BrfTempen: A Revolutionary Tool for Enhanced Efficiency in Housing Cooperatives
In a move aimed at boosting the efficiency and financial health of housing cooperatives, Riksbyggen has launched BrfTempen, a tool that functions as a comprehensive health check for these organizations. With 85 years of expertise and over 4,000 management clients, Riksbyggen is leveraging its profound understanding of Swedish housing cooperatives to assist boards in pinpointing their financial standing and improvement areas.
Frank Fagerlund, a representative from Riksbyggen, emphasizes the challenge that many boards face: a lack of clarity on where to begin addressing financial and operational concerns. This often results in an overwhelmed board attempting to tackle multiple issues simultaneously, leading to inefficiency. BrfTempen simplifies this process by offering boards insight into the financial aspects that require immediate attention, enabling them to prioritize where to exert their efforts. For instance, the tool can reveal whether a cooperative is incurring excessive energy costs or has a higher debt level compared to similar associations.
To utilize BrfTempen, housing cooperatives only need to input some basic details about their organization. Following this, experts from Riksbyggen will analyze the data and generate a complimentary report. This report includes vital statistics and graphs that dissect the financial health of the association through six key metrics: annual fees, energy costs, interest, debt levels, savings, and operating expenses. Fagerlund further explains the importance of contextualizing these metrics: "We compare associations based on size, year of construction, and other relevant factors to ensure a fair comparison. A newly built cooperative, for example, cannot be directly compared to one established in the 1930s."
Among the essential metrics highlighted in the report is the figure for savings per square meter. Fagerlund notes that it is critical for this figure to align with the savings stipulated in the cooperative's maintenance plan. Should the board find that savings are insufficient, they can implement measures to either cut costs where feasible or explore opportunities to enhance various revenue streams. Although adjustments in the annual fees could be a last resort, Fagerlund reminds boards that tackling financial challenges sustainably requires a long-term perspective to avoid sudden increases in fees.
Beyond financial analysis, BrfTempen can significantly streamline the time commitment of board members. A survey conducted in late 2024 indicated that over half of board members dedicate between 1 to 4 hours weekly to their responsibilities, while nearly a quarter invest between 5 to 12 hours. The objective of BrfTempen is to allow boards to identify areas of strength and weakness efficiently, allowing them to allocate their time more productively. "When boards can see what is working well and where improvement is necessary, they can plan their activities more effectively," Fagerlund concludes.
Finally, the report will also help housing cooperatives to benchmark their performance against peers, providing insights into where they stand in the broader context of Sweden's housing landscape. As Riksbyggen continues its mission to foster attractive and sustainable living environments, tools like BrfTempen are pivotal in ensuring that housing associations not only survive but thrive in an increasingly complex financial landscape.
Related Sources: