How property and estate professionals can use a Strategic Service Integrator delivery model to optimise their estate.
Do you wish to take back control of your estate?
Strategic Service Integrator delivery models may be the key to managing all aspects of your estate to achieve your strategic priorities.
Strategic Service Integrators (SSI) differentiate themselves from traditional facilities management (FM) delivery models by handing the control back to you.
Traditionally, a principal contracting model is the most common contracting vehicle to deliver FM services and whilst this offset the risk to the FM Provider it often takes away your ability to control how you want the services to be delivered or adapt as your estate changes.
Traditional Principal Contract Delivery Models
A principal contractor delivery model offers you a single contract which covers a varying range of hard and soft FM services, delivered through a mix of self-delivery and sub-contractors. Your FM provider maintains solely responsibility for the delivery and management of all services. This is ideal for organisations who wish to use one single partner to control and manage all the FM services, transfer risk to a third party, hold a fixed cost for a fixed term and have limited or no internal resources to manage FM within your business. The downside however is that these contracts are often quite rigid making changes to requirements or cost difficult to negotiate and agree.
There are several delivery models that traditional FM providers utilise when managing your estate, and there are advantages and disadvantages to each one;
A single service delivery model contracts individual services to specialist providers which concentrate on a specific service. Whilst this provides you with the control of allowing you to work with experts in the field, it also creates an extra layer of complexity to your estate because of the time involved in managing numerous suppliers.
Bundled service contracts bring two or more services into one offering, normally categorised into hard and soft services. Bundled services procured from a single supplier can reduce costs, increase value for money, and reduce risk. However, bundled service providers may also subcontract some services they are not able to deliver, thus reducing your control over your facilities management.
Total Facilities Management (TFM)
Total facilities management outsources the entire scope of your facilities management requirements to a single FM provider, simplifying your contract and invoicing and the management of budgets. This includes everything from maintenance and engineering, workplace and compliance, technical and real estate and the technology that sits behind it.
The simplicity of a TFM contract is both its biggest strength and also its biggest weakness. Although streamlining and simplifying may remove a headache in the short term, having a sole FM provider can lead to issues if anything happens to the provider in the future.
Managing Agent Delivery Model
A managing agent model enables you to appoint a single provider to monitor and manage your outsourced contracts. Your organisation will remain responsible for the procurement and payment of your own supply chain. The managing agent is responsible for providing data on the processes and performance of the supply chain through a CAFM system, offering data analytics to benchmark spend and performance. A managing agent model is ideal for organisations who wish to utilise their existing supply chain, as well as needing a CAFM system for support in demonstrating compliance and provide spend and performance data. A managing agent delivery model scope is typically limited to planned and reactive maintenance.
So what makes an SSI different?
Strategic Service Integrators provide a level of flexibility that is not found within traditional FM delivery models, giving you control over how your services are managed and delivered. SSIs provide your organisation with a flexible plug and play approach to deliver property and FM services, which can be added and removed to suit requirements. An SSI can incorporate key aspects of the principal contractor and managing agent models, offering flexibility to provide the right delivery solution to meet your strategic priorities.
Helping you to incorporate a blend of sub-contracted and self-delivered services, an SSI will provide the most efficient workflows and reduce cost and risk across the estate. With the data gathered from an integrated software solution, you will be empowered to make decisions that will help you deliver your overall estate strategy. SSIs also provide the freedom to incorporate your organisation’s direct labour force such as an in-house maintenance teams.
Finding the best suppliers for your estate is made simple using an SSI and it’s technological benchmarking capabilities. Data from thousands of suppliers has been logged, allowing you to compare the cost and capability of a supplier and reduce your order value and spend. Using a CAFM solution such as Concerto, managing all of your suppliers within one dashboard reduces the time taken to get the work done. Suppliers also have access to detailed information from your estate that can help them to identify and act upon issues quickly.
Is an SSI the right choice for you?
SSIs are often best suited to complex estates requiring a sophisticated attitude towards risk mitigation.
Often, Estates and Property Directors will opt for an SSI when they want to implement a proactive and dynamic approach to risk. Strategic can help when identifying overarching risks and create a service delivery plan to minimise them. If these criteria apply to your estate, then an SSI can provide you with a dynamic and sophisticated solution to facilities management that places the control back in your hands.
The digitalisation of an estate and its assets is also a growing trend in the industry. The recognition of an improvement in productivity and time efficiency is the driving force behind the change. With the real estate sector being a traditionally slow-moving industry, embracing digitalisation can be the edge that your estate needs to move up the maturity curve.
- Helpdesk contact centre
- Self logging customer portal
- Technical consultancy
- Real estate consultancy
- Energy management
- Supply chain management
- Scheduling & workforce management
- Forward maintenance planning
- Invoice verification & audit
- Data & analytics
- Compliance management
SSI Powered by Concerto
CAFM solutions, such as Concerto, are helping organisations streamline their FM processes and systems by removing duplicate systems and automating processes. Having automated processes has the primary benefit of saving you time. With IoT enabled asset monitoring, you can have a longer-term view of an estate and its assets.
Strategic Service Integrators feed constant estate asset data into Concerto’s user-friendly platform, giving you an overview of the estate as a whole, with total transparency and in real-time. You can identify impending issues and proactively address them, maximising the uptime of your assets and reducing long term repair costs.
Concerto is completely bespoke and can be tailored to meet your organisation’s requirements and estate maturity. Concerto is driven by databases which means the software can interface with linked sites, documents, equipment, and asset registers. Concerto also allows for pre-existing FM solutions to be managed in one seamless interface.
Concerto’s CAFM based solution has been proven to improve rates of statutory compliance. Estate asset data can be used to compare with statutory regulations and identify problem areas that will need to be addressed to meet compliance requirements. As a result of SSI systems like Concerto, statutory compliance has risen by an average of 10%.
Concerto currently powers over 200,000 sites with a combined spend of £1.3bn. Users are connected to a database of 1000+ suppliers that each have a detailed data set on their performance and costs. Such a vast data set allows users to optimise their suppliers and reduce spend. Concerto’s integrated systems and data-driven approach to facilities management has resulted in our clients saving an average of 33% on reactive jobs and an average statutory compliance rate of 95%.
Get in Touch
Bellrock leverage the talent of over 1400 employees, delivering services to 1000 plus customer base across the UK and work together with over 2000 carefully selected supply chain partners. We offer innovative solutions through four proven service lines and six effective delivery models.
Contact us today to discuss your needs and we can provide expert recommendations on how to implement an SSI solution for your estate.