Assessment of Real Estate Outsourcing Practice of Banks and Telecommunication Companies in Lagos, Nigeria

Abstract

The purpose of this paper is to examine real estate services that are outsourced in the banking and telecommunication sectors and the procedures adopted in outsourcing in Nigeria with a view to providing information that could help in enhancing corporate real estate practice. Primary data were collected with the aid of questionnaires from the 27 banks and 6 telecommunication operators (totalling 33) who were assessed through their corporate real estate officers. Total enumeration of the 33 selected business organisations was purposively adopted and the data were analysed using frequency and percentage. The study found that 96.3% and 83.3% of banks and Telecommunication companies respectively insourced real estate strategic planning services A total of (69.7%) in-sourced client relationship management. Also, the most frequently outsourced services by banking and telecommunication companies were property valuation (72.7%), space planning (54.5%), facility management (54.5%), feasibility studies (33.3%), site selection and property leases (55.5%) among others. The result also showed that two (6.05%) categories of organizations adopted the World Bank procedures for selecting outsourced real estate consultants. Professional Estate Surveyors must be up and doing when services are outsourced to them so as prevent usurpation of responsibility and functions from professionals in the built environment and others competing for works in the estate surveying valuation business domain