Martha O’Mara, Eugene F. Page and Stephen F. Valenziano
The Global dispersed corporate real estate operations and decision making processess of 26 international companies in six industry segments are compared. High standing CRE…
Abstract
The Global dispersed corporate real estate operations and decision making processess of 26 international companies in six industry segments are compared. High standing CRE organisations, which are indicated by fewer levels between the CRE executive and CEO, frequent CRE meetings with senior management, a broad span of control for facility and real estate operations, and an executive committee for real estate matters, share common characteristics. High standing CRE organisations receive more strategic planning information, have more authority and power, and more formal policies and standards. Use of relationship management with business units also corresponds with better sharing of planning information. Some of the challenges faced today by firms carry large international real estate portfolios include: cultural issues, financing concerns, lack of local expertise/market knowledge, corruption in locales, and a lack of a standard/streamlined process.
Details
Keywords
Planning for future real estate and facility needs in a highly uncertain competitive environment can benefit from a four‐stage process of demand forecasting. Based upon research…
Abstract
Planning for future real estate and facility needs in a highly uncertain competitive environment can benefit from a four‐stage process of demand forecasting. Based upon research conducted within the Corporate Real Estate Portfolio Alliance and a review of general business forecasting techniques, each successive stage relies on more abstract data and increased dialogue about business strategy with the lines of business as uncertainty about the future increases. Each stage requires increasing flexibility in the supply of real estate as the range of probabilities around the forecast widens.
Details
Keywords
The paper identifies the need for a portfolio approach to the management of real estate assets, and sets out its key components as a ‘macro’ level process. Portfolio management is…
Abstract
The paper identifies the need for a portfolio approach to the management of real estate assets, and sets out its key components as a ‘macro’ level process. Portfolio management is positioned within an overall model of the corporate real estate function, from which a definition is developed. The main generic components of real estate portfolio management are described, and the most significant findings from a survey of current practices among a group of corporate organisations are presented. The paper concludes that in overall terms a more robust approach to the portfolio management of real estate assets is required to maximise the portfolio’s functional and financial value to the business.
Details
Keywords
Because of the Internet, the most important assets any company today can possess are not bricks and mortar, but nimbleness and flexibility. Therefore, under the new model…
Abstract
Because of the Internet, the most important assets any company today can possess are not bricks and mortar, but nimbleness and flexibility. Therefore, under the new model, companies need to deemphasize, rather than build upon, fixed assets; use as little working capital as possible; and strike the right balance between “owned” employees and a virtual workforce. They should no longer seek to protect intellectual property; they should merchandise it. They will need to develop new kinds of relationships with customers, such as cooperative partnerships that add value to both sides. And they will need to farm out pieces of their supply chains and make those that remain far more substantial, so that suppliers, too, are partners.
Pity van der Schaaf and Lydia de Puy
Many corporate and public real estate managers are challenged to prove their added value to both the organisation and the individual business units or departments. Value can be…
Abstract
Many corporate and public real estate managers are challenged to prove their added value to both the organisation and the individual business units or departments. Value can be added by product and by process. This paper elaborates on ways to improve the corporate real estate portfolio management process in order to align the real estate portfolio to the different needs of the organisation and thus add value to the organisation by delivering a better product. To manage the real estate portfolio as a group instead of individual properties, the long‐term portfolio strategy should be translated into short‐term guidelines and clear performance measures in order to analyse alternatives and the performance of the individual properties. These measures should be related to what the stakeholders consider to be the added value of corporate real estate. The examples in this paper will show how a corporate real estate manager can create a clear framework for making real estate decisions on a day‐to‐day basis.
Details
Keywords
This is the first part of a two‐part paper. It discusses basic issues and concepts surrounding the outsourcing process, including the influences that drive the process, the…
Abstract
This is the first part of a two‐part paper. It discusses basic issues and concepts surrounding the outsourcing process, including the influences that drive the process, the factors that shape the process, and potential outcomes, touching briefly on complications and challenges that the client may encounter. Part Two will address the pragmatic aspects in some detail, offering concrete suggestions for more effectively managing the entire outsourcing process.
Details
Keywords
For the corporate real estate (CRE) executive who has the opportunity to plan a campus, this paper presents guidelines to ensure that campus workplace solutions are aligned not…
Abstract
For the corporate real estate (CRE) executive who has the opportunity to plan a campus, this paper presents guidelines to ensure that campus workplace solutions are aligned not only with corporate objectives but with the corporate culture as well. The paper draws on a variety of corporate campus solutions and emphasises the importance of understanding the role of CRE in supporting the company’s unique culture and in enabling change to that culture.
Details
Keywords
The Corporate Real Estate Portfolio Alliance performed extensive research into corporate real estate portfolio management and developed a number of new practices and analytical…
Abstract
The Corporate Real Estate Portfolio Alliance performed extensive research into corporate real estate portfolio management and developed a number of new practices and analytical methods. A number of papers in this issue of the Journal of Corporate Real Estate resulted from the research. This paper provides an overview of the corporate real estate organisations and researchers involved, the research methodology and its findings.
Details
Keywords
Temba Msezane and Jeff McBride
This paper explores the strategies and roles for the organisation’s corporate real estate functionduring times of increased uncertainty. Although business continuity planning…
Abstract
This paper explores the strategies and roles for the organisation’s corporate real estate function during times of increased uncertainty. Although business continuity planning (BCP) might appear to be a separate and unique effort, there are synergies between continuity planning and standard business planning functions. It is suggested that enterprises should avoid the historically common mistake of stove‐piped planning within the context of BCP. Rather, enterprises must fully embrace an integrated approach to business continuity from crossfunctional to cross‐informational. If done correctly, business continuity planning can become a strategic asset that fully leverages an essential factor, the corporate real estate function.