Outsourcing is a business practice in which services or job functions are farmed out to a third party.The business case for outsourcing varies by situation, but the benefits of outsourcing often include one or more of the following:
- lower costs (due to economies of scale or lower labor rates)
- increased efficiency
- variable capacity
- increased focus on strategy/core competencies
- access to skills or resources
- increased flexibility to meet changing business and commercial conditions
- accelerated time to market
- lower ongoing investment in internal infrastructure
- access to innovation, intellectual property, and thought leadership
- possible cash influx resulting from transfer of assets to the new provider
How does it help when it comes to Facilities Management?
Many companies may struggle with the decision to continue operating facilities management services in-house or to outsource. For some companies, the decision to outsource can present unique challenges, such as cutting facilities management positions. However, outsourcing facility services can have significant benefits, and the rationale for outsourcing is growing stronger. If your facility is contemplating outsourcing facilities services, consider these reasons why it may be exactly what you need.
1. Outsourcing Facilities Services Increases Responsiveness
Part of the problem with traditional facilities management is a lack of responsiveness. Maintenance issues are placed on the back burner, and deferred maintenance becomes the new standard. Also, facilities management team members may be incapable of responding to maintenance issues immediately, unless that situation is considered an emergency. However, outsourcing facility services increase responsiveness and timely service.
2. Working With a Third-Party for Facilities Maintenance Services Is Cost-Effective : Saving Costs
Facilities management services are also cost-effective when outsourced. Third-party vendors have the expertise, skills, and resources necessary to drive traditional management services costs down. As a result, companies pay less for outsourced services than the costs of operating an in-house facilities maintenance team.
A huge advantage of outsourcing is its affordability. Facilities management is a very affordable service and will allow you to spend your money responsibly. A professional team will provide outstanding performance and give you the opportunity to be more productive and efficient. Within the cost you will receive a full service, ensuring that your workspace is maintained to the highest standard.
3. Outsourcing helps you Maximize your time
Less work for internal staff saves time and money for your company.
An outsourced facility maintenance company partners with you to take the lead in achieving the goal of reducing costs while increasing efficiency by applying facilities management best practices in your operations. This professional support then allows your team to focus on more value adding disciplines such as customer service or improving products or service that allow the company to increase market share.
4. Outsourcing decreases risk of occupational accidents
Another value of partnering with an outsourced facilities maintenance company is to decrease risk. Decreasing risk isn’t isolated to only preventing injury but also includes decreasing risk from fire or other catastrophes which may follow major repairs to your systems. Since the burden of decreasing risk lies on your outsourced facilities services provider, they have a vested interest in ensuring all maintenance service calls and repairs are made according to regulations.
5. Lower Liability and Insurance Costs Ensure Stakeholder Support
Outsourcing facilities services can also help to lower liability and insurance costs. Your managers and team have less risk of injury as the outside company handles all appropriate maintenance needs.
For example, facility managers can worry less about getting on a ladder to fix minor problems, and more about how to serve customers’ needs better.
While your manager may be able to handle some minor repairs, it increases the risk to your business, and a minor accident could result in an increase in your insurance premiums and a lasting impact on your company’s image and brand.
6. It Promotes a Safe, Enjoyable Work Environment
A safe work environment for both managers and team members also contributes to a better reputation for your brand. Since employees do not have to worry about maintenance and repair needs, overall turnover rates decrease, and customer satisfaction increases.
7. Improved Quality Control Facility systems (Security, Fire Alarm and protection, Access Control , HVAC etc.)
Another benefit to hiring a facilities company is improved quality control for building and security systems in the workplace. The building maintenance team ensures that all repairs and upkeep are done according to contract agreements between themselves and their clients.
This will reduce the risk of security breaches and ensures that all systems are running at peak performance for maximum safety.
An outsourced facilities management company is an incredible investment for a business. With minimal disruption, employees won’t be distracted during the management process, and the facility will be able to operate efficiently. A facilities management team will have access to the best equipment further ensuring that your building is maintained to a remarkable standard.8 Overall Benefits
8. Simplified Process
Life will become much easier for you. This is because you won’t be required to go out a look for the best equipment to use. Again, because of this, you will be able to save money and time.
A facilities management team will cover a range of services for you, delivering them to you at an incredible rate. Rather than having multiple companies to service your facility, you can simply have one company to call for all your facility requirements.
9. Reputation and Brand Marketing
A business’s reputation is a major part of having a business. If you have a poor reputation, customers won’t be as willing to trust it. Building a reliable and trustworthy reputation will allow the business/facility to look good and the facilities management team to look respectable too. Ensuring you have a good facilities management team will help you build a strong relationship with the customers. As a well-maintained business, you will look professional and desirable to customers.
10. Personnel Retention
A clean and tidy work area will build on the morale of the employees and business. Employees will be disinclined to work hard if they are struggling to find documents or they’re in a dirty environment. Not only will the management team keep the workspace clean, but it will also make it much safer for employees and allow them to feel happier and more comfortable.
11. Health and Safety of your employees
Health and safety is a major part of a business. Ensuring the employees are safe is essential. Having a professional facilities management team will ensure that you keep everyone safe. Outsourcing a facilities management company will ensure that health and safety regulations will not be compromised.
A general example of this would be if employees were cleaning they may use the wrong chemicals. Such as using a toilet cleaner to clean the desks. This would massively compromise health and safety standards at the business.
12. Focusing on your Core Business
With a facilities management team looking after and maintaining your facility it allows you to have more time to focus on the key areas of the business. You will have more time to work on the building of the business and looking after any customer bases. Office Cleaning will ensure that your offices are kept incredibly tidy and organized. An organized office helps to enhance performance and morale.
13. Success for your organization
An organized work facility will allow for a better and more constructive working attitude. When a working area is kept neat and tidy, with documents organized and files kept in the relevant places, employees will find that they are able to work much easier. They’ll be able to find what they need to when necessary, reducing time spent searching for a file. Alongside this, the organization will also make the company look good as when people come to visit they won’t be put off by a mess. Instead, they will be impressed with the professionalism and cleanliness of the facility.
14. Best Practices followed
Facilities management companies are always updating their knowledge and practices to ensure that they can offer you the best service and experience. From outsourcing a facilities management team, it means that as a business you don’t have to pay large amounts of money to keep up with the relevant legislation; the management team will do that for you.