Corporations Face Wide-Ranging Real Estate Lease Administration Risks, New EMS Report Advises.

EMSInsight Report Shares Best Practices and Insights from Top Corporate Real Estate Leaders and Industry Suppliers Worldwide on Improving Lease Administration Processes

SOUTHBOROUGH, Mass. -- Corporate real estate lease administration can have wide-ranging financial and regulatory implications for companies today, according to a new report by advisory firm Expense Management Solutions, Inc. (EMS) and distributed through the firm's EMSInsight practice. Inaccurate lease data and poor management of that data can result in missed or inaccurate payments, questionable financial reporting information, severe penalties and operational disruptions.

The EMSInsight report, Lease Administration: Current Perspectives and Future Trends, reveals trends that impact lease administration, and best practices that top real estate lease administrators are employing to provide efficient and accurate services. The report defines optimal organizational structures, key industry benchmarks and metrics, and strategies relative to the cost and delivery of lease administration services.

"Real estate is often one of a company's top three expenses, and is very visible with the C-suite and the board, given its presence in the financial statements," said Scott Tibbo, CFM, the author of the report and managing director of the EMS Real Estate Services Practice. "Lease administration is the function responsible for ensuring the accuracy of that information as well as providing the business leaders foundational information to make key strategic decisions relative to a company's growth and locations."

The EMSInsight report identifies four major trends that lease administrators are facing, and identifies best practices to address each:

* Increasing Technology. Many lease administration tasks are repetitive and data-driven, and are therefore prime candidates for automation. Lease data is critical for many parts of the organization, and requires a high level of integration. What should be automated, how and with what solution are critical issues for lease administrators.

* Increasing Emphasis on Accountability. The current regulatory environment has brought about a need for improved business processes, tighter controls, and more accurate, real-time reporting of corporate real estate liabilities.

* Increasing Levels of Outsourcing. As real estate and lease administration are typically not defined as "core" by many organizations, corporations are pressured to consider outsourcing this function. There are many issues to consider to ensure this function is outsourced effectively.

* Increasing Emphasis on Cost Management. Given the pressures on real estate executives to cut costs, management of real estate is a prime area to minimize expenses. Effective delivery of lease administration services, focus on desktop and full-scale audits, as well as expansion of the function to include tax administration, are all opportunities to achieve cost reductions.

The full report, Lease Administration: Current Perspectives and Future Trends, is available at www.emsinsight.com.

About Expense Management Solutions, Inc.

Expense Management Solutions (EMS) delivers innovative strategies and solutions that increase shareholder value through improved performance, specifically for corporate services organizations. From corporate real estate to travel, food, mail, print management and procurement, the firm's consulting services focus on analysis, solution design, decision support systems, performance management, and supplier management strategies.

Founded in 1997 and headquartered in Southborough, Mass., EMS is a certified Women's Business Enterprise that serves clients globally, regionally and locally. To learn more, visit EMS at www.expensemanagement.com or EMSInsight at www.emsinsight.com.