HRI Upgrades Procurement to Cover Portfolio Diversity Including Hotels & Multi-Family
A national real estate company with an expanding portfolio mix since 1982, HRI Properties owns and manages 64 properties—in categories ranging from luxury multi-family apartments and residential properties to upscale hotels and mixed-use urban developments. A strategy to expand HRI’s assets beyond current boundaries led to a search to replace an existing procurement provider with one offering broader programs, greater supply chain expertise, and support across multiple brands, franchises and a mix of property types. We talked to Brandon Goubler, HRI’s Corporate Procurement Manager, to learn how Avendra stood out and was able to deliver a new level of procurement satisfaction across the portfolio and to the corporate operations.
After a lengthy evaluation, HRI saw that Avendra could deliver not only better pricing but also enhanced support for future growth requirements. Avendra’s extensive contract coverage in services such as elevators, laundry, landscaping, etc., (traditionally a highly fragmented area of spend) provided yet another value-added reason to make the move.
Avendra presented more robust service contracts, modeled around current best practices in the industry, leveraging the company’s contract expertise in insurance, indemnification and warranty provisions—and introducing new supplier performance standards. HRI immediately saw the advantages of the extra coverage.
What Avendra capabilities stand out?
Brandon notes that the responsiveness of the Avendra implementation team made a big difference throughout the cutover from the prior provider. HRI went through two on-boarding phases―the first of which targeted 26 lodging properties with a very short on-boarding timeframe of less than 30 days.
Avendra met the challenge head-on, conducting property-level training, educational webinars and a full communications initiative, followed by a face-to-face presentation at HRI’s GM conference.
The second phase integrated HRI’s multifamily properties, which were new to utilizing a procurement provider and related technology. This required additional hands-on training and support—made easier, again, by the expertise of Avendra’s implementation team.
How has Avendra improved your reporting and analytics?
With Avendra, HRI has access to vast amounts of performance data on-demand to help monitor participation and identify savings. As a result, business leaders like Brandon gain valuable financial insights to help clearly identify opportunities across the portfolio to optimize savings.