| No matter what particular type of real estate your | | | | the company's own experience as compared with |
| business has evolved ? residential, commercial or | | | | others'. The points of the comparison may be |
| industrial ? a successful business model primarily | | | | standardization of properties information, a uniform |
| focuses on real estate performance metrics, which | | | | performance measurement, identification of |
| help to streamline financial and operations processes. | | | | performance gaps and others. |
| Monitoring the factors that affect the business | | | | To find the best solution to future development |
| particularly enhances the ability to improve the whole | | | | problems the benchmarking system known as the |
| portfolio performance. | | | | Balanced Scorecard (BSC) is used for measuring and |
| Appropriate performance measures can include | | | | monitoring business performance. Designed as an early |
| calculation of rates of return, space quality and | | | | warning system it is based on the assumption that a |
| comparison to market, unresolved transactions, | | | | future-oriented consideration of value influencing |
| monthly feedback by staff, accuracy and | | | | factors contributes to the optimized evaluation of the |
| completeness of property records, quality assessment | | | | company's future progress. The benchmarks provided |
| of properties, client surveys on staff performance and | | | | by the system enhance detailed controlling necessary |
| occupancy patterns. | | | | for the further promotion of corporate processes and |
| Occupancy rates can be increased on condition of the | | | | enable the company to evaluate the future ability of |
| availability of the right amount of space at the right | | | | the property. The Balanced Scorecard goals may |
| time ? that's what prospective customers usually | | | | include several strategies. For instance, customer |
| await. Meeting their expectations is key to customer | | | | orientation means achieving client satisfaction. Financial |
| retention and consequently to higher performance | | | | perspective concerns providing financial management |
| level. | | | | of real estate assets as well as managing and |
| In addition to other information, the occupancy rates | | | | minimizing risk. Internal processes involve standardizing |
| can be viewed by property, lease changes, rent roll, | | | | and organizing the tools to estimate usage efficiency. |
| operating statements and accounts receivable | | | | Growth projection is connected with management |
| information. If the company gets the actual data, from | | | | efficiency. |
| accounts payable and receivable to lease origination | | | | In other words the company can employ the effective |
| and occupancy patterns it manages the entire portfolio | | | | instrument to measure the performance of the |
| cost effectively. | | | | portfolio with regard to real estate controlling. Relevant |
| Building up value oriented real estate management, | | | | evaluation gives information of present risks of |
| property companies look forward to the optimization | | | | investment and use as well as corporate rating |
| of the portfolio and the relevant services seeking to | | | | resulting thereof. Identifying risk areas is a prerequisite |
| measure strategic orientation, structures, processes, | | | | for building up an effective real estate and services |
| qualifications, performances together with the costs | | | | controlling. |
| and resources by certain benchmarks. | | | | Does performance measurement tools worth investing |
| Benchmarking is a continuous learning process | | | | in? Actually, the question is do you realty want to |
| targeted at creating advantages by means of | | | | measure and control real estate performance? I'm |
| identifying the problem, whether it is realization in profit | | | | sure you will find performance measure tools to be |
| or cost reduction potential, and finding the right solution. | | | | must have to this business. |
| The latter can be the result of a profound analysis of | | | | |