SINGAPORE, Dec. 22, 2014 /PRNewswire/ -- C-Suite executives in Asia Pacific are often missing important insights from one significant corporate function - their real estate, says a new study from Forrester Consulting, commissioned by JLL.
From managing traffic flow in Asia to monitoring workplace productivity in the United States, both public and private sector organizations are increasingly leveraging data and analytics to enable better business decisions. However, while marketing, cash flow and profitability data are expertly funnelled to C-suite executives, a gap exists in real estate data and analytics.
In Asia Pacific, the data disparity is vast, says William Chong, National Director, Regional Corporate Solutions, IT Operations, JLL: "Asia Pacific is the world's fastest growing region economically, and this has a knock on effect on the ability to gather effective, up to date, data on corporate real estate. For example, leases in the region are typically shorter - three years compared with ten years in the UK, for example - and the overall rate of change is greater than in more established markets; rents fluctuate, the landscape changes rapidly in the region's major cities and this makes capturing data problematic. The data challenge is more acute in Asia Pacific because the region changes much faster than the US or Europe."
The global study - Mind the data gap: aspiration vs. reality in corporate real estate - surveyed 392 corporate real estate executives across 11 countries and 10 industries. Of those surveyed, 40 per cent are in Asia Pacific. The findings reveal that, while 94 percent of companies have a formal corporate data and analytics strategy in place, the use of real estate data remains in its infancy. The survey also found that only 28 percent of corporate real estate teams consider themselves to be data-centric. This figure is set to double to 56 percent over the next three years.
In addition to speed, cost effectiveness and accuracy of real estate data, Asia Pacific also suffers the same core data challenges as western businesses, including fragmented data initiatives, limited cross-functional data and a data analytics skills gap.
"Corporate real estate data and analytics enables companies to achieve competitive advantage by understanding and responding quicker to changing internal and external landscapes that impact business operations," said John Forrest, CEO of Corporate Solutions, JLL. "Quantitative and predictive real estate insights have the power to make companies more profitable. It's up to the C-suite to seize the opportunity."
SURVEY HIGHLIGHTS
Click here for an infographic summarizing the study.
About JLL
JLL (NYSE: JLL) is a professional services and investment management firm offering specialized real estate services to clients seeking increased value by owning, occupying and investing in real estate. With annual fee revenue of $4.0 billion and gross revenue of $4.5 billion, JLL has more than 200 corporate offices, operates in 75 countries and has a global workforce of approximately 53,000. On behalf of its clients, the firm provides management and real estate outsourcing services for a property portfolio of 3.0 billion square feet, or 280.0 million square meters, and completed $99.0 billion in sales, acquisitions and finance transactions in 2013. Its investment management business, LaSalle Investment Management, has $50.0 billion of real estate assets under management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit www.jll.com.
JLL has over 50 years of experience in Asia Pacific, with over 28,000 employees operating in 80 offices in 16 countries across the region. The firm was named 'Best Property Consultancy' in seven Asia Pacific countries at the International Property Awards Asia Pacific 2014, and won nine Asia Pacific awards in the Euromoney Real Estate Awards 2013. www.jll.com/asiapacific
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