One of our Co-Founder's was a management consultant with a leading global consulting firm. He recently worked on an organization design project for a real estate client and through his interactions and research identified 13 insights which every HR Manager in a real estate company should be mindful about when they are making organization structure changes.

1. O f

2. Often times land acquisition becomes a long
drawn process with eventually the deal getting
dropped. By empowering your deal runners to
undertake primary due diligence and allowing
them to drop deals without management
intervention can lead to significant time and cost
savings

4. Our work with the design teams shows that architects often times get
carried away in the zeal to create iconic structures and in the bargain
end up forgetting the demographic profile of the locality. Developers
therefore end up with iconic projects but slow customer uptake because
of project pricing

6. Focus on lean construction practices. You may be making high margins now, but
there is always room to unlock additional value and this certainly helps at those time
when raw material prices significantly increase. Lean practices are not difficult to
implement but what they primarily require is a behaviour change on behalf of you
project managers. Drive lean practices through cross functional team to make them
more effective. Remember, implementation of lean practices is cross functional job!

7. Understand the demographic
profile of your customers and
hire those sales representatives/
relationship managers who can
understand their lifestyle
requirements. Remember, its no
longer just about selling a flat,
customer now want their
expectations to be managed
throughout the entire waiting
period. By managing customers
effectively you indirectly convert
them into below the line
marketers

8. Create strong Financial Controller roles who have
the authority to monitor and control project
related expenses. Most project suffer from cost
overruns and by having strong financial controllers
you enable the operations team to not only
control costs but also identify cost saving
measures which they may overlooked

9. Focus on building project management and execution capabilities. Research shows that
critical roles such as project managers, quantity surveyors, architects etc are going to be
in short supply over the next 5 years. By developing these capabilities in-house you stand
to make significant cost savings over the long term (by not having to hire PMCs)

10. Develop category orientation
for both materials and services
procurement, this will enable
you to develop a strategic
sourcing outlook. Most
procurement organizations in
real estate organizations are
under developed. This means
looking at procurement from
multiple perspectives such as
vendor management,
development, rationalization,
clean sheet costing, e-auctions,
spot purchase, strategic
partnerships etc

12. Ensure that you are following Green construction practices. They not only reduce the
overall cost of construction but are also good for the environment. Additionally,
Green certified buildings have an overall lower cost of maintenance therefore
making it more attractive to your customers

13. Develop a strong project costing cell both in the corporate office and at
the site level. Also, don’t shy away from making investments in products
such as Primavera and Microsoft Project. More than 60% of projects
suffer from cost overruns and at times even have to be abandoned.

14. Empower your site project
manager to take decisions. Most
project managers are only
coordinators and have to go
through layers of approvals
before they can implement any
changes. This eventually leads to
significant project delays and
friction with your civil
contractors

16. We would love to
DESIGN, DELIVER
and CREATE
something
amazing for you!
www.slidekraft.com
contactus@slidekraft.com
0091 98206 88680