Outsourcing of Facilities
Date
2011-06-10
Authors
Schilder, Peter A.
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
Outsourcing is widely regarded as a powerful business process that can be
employed to streamline an organisation’s operations.
This study explores the outsourcing of Facilities Management in the South
African Private Healthcare industry. It probes the functional areas of Facilities
Management in this sector with the aim to understand its complexity. It also
explores how this complexity would influence functional segmentation when
outsourcing of Facilities Management is contemplated. The relative importance
of financial and non-financial decision parameters as well as the associated risk
of outsourcing is also investigated.
Current thinking was probed through structured interviews with experts in
Private Healthcare Facilities Management.
The main findings of this research were that Facilities Management in Private
Healthcare consists of many diverse and expert functional areas and should not
be outsourced as one function. However, it was found that outsourcing of
Facilities Management as multiple functions would increase risk to a healthcare
facility. It was further concluded that non-financial drivers are considered to be
more important than financial drivers when making the outsourcing decision.
Description
MBA - WBS
Keywords
Facilities management, Health care sector, Outsourcing