Rapid expansion puts squeeze on office space

With a series of strategic corporate acquisitions tucked into its large software business, Oracle is moving to adopt a revised property management plan to cope with its growing operations, staff and customers worldwide.

Real estate managers at Oracle are looking at ways to cope with current obligations and plan for growth in the firm's property portfolio - from acquisition or leasing to construction and facilities management, financial processing and performance tracking.

The Silicon Valley-based technology giant has a global workforce of 50,000, but that number is set to expand significantly after it snapped up 10 firms for more than US$18billion since December last year.

Its latest takeover deal, rival customer relationship management software supplier Siebel Systems, will cost about US$5.9billion after regulatory matters are completed. The bulk of the acquired firm's 5,000 employees will be added to Oracle operations worldwide.

Mark Gibbs, Oracle's senior vice-president for applications business in the Asia-Pacific, said office space management was an issue and an important part of corporate operations.

'We are currently going through this exact exercise in Hong Kong,' Mr Gibbs said.

'We will make predictions about our growth, both organic and inorganic. We will decide on a mix of consultants, back-office functionalities, customers and employee base.'