................... 17
Advisory Panel representation on the Executive Board ................................................................................... 17
Advisory Panels – Terms of Reference .............................................................................................................. 18
WYSE Travel Confederation
Page 3 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Voting system for Advisory Panels – Industry Sector Preference ..................................................................... 18
Industry Advisory Panels – new structure to support members .......................................................................... 19
Aims and objectives .......................................................................................................................................... 19
International Association of Student Insurance Services ............................................................................. 19
International Au‐Pair Association ................................................................................................................. 19
How will the Advisory Panels work? ................................................................................................................. 20
Formation of Advisory Panels ........................................................................................................................... 20
Governance ................................................................................................................................................... 20
Industry Specialists ........................................................................................................................................ 21
Advisory Panel Meetings logistics ................................................................................................................. 21
Reducing internal costs and procedures ............................................................................................................... 21
Accounting structure ......................................................................................................................................... 21
Operating costs ................................................................................................................................................. 21
Human resources and general administration ................................................................................................. 22
Proposed new accounting structure ................................................................................................................. 22
Trends – WYSE Travel Confederation and Sector Associations ........................................................................ 23
Structure and fees ............................................................................................................................................. 23
Proposed new membership structure and fees ................................................................................................ 24
Membership rating instrument/mechanism .................................................................................................... 24
Financial projections ............................................................................................................................................. 25
Membership numbers required ........................................................................................................................ 25
Projected budget for 2016 ................................................................................................................................ 26
Strategic Action Plan ‐ Board approval and member engagement process ......................................................... 28
Strategic Action Plan – a roadmap for the consolidation and implementation of new membership model ....... 29
APPENDICES .......................................................................................................................................................... 30
APPENDIX A – Sector Association composition ................................................................................................ 30
APPENDIX B – The role of the sector associations ............................................................................................ 31
International Au Pair Association (IAPA) ....................................................................................................... 31
WYSE Travel Confederation
Page 4 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
WYSE Work and Volunteer Abroad ............................................................................................................... 31
STAYWYSE ..................................................................................................................................................... 32
STUDYWYSE ................................................................................................................................................... 32
International Association of Student Insurance Services (IASIS) .................................................................. 32
International Student Identity Card (ISIC) ..................................................................................................... 32
International Student Travel Confederation (ISTC)....................................................................................... 33
Student Air Travel Association (SATA) .......................................................................................................... 33
APPENDIX C – Current accounting structure .................................................................................................... 34
APPENDIX D – Proposed new accounting structure ......................................................................................... 36
APPENDIX E – Membership trends 2010 ‐ 2015 ............................................................................................... 37
Membership trend graph .............................................................................................................................. 37
APPENDIX F – Current membership structure and fees ................................................................................... 38
APPENDIX G – Proposed new membership model ........................................................................................... 39
APPENDIX H – SWOT Analysis: without change to the current organisation ................................................... 40
APPENDIX I – SWOT Analysis: with a consolidated organisational structure ................................................... 41
WYSE Travel Confederation
Page 5 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Listofacronyms:ALTO AssociationofLanguageTravelOperatorsAP AdvisoryPanelUNWTO UnitedNationsWorldTourismOrganisationIAPA International Au Pair Association IASIS International Association of Student Insurance Services ISTC International Student Travel Confederation ISIC International Student Identity Card ISP Industry Sector Preference ITB International Tourism Bourse FIYTO Federation of International Youth Travel Organisations KPI Key performance indicator ROI Return on investment SATA Student Air Ticket Association WETM‐IAC Work Exchange Travel Market – International Au Pair Conference WTM World Travel Mart WWVA WYSE Work and Volunteer Abroad WYSETC World Youth, Student and Educational Travel Confederation WYSTC World Youth and Student Travel Conference
WYSE Travel Confederation
Page 6 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
ExecutiveSummary In 2014 young travellers generated US$249 billion towards global tourism receipts propelling the youth travel
sector to one of the fastest growing and most important markets for many destinations around the world.
Facilitating this growing youth travel sector is a dedicated, widespread and multi‐faceted industry that designs,
inspires and delivers an abundance of experiences and life‐long memories to millions of young people every
year.
For nearly six decades the WYSE Travel Confederation has played a vital leadership role; not only as an
advocate on behalf of the industry, but also initiating and delivering a range of industry development
programmes and opportunities that foster the growth and development of members and the wider youth,
student and educational travel industry.
Currently the Confederation is also representative of eight sector associations that provide specialised support
to its members. The sector associations occupy a central position within the Confederation community,
providing a range of valuable sector services and products to the industry.
Whilst the Confederation, in partnership with the Sector Associations has held the unique mandate of being
the only youth travel trade association servicing the global industry, the convergence of technical and
economic forces along with the rapid advancement of digital methods of interacting and doing business is re‐
shaping market conditions. An industry that was once very reliant on WYSE now has greater access to trade
partners, business development programs and market information from a plethora of sources.
What this means is that it is essential for WYSE Travel Confederation to be proactive to uphold its position as
the peak trade association within the youth travel industry. This includes adapting to current market
conditions and developing innovative tactics to remain a relevant and strong membership association –
creating a roadmap that will help manoeuvre the Confederation to long‐term viability and a brighter future.
This proposal explores the current financial and operational status of WYSE Travel Confederation, the role of
the Sector Associations and outlines a proposed strategic approach that will empower the organisation to
better service and align with member needs. Based on internal investigation, consultation with the WYSE
Travel Confederation Executive Board and members, Executive management proposes a transformation
process that involves two key areas including consolidation of the Sector Associations with the main
Confederation and the introduction of a new membership structure.
WYSE Travel Confederation
Page 7 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Key recommendations:
The following provides a summary of the key recommendations associated with this proposal:
1 Dissolve or otherwise make dormant the existing Sector Associations that are currently active in WYSE
2 Consolidate strategic objectives of SA’s and WYSE Travel Confederation to create one, unified voice of on behalf of the youth travel industry
3 Dissolve existing debts currently owed between all the WYSE entities
4 Rollover all existing funds to the Confederation, governed by the Executive Board via an Audit & Finance Committee.
5 Establish industry advisory panels to service sector specific needs, empowered by members and managed by sector experts.
6 Present proposed consolidation initiative to members at WYSE Travel Confederation AGM in September, with formal decision to be taken by members at an EGM in November 2015.
7 Support the introduction of the proposed membership structure and associated fees with effect from1 January 2017. Current members maintained on existing fees for the duration of 2016 and new membership fees applied to any new members recruited from 1 January 2016.
8 Approve the distribution of details outlining the proposed membership structure and fees to members as part of AGM papers.
9 Proposed membership structure and associated fees to be incorporated in EGM proceedings that will take place electronically
The Executive is confident that the proposed consolidation will translate into a more streamlined, collaborative and cooperative operating environment for WYSE Travel Confederation. Improved efficiency combined with increased resources will create opportunity for the organisation to deliver new programmes that will generate additional revenue streams, which will in turn be re‐invested into the support and development of members and their sector specific interests.
WYSE Travel Confederation
Page 8 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
IntroductionWYSE Travel Confederation plays a critical role within the fabric of the youth travel landscape and is dedicated
to developing and delivering opportunities for the global youth, student and educational travel industry. The
Confederation is also recognized for its commitment to positioning and advocating youth travel as a catalyst
for economic growth for destinations around the world and for encouraging governments to develop
strategies that aim to increase youth mobility and cultural awareness.
However, like most organisations and businesses around the world, membership associations are being re‐
shaped by disruptive economies, with recruitment and retention becoming increasingly challenging and
competitive. Whilst the Confederation has for decades enjoyed being the only association representing the
global industry, it is becoming difficult for the organisation to retain dominance within the marketplace
because members and the wider industry are able to access market intelligence and trading opportunities
from a variety of sources. Furthermore, often membership fees are scrutinised against measureable
investments and viewed as discretionary expenditure, with product development, marketing and operations
prioritised over membership dues.
In order to retain a strong competitive position the Confederation needs to demonstrate and deliver increased
value to its members, build on its advantages and develop new and innovative programmes and initiatives that
retain and attract new members worldwide, create additional revenue streams to ultimately ensure
sustainability of the organisation.
Transforming a membership organisation such as WYSE Travel Confederation, which is founded on a complex
governing and membership structure is not an easy task. It can be tempting to be conservative and protect
what has historically been in place by maintaining a traditional approach to operations and delivery of member
services. However, arguably this is a risky approach and may result in the organisation ending up in a state of
increasing irrelevance to all but the most passionate and supportive members.
WYSE Travel Confederation
Page 9 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Background
TheevolutionandchallengesfacingWYSETravelConfederation
The founding organisations of WYSE Travel Confederation, FIYTO and the ISTC, were formed just after World
War II to help remove cultural barriers and inspire young people through international travel. WYSE Travel
Confederation was established in 2006 following a merger of ISTC and FIYTO to create a more unified
organisation representing the youth travel sector.
WYSE Travel Confederation is also representative of a range of sector associations that provide specialised
support to its members. To this date, there are seven sector associations under the Confederation’s umbrella,
including STAYWYSE, WYSE Work and Volunteer Abroad, IAPA and IASIS. SATA and ISTC are dormant
associations and ISIC a self‐managing member. Management agreements have been in place with STAYWYSE,
WWVA and IAPA since 2013, with ISIC remaining operationally independent. All these Associations are
deemed to be Founding Sector Associations. Study WYSE is not constituted as an association, but acts with an
advisory panel.
Following the establishment of WYSE Travel Confederation, reasonable progress was achieved between 2006
and 2009, but it was becoming apparent that the organization was starting to face increased financial strain
and becoming more reliant on substantial funding support from ISIC to sustain operations.
WYSE Travel Confederation was further challenged when two sector associations decided to split away from
the main Confederation. The first to become independent was ALTO in 2010, followed by ISIC at the end of
2011. This situation was partially addressed in 2012 with a change to the governance structure that saw the
dissolving of the 26 person Congress that was replaced with an Executive Board of seven members made up
from a combination of members and sector association representatives.
In early 2012 three of the main remaining associations also made provision to break away. However, with the
appointment of a new Executive team in 2013, the Confederation’s operating environment and sector
association partnerships started to stabilize.
Currentstatus
WYSE Travel Confederation has invested considerable time and effort in raising awareness of the organisation
and its role at government level and wider industry. A range of profitable partnerships and alliances have
been secured predominately as a result of a successful WYSTC in Dublin, the Confederation’s presence at ITB
Berlin and WTM and the delivery of WETM‐IAC in London and Lisbon.
Although WYSE has benefited significantly from the success of these events and increased exposure of the
organisation over the past two years, the Confederation is currently facing a steady decline in membership,
with recruitment and retention becoming increasingly challenging.
With current human resources working at maximum capacity there is limited ability to expand and enhance
the existing member benefits portfolio to help address membership decline. So, it is clear the Confederation
needs to change its organisational framework in order to achieve membership growth and ultimately
sustainability.
WYSE Travel Confederation
Page 10 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Wheretofromhere?
Based on both internal and external influences currently challenging the organisation, WYSE Travel
Confederation is at a crossroads and without change the Confederation may struggle to continue its existence
beyond another two years.
As a first step, we need to look inward and ensure we are operationally and financially stable and secure. With
a solid foundation, we are equipped to take on external challenges, address and remove impediments for
growth and importantly seize opportunities that will not only see the organisation prosper, but will also
enhance our members by delivering new valuable business development tools.
WYSE Travel Confederation needs to be ambitious and take vision‐driven action to drive a strategic
transformation that will strengthen the organisation and at the heart of this; deliver increased value to existing
and potential members within the youth travel industry.
We must ensure premier services and benefits are accessible, we must increase engagement at all levels of the
industry, be at the forefront of industry debates and we must look outside the box in terms of strategic
partnerships and funding opportunities.
Executive management proposes a strategic transformation that involves a consolidation of the Sector
Associations into the main Confederation. This amalgamation will unlock the WYSE Travel Confederation’s
potential to evolve to a more financially and operationally efficient membership association. One that will be
armed to continue to successfully deliver existing programs as well as new, innovative initiatives and services
that will engage and retain members attract new constituents and partners and generate on‐going revenue
streams.
It is time for WYSE Travel Confederation and the Sector Associations,
along with the wider member community to recognise that there is a
shared responsibility and opportunity to shape and develop a
reinvigorated Confederation by working collaboratively on the
challenges and opportunities that lie ahead.
WYSE Travel Confederation
Page 11 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
To contribute to the personal and professional growth of students and young people and positively impact our global community by fostering international understanding,
responsible international travel, cultural exchange and education”.
Proposedconsolidation
Aimsandobjectives
The purpose of this report is to examine the current inter‐relationships between the Confederation and the
sector associations, the financial health and operating structure and importantly provide calculated solutions
that will result in the organization becoming more operationally streamlined, aligned with industry needs and
securely position WYSE Travel Confederation as the leading membership association servicing the global youth
travel industry.
This analysis has been prepared in order for the WYSE Travel Executive Board to make an informed and unified
decision about the future of the Confederation and Sector Associations at the upcoming Executive Board
meeting in Amsterdam 18‐19 June 2015.
Pending a decision to pursue the proposed consolidation, the proposal will be presented to WYSE Travel
Confederation and Sector Association members at the Confederation’s annual general meeting in September
2015 in Cape Town.
Considerations
CoreOrganisationalPillarsProviding specialist industry support to a worldwide community of youth and student travel organisations and
businesses, the WYSE Travel Confederation’s vision and mission is underpinned by four core, strategic pillars
that provide the foundation on which the organisation builds its focus, relevance and delivers value to its
members.
It is necessary to incorporate the following strategic themes when considering the future direction of WYSE
Travel Confederation, as it will help bridge the strategy‐to‐execution of the proposed consolidation.
Business
development
platforms
Research and
insights
Industry
education
Policy and
advocacy support
WYSE Travel Confederation
Page 12 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Strategicpriorities There are a number of strategic questions that have been identified and should be taken into account when shaping the proposed transformation strategy:
1. How can WYSE increase its profile, reputation and relevance within the global youth travel industry? 2. How does WYSE evolve to a strong, competitive and sustainable membership organisation? 3. What are the needs of existing and potential members? 4. Where are the gaps between current provision of benefits and services and member/industry needs? 5. How do we clearly define and communicate the membership proposition? 6. What opportunities exist to create additional revenue streams that will improve the financial position
of WYSE Travel Confederation?
GovernanceandorganisationalstructureThe governance, organisational structure, financial position and accounting process currently in place with
regards to WYSE and the Sector Associations are factors of relative concern. Not only as a catalyst for change,
but also areas that need to be carefully addressed within the proposed consolidation structure.
CurrentGovernanceStructure The following provides an overview of the existing structure of the WYSE Travel Confederation and Sector Associations:
Executive Board
The Executive Board consists of seven people, including three members from the membership at large and
four members directly appointed from the Sector Associations. Executive Board members serve a three year
term and elections to re‐elect board members, or to elect new board members, take place at the Annual
General Meeting that is held at WYSTC.
Finance and Audit Committee
The Finance and Audit committee is made up of one Executive Board member, one member at large voted as
Chairperson of the Finance and Audit Committee and one independent professional, who has audit skills and
acts as in an advisory capacity.
Sector Associations
Each sector association has a governing board with members voted on to the board via their respective annual
general meetings. Except for StudyWYSE, the sector associations also have individual constitutions that guide
operations and their respective strategies. Appendix A provides an overview of their respective compositions.
WYSE Travel Confederation
Page 13 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Each of the sector associations is unique in its own right and whilst they serve the needs of individual industry
sectors, they collectively are striving towards one common goal; to facilitate the growth and development of
the overall youth travel sector. For an overview of each sector association, please refer to Appendix B.
Governancestructureinfographic
WYSE Travel Confederation
Page 14 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
CurrentfinancialstatusoftheSectorAssociations
Another important aspect that has been considered is the financial status of the various Sector Associations.
As at 15 May 2015 the following provides a financial health‐check:
Association Projected profit for 2015
Cash reserves (0000’s)
Cash due from other Associations (0000’s)
Cash due to other Associations (0000’s)
STAY WYSE (€8,000) €0 €0 €0
WWVA (€2,100) €27,000 €123,000 €2,200
IAPA €3,000 €150,000 €19,000 €0
IASIS €30,000 €0.00 €64,000 €26,000
ISTC (€40,000) €412,000 €1,400,000 €30,000
SATA (€10,000) €200,000 €0 €0
Please note, the above figures are based upon Budgets for 2015, Intergroup Balances in 2014 and approximate
current bank account balances.
WYSE Travel Confederation
Page 15 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
ConsolidationoftheSectorAssociationswithWYSE
BenefitsThe following overarching benefits of the proposed consolidation include:
1. Increased capacity to deliver ‐ leveraging combined resources
2. Improved member servicing ‐ reducing the layers of governance and associated legal
requirements
3. Economies of scale – maximizing internal efficiencies
4. Increased relevance and value ‐ empowering the Confederation
5. Increased access and ROI for members – providing a compelling membership proposition
Reducinglayersofgovernanceandassociatedlegalrequirements
Whilst the importance of governance of is not by any means discounted, one of the fundamental factors that
will help support the Confederation’s capacity to achieve sustainability is the creation of a new governance
structure that will remove inefficiencies. The new proposed structure will still facilitate a framework that will
ensure all fiscal and directional control is retained, enhanced and governed by an engaged board of non‐
executive directors.
Based on the current structure, if a comment or stance is required it can take several days to get the boards
together to obtain approval before action can be taken. A more streamlined composition of the organisation
will enable the Confederation to be in a position to respond efficiently and effectively to policy issues or
industry opportunities and represent its members proactively.
In addition, governance of WYSE Travel Confederation and the sector associations is costly and
administratively heavy. To reduce the governance requirements and the associated cost overheads it is
proposed that the existing sector associations are dissolved, folded or parked as appropriate and depending
upon their board and members’ directive.
The Executive believes that the consolidation of the Sector Associations with the main Confederation will
create a more transparent and favourable environment and position for the Confederation to address the
needs and challenges and deliver a strong membership proposition to our members in 2016 and beyond.
SectorAssociationBrandsThe sector association brands would be maintained due to their recognition within the industry and valuable
focus they would provide for both the Confederation and the membership. The proposed consolidation
process would see the sector association boards replaced with advisory panels that are addressed as follows.
WYSE Travel Confederation
Page 16 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
NewproposedGovernanceStructureTo ensure complete transparency of the Confederation, the following governance structure is proposed:
TermsofreferenceMembers via the AGM, which constitutes the highest authority for WYSE Travel Confederation, will elect the
Executive Board and Advisory Panels. The below provides a Terms of Reference for the Executive Board and
its sub‐committees.
ExecutiveBoardThe Executive Board will continue to play an important role in providing strategic advice to the Confederation,
ensuring “quality control” of deliverables and monitoring of financial diligence and viability of initiatives.
To ensure the consolidation transitions smoothly and to maintain continuity, it is proposed that existing
members of the Executive Board maintain their respective positions in 2016 by extending all current tenures
by one year.
The proposed new composition of WYSE Travel Confederation Board is the following:
The Executive Board will comprise of up to seven members to serve for three‐year periods. If the
board make up is less than seven, this will not inhibit the function of the board.
A board member can only serve a maximum of two consecutive periods and must step down at the
conclusion of these periods for at least two years before eligible to stand for election again.
The maximum period a member can serve on aggregate on the Executive Board is 12 years.
The term of service will be aligned with the membership year.
The period between the AGM and the end of the membership year will be utilised as a familiarisation
period for new Board members.
The Board will include three members who are drawn from the membership at large. One of these
three will stand for and be appointed as the Chairperson of the Finance Committee. These seats will be
decided by secret ballot at the AGM.
To be eligible to stand for election for an Executive Board position the member is required to have
completed a minimum of two full years of membership of WYSE Travel Confederation. In certain cases
where a member can provide valuable contribution to the Confederation and does not have the
required length of membership and wishes to stand for election then their circumstances can be
deliberated by the Executive Board and approved.
WYSE Travel Confederation
Page 17 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
FinanceandAuditCommitteeThe Finance and Audit Committee will be appointed as an official sub section of the Executive Board and will
have the delegated authority to guide and approve the financial matters of the Confederation, which will then
be reported back to the Main Board for ratification. This Committee will comprise of:
1. The Chairperson of the Executive Board
2. The Chairperson of the Finance and Audit Committee
3. One independent person who must have professional accountancy or auditing status and is appointed
for a period of three years in an honorary capacity. This person will have a vote on the Finance and
Audit Committee, but will not have a vote on the main Board.
4. This committee will meet at least quarterly to review the accounts and budgets and to authorise
expenditures outside of the approved budgets
AdvisoryPanelrepresentationontheExecutiveBoardIt is envisaged that WYSE Travel Confederation would establish the following industry Advisory Panels 1
January 2016:
1. Accommodation
2. Work or cultural exchange and volunteering
3. Insurance and travel safety/ child protection
4. Language and study abroad
The above industry sectors will be represented on the Executive Board, via the following composition:
ThevariousindustrysectorswillberepresentedontheExecutiveBoard,viathefollowingcomposition:
a) The Chairpersons of the Advisory Panels will fill the remaining four positions on the Executive Board.
b) These positions will be appointed via secret ballot at the AGM and eligibility to vote and stand is
defined further in the document.
c) In the event there are more than four Advisory Panels in existence, the top four panels by votes will be
eligible to take a seat on the Executive Board.
d) The Executive Board can appoint the Chairpersons of the remaining Advisory Panels who did not gain a
place, to join the Board in an advisory/ non‐voting capacity.
e) In September 2016, members of WYSE Travel Confederation will elect new members to Executive
Board and the Advisory Panels for 2017.
f) In 2016, the existing Sector Association Chairperson and board would transition to the Advisory Panel.
Following elections at the AGM in September 2016, a new Chairperson would be elected by the
Advisory Panel to serve the remaining two years of the three‐year term.
WYSE Travel Confederation
Page 18 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
AdvisoryPanels–TermsofReferenceThe following provides an overview of the proposed structure of the panels:
Each of these sectors will have an Advisory Panel comprised of up to four people appointed from the
WYSE Travel Confederation membership.
One of the panel members will be elected by the remainder of the panel as Chairperson and will also
serve as the sector representative on the Executive Board. The term of appointment for the
Chairperson will be three years.
If required, each Advisory Panel has the ability to co‐opt non‐member industry experts to the Panel.
Co‐opted panel members will not have access to WYSE Travel Confederation member benefits or the
ability to vote on WYSE matters.
VotingsystemforAdvisoryPanels–IndustrySectorPreferenceTo ensure WYSE Travel Confederation members with sector specific interest/s are adequately represented via
the Executive Board, members will have the opportunity to vote members on to the various Advisory Panels.
This will ensure, each core sector has a voice on the Board and relevant and valuable initiatives and
opportunities are designed and delivered. The following provides the proposed system;
To be eligible to stand for election for a position or to have the right to vote on an advisory panel
position each WYSE Travel Confederation member will, upon joining the Confederation declare their
Industry Sector Preference (ISP)
Each member can be assigned to up to two ISP’s and will have the opportunity to vote for the member
at large and for Advisory Panel members to which ISP they are assigned.
Members will have access to the entire suite of WYSE Travel Confederation benefits and services. The
restriction is only applicable to the voting of sector specific Advisory Panel positions.
All members can access reports and benefits from any ISP as they wish.
During January to March of each membership year, members may alter their ISP if they so wish
provided that it is clear that they operate within that sector.
If a member’s business changes significantly the member may apply to have their ISP changed.
The ISP of all new members and of those members wishing to change will be subject to approval by
the Executive Board.
WYSE Travel Confederation
Page 19 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
IndustryAdvisoryPanels–newstructuretosupportmembersA fundamental goal of the consolidation is the commitment to create a stronger and more relevant
organisation, one that can support the growth and development of the global youth travel industry in an
increasingly competitive marketplace.
A membership organisation whereby a broad cross‐section of sector needs are serviced through an enhanced
and holistic suite of programs and services and can leverage a ‘one voice’ approach delivered by a cohesive
organisation.
AimsandobjectivesThebroadaimsandobjectivesoftheWYSETravelConfederationadvisorypanelsareto:
BuilduponthelegacyandachievementsoftheexistingSectorAssociations Focusonstrengtheningmembersthroughthedeliveryofspecialisedsectordevelopment Deliverbusinessdevelopmentprogrammessurroundingtrading,researchandeducation. Providestrategicadviceonissues,opportunitiesandpoliciesthatdirectlyrelateandareof
significancetoeachofthesectorstheadvisorypanelsrepresent Providesectorspecificadvocacyandrepresentationsupport. Deliveraholistic,valuableandcost‐effectivemembershipexperience.
SectorAssociationBuy‐inBased on consultation with the various Sector Association Boards, both WYSE Work & Volunteer Abroad and
STAYWYSE have indicated preliminary support and buy‐in of the proposed consolidation. The following
outlines the current position of the other Sector Associations as at 10 June 2015.
International Association of Student Insurance Services
IASIS has after careful consideration opted to remain independent from the merger, but will continue to have
close affiliation and collaborate with the new Confederation in 2016 and beyond. One of the main reasons
behind this decision is that IASIS operates more like a commercial business, promoting and selling products to
youth travellers, rather than a membership association. WYSE Travel Confederation appreciates the position
of IASIS and will continue to partner on opportunities and initiatives as they arise.
International Au‐Pair Association
IAPA is a very unique association, providing specialist services solely relating to the Au‐Pair industry, following consultation between the IAPA Board and Executive Board, IAPA has decided to also remain as an independent
association, potentially contracting the services of WYSE Travel Confederation to manage operations. IAPA
understands the concept and value of the proposed consolidation and has requested to re‐visit the
opportunity in early 2016, with a possible member vote on the matter at the AGM in March. IAPA are also
open to and considering all options.
WYSE Travel Confederation
Page 20 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
HowwilltheAdvisoryPanelswork?At the heart of the Advisory Panels will be the interests and needs of the Confederation’s members. Each
advisory panel would be adapted according to the sector it represents, serve as a reciprocal channel to the
industry and provide WYSE with information and guidance on trends, issues and business development
opportunities relating to the various industry sectors.
As a first step, the anticipated sectors would be represented within the Confederation via Advisory Panels as
per below. However, as the organisation progresses and member/industry demand, additional Advisory
Panels would be included in the portfolio.
1. Accommodation
2. Work and cultural exchange/ Volunteering
3. Insurance and travel safety/ child protection
4. Language and study abroad
FormationofAdvisoryPanelsAdvisory Panels can be formed where a need is identified and verified as being an essential part of the youth
and student market place. The formation of an Advisory Panel can be initiated based on:
Member demand
Market demand
Recommendation by the Executive Management
Prior to forming an Advisory Panel, it must be ratified by the Executive Board. The Executive Board will
consider the viability of a Panel, the potential longevity and the value it can bring to the industry in terms of
representation and to the Confederation in terms of membership.
Subsequently, the Panel consist of invited members who will hold temporary positions until the next AGM at
which point they can stand for formal election as previously outlined.
Governance
Whilst the consolidation would result in a one‐membership approach and provide a holistic value proposition,
it will be important to establish a governance structure of the advisory panels that ensures member needs are
met and valuable and relevant business development opportunities are provided.
The figure below demonstrates the proposed reporting structure and positioning of the advisory panels within
the Confederation.
WYSE Travel Confederation
Page 21 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Industry Specialists
The establishment of the Advisory Panels will also require the Executive to engage a team of highly skilled and
experienced experts that are supported by the industry advisory panels. The Industry Specialists must have
specialist skills and experience (sector insights, policy, industry development) appropriate for the respective
AP. The Industry Specialist would have the responsibility (in consultation with the AP) to develop an annual
strategic action plan, with associated KPI’s and budgets (that are inline with the Confederation’s strategic plan)
to be approved by executive management and endorsed by the Executive Board.
Advisory Panel Meetings logistics
As a norm, AP’s would have between 1‐2 face‐to‐face meetings (in conjunction with WYSTC and an additional
trade event that is attended by the majority of AP members i.e. WETM, WTM or ITB), with between 3‐4 virtual
meetings per year. Formal Minutes would not be taken. However, key outcomes and action items would be
noted and distributed as a summary to AP members by the AP Manager. AP Chairperson and AP Manager
would present to the Board bi‐annually (present strategy at the beginning of the year and KPI’s at the
conclusion of the calendar year) and the Industry Specialist would also provide a report on activities to the
membership at the AGM.
Reducinginternalcostsandprocedures
AccountingstructureOver the years, the accounting structure and procedures WYSE Travel Confederation has used has become
time consuming and complicated. Evidence also suggests that the current accounting structure is becoming an
increasingly financial liability to the organization. Please refer to Appendix C for an outline of the current
accounting structure.
OperatingcostsEach sector association has significant costs that are currently subsidised by the members as part of the
membership fees. Each association also has a management cost which is payable to WYSE Travel
Confederation and is between €60.000 and €90.000 per annum, with the following additional costs:
Although covered by the management fee, accountancy costs to the whole organisation is estimated to
€50,000 more than it needs to be.
Item Approximate cost
Audit and legal costs €2500
Bank charges €1500
Website €2500
Marketing costs Circa €5000
International representation and conferences
Circa €5000
WYSE Travel Confederation
Page 22 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
HumanresourcesandgeneraladministrationCurrently of the 15 staff employed by the Confederation, only six are member‐facing, with the rest being
required to provide administration for:
Board meeting set up, agendas and minutes and other association administration
Invoicing and debt collection
Membership application process, resignations, disaffiliations and other administration
Accountancy services
A consolidation of accounting procedures will not only simplify the process, but also create significant
economies of scale to the organisation as a whole and ultimately ensure more resources are focussed on
member servicing and delivery of benefits.
ProposednewaccountingstructureThe current Danish/ Dutch accounting structure is no longer tax efficient as the Confederation is not making
surpluses in the way that it was in the past. It will be more cost effective to incorporate a new Dutch not for
profit company to handle the operations.
Appendix D highlights the proposed new accounting structure.
Keyrecommendations–Consolidation
Based on the findings within this report and consultation with the Executive Board, the WYSE Travel Confederation
Executive Board is requested to support Executive Management’s recommendations to:
1. Dissolve or otherwise make dormant the existing Sector Associations as deemed appropriate and
confirmed by the Association members.
2. Consolidate strategic objectives of SA’s and WYSE Travel Confederation to create one, unified voice of on
behalf of the youth travel industry
3. Dissolve existing debts currently owed to the Sector Associations by WYSE
4. Roll‐over all existing funds to the Confederation, governed by the Executive Board via an Audit & Finance
Committee.
5. Establish industry advisory panels to service sector specific needs, empowered by members and managed
by sector experts.
6. Present proposed consolidation initiative to members at WYSE Travel Confederation AGM in September,
with formal decision to be taken by members at an EGM in November 2015.
WYSE Travel Confederation
Page 23 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Membership
Trends–WYSETravelConfederationandSectorAssociationsIt is commonly accepted that membership retention is the largest problem facing most membership
organisations, regardless of the industry they represent. It’s not a revolutionary problem, yet it appears to be
a continual struggle for most membership organisations.
An important aspect to take into consideration and one that is a key driver to the proposed consolidation; is a
holistic overview of the WYSE Travel Confederation’s membership base and how it has been trending over the
last few years.
In terms of Confederation membership alone, in the last four years, numbers peaked in 2011 with 558
members worldwide and since then, attrition has been on a downward trend, with membership sitting at 469
year ending 2014 and as at 15 May 2015, 447.
Each year sees a loss of around 40 – 50 members and the recruitment of 20 – 30 new members. Membership
sales are hampered by the complicated membership options.
In terms of the various sector associations, excluding IAPA, a membership decline has also been experienced.
IASIS does not have memberships in the same format as WYSE. Please refer to Appendix E for an overview of
membership trends.
As membership is one of the core revenue streams for the Confederation and Sector Associations, the decline
must be addressed.
Structureandfees
Currently the membership model of WYSE Travel Confederation is very complex with multiple points of entry
for prospective members and is often quite confusing both in terms of which category is most relevant and
what the return on investment is.
Compounding the complexity is the availability of the range of sector association memberships, with many
businesses members of both WYSE Travel Confederation and one or more sector associations.
At present, businesses are required to join WYSE Travel Confederation before they can join a sector
association (except for IAPA). As a result, some prospective members can simply not afford more than one
membership and as a result misses out on the full benefits WYSE can offer.
The membership sales process is often a challenge as the “sales pitch” becomes complicated and unclear, with
the outcome revolving back to unaffordability and the question of value. Please refer to Appendix F for a
detailed overview of the current membership structure.
WYSE Travel Confederation
Page 24 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Proposednewmembershipstructureandfees
To support a transition to a more invigorated and empowered Confederation, it is critical to have a supportive
membership structure that can help the organisation adjust to new business realities, become more market
driven and ultimately achieve membership growth.
Given the challenges facing the current membership mechanism, the aim with the proposed new membership
model is to:
Offer a compelling value proposition
Simplify the structure
Offer accessible entry points according to needs and size of business
Open up sector specific benefits and services through one membership
Streamline the membership sales process enabling quicker conversion
For detailed information, please refer to Appendix G.
Membershipratinginstrument/mechanism
WYSE Travel Confederation takes the reputation of the organisation and its members seriously and along with
the respective Sector Associations played an important role in the quality assurance of its members. Becoming
a WYSE or SA member is not a simple process, with each new member required to provide substantial business
information and referees to support their applications. Following the potential implementation of a new
membership structure, the Executive will design and introduce a quality orientated ratings instrument in
consultation with the Executive Board. It is envisioned that this mechanism will rate members on the following
items:
The provision of key documentation
Self‐certification
Test phone call or other correspondence
Face to face meetings with WYSE staff
WYSTC attendance
Consumer feedback
Keyrecommendations‐Membership
Based on the proposed membership model with associated benefits and services and SWOT matrix presented within
this paper, the Executive Board is requested to:
1. Support the introduction of the proposed membership structure and associated fees 1 January 2017. Current
members maintained on existing fees for the duration of 2016 and new membership fees applied to any new members
recruited from 1 January2016.
2. Approve the distribution of details outlining the proposed membership structure and fees to members as part
of AGM papers.
3. Proposed membership structure and associated fees to be incorporated in EGM proceedings
WYSE Travel Confederation
Page 25 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Financialprojections
Based upon the existing cost base, the following projection has been done to examine the level of membership
required to support the Confederation.
Membershipnumbersrequired
Membership Type Acronym 2012 2013 2014 2015 2016Number of
Members
Growth
required
Total
Membership Fee
Full Member, Category 1 CAT 1 57 53 55 63 400€ 63 ‐ 25,200€
Full Member, Category 2 CAT 2 220 214 220 230 1,550€ 230 356,500€
Full Member, Category 3 CAT 3 8 6 6 4 6,500€ 4 ‐ 26,000€
Full Member, STAY WYSE 1‐100 Beds CAT 1 + S 14 10 12 9 100€ 9 ‐ 900€
Full Member, IAPA FULL subsidised*** CAT 1 + I 1 116 112 170 ‐€ ‐€
OTO, NTA, NTO Member OTO 13 13 15 11 750€ 11 ‐ 8,250€
NGO Member NGO 11 18 20 10 750€ 10 ‐ 7,500€
Service Partners Service 13 12 12 11 1,600€ 11 ‐ 17,600€
Full Member, Category 2 subsidised CAT 2S 15 15 15 17 ‐€ 17 ‐ ‐€
Full Member, Category 3 subsidised CAT 3S 8 19 19 21 ‐€ 21 ‐ ‐€
Full Member, Contra Partnership SPEC / REP 13 ‐ ‐ ‐€ ‐ ‐ ‐€
Study WYSE ‐ ‐ ‐ 31 250€ 31 ‐ 7,750€
Student ‐ ‐ ‐ ‐ 50€ 10 10 500€
Associate ‐ ‐ ‐ ‐ 200€ 30 30 6,000€
WWVA Full 1 400€ 40 16,000€
WWVA Full 2 750€ 30 22,500€
WWVA Full 3 1,200€ 12 14,400€
WWVA Full 4 1,700€ 6 10,200€
SW 50 225€ 7 1,575€
SW 50‐100 325€ 10 3,250€
SW100‐200 425€ 3 1,275€
SW200‐1000 600€ 18 10,800€
SW1000‐5000 120€ 2 240€
SW5000 5,000€ 1 5,000€
AFF 700€ 10 7,000€
Booking engine 5,000€ 1 5,000€
OTO 600€ 1 600€
(New) ‐ ‐ ‐ ‐ ‐€ ‐ ‐ ‐€
373 476 486 577 588 40 554,040€
Member Numbers Projected members and prices
WYSE Travel Confederation
Page 26 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Projectedbudgetfor2016
This projection is based upon the achieving the above membership numbers whilst retaining the same cost
base as in the existing organisation.
Financial forecast 2016 - new structure
CONFEDERATION INCOME1A Confederation Membership Fees 554,040€
1B Association Membership Fees -€
1C Sector Association Management fees 45,000€
1D Other income ITB 12,000€
1D Income from WYSE Research 12,000€
1D -€
TOTAL CONFEDERATION INCOME 623,040€
BUSINESS UNIT RESULTS1E
1E Results from STUDYWyse Activities -€
1E Result from WYSTC Annual Conference income 395,000€
1E Result from WETM Annual Conference income 40,000€
TOTAL BUSINESS UNIT RESULTS 435,000€
TOTAL REVENUES 1,058,040€
OPERATING EXPENSES BudgetTOTAL OPERATING EXPENSES 80,000€
ADMINISTRATIVE EXPENSES BudgetTOTAL ADMINISTRATIVE EXPENSES 956,724€
DEPRECIATION AND FINANCIAL COSTS Budget
2D Depreciation 900€
TOTAL DEPRECIATION AND FINANCIAL COSTS 900€
TOTAL COSTS 1,037,624€
RESULT BEFORE FINANCIALS 20,416€
WYSE Travel Confederation
Page 27 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Commentsandassumptionsonthefinancialmodel.As part of the producing the financial projections outlined above, we have looked at the general effect of the
changes in membership pricing and an alteration in WYSTC discount to look at the number of members who
are affected either positively or negatively.
We have had to make a number of assumptions to achieve this.
1. We maintain the existing level of membership
2. The price of WYSTC increases across the aboard by €100
3. We don’t sell any new memberships
Status Quo
If all members stay at the current level of WYSE membership then 173 organisations will be better off and 141
members will remain the same. The Confederation will have a financial hole of €126,650 to bridge.
Projection proposal
The optimum pricing structure is as below:
Starter Associate Full member Service NTB/OTO Elite Member Association
Annual fee € 400 € 600 € 1,550 € 2,000 € 750 € 6,500 € 750
WYSTC discount € 100 € 300 € 600 € 800 € 300 € 1,000 € 300
In this scenario, 182 organisations will be on average €453 better off and 132 organisations will be on average
€382 worse off. The financial hole for WYSE will be reduced to around €20,000 which can be covered through
selling new memberships, enhancing the profitability of WYSTC and in cost cutting.
What type of members gain?
Those who have multiple memberships and/or
Attend WYSTC with multiple delegates on a CAT2+ membership
What type of members are worse off?
WYSE CAT 2 ONLY members who do attend WYSTC.
20 CAT 1 & OTOs who attend WYSTC – as they will no longer get the full WYSTC discount.
(These members pay less for their membership than the value of the WYSTC discount which
we can no longer afford to subsidise. There is a risk that they can’t afford to come to WYSTC in
the future– that could mean that we lose up to 32 delegates.
Interesting statistics
Members who stand to be €1000 or more better off with the new membership system, tend to bring on
average 3 delegates to WYSTC.
Members who lose out with the new membership system tend to bring on average 0.7 delegates to WYSTC.
WYSE Travel Confederation
Page 28 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
StrategicActionPlan‐Boardapprovalandmemberengagementprocess
The following provides a critical path relating to the implementation of the restructure proposal and approval
process:
Action Start date Deadline Duration Business Days
Responsible
Distribute revised proposal 10 July 10 July 1 day DC
Executive Board to review updated proposal
10 July 15 July 4 days Executive Board
Board sign‐off as per final proposal:
Organisation structure
Membership structure
Accounts structure
15 July 15 July 1 days Executive Board
Development of member communiqué incorporating proposed restructure
9 July 15 July 5 days JW/DC
Design member communiqué 15 July 18 July 3 days Marketing
Distribution of member communication to Executive Board
10 July 10 July 1 day DC
Revision and finalisation of member communiqué
16 July 20 July 3 days JW/DC/marketing
Circulate communiqué to members with AGM papers
21 July 21 July 1 day WYSE
Outreach and consultation with members to gain buy‐in from keys stakeholders
22 July 18 Sept Approx. 2mths WYSE Executive team and Board
Present proposal in detail at WYSE AGM, Cape Town
22 Sept 22 Sept 1 day DC
Revise and re‐write WYSE Constitution to reflect new structure
28 Sept 12 Oct 11 days External constitution specialist
Distribute EGM papers October End October
WYSE
Hold EGM 30 Nov 30 Nov 1 day WYSE
WYSE Travel Confederation
Page 29 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
StrategicActionPlan–aroadmapfortheconsolidationandimplementationofnewmembershipmodel
Based on a successful EGM whereby there is a majority vote to proceed with the restructure, the following
outlines a broad strategic action plan with an approximate timeline:
Objectives Strategy Key Actions Approx. delivery timeframe
Who
Ensure members and wider industry are informed of EGM results
Publish EGM results to members
Develop and implement comms strategy in advance.
Mid Dec DC/MarComms
Ensure WYSE is a strategic and relevant membership organisation servicing the global youth travel industry
Develop a 2016 Strategic Action Plan that incorporates and offers a portfolio of benefits and services that is aligned with vision and mission of WYSE, new structure and member needs
Hold strategic planning session with Executive team
Consultation with Executive Board
Finalisation of strategy
Dec DC
Ensure members and wider industry are informed of new structure and membership proposition
Launch a comprehensive sales and marketing campaign to promote the new organisation and membership structure to existing members and wider industry
Design marketing and PR strategy
Dec MarComms
Ensure optimum member recruitment and retention is achieved
Develop Membership Recruitment framework that provides the relevant tools to leverage the new model and effectively attract new members
Develop member prospectus
Launch prospectus and activate aggressive sales campaign
Dec Jan and ongoing
Executive/membership
Ensure the interests and needs of the various industry sectors are fulfilled
Establish Advisory Panels Establish Terms of Reference for the AP’s
Invite existing SA Board members to sit on AP’s
Source and secure SA Managers
Develop strategic framework for respective Advisory Panels
Dec‐Jan DC & JW
Ensure strategic objectives of the organisation are achieved
Conduct a mid‐year assessment of KPI’s to determine gaps and alternate strategies required to achieve successful outcomes
Prepare progress report for Executive Board
Executive Board review
Develop alternate strategies of required
June 2016 DC & Executive Board
All dates are approximate and preparation will be started after the WYSTC AGM
WYSE Travel Confederation
Page 30 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDICES
APPENDIXA–SectorAssociationcomposition
Sector Association Members Roles
IAPA 4 1 Chairperson
1 Treasurer
2 additional IAPA members
WWVA 6 1 Chairperson
1 Treasurer
? additional WWVA members
IASIS 4 1 Chairperson
3 additional IASIS members
STAYWYSE 5 1 Chairperson
1 Treasurer
3 additional STAYWYSE members, one of which is a permanent seat awarded to Hostelling International
ISTC 3 1 Chairperson
2 additional ISTC members
SATA 5 1 Chairperson
4 other members
ISIC 11 1 Chairperson
9 additional ISIC issuers Study WYSE Study WYSE is an advisory panel with no constituted
board or association
WYSE Travel Confederation
Page 31 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXB–Theroleofthesectorassociations
International Au Pair Association (IAPA)
IAPA was founded by leading au pair organizations in 1994 and has more than 170 member organizations in 45
countries worldwide. One of the primary objectives of IAPA is to promote au pair programmes among young
people throughout the world in order to both assist in the development of friendly, peaceful relations and
strengthen cultural ties between nations. The aims and objectives of IAPA are to:
Promote au pair programmes among young people throughout the world in order to both assist in the
development of friendly, peaceful relations and strengthen cultural ties between nations.
Secure mutual understanding and co‐operation between all members of the Association in via access
to conferences, seminars, exchange of literature and information.
Take such action as may be possible to assist in the development of au pair programmes in countries
where they do not exist and to encourage governments and official bodies to sanction au pair
programmes to and from their countries with the minimum of restrictions.
Lobby governments to treat au pair programmes as cultural exchange and not as work programmes so
that au pairs and their receiving host families are not subject to employment taxation.
Establish guidelines for the conduct of business between members and for the treatment of au pairs
and host families.
Increase public awareness of the professionalism of the members of the Association and to monitor
their conduct.
WYSE Work and Volunteer Abroad
WYSE Work and Volunteer Abroad is the leading global forum and trade association for all organizations
involved in work abroad and volunteer programmes. The mandate of WYSE Work and Volunteer Abroad is to
facilitate and increase international youth travel and exchange through the promotion of culturally‐oriented
work and volunteer abroad activities aimed at providing young people greater knowledge and understanding
of other cultures. WYSE Work and Volunteer Abroad supports work and volunteer abroad opportunities by:
Providing a Code Of Conduct among members, and for the treatment and protection of participants in work and volunteer abroad programmes
Assisting in the development of work abroad and volunteer programmes and encouraging governments and official bodies to facilitate these
Encouraging governments to treat work abroad and volunteer programmes as cultural exchange
Increasing public awareness of the value of culturally oriented work abroad and volunteer programmes
Promoting an International Standards Manual for Work Experience Programmes, which establishes best practices to the benefit of both participants, as well as work abroad and volunteer organizations
Networking: hosting conferences and seminars, and promoting the exchange of literature and information for members
Taking part in the Global Youth Travel Awards (GYTA) by supporting two awards: Best Work Experience
Award (previously called “Expand Your Horizons” Video Contest) and the Outstanding Volunteer
Project Award
WYSE Travel Confederation
Page 32 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
STAYWYSE
STAY (Safe Travel Accommodation for Youth) WYSE is an industry association to represent the entire global youth travel accommodation sector. By bringing together the diverse segments of this significant $34 billion/year industry, STAY WYSE provides much needed support and representation for one of the travel industry’s fastest growing niche markets.
The priorities for the STAY WYSE Association are to:
Create a strong profile and representative force that will encompass the needs of all youth and student accommodation service providers.
Provide PR and marketing to increase and strengthen the profile of the youth travel and student accommodation industry.
Offer members access to market and industry intelligence, statistics and analysis.
Provide networking and trading opportunities for members.
Maintain a guide to best practice on safety for youth travel & student accommodation providers
Facilitating best practice on safety
Undertake lobbying and representative activities to encourage the development of youth travel & student accommodation services in countries around the world.
Work in a consultative relationship with established youth accommodation organizations.
STUDYWYSE
Study WYSE represents the global language and study abroad community and provides its members together with WYSE Travel Confederation, a year‐round service to help optimize business opportunities for its members. Joining together higher education institutions, language travel schools, agents, university prep‐courses and all organizations in the global education travel industry; STUDY WYSE represents the entire global youth educational travel sector.
International Association of Student Insurance Services (IASIS)
The International Association of Student Insurance Services (IASIS) is a global not‐for‐profit organization and sector association of the World Youth Student & Educational (WYSE) Travel Confederation. IASIS helps to fulfill young peoples’ international travel ambitions by ensuring that a student’s appetite for adventure is not restricted by their insurance coverage. For over sixty years, IASIS has been developing flexible and affordable insurance policies that meet the unique needs of youth and student travellers, in partnership with trusted insurance companies. These policies have been specially developed for youth and student travel specialists such as: adventure tour operators, student travel agents, work abroad programmes, language schools, au pair agencies, universities, school groups, sports tours and youth hostels.
International Student Identity Card (ISIC)
The ISIC Association is the non‐profit organisation behind the International Student Identity Card (ISIC). The
ISIC card is the only internationally accepted proof of bona fide student status.
First established in 1953, the ISIC card is now issued to students in over 130 countries. The ISIC card is not
exclusive. All bona fide students over the age of 12, regardless of their nationality, race, gender or religion can
purchase an ISIC card at an affordable price. Via one single card, ISIC students gain preferential and discounted
access to products, services and experiences relevant to all aspects of student life, from software licenses and
cinema access, to bookstores, public transport, cafés and eateries.
Through the wide range of opportunities available to cardholders, the ISIC Association aims to play a
supporting role in improving intercultural understanding, increasing educational opportunities and facilitating
student life across the world. Related to this, the ISIC card has been endorsed by the United Nations
Educational, Scientific and Cultural Organization (UNESCO) since 1968.
WYSE Travel Confederation
Page 33 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
International Student Travel Confederation (ISTC)
The ISTC’s mission is: “to increase international understanding through the promotion of travel and exchange opportunities among students, young people and the academic community.” The International Student Travel Confederation (ISTC) is a not‐for‐profit organization, founded in 1949 by the travel departments of a group of national student unions, to explore the needs of the growing numbers of student and youth travellers. Thanks to ISTC, students, young people and teaching professionals have access to a global network of leading travel specialists, offering low priced flights, travel tickets, insurance, accommodation, work and study abroad programs as well as special deals on entertainment, sightseeing and shopping in countries all over the world.
Student Air Travel Association (SATA)
SATA is an international membership association of student travel agencies who share a commitment to provide affordable and accessible travel to young people. Recognizing that a student traveller is a unique customer niche, SATA began more than 30 years ago to provide specialized air travel products that meet young people’s unique needs.
SATA is best known for the “SATA type ticket”, a uniform flight ticket providing special fares to full‐time students and youth under 26. SATA tickets are negotiated via Ticket Acceptance Agreements between air carriers and individual SATA members.
SATA members and agents of the SATA ticket have established a distribution network of 2,500 retail outlets
worldwide. As student and youth travellers have a specific need for flexibility and often change plans or make
new ones on the road, this network ensures that they can find a SATA ticket agent almost anywhere they go.
This distribution network and level of customer service are unique and are what makes the SATA ticket so
attractive to students.
WYSE Travel Confederation
Page 34 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXC–Currentaccountingstructure
WYSE Travel Confederation
Page 35 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Accountingprocess‐associatednotes:
WYSE Travel Confederation including the sector associations are constituted in Denmark as not for
profit associations.
Each constitution contains the condition that, in the event of dissolution then all remaining funds are
gifted to another not for profit entity to continue similar work to the dissolved association, or
remaining funds are gifted to WYSE Travel Confederation.
The associations are located in Denmark for taxation reasons. There is a unique gifting treaty between
the Netherlands and Denmark with allows unlimited frequency of gifting of unlimited amounts
between entities. This taxation position was very useful when the Confederation and the associations
were making surpluses each year.
As the main Confederation has commercial activities (e.g. leasing of office space and equipment as
well as the employment of staff), there is a wholly owned subsidiary called International Association
Services A/S Dutch Branch that handles these activities.
The entity handles all the commercial activities of the Confederation and the associations and is
registered for VAT. The commercial activities also include the WETM and WYSTC events.
IAS trades via Dutch bank accounts.
All commercial activity, both income and expenditure, for all association projects is channeled through
IAS, with the activity coded against each association or project. The net of VAT cost and revenue is
accounted in this way.
At the end of each financial year, a set of accounts is produced for each project and this is
consolidated with the association membership fees. As a result of the current accounting structure,
separate accounts for each association need to be generated and maintained as well as a set of
accounts for each association within IAS.
At the end of each year, there is then a tally up of the costs paid out of IAS and this should then be
reimbursed back to IAS by the association.
WYSE Travel Confederation
Page 36 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXD–Proposednewaccountingstructure
The Danish/ Dutch accounting system is no longer tax efficient and will be replaced by a single entity that can
handle membership income and trading activities in one.
WYSE Travel Confederation
Page 37 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXE–Membershiptrends2010‐2015
Year WYSE WWVA STAYWYSE STUDYWYSE IAPA IASIS
2010 532 123 46 147 151 24
2011 558 121 48 115 150 0
2012 495 116 66 66 177 20
2013 480 102 172 29 175 11
2014 470 108 221 52 180 20
2015 447 102 214 46 170 20
Membership trend graph
0
100
200
300
400
500
600
2010 2011 2012 2013 2014 2015
WYSE
WWVA
STAYWYSE
STUDYWYSE
IAPA
IASIS
WYSE Travel Confederation
Page 38 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXF–Currentmembershipstructureandfees
WYSE Travel Confederation Category Euro
Full Member, Category 1 CAT 1 € 450.00
Full Member, Category 2 CAT 2 € 1,250.00
Full Member, Category 3 CAT 3 € 6,500.00
Full Member, STAY WYSE 1‐100 Beds CAT 1 + S € 100.00
Full Member, IAPA FULL subsidised CAT 1 + I No fee
OTO, NTA, NTO Member OTO € 750.00
NGO Member NGO € 750.00
Service Partners Service € 1,800.00
IAPA
Full Voting Member FULL € 600.00
Full Non‐Voting Member FNV € 450.00
Associate Member ASS € 700.00
Affiliate Member AFF € 300.00
NGO Member NGO € 250.00
National Au Pair Association Members NAPA No fee
IASIS
Full Voting Member No fee
Issuing Agent No fee
STAY WYSE Number of beds
Accommodation provider: 1 ‐ 50 Beds one ‐ 50 € 225.00
Accommodation provider: 51 ‐ 100 Beds 51 ‐ 100 € 325.00
Accommodation provider: 101 ‐ 200 Beds 101 ‐ 200 € 500.00
Accommodation provider: 201 ‐ 1000 Beds 201 ‐ 1000 € 600.00
Accommodation provider: 1001 ‐ 5000 Beds 1001 ‐ 5000 € 1,200.00
Accommodation provider: 5000 + Beds 5000 + € 5,000.00
Booking Engine € 5,000.00
Affiliate Member AFF/Service € 700.00
Official Tourism Organisation Member OTO € 600.00
National Association NA € 100 per member
STUDY WYSE
Full Voting Member FULL € 300.00
Associate Trading Member ATM € 300.00
Associate Non‐Trading Member ANT € 300.00
WYSE Work & Volunteer Abroad Nr. Of participants
Full member 1 ‐ 500 € 400.00
Full member 2 501 ‐ 2000 € 750.00
Full member 3 2001 ‐ 6000 € 1,200.00
Full member 4 over 6000 € 1,700.00
Affiliate Member € 250.00
Associate member € 540.00
Official Tourism Organisation Member € 200.00
WYSE Travel Confederation
Page 39 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXG–Proposednewmembershipmodel Student Starter Associate Full member Service NTB/OTO Elite Member Association
NB: Upgrades must be done 6 mths prior to WYSTC if attending WYSTC
€ 75 ISIC card holders € 100 non‐ISIC
€ 400 € 600 € 1,550 € 2,000 € 750 € 6,500 € 750
NB: Downgrades can only be done after completing 1 full membership year.
Proof of Uni email Max 5 FT employees
Max 1 office/location Subsidiaries possible Subsidiaries possible Subsidiaries possible Subsidiaries possible
NB: Membership pro rata 25% per quarter after first quarter
Not available to multiple locations
Must be sender or receiver of both.
Insurance, IT, marketing, finance, consultants
City, region, government
Can be elite full member, service or OTO
Only applies to staff of association, not its members
Not rolling membership
Upgrade after 2 years
Continuous membership Continuousmembership
Continuousmembership
Continuousmembership
Continuousmembership
Continuous membership
WYSTC registration discount € 0 € 100 € 300 € 600 € 700 € 300 € 1,000 € 300
WYSTC booth discount € 0 € 0 € 100 € 400 € 400 € 400 1 FOC Medium Stand € 100
Access to Webinars No Yes Yes Yes Yes Yes Yes Yes
Access to Research reports Yes Yes Yes Yes Yes Yes Yes Yes
Logo No No only 1 possible ‐✓ Up to ✓✓✓* Up to ✓✓✓* Up to ✓✓✓* Elite up to ✓✓✓* Up to ✓✓✓*
Listed on site & WYSTC ‐ with verification tick
No No only 1 possible ‐✓ Up to ✓✓✓* Up to ✓✓✓* Up to ✓✓✓* Elite up to ✓✓✓* Up to ✓✓✓*
Letter of Support No No No Yes Yes Yes Yes Yes
ITB booth space No No Yes ‐ no discount 10% Discount 15% Discount 15% Discount FOC Yes ‐ no discount
Voting rights No No No 1 Vote No 1 Vote 2 Votes No
Board member nomination No No No Yes No Yes Yes No
Discounts to WYSE events (excluding WYSTC)
No 10% 15% 25% 25% 25% 35% 15%
Access to online member portal (trading connections)
No No No Yes Yes Yes Yes No
Ten bespoke data sets – existing data
No No No No Yes Yes Yes No
Full page advert WYSTC Trade Catalogue
No No No No No No Yes No
Research sponsor No No No No No No Yes No
Webinar sponsor No No No No No No Yes No
COMMENTS
WYSE Travel Confederation
Page 40 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXH–SWOTAnalysis:withoutchangetothecurrentorganisation
The following analysis has been undertaken to demonstrate the strengths, weaknesses, opportunities and threats if the operating environment and organisational structure remains the same:
Strengths Weaknesses
Sector associations agenda continues to service the needs of their members
The voice of WYSE will not be leveraged to its full capacity by the sector associations
Sector associations have strong, recognisable and reputable brands which can continued to be leveraged
Multiple memberships will continue to cause confusion among potential recruits for both WYSE and SA's
Members of sector associations are clear on the benefits and relevance of being a member of sector associations
Due to financial strain, WYSE administrative support to sector associations may decrease
Sector associations currently have full financial control over income and expenditure of their respective budgets and accounts
Growth of WYSE will be restricted by lack of funds and bureaucracy if consolidation of funds is not established
Sector associations have full industry insights and expertise relating to their respective sectors
WYSE will continue to be burdened by the cost and arduous accounting procedures that currently exist managing multiple accounts
The Sector Associations are in relatively good financial standing
Opportunities Threats
Continued understanding of the existing structure will not confuse members
On going financial deficit and unsustainability of WYSE may result in inability to service sector associations
Inability for WYSE to clear existing debts to sector associations may result in liquidation of WYSE, creating a significant industry development gap
Continuing with a complex, fragmented membership structure, may result in loss of members for both WYSE and Sector Associations
Without forward‐thinking/organisational change in terms of member value and benefits, sectors may lose members and relevance
Sector associations may not be able to leverage the administrative support currently provided by WYSE, due to financial strain on WYSE
WYSE Travel Confederation
Page 41 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
APPENDIXI–SWOTAnalysis:withaconsolidatedorganisationalstructureMembership & industry engagement
Strengths Weaknesses Solution
WYSE Travel Confederation is the only global membership organisation servicing the global youth travel industry
Consolidation will place full responsibility and pressure on WYSE to service and deliver sector specific member value
Ensure a clear strategic action plan is developed to ensure valuable, relevant and timely benefits and services are delivered
Sector interests can continue to leverage WYSE Travel Confederation's longstanding heritage as the global representative of the youth travel industry
Members with specific sector needs, issues, challenges and opportunities risk being lost if sufficient resources are not established to service
As above
One cohesive global membership organisation will create a strong message to members and wider industry that there is a reliable and credible support/advocacy mechanism
Consolidation of membership, programs and initiatives will require additional human resources
Hire sufficient resources
Consolidation of WYSE and sector associations will create a unique, relevant and competitive membership organisation that fosters industry ‐wide growth and development
Removal of formal (constitutional) processes may be perceived negatively by members
Member education necessary to gain support
Ability to streamline strategic organisational objectives to improve alignment with (sector) member needs
One membership will provide one access point to the suite of benefits and services, creating a more attractive member proposition
Opportunities Threats Solution
Opportunity to minimize areas of difference and maximise areas of common ground, again to increase membership value and relevance
Sector Association boards may perceive that the consolidation will translate to "loss of control" or feeling of uncertainty
Board consultation needs to be undertaken, full buy‐in/support prior to AGM
The ability to offer a singular, all‐encompassing membership that has an attractive pricing strategy
Membership association culture will change and can be met with resistance among existing members who have been members for a long time
A comms plan needs to be established so benefits are clearly communicated and thus fully understood by members
The member recruitment process from a human resources perspective will be simplified and more efficient ‐ one sales pitch, one recruitment process
Initiative does not receive majority vote (support) at the 2015 EGM
One‐on‐one consultation with "industry leaders/opposition" will be required to get buy‐in/support prior to AGM & EGM
Improve cross fertilisation and exchange of ideas internally which will transcend into member benefits
Potential loss of members e.g. IAPA due to higher membership fees
New membership model to be established to provide affordable membership dues
Greater financial freedom, will enable WYSE to deliver more targeted and bespoke member and sponsor benefits and services
Loss of members from sector associations due to perceived lack of sector specific focus
Again, clear messaging and education of members will be required to counteract negative mind‐set
Create one consolidated online member portal via the establishment of one website
Sector association brands may lose exposure
Retain sector association brands and educate existing members and industry they will remain important and strong sub‐brands of WYSE
Consolidation of member communications, creates a more powerful voice
May take time for SA members to have confidence in new structure and recognise benefits
As above
Opportunity to create one consolidated strategic plan, with shared vision, goals and objectives
Establish advisory panels to continue to service the needs of the various sectors
To continue to grow the Confederation's intelligence network within industry
WYSE Travel Confederation
Page 42 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Finance, strategy, administration & resources
Strengths Weaknesses Solution Consolidation will have a positive impact on the Confederation's financial standing through the increase of member assets ‐ supporting financial sustainability
Consolidation will remove the Sector Association Board's financial governance of existing funds
Establish internal financial control mechanism to satisfy due diligence
Sector interests via Advisory Panels will benefit from existing WYSE administrative support (research, events, policy and marketing)
Removal of Association Boards and transitioning to advisory panels will reduce the formal governance of programs and initiatives
Establish detailed strategic action plans
Uniting sector associations with WYSE and creating Advisory Panels, will reduce administration duplication and increase productivity
Transfer of knowledge and expertise to Executive to speak with authority on all industry sector issues and opportunities may take time
Must ensure there is an internal skills development and transfer mechanism in place
Removal of lengthy and time consuming Sector Association Board procedures and processes will free human resources
WYSE does to a degree, not have the current sector specific experts required to manage internal advisory panels
Hire capable resources to complement existing structure
Establishing one cohesive industry association will create a competitive advantage as a youth travel industry membership organisation
Existing staff may feel there will be added workload as a result of a consolidation
Staff consultation, planning and buy‐in will be essential for success and a healthy work environment
Improvement of governance with one membership association
Opportunities Threats Solution Consolidation of human and financial assets enables WYSE to increase the delivery of business development platforms and initiatives that will benefit all members
Current organisational (human resources) structure may not be in a position to service the needs of a consolidated membership association
Re‐structure and review of resources required to ensure capacity to deliver
Consolidation of administration of membership will provide cost savings
Opportunity to create a more time efficient and cost effective financial structure
Reduction in administration of sector associations (AGM, Minutes etc.) will free resources to focus on developing and implementing new, valuable sector initiatives
WYSE Travel Confederation
Page 43 of 43
Confidential document belonging to WYSE Travel Confederation. DO NOT CIRCULATE
Communications & profile
Strengths Weaknesses Solution An increased membership base will create greater authority and reach
Consolidation will increase WYSE Travel Confederation's presence and profile within the industry
Media communications process and delivery will be more efficient and productive due to decrease in administrative process
Ability to communicate to other national youth travel associations with one voice
Opportunities Threats Solution
Policy & Advocacy
Strengths Weaknesses Solution
Members with specific sector interests can leverage the credibility and reputation WYSE has established at government (national and global) and association level
Ability to put forward a collective and clear view and position of its members to government departments, agencies and regulators
Ability to effectively and efficiently disseminate industry and market intelligence and respond quickly without having to go through multiple internal channels for feedback and sign‐off
Opportunities Threats Solution
WYSE to become the key access point for government policy makers and youth travel marketing bodies as it will have access to the best‐available evidence from its members
Sponsorship, partnerships & event attendance
Strengths Weaknesses Solution
WYSTC will be branded as the must‐attend event, continuing to cater to all sector association needs
Consolidation will free resources to create, secure and deliver new programs that will provide added revenue streams to strengthen the organisation
Opportunities Threats Solution
Opportunity to secure more lucrative sponsors and corporate partners as a holistic value proposition (spanning across all industry sectors) can be offered
top related