EXPERIENCE
MEETS OPPORTUNITY
an article by Jean Bellas, President and CEO, SPACE
With as much subtlety as an
invading army, the downturn in business has impacted real estate
and facilities. As an associate of mine so clearly and simply stated,
"the world will now divide itself in two, those who have had this
experience once before and those who have not". For some there is
no precedent, for others there is wisdom of experience. For both
there are opportunities.
The initial response of corporate real estate and facility groups
in a down turned market has been to internalize team members and
eliminate consultants. As workload continues, random consultants
fill the voids that staff cannot address. With the return of business
volume there is a reversion back to traditional client consultant
relationships. Absent from this cycle is any real evaluation or
fundamental change in the nature of the work. Rather, roles simply
exchange hands and we continue to do business the same way we did
some 30 years ago.
The opportunity within this market is the willingness of people
to accept new ideas. Ironically, it has been during times of economic
downturn that innovation is most prevalent. When cash is abundant,
sales explode in product and service enhancements. When cash is
limited, people are open to changing core products in search of
more cost effective solutions. Within this is the opportunity. New
ideas that provide savings are most readily accepted in downward
economic periods. Ideas endure the long term when they also provide
improvements. Stainless steel versus porcelain, tailored suits versus
frilled dresses, zippers versus buttons, latex versus cotton, personal
computer versus typewriter, are all examples of innovations introduced
during periods of economic downturn and rapidly accepted as improvements
to the proceeding solution.
World markets have created the background environment for Real Estate
and Facilities leaders to investigate, suggest and sponsor cost
savings programs. Right now business leadership is engaged in looking
for new methods of doing business, and willing to risk change if
it can deliver savings. While this is not a time of spending, it
is a period to apply intellectual capital in identifying opportunities
for significant savings which provide long term value to the business.
Major savings can be realized by focusing on real versus perceived
need. It is possible to realize major gains by eliminating decentralization
that leads to redundancies, and by challenging consumption by offering
alternate solutions that make better use of existing resources.
Major savings can also be realized by altering the process of delivery.
Global projects can be managed from a single resource system.
High performance skill teams can provide services from a single
location, therefore do not need to be near every project site. Redundancies
as a result of multiple locations can be eliminated. Technology
can be adopted to achieve global consistency and communications
to accelerate delivery. We can create customer self help networks
that eliminate the need for intermediaries within almost every facility
practice.
And so, this is the time to define programs, set goals, build consensus
and define implementation programs that result in reduced cost of
operations. It is the time to question every need for consumption.
This is the time to standardize what is delivered and how it is
delivered. It is a time of simplification. It is also a time to
share and exchange information as a way of imbedding creativity
within solutions.
Far reaching goals can be set and achieved. Our record proves this
to be true. It is our goal to support companies in this quest.
Within our own business, for the last 18 months SPACE has been engaged
in creating a technology platform for the purpose of streamlining
our delivery of services. Technology offers us a freedom to gain
great efficiencies, not because of the technology itself, rather
because it forces the review and editing of work processes, eliminating
redundancies and integrating information. This speeds decision making,
which speeds delivery, which dramatically reduces cost.
The effective application of technology required the rethinking
of our entire process of doing business. It is for this reason we
are extremely excited to introduce our new "SPACE Center", a web
based information exchange, document hosting and exchange site,
available to our clients, at no additional cost. We work globally.
We think globally. We now link globally.
Our goal is to continue integrating technology in the entire delivery
system. SPACE is the leading customer enabled, fully integrated,
web based, corporate service delivery system company.