How to Reduce Cost in Facility Management

an image of naira notes - how to save costs in facility management

Along with profit-making, cost saving is a topmost concern for business administrators. Facilities cost a lot to manage, and you will spend a lot on them if you manage them incorrectly.

Therefore, it is essential to look for ways to make your facilities cost less to manage, whether as a business or facility manager. To help facilitate cost reduction, we have listed ten ways to achieve cost savings for facilities management in this post.

Standardise Maintenance Procedures

The first idea on our list is the standardisation of maintenance procedures. It is true that a company’s success strongly depends on the people who work there every day, on their preparation and the organisation of their work. For this reason, having clear and shared procedures helps your team to complete their tasks successfully.

Unfortunately, as your business continues to grow, it is not always so easy to know at all times who has been assigned what. Without a standard maintenance procedure, some of the staff could approach problems using the wrong methods that lead to waste of time and valuable resources. 

More importantly, the lack of standard procedures shared with the whole group can generate gaps, risks and irregularities during maintenance interventions, resulting in a lowering of the quality of one’s work, a reduction in the life cycle of assets or worse, injuries to staff.

Deploy Efficient Energy Saving Methods

Interventions that make it possible to reduce consumption levels, cut waste, and optimise energy use are a goldmine for businesses.

For example, the average expenditure on gas and electricity within the workplace is about 19% higher than necessary. Of course, some expense items are unavoidable, but simple maintenance techniques can make a difference in the volumes of energy consumed and, therefore, in costs. 

Through simple changes to an organisation’s ventilation and air conditioning system, heating and cooling costs can be cut by up to 38%.

Other factors that lead to spending more than necessary may be, for example, poor maintenance of the systems or the use of equipment that is no longer in line with the times.

For efficient energy management, it’s best to hire an energy management service.

Use Computer-aided Systems in Facilities Management

Embracing a CMMS (computerised maintenance management system) is a wise decision because it allows you to keep all the necessary processes and tasks in sync from one platform. From there, you can share them with whoever you want within your company to simplify the life of your staff and optimise work times.

Also, through a CMMS, you can schedule routine and preventive maintenance, automate work orders and get reminders of seasonal tasks at the right time, such as replacing air filters.

That will help ensure the systems are efficient and more energy-saving and will ultimately save your maintenance budget and lower energy expenditure for your company.

Embrace Interns as Facilities Managers 

In today’s economy, many graduates are looking for internships. They will work hard and be a qualified replacement should you find yourself in an expansion phase.

For both the employer and the intern hired, this is a win-win scenario. Many of them are brilliant, talented minds and will work hard to grow your business to gain experience, which gives them a worthy advantage to compete in the workspace.

You will have to invest some time in improving your training, but you will save a lot of money in the long run.

Use Workflow Optimization to Cut Time

Taking a thorough inventory of the workflow required to deliver a perfect service as a facilities management company may also give us an insight into how the company can save cost. 

Such inventory covers everything from personnel and equipment to coordination and procedures in the manufacturing industry. Facility managers can keep track of these events by mapping them out and looking for areas to improve.

Improvisation is the primary goal of analysing workflow. It is vital that business professionals alongside facilities managers see these pitfalls and counter them, ultimately reducing costs and increasing productivity.

Examine the Cost of Material Procurement

When the cost of the material accounts for the largest part of the total service/production costs, it is clear that service delivery cost or purchasing costs must be reduced to control and reduce expenses.

It is ultimately advisable to investigate your procurement and logistics system. Proper documentation and employee training can reduce the amount of material discarded during service delivery.

Implementing initiatives such as Lean Manufacturing can greatly help manufacturing companies save money through the organised use of materials. Business professionals alongside facilities managers must see

Install modern equipment for Cost Saving

You need to invest a little to save money. Investing in equipment increases productivity and reduces cost and time. You can’t keep using old machinery and equipment in today’s times and expect it to work like a charm.

As technology advances, better technologies come to market. Investing in modern machinery can lower production costs in the long run, as well as increase productivity. In addition, it can also reduce the need for labour that was previously required for some of the processes.

Hire A Facility Manager With Quality Services to Manage your Building

Among all cost savings ideas, none trumps hiring a facility management service to manage your facilities. This idea will reduce not only costs but also extend the lifespan of your facility.

To make the right choice, look at the clients the facility management company has had, their reviews online, and if they follow the guidelines of facility management bodies, so you’re assured of getting predictive maintenance and cost savings.

Conclusion

Reducing costs can be one of the best ways to work efficiently in a company, no matter what field of work. Cost saving will make an impact on your company’s profit as expenses reduce. To get a professional assessment of your facilities and how facility management can reduce your cost, call +2348144000052 or email info@eliezergroup.com.

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