The global trend of strive for efficiency and resource optimization in the public sector has not missed out on real estate (RE) management functions in two Baltic states – Lithuania and Latvia. Executives in these countries confirmed the plan of administrative RE centralization under the state-owned RE management enterprises – Turto bankas in Lithuania and Valsts Nekustamie Ipasumi in Latvia.
Since the reform followed ship and fix approach – at first RE management companies were ill-prepared to competently manage enormously increasing numbers of RE properties, management consultancy CIVITTA and its partner - property house Newsec Baltics helped these companies to gain necessary competencies and tools which would help them to professionally deal with the challenges of large scale RE management.
Usually, clients facing a sharp increase in demand and the number of clients need to adapt by making significant changes in its strategy, everyday business operations, and human resource management. Case of public RE centralization in the Baltics is no exception.
Clients were looking to improve the quality of its services and efficiency of its operations by:
At first, CIVITTA with partners conducted as-is analysis in order to understand the main challenges that the client is facing, fields where it lacks competences and procedures which could be improved.
Later on, the strategic session with heads of organizational units, members of board and representatives from the government was held with the aim to determine main principles of further company development and long-term goals.
Main derived goals where:
Further, all necessary tools which would allow public RE management companies to achieve those goals and facilitate the ability to gain competences to cope with the increasing scale of RE properties where established.
Deep knowledge of the subject has led to the establishment of practical tools and long-term strategy recommendations: