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How can you align outsourced real estate services with your goals?

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Outsourcing real estate services can help you optimize your facility management (FM) strategy, reduce costs, and improve performance. But how can you ensure that your outsourcing partner aligns with your goals and delivers value? Here are some tips to help you choose and manage your real estate service provider.

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1 Assess your needs

Before you outsource any real estate service, you need to have a clear understanding of your current situation, your objectives, and your expectations. Conduct a thorough analysis of your portfolio, your operational requirements, your budget, and your risks. Identify your strengths and weaknesses, your opportunities and threats, and your gaps and priorities. This will help you define the scope, scale, and quality of the services you need, and the criteria you will use to evaluate potential providers.

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Yogesh Yadav

IIMA || BBC News
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Aligning outsourced real estate services with goals involves: 1. Clear Communication: Articulate specific objectives and expectations to service providers. 2. Performance Metrics: Establish key performance indicators (KPIs) aligned with organizational goals. 3. Regular Evaluation: Monitor service delivery against KPIs and provide feedback for alignment. 4. Flexibility: Adapt contracts and agreements to evolving goals and market conditions. 5. Collaboration: Foster a partnership approach to problem-solving and goal attainment with service providers.

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2 Select the right partner

Once you have a clear picture of your needs, you can start looking for a suitable outsourcing partner. You want to find a provider that has the expertise, experience, and resources to meet your specific challenges and goals. You also want to find a provider that has a compatible culture, vision, and values with yours. Look for evidence of their track record, their reputation, their innovation, and their customer satisfaction. Ask for references, testimonials, and case studies. Compare their proposals, prices, and terms.

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Justin Hitt, MBA

helping you deliver world-class facilities
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As you select the partner, you absolutely should engage in workshop sessions DURING THE PROCUREMENT PROCESS. It's possible you didn't assess your needs properly because you didn't know what you didn't know. That's probably why your organization considered outsourcing in the first place, so have an open process that allows your stakeholders to actually converse with different partners, assess their styles, and even come up with different models. There is no "apples to apples" in bidding outsourced FM, unless you have every line item of scope meticulously articulated and you're simply looking for a price of that aggregate scope. Even then - does this scope reflect A.I. tools and all the new stuff? Probably not.

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3 Establish a clear contract

After you have chosen your outsourcing partner, you need to formalize your agreement in a clear and comprehensive contract. The contract should specify the scope, duration, and frequency of the services, the roles and responsibilities of each party, the performance indicators and standards, the reporting and communication methods, the payment and invoicing procedures, and the dispute resolution mechanisms. The contract should also include clauses for flexibility, change management, and termination.

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4 Monitor and evaluate performance

Once the contract is signed and the services are delivered, you need to monitor and evaluate the performance of your outsourcing partner regularly. You need to collect and analyze data on the quality, efficiency, and effectiveness of the services, and compare them with the agreed standards and expectations. You need to provide feedback, recognition, and guidance to your provider, and address any issues or concerns promptly. You need to review and adjust the contract as needed, based on the changing needs and goals.

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5 Foster a collaborative relationship

Finally, you need to foster a collaborative and trusting relationship with your outsourcing partner. You need to treat them as an extension of your team, not as a vendor or a competitor. You need to share information, ideas, and best practices, and leverage their expertise and insights. You need to align your incentives and interests, and work together to achieve your common goals. You need to respect their autonomy and professionalism, and support their growth and development.

Outsourcing real estate services can be a strategic move for your FM function, if you align them with your goals and manage them effectively. By following these tips, you can find and work with a reliable and valuable outsourcing partner, and enjoy the benefits of improved FM performance, reduced costs, and enhanced satisfaction.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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How can you align outsourced real estate services with your goals?

1

2

3

4

5

6

1 Assess your needs

2 Select the right partner

3 Establish a clear contract

4 Monitor and evaluate performance

5 Foster a collaborative relationship

6 Here’s what else to consider

Facility Management (FM)

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How can you align outsourced real estate services with your goals?

1

2

3

4

5

6

1 Assess your needs

2 Select the right partner

3 Establish a clear contract

4 Monitor and evaluate performance

5 Foster a collaborative relationship

6 Here’s what else to consider

Facility Management (FM)

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