Facility professionals manage one of the most important and costly assets for the business. It’s no secret that costs associated with facilities are one of the largest expenses on an organization’s income statement and owned property is one of the largest assets on the balance sheet.

For example, there are a number of levers for value driving down maintenance costs and spending, better management of facility projects and so on. However, the key driver behind all facility costs is occupancy or in other words, the supply and demand for space.

By better aligning the available supply of space with internal customer demand, facility professionals can help the organization unlock significant value from the property portfolio. Through better collaboration with corporate real estate, executive management and internal customers, facility managers can help shape a plan that ensures the company has a real estate footprint that supports productive operations without carrying excess space and real estate.

One of our customers, CA Technologies, has a success story that illustrates how facility professionals can deliver value by identifying and eliminating excess space through collaboration and communication with internal customers.

What’s the best strategy for delivering value by managing occupancy? Clearly, it depends on the composition of your portfolio, your internal customers’ needs and your organization’s strategic goals. Facing rapid growth? Visibility is key—it’s important to understand when the supply of space is running low and when it’s time to bring on the new space or reconfigure existing space to accommodate that growth. Is improving cash flow an issue? Perhaps consolidation of occupancy and subleasing space could help.

Regardless of your goal, the key is being able to tie overall global strategy to specific, local needs. Being able to connect business strategy to your operations and to your internal customer’s needs will help your organization make the most of its facilities and will help you elevate the value and reputation of your department.