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Procurement consulting property industry

Procurement Consultancy for the Property Industry

Whether for renovations or new-builds, with professional procurement in building services and facility management, you will get more out of your investment and reap the benefits in your future building projects in the long run.

Investing in renovation is well worth it – for the commercial and residential property industry alike. Technological developments and demographic changes have resulted in new demands emerging, with the focus shifting to investment in the construction industry. More and more office buildings are being equipped with state-of-the-art technology, while residential properties are being renovated age-appropriately.

Thanks to the current low interest rate, there has been a massive boost in investment in property renovations and new-builds across Germany, taking advantage of low capital costs. In many sectors, this has led to drastic price increases and supply shortages, especially in urban areas.

If you want to fix construction and renovation costs based on performance and secure your supply through efficient suppliers and service providers, now is the time to seize the opportunity and set up professional procurement processes within your company.

Make your budget go further and get a bigger return on your investment.

We will help you to build and optimize your procurement process with our consultancy approach that focuses on delivering results – from the potential analysis right through to implementation.

How do we do it?

Potential analysis

During a potential analysis, we identify the savings you could make in your procurement. We evaluate your procurement strategies, your suppliers and your contracts, as well as the procurement processes, determining all the areas where costs could be reduced. On that basis, we develop strategies to achieve those savings by drawing up an action plan, which we will gladly implement together with you.

Immediate measures – in your current renovation or maintenance projects for example – can be implemented during the potential analysis itself, delivering visible results in no time.

Implementing sourcing initiatives

In the implementation phase, we identify the suppliers best suited to your projects as part of a comprehensive sourcing approach. We carry out broad market screening and tender initiatives, and actively support you in negotiating supplier construction contracts to get the best deal for you. Moreover, we draft structured framework agreements for repeat services to make sure you have all your supply needs covered. In addition to reducing costs, our focus is on complying with quality and scheduling requirements, as well as ensuring planning reliability.

Building a tailor-made organization and continuous processes

Our job is to increase your profit by optimizing procurement over the long term. And as such, we analyse your procurement organization, existing infrastructure, resources and processes, as well as the underlying rules and regulations, to ensure compliance in your procurement.

Based on the findings, we will develop a concept with you to ensure optimal procurement of construction and facility management services. To successfully implement the defined processes in the organization as a whole, we will also support you with:

  • Interim management
  • Job advertisement and recruiting
  • Integrating new employees (mentoring)
  • Developing procurement guidelines (e.g. policies, guide to procurement and checklists)
  • Developing procurement controlling systems and creating e-procurement solutions
  • Compliance check and process monitoring
  • Drawing up sector strategies and tender calendars
  • Setting up contract management

Building modular specifications

To maximise planning security and prevent huge discrepancies in performance quality and costs, we recommend developing specifications for repeat construction and facility management services. As part of a single-price agreement, we will help you make fixed price agreements with suppliers and service providers. This is a worthwhile investment, which will increase your bottom line in the long run.

A structured overview of constantly recurring construction services through a modular, single-price specification catalogue for renovation or maintenance projects creates long-term transparency and planning reliability in terms of costs and benefits for clients and contractors. With services now immediately available through the single-price agreements with suppliers, procurement is made flexible and efficient.

This minimises scheduling issues, which are certainly no stranger to the construction sector, and avoids rushing tenders or contracts which, owing to higher tender prices and more expensive add-ons, often lead to inflated construction costs.

To make specifications less complex, the services are specified as modular reusable mixed items where possible and are provided with target prices. Where appropriate, discounts or premiums are applied depending on the location. This allows the building manager to pick and choose the required service modules as needed (even without comprehensive knowledge of the specifics of each service), and commission them directly to the contractor.

With fixed unit prices – set annually, for example – you also benefit from the standard specifications catalogues for your future building projects. Technical planning efforts are minimised and the number of tenders to process is also reduced. The increase in transparency helps to reduce price and supply fluctuations, and tenders are efficiently and quickly executed, even for larger projects.

 

The results:

  • Reduced costs for new construction, renovation and maintenance projects
  • Planning security based on fixed-price agreements with suppliers
  • The best prices for framework agreements for construction and facility management services
  • The establishment of a professional procurement organization
  • Supply security through efficient procurement processes and a scalable supplier platform
  • Compliant procurement activities

 

Are you looking to make your investments more efficient and get the most out of your budget? Pieter Niehues (pieter.niehues@inverto.com) is at your disposal to answer your questions about our services for the construction and property industry.

What our clients say about us


Thomas Pfeiffer, Head of Product Development at willhaben.at

„Together with INVERTO, we have achieved a result that we did not think possible at the beginning of the project. The overall package of tender preparation, service provider workshops and rounds of negotiations at top management level has raised our hosting landscape to a new level of price performance. I thoroughly recommend working with INVERTO.“

Dr. Jürgen Wickl, Managing Director of Styria Media IT

„By preparing a functional specification, we managed to advertise requirements in a tailored way. INVERTO’s orientation towards precise customer requirements and benchmarks as well as professional negotiations has contributed significantly to the success of this project. The close involvement of employees in this structured tender process is an additional bonus, and something which will benefit us in years to come.“

Siniša Mitrović, mag.oec., Managing director, Styria Tiskara Zagreb

„Due to the flexibility of the team, we managed to receive additional offers from suppliers and hence increase competition between existing suppliers. Through centralization of our former pick-up locations in Croatia and Bosnia-Herzegovina we managed to reduce the operational work for our employees. Furthermore, this centralization led to a huge additional revenue from our waste paper business. The project work with INVERTO was very professional and made this great result possible.“

Marc Lamure, Director, Montagu Private Equity Associates LLP

„INVERTO has helped D.O.R.C. with the professionalization of the procurement organization and accompanied the supplier negotiations for various products and services. By implementing new processes and working with procurement staff, the achieved savings enhance sustainability and will result in a more profitable organization.“

Erwan Quemener, Purchasing Director, Chassis Brakes International

„INVERTO helped us in raising undreamed-of sources of savings in both direct material and indirect material areas. They did not only identify these potentials but they supported us in the implementation phase with a great professionalism.“

Nick Gerrard, CFO, MID Essex Hospital Services NHS Trust

„INVERTO’s market and product knowledge have been invaluable in helping the Trust deliver substantial cost savings in a short space of time. They have the ability to talk the clinicians language, optimise the procurement process and deliver a result the trust could not have achieved itself.“

Bart Stubbe, Vice President of Purchasing LINPAC Group

„INVERTO are assisting LINPAC since early 2008 in transitioning from a decentralised to a category purchasing structure, bringing sourcing expertise, skilled resources, technology and methodology to recognise, create and release value to the company.“


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We deliver results.