Focus on your business model

Many companies focus on their business models and delegate non-core activities to others.

Most large groups have long since opted for this approach, whereas smaller companies find it more difficult to “lose control” of operations.

There are no good or bad choices, but one must be incredibly careful not to opt for a solution without knowing the ins and outs of it.

Without any criticism, FM providers tend to want to process as many services as possible for the client, which is correct from the provider’s point of view, but perhaps less so for the client. 2-3 questions need to be asked:

• What alternatives exist on the market and which ones best fit the company’s culture?

• What quality does the customer want to achieve? Is his supplier capable of delivering it?

• Which ‘non-negotiable’ or critical services should remain, entirely or at least partially, in-house?

Answering these questions is often much more complex than it seems. Each option has consequences in terms of price, volume, quality, and risk.

Several prerogatives should remain in-house if the customer is to have a chance of having sufficient leverage over the supplier. For example, it is recommended to keep a centre of competence in-house.

Moreover, both parties should be winners: the customer-supplier partnership is a complex, subtle and delicate balance, but it is certainly the best alternative. To paraphrase the popular saying, isn’t a bad deal better than a good trial?

Finally, developing a strategy and going into negotiations alone can involve risks. Specialists, particularly in Switzerland and in many countries, can provide sound advice in this area.

Good luck, good thinking, and good reading.

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