Businesses are increasingly using an outsourcing strategy, including outsourcing of facility services, to achieve strategic advantages: to improve their competitive advantage and to achieve market preservation or dominance goals. They are pursuing these objectives by focusing on their core business activities, by acquiring marketable benefits (or by gaining cost efficiencies) from strategic partners, through outsourcing. In pursuit of improving competitive market position and to fund these goals, buyers are also seeking to conserve financial and people resources.
Market changes and budgetary pressures are forcing companies to re-examine their support operations. Facilities Management (FM) outsourcing may lead to a leaner, more efficient organisation that can concentrate on core business and reduce operating costs.
An efficient working environment represents an enormous overhead. It also needs significant ongoing investment of managerial time and resource. Outsourcing may be a better option but its not the only option having a good facilities management solution can help to achieve the same goal.
Organisations explore outsourcing options for a variety of reasons:
Cost reduction
The potential to convert fixed costs to variable costs
Insufficient management time available for the in-house operation or its improvement
Difficulty in retaining sufficiently qualified staff
The switch to professional facilities management and amintenace management software brings advantages including:
Cost savings of 10% - 20%
Improved service delivery by specialist FM service providers
Better attraction and retention of staff by the service providers
Improved management of existing resources
Transformational initiatives
The added value of consultancy expertise
The potential for better procurement opportunities on an asset refresh