SOURCE: Aberdeen Group

Aberdeen Group

January 05, 2010 11:50 ET

Real Estate and Facilities Management: Defining a Strategic Process, Driving Significant Value

New Study Finds That Enterprises Can Derive Significant Value From This Strategic Internal Function

BOSTON, MA--(Marketwire - January 5, 2010) - The current and ongoing global economic recession has forced many enterprises to reevaluate existing programs and plans as a means of driving business performance in tough times. It is with this backdrop in mind that enterprises should extract value from existing assets and operations through effective real estate and facilities management, according to a new study published by Aberdeen Group, a Harte-Hanks Company (NYSE: HHS).

The "Real Estate and Facilities Management: Defining a Strategic Function, Driving Significant Value" report, which surveyed the strategies, performance, and key capabilities and technology utilization of over 120 enterprises, found that the majority (65%) of organizations perceive real estate and facilities management as a more strategic enterprise function. Because of the economic downturn, as the new study indicates, enterprises can appreciate the role of real estate and facilities management in impacting monetary outlays and driving financial performance.

"With nearly 13% of the average enterprise's spend dedicated to its real estate and facilities costs, the location and support of business locations also has a significant impact on financial performance," said Christopher Dwyer, research analyst and author of the study, Aberdeen. "In good times, a focus on cost containment is prudent; in more difficult times, it becomes a necessity. But, for leading enterprises, the long-term value of looking beyond real estate and facilities spend as sunk costs or simply the cost of being in business is measurable and pays dividends to those enterprises willing to believe that their competitive position can be affected by where they do business and how they manage these spaces."

The new report found that leading enterprises (the top 20% of aggregate performers based on a set of key performance metrics) have readily leveraged core organizational capabilities and key technology solutions to drive real estate and facilities management performance. These top-performing enterprises are:

--  52% more likely than Laggard enterprises to have standardized
    policies and processes for facilities management
--  44% more likely to have a corporate real estate group
--  42% more likely to conduct formal space planning

A complimentary copy of this report is made available due in part by the following underwriters: Accruent, USM Services, and VFA. To obtain a complimentary copy of the report, visit:

Visit for additional access to complimentary Global Supply Management Research.

About Aberdeen Group, a Harte-Hanks Company

Aberdeen provides fact-based research and market intelligence that delivers demonstrable results. Having queried more than 30,000 companies in the past two years, Aberdeen is positioned to educate users to action: driving market awareness, creating demand, enabling sales, and delivering meaningful return-on-investment analysis. As the trusted advisor to the global technology markets, corporations turn to Aberdeen for insights that drive decisions.

As a Harte-Hanks Company, Aberdeen plays a key role of putting content in context for the global direct and targeted marketing company. Aberdeen's analytical and independent view of the "customer optimization" process of Harte-Hanks (Information - Opportunity - Insight - Engagement - Interaction) extends the client value and accentuates the strategic role Harte-Hanks brings to the market. For additional information, visit Aberdeen or call (617) 854-5200, or to learn more about Harte-Hanks, call (800) 456-9748.

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