Optimizing Occupancy Through Process Excellence: A CoreNet Global Summit Recap

By Brigitte Beltran, National Strategy & Growth Director, VVA
and Leslie Shih, Global Head of Real Estate, Russell Reynolds Associates

Each year, the CoreNet Global Summit helps define where corporate real estate is headed. This year, the collective message was unmistakable: the pace of change in the world is accelerating, and our processes need to keep up while remaining innovative.

Across industries, there is a heightened focus on automation, better measurement, and more efficient ways of working. Corporate Real Estate (CRE) is now facing a critical moment. Expectations are rising. Budgets are being carefully analyzed. Workforces are more fluid. And the opportunity to turn CRE into a proactive, C-Suite strategic partner has never been stronger.

That idea shaped our joint session at the Summit, “Optimizing Occupancy Through Process Excellence.” With a room full of CRE professionals managing unpredictable occupancy patterns and complex portfolios, we explored how innovative process excellence can transform both day-to-day operations and long-term strategy.

Below are the five key takeaways from our presentation and why they matter.

#1: Process excellence is becoming the foundation of CRE strategy

Process excellence is the discipline of continuously improving how work gets done. It creates consistency, reduces risk, and supports better decision-making. For CRE teams, this is no longer optional.

A 2018 McKinsey report ranked CRE and agriculture as the two industries least disrupted by technology. While many other functions have modernized rapidly, CRE processes often remain fragmented.

To stay effective, teams need systematic processes that can withstand turnover, organizational change, and unexpected events. COVID showed us how quickly outdated or inconsistent processes become liabilities. CRE teams that invest in process discipline today will be best positioned to anticipate business needs and plan ahead rather than being reactive.

#2: Technology and data are powerful, but only when guided by human judgment

AI, automation, process mining, and new digital tools were central themes at this year’s Summit. These technologies can dramatically accelerate analysis and open new opportunities for optimization.

But technology is not a stand-alone solution.
During our session, we described AI as a “very sophisticated intern.” It can summarize, analyze, and model faster than traditional methods, but its output can be inaccurate. CRE leaders must validate every insight before sharing it with the business. Professional credibility depends on it.

Data transparency is also becoming essential. CFOs and business leaders want to understand not just occupancy costs, but how those costs were built and what options exist. Reporting is no longer the finish line. The real value comes from interpreting the data, showing scenarios, and defending the budget through clear, well-supported recommendations.

#3: Strategic timing is the most effective occupancy lever

While technology and design get a lot of attention, timing is often the single most impactful factor in portfolio optimization.

The optimal window to begin lease negotiations is 18 to 24 months before expiration. Too early, and landlords cannot meaningfully engage. Too late, and leverage diminishes and available options decline.

The consequences are real. For a typical 30,000-square-foot requirement, a fit-out can take 12 months or more. Missing that timeline can force the use of expensive swing space or delay important moves.

#4: People and culture ultimately determine whether a process succeeds

Process excellence is not only about workflows and tools. It must include the people affected by the change.

Employee attrition is expensive and disruptive. Optimizing occupancy should never create unnecessary friction for teams. When shifting to unassigned seating or new workplace models, employees need clarity, reassurance, and a structured change management approach. Even seemingly small concerns, like where someone keeps personal items, can influence the overall success of the transition.

Cultural nuance matters as well. Global portfolios require local adaptation.
In cities like Amsterdam or Paris, bike commuting is common, so offices often need showers and bike storage. Other markets may prioritize wellness rooms, prayer rooms, or different collaboration ratios.

Finally, stakeholder alignment is essential. Leaders, office heads, and partners influence how space is used. Engaging them early in the process reduces roadblocks later and increases shared ownership of the outcome.

#5: KPIs and partner selection require clear discipline

The last takeaway centers on measurement and partnership.

CRE teams often report many metrics, but only a few should qualify as true KPIs. The most effective KPIs are those within the team’s control. For example, attendance may help inform planning, but it is not a direct measure of CRE performance.

Leslie’s team at RRA reports three core KPIs to the board and senior executives regularly:

• Rentable square foot per employee, which reflects the efforts of standardizing space across 24 countries in 50 locations
• Occupancy cost as a percentage of revenue, which shows the contribution to the profit through workplace strategy
• Occupancy cost per employee, tracked over time for historical comparison in order to balance the wellbeing and investment for best workplace experience

These KPIs are simple, consistent, and meaningful across global markets with very different cost structures.

Partnership discipline is equally important. Performance varies widely among brokerage firms, consultants, and project management providers. Selecting the right local team can significantly influence outcomes. As Leslie emphasized, organizations should expect their partners to bring the strongest local expertise, not simply the team that happens to be available.

For VVA, this aligns closely with our philosophy. We serve as advisors, not just project managers. Our regional teams across our 12 US offices bring strong local expertise with a senior leader on all projects, challenge assumptions, anticipate needs, and introduce new ways of thinking.

Looking ahead: a new chapter for CRE

The CoreNet Global Summit reinforced a clear theme: process excellence through innovation will define the next era of CRE.

The industry is moving toward more creativity, more innovation, and more collaboration across functions. Both of us believe this is an exciting moment for CRE professionals who are ready to think differently and embrace new levels of strategic influence.