Transcript 1- Mgt Theories.ppt

Developments in Management Theory
Management Theory and
Practice
Facility Management
 Facility Management focuses on
managing equipment and structures to
make sure they are working correctly as
well as the intricate task of managing
people.
 Employees have emotions, feelings,
moods, desires, and complex personalities
that can’t be overlooked and represents a
dynamic challenge to managers.
Facility Management vs. Personnel
Management
 The difference between them is facility
management involves the use of
equipment or buildings to help achieve the
facility’s mission while personnel
management focuses on how people help
reach the facility’s goals.
 Despite the difference, they are integrated.
Equipment cannot operate without people.
Development of Management
Theory
 Frederick Taylor – Father of scientific
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management
- time and motion studies
Elton Mayo – Hawthorne Effect
Abraham Maslow – Hierarchy of Needs
- must meet each need before satisfying
higher needs.
Frederick Herzberg – Two Factor Theory
Victor Groom – Expectancy Theory of Motivation
21st Century Facility Managers
 Facility Managers and staff must know how to use computers in
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order to effectively manage facilities and support services within the
facility.
Computer Aided Facility Management – developed into
technological platforms that assists a facility manager in running a
facility.
Few primary areas include:
Space and asset management focusing on occupancy information,
space planning, asset management, and move management.
Computer-Aided Drafting used to plan and design the floor plan for
the facility to optimize flow and function.
Capital planning tracks the conditions of the facility and equipment
to improve business operations, maintenance, and management.
Managerial Skills vs. Leadership
Skills
Managerial traits include:
- coercive authority
- time management skills
- organizational skills
- seek stability
- focus on managing tasks
- have subordinates
- maintains control
- appeals to the head
- transactional style
Leadership traits include:
- personal charisma
- show’s by example
- hire’s well (spots
potential)
- seek change for the
better
- focus on leading people
- have followers
- maintains passion
- appeals to the heart
- transformational style
Successful Strategies to Run a Facility
 First and foremost, every facility manager
must act in an ethical manner.
 A reputation is one of the most valuable
assets a person will ever have.
 Always utilize integrity in difficult
situations.
 Focus on the facilities core competencies,
while outsource specific tasks that will
improve service quality.
Outsourcing
 Facility Management services offered by
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outsourcing include:
Facility analysis and assessment
Energy usage analysis
HVAC and energy management
Construction/Renovation management
Budget pro forma analysis
Housekeeping and environmental services
Private Managing Companies
Pros
- Create booking leverage
- Increased corporate support
- Reduced stress, time, and
budget implications
- Effective negotiation and
renegotiation strategies
- Facility staff focuses on core
competencies leading to
professional growth
Cons
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Expensive
Relinquish some control
Turnover of loyalty to PMC
Loss of responsibility
Short term cost cutting
could lead to long term
damage
- Excessive turnover of the
GM due to increased
opportunities
Global Spectrum
 Because this is what we do everyday, we have a great deal of
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knowledge about this business as a result of managing
multiple facilities.
We have access to people who want to make a career in this
industry and therefore we oftentimes have access to better
qualified and trained individuals who become specialists in this
field.
Our focus is on generating revenues; most public entities focus
on controlling expenses.
Because of our presence in multiple facilities, our buying
power is greater and therefore brings economies to the facility.
One key area is in risk management insurance. Because of our
practices and our compliance with insurance requirements, we
have a low risk to the carrier; therefore, our purchasing power
and low risk rating give us good deals which end up saving the
owner money.
We have systems and procedures that result in greater
efficiencies, whether it’s improving revenue or reducing costs.
Questions
 Do you think facility management
outsourcing is beneficial for a health club?
 If you were a facility manager what
services do you think you would want to
outsource and why?