How do you evaluate and negotiate contracts and agreements with external FM service providers and vendors?

1 Know your needs

Before you start looking for external FM service providers and vendors, you need to have a clear understanding of your own needs and expectations. What are your goals, priorities, and challenges? What are your budget, timeline, and performance indicators? What are your legal, ethical, and environmental requirements? By defining your needs, you can narrow down your options and communicate them effectively to potential partners.

2 Do your research

Once you have identified your needs, you need to research the market and the available options. Who are the potential external FM service providers and vendors that can meet your needs? What are their credentials, reputation, and track record? What are their strengths, weaknesses, and unique selling points? How do they compare with their competitors? By doing your research, you can shortlist the most suitable candidates and prepare for negotiations.

3 Compare proposals

After you have shortlisted the potential external FM service providers and vendors, you need to request and compare their proposals. What are their scope, deliverables, and costs? How do they align with your needs and expectations? How do they address your risks and concerns? How do they demonstrate their value and differentiation? By comparing proposals, you can evaluate the pros and cons of each option and rank them according to your criteria.

4 Negotiate terms

After you have ranked the proposals, you need to negotiate the terms and conditions of the contract or agreement with the preferred external FM service provider or vendor. What are the key issues and interests of both parties? What are the best practices and standards for FM contracts or agreements? How can you create a win-win situation that benefits both sides? How can you avoid or resolve conflicts and disputes? By negotiating terms, you can establish a mutually beneficial and long-term relationship with your partner.

5 Monitor performance

After you have signed the contract or agreement, you need to monitor the performance of the external FM service provider or vendor. How do you measure and report their progress and results? How do you provide feedback and support? How do you handle changes and variations? How do you deal with problems and complaints? How do you reward or penalize their performance? By monitoring performance, you can ensure that your partner delivers on their promises and meets your standards.

6 Review outcomes

After the contract or agreement has ended or expired, you need to review the outcomes and lessons learned from the external FM service provider or vendor. How did they perform against your goals, expectations, and indicators? How did they impact your organization and stakeholders? What were the benefits and challenges of working with them? What were the best practices and areas for improvement? By reviewing outcomes, you can evaluate the success and value of the partnership and decide whether to renew or terminate it.

7 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?