Top 5 Facility Management Challenges

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In an article published by Corrigo Inc, who specializes in work order and time tracking solutions, they shared the findings of a survey of the Top 5 Facilities Management Challenges based on a survey they conducted of over 1,200 organization. Here is a summary of their report…with a little commentary from me:

  • CHALLENGE #5: Vendor Management: Allocating work to the right vendors

A major trend from previous surveys was the issue of outsourcing. While this topic has not gone away, it is not the driver behind operational change.

Summary From Survey: Improved vendor management increases the control you have over your operations, and by implementing price controls, can reduce your costs.

What Facility Managers are Doing:
• Making vendor decisions based on performance feedback
• Recording and comparing information on vendor pricing
• Maintaining searchable records of vendor certifications

Conclusion for Challenge #5: There are a lot of details to address when considering vendors and the real cost of using outside vendors as well as staff resources…and be vigilant about the insurance.

 

  • CHALLENGE #4: Making changes without having enough reliable data

Approximately 30% of survey respondents considered the capturing of reliable data as one of the top two pressing needs in their organizations.

Summary From Survey: Capturing and then making use of the information associated with all your service and maintenance work equips you to make informed and effective business decisions.

What Facility Managers are Doing:
• Comparing spending trends across their organization
• Using historical repair data to inform new equipment and warranty purchase decisions
• Monitoring real time progress on important repair work

Conclusion for challenge #4: Historical and real-time data is critical for our ministry facilities. Develop or buy a system that can track this kind of data, or partner with someone that can do this for you. An Excel spreadsheet will most likely not work unless you have a very small facility.

 

  • CHALLENGE #3: Getting more work done with fewer resources

One factor contributing to the increased burden on facility management teams is the reduction in their company’s field technician staffing. This may seem counter-intuitive, but as budget cuts move more work to vendors, the burden of vendor recruitment, selection and management falls to the facility management organization.

Summary From Survey: Doing more with fewer resources is not a temporary situation. To succeed in this environment, you need tools that extend your reach and productivity.

What Facility Managers are Doing:
• Moving away from ad hoc communications by phone, fax and email
• Sharing a common platform with their staff and vendors to process work requests electronically
• Automating vendor tracking/assignments via intelligent systems

Conclusion for Challenge #3: Develop, buy or subscribe to a system that allows you to communicate with your vendors (not as the only form of communication) and tracks their ETA, pricing, PM work and other work order management.

 

  • CHALLENGE #2: Finding ways to extend the life of existing assets.

It’s not just operational budgets that are being squeezed – capital expenditures are down substantially, and that translates into keeping existing equipment and assets up and running longer.

Summary From Survey: Spending the right amount on preventative maintenance and being able to back up that decision with accurate data can turn a facility manager into a cost saving hero.

What Facility Managers are Doing:
• Comparing preventative vs. repair costs on all asset types and adjusting PM spending accordingly
• Using accumulated repair data to implement intelligent, PM schedules
• Applying proactive maintenance on mission critical equipment

Conclusion for Challenge #2: Preventive Maintenance, rather than corrective repairs, is a far better approach to caring for the resources God has entrusted to us.

 

  • CHALLENGE #1: SAVING MONEY

#1 for from this survey was, without a doubt, saving money. When asked how they would like to accomplish this objective, the responses of facility managers tended to be grouped into one of three general categories:

  • Call avoidance
  • Warranty work management
  • Price control

Summary From Survey: Facility Management may be considered a cost center, but it also holds tremendous potential to impact a company’s profitability. A dollar saved by a facility management team goes directly to the bottom line. Which is why cost savings is the bottom line concern for facility management professionals.

What Facility Managers are Doing:
• Avoiding unnecessary repair costs through client self-help systems and knowledge bases
• Flagging all assets and equipment under warranty to prevent unnecessary payment
• Establishing and monitoring not-to-exceed pricing agreements with vendors

Conclusion for Challenge #1: I believe that in today’s economy (frankly it should be in EVERY economy because we are stewards of something that does not belong to us) we are looking for ways to save money. Sometimes we cannot see the obvious items that will allow us to be more efficient and effective. The principles addressed in this article are right in front of us.

These are not rocket science, but you do have to be intentional!
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