An emerging Facilities Management delivery model
Thirty years ago Facilities Management (FM) was a largely in-house affair. Organisations directly employed cleaners, security guards, maintenance engineers, handymen and catering staff, only turning to contractors for specialist work such as lift or airconditioning maintenance. But as the market has matured, so have delivery models.
Although there remain examples of organisations retaining inhouse services critical to their business, such as security in a banking environment, FM is now largely outsourced with few organisations employing no more than a management layer concerned with supervising service delivery partners. The general trend however, as reported in Changing Times in Facilities Management, the 2016 report from Sheffield Hallam University, is for greater levels of outsourcing in both private and public sectors, often with a pan-European or pan-global flavour. Research from Global Industry Analysts revealed that over 70% of end users plan to adopt multinational contracts by 2020, compared to only 40% in 2010.
The recent pressures placed on the FM sector by the uncertainty of the Brexit decision and the recent election of Donald Trump as US president, Government policies around the apprenticeship levy and the new minimum wage level, are causing many organisations to rethink their FM delivery. This is particularly apparent in the public sector where local authority budget reductions and the development and delivery of the One Public Estate programme is supporting local authorities and public sector bodies in the sharing and divestment of underused property.
Organisations are looking for simplified and modernised management of service delivery, including enhanced technology offerings with reduced expenditure but no reduction in quality. In this paper we explore the different ways in which FM services are delivered, and the evolution of a new FM delivery model and its impact on the market.
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