Contracting-out in a facilities management context : an investigation of the advantages and disadvantages of contracting-out as experienced by user organisations, and the influence such factors exert in determining whether facilities management services are resourced in-house or externally

Owen, DD

Abstract

The field of study for this research project is a recently
established and rapidly evolving business concept,
Facilities Management (FM).
The focal theory for this project concerns the
effectiveness of a tactic increasingly adopted by
organisations as part of their FM strategy, namely
contracting-out.
This work places significant emphasis on the 'design' (i.e.
the planning ) of the research project, in order to maximise
the rigour of the study. In particular, a distinction is
drawn between the design of the overall project and the
design of the data collection strategy. The latter employs
the multi-method techniques of •cas'e study and research
review. The value of incorporating a looping or iteration
element into the design in order to permit a dynamic and
flexible approach is developed in some detail.
The aim of the research project is to determine:-
the advantages and disadvantages of contracting-out as they
affect the individual organisations under investigation; the extent such factors play in determining whether the
organisations adopt contracting-out; the potential for
generalising the results across the case studies; and
whether broader generalisations can be attempted.
The following hypothesis for the study is developed based
on the findings of a review of focal theory:
'The potential advantages to a User organisation of
contracting-out discrete aspects or bundles of FM Services
are likely to outweigh the potential disadvantages.'
A matrix of the advantages and disadvantages of
contracting-out is developed by conducting a 'research
review'. The findings are ranked according to frequency of
occurrence based on weighted averages.
Six case studies are conducted as a means of collecting
primary data. The data is systematically subjected to
analytical methods, including testing against both the
hypothesis and the rankings of the Research Review.
Finally a cross-case analysis is undertaken.
The findings progressively reached by this researcher have
been tested out against knowledgeable audiences in two
ways, viz: by presenting conference papers and lectures;
and by regular reference back to a sounding board of key
informants.
The conclusions reached include:
• that the proposition of the hypothesis is not
generalisable;
• that potential advantages and disadvantages of
contracting-out not only vary between organisations,
but in the way they influence the delivery of
different FM services within a given organisation;
• that factors other than these advantages and
disadvantages influence Users' contracting-out
decision-making.

Citation

Owen, D. Contracting-out in a facilities management context : an investigation of the advantages and disadvantages of contracting-out as experienced by user organisations, and the influence such factors exert in determining whether facilities management services are resourced in-house or externally. (Thesis). University of Salford

• Thesis Type: Thesis
• Deposit Date: Aug 19, 2011
• Publicly Available Date: Aug 19, 2011
• Award Date: Jan 1, 1994