Quality Assurance in Facility Work Order Management...QUALITY ASSURANCE IN FACILITY MANAGEMENT As in any service or industry, quality assurance is important. This is especially truein

QUALITY ASSURANCE IN FACILITY WORK ORDER MANAGEMENTThe Right Fix for the Right Price

© 2020 CBRE | FACILITYSOURCE | CONFIDENTIAL & PROPRIETARY 2

Quality assurance: a term so commonly used in the business world- but what does it even mean? In the modern-day world, we strive to make everything perfect and error free, so having experts in each area double and triple check work helps gives us peace of mind. For example, when you take your car to the service station, you want the mechanics to take every possible measure to ensure your car gets the maintenance needed, right? You probably also want to pay the best price for parts (so, perhaps car dealerships should be avoided at all costs). With that in mind, imagine walking into a service station, learning that you overpaid for a car part and that the mechanic who worked on your car had only been working on cars for about a month. Not a great feeling.As humans, we want the services we use to be managed by experts to ensure as little error as possible. No matter what type of service, whether it be a car repair or getting a roof top HVAC unit replaced, including subject-matter-experts in the process can help a consumer gain the best experience and peace of mind possible.

So how does this fit into facility management?

HOW DO YOU KNOW IF YOU’RE OVERSPENDING?


QUALITY ASSURANCE IN FACILITY MANAGEMENT As in any service or industry, quality assurance is important. This is especially true in the facility management industry.

The industry is huge. In fact, the facility management market is projected to reach approx. $2 Trillion USD by 2026, with a current growth rate of 4.9% annuallyi.

In a market with that much cash flow, it’s vital for facility managers to ensure money isn’t going down the drain.

As a technology-enabled facility management company, we have tons of work order data- over 4 billion data points to be exact. Because of this, we like to think we know a thing or two about how much one should be spending on facility maintenance.

So…i. Facility Management Market Size, Share, Trends: Global Report 2026. Retrieved from

https://www.fortunebusinessinsights.com/industry-reports/facilities-management-market-101658

https://www.fortunebusinessinsights.com/industry-reports/facilities-management-market-101658

WHAT IF WE TOLD YOU THAT YOU COULD BE OVER-SPENDING ON

WORK ORDER QUOTES BY OVERLOOKING ONE SIMPLE THING?


INTRODUCING MATERIAL COSTSTHE SILENT FACILITY MANAGEMENT BUDGET DRAINERS

While there are many aspects that go into facility management costs, one cost that can easily get out-of-

hand: materials.Quoted material costs can add up, so ensuring you

aren’t over-paying for materials can make or break your business’ wallet.


MATERIAL COSTS

Think about it:One work order can require the installment of many materials. The replacement of a sink drain line in a facility restroom can require over 5 pieces of material including a p-trap, a PVC pipe, and sealant. If those materials are quoted too high by a service provider, then those costs can easily add up.


ENTER THE TRADE SPECIALIST

As a facility management company, we recognized the need for subject-matter-experts to review work order quotes to

ensure accurate pricing. Material pricing can vary by region or distributer, so prices can vary greatly.

That’s why in August of 2019, we established our Trade Specialist Team to ensure optimal quality assurance in the

work order quoting process.


At CBRE | FacilitySource, we like to consider our Trade Specialists the subject-matter-experts in each trade.Many of our Trade Specialists have real-world experience in a given trade. They could have been previously licensed or certified in specific trade work or have specialized trade education.Trade Specialists review all trade-related proposals for repair or replacement. For example, if we receive a quote from a service provider that includes repair on a roof-top unit, our HVAC Trade Specialist will review the quote to determine if the material(s) on the quote are being quoted at the best price possible.

HOW TRADE SPECIALISTS HELP DRIVE QUALITY ASSURANCE

We employ experts in the following trades:

Electrical Plumbing

General Repair

HVAC/R

EmergingTrades


OUR TRADE SPECIALISTS HAVE THE EXPERIENCE TO ENSURE OPTIMAL QUALITY ASSURANCE

Meet Toni

Electrical Trade Specialist

Meet Steve

HVAC/R Trade Specialist

FAST FACTS• 12 years as an HVAC

Technician• 7 years in City HVAC Control

Systems• 4 years in Retrofit HVAC &

Installation Management

FAST FACTS• 8 years as a Journeyman

Electrician• 5 years in Electrical Service

Work


CASE STUDYA Real-Life Work Order with Real-Life Savings

Description of Work: Service provider to remove (2) hand towel dispensers and replace with (2) XLERATOR hand dryers; one for each restroom. Service provider will run a dedicated line for each hand dryer and install (2) new single pole 20-amp breakers to the panel. Drywall patch and paint match will be necessary.

Work Order Summary: By evaluating this work order, a Trade Specialist was able to identify that the hand dryer was quoted too high, therefore saving the client $486.90 (a savings of 28%)! This work order is one out of approx. 4.1M work orders we annually process.

To: A Major, National, Multi-Site Communication Company


CBRE | FACILITYSOURCE TRADE SPECIALISTSSAVING MONEY FOR OUR CLIENTS SINCE 2019

“By leveraging trade expertise, our team can

promote quality assurance in

order to meet and exceed clients’

operational goals.”

Allen WatsonSr. Global Manager Trade Specialist Team

4M+Work Orders Serviced by Trade

Specialists Each Year

38%Materials Cost Avoidance in

2019

$16,000,000Typical Annual Savings

Portfolio-Wide Due to Trade Specialists


CONCLUSION:

Quality assurance is extremely important in facility management. Overlooking something as

benign as material costs can really impact a budget due to the large quantity of work orders

that a facility management department oversees.

CBRE© 2020 All Rights Reserved. All information included in this proposal pertaining to CBRE—including but not limited to its operations, employees, technology and clients—are proprietary and confidential, and are supplied with the understanding that they will be held in confidence and not disclosed to third parties without the prior writtenconsent of CBRE. This letter/proposal is intended solely as a preliminary expression of general intentions and is to be used for discussion purposes only. The parties intend that neither shall have any contractual obligations to the other with respect to the matters referred herein unless and until a definitive agreement has been fully executed anddelivered by the parties. The parties agree that this letter/proposal is not intended to create any agreement or obligation by either party to negotiate a definitive lease/purchase and sale agreement and imposes no duty whatsoever on either party to continue negotiations, including without limitation any obligation to negotiate in good faith or inany way other than at arm’s length. Prior to delivery of a definitive executed agreement, and without any liability to the other party, either party may (1) propose different terms from those summarized herein, (2) enter into negotiations with other parties and/or (3) unilaterally terminate all negotiations with the other party hereto. CBRE and theCBRE logo are service marks of CBRE, Inc. and/or its affiliated or related companies in the United States and other countries. All other marks displayed on this document are the property of their respective owners.

THANK YOU

For More Information:Josh Holecko | Vice President

[email protected]

+1 614 301 8212

mailto:[email protected]

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Quality Assurance in Facility Work Order Management...QUALITY ASSURANCE IN FACILITY MANAGEMENT As in any service or industry, quality assurance is important. This is especially truein