Value Adding Management

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In recent years it has become more and more evident that FM needs to deliver added value to the core business and that it is no longer sufficient only to steer on cost reductions. Many FM organi-sations have realized that and work on developing new competences and management tools to achieve it.
The purpose of this chapter is to investigate and develop a new management concept for “Value Adding Management” (VAM), which can support FM organisations in their attempts to deliver added value in a systematic way. The concept will focus on the effectiveness of FM and is seen as supplementary to internal process management focusing on efficiency of FM. It will address the relationships between a FM organisation and the core business it supports on a strategic, tactical and operational level.
An illustration of how VAM is distinguished in comparison to other forms of management in re-lation to effectiveness and efficiency is shown in Figure 28.1. If there is a lack of management focus, it is likely that both efficiency and effectiveness is low, which is the situation shown in the bottom left corner called Laissez Faire Management. The situation where the management focus is on optimizing efficiency is shown in the bottom right corner and called Industrial Management. This is equivalent to traditional management methods in manufacturing based on Frederick Tay-lor’s so-called scientific management tools like motion and time methods (MTM), and modern concepts like lean or agile management are typical examples on management with a dominating focus on efficiency.
Original languageEnglish
Title of host publicationFacilities Management Models, Methods and Tools
Publication date2019
Publication statusPublished - 2019


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