Getting Results with Archibus
Space Chargeback
Whether an organization owns its building or leases space in a building, they will find that space is expensive and that it is a major factor in the operating budget. To ensure efficient use of space, many organizations internally bill departments for the space that they occupy as well as their share of the floor’s or building’s common space. This process is known as chargeback.
When department managers are internally billed for their use of space, they are more apt to reduce wasted space and use their own space efficiently. With all department managers cognizant of space costs and usage, space efficiency typically improves throughout the entire organization and space costs are reduced.
| Chargeback | |
|---|---|
| Location |
Archibus non-SaaS offering:
Archibus SaaS
|
|
Business Result |
Fully automated internal recharge system. Chargeable area and cost data calculated automatically and grouped by operational unit. Greater awareness of space cost, and thereby improvements in efficiency, because costs are passed onto departments. |
|
Used By |
Facility managers wishing to track common area, remaining area. Cost center managers applying charges to departments for use of space based on assigned rooms. Finance managers incorporating facility costs into their budgets and decision-making. Department managers who need to understand the cost of the space that they use. |
|
Reasons for Automating |
To automate the internal recharge process thereby saving administrative time. To generate space recharge figures accurately and reliably. To generate shared common (prorated) area data. To store chargeback information in a central repository that can be accessed by key stakeholders using a corporate network or Intranet. |
|
Results |
Chargeback Analysis reports Financial Statements by Division Prorate report Remaining Area report |
The main users of the chargeback tasks are:
|
User |
Tasks |
|---|---|
|
Financial Manager |
Distribute cost of space to divisions and departments. Consider space costs in budgets and decision-making |
|
Department Manager |
Review departmental assignments for accuracy. Consider space costs in budgets and decision-making. |
|
Facility Manager |
Review the chargeback amounts and verify that space is correctly assigned to departments and divisions. |
See Also
For details on the chargeback methods, see:
Space Chargeback (Transactional)