Research suggests that executives often perceive FM as a support function, with minimal strategic value. As a result, facility managers have been isolated from the C-Suite, with few opportunities to align with the core business strategy.
However, key shifts in the business environment have created tremendous opportunities for facility managers to advance their strategic value with business leaders. Fueled by a demand for increasingly employee-centric workplaces and rapid technological advances, facility managers are more equipped than ever to partner with business leaders to impact productivity and, ultimately, profitability.
2. Many factors influence executive perceptions of FM
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Economic
growth
Relation to end
product or service
Branding
Asset age
Risk reduction
Cost
containment
Co-working
Employee
experience
Technology
3. Fundamentals of the FM/C-Suite relationship
Order-taking function Support role Cost center Non-strategic
Executives have historically perceived FM as…
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As a result, many facility managers have become…
Isolated from the C-Suite Out-of-sync with the core
business strategy
Unable to advance their role
as strategic partners
4. Changing the C-Suite conversation: Value creation
“We’re seeing C-level executives realize that real estate, facilities and
portfolio management holds a key to unlock business value. We’ve
never seen anything like the change that is occurring in our industry.”
-Maureen Ehrenberg, Executive Managing Director and Global Board Chair, IFM, JLL
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5. Key shifts support strategic FM partnership with the business
These emerging business needs provide an opportunity for facility
managers to align the FM function with the core business.
New methods of measuring performance – beyond cost savings – offer
tools for facility managers to prove their strategic value as partners with the
business.
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Are employee-centric Drive worker productivity
Adapt to new work-life
support models
Reinforce the corporate
brand
Businesses today want facilities that…
6. What can facility managers do to improve executive perceptions?
Establishing a foundation of operational excellence – across processes,
people and strategy – is the first step in the process.
Process People Strategy
Establish sound business
controls, across:
• Operating procedures
• Compliance and standards
• Vendor management
Consistently meet or exceed
performance expectations
• Metrics as proof
Quantify cost savings across
operations
Cultivate strong relationships:
• Business leaders
• Building occupiers
• Employees
Attract and retain talent with:
• Subject matter expertise
• Business acumen
• Leadership skills
Foster an environment driven by:
• Customer service
• Solutions-based approach
• Collaboration
Build knowledge and
understanding, across:
• CRE portfolio and strategy
• Market perceptions of portfolio
• Core business strategy
Adopt a strategic approach to FM
through:
• Simplify and improve mindset
• Process to measure and report
upon FM business impact
• Innovation
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7. What can facility managers do to improve executive perceptions?
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Outsource FM to a dedicated service partner, to leverage…
Cutting-edge FM technologiesFM-specific talent pools
Service provider core
competencies
8. What can facility managers do to improve executive perceptions?
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Cost savings
Enhanced customer
service
Real-time data and
analytics
Improved performance
metrics
Implement innovative
technology solutions, to
deliver…
9. What can facility managers do to improve executive perceptions?
Master soft skills to facilitate productive interactions with executives,
including…
InnovationCollaborationCommunicationEffective relationship
management
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10. Embrace the shift to strategic FM partner (or risk irrelevance)
Business leaders need strategic FM partners that can contribute to
their enterprise’s productivity and profitability. Facility managers that
are able to deliver both operational excellence and strategic value will
become an integral part of the organization’s team for planning and
execution. Facility managers that do not embrace this new strategic role
and build their skill set risk being left behind. The time for action is now.
To read the full paper, please click here.
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