Agile Real Estate management can support organizational transformation
Beyond cost reduction , CRE executives can employ strategies that add bottomline value through a fast responsiveness to changing business conditions . In this way , CRE departments can become effective partners in the agile transformation of the broader organization .
By taking a strategic perspective , CRE can play an active role in talent attraction / retention and help meet the future needs of the organization and its workforce .
Companies can select from a menu that includes the introduction of modern workplace concepts , serviced offices and membership schemes , pay-as-you-go solutions , co-location with clients / partners , “ work from anywhere ” concepts and more . An agile Real Estate Management approach requires CRE departments to choose the best items from the menu for their company to boost innovation and save space .
As workplace flexibility becomes more valued – particularly among young employees - and less staff use the same office on a regular basis , fewer permanent offices will be required . To accommodate this greater variability , the agility of the portfolio needs to increase .
The traditional static Real Estate model – where companies have use of a fixed space through a conventional lease or freehold – will shift to a dynamic , utilization-based model . Companies will increasingly rely on a range of office concepts in different locations worldwide to be able to react quickly to changing business conditions . The argument for serviced offices is a compelling one : companies pay only for the space they use , they can access offices in multiple locations , and they don ’ t have the burden of handling facilities management .
Besides serviced offices and pay-as-you-go solutions , another option for companies is to exploit renting space in co-working hubs . In some industries , having company employees work alongside those of their key suppliers or customers can be a valuable way to foster innovation and the transfer of ideas .
BENEFITS OF AGILE CORPORATE REAL ESTATE MANAGEMENT
TRADITIONAL CRE AGILE CRE BENEFITS
Office with dedicated workstations
Home / remote working
Modern office concept
Home / remote working
Co-Location
Serviced office
Talent attraction
Employee satisfaction
Innovation / Collaboration
Costs
How companies can get started on their journey towards agile CRE
To gauge how agile a company ’ s approach to CRE management is , companies can carry out an CRE agility quick check by answering three key questions . For companies seeking to implement agile CRE management , goetzpartners delivers successful CRE strategies with measurable , relevant and long-lasting impact . By making their CRE management more agile , companies can benefit from lower costs , attract and retain new talent , and boost organizational transformation .
CRE AGILITY
QUICK CHECK
STRATEGY Do you have a Corporate Real Estate strategy in place supporting your company ’ s overall strategy ?
CONCEPTS Are various office concepts such as serviced offices and co-working locations already part of your company ’ s Real Estate portfolio ?
COSTS Are your Real Estate costs below 2 % of your company ’ s revenue ?
If the answer to one of these questions is ‘ NO ’, your CRE management is unlikely to be agile .
Special thanks goes to : Frederik Sagolla , Senior Consultant , goetzpartners
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