Woonbedrijf, a housing association from Eindhoven, has selected DeSi tool to support data-driven decisions. This tool was developed by consultants and developers from OCS Consulting and Improven.
With around 34,000 homes and several hundred business spaces, Woonbedrijf is one of the largest social landlords in Eindhoven and the surrounding area. Just like many of its peers, Woonbedrijf also faces various strategic challenges. In an interview last month with the Eindhovens Dagblad, director Ingrid de Boer admitted that the housing association has to work hard to achieve the ambitions for new construction, sustainability and affordability of social rental housing.
To achieve this, the corporation will have to reduce costs, which must be achieved by reducing the organization and optimizing business operations. Woonbedrijf will also sell around 160 homes per year in order to obtain financing for new construction and to bring its housing stock more in line with the changing housing needs of residents and the price ranges that are below the social rental limit.
To support the decision-making processes underlying these objectives, Woonbedrijf has decided to use the DeSi tool. This tool, developed by OCS Consulting and Improven, helps directors, treasurers, portfolio managers, and managers of housing corporations to facilitate critical decision moments such as a (dis) investment, financing, multi-year budget, strategy and transition plan. DeSI stands for Decision Support Improved. The tool is designed to bundle strategy, treasury, asset management and portfolio management in a model that is hosted in the cloud (the tooling runs within SAS software). "The tool offers reassuring model-based objectivity and quickly provides real-time insight into financial opportunities, continuity, interest rate risk or even social returns," explains Léon Koolen, who was involved with Improven in the development of the tool. According to Bart Debats, Product Manager at DeSI and working at Improven, the tool for Woonbedrijf is particularly interesting because of the simple way to define and analyze strategic scenarios. "This gives them direct insight into the impact on the financial position (capital and cash flows, ratios), real estate stock (availability of the right homes, hold / sell, quality) and the social contribution (affordability, quality of life)."
Debats believes that the situation at Woonbedrijf reflects a broader trend in the corporation landscape. While the industry is facing enormous changes, many companies still use complex Excel models or expensive and complex tools to manage their strategic processes. “The tooling landscape at housing corporations needs to be renewed and simplified. DeSI is our contribution to that, "he concludes.