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Outsource and shared services reduce property spending

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Outsource and shared services reduce property spending

Friday, 22/5/2009 09:45
Audit, tax and risk advisory firm KPMG has suggested that outsourcing and shared service options may help to reduce property spending.

Speaking at a GVA Grimley/CBI Conference in Leeds, Tanya Bagchi from KPMG advised that people management can impact on property needs.

Reducing costs can be important to many businesses that have been affected by moves in the supply chain that lead to a decrease in profit margins.

Ms Bagchi said: "Clients are really looking with the current market to reduce costs and that stems around spans and layers in an organisation.

"You really do need to take a strategic and systematic look at taking account of the people management aspects of property."

According to the latest monthly index from CB Richard Ellis, commercial property values decreased by 2.1 per cent in April 2009 compared to a 2.7 per cent fall in March.

Rental fall decreases also slowed from 1.6 per cent to 1.3 per cent last month.

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