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How an Integrated Facilities Management Approach Lowers Total Cost of Ownership

An integrated facilities management approach is among the latest ways facility managers can lower total cost of ownership and improve efficiency. Of course, it all depends on knowing the existing weaknesses and areas of value-leakage first.

Lack of Visibility and Understanding Contributes to Higher Total Cost of Ownership

Poor visibility into facility assets remains a crucial problem for facilities managers seeking to improve total cost of ownership or facility assets. Remember, the total cost of ownership of your facility includes every asset and activity, as well as a resource used, in its lifecycle. While reducing the total cost of ownership for your entire facility is great, it begins with meaningful improvement at the asset-level. According to FacilitiesNet, reducing TCO relies on determining the costs of buying, maintaining, and using an asset and making improvements that lower these associated costs. Failure to deploy the right technologies and capabilities to track data and understand the exact fees and influences of your facility assets will make it impossible to track the total cost of ownership for your facility.

Integrated Facilities Management Brings Harmony to Data

Achieving actual reductions in the total cost of ownership through integrated facilities management requires comprehensive lifecycle management. Lifecycle management is about more than just the need to replace an asset and its costs of replacement. It involves facility managers to take a holistic approach to maintenance, operating costs, replacement, ongoing maintenance, and effects derived from its optimum use.

Consider the total cost of ownership for an HVAC unit. Facility managers incur the cost of purchasing the equipment, installing it, and maintaining. At the end of its lifecycle, it may need to be replaced, but the actual total cost of ownership can be obscured through everyday operations. For example, did the HVAC unit’s malfunction contribute to an abandoned purchase on behalf of the customer who felt uncomfortable in your facility? Therefore, the only way to truly understand the total cost of ownership is to consider every possibility that could increase the costs to your organization for a single asset, reports FM Link.

Additional Ways Integration Lowers Total Cost of Ownership

Merely knowing your current costs for an asset is only one solution that integrated facilities management lowers total cost of ownership. Others include:

  • Integrating systems to let third-party handle key processes, such as work order management, frees your time for managing other tasks.
  • It increases access to field service vendors.
  • Integration enables data-driven decision making.
  • Decreased energy use leads to direct savings.
  • Reduced risk of future, complete malfunction derives from handling minor needs in advance.
  • Preventive maintenance keeps maintenance under control.
  • Fewer items on the maintenance backlog allude to more money for use in new ventures in future cycles.
  • Integration prevents data silos from negating the effects of integration.

Reduce Your Total Cost of Ownership With Integrated Services

Integrated facilities management means bringing together energy, asset, and resource management with a platform capable of considering both internal and external data to make informed decisions. Facility managers need to deploy a next-generation CMMS now and put the power of integrated services to work to reduce the total cost of ownership.