University Real Estate Business Management Report and Analysis

This report delves into the operational aspects of a real estate management business, examining its current state and potential for improvement. It begins by outlining the business models, including the Canvas and ESSO models, providing a framework for understanding the business's structure and customer segments. The report then explores the organizational context, defining the roles of key personnel such as the property manager and tenants, and their interactions within the business. Flowcharts are used to illustrate the 'as-is' and 'to-be' processes, highlighting areas for optimization. Furthermore, the report identifies potential improvements through enterprise computing applications like CRM and ERP, focusing on enhancing customer relationships and streamlining operations. Overall, the report offers a comprehensive analysis of the real estate management business, providing insights and actionable strategies for enhancing its performance and efficiency.

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Name
University
Course
Instructor
Date

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Table of Contents
Introduction 3
Business models 3
Canvas business model 3
ESSO business model 5
Organizational context 6
Property manager 6
Tenant 7
Stakeholder 7
Flow charts 8
As-is flowchart 8
To-be flow chart 9
Better approaches 10
Ways of improving the functions and services for the real estate business management 10
Ways of getting customers.10
Ways in which the current technology can be used to improve customer support.. 11
Bibliography 12

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Introduction
This management report addresses the aspects surrounding the real estate management
business managed by a real estate agent. The report addresses the current situation with the real
estate management business. Factors that are good for the business can be embraced and more
resources allocated to them for them to thrive more. The challenges or obstacles the business
faces on a day to day basis in the execution of the tasks by the real estate agent. The report also
identifies the problems or challenges the business faces and gives the possible solutions that can
be implemented or put into place to curb the challenges and problems that hinder the prosperity
of the business, For instance, if the business is using a manual or traditional approach to business
activities automation can be done to the system and observe the changes in the flow of customers
and the profits that accrue for a certain period of time after the implementation of the automated
system. The pillars of this business and what the real estate management system entails for this
case. The activities and the transactions done by the real estate agent for the business are also
spelt out in this document.
Business models
Canvas business model
This is a business model which appears like a canvas Osterwalder and Pigneur (2010)
Barquet et.al (2013) the canvas consists of the vital components of the real estate management
which include: customer segment, the partners in the business, the vital activities and resources
of the business, the value proposition to the customers, customer relationship to the real estate
business, cost structure, and the revenue streams.
Customer
relationshi
pIntimacy
between the
agent and
customer
Customer segment
These are the people
who the tenants in the
estates.
Channels for
payment and
communicating
Value proposition
These are the services
rendered by the real
estate management
agency.
Vital activities –
these are the main
activities that
facilitate good
delivery of services
Resources
These are the
facilities available
that enable better
service provision.
Partners in the
business
These are the
shareholders
who share
profits from the
business
Cost structure
These are the expenses the real
estate agent uses in the
management process.
Revenue streams
The profits the real estate agency
gets from the business.

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Partners in the business include all the members of the real estate business that offer services to
the tenants or customers.
The customers are the tenants in the houses in the estates that the real estate management
business owns. The customers are the most vital component of the business because without
them there is no business that will occur.
Vital activities and resources are the activities that the business performs and the facilities that
the business owns to ensure effective and efficient delivery of the services to the tenants that they
have.
Value proposition is the quality service that the real estate management business offers its
customers or the tenants in this case. The measure of the real estate management business is
measured by the value proposition. If the value proposition is well presented and provided then
the business is most likely to prosper.
Customer relationship is the intimacy or the business closeness of the business to its customers.
This measured by the responses and feedback the business gives back to the customers. The
quality of feedback enhances the reliability of the business.
Channels are the communication mediums in which the customers and the business use
effectively and efficiently.
Cost structure and the revenue streams are the expenses the business incurs prior to getting
profits and the profits the business accrues with time respectively.

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ESSO Business model according to Lim, M., 2010.
ESSO business model is based on the Environment, Structure, Strategy, and Operations Lim, M.,
2010.
Environment is the surrounding competitive alternatives for tenants. The environment affects the
business through the tenants. The government policies for example you cannot provide real
estate services unless you are issued a license by the Australian government leaves out some
potential service providers.
Environment
How the environment influences the tenants
Structure hierarchy of the real estate
management organization
the community structure
Strategy competitive advantage
opportunities in the market
available resources
Operations vital partners’
vital activities and, resources
customer segment
Information management
Priorities
considered
cost time, and
resources

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Structure is based on the hierarchy of the officials in the real estate management business. This
includes the business owners or the share holders, the property manager and other employees of
the real estate management business. The structure of the organization of the community within
which the business is located is also stated here.
Strategy is the plans and the methodologies that the business has in plan to manage the
competition in the market. This involves the resources the business has, the activities it does, and
the services it renders the customers that other competitive firms cannot provide.
Operations are the vital activities and resources rendered to the customers or tenants. The
operations determine the customer relationships with the business. This depends on the quality of
the services rendered and the time taken by the business to respond to matters raised by the
tenants.
Organizational context
The real estate management business is a platform where experts in accounting and financing
come together to manage established estates on behalf of the owners. An estate consists of
several houses and households. The real estate agent’s work is to find customers who, in this
case, are tenants who want to rent the apartments or houses in the estate. The real estate agent
allocates houses to the tenants, collects rent and manages the funds for the owner of the estates.
For the real estate management to be allowed to work or render its services, they should have a
license issued by the Australian government.
Roles
Real estate agent or property manager. The following are the roles played by the property
manager Edwards and Ellison (2009)
Deals with matters concerning rent. The property manager sets the rent to a certain value,
adjusts the rent depending on the duration of time that has passed maybe a month or a year and
also does the collection of rent either monthly or yearly depending on the agreement between the
tenant and the property manager.
Provides services to the tenants.
First the property manager finds the tenants and offers them houses to choose from. This is done
through advertisements on the radio, the television and also hanging notices on trees for
customers to see.
Screening of tenants to find who best suits the apartments is also done by the property
manager.The financial and the criminal records of a potential tenant is done by the property
manager to select the right tenants for the apartments in the estate.

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Response to emergencies and complaints. He or she is held responsible to responding to noise
making people, maintenance, and emergencies like fire.
Eviction of a tenant from the apartment. When a tenant moves out of the house, the property
manager checks for any damaged things or property left.
Maintenance and repair responsibility
The property manager is held accountable for the maintenance of the houses. This is to make
sure that they are in better conditions to consider for renting.
A property manager should be well connected with a network of plumbers, electricians and
carpenters so that in the event repair is needed it is delivered with immediate effect.
Supervision
The property manager ensures other employees in the agency work under the guidelines of the
organization
He or she also watches over the vacant properties that were left either by eviction or moving to
another estate by the tenant.
Real estate budget management.
Record keeping. The property manager keeps all the information accrued form activities
He or she also manages the taxes and advises the property owner on how to file taxes.
The tenant
Pays the rent stipulated at a stipulated time.
The tenants maintain the house as he or she found. Failure to do so there is a penalty issued as
per the agreement between the property manager and the tenant.
Stakeholders
The stake holders discuss the strategic important issues that are long term and affect the progress
of the business after a period of time.
On being consulted by the property manager they can choose to expand the business. For
instance, build more estates or buy the nearby estates depending on the current status of the
business.
The stakeholders can also decide on whether or not to increase the number of employees
working in their estates depending on the convenience and inconvenience of the current
employees. If the number of employees provides effective and efficient labor they cannot hire

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theirs. If the workload is higher than the labor they have then they have to hire more employees
for the real estate business.
The stakeholders decide on which employee to dismiss from duties due to a genuine reason
about the employee. The reasons can be laziness, poor time management, and underworking or
underperforming of the duties. They can also consider sacking the property manager if they feel
he or she has brought more losses than profits tow the business.
Flow charts
The ‘as-is’ flow chart
A tenant visits the website of the real estate management and requests for booking of a rental
house. The system checks whether there are vacant houses. If there are no vacant houses the
system informs the tenant. If there are vacant houses the tenant books a room. This process is via
the booking officer of the real estate management organization.
Tenant
Online booking of the houses
Booking
officer
Booking house
If available
No
Yes
Available Book
Not available
Booked

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To-be flow chart
There is the specialization and responsibility aspect. The officer managing online booking has to
liaise with the allocation office for the process of booking to be complete. The allocation officer
is in charge of assigning the rooms to the tenants whereas the booking officer is to manage the
websites online booking.
High value activity is in the payment mode for the booked room that is where the allocation
officer liaises with the finance officer. For the allocation officer to assign a room to a tenant he
Tenant
Online booking of apartments with real estate
Booking officerAllocation officer
Booking house
If available
No
Yes
Available Assign
Booked
Not available
Not available

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or she must get an okay signal from the accountant stating that the customer has at least paid a
deposit of 10% of the total rent.
Ways of improving the functions and services for the real estate business management
Enterprise computing
This is the implementation of the business-oriented information systems in the operations of
business like accounting, sales and marketing, resource management, resource planning, decision
making, customer relationship management and human resource management.
Commonly used enterprise computing.
Customer Relationship Management. This information system is responsible for the management
of the intimacy between the real estate management and the tenants based on the services
rendered to the tenants.
Enterprise Resource Planning. This covers the scope of many businesses. It covers the logistics,
workflow, accounting, human resource management and management of resources in a business.
These are the main aspects of any business. The logistics manages flow of activities in the
organization. The accounting manages funds, human resource manages the employees and
workflow manages assignment of jobs.
Supply Chain management is an information system that manages the chain of supplies within an
organization.
How these applications help in the business organization
The CRM helps in the management of the tenant intimacy and enables the business to identify
those tenants that are consistent. The real estate can even award its tenants. This service to the
tenants help the business to grow because of the good rapport maintained with the customers.
The ERP system through the accounting system enables accurate payment of rent by the tenants.
The management of the rent paid by the tenants is also manageable as the system keeps the
records of every transaction that is done by the system. These records are called log files.
Ways of getting customers.
Through advertisement. The management can allocate funds to pay for advertisement on the
televisions and radios. Bill boards can also be erected advertising the real estate management
system and the services they offer. Online advertisements on the internet can also be applicable
for the internet users.
Through better service rendering. If the services offered by the real estate management are
effective, efficient and beneficiary to the tenants then they will spread the word of the best real
estate management and thus result to the increase of customers.

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Ways in which the current technology can be used to improve customer support.
The CRM which is an information system enables the real estate management to identify those
tenants that are very punctual in paying rent and in the events organized by the real estate
management. After identifying the tenant the organization rewards the person. This acts as a
motivation to the other tenants and the intimacy between the real estate management and the
tenants increases.
Creation of online portals where the tenants are able to raise their complaints and concerns about
certain activities that affect them in one way or another. Once the information is relayed by the
tenants, the real estate management is supposed to react to these concerns. This will make the
tenants gain trust in the real estate management.

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Bibliography
Lim, M., 2010.Environment Strategy Structure Operations (ESSO) Business Model.Knowledge
Management Module.Edited by Bangor University Wales.Bangor University Wales.
Osterwalder, A. and Pigneur, Y., 2010. Business model generation: a handbook for visionaries,
game changers, and challengers. John Wiley & Sons.
Barquet, A.P.B., de Oliveira, M.G., Amigo, C.R., Cunha, V.P. and Rozenfeld, H., 2013.
Employing the business model concept to support the adoption of product–service systems
(PSS). Industrial Marketing Management, 42(5), pp.693-704.
Edwards, V. and Ellison, L., 2009. Corporate property management: aligning real estate with
business strategy. John Wiley & Sons.