A STUDY ON OUTSOURCING OF FACILITIES MANAGEMENT FUNCTIONS IN SINGAPORE

Abstract

In recent years, outsourcing has become a hot topic for Facilities Management (FM) and is changing the way organizations restructure and procure support services. Many companies in Singapore today outsource their FM functions because of the cost saving benefits. Beside cost saving, there are other factors that influence a FM manger to outsource. Consequently, a better understanding of the factors influencing outsourcing is essential. This study aims to examine the factors that affect outsourcing in facilities management based on an integrated theoretical framework from a social perspective. Major findings from the survey reveal that factors such as cost finance, organizational goals and specialized service provider are strongly linked to the decision of outsourcing. The study concludes that the understanding of the influencing factors can assist facilities manager to make better decision in their organization.