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More than 80 percent of America's fastest-growing companies outsource
one or more of their business functions. Outsourcing is a rational
tool for any company to use to manage, operate and administer Critical
and Hypercritical Facilities™.
Delivering Advantages and Limiting Risk
Specific
functions can be outsourced singly or in "bundled" combinations:
Building Engineering, Project Management, Property Management,
Security, IT Operations and Equipment/Facility Maintenance. In
addition to the unique advantages realized in each of these areas,
outsourcing offers these general benefits: (1) cost reductions
and controls; (2) stronger focus on core functions; (3) access
to world-class capabilities and best practices; (4) rightsizing
of internal resources; (4) greater skills depth; (5) flexibility
in staffing; (6); elimination of management and control difficulties;
and (7) risk-sharing through incentive-based contracting.
Certain conditions, such as personnel disruptions, time constraints,
and operational interruptions, may weigh against the use of outsourcing.
This paper outlines
specific issues to address that will limit risk, enhance performance and
promote acceptance of outsourcing of the functions related to Critical
Facilities.
Hypercriticality Favors Outsourcing
Outsourcing
provides a reservoir of specialized skills that can be tailored
to the unique needs of Hypercritical Facilities. When
monitored by qualified host personnel, outsourcing deepens the
skills of operational management, broadens the experience base,
and multiplies the effectiveness of accomplishing the critical
mission of a facility. This rationale supports outsourcing to decrease
the risk to business operations, increase the operating availability
(Uptime) of a Hypercritical Facility™ and meet desired service
levels.
Screening, Scoring and Selecting Providers
Successful outcomes flow from a thorough service provider selection
process through a three-stage selection protocol including: (1)
detailed scope of an RFP; (2) validation and scoring interviews;
(3) and Due Diligence vetting including site visits and review
of client satisfaction surveys and performance metrics. Outsourcing
providers should make recommendations for operational improvements,
cost savings and knowledge transfers that further support the value
of their service proposition.
Measuring Performance
Best-practice contract governance relies
on establishing a performance baseline, articulating clear cost
and service levels, and using
performance metrics to capture results. The steps involved in auditing,
measuring and reviewing performance are charted for adoption as
a Contract Monitoring Process. Establishing common goals fosters
true "partnering" and ensures focus and attainment for
optimum value to an organization.
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