For most CFOs and finance teams, accuracy, visibility, and control are at the core of financial operations. But there’s one area that still tends to fly under the radar: facilities and real estate. It’s often one of the largest costs on the balance sheet, yet it’s frequently managed outside the ERP, in disconnected tools or spreadsheets.
That might not seem like a big problem – until it is.
The hidden impact of facilities and real estate on finance
Managing facilities and real estate through siloed systems makes it harder to get a clear picture of what’s really going on. Costs get buried. Lease data is hard to track. Reporting becomes manual and time-consuming. And when IFRS 16 lease compliance deadlines roll around, it’s a scramble to pull the right numbers. It’s not just inefficient, it’s risky.
Here’s what we’re seeing across finance teams:
- Inconsistent reporting because data doesn’t flow directly into the ERP.
- Manual compliance work that drains time and increases the chance of error.
- Limited visibility into one of your largest cost categories, facilities and leases.
Integrated facilities and real estate management: A strategic lever
SAP and Planon have teamed up to make facilities and real estate management part of your financial core. With Planon for SAP S/4HANA®, property data isn’t sitting off to the side anymore. It’s fully integrated into your ERP environment through ERP real estate integration.
That means:
- Lease transactions update in real time.
- Compliance with IFRS 16 or ASC 842 becomes far less manual.
- You get one version of the truth, without needing to chase data across systems.
You also gain access to analytics and dashboards that show you where you can reduce costs, renegotiate contracts, or optimise space. This level of facilities cost control is a major step forward for finance leaders.
Solution Architecture
Combining Planon and SAP Strengths jointly developed out-of-the-box integration
Key Planon Functionalities
- Portfolio Management
- Space & Workplace Services Management
- Maintenance Management
- Sustainability Management
SAP Cloud Integration Suite
- Master Data Integration
- One Domain Model for Real Estate
Key SAP functionalities
- Contract & Lease Management
- Real Estate Accounting
- Settlement Processes
As SAP highlights,
‘Customers will benefit from the data flowing from smart technologies seamlessly into ERP processes. This will unleash the potential of the huge amount of real estate-related data, creating new opportunities for optimisation and value creation.’
Why this matters now
Facilities and real estate is evolving fast. Workplace changes, rising property costs, and stricter accounting rules have made managing this area more complex, and more important, than ever before.
Finance leaders are looking to digital tools such as lease accounting software to handle this complexity. Finance teams are expected to provide answers and identify cost-saving opportunities across the organisation. But that’s only possible if you have access to accurate, real-time data in the systems you already use.
If any of this sounds familiar, it might be time to ask:
- Are lease costs reflected accurately in our financial reports?
- How much time is the team spending on manual, real estate-related tasks?
- Could we reduce risk or unlock savings by having better visibility?
Finance-led digital transformation
When real estate management is embedded in your financial processes, it’s no longer just about keeping the lights on. It becomes a lever for performance, compliance, and cost control – central to a modern facilities and real estate finance strategy.
With Planon and SAP, finance teams gain the tools to manage real estate like any other strategic asset: clearly, efficiently, and in alignment with the rest of the business.
Explore how Planon for SAP S/4HANA® can support your finance transformation, enhance facilities management, and deliver long-term value.