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ESTATE MANAGEMENT

PROBLEMS OF FACILITIES MANAGEMENT IN CORPORATE ORGANIZATIONS

PROBLEMS OF FACILITIES MANAGEMENT IN CORPORATE ORGANIZATIONS

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PROBLEMS OF FACILITIES MANAGEMENT IN CORPORATE ORGANIZATIONS

ABSTRACT

When compared to Europe, the United States, and other countries where facilities management has been practised since the 1980s, Nigeria is still in the early stages of learning. Some corporate organisations are increasingly recognising the importance of effective facility management. Facilities management practise in Nigeria,

like any new endeavour, is expected to face difficulties in its early stages. This paper investigates the job of the facilities manager and underlines the issues that impede good facility management.

The survey and case study approaches were used in the study. The survey was utilised to collect data, while the case study was based on an in-depth examination of six different drug, beverage, and textile manufacturing companies in Lagos. Simple random sampling was utilised as the sample technique.

The Taro Yamani model was used to choose a sample of 240 respondents from the population parameters. A total of 200 completed questionnaires were retrieved and used for statistical analysis, accounting for 83.3% of the total distribution. This study’s hypothesis holds that facility management issues have no substantial impact on an organization’s efficient productivity.

The acquired data were subjected to an inferential statistical test using the chi-square method. The principal issues cited are inadequate funding and upkeep, bureaucracy, and a lack of skilled/qualified workers. The statistical analysis yielded the following results: X2cal = 157.08 and X2tab = 7.82.

Based on the decision criteria to reject the null hypothesis if the calculated value is greater than the table value, this suggests that the null hypothesis should be rejected in favour of the alternative hypothesis. This study shows that facility management issues have a substantial impact on an organization’s efficient output.

Benchmarking, safety and security requirements, good communication, continual training programmes, proper budgetary provisions, and the application of value engineering are all advocated.

CHAPITRE ONE

1.1 INTRODUCTION/STUDY BACKGROUND

Many erroneous connotations have been assigned to facilities.

management. These misconceptions have emerged as a result of the dictionary definitions with which people have associated the word facility. Even specialists in the real estate, construction, and other industries are likely to believe that facilities refer to the special infrastructure such as water, electricity, roads,

and telecommunications equipment that are necessary for the use and pleasure of a property. According to Odiete (1998), the first group of persons who came into touch with what is now known as facilities and their management had a limited perspective of the discipline as referring primarily to space management as opposed to the other components.

Few people consider facilities management to be the management of machines and equipment that offer specialised services to buildings, such as power generators, lifts and lifts, water reservoirs, water treatment plants,

air conditioning systems and so on. All of this is valid to the extent that it is only a part of the larger facilities management process. Facilities management encompasses the complete structure of the building,

including its fabrics, components, services, space dimension, storey height, and unique attachments from the basement to the pinnacle of the superstructure. (Nutt, 1999)

Recent advancements and study into the discipline, notably since the late 1980s, have revealed a broader and more inclusive reach. The International Association of Facilities Management, the global umbrella organisation for all facility managers, defines facilities management as involving

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the activities of designing, building, maintaining, and managing the physical environment in relation to and the work process (Brian and Adrian 2000).In practise, facilities management can encompass a wide range of services such as real estate management,

financial management, change management, human resource management, health and safety management, and contract management, in addition to building maintenance, domestic services (such as cleaning and security), and utility supply.

It has also been understood to comprise the coordination, control, and administration of the support services required to keep a firm running and fulfil its corporate goals. These broader perspectives are vital today since corporate operations have become more articulated, sophisticated, complex, and ever-changing (Hans 1996).

Facilities management can thus be defined as creating an environment conducive to carrying out the primary operations of the organisation, taking an integrated view of the services infrastructure,

and using this to deliver customer satisfaction and value for money through support for and enhancement of the core business. This concept can be expanded to characterise facilities management as something that will:

(a) Sweat the assets, that is, make them extremely cost effective.

(b) Improve the organization’s culture and image

(c) Provide efficient and responsive services

(d) Allow for future changes in the utilisation of space.

(e) Give the organization’s core business a competitive advantage.

Furthermore, facilities management has expanded outside the

framework of office management but has found use in

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numerous industrial and non-commercial areas while maintaining its original relevance in the commercial sector that operates from the office (Gilleard Yiqun, 1999).

The fundamental idea of facilities management is to be familiar with the policies, practises, and processes that are governed by an organization’s mission and available resources (Sanni, 1998). Organisations may be unaware of how much value for money may be enhanced in facilities management.

This implies that it is the decision making that leads to the outcome that has to be scrutinised. There are common approaches to facilities management, independent of building size or location, albeit these may not always result in common solutions to problems.

Estate-related and facilities services are outsourced (contracted out) in certain circumstances and kept in others for good reasons in each case. Many organisations also function in what can be termed as a mixed economy, in which some services are outsourced in some extent but others are retained in-house.

In light of the foregoing, the purpose of this research is to critically investigate and propose answers to the difficulties of facilities management practise in corporate organisations (manufacturing companies) in Lagos state.

1.2 STATEMENT OF THE PROBLEM

When compared to Europe, the United States, and other countries where facilities management has been practised since the 1980s, Nigeria is still in the early stages of learning. Some corporations are increasingly anticipating the need for effective facility management. Facilities, like any new venture,

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Management practise in Nigeria is likewise predicted to face start-up issues. This study attempts to investigate these facility management issues.

1.3PURPOSE AND OBJECTIVES

The purpose of this study is to investigate the role of the

facilities manager and to highlight the issues that impede successful facility management, as well as to provide solutions to the identified issues.

The following are the research’s objectives:

1. To provide a thorough understanding of the field of facilities management, including its functions, breadth, and relevance.

2. To define the professional contributions of the facilities management team and its position in corporate organisations.

3. To identify the issues that impede efficient and effective facility management in business organisations.

1.4 SCOPE OF THE STUDY

Because facilities management is a large area, this research was conducted.

was limited to facilities management as it relates to business organisations in Lagos state, sampling a small number of manufacturing companies while proposing remedies to some of the observed challenges.

1.5 RESEARCH METHODOLOGY

The following methods were used to collect research data:

PRIMARY DATA: Information and statistical background were gathered by interviews, questionnaires, and field observations.

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observations. Observations. Management executives and facility managers from chosen corporate organisations (manufacturing companies) in Lagos state were interviewed.

SECONDARY INFORMATION: This was collected by a thorough assessment of seminar papers, textbooks, internet materials, periodicals, magazines, and new works on the subject.

1.6HYPOTHESES STATEMENT

1. H0: Facilities management issues do not have a significant impact.

The impact on an organization’s efficient productivity.

H1: Facilities management issues have a substantial impact on an organization’s efficient productivity.

2. H0: Facilities management resources have not been allocated.

adequate.

H1: Facilities management resources are sufficient.

1.7 SIGNIFICANCE OF THE STUDY

This research will aid in the formulation of the philosophy underlying the

The concept of facilities management as a new discipline of study and area of specialisation. The research will uncover previously unknown issues in this burgeoning field,

as well as those that are anticipated to emerge in the near future. It will help prepare future or potential facility managers’ thoughts for the issues that are inherent in the field.

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1.8 RESEARCH QUESTIONS

1. What is the efficiency with which facilities are managed?

2. To what extent do the amenities supplement their primary function?

3. To what extent is management functional in terms of finance, current automation, and so on?

4. To what extent are the resources set aside for facility management adequate?

5. To what extent are the requirements of facility users met?

6. What are the most common issues that facility managers face, and how may they be resolved?

1.9 A SHORT HISTORY OF THE STUDY AREA

Lagos Metropolitan Area is approximately 1,086 square kilometres in size. It encompasses Ikeja, the state’s capital. It serves as the nation’s business and industrial hub. It is flanked on the south by the Atlantic Ocean, on the east by a portion of the Lagos Lagoon, and on the north-west by the Lagos-Ogun state line.

Metropolitan Lagos has grown tremendously in the previous fifty (50) years, putting considerable strain on the suburbs and outskirts of metropolitan districts. The population increased from 126,168 in 1931 to around 3.8 million in 1978

and 6.5 million in 1991 (National Population Commission, 1991). It is currently believed to be around 15 million. As the population grows, more strain is placed on infrastructure and amenities that are disproportionate to the number of people who use them.

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Lagos is the most populous metropolis in Nigeria, Africa’s largest country. The metropolitan region, which is estimated to be 300 square kilometres in size, is made up of islands interspersed with streams and lagoons. By 2005, Lagos is expected to be one of the world’s five largest cities.

The swamp forest is the primary vegetation of the state, consisting of fresh water and mangrove swamp forests, both of which are influenced by the state’s twofold rainfall pattern, which makes the environment a wet land region. The state has two distinct climatic seasons: dry (November-March) and wet (April-October).

The state’s drainage system is distinguished by an abundance of lagoons and waterways, which account for approximately 22% of the state’s total landmass of 787 square kilometres (75,755 hectares).

The primary bodies of water include the Lagos and Lekki lagoons, as well as the Yewa and Ogun Rivers. Ologe lagoon, Kuuramo waters, Badagry, and Omu are among the others.

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