Property Management & Path Management: IT, ERP, Digitization
- While awareness of digital tools is high and basic IT infrastructure is in place, many property management firms are only in the middle stages of digitization, according to...
- The study, conducted by EBZ Business School, indicates that only a small percentage of property management companies consider themselves fully digitized.
- Time-consuming processes, such as maintenance management and routine administrative tasks, present particular challenges.
Digitization Efforts in Property Management Lagging, Study Finds
Table of Contents
- Digitization Efforts in Property Management Lagging, Study Finds
- Digitization Efforts in Property Management: A Deep Dive
- Why are Digitization Efforts in property Management Lagging?
- What Specific Challenges are Property Management Firms Facing?
- What Percentage of Property Management Companies Consider Themselves Fully Digitized?
- What is the Current State of ERP System Usage in Property Management?
- What Digitization Strategy Challenges Were Identified in the Study?
- What Traditional Tools are Still Prevalent?
While awareness of digital tools is high and basic IT infrastructure is in place, many property management firms are only in the middle stages of digitization, according to a recent study. The study suggests that a lack of extensive strategies and a failure to fully integrate existing systems are hindering progress.
The study, conducted by EBZ Business School, indicates that only a small percentage of property management companies consider themselves fully digitized. Strikingly, the proportion of IT budgets relative to company turnover suggests a significant need to catch up.
Time-consuming processes, such as maintenance management and routine administrative tasks, present particular challenges. The study highlights the potential for automation and digitization to alleviate these burdens.
ERP Systems: Untapped Potential
According to the EBZ study, only 40% of property management firms have a clearly defined digitization strategy. This figure is even lower for smaller firms managing fewer units. “This shows a clear discrepancy between problem awareness and concrete action,” said Prof. Dr.-Ing. Heiko Gsell, Aareon Foundation Professorship Business Informatics at the EBZ Business School (FH) and Head of Digitization and Real Estate Management. He added that while many administrative processes have been standardized and automated, a willingness to embrace change is crucial.
Almost three-quarters of surveyed property management firms use an Enterprise Resource Planning (ERP) system or similar administrative software extensively. However, traditional tools like electronic banking functions (88%) and microsoft Office Suite programs (68%) remain prevalent for tasks such as accounting and standard task processing.
While ERP systems are widely adopted, their potential for process integration and automation is often underutilized. Many firms continue to rely on parallel solutions and manual steps. the study authors noted that the path to a fully digitized administration is often fragmented.
Recommendations for a Successful Digitization Strategy
The study emphasizes that isolated digitization measures are insufficient. Gsell argues that consistent standardization of processes, particularly for frequently recurring tasks, is a prerequisite for effective digitization and automation. Uniform and efficient workflows, such as those for household accounting or dunning, can minimize manual effort and maximize the effectiveness of IT systems. A comprehensive concept is essential.
Gsell recommends that administrators develop a sophisticated digitization strategy and implement it in a structured manner across processes and systems to create a cohesive digital ecosystem. This includes integrating administrative or ERP systems with document management solutions and banking tools, utilizing mobile applications for property inspections, and connecting portals for owner communication. Intelligent networking of systems is crucial to avoid media breaks and isolated solutions.
The study also underscores the importance of workforce progress. In many firms,digital competence is concentrated among a few individuals and not sustainably established throughout the organization. Successful digitization requires systematic employee training and organizational adaptability.
Future Outlook: The Role of Artificial Intelligence
Looking ahead, the study identifies potential applications for artificial intelligence (AI), the Internet of Things (IoT), virtual reality (VR), augmented reality (AR), robotics, and blockchain technology in property management.
AI, for example, could enhance the efficiency and adaptability of communication within administrative companies, which often still relies on traditional methods like phone calls and in-person interactions, according to the study.
Synchronous communication,which can be time-consuming and require significant personnel resources,could be streamlined through portals or apps with integrated telephone,chatbots,and generative AI. These intelligent solutions could record interactions and route them to the appropriate departments for further processing.
About the Study
The study, titled “IT and Digitization in House and WEG Administrations 2025,” was conducted by the EBZ Business school in collaboration with the Institute for Housing, Real Estate and Regional Development (InWis Institute). It is indeed based on an online survey of 136 administrative companies conducted between September 2024 and February 2025. More than three-quarters of the survey participants where from management positions.
The study’s central findings focus on four key areas: IT system usage, administrator and ERP systems, digitization strategies, and employee qualifications and motivation. For each area, the study assessed the current state from the perspective of property management firms, identified existing shortcomings, and presented potential areas for development.
EBZ study “IT and digitization in house and path administration 2025” (free download)
See Also
- Administrator wanted: means against a lack of staff
- ERP system: 30 percent of administrators think about change
Digitization Efforts in Property Management: A Deep Dive
Why are Digitization Efforts in property Management Lagging?
according to a recent study conducted by the EBZ Business School, many property management firms are only in the ”middle stages” of digitization. While there’s a high awareness of digital tools and basic IT infrastructure is in place, several factors hinder progress. The study cites “a lack of extensive strategies and a failure to fully integrate existing systems” as the primary culprits. The study’s findings suggest that the sector has a significant need to catch up, as indicated by the proportion of IT budgets relative to company turnover.
What Specific Challenges are Property Management Firms Facing?
The study highlights several challenges. Time-consuming processes, such as maintenance management and routine administrative tasks, present significant hurdles. The potential for automation and digitization to alleviate these burdens is recognized, but not fully realized.
What Percentage of Property Management Companies Consider Themselves Fully Digitized?
The study indicates that only a small percentage of property management companies consider themselves fully digitized.
What is the Current State of ERP System Usage in Property Management?
Do Most Property Management Firms Use ERP Systems?
Yes. Almost three-quarters of the firms surveyed use an Enterprise Resource Planning (ERP) system or similar administrative software.
Are ERP Systems Being Used to Their Full Potential?
No. The study found that while ERP systems are widely adopted, their potential for process integration and automation is frequently enough underutilized. many firms still rely on parallel solutions and manual steps, resulting in a fragmented approach to fully digitized governance.
What Digitization Strategy Challenges Were Identified in the Study?
The EBZ study found that only 40% of property management firms have a clearly defined digitization strategy.This figure is even lower for smaller firms.
According to Prof. Dr.-Ing.Heiko Gsell, a discrepancy exists between problem awareness and concrete action.
What Traditional Tools are Still Prevalent?
Despite the adoption of ERP systems, traditional tools remain prevalent. The study found that