HVAC Breaking News / News

Sept. 19, 2011: Outsourcing of Facilities Management Services Continues to Increase

September 19, 2011
KEYWORDS HVAC / mechanical / services
/ Print / Reprints /
ShareMore
/ Text Size+
NEW YORK and LONDON — Nearly all buyers currently outsourcing facilities management services expect to maintain or increase outsourcing in the short to medium term, according to the inaugural KPMG 2011 global real estate and facilities management outsourcing pulse survey.

The KPMG survey polled both users of outsourcing and service providers, with the majority operating in the United States and approximately 30 percent operating globally or in the Europe and Asia Pacific regions. In the near term, buyers were more bullish than service providers about the projected increase in outsourcing.

Among the buyers surveyed, 50 percent said they plan to increase outsourcing of services over the next one to two quarters. In comparison, just 21 percent of service providers expect demand levels to increase during that period, with an equal number expecting demand levels to decrease. Longer term, over the next 12 months, 44 percent of buyers plan to increase their outsourcing, while a much greater 72 percent of service providers expect outsourcing demand to increase in that time frame.

“The differing outlook between buyers and service providers is likely due to estimations of when new business will go into service provider pipelines from the buyers, compared to the service providers’ projections of when that business will actually consummate into new deals,” said Stan Lepeak, research director in KPMG’s Shared Services and Outsourcing Advisory group. “Service providers may also have higher longer-term demand projections due to expectations for an improved economy in 2012.”

Both buyers and service providers identified reduction of operating costs as the top driver of outsourcing, with 70 percent and 75 percent of respondents, respectively.

Among organizations that are currently outsourcing, the most commonly outsourced area is workplace services (janitorial, cafeteria, and amenities services), which are fully or partially outsourced by 87 percent of survey respondents. The second most frequently outsourced area is facilities (HVAC, mechanical, electrical, building repair), which are fully or partially outsourced by 85 percent of survey respondents.

Publication date: 09/19/2011

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

2014 MCAA Annual Convention

Scenes from the 2014 MCAA Annual Convention in Scottsdale, Ariz.

Podcasts

NEWSmakers: Julian Scadden

Training is an ongoing process. Julian will discuss how you can generate maximum return on time and energy invested training by following a three part process. Listen to this podcast to get expert tips on training, tracking and follow up. 

More Podcasts

ACHRNEWS

NEWS 04-21-14 cover

2014 April 21

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

SERVICE CALLS POLL

Which statement on service calls best applies to your business?
View Results Poll Archive

HVACR INDUSTRY STORE

plumbing-hvac.gif
2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research

 

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

DON'T MISS A THING

Magazine image
 
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.

STAY CONNECTED

facebook icontwitter iconyoutube iconLinkedIn i con