Facilities Management Outsourcing

What is Facilities Management Outsourcing?

Facilities management outsourcing is the practice of hiring third-party contractors such as ServiceChannel Managed services to handle a business’s facility-related tasks, such as maintenance, cleaning, and security. Outsourcing facilities management combines the flexibility of delegating externally with the strategic aspects of facilities management, enabling businesses to focus on core activities while receiving the benefits of specialized expertise.

How Facilities Management Outsourcing Works

Outsourcing facilities management works by engaging a contracted service provider to handle specific facility-related tasks to support an in-house team, such as preventive maintenance services, equipment repairs, and janitorial services. Organizations typically work with service providers to establish contracts that outline the scope of services the company requires, performance standards — including regulatory compliance requirements — and the cost structure. .

Each party plays their part in the contract. The outsource partner manages the required duties, employing relevant resources, technology, and specialized expertise. The client sets facility management goals, reviews the effectiveness of the vendor, and assesses the value of the provided services. Both parties collaborate to make sure that each knows their role in the agreement and meets their responsibilities.

Types of Facilities Management Services to Outsource

Organizations can choose some or all of the potential services that outsourcing agents provide. If there’s an area in which the client company prefers to handle in-house, they may just seek some of the more commonly utilized services the outsourcer offers. Outsourcing facilities management includes the following functions and more:

• Cleaning and Janitorial: The service company maintains the cleanliness, hygiene, and sanitation of facilities to help ensure a pleasant environment.
• Security: A third-party security agency provides monitoring, access control, and emergency response to protect occupants and the property.
• Internal Systems Maintenance: Specialized technicians handle the routine maintenance and repair of building infrastructure, such as HVAC, plumbing, and electrical to keep the building operating properly.
• Landscaping and Groundskeeping: Property management professionals maintain the aesthetic appeal and safety of outdoor areas, such as lawns, gardens, and parking lots.
• Energy Management: The FM company monitors and optimizes energy usage, using strategies that reduce energy costs and improve sustainability.

Benefits of Outsourcing Facility Management

Outsourcing facilities management provides organizations with several distinct advantages that enable them to operate more effectively and efficiently. The benefits when you outsource facilities management duties include:

Cost Savings

Outsourcing facilities management and maintenance services eliminates the need to hire and train in-house personnel, purchase specialized equipment, and manage maintenance staff. Providers typically offer a range of services they provide, and others they may subcontract, from critical system inspections and preventive maintenance to routine cleaning and comprehensive custodial services. Many outsourcing providers offer competitive pricing scales that save the client significant money in operating costs.

Access to Expertise

Third-party facilities management companies bring a range of knowledge and experience to the table. Often employing teams with diverse specializations, they can ensure high-quality service, regulatory compliance, and familiarity with the most up-to-date technologies and industry standards.

Scalability and Flexibility

By utilizing their own staff on an as-needed basis, outsourcing facilities management providers offers clients the flexibility to scale required services up or down based on the company’s needs. The outsourcing organization can quickly adapt to changes in a client’s business size, demand, and facilities operations without the added complication of internal restructuring on the client’s part.

Outsourcing Facilities Management Challenges

While the cost benefit clearly makes outsourcing facilities management services worth consideration, the practice comes with a few obstacles that organizations have to overcome.

Loss of Control

Outsourcing often leads to reduced oversight and direct control over day-to-day operations which could potentially impact the provider’s service quality and responsiveness. Outlining clear performance metrics in service-level agreements (SLAs) and regularly reviewing the vendor’s performance helps the client maintain control over the care of their facility.  

Communication Gaps

Miscommunication between the FM provider and client can result in delays or failure to meet expectations. Utilizing communication tools and platforms such as regular meetings, status reports, and feedback sessions help ensure timely and clear information sharing.

Security and Confidentiality Risks

Third-party FM providers with access to sensitive information might pose security and data privacy concerns. Establishing strict security protocols such as confidentiality agreements and access controls help limit exposure to sensitive information. Regular risk assessments help maintain security and ensure compliance.

Vendor Reliability 

Dependance on external services can lead to a variety of issues if the provider faces challenges in staffing, financial stability, or consistency. Thorough due-diligence can put many of those worries to rest. Check their financial stability and seek out client references. Monitor their performance once they’re selected and have a contingency plan to switch providers if necessary.

Corporate Culture Gaps 

Differences in company culture and practices between the client and provider can impact collaboration and efficiency. Investigate the values and work cultures of prospective service providers and select ones that align with yours. Provide orientation and training on your organization’s culture and expectations to build a partnership of collaboration and understanding between both parties.

Strategies for Implementing Facility Management Outsourcing

When considering the outsourcing of your facility’s management, a computerized maintenance management system and the following strategies can help you get your plan under way.

• Conduct a Needs Assessment: Evaluate your facility’s specific needs, capabilities, and resource limitations and identify the tasks and services that would benefit from outsourcing. 
• Know Your Potential Partners: Thoroughly research prospective vendors and conduct interviews. Consider their experience, reputation, offerings, and alignment with your goals.
• Develop Clear Contracts: Produce comprehensive contracts that clearly outline your company’s needs, the scope of work, and performance expectations.
• Implement a Transition Plan: Create a structured process that includes training, transfer of knowledge, and phased implementation to smoothly hand over responsibilities to the service provider.

Outsourcing Facilities Management in Conclusion

Outsourcing facility management services offers a strategic approach to handle a multitude of facility-related tasks. By taking advantage of the specialized expertise of service providers, companies can enjoy effective facility upkeep while they focus on optimizing operational efficiency, reducing facilities costs, and attending to core business functions.

ServiceChannel is a comprehensive facilities management platform that streamlines outsourcing processes and facility maintenance. Organizations looking to enhance their facility management strategies can take a tour and discover all that ServiceChannel has to offer. Consider a ServiceChannel demo and learn how you can level up your organization’s facility maintenance capabilities.