Report | Perspectives on occupancy strategy - frequently overlooked opportunity for long-term cost-savings
Corporate real estate executives (CREs) are increasingly being asked by the CFO to re-engineer the long-term cost structure of corporate operations. In response, CREs will often pursue portfolio-related strategies such as sale/leasebacks, property rationalization, dispositions, lease restructuring and alternate workplace strategies. An often overlooked strategy for long-term cost-saving is business process bifurcation and redeployment. This approach selects and moves certain business processes within the finance, tax, HR, procurement, IT, sales and marketing functions in order to lower cost locations. The re-engineering opportunity encompasses several different cost reduction operational initiatives including hub-spoke strategies, regional plans, shared services, footprint rationalization and off-shoring.
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