Performance measurement in facilities management-the case of outsourced service contracts

Moss, Q Z (2012) Performance measurement in facilities management-the case of outsourced service contracts. PhD thesis, University of Salford, UK.

Abstract

Performance measurement is common practice and a well-researched topic in many disciplines including Facilities Management (FM). This thesis focuses on FM service performance and specifically addresses an identified gap in knowledge about measurement of performance in outsourced service contracts in FM. Conceptual and practical performance measurement literatures were assessed in a critical review with the Quality Managed Facilities (QMF) model. The thesis identified QMF's potential as a structured approach to performance measurement, which was tested through a single, embedded exploratory case study. QMF model was adapted in a four-phased action research project in a UK Central Government Department. QMF was selected because of its unique capability of mapping FM outputs, especially in quality, value and risk, directly with strategic business drivers. The project assisted the case study organisation in setting up a performance management system for multiple service providers at strategic, tactical and operation levels. Leading practitioners and academics were interviewed in the further reflection phase to update and verify contemporary issues in performance measurement and FM. The case study organisation has reflected many of the most common problems with performance measurement systems for outsourced FM contracts: lack of strategic alignment and heavy focus on Service Level Agreement compliance in particular. Although six years have elapsed since the case study, the supplementary interviews confirmed that these problems still exist in the industry. Referring to the common saying of 'what gets measured gets done', the limitations of current performance measurement practice have contributed to the perception that FM companies are operational service providers who can only deliver cost reductions. The research calls for the internal FM team to take the lead, to adopt a much more strategically aligned approach in developing performance measurement system, and to move away from efficiency measures to effectiveness measures so to demonstrate how FM contributes to core business. It also brings out the importance of the socio-cultural issues, the language used and the relationships amongst actors are important determinants of the successful application of any performance management system.

Item Type: Thesis (Doctoral)
Thesis advisor: Kagioglou, M
Uncontrolled Keywords: UK; action research; case study; compliance; facilities management; government; measurement
Index terms: determinant, effectiveness, reflection, case study, performance management, efficiency, performance measurement, core busines, cost reduction, facilities management, practitioner, mapping, action research, compliance, interview
Subjects: spatial and geospatial analysis, health safety and environment, practitioner, performance management, economics, management, performance measurement, professional development, business, data collection methods, risk assessment
Topics: Organizational Design, Cost Management, Business Strategy, Information Management, Research Practice, Roles and Professions, Quality Management, Health and Safety, Risk Management
Descriptive scope: 3 PCE

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