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How can sustainability performance indicators improve supply chain management in FM?

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Supply chain management (SCM) is a crucial aspect of facility management (FM), as it involves the procurement, delivery, and disposal of goods and services that support the operation and maintenance of buildings and facilities. However, SCM also has significant environmental, social, and economic impacts, which can affect the reputation, performance, and compliance of FM organizations. Therefore, it is important for FM professionals to measure and improve their sustainability performance indicators (SPIs), which are metrics that reflect the environmental, social, and economic aspects of SCM.

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Hany Darwish

Sr.Operation & Business D. Manager ,Al Moosa Group,Membership & Marketing Director , Dubai Business Group for Clinics &…

1 What are SPIs and why are they important?

SPIs are quantitative or qualitative measures that show the progress and achievements of SCM activities in relation to sustainability goals and standards. They can help FM professionals to monitor, evaluate, and communicate their SCM performance, identify gaps and opportunities, and implement improvement actions. SPIs can also help FM professionals to align their SCM practices with the expectations and requirements of their clients, stakeholders, and regulators, and to demonstrate their value and contribution to sustainability.

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Hany Darwish

Sr.Operation & Business D. Manager ,Al Moosa Group,Membership & Marketing Director , Dubai Business Group for Clinics & Day Surgery Centers under Dubai Chamber, Hospital Management Diploma , University of Nottingham
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Sustainability performance indicators play a crucial role in improving supply chain management and facility management by tracking and reducing carbon emissions, promoting supplier diversity and ethical sourcing, minimizing waste, and optimizing resource usage. These indicators also facilitate cross-functional collaboration, data-driven decision-making, and continuous improvement efforts, leading to positive environmental, social, and economic outcomes.

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2 How to select and use SPIs for SCM in FM?

There is no one-size-fits-all approach to selecting and using SPIs for SCM in FM, as different FM organizations may have different sustainability objectives, priorities, and challenges. However, some general criteria and steps can help FM professionals to choose and apply SPIs effectively. First, they should define their sustainability vision, mission, and strategy for SCM, and identify their relevant stakeholders and their needs and expectations. Second, they should select SPIs that are relevant, reliable, measurable, comparable, and actionable, and that cover the three dimensions of sustainability: environmental, social, and economic. Third, they should collect, analyze, and report data on their SPIs regularly, and use them to benchmark, track, and improve their SCM performance.

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Joshua Agbemavah

Hvac and Refrigeration Cadet at Carnival Cruise Line ??
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There is no one-size-fits-all approach to selecting and using SPIs for SCM in FM, as different FM organizations may have different sustainability objectives, priorities, and challenges. However, some general criteria and steps can help FM professionals to choose and apply SPIs effectively. First, they should define their sustainability vision, mission, and strategy for SCM, and identify their relevant stakeholders and their needs and expectations. Second, they should select SPIs that are relevant, reliable, measurable, comparable, and actionable, and that cover the three dimensions of sustainability: environmental, social, and economic. Third, they should collect, analyze, and report data on their SPIs regularly, and use them to benchmark,

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3 What are some examples of SPIs for SCM in FM?

When it comes to SCM in FM, there are several Service Performance Indicators (SPIs) to consider. These include environmental SPIs like greenhouse gas emissions, energy consumption, and water consumption, as well as social SPIs such as health and safety performance and labor rights. Additionally, economic SPIs like cost efficiency and quality should be taken into account. Moreover, indicators like waste generation, recycling rate, diversity and inclusion, community engagement, customer satisfaction, innovation, risk management, and value creation should all be considered when assessing the performance of suppliers and contractors.

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4 What are the benefits of using SPIs for SCM in FM?

Using SPIs for SCM in FM can bring a variety of advantages for FM professionals and their organizations. This includes enhancing their reputation and credibility, improving operational efficiency and effectiveness, strengthening relationships and collaboration with their clients, suppliers, contractors, and other stakeholders, and contributing to their organizational and societal goals. Specifically, this can help reduce costs, waste, and risks; increase quality, innovation, and value; increase transparency, trust, and accountability; and minimize negative impacts while maximizing positive impacts on the environment, society, and economy.

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5 What are the challenges of using SPIs for SCM in FM?

Using SPIs for SCM in FM can present challenges for FM professionals and their organizations, such as locating reliable and consistent data sources and methods to measure and report their SPIs. Additionally, they must consider the trade-offs and synergies between the different dimensions and aspects of sustainability. Furthermore, FM professionals must be prepared to adapt to the changing and diverse expectations and requirements of their stakeholders and regulators. Lastly, they must ensure that their SPIs are integrated into their strategic and operational decision-making and processes.

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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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Ernie M.

Helping CEO’s drive growth, build a winning culture, turn potential in to results - Growth Sales Coach - BID Team Consultant - Keynote Speaker - DM “CEO” to learn more…
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In my experience SPIs enable facility managers to monitor supplier compliance with sustainability standards and regulations. Key indicators such as adherence to environmental certifications, ethical sourcing practices, and compliance with labor and human rights standards help ensure that suppliers meet sustainability requirements. This ensures transparency and accountability throughout the supply chain, reducing the risk of reputational damage and regulatory non-compliance

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How can sustainability performance indicators improve supply chain management in FM?

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1 What are SPIs and why are they important?

2 How to select and use SPIs for SCM in FM?

3 What are some examples of SPIs for SCM in FM?

4 What are the benefits of using SPIs for SCM in FM?

5 What are the challenges of using SPIs for SCM in FM?

6 Here’s what else to consider

Facility Management (FM)

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How can sustainability performance indicators improve supply chain management in FM?

1

2

3

4

5

6

1 What are SPIs and why are they important?

2 How to select and use SPIs for SCM in FM?

3 What are some examples of SPIs for SCM in FM?

4 What are the benefits of using SPIs for SCM in FM?

5 What are the challenges of using SPIs for SCM in FM?

6 Here’s what else to consider

Facility Management (FM)

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