8-25-17

6B — August 25 - September 14, 2017 — Owners, Developers & Managers — M id A tlantic

Real Estate Journal

www.marejournal.com

O wners , D evelopers & M anagers By Glenn Ebersole, High Concrete Group, LLC Property Maintenance: Outsource or Perform In-House?

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tain. A contractor has more flex- ibility to adjust the numbers of employees faster than in- house staff, and the contrac- tor absorbs hiring costs. An outsourced contractor assumes the burden of these and other financial liabilities associated with its workforce. STAFFING FLEXIBILITY, EXPERT I SE & WORK QUALITY. An outsourced contractor quickly can provide flexibility in delivering the proper staffing level and required skills with less cost and time investment.

Basically, there are three approaches to commercial prop- erty maintenance management: in-house staffing, a hybrid of in-house and outsourcing and complete outsourcing. Each company reviews its needs to determine what ap- proach and to what extent to apply to meet its maintenance and other goals. Commercial companies re- view the key advantages and disadvantages of outsourcing maintenance with particular focus on cost, work quality, ob- taining expertise, tools, equip- ment and technology, risk re-

duction and management focus on core business. Here is a look at some of the pros and cons of outsourcing. CORE BUSINESS FOCUS. Outsourcing enables com- pany management to concen- trate on core competencies and strategic objectives. COST SAVINGS. Cost control is a driving issue for commercial and other busi- nesses. In-house staff wages and benefits (such as pension, medical and vacation) continue to increase and in many cases have become too costly for a company to subsidize and sus-

oday’s businesses and organizations continue to evaluate the advan-

In addition, the contractor can provide expertise that may be lacking with in-house staff. This expertise also positively affects the quality of the work, providing flexibility to use specialized services as needed – instead of incurring the added cost of developing in-house com- petencies that are not needed on a permanent basis. PERSONNEL ISSUES. Outsourcing means person- nel grievances, disciplinary actions and issues become the responsibility of the contrac- tor. The contractor, freeing company management from the responsibility and time requirements, handles payroll, time keeping, labor relations, human resources, benefits, etc. TOOLS, EQUIPMENT AND TECHNOLOGY. An outsourced contractor can provide staff that is well trained in the use of current technology. This eliminates the need for the company to provide training to in-house staff, or spending money to acquire and implement the technology. This is also true for spe- cialized tools and equipment, which the contractor supplies. LOSS OF CONTROL. Outsourcing themaintenance function may be cost-effective, but there are restrictions when working with contractors, such as the client company’s in- ability to directly manage and instruct the workforce. Another example is it may be difficult for a service provider to fulfill all of a client’s require- ments, such as staff flexibility or craft availability, within the client’s expectations. Also, the client and contractor may have different approaches, manage- ment styles and philosophies, which can lead to conflict. LACK OF AVAILABILITY OF CERTAIN SKILLS. The location of the commer- cial property in certainmarkets may mean that the skilled talent-pool may be limited and the required skill sets may not be easily obtained. It also could mean that these special skills that must be acquired outside the market may command a higher cost in the long run. STAFF TURNOVER. In-house employees tend to have more years of service at a facility than contractor employees and have a higher understanding of the busi- ness and its expectations. The outsourced workers may not continued on page 26B

tages and dis- advantages of outsourcing professional services and functions as c o m p a r e d t o ke ep i ng those tasks in-house.

Glenn Ebersole

Commercial property main- tenance is one of those services being reviewed, and outsourc- ing contract maintenance is becoming more prevalent.

THE NEW SHAPE OF PRECAST

1200 Intrepid at the Philadelphia Navy Yard is the newly completed precast concrete work of art designed by world-renowned starchitect Bjarke Ingels Group (BIG). The front entrance façade gently curves inward while stretching outward creating a startling and gravity-defying visual that mimics the curved bows of the nearby battleships. The unique engineering requirements of the proj- ect meant that the gravity loads flowed directly to the ground and were not tied to the steel frame. Almost every piece of the front entrance façade is unique. This very complicated project presented a challenge that required an innovative solution using technical, engineering and creative exper- tise, and would not have been possible without the use of BIM and 3D modeling. For more information on this project and others visit us at www.highconcrete.com/news. “High Concrete saw our design as a wonderful opportunity to really show off their skills, talents and products. It has been a sincere joy to work with a group of precasters who are as engaged as they have been, willing to roll up their sleeves to work on solutions rather than seeing obstacles, and I am sure that they are proud of their efforts as much as we are.” Kai-Uwe Bergmann, AIA, RIBA, partner, BIG—Bjarke Ingels Group

Photograpy © Rasmus Hjortshøj—COAST

HIGH CONCRETE GROUP LLC n CONCRETE INNOVATIONS AND ANSWERS n CALL US AT 800-PRECAST n WWW.HIGHCONCRETE.COM

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