Apparently the mere mention of the term ‘property assets’ used to make the eyes of senior civil servants glaze over; whereas now it’s a real attention-grabber.
And, as we discover
, it’s not just the public sector that’s showing more interest in this previously overlooked area. Businesses, too, are realising there are significant savings to be made from the skilful acquisition, management and disposal of these fixed assets. So it makes sense for buyers to be involved – if they’re not already.
It’s not only savings that can be made from your property portfolio. They also have the potential to generate income for your business. A report from commercial property advisers CB Richard Ellis warns that the availability of office space in major European markets is expected to be severely restricted until 2013. It says new office completions could fall by more than 30 per cent this year and drop further in 2012 because of a reduction in these types of construction projects.
So while it might not be a boom time for buying and selling, leasing the extra space you already have (or could find with some clever rethinking) could be one way of generating additional funds. It might also serve to highlight the value procurement can add.
Taking a different approach to achieve a better outcome is highlighted elsewhere in this issue with examples from both the private
and the public sector
. In both cases, by taking a fresh look at a category and re-examining the procurement process itself a better result was achieved more quickly.
And as Channel 4 News economics editor, Faisal Islam, told me last week: “If you apply a completely different perspective, you’re more likely to make an impact and get noticed.”
☛ See next issue to read more from Faisal, chairman of this year’s CIPS Conference on 6 October