Industries >Real Estate Investment Trust
Capacity Planning, Lease Analysis
IBM Cognos TM1, Revelwood Lightspeed for REITs, Revelwood Performance Toolkit
A large real estate investment trust (REIT) company with several billion dollars in assets and Class A office space in most major U.S. cities needed a sophisticated solution to model out leases for its buildings and space, and to plan for lease expirations and renewals. The solution would enable the REIT firm to perform complex capacity planning and revenue planning by identifying which regions and buildings are expected to gain capacity. This information would also allow the company to make strategic decisions about when and where to upgrade facilities, adjust rents and change terms of new leases. Lastly, REITs, which are modeled after mutual funds, typically pay out all of their taxable income as dividends to shareholders. As a result, REITs must adhere to a number of regulatory reporting requirements. This same solution needed to deliver robust and complex reporting functionality, not just for compliance issues, but also to create capacity reports and growth trends reports.
Based on decades of experience working with IBM Cognos TM1, Revelwood knew that TM1 could meet not just these needs, but also provide a foundation for future complex analytics and detailed reporting. The TM1-based capacity planning solution imports information on leases from an industry-standard lease management system. It then models lease and rental income information up to nine years out, by tenant, by lease, by building and by region.
This solution allows the REIT’s senior executives and operational management to ask detailed and strategic questions, such as:
- Which buildings have tenants with leases up for renewal?
- What is the current and anticipated capacity of each building?
- How much capacity do we have by city, by state, and by region?
- Which leases do we expect to renew and which do we think will end?
- What buildings should be renovated and how should the renovations impact current and future leases?
In total, the TM1-based capacity planning solution enables the organization to analyze information by tenant, by lease and by building. It can also perform analysis on expirations and renewals, in order to project current and future revenues based on both existing and anticipated conditions. These separate components all add up to a comprehensive solution that not only provides detailed capacity planning and revenue planning, but also facilitates more informed and strategic decision making around sales, expansion plans, and capital expenditures. Lastly, all of this information is easily compiled into real-time, accurate reports for regulators and investors.
With the IBM predictive analytics-based sales and marketing application, this insurance company is able to prioritize lead lists, resulting in an average 45% success rate for sales. Read More
Using IBM PCI, this B2B retailer can increase incremental sales by optimizing the advertisements it serves up to specific customers in its predictive digital marketing platform Read More
By using BULLSEYE™, a cruise line can easily identify and analyze its top quartile customers and others like them across its business to drive profitability across the entire business. Read More
Travel & Transportation (Airline)
With an operational analytics solution in TM1, the airline is better able to identify problem areas in its operations and can understand, react to and plan for trends based on a number of variables. Read More
Media & Entertainment
Using an "ultimates" module in TM1, this entertainment company can capture the expected revenue and costs of film and TV titles and project the overall lifetime value. Read More
Real Estate Investment Trust
A TM1-based capacity planning and lease analysis solution enables this real estate company to analyze granular information by tenant, by lease and by building. Read More
Oil & Gas
Using an operational forecasting and capacity planning solution in TM1, this oil and gas company has much better visibility into its operations by pipeline, by movement and by customer. Read More
As a result of a TM1-based volume planning, demand planning and capacity planning solution, this roofer knows which plants are under-performing or over-performing and how to optimize production. Read More
Food & Beverage
With a TM1-based demand and sales planning system, this brewer can now make strategic decisions on where to invest marketing and sales support by wholesaler. Read More
With a TM1-based volume planning solution, this beverage manufacturer can now anticipate demand based on previous sales volume in many different ways. Read More
With IBM Cognos TM1, this financial services firm can more easily keep track of its clients and its assets under management to better understand how different aspects of its services are performing. Read More
Using IBM Cognos TM1, this global publisher relies on a technical planning model to perform granular, top-down planning, such as by individual subject categories and product types. Read More
With a TM1-based demand planning application, this professional services firm can analyze demand by role, project, geography and status. Read More
Since deploying an incentive compensation solution in TM1, the hotel has seen significant process efficiencies, a reduction in calculation and payout errors and improved visibility for advanced analytics. Read More
With Revelwood Lightspeed and IBM Cognos TM1 on Cloud, this investment bank extended its key financial planning and reporting information to more decision makers throughout its organization. Read More
Health and Wellness
A national fitness chain can use BULLSEYE™ to help proactively identify customer churn in order to increase its member retention rates and therefore increase profits. Read More
An online distributor, a retail business, can use BULLSEYE™ to identify the complementary products to its top 100 SKUs, enabling a greater increase in revenues. Read More
With IBM predictive analytics technologies, this regional bank can serve up personalized information to customers using its online and mobile banking solutions. Read More