Biscuits & Gravy, Inc.
Founded 1976, Fraser Limited is a DBA of Biscuits & Gravy, Inc., A California Corporation
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Our Recommendations
 
Specific Questions

•     INDUSTRY TRENDS
–   Strong bias toward outsourcing
–   Both stand alone property and system-wide
–   Support Services not core business
–   Reengineering service resource distribution
•     REASONABLE COST/SAVINGS ESTIMATES
–   Plant Operations
–   Security
–   Telecommunications
–   Food Service
–   Janitorial
–   Grounds
Essential Elements
•     LOGICAL SERVICE GROUPS
–   Engineering
–   Housekeeping
–   Operations
•     GEOGRAPHIC LIMITATIONS
–   Metro Area With Large Vendor Base for Competitive Selection
–   Sufficient Client Base for Vendor to Thrive
–    Service Locations Proximate to Vendor Dispatch/Warehouse
•      VENDOR POOL
–   Same Industry Qualified
–   National Buying Power
–   Established Stable Employees
–  Union/Non-Union As Appropriate)
•      MOTIVATION FOR CHANGE
–   Cost Reduction
–   Re-Utilize Freed Building Space
–   Reduce Employee Count
–   Improve/Expand Services
–   Reduce Liability/Exposure
–   Existing Contracts Terminating
–   Time Constraints/Deadlines
–  System Standardization
•     Cost Considerations
–   SAVINGS BREAK POINT TO JUSTIFY CHANGE, OR
–   PREMIUM ACCEPTABLE TO ACCOMPLISH NON-COST GOALS
–   FACILITY RENOVATION COSTS
–   ADMINISTRATIVE STAFF LEFT UNDERUTILIZED
 Conversion Issues
•     STRANDED ASSETS
–  Facilities, Fixtures,Equipment and Supplies
–  Displaced Employees
–  Build-in Use Via Contract
•     MANAGEMENT SKILLS
–  Shift From Labor/Staff Focus to Contract Administration
–  New Evaluation/Performance Guidelines Required
–  New Communications Processes Between Vendor/Users
•     OPERATIONS& PROCEDURE
–   De-Bug Before Implementation
–   Cost Allocation Guidelines
–   User Frustration With Change
•      DISRUPTION RISKS
–   Define and Understand Risks
–   Lose Direct Control
–   Labor & Materials Disruption
–  Establish Disruption Levels
•      SERVICE DEFINITION
–   Define Exact Services Required
–   Define Service Levels Required
–   Many Existing Services Lost
–   Requires User Group Input
Our Recommendations
•      Understand Motivation and Goals
•      Understand Consequences to Service, Staff and Administrators
•      Identify Outside Assistance Required to Implement Process
•      Analyze True Cost and Projected Savings (if any)
•      Proceed as Outlined Earlier, IF Above Meet Needs


 
















Outsource Vs. In-House

Table of Contents

Specific Questions

What are industry trends in outsourcing services?

What are reasonable estimates of savings from outsourcing?

What is the process to move forward?

Essential Elements

Grouping of logical service groups

Considerations of geographic limitations

Vendor pool

Motivation for change

Cost considerations

Conversion Issues

Stranded assets

Management skills

Operations and procedures

Disruption risks

Service definitions

Specific Questions

INDUSTRY TRENDS

Strong bias toward outsourcing

Both stand alone property and system-wide

Support Services not core business

Reengineering service resource distribution

REASONABLE COST/SAVINGS ESTIMATES

Plant Operations

Security

Telecommunications

Food Service

Janitorial

Grounds

Essential Elements

LOGICAL SERVICE GROUPS

Engineering

Housekeeping

Operations

GEOGRAPHIC LIMITATIONS

Metro Area With Large Vendor Base for Competitive Selection

Sufficient Client Base for Vendor to Thrive

Service Locations Proximate to Vendor Dispatch/Warehouse

Essential Elements (continued)

VENDOR POOL

Same Industry Qualified

National Buying Power

Established Stable Employees

Union/Non-Union As Appropriate

Essential Elements (continued)

MOTIVATION FOR CHANGE

Cost Reduction

Re-Utilize Freed Building Space

Reduce Employee Count

Improve/Expand Services

Reduce Liability/Exposure

Existing Contracts Terminating

Time Constraints/Deadlines

System Standardization

Essential Elements (continued)

Cost Considerations

SAVINGS BREAKPOINT TO JUSTIFY CHANGE, OR

PREMIUM ACCEPTABLE TO ACCOMPLISH NON-COST GOALS

FACILITY RENOVATION COSTS

ADMINISTRATIVE STAFF LEFT UNDERUTILIZED

Conversion Issues

STRANDED ASSETS

Facilities, Fixtures, Equipment and Supplies

Displaced Employees

Build-in Use Via Contract

MANAGEMENT SKILLS

Shift From Labor/Staff Focus to Contract Administration

New Evaluation/Performance Guidelines Required

New Communications Processes Between Vendor/Users

Conversion Issues (continued)

OPERATIONS AND PROCEDURES

De-Bug Before Implementation

Cost Allocation Guidelines

User Frustration With Change

DISRUPTION RISKS

Define and Understand Risks

Lose Direct Control

Labor & Materials Disruption

Establish Disruption Levels

Conversion Issues (continued)

SERVICE DEFINITIONS

Define Exact Services Required

Define Service Levels Required

Many Existing Services Lost

Requires User Group Input

Our Recommendations

Understand Motivation and Goals

Understand Consequences to Service, Staff and Administrators

Identify Outside Assistance Required to Implement Process

Analyze True Cost and Projected Savings (if any)

Proceed as Outlined Earlier, IF Above Meet Needs