Overview, insight and optimization of a global lease portfolio

Overview, insight and optimization of a global lease portfolio
Image

Sadolin & Albæk develops new tools to assist Lundbeck in achieving a full overview of the organisation’s global lease portfolio.

When global pharmaceutical company Lundbeck approaches JLL and Sadolin & Albæk, it is driven by the need for a fuller overview and improved management of its lease portfolio globally. In short, Lundbeck wants to be able to easily identify ‘right size, right location & right price’ for all the leases occupied by the company.

Lundbeck has 59 branch offices worldwide, but lacks an overview of and insight into its lease portfolio. The organisation collects information on the leases according to standardised procedures, but lacks systems and tools to manage and analyse their portfolio.

Sadolin & Albæk Corporate Solutions therefore develops such a system. At its heart lies a straightforward database that enables Lundbeck to segment and analyse the lease portfolio from all angles. Together with Lundbeck we also develop at set of standard processes, procedures and project templates. These make it possible to align change management processes and property transactions.

Thanks to the new tools developed by Sadolin & Albæk Corporate Solutions, Lundbeck today has a full overview of all its leases and easy access to a comprehensive set of key figures. These form the basis for internal and external benchmarking. At the same time, these tools enable Lundbeck to identify and remedy challenges and mismatches at an early stage, be it e.g. the expiry of lease agreements, development of overheads over time, locations or contracts blocking for development and strategic objectives, whether areas utilization matches requirements, etc.

The entire process is in line with the global lease optimisation project introduced by Lundbeck in 2013 as part of the organisation’s ’Fit-for-the future’-programme. The project aims at reducing complexity and increasing corporate efficiency, and it includes e.g. initiatives to optimise the organisation’s office leases. This involves a reduction of property costs in both the short and long term, support by sister companies in terms of lease management and a standardisation of Lundbeck’s approach to lease management.

Thanks to processes and new tools, Lundbeck is improving its project management and execution pace dramatically. Moreover, Lundbeck is able to manage multiple locations more easily and simultaneously, and may channel freed-up resources into its core business – both in branch offices and in the central organisation.