An investigation into how corporate real estate in the financial services industry can add value through alignment and methods of performance measurement

Purpose - The purpose of this study is to evaluate corporate real estate (CRE) performance measurement and how value can be added to the core business. Design/methodology/approach - An analysis is made of the appropriate literature and primary research conducted via interviews with 11 senior professionals from three globally renowned companies, one global financial organisation and two corporate advisory firms. Findings - The findings from this research provide evidence that CRE can be used to add value to the core business, both in the physical and behavioural environment. By aligning aims and objectives with the business, continually conducting portfolio analytics, encompassing size, cost, space, retention and productivity, value can be added, maximising shareholder worth. Research limitations/implications - The main conclusions drawn from this study are that CRE can add value to the business. The role of corporate real estate asset managers (CREAMs) needs to change from the physical environment to the behavioural environment, working to increase productivity, which can have greatest impact on shareholder value. Originality/value - This paper provides evidence to suggest that CRE 's role is not only to manage property but should be broadened to add value to the organisation by aligning CRE strategy with the corporate strategy. Closer interactions with human resource and information technology are required to enhance productivity, via relationship management, perhaps outsourcing to provide best in industry expertise. CREAMscan shape the future of office space, by demanding carbon neutral properties. This paper recommends that further research should be conducted on the measurement of intangibles, like productivity and corporate social responsibility, and how they can be used to add value and sustainable saves.