You know your industry is having a hard time keeping up with the changing times when hi tech companies begin looking at how to fix your problems (and no….not just by developing some new iWMS system).
Patents and the Real Estate Industry
Things are getting bad when patents begin attacking an industry which generally isn’t regarded as leading edge in technology. CIVIX-DDI is currently focused on the residential industry but how long will it be before they come after those in the corporate real estate space? I can’t think of an industry most in need of technology…
Data is the new Black
Sure, it’s cliche – but true. When making decisions, don’t rely on the proverbial gut. Look to the information that you have at hand that can lead you in the right direction. Making decisions without good data is similar to banging a stick against the hornet’s nest hoping to remove it from the deck. You…
Time to Get Back to Simple
Too much about CRE is being over-complicated these days. Software vendors pushing integrated Workplace Management Systems (iWMS) that tie to finance, HR, sales and marketing. Brokers with financial models showing every possible nickle. Consultants with complicated strategies to reduce footprint 15% over the next 3 years. Sometimes it’s hard to step back and realize that…
The Reason Behind Real Estate
Something to always keep in mind that is too often forgotten: no companies have real estate for the sake of having real estate. Real estate supports a business operation. Real estate is tier 2 and if you don’t understand who is working there or what they are doing you will never get the best solution.
What is CRE Integration?
Buzzwords can tell you the current pulse of an industry and help you identify trends as they are happening. The new one in CRE is “Integration”. Integration has come to mean a lot of things to a lot of different people. Ultimately it’s simply a corporate CRE department looking for a partner to help them…
Hitting the Restart Button
Going to try to start this blog back. This time I’ll be taking more of a general approach to commercial real estate. Over the past couple of years since I last posted anything I have learned quite a bit and developed a wide range of opinions, thoughts and questions. I’ve also learned a little bit…
Forecasting, Pt 5
Start simple/evolve toward accuracy With all that said to scare you away, why should you even bother forecasting? Because it helps you look at a particular type of decision in a consistent manner. Decisions will be made in a though-through manner with the proper inputs. Also, people like to have a stake in the ground…
Forecasting, Pt 4
Forecasting’s ultimate goal is to accurately understand how your business will run The chart below shows the input that a forecast has on any given business decision. As you can see it is only one of six possible inputs (although past market conditions may also be captured in the forecast). Tribal knowledge, gut feel and…
Forecasting, Pt 3
Iterate regularly to test for variable sensitivity Every model has the ability to be stress tested. Test them regularly to see how the result changes based on varying conditions. Test for sales dropping 10%. What if prices drop 5% and sales rise 10%? What if your entire logistics department is out sick for the month…