A company’s success in business operations is dependent on the facilities and infrastructure managed and operated by the team. With the right amount of capital and planning, in addition to effective execution of strategies, workers can reduce risks, costs and waste. In turn, facilities become less expensive to operate and maintain, which promotes better working environments.
However, it can be challenging to develop the ideal plan for facility management. This is critical because capital planning is integral to the overall strategy for an organization.
Determining the importance of facilities management
According to The Facilities Society, operations management has developed into a thriving business sector in the last decade and continues to grow in many countries. It has been accepted as an essential component in today’s business world by governments, educationalists and researchers in the field.
Facilities management has also become the focus for best value and customer satisfaction issues within support services. Well-managed operations enable companies to function at optimal and efficient levels, providing essential improvements to the core business. The most effective strategies can aid in the development of advantages over competitors in the market, expanding the range of services provided by the company.
Typically, running costs account for a significant part of annual budgets, which puts pressure on executives to identify potential savings in non-core business areas. While cutting operational expenses may seem appealing, it is only a short-term solution that is unlikely to lead to long-term improvements. For facilities management to provide the optimal support for the business, the senior leaders of the organization have to recognize that cost and quality are linked and should be considered as one goal.
Developing the optimal strategic plan for the business
With facility management, it is vital to have structured approaches to the planning stage to ensure successful execution. The manager needs to have a process in place that collects objective analytical information regarding the facility’s condition. According to FMLink, this allows the organization to:
- Identify where repairs and upgrades have to be made
- Estimate the costs of these changes
- Prioritize projects in line with company objectives
- Coordinate funding scenarios to measure the impact of various spending levels
- Craft capital and budget plans that sustain and support facilities for years.
To start, managers should form a team of key players to agree upon strategic goals that will guide capital planning, organizational objectives and expectations for the improvements. These targets would encircle specific intentions that the budget would cover. The management team would need to outline clearly defined criteria for enhancing the facility and delivering optimal results.
Collecting the data needed to make improvements
The planning process has to be handled delicately by managers, as there are many factors at work that impact facilities management. According to Duke University, the vision for strategic improvements to business operations can cover a range of topics, such as cost management, information systems, communication, safety and processes.
Facility management has become integral to bolstering the core of business operations. Moving into 2015, focusing on improving internal processes could become critical to companies in the U.S. that aim to thrive in the new year. Creating reports on these areas of interest leads to more transparency on the team and improves the organization’s workflow.
These data are critical for developing credible capital plans, which, in turn, enable improvements to facility management. In addition, managers can coordinate self assessments for internal staff to collect consistent responses about existing processes. These replies can help dictate planning for the coming future.