The Leader - November/December 2008 - (Page 45)

mented, but in other emerging markets such as Vietnam and the Philippines where diesel is the staple diet of energy in these countries.” In fact, he notes that while India is virtually a 100 percent net importer of diesel, nearly every new building in India runs on diesel until connection to the power grid which in some cities can be up to 18 months. “What happens if the diesel line gets cut off or if the tractors pulling the diesel go on strike?” he asks. nies interested in acquiring space are going to have a more difﬁcult time doing so. Offering an FTSE 100 or being a Fortune 500 company may not be sufﬁcient in the future. Maddock believes deposits for space – which are currently not required in the United Kingdom or U.S. – may become standard fare in those areas in the near future, and the perceived strength of covenant won’t necessarily buy additional leverage in the deal. Supplier Collaboration Global Credit Crisis Accountancy is potentially driving some of the real estate decisions beyond what would naturally occur in a rational world, he says. “Having to take IAS 37 provisions on your balance sheet if you put space on the market is potentially hard in a market where people’s balance sheets are very weak,” he explains. He says corporations are closely examining their exit strategies before signing up to new leases. “People are reviewing to an extra dimension whether they should acquire space because of the accounting rules rather than because it makes a rational decision in the real estate world,” he says. On the other side of the coin, those compaMaddock believes one of the most signiﬁcant things he can offer his clients is supplier collaboration. Bringing the parties involved in project management, facilities management, and transaction management together “at the edges and where they meet each other, well, there’s a huge amount of work and process reﬁnement that could be done on how they link in,” he says. If a client wants to purchase these services from different sources, it’s their choice. “You can’t change a client overnight but you can change the way you deliver service,” Maddock explains. “The challenge for real estate service providers is to lead and manage the supply chain, not simply to be part of it.” 2 0 0 8 TH E LE ADE R “ “ Family, Career, and CoreNet Global Maddock has remained involved in CoreNet Global through Discovery Forums, attending global Summits and other events and engaging in Chapter activities. Of these, he ﬁnds the invitation-only Discovery Forums the most valuable. “I ﬁnd Discovery Forums the most rewarding part of my involvement with CoreNet Global, because you can get a much more collaborative view of the real issues on the agendas of major corporations,” he explains. “I enjoy hearing about other people’s issues and challenges and seeing how they solve them, because it’s real.” Maddock, 40, has spent his entire 19-year career with DTZ, both in the Middle East and Europe. He currently lives in Buckinghamshire, just north of London, with his wife and three children. Balancing the needs of global clients with normality of family life remains a challenge which many readers will understand. Maddock remains passionate about the future of the CRE industry. While that passion burns brightly, his family will understand his drive. “ You can’t change a client overnight but you can change the way you deliver service. 45 NOVEMBER / DECEMBER

Table of Contents Feed for the Digital Edition of The Leader - November/December 2008

The Leader - November/December 2008 Leadership Contents Message from the CEO Real Estate in the News Leveraging Business Geography My Work @ Bank of America Blending the Old with the New A Tool for Growth Creating Real Estate Value Nokia-Siemens Networks’ Peter Doran DTZ’s James Maddock Annual Economic Development Directory The Georgia Report Location Profile: Magdeburg, Germany Linking Corporate Real Estate to the Enterprise 3rd Quarter 2008 Adding Value in Challenging Times Australia and New York Shell’s Paul Huston Economic Development in the News A Look Ahead In our Next Issue Calendar of Seminars Index of Advertisers Chapter Learning: The Global Perspective

The Leader - November/December 2008

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