The world moves fast. Stay ahead.
Subscribe to our newsletter for business transformation news delivered straight to your inbox.
Thank you!You've been successfully subscribed.
Share this post
Key challenges
- Management of distribution, with consideration to be done internally or outsourced to a 3PL.
- Imminent lease expiry, limiting the opportunity to relocate to a Greenfield due to tight timeframe.
- Significant increase in face rents in the surrounding industrial precincts.
- Critical factor to retain existing staff due to labor shortages.
Our approach
TMX Supply Chain team supported BIC's operating model review by:
- Providing a comprehensive supply vs. demand analysis so that BIC could understand the local property market metrics.
- Undertaking an EOI campaign to create negotiating leverage and competitive tension if BIC stayed put or relocated.
- Reviewing the make good definition in the current lease and established a future robust base building definition.
It has been a positive experience working with the TMX team and you do receive dedicated account management. The overall team are very easy to work with and demonstrate very practical firsthand experience in the industry.
— Serena Mahar-Okeefe, Senior Manager – Supply & Deliver APAC, BIC
The results
- Despite the existing facility being approx. 4,000sqm larger than required, the commercial package agreed was deemed sufficiently attractive to commit to an additional 5 years.
- TMX negotiated savings of over AUD $2million over the tenure.
- Significantly reduced future make good obligations by redefining the base building definition in the lease variation documentation.
- The relationship between landlord and tenant has been protected and strengthened through this process.
The world moves fast. Stay ahead.
Subscribe to our newsletter for business transformation news delivered straight to your inbox.
Thank you!You've been successfully subscribed.