In this Corporate Real Estate Journal article, Ingrid Fenn, Co-founder of SIREAS, teams up with Kate Vitasek, faculty member for Graduate and Executive Education at the University of Tennessee’s Haslam College of Business Administration.
In 2003 the University of Tennessee began a research project tasked to answer a simple question: ‘Is there a better way to outsource?’
Researchers studied some of the world’s most successful outsourcing relationships, including Procter & Gamble, Microsoft and McDonald’s. Researchers immediately saw trends in these successful relationships where organisations were shifting away from transaction-based agreements to collaborative outcome-based outsourcing relationships that the researchers described as a ‘vested’ mind-set.
Researchers codified their learning into a methodology they coined ‘Vested Outsourcing®’, or Vested for short. Today, Vested is referred to as a mind-set, methodology and business model that enables highly collaborative relationships in which buying organisations and their service providers are committed equally to each other’s success. Organisations that have applied the concept often refer to it as a movement because of its power to transform the way organisations outsource.
This article addresses the fundamentals of Vested Outsourcing as well as its applicability to corporate real estate and facilities management, including under what circumstances it can be most beneficial.
Case studies from within Corporate Real Estate and Facilities Management (CREFM) are shared, including TD Bank, Vancouver Coastal Health and Novartis.
In this Workplace Unplugged interview, Ingrid Fenn, Co-founder of SIREAS, shares her experience helping clients develop strategies to manage their real estate and facilities organizations most effectively.
Ingrid has more than a decade of multinational corporate real estate and facilities management expertise. From serving as Global Head of Real Estate for health products leader Covidien to integrating an international real estate strategy with business unit planning for Fortune 100 multinational United Technologies Corporation – Ingrid has a depth of expertise in strategic CRE and FM. We asked Ingrid to share her background and share her story of what led her to co-found SIREAS. Read the Full Article Here
SIREAS President Ingrid Fenn was recently featured on the FacilitiesNet blog. Her two-part article narrows in on how to move to strategic outsourcing relationships.
Over the past 25 years, outsourcing has become a widely used strategy in corporate real estate and facilities management. But there is often a sense among both service providers and facility management organizations that these outsourcing arrangements aren’t working as well as they might. Frequently, there is a misalignment of expectations in transaction-based outsourcing.Read the Full Article Here
I have had many conversations with our clients and industry peers this past year about the state of the relationship between service providers and clients in Corporate Real Estate and Facilities Management (CREFM). Both clients and providers describe a level of pain. Many Fortune 100 companies who have outsourced their CRE or FM functions are in the second (51%) or third generation (39%) of outsourcing and the current model and contract structure is no longer working for either party.
How did we get here? And where are we going? An examination of the historical progression of outsourcing in general, and CREFM outsourcing specifically, provides some insight and guidance in determining a future strategy.
Corporate real estate and facilities management (RE&FM) organizations commonly employ a balance of insourcing and strategic outsourcing solutions, as they weigh the need to minimize costs while avoiding any negative impact on the employee experience or the quality of services provided. There is no “one size fits all” solution. With the broader business strategy driving the outsourcing decision, the RE&FM organization can become a major contributor to the corporation’s success.
The business was started to fill an unmet need in the marketplace. There are very few consulting firms that can deliver, as SIREAS can, on the full suite of big-picture strategic, organizational and functional services that are of critical importance to mid-market and Fortune 1000 corporate real estate organizations in both the United States and worldwide.
In our last communication we discussed how it is critical that corporate real estate (CRE) leadership take a greater role in development of the company’s strategic plans. That “seat at the table” will be meaningful, only if the strategies CRE leaders propose align with the organization’s goals for the future. Effective use of data is the key to delivering value as part of the company’s long-term decision making. Data serves as the building blocks for the intelligence needed to drive the strategic plan.
In our last communication we discussed how winning a “seat at the table” is a critical factor in positioning corporate real estate (CRE) organizations to deliver shareholder value for their companies. But what, exactly, does a seat at the table mean, and how do you get one; or amplify your voice if you are already there?