Integrated Process Approach in FM Outsourcing Partnerships

Outsourcing integrated facilities management is a complex, challenging process and many companies are not well prepared for it. This is because most companies underestimate the complexity in outsourcing an integrated set of facilities services. This article focuses on how to succeed in constructing a performance-based outsourcing deal by framing the decision, building alignment, and taking an integrated process approach to the deal.

Performance based outsourcing deals place a high-level of performance accountability on the supplier. In such deals customers transfer performance risk to the supplier and in-turn empower the supplier to maximize performance within a framework of contract governance and performance management.

This Trascent white paper is the first in a series of papers to help companies address key issues in facilities management outsourcing:

• Will outsourcing create value for the enterprise?
• What is the best way to structure an effective outsourcing process?
• How to build performance accountability and create incentives for continuous improvement?
• How to structure an organization to empower the supplier for success and manage the post- outsourcing performance?