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What are the most common risks in FM that can be mitigated through risk management training?

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Facility management (FM) is a complex and dynamic field that involves managing the physical, financial, and human resources of an organization's facilities. FM professionals face various risks that can affect the performance, safety, and sustainability of their operations. Some of these risks can be mitigated through risk management training, which can help FM professionals identify, assess, and control potential hazards and opportunities. In this article, we will discuss some of the most common risks in FM and how risk management training can help you deal with them.

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1 Operational risks

Operational risks are the risks that arise from the daily activities and processes of FM, such as maintenance, cleaning, security, and energy management. These risks can include equipment failures, service interruptions, accidents, injuries, or legal liabilities. Operational risks can have negative impacts on the quality, efficiency, and reputation of FM services, as well as the health and safety of staff and occupants. Risk management training can help you prevent or minimize operational risks by implementing best practices, standards, and procedures, conducting regular inspections and audits, and developing contingency plans and emergency responses.

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yesk nair

Assistant Manager at Emaar Properties
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OEM maintained and fit for use tools only to be used in work front Cleaners to the entrepreneurs is too menial many a time. They should be properly salaried, trained and should have thorough knowledge of how to use chemicals it’s implications and security threats A safety officer approvals should be mandatory prior to do any sort of works I have seen FM managers sans any practical wisdom or technical knowledge. The selection criteria for those should be stringent

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Prabhakar Naik

Managing Director at Base VASTU & ENGG Services FZE, UAE.
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Change of FM team means change of minds of the people especially when there are NO As Built Documents like Prestige Group hands over five Towers if 21 storeys with more than 20 defects already existing from Day 1....IDK how an inexperienced Siciety with goons takes over such incomplete projects all working hand in gloves....the worst project I have come across is Prestige WestWood at Gopalapura Bangalore 560023!

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Alberto Vázquez Garea

No hace mucho recordé que soy Fantástico de Nacimiento, como tú?. Hoy, ayudo a Empresas y Familias como las del fondo ??, a que su Transformación Digital y Sostenible, sea su Inversión más Rentable????
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I think, it's crucial to have a strategically well-coordinated team led by a CEO, but where each department is a guru in its own area ??: Technical Team ??: Masters in maintenance and rehabilitation, capable of conducting stellar audits before and during service, experts in monitoring and automation. Security Team ??: Ninjas in safety regulations and emergency protocols. Financial Team ??: Wizards of financial planning, turning numbers into successful strategies. Legal Team ??: Sages of legal regulations, always keeping us within the law. IMPORTANT ADD.: Lifelong relationships with the best companies in each role. Like a rock band... each one plays a different instrument… ?? but sometimes an external string or wind quartet is needed ?.

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Ian van der Heever

Operations Manager for Corrocoat JHB
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An environmental scan of the facility is a good way to gain current understanding of risks and opportunities, strengths and weaknesses and details human resources, training, safety, operations and equipment audits, review SOP, facilities inspections and reporting, planned preventative maintenance and monthly updating of a risk matrix profile. In the daily operations of an offshore system, adherence to safety is paramount in all procedures. Be it topside berthing operations or underwater infrastructure inspections. The inspections and reporting allows us to have a current understanding of the mechanical integrity of equipment, plan for preventative maintenance, budget allocation over the quarters and alleviate operational risk.

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2 Financial risks

Financial risks are the risks that affect the budget, cash flow, and profitability of FM, such as cost overruns, revenue losses, or market fluctuations. These risks can result from poor planning, estimation, or allocation of resources, unexpected expenses or delays, or changes in demand or supply. Financial risks can jeopardize the financial viability and sustainability of FM projects and services, as well as the strategic goals and objectives of the organization. Risk management training can help you manage financial risks by applying effective financial tools and techniques, such as budgeting, forecasting, monitoring, and reporting, and by evaluating and mitigating potential financial impacts and uncertainties.

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Ian van der Heever

Operations Manager for Corrocoat JHB
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For example, a facilities upgrade project that has been planned over a period of time and requires significant capital must be re-looked at to ensure it is practical, within budget constraints, and identified risks are managed by your team members. Training your team to identify risks and understand risk mitigation via SWOT analysis. Reporting identified risks and weighting and scoring them on a risk matrix assists the project in delivering its project outcomes on time and within scope and budget.

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3 Strategic risks

Strategic risks are the risks that affect the alignment, direction, and value of FM, such as changes in customer needs, expectations, or preferences, or changes in the external environment, such as regulations, competitors, or technologies. These risks can result from lack of vision, innovation, or differentiation, or failure to adapt to changing conditions or opportunities. Strategic risks can undermine the competitive advantage and relevance of FM services, as well as the satisfaction and loyalty of customers and stakeholders. Risk management training can help you address strategic risks by developing a clear and coherent FM strategy, conducting regular market and customer analysis, and fostering a culture of continuous improvement and learning.

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4 Human risks

Human risks are the risks that affect the performance, engagement, and well-being of FM staff, such as skills gaps, turnover, absenteeism, or conflicts. These risks can result from inadequate recruitment, training, or retention strategies, poor communication or collaboration, or low motivation or morale. Human risks can impair the productivity, quality, and efficiency of FM services, as well as the culture and climate of the organization. Risk management training can help you reduce human risks by enhancing your leadership, management, and communication skills, by providing adequate training and development opportunities for your staff, and by promoting a positive and supportive work environment.

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5 Environmental risks

Environmental risks are the risks that affect the environmental impact and performance of FM, such as energy consumption, carbon emissions, waste generation, or water usage. These risks can result from inefficient or outdated systems, equipment, or practices, or lack of awareness or compliance with environmental standards or regulations. Environmental risks can harm the natural environment and the health and safety of the community, as well as expose the organization to legal, reputational, or financial consequences. Risk management training can help you minimize environmental risks by implementing green and sustainable FM practices, such as energy efficiency, waste reduction, or water conservation, and by monitoring and reporting your environmental performance and achievements.

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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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What are the most common risks in FM that can be mitigated through risk management training?

1

2

3

4

5

6

1 Operational risks

2 Financial risks

3 Strategic risks

4 Human risks

5 Environmental risks

6 Here’s what else to consider

Facility Management (FM)

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What are the most common risks in FM that can be mitigated through risk management training?

1

2

3

4

5

6

1 Operational risks

2 Financial risks

3 Strategic risks

4 Human risks

5 Environmental risks

6 Here’s what else to consider

Facility Management (FM)

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