Beruflich Dokumente
Kultur Dokumente
SAP ERP
SAP® Real Estate Management
Strategies for Commercial
Real Estate Managers
For commercial real estate companies, deliver high performance while develop estate managers must handle numerous
competing successfully has never ing new strategies, maximizing oppor strategic and operational tasks from the
been more challenging. Operations are tunities, and avoiding unnecessary time a purchase is initially considered
becoming intrinsically more complex. portfolio risk. You must increase profit through such stages as acquisition,
Favorable regulations overseas and margins by maintaining high occupancy construction, refurbishment, leasing,
declining profitability margins in local levels, investing in the right markets at and final disposition.
markets are driving many organizations the right time, delivering projects on
to expand their international holdings. time and on budget, and controlling Point solutions work well for companies
Many organizations are diversifying their operational costs – all while strate managing small regional portfolios or
portfolio mix to pursue new opportuni gically planning corporate growth or those with little potential for growth or
ties and ease cyclical market swings. diversification. diversification. However, these solutions
Some enterprises are generating addi come with definite liabilities, especially
tional revenue through complimentary Effectively Managing the Real for growing organizations.
lines of business such as construction Estate Property Life Cycle
or facilities services. Often point solutions lack the capacity
All types of property – including retail, and flexibility to handle all property types
Profitability is ever more elusive. Rising office, industrial, residential, land – and processes. Most offer a limited
energy costs have boosted property progress through a similar property life range of country localizations to support
upkeep expenditures. Global expansion cycle (see Figure 1). Commercial real local languages, currencies, measure
and diversification can create costly
operational impediments, such as
expanded compliance efforts and addi Facility
and Service Disposition
tional time needed for site selection and Real Estate Management
development. The business systems Operations
used by most commercial real estate Construction/
Refurbishment
companies are ill equipped to meet
these challenges. Multiple legacy sys
tems and IT vendors can lead to dupli Acquisition
cate management efforts that result in
untimely, often inaccurate, information Investment
and inefficient processes. All these Idea
factors can negatively impact overall
portfolio profitability. Planning and
Optimization
Despite these industry realities, com
pany managers and investors expect
commercial real estate managers to Figure 1: Property Management Life Cycle
For commercial real estate companies, With more than 15 years of experience
growth is an important element of suc serving real estate enterprises, SAP
cess – whether your company pursues has the depth and breadth of industry
growth through geographical expansion, knowledge and solutions necessary to:
investing in complimentary lines of busi • Support your global expansion –
ness, or expanding your physical port SAP provides the financials function
folio mix. Whichever path you choose, ality to support global currencies, tax,
increasing process efficiency and keep and regulations as well as local real
ing a close eye on expenses can unlock estate requirements.
previously untapped investment capital. • Enhance your operational efficiency
by reducing redundant activities –
The SAP solution for commercial real The SAP software increases the speed
estate management offers you the and accuracy with which you can pro
functionality you need to create com cess tasks, while providing full autho
petitive differentiation and promote rization and audit control to quickly
your success. You can enhance growth identify issues and resolve them.
and visibility, drive new revenues while • Facilitate your expansion into comple
controlling expenses, mitigate risk, and mentary lines of business, such as
improve compliance. It empowers your construction and facilities management
teams by encouraging collaboration, – The SAP software provides a unified
enabling faster response to tenant software environment with full visibil
requests, and helping them overcome ity into financial and process informa
operational and strategic impediments. tion across business lines. Find Out More
• Enable expansion of your asset port
folio mix – SAP Real Estate Manage The SAP Real Estate Management
ment provides the flexibility and application, based on SAP ERP and the
adaptability to accommodate any type SAP NetWeaver technology platform,
of real estate property mix – including provides a complete solution that can
office, industrial, multifamily, retail, help your commercial real estate orga
and land assets –and supports it with nization meet current and future goals.
specific lease and portfolio informa To learn more about how SAP can help
tion, processes, reports, and you, call your SAP representative today
correspondence. or visit us at www.sap.com/realestate.
Activity Benefit
Lease management • Efficiently create real estate contracts for landlords or tenants; set up service, sales, or
leasing contracts; create security deposit agreements
• Enter all important data into the contract, including term, assets, and business partners
• Quickly add lease conditions for the contract and adjustment rules to be used to handle
receivables and payables related to the partner recorded in the contract
Condition adjustment • Adjust conditions automatically, even when multiple leases must be changed for legal or
contractual reasons
• Choose from several methods to adjust conditions, including free adjustment, index
adjustment, representative list of rents adjustment, adjustment using a comparative
group of apartments, and adjustment of the advance payments made for common area
maintenance reconciliation
Cost recovery Settle all operating costs and heating expenses rapidly, including heating expenses
calculated by external service providers
Percentage-based and sales-based rent Monitor and settle contracts predicated on the tenants’ turnover
Controlling Automate controlling procedures, including planning, assessment, and settlement costs and
revenues from real estate management
Summary
The SAP® Real Estate Management application provides both the scalability and flexibility to
allow your company to move swiftly to execute new strategies, reduce operating costs,
drive revenue, and increase competitive advantage. It is the cornerstone of a full property
life-cycle solution for commercial real estate companies.
Business Challenges
• Overcome operational problems resulting from growth and increased complexity
• Control and reduce expenses
• Increase revenue
• Improve space utilization
• Reduce operational and investment risk
• Analyze property-related data on a strategic and operational level
Business Benefits
• Improved management of real estate life cycle using a system that can accommodate
your company’s current and future business
• Enhanced cost control through monitoring and recovering costs related to assets in your
real estate portfolio
• Increased revenue by increasing tenant retention and closely tracking occupancy rates
• Minimized company risk through improved process and portfolio controls,
comprehensive validation procedures, unparalleled transparency, and a full audit trail 50 093 207 (09/01)
©2009 by SAP AG.
• Optimized asset portfolio as a result of using a full set of industry-specific operational All rights reserved. SAP, R/3, SAP NetWeaver, Duet, PartnerEdge,
and executive analytical tools ByDesign, SAP Business ByDesign, and other SAP products and
services mentioned herein as well as their respective logos are
trademarks or registered trademarks of SAP AG in Germany and
For More Information other countries.
To learn more about how SAP can help your commercial real estate organization increase Business Objects and the Business Objects logo, BusinessObjects,
performance and profitability, call your SAP representative today or visit us at Crystal Reports, Crystal Decisions, Web Intelligence, Xcelsius, and
other Business Objects products and services mentioned herein as
www.sap.com/realestate. well as their respective logos are trademarks or registered trademarks
of Business Objects S.A. in the United States and in other countries.
Business Objects is an SAP company.
All other product and service names mentioned are the trademarks
of their respective companies. Data contained in this document
serves informational purposes only. National product specifications
may vary.