Case Study

Background:

A Fortune 500 Company with significant land and improved assets was unhappy with the quality and service performance of the real estate staff.  The Real Estate Department had no strategic plan and was not operating as a cohesive unit.  Executive management strongly believed that the land assets had considerable value, which could be translated into cash proceeds and ultimately re-invested in the core business.  In addition, the “customer satisfaction” surveys indicated that some improvement in service was necessary.  The Company objective was to improve overall operating results by right-sizing the staff, improving individual performance levels, and developing a multi-year strategic plan .

·      Conduct a thorough evaluation of the Facilities Management and Land Management services functions by:

• Defining the specific responsibilities of the respective functions
•  Developing position descriptions and staff qualifications for the specific roles within the function
• Evaluating current staff vs the qualifications to determine training requirements and position deficiencies
• Prepare an integrated strategic plan that focuses on revenue generation from land management activities; on operating cost reductions from improved facilities management processes; and on continuing education for personnel
• Eliminate positions  no longer necessary based on the refined function responsibilities and strategy for success
• Fill mission essential positions and/or outsource activities as appropriate

• Completed a ground-up evaluation of the functions and recognized inconsistencies between the desired services and qualifications of in-place staff.
• Eliminated nearly 25% of existing positions, completed new position descriptions that matched the Company desire to monetize excess assets and improve operating performance, and established training and education plans (for CFM, CPM designations) for the staff
• Prepared a strategic plan that lead to 1) cash generation of tens of millions from the sale of excess property; 2) the development of two mixed use projects that generated cash for the company and reduced operating expenses; 3)the outsourcing of facilities management responsibilities to a nationally recognized firm, which further reduced staff and costs; and 4) higher quality staff with a desire to self-educate.