SAP Real Estate Management

OVERVIEW

To succeed in today’s global and highly competitive economy, asset optimization in real estate management has become a strategic task. Organizations need to ensure insight into their property portfolio to make informed decisions, improve portfolio performance, and reduce costs. Cutting edge solutions are needed to manage changing consumer demands and the global workforce as well as information management, compliance adherence, and leasing and property management. Real estate management involves the processes, systems, and manpower required to manage the life cycle of all acquired property as defined above including acquisition, control, accountability, responsibility, maintenance, utilization, and disposition.

SAP Real Estate uses the latest digital technologies based on industry best practice to optimize and streamline any organisations end-to-end real estate management processes. SAP Real Estate Management is an integrated solution to effectively manage the real estate portfolio of any organisation.  It is a robust and customizable solution for business scenarios covering solutions from master data to financial posting and reporting. SAP Real Estate Management address all phases of the real estate life cycle, by utilizing the integration to asset accounting user can acquire or disposal of immovable assets, manage the entire property, and property and manage all the financial posting related to the property. All process within the solution is based on industry best practices.

Simplify corporate, residential, and commercial real estate management. Our solutions integrate with back-end financials and use the latest digital technologies to help you improve real estate portfolio performance, building management, lease accounting, and more. Following the IFRS 16 standards put out by the IASB and FASB. We decided to simplify the standards for the non-accounting personnel and provide organizations with an overview of the biggest lease accounting change in a decade.

We offer three standard pre-configured solutions that can be enhanced with functional add-ons and it is used in new implementations to accelerate the project duration.

The SAP Real Estate Management solution gives customers/clients the below functionality to optimize their property portfolio management:

Real estate objects management
  • Access a dual view of master data, with an architectural view and a usage view   
  • Create and manage all types of real estate objects, including business entity, land, building, rental unit, rental space, and rental room objects
Contract Management
  • Real estate contracts of the lease-in category (commercial, internal, residential)
  • Real estate contracts of the lease-out category (commercial, internal, residential)
  • General customer contracts (service contracts with the tenant)
  • General vendor contracts (maintenance contracts with a service provider)
  • G/L account contracts (posting reserves for service charges)
  • Security deposit agreements
  • Assign any number of rental objects from different business entities, buildings, or rent-able spaces to any one contract
Space optimization
  • Account for unusual architectural structures, usage considerations, and technical amenities and features
  • Define spaces flexibly and rent them to internal or external tenants
  • Represent your real estate objects visually via data exchange with external graphic systems such as GIS, Revit or AutoCAD
Financial view of contract
  • Comply to the internal accounting standards (IASB, IFRS, GAAP)
  • Control cash flow to the landlord
  • Organize expense posting
  • Perform payments to the landlord
  • Bill external customers for space occupied
  • Bill internal cost centers
  • Recovery cost from any number of occupants

CENTRALIZED BUSINESS PROCESS

  • Financial Accounting (FI) enables the organisation to create all required financial statements
  • Controlling (CO) provides a planning and control instrument for all quantity and values flows in Real Estate Management. Controlling also supports general cost accounting procedures from absorption costing to activity-based costing.
  • Profit Center Accounting (EC-PCA) provides tools for internal control functions and profitability analysis using profit centers.
  • Asset Accounting (FI-AA) allows the organisation to manage the valuation of fixed assets for accounting purposes.
  • Plant Maintenance (PM) and Customer Service (CS) helps the organisation plan and implement scheduled and non-scheduled maintenance work, reconstruction, or new development in the real estate area
  • Materials Management (MM) facilitates purchase order processing of materials as part of planned repair tasks related to heating, ventilation, and air conditioning, as well as general building maintenance.
  • Project System (PS) assists the organisation with planning complex maintenance and investment projects, while taking constant risk factors into account.
  • Document Management SAP Records Management, Document Management, and optical archiving gives the organisation an overview of all documents and correspondence associated with business processes

Key Real Estate Management Processes

  • Processing Contract Offers and Real Estate Contracts
    • Create contract offers from a RE search request or an offered object and use them to create real estate contracts. Create a contract offer to make a binding offer to a prospect concerning conditions for a rental object. Create this contract offer first and convert it into a real estate contract later.
  • Creating a Contract Offer
    • Using a contract offer, the user can make an offer to a prospect relating to a rental object. The contract offer already contains the conditions that are intended for the real estate contract. The prospect can accept or reject the offer. If the contract offer is accepted, you can convert it into a contract.
  • Real Estate Search 
    • Using this component, the user can search for vacant rental objects and find suitable prospects for rental objects, or vice versa.
  • Periodic Postings
    • Periodic postings mean processing the transaction with respect to contracts:
      • Periodic posting of contracts
      • Vacancy for Rental Objects
    • Accrual/Deferral Postings
      • Accrual/Deferral: Contracts
      • Display Accrual/Deferral Results
Reports for Master Data

In the Real Estate Management reports exist for the following master data:

  • Business entities
  • Buildings
  • Land
  • Rental objects
  • Occupancy of rental objects
  • Architectural objects
  • Object assignment 
Reports for Real Estate Contracts 

In the Real Estate Management reports for real estate contracts exist for the following characteristics:

  • Overview
  • Term
  • Security deposit agreements
  • Critical dates with reason

In the Real Estate Management, the following reports for service charge settlement are available:

  • Current Settlement Periods per Settlement Unit
  • Itemization for Settlement Units
  • Meters for Settlement Units
  • Meters for Rental Objects
  • Reports for Settlement
Reports for Land Use Management

There are various reports available for land management in Real Estate Management: The following reports on master data objects are available:

  • Parcel
  • Parcel update
  • Land register
  • Joint liability
  • Notice of assessment

Zimele Technologies Real Estate Management Offerings

Zimele Technologies provides Real Estate Management solutions that are tailor made for any customer across multiple industries. Our offerings for Real Estate Management includes the following:

Hosted Real Estate Management Solution

Our on premise and cloud hosted solutions provide a complete property management overview with a billing engine into the organisations general ledger accounts. With Zimele’s intellectual property built over many years of experience the solution has been pre-configured to meet the requirements of the local and international market in a cost-effective manner.  Its adheres to all the international accounting standards and is based on industry specific best practices. Furthermore, with the SAP ERP component, it allows property managers to manage their property portfolio in a single system. Zimele has implemented a hosted Real Estate Management solution that allows the organisation to leverage off the pre-configured environment and perform the billing and invoicing. Our hosted solutions cater for small, medium and large enterprise. The pre-configured solutions have been build in such a way the organisations can select the basic real estate management solution and add items as and when required.

Packages available include:

Rapid Deployment Accelerators

Utilising Zimele’s accelerators the implementation can fast-tracked with a rapid deployment approach for SAP Real Estate Management. Our methodology streamlines your project by combining software, best practices, and services that will help you quickly boost real estate profitability. Preconfigured software and services enable you to start small with functionality needed today while giving you a roadmap to expand your solution as business needs grow.

Business Analytics for Fact-based Decisions 

We provide business and system analyses on the real estate portfolio specific insights to ensure one version of the truth for all stakeholders across your organisation. This will help the organisation to anticipate change and proactively balance risks and opportunities. Capitalising on our pre-packaged reports for a number of business insights and KPIs spanning project costs, top project analysis, lines of business, and much more.

Services

Transform the business quickly and effectively by taking advantage of our holistic service and support plans, expert consulting services, custom application development, proven best practices, and deep industry and technical knowledge.

Support

Get the support needed to keep the organisations SAP Real Estate solution running at peak performance with our experts and support services, including long-term plans, embedded teams, remote technology support and service portal.

Training

Expand the organisations competitive advantage, ensure the property management team has the skills to manage the property portfolio effectively and optimally. We provide sustained functional and technical training to the individuals who drive the success of the project deployment.

New Innovations Coming Soon

  • Real Estate Reporting Dashboard
  • Occupancy Sensor Integration
  • Building Management System Automation
  • Work Management App
  • Real Estate Manage App
  • Pre-Packages IFRS16 Accelerator