Flexibility started early. This was a ground-breaking contract in 1999. With no paradigm, it didn’t take long for the two to realize they made a mistake in scope. Flexibility allowed a 180-degree term. Eleven years later the relationship is going strong, thanks to its flexibility.
Océ Business Services has handled its share of emergencies for Verizon Wireless, including the anthrax scare after 9/11 and the ravages of Hurricane Katrina. And its improved processes have generated savings of $1.5 million rather than the projected $300,000 – exceeding expectationss by 500 percent. Read why this relationship succeeds.
Every penny counts. CA restructured 30 offices worldwide in just 90 days. The savings went to the bottom line when the company reported its year-end results to Wall Street.
Baxter International found itself at the mercy of market forces in late 2003 as deregulation took over the energy industry. The fluctuations created financial pain. Fortunately, Baxter had the Rx close at hand: its longtime Facilities Management (FM) provider, CB Richard Ellis.
We decided to move as many resources to education as possible. We really wanted to make a change from a 38-year-old system, states Pam Brown, Director of Facilities & Asset Management for the Portland Public School District (PPSD). The district’s facilities management processes –with its schools’ custodial services being contracted out to a local union — had been in place for 38 years when the decision to outsource was made in 2002.
Facilities and real estate management processes are a highly specialized set of services that can make all the difference in building effective tenant relationships. Since Travelers occupies some buildings as a tenant but is the landlord in others, it sees clear benchmarking differentiation. Read why this leading financial institution enjoys a significant competitive advantage because it outsources these processes.
Sometimes the source for efficiencies, cost savings and innovation is in the buyer’s own back yard.
Communication of timely, correct information is critical when a disaster like 9/11 strikes. Two Seattle-based outsourcing firms banded together to provide Web-based communication for facilities managers that helped one Washington, D.C. firm weather the terrorist attacks.
Facility management service providers are fighting buyer perception that their services should be priced like a commodity. But there’s opportunity for niche players.
Facilities Management firms save clients money as they develop new models for successful, multi-service outsourcing that apply to many industries.
Facilities management for a company with multiple locations can be handled much more efficiently and cost-effectively through strategic outsourcing.
Few assets owned and maintained by the government illicit as much passion from taxpayers as the condition of paved roads. But even as the need for more and wider thoroughfares goes largely ignored due to shrinking budgets and changing political climates, state and local governments across the nation also are finding it increasingly difficult to maintain preexisting transportation infrastructure. And it doesn’t stop there. The management of buildings, building-maintenance equipment, real estate, vehicles, office equipment, etc., is becoming a burden governments are discovering is more than they can bear. As a remedy, many are turning to asset management outsourcing.
When Jim Smolesky got into the facilities management business, he figured he’d have to be part plumber, part electrician, even part structural engineer. But he never guessed he’d have to be part psychologist, too.
It could take as many as 25 different suppliers to keep an office building running smoothly. With the recent meltdown in stock prices, corporations have more important matters to worry about than thermostats, trash baskets or trimmed turf.
Military bases are a great place to marshal cost savings through outsourcing. Outsourcing is a natural process for the military because each service must prove to Congress it is getting the best service at the best price, says Rob Payton, a former president and CEO of Serco North America, a defense outsourcing supplier in New Jersey.
The U.S. Armed Services currently are miles ahead of the rest of the federal government in outsourcing non-core functions to the private sector. Still, the decision of what to outsource is not that plain.
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