| The decision by IFS to outsource workplace service was a natural one. The company works with cost control and wanted to devote more time to its core activities. IFS also realised that there were other companies better suited to dealing with service activities. |
Per Wange
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“The new solution has resulted in reduced costs for workplace service and has saved time equivalent to a half-time job in the finance department. Moreover, the management now has more time to devote to the company’s core activities,” says Per Wange, IFS’ Purchasing Manager, who goes on to describe his own experiences.
Per Wange spearheaded the company’s outsourcing of workplace service and is now responsible for the service agreement with Coor.
The first step towards outsourcing was an internal review of support functions, which showed that these had been delegated to a number of different units. This review resulted in responsibility for all support functions being assigned to a single company. The internal support company had been up and running for a year when IFS decided it was time to outsource the business. Experience gathered from running its own service business meant that IFS was able to specify in detail the content and costs associated with the various support functions. The specification was presented to potential suppliers, who were asked to submit suggestions as to how they would manage service activities with regard to, for example, organisation, processes, projects and costs.
“Coor produced the most detailed and interesting description. As part of their tender, they put on workshops in order to obtain further information about our business. They had very good people and excellent procedures in place.”
Order and method pays off
When Per Wange looks back at how the outsourcing process went, he emphasises that the majority of work involved defining what sort of services needed to be purchased – and what they should include.
“In the beginning, it was difficult trying to remember everything. I would say we got about 80 per cent of it right. During the first six months of the agreement, we have reviewed the service descriptions with the service provider and remedied any issues that have come to light. Some things were added, others were removed or amended.”
If Per Wange were to give advice to other companies who are considering outsourcing their service activities, it would be to determine carefully what needs to be outsourced and what it will cost – including any hidden costs, such as the management’s time and dealing with suppliers.
“Make sure you get everything in order. It makes life easier for all the parties involved, including the company doing the outsourcing and the service provider. It encourages greater confidence and helps you to avoid nasty surprises. It is also important that your company has a complete organisation in place that can manage the service agreement and make any necessary adjustments in conjunction with the service company. Finally, I would recommend that you get support for the decision and outsourcing process from the employees involved and their trade unions.”
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Services included
- Workplace service, the main services included are reception, meetings and conference service, office equipment, office cleaning, office materials, drinks machines, mail and goods and order service.
