Lessons from the Untold Success Story: Outsourcing Engineering and Facilities Management

European Management Journal, Vol. 23, No. 5, pp. 576-582, October 2005

19 Pages Posted: 11 Dec 2006

See all articles by Steve Burdon

Steve Burdon

University of Technology Sydney (UTS)

A. Bhalla

Cass Business School, City, University of London; affiliation not provided to SSRN

Abstract

Over the past decade, there has been proliferation in the number of studies looking into IT enabled outsourcing. Little attention has been given to outsourcing of services in other sectors, such as Engineering and Facilities Management (EFM), which have also seen explosive growth. The article builds on a market research study of twenty-six outsourcing contracts making up approximately fifteen percent of Australia's EFM segment. This article aims to take a detailed look at the benefits sought and actually obtained from EFM outsourcing. The most successful contracts were then correlated against the most successful practitioners and the management issues further examined in five case studies. A number of learning points were apparent, and these can be grouped under four generic success factors: choice of contract style and management, relationship management, innovation management and workforce management.

Keywords: Outsourcing, Engineering and Facilities Management, Australia, New Zealand, Key performance indicators

JEL Classification: M55, L22

Suggested Citation

Burdon, Steve and Bhalla, Ajay, Lessons from the Untold Success Story: Outsourcing Engineering and Facilities Management. Available at SSRN: https://ssrn.com/abstract=950703

Steve Burdon

University of Technology Sydney (UTS) ( email )

15 Broadway, Ultimo
PO Box 123
Sydney, NSW 2007
Australia

Ajay Bhalla (Contact Author)

Cass Business School, City, University of London ( email )

106 Bunhill Row
London, London EC1Y 8TZ
United Kingdom

affiliation not provided to SSRN

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