Strategic Values of an IWMS Solution: Gain Visibility to Drive Facility Investments
By Lora Mays, Product Marketing Manager
By 2015, 1.3 billion workers, or nearly 40 percent of the total workforce, around the world will be mobile.1Combined with a continued and increased focus to “do more with less,” organizations have changed how they use their real estate and facilities drastically in the past decade and will continue to evolve as marketplace demands change.
To help manage the impact of these changing dynamics on real estate and facilities, integrated workplace management systems (IWMS) provide real-time visibility into all facets of the real estate and facility portfolio, helping to reduce costs, improve operational efficiencies and drive profitability from the core of your organization.
When information from the entire real estate and facilities lifecycle speaks the same language, you can garner a holistic view of your data and make faster, more strategic decisions to drive business growth. In this post, Accruent discusses the first of seven strategic values of an IWMS solution: Gain visibility into space use to drive facility investments.
Gain visibility into space use to drive facility investments
The overall average for vacancy rates is on the rise within the corporate sector, according to IFMA.2 These increasing vacancy rates can be attributed to a more mobile workforce as well as traditional issues, such as organizational changes and churn. Whatever the cause, these unused blocks of space are a drain on a company’s financials and overall efficiency in the workplace.
An integrated real estate and facilities system provides construction project managers, lease administrators and space planners a clear view of how the real estate and facilities portfolio is performing across the organization. Space planners, for instance, can leverage data from existing leases to understand the best way to allocate staff seating arrangements. When a lease is up for renewal, the space planner can provide insight to the lease administrator on whether to continue with the lease.
For example, a top automotive manufacturer was moving a division and consequently needed to restack office space for 1,100 employees. The lease administration team began negotiating leases to meet the needs of the team while the space and occupancy management team reviewed space allocations across the organization. In doing so, they were able to find office space for the 1,100 employees – saving the company $2.4 million in lease costs each year.
With an integrated system, space planners can share valuable insight with the lease administration team without adding an extra step to their process, making it easy to determine what types of leases make sense for the organization moving forward. As hoteling and shared workspaces have become more popular within the corporate sector, it has driven companies to learn how to better utilize their space and reduce their lease and real estate commitments.
To help reduce real estate commitments, many organizations are leveraging IWMS solutions to implement dynamic chargeback systems. By charging departments for their used space, it helps to minimize space hoarding and provides a clear view of available space. After all, departments are less likely to hold on to unused space if it impacts their operating budgets. This can help manage lease commitments and enable strategic decisions when it comes to space forecasting.
Visibility into your space usage to drive facility investments is just one value that your organization can gain from an IWMS solution. Download the whitepaper The Strategic Value of IWMS to learn how your organization can drive profitability from your real estate and facilities portfolio.
1The Rise of Mobility; International Data Corporation.
2 Space and Project Management Benchmarks; International Facilities Management Association.