The facility management market is a vivid and extensively profitable market that is growing at a CAGR of 6.07%. With this pace, it is generally expected that within 5 years, in 2030, it will reach a value of 403.42 billion. In this market, there are more than 2000 facility management companies that contribute significantly to this growth.
Facility management companies partner with landlords and offer them valuable services that are a must for the constant functioning of the facility. This blog overviews what these essential services are and what the top 3 companies are that you can partner with.
Before that, let’s have a look at what a facility management company is.
What is a Facility Management Company?
A facility management company is a group of individuals or professionals who are experts in managing and administrating a facility. Their primary function is to handle the maintenance and coordinate various functions to ensure the smooth operation of the facility. A facility can be an office building, a hotel, or any large complex structure. The facility management company aims to ensure it is in good condition, habitable, and equipped with all basic to advanced utilities.
The facility management company coordinates operations, physical assets, and space of the facility to ensure it is in the best optimal condition. It not only appreciates the value of the facility but also provides greater comfort, safety, and functionality, attracting high-paying tenants.
A facility management company offers various other valuable services as well. Let’s examine what those are.
5 Essential Services Offered by Facility Management Companies in
Although there are numerous services that a facility management company offers, like maintenance, asset management, repairs, safety management, and many more, here are the five most basic and essential services offered by facility management companies:
1. Expense Management
One of the most essential services offered by facility management companies is expense management. It refers to a standardized approach of analyzing and tracking the expense of the facility and taking effective measures to control the cost of maintenance and operation. It includes minimizing the unnecessary expenses on repairs, cleaning, leakages, security, and cost of operation.
2. Financial Planning
Financial planning is to plan the overall budget of a facility including all expenses and operational costs. A facility management company makes a detailed analysis of the cost and expenses of managing the facility and prepares a budget accordingly. It helps make sound financial decisions, manage expenditures, and prepare the business for sudden and unexpected financial losses.
3. Vendor Management
Vendor management is hiring or contracting different vendors (external companies) for tasks such as repairs, maintenance, cleaning, renovations, or any other specialized work that needs particular excellence or skill. A facility management company coordinates with different vendors, delegates them with different tasks, and ensures each task is performed with due diligence without compromising the quality of work.
4. Cost Optimization
Another essential service offered by facility management services is cost optimization. It is the practice of identifying potential and high-cost operations and making strategies to reduce these costs in the best possible way. To minimize the cost without compromising the quality, a facility management company often opts for resource allocation, preventive maintenance, vendor negotiation, and efficient energy usage.
5. Value Engineering
Value Engineering in facility management is an organized and well-planned approach that includes analyzing different functions of the facility and finding a way to carry out them at the lowest cost without compromising the quality of the work. Essentially, it is about finding a cost-effective way to carry out numerous functions of the facility.
Facility management services are a must for every landlord to enhance their ROI while delegating all the management tasks to an expert company. There are many companies that a landlord can prefer. But, to provide you with the best, here are the top 3 companies you can partner with.
Why You Should Consider Hiring a Facility Management Company?
Hiring a facility management company can significantly reduce the overall management cost of the facility. It allows the landlord to plan for the future while carefully managing present expenses. Here is why you should consider hiring a facility management company:
- It enables space optimization and utilizes every sq. ft. of the property in the best possible way.
- It improves the overall performance and value of the property by maintaining it regularly and frequently inspecting for defects and repairs to rectify them.
- It helps maximize tenant satisfaction, enabling long-term lease and tenant retention.
- It focuses on energy management and the incorporation of technology to automate processes and save the overall cost of operation.
Enhanced Facility Management Services for You: Partner with Citadel Property Management Corp.
Facility management includes coordinating various tasks to ensure the smooth operation of the facility. At the same time, it requires a focus on reducing expenses, optimizing space, and effective cost optimization to enhance the ROI of the facility. Facility management companies offer you various services and ample opportunities to enhance the value of your property.
However, there are more than one hundred companies that offer facility management services. It sometimes confuses the landlord about which one to prefer. If you are a landlord or property owner who requires a company to manage the most complex structures with several operational and maintenance tasks without compromising quality, you can contact Citadel Property Management Corp.
Frequently Asked Questions
1. Why should you hire a facility management company?
You should hire a facility management company because they contribute significantly in reducing the cost, maintaining the facility at its optimal level, and enhancing its value.
2. What effective measures does a facility management company take to control expenses?
To control expenses, a facility management company takes effective measures like optimized space management, asset management, automated work orders, and effective planning.
3. Does a facility management company ensure legal compliance?
Yes, the facility management company ensures that the facility complies with all the legal rules and regulations.
4. Does the facility management company also offer lease management services?
Most facility management companies offer lease management services. However, you should thoroughly review the services provided by every facility management company before partnering with them.
