MANAGING AGENT : A MANAGEMENT PERSPECTIVE

Abstract

There had been much literature on making strategic outsourcing decision. The success of outsourcing requires more than making the right initial decision. Management of the external provider is equally important to sustain the contractual relationship. Farming out facilities management functions to a Managing Agent is common in Singapore. Similar to general outsourcing, this move does not mean a total shift of responsibility to the Managing Agent. Right management tools are necessary to control the Managing Agent, in order to meet set objectives. This study examines the management issues affecting the success of outsourcing through Managing Agents. There may not be a one-for-all strategy to manage every outsourcing relationship, but key issues are highlighted for effective management.