FACILITY MANAGEMENT

FACILITY MANAGEMENT
 
INTRODUCTION

Facilities management is the integration of processes within an organisation to maintain and develop the agreed services which support and improve the effectiveness of its primary activities. Facilities management encompasses multi-disciplinary activities within the built environment and the management of their impact upon people and the workplace.

Effective facilities management, combining resources and activities, is vital to the success of any organisation. At a corporate level, it contributes to the delivery of strategic and operational objectives. On a day-to day level, effective facilities management provides a safe and efficient working environment, which is essential to the performance of any business – whatever its size and scope.

Facilities management is of significance to organisations of all kinds and, as an emerging discipline, it has become the focus for the important issues of best value and customer satisfaction within the management of supporting services. Well-managed services enable an organisation to function at its most efficient and effective level, offering real added value improvements to the organisation’s core business. Facilities management is being elevated to a strategic level of importance and is therefore being given the task and opportunity to contribute to business success and to aid the delivery of competitive advantage. Indeed, in recent years, the range of services covered within the remit of facilities management has become more complex, as facilities management has moved into the core operational functions of client organisations. It is necessary for facilities management service providers and their customers to acknowledge the role of facilities management in the organisation’s strategic operations. This article presents the core concepts of facilities management with particular attention being given to the role of outsourcing.

Facility management (FM) is concerned with operating and maintaining commercial and industrial properties. This function may be performed by in-house corporate staff or by an outside firm specializing in facilities management. Facilities may include sports complexes, jails, hospitals, hotels, and retail establishments, but in business the term is used most often to describe office buildings and factories. Responsibilities include providing janitorial and maintenance services, security, engineering services, and managing telecommunications and information systems. The facility manager's job is to create an environment that encourages productivity, is safe, is pleasing to clients and customers, meets building regulations, and is efficient.

Facility management has traditionally been associated with janitorial services, mailrooms, and security. Since the mid-20th century, though, facility management has evolved into a more comprehensive set of business functions, including an emphasis on deriving as much value from the facility as possible. Factors driving the complexity of the facility manager's job are numerous. For example, facilities have become much larger and more complicated, often relying on computerized and electronic support systems that require expertise to operate and repair.

The end result of new technology, efficiency pressures, and government regulations has been an expansion of the facility management role. Facility managers today are often highly trained and educated and must wear several hats. Depending on the size of the complex, he or she will likely be responsible for directing a facility management and maintenance staff. In addition to overseeing the important duties related to standard janitorial, mailroom, and security activities, he may also be responsible for providing engineering and architectural services, hiring subcontractors, maintaining computer and telecommunications systems, and even buying, selling, or leasing real estate or office space.

For example, suppose that a company has decided to consolidate five branch offices into a central computerized facility. It may be the facility manager's job to plan, coordinate, and manage the move. He may have to find the new space and negotiate a purchase. And he will likely have to determine which furniture and equipment can be moved to the new office, and when and how to do so with a minimal disruption of the operation. This may include negotiating prices for new furniture and equipment or balancing needs with a limited budget. The facility management department may also furnish engineering and architectural design services for the new space, and even provide input for the selection of new computer and information systems. Of import will be the design and implementation of various security measures and systems that reduce the risk of theft and ensure worker safety. 

DEFINITION OF FACILITIES MANAGEMENT

Facilities management can be defined as an integrated approach to operating, maintaining, improving and adapting the buildings and infrastructure of an organisation in order to create an environment that strongly supports the primary objectives of that organisation’ (Adapted from Barrett and Baldry, 2003)

Facilities management can also be seen as the practice of coordinating the physical workplace with the people and work of the organisation. It integrates the principles of business administration, architecture and the behavioural and engineering sciences’ (The British Institute of Facilities Management – BIFM)

Facilities management can accordingly be summarised as creating the optimal environment for the organisation’s primary functions, taking an integrated view of the business infrastructure, and using this to deliver customer satisfaction and best value through support for and enhancement of the core business. Thus, facilities management can be described as something that will:

• Deliver effective and responsive services;
• Enable changes in the use of space in the future;
• Sweat the assets, i.e. make them highly cost effective;
• Create competitive advantage for the organisation’s core business; and
• Enhance the organisation’s culture and image.

Typical approach to facilities management

There are common themes and approaches to facilities management, regardless of the size and location of the real estate, although these may not necessarily result in common solutions. In some cases, real estate services are outsourced (for example, contracted out) and in others retained in house, for good reason in each case. Some organisations operate what might be described as a mixed economy, where certain services, even the same ones, are outsourced as well as retained in house. There is no general rule, rather a need to define the thinking, practice and procedures that will lead to best value for an organisation.

Outsourcing: The contracting out of the facilities management services required by an organisation to external service providers.

In-house provision: Supply of facilities management services within the client organisation - the in-house team may or may not be an independent body.

Role of the facilities manager

The FM market is horizontally (cross-functionally) oriented. It currently represents about 5% of global GDP. Its relationship to the human resources, real estate and information technology functions of an enterprise has increased. The number one priority of a Facility manager (FM) is that of Life Safety.

Facility managers have to operate at two levels: strategic-tactical and operational. In the former case, clients, customers and end-users need to be informed about the potential impact of their decisions on the provision of space, services, cost and business risk. In the latter, it is the role of a facility manager to ensure corporate and regulatory compliance plus the proper operation of all aspects of a building to create an optimal, safe and cost effective environment for the occupants to function.

THE MAJOR AREAS IN FACILITIES MANAGEMENT

Within this fast growing professional discipline, facilities managers have extensive responsibilities for providing, maintaining and developing myriad services. These range from property strategy, space management and communications infrastructure to building maintenance, administration and contract management.

The following are major areas in facilities management in which facility manager is expected to perform his or her duty to his/her client:

1. Health and safety: The FM department in an organization is required to control and manage many safety related issues. Failure to do so may lead to injury, loss of business, prosecution and insurance claims; the confidence of customers and investors in the business may also be shaken by adverse publicity.
2. Fire safety: The threat from fire carries one of the highest risk to loss of life, and the potential to damage or shut down a business. The facilities management department will have in place maintenance, inspection and testing for all of the fire safety equipment and systems, keeping records and certificates of compliance.
3. Security: Security to any organization is necessary to protect the employees and the business and this often comes under the control of the facilities management department, in particular the maintenance of the hardware. Manned guarding may be under the control of a separate department.
4. Maintenance, testing and inspections: Maintenance, testing and inspection schedules are required to ensure that the facility is operating safely and efficiently, to maximize the life of equipment and reduce the risk of failure. There are also statutory obligations to be met. The work is planned, often using a computer-aided facility management system.
5. Cleaning: Cleaning operations are often undertaken out of business hours, but provision may be made during times of occupations for the cleaning of toilets, replenishing consumables (toilet rolls, soap, etc.) plus litter picking and reactive response. Cleaning is scheduled as a series of "periodic" tasks: daily, weekly, monthly, etc.
6. Operational: The facilities management department has responsibilities for the day-to-day running of the building, these tasks may be outsourced or carried out by directly employed staff. This is a policy issue, but due to the immediacy of the response required in many of the activities involved the facilities manager will often require daily reports or an escalation procedure.

Some issues require more than just periodic maintenance, for example those that can stop or hamper the productivity of the business or that have safety implications. Many of these are managed by the facilities management "help desk" that staff are able to be contacted either by telephone or email. The response to help desk calls are prioritized but may be as simple as too hot or too cold, lights not working, photocopier jammed, coffee spills, vending machine problems, etc.

Help desks may be used to book meeting rooms, car parking spaces and many other services, but this often depends on how the facilities department is organised. It may be split into two sections often referred to as "soft" and "hard" services. Soft would include reception, post room, cleaning, etc. and hard the mechanical, fire and electrical services.

7. Tendering: The facilities management team will seek to periodically re-tender their contracts, or at the very least bench mark them to ensure they are getting value for money. For this to happen it is necessary to have an up to date list of equipment or assets to send out with the tenders. This information is often retained on the same computer as the maintenance schedule and updating may be overlooked as equipment gets changed, replaced or new items are installed. The asset register is also an important tool for budgeting, used for life cycle costings and for capital expenditure forecasting. To conclude, tendering is therefore an important aspect of his duties.
8. Commercial property management: Building may be owned by the occupier or leased. Leased properties will be subject to periodic rent reviews. Commercial leases can also be subject to sub-tenancies, and may require options to be renewed.
9. Business continuity planning: All organizations should have a continuity plan so that in the event of a fire or major failure the business can recover quickly. In large organizations it may be that the staff move to another site that has been set up to model the existing operation. The facilities management department would be one of the key players should it be necessary to move the business to a recovery site.
10. Space allocation and changes: In many organizations, office layouts are subject to frequent changes. This process is referred to as churn rate, expressed as the percentage of the staff moved during a year. These moves are normally planned by the facilities management department using computer-aided design. In addition to meeting the needs of the business, compliance with statutory requirements related to office layouts include: the minimum amount of space to be provided per staff member; fire safety arrangements; lighting levels; signage; ventilation; temperature control and welfare arrangements such as toilets and drinking water. Consideration may also be given to vending, catering or a place where staff can make a drink and take a break from their desk.

Conclusions

If buildings and other facilities are not managed, they can begin to impact upon an organisation’s performance. Conversely, buildings and facilities have the potential to enhance performance by contributing towards the provision of the optimal work and business environment. There is no universal approach to managing facilities. Each organisation – even within the same sector – will have different needs. Understanding those needs is the key to effective facilities management measured in terms of providing best value. Furthermore, once established the facilities management strategy should be a cornerstone of an organisation’s accommodation strategy, not adjunct to it.

In choosing the most appropriate solution consideration must be given to direct and indirect costs of both in-house and outsourced service provision so that a complete financial picture is gained, with comparison made on a like-for-like basis to enable a decision to be taken on best value grounds. A long-term and integrated view of service provision is essential to effective facilities management.

 

REFERENCES

Atkin, B. and Brooks, A. (2015) Total Facility Management. Fourth edition, Oxford: Wiley-Blackwell.

Barrett, P.S. and Baldry, D. (2003) Facilities Management: Towards Best Practice. Second edition. Oxford: Blackwell Science.

Booty, F. (ed.) (2009) Facilities management handbook. Fourth edition, Oxford: Elsevier Butterworth-Heinemann.

Booty, Frank (2010). Facilities Management. Amsterdam: Elsevier. p. 295.

Brian Atkins; Adrian Brooks (2009). Total Facilities Management (3rd ed.). Chichester UK: Wiley Blackwell. p. 119 to 130.

Cook, Robbie. "Facilities Management & Design for the 21 st Century." Site Selection, March 1999.

Cotts, David G. The Facility Management Handbook 2nd ed. New York: AMACOM, 1998.

David Cotts; Kathy Roper; Richard Payant (2010). The Facility Management Handbook - Organizing the Department. New York: AMACOM. p. Chapter 2.

Gorden, Robert (2008). Start and Run a Successful Cleaning Business. Oxford: How to Books. p. 74. ISBN 9781845282844.