Many Irish firms with larger property portfolios could increase trading profits by more than 10 per cent by more efficient management of their interests, according to DTZ Sherry FitzGerald.

The property group claims that research carried out in the UK by its partner, property consultants DTZ Pieda, found British companies were "throwing away" £18 billion sterling (€28.7 billion) every year through inefficiencies in their property management.

And Sherry FitzGerald claims many large Irish companies are just as poorly organised and are missing out on adding 13 per cent to their profits by not managing their properties better.

Mr Alan White, a consultant with DTZ Pieda and formerly property director at BT Property, told a Sherry FitzGerald conference yesterday that optimum property management was achieved by an alignment of property plans with business strategy.

"Property is the second-highest business cost after staff, but it is a cost that many companies do not accurately assess," he said. "By looking at the cost of property, inefficiencies can be identified and corrected."