The outsourcing of corporate real estate asset management in New Zealand

Abstract

The outsourcing of non-core business processes has mushroomed on a world-wide basis as organisations seek strategic business advantages in an increasingly competitive market environment. In line with this trend, there has been a dramatic increase in the number of organisations for whom the outsourcing of real estate asset management functions has become a viable option. This study examines current practice, trends and issues associated with the outsourcing of corporate real estate asset management functions in New Zealand. Data collected by means of a survey questionnaire show that there is an increasing trend of outsourcing corporate real estate services in New Zealand. The study also investigates the types of real estate services that are being outsourced, the reasons for this outsourcing, how organisations identify and select service providers, the success of current outsourcing arrangements, the roles of the in-house expert and the service provider, and the skills and attributes that are required from real estate professionals.