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TWN News February 2013 Issue Number 1



In this issue: Voice of Experience: New Members: Annual Meeting 2013: Focus On… Data: Annual Survey Refresh: W4
2013: What’s New on the Website: Subscription Renewal



Welcome to TWN News

The Workplace Network is an exclusive, global community of senior executives in public-sector real estate. Our members are leaders and decision makers from public-sector real estate organizations worldwide: from public corporations, ministries and government agencies spanning 12 different countries.

Together, we develop partnerships and exchange ideas, strategies and solutions on everything from public policy and strategic recruitment to sustainability and innovative officing. By putting our international knowledge and expertise together, we create innovative solutions and opportunities in public-sector real estate for all our members.

This is the first issue of our monthly newsletter. We hope you like it.

The Voice of Wisdom

Here we aim to capture the wisdom of one of TWN's members. Every month we focus on what's occupying their mind and time and how experience helps to guide their judgement. This month to launch this feature Alex Vermeulen TWN President and Director of the RGD

•What was your greatest success last year and how was it achieved?
There were some great successes in different categories. Let's name three examples:

- We organised a very successful annual conference of TWN combined with PuRE-net where we discussed the theme of how a corporate real estate company should bring together four angles of real estate in "one decision". The exchange of experience in this field amongst colleagues all over the world was very energising and valuable as we in RGD started to make the shift from being a supplier-client oriented organisation to a more strategic-portfolio oriented organisation.

- We signed a very important and novel PFI contract for a new National Military Museum where, in a single 25 year contract, the design of the concept for the museum, the building, the maintenance of building and landscape (former military airport) and the operation of the museum all come together - A good example of how to get the best out from market.

- We completed the renewal of one of the most famous buildings in Holland and beyond: the Rijksmuseum. After years of hard work the museum has emerged ahead of its time and ready for years to come. In April it will re-open its doors to the public.

•What will be your main challenge in the year ahead?
The main challenge will be beginning to reduce the portfolio by some 25-
40% in almost all sectors -offices, prisons, even courtyards! - in a real estate market that is almost at a standstill and at the same time
minimising the loss of money and the societal impact to end up with a vital portfolio.

•What has experience taught you that you would like to pass on to others?
As a corporate real estate organisation you have to focus more on information management around the real estate than on construction of buildings. Using BIM (Building Information Management) systems can help you to manage your portfolio on a higher level because BIM helps to create the best real estate information.

Find out more about the Rijksmuseum renovation

Focus on.....Data

Alex has highlighted the importance of collecting and making good use of information and data in a successful real estate management organisation. For this first issue our focus is on the work members are engaged with improving the way they use Data and Key Performance Indicators.
In the public sector the government real estate organisations are often in a unique position of being both supplier of property to departmental clients, and, a strategic partner in implementing government policies about property. Data must relate to three areas of interest:
•The performance of buildings and land as assets and for the purpose of
maintaining value
•The performance of the properties in meeting clients’ requirements
•The performance of the portfolio in delivering the Government’s policies

Performance data is essential to the government real estate organisation in finding the right balance for applying resources and demonstrating value and success. For each organisation the priorities – and therefore the most important KPIs – will depend on where it is positioned in the balance within the ‘”four angles” of real estate – General Management of stakeholder relationships and strategic policy role, Asset Management or the portfolio, Facilities Management of buildings and Cost Control.

The TWN Survey contains annually updated information about each member organisation.

Section 4 covers Portfolio Performance including total cost, total income, return on investment, vacancy rate, office space utilisation rate and the Top Three indicators used by each organisation with an explanation of what has caused changes over the year.

Section 6 of the TWN Survey includes sector specific data tables giving the total area and numbers of buildings, running costs and portfolio value for each property type within an organisation’s portfolio.

Sections 1 and 2 provide a context about the role and mission of each
organisation in relation to the “Four Angles”.

Several TWN members and others are undertaking data related projects linked to environmental performance and office space utlisation:

Norway:
In Norway Statsbygg is investigating the potential for creating and maintaining a database of all Norwegian Government occupied property. Statsbygg’s own portfolio is only around 43% in area of the total estate occupied by central civil Government in Norway (excluding health and military) so the issues being considered are around the benefits of a central database, what data should be collected and how. The emphasis is on the environmental performance, although cost and space data are also important - and becoming more so.

Finland:
Senate Properties in Finland is renewing the Space Use Strategy for the
Finnish Government. The previous strategy was developed in 2005 and Senate Properties is researching how other European public real estate organisations set Space Use standards and objectives for government occupiers.

South Africa:
The Department of Public Works is in the process of developing property performance measurement and benchmarking for the Western Cape Province’s office portfolio, starting with a pilot of 25 office buildings.

United Kingdom:
In UK central government workspace utilisation target targets have been reinforced and a clear timeframe set for achievement, with annual end of year reports to ensure progress is made. It was agreed by a Cabinet sub- committee on 19 Dec 2012 that: “All departments and their agencies
should meet an average space usage target of 10 square metres per FTE for occupied space on their administrative estate by December 2015 (8 square metres for new office space) and adopt a new workplace standard”.

Belgium:
The Buildings Agency has started a pilot with 20 buildings – around
1million sqm – to monitor space utilisation and cost savings resulting from
a new ‘norm’ standard proposed in June 2012 for administrative office space used by central government. It is evaluating the application of a13.5sqm/FTE workspace'norm' together with the EN15221-4 measurement system which would apply to office space in all types of property. The Agency is also introducing incentives to encourage better utilisation. For more information contact Geoffroy Magnan at Geoffroy.Magnan@buildingsagency.be

Let us know about your data related project and get in touch directly with other Network members to learn more.
CRE Relationships in the Public Sector

Members link to the TWN Survey 2012

W4 2013

Many of you have been asking where the W4 2013 Annual Meeting will be held.

The venue hasn’t yet been decided but we're hoping for an exciting and slightly different W4 workshop meeting this year – holding firm to the W4 vision to create and nurture a network of future leaders by supporting international knowledge exchange, continuous learning and personal development.

This workshop – if it goes ahead – will be held towards the end of 2013 so in the meantime please encourage your up and coming leaders to make the most of their network by making contact, sharing experience and actively seeking to learn from each other through their chosen learning partnerships. This year’s learning partnership themes are Building Information Management, Sustainability and Workplace Transformation.

The W4 Network’s own dedicated website is available for members to
connect and share.

Go to the W4 website

New Members

2013 gets off to a great start with two new members

Welcome Back GPU!

The UK Government Property Unit has re-joined TWN. Simon Morys, Chief Operating Officer, and Sherin Aminossehe, Director, represent GPU in TWN and are keen to reconnect with the network
More about GPU

Welcome Western Cape South Africa!

Gary Fisher, Head of Public Works for the Western Cape Provincial Government of South Africa, is the new member representing his organisation.

Public Works is the custodian of all state-owned property in the Western Cape and is responsible for implementing all new infrastructure on behalf of its clients, which in the main are the Provincial Health and Education Departments. Its portfolio of approximately 6,000 properties includes hospitals, schools, office accommodation and general infrastructure for other Government Departments, such as Nature Conversation and Social Development. The Public Works’ vision is to provide property solutions that better lives and build communities.

Go to the DPW website


Annual Meeting 2013

I am pleased to announce that the 2013 The Workplace Network Annual Conference will be held in Ottawa, Canada hosted by Public Works and Government Services Canada.

Please mark June 9 – 12, 2013 in your calendars.

New on the TWN Website

Feedback from the TWN - PuRENet joint annual meeting in The Hague September 2012. Delegates compared and contrasted their organisations’ current and future position in relation to the “Four Angles of Real Estate” and the maturity model described by Prof Hans de Jonge. The analysis available to members includes:

Re-evaluating the Organisation Classifications presented in PuRENet Report of Working Table 1 ‘Strategy Models and Tools in Public Real Estate’ September 2008

Charts showing estimated positions on the CRE Model of each organisations attending TWN / PuRENet 2012 based on workshop self-assessment results
Members link to 2012 Annual Meeting presentations and follow-up


Member Changes

While we're sorry to say Goodbye to friends we're delighted to welcome new people to the Network bringing fresh ideas and experience:

Mexico: Ms Soraya Perez Munguia has become Indaabin’s new President replacing Mr Jose Luis Lopez Diaz Barriga

Brazil: Mr Patryck Carvalho is the Secretary of Union Real Estate at the Ministero do Planejamento replacing Mrs Paula Motta Laura
Members link to member contact details


TWN / PuRENet Annual Survey 2013

The annual survey refresh will take place between February and May ready for publication and presentation at the TWN Annual Meeting in June. We are delighted that TWN and PuRENet have once again joined forces.

The focus this year will be on changes and trends. Many organisations are going through substantial change in structure and role under the pressure of reduced budgets and the need for improved environmental performance. You will be asked to update last year's survey responses.
Members can view the 2012 Survey here


Subscription Renewals Due

2013 Subscriptions are now due and invoices will be sent out shortly.

The annual subscription is currently $2,500 US which includes monthly newsletter updates, access to information and contacts with other members worldwide through the TWN website, the Annual Survey report, support for members' delegates to the W4 learning and developmen network for aspiring leaders and registration for the senior TWN member to attend the annual workshop.
More about TWN

Download this issue: Voice of Experience: New Members: Annual Meeting 2013: Focus On… Data: Annual Survey Refresh: W4 2013: What’s New on the Website: Subscription Renewal