JLL’s third report on global CRE trends stresses an immediate need to elevate the CRE function. We’ve identified four themes that characterize the challenge ahead, and the ‘great traits’ of high-performing CRE teams. Find out more at: www.jll.com/globalCREtrends

1. Global Corporate Real Estate
Trends Report 2015
ELEVATE
to excellence

2. Note: Region % is based on location of person responding
Americas
EMEA
Asia
Pacific44%
20%
36%
respondents544
countries36
companies
represented350+
The third biennial JLL Global CRE Survey
1

3. A variety of sectors represented
HEALTH-
CARE
6%
ENERGY
9%
GOVT
6%
TECHNOLOGY, MEDIA, AND
TELECOMMUNICATIONS
24%
MANUFACTURING
AND INDUSTRIAL
19%
BANKING AND FINANCIAL
SERVICES
25%
PROFESSIONAL
SERVICES
11%
OTHERS
27%
CONSUMER
PRODUCTS
10%
2Note: Does not add to 100%; respondents could select more than one sector.

4. CRE teams are
becoming increasingly
centralized and global,
being more formally
connected to the
C-suite and better
empowered
to drive change.
1
Interaction and
integration with other
business functions and
stakeholders is a
growing need, but it is
a strong feature of only
a few CRE teams.
Demand to deliver
across a range of
tactical and strategic
activity continues to
intensify, challenging the
composition and skills of
CRE teams and creating
a ‘pressure cooker’ of
expectations.
CRE teams are using
outsourced service
providers across more
geographies and industry
sectors; but many are still
missing the opportunity to
drive strategic, long-term
value through outsourcing
partnerships.
Four key themes emerged from the survey
2 3 4
3
CENTRALIZATION INTEGRATION EXPECTATION OUTSOURCING

5. v
4
THEME 1
CENTRALIZATION

6. 5
How would you assess the strength of the CRE team’s mandate, compared to three years ago?
CRE teams feel that their mandate has strengthened
CENTRALIZATION

7. 6
Teams expect more centralization and control
over the next three years
What changes do you anticipate in the CRE team structure over the next three years?
CENTRALIZATION

8. 7
The majority of CRE leaders continue to report
directly into the C-suite
To what level of the organization does the head of CRE currently report?
CENTRALIZATION

9. v
8
THEME 2
INTEGRATION

10. 9
Cross-functional integration is an aspiration, but not yet
the norm
How would you describe the collaboration of CRE with other business functions, currently and
three years from now?
INTEGRATION

11. 10
Integration between CRE and procurement
teams is especially strong
Do you have an internal procurement
function that is involved in CRE decisions?
Where does your internal procurement team who
are involved in CRE sit within the organization?
INTEGRATION

12. v
11
THEME 3
EXPECTATION

13. CRE teams are experiencing intensifying demands
to deliver across a range of STRATEGIC activities
12
How are the demands of senior leadership on the CRE team changing in terms of alignment with
the firm’s strategic priorities?
EXPECTATION

14. CRE teams are experiencing intensifying demands
to deliver across a range of TACTICAL activities
13
How are the demands of senior leadership on the CRE team changing in terms of the tactical
delivery of CRE?
EXPECTATION

15. CRE teams feel slightly less equipped to handle
changing demands
14
How well-equipped do you feel to meet changing demands?
EXPECTATION

16. v
15
THEME 4
OUTSOURCING

17. Nearly half view outsourcing as a strategic activity
16
How strategic is CRE outsourcing to your firm?
OUTSOURCING

18. 17
CRE teams are increasingly using outsourced service
providers across a wide range of services
How would you best describe the delivery of CRE services now and in three years time? (1/2)
OUTSOURCING

19. 18
CRE teams are increasingly using outsourced service
providers across a wide range of services
OUTSOURCING
How would you best describe the delivery of CRE services now and in three years time? (2/2)

20. v
19
IMPLICATIONS

21. The biggest constraints for CRE are around
data and analytics and relationships with the business
20
What are the top three constraints hindering CRE from enhancing itself as a strategic value-add
to your organization?

22. How CRE teams can elevate to excellence
21
1
2
3
4
5
Respond to a growing mandate by bringing
tangible, strategic value to the organization
Prioritize development of people skills ahead
of technical, property-focused skill sets
Create a strong data and analytics platform
to bring science to day-to-day delivery and
long-term strategy
Create a strategy to address ‘business as
usual’ activities without undermining the
evolution to trusted advisor
Leverage vendors to extend strategic capabilities
and gain exposure to industry best practices
Agree what excellence looks like for the CRE
function, then chart progress and position
relative to peers
6

23. What’s next? Recognizing and adopting the “Great Traits”
of CRE organizations
22
Believe in active TALENT
MANAGEMENT
Establish coordinated
INFRASTRUCTURE MANAGEMENT
Foster a culture of INNOVATION
Adopt a mix of PARTNER
MANAGEMENT/LEVERAGE
Be CHANGE AGENTS
Formalize RISK MANAGEMENT
1
2
3
4
Be CENTRALIZED, EMPOWERED
AND PROCESS-ORIENTED
Leverage DATA ANALYTICS
AND BUSINESS INTELLIGENCE
Focus on SERVICE DELIVERY
EXCELLENCE
Invest in a formal INTERNAL
RELATIONSHIP MANAGEMENT
FUNCTION
Provide STRATEGIC PLANNING5
6
7
8
9
10
11

24. THANK YOU
23