Published by the Bestcare Facility Management Knowledge Desk
At a Glance:
- Vendor management in FM involves selecting, onboarding, monitoring, and reviewing contractors and suppliers.
- Effective vendor management reduces risk, controls costs, and ensures consistent service quality.
- A structured vendor register, clear contractual terms, and regular performance reviews are foundational.
The Importance of Vendor Management in FM
Vendor relationships are at the heart of most FM operations. Poor vendor management leads to inconsistent service quality, cost overruns, compliance gaps, and operational disruptions.
Building a Vendor Register
Every FM team should maintain a comprehensive vendor register with service scope, contract expiry dates, insurance certificates, compliance documentation, and performance history.
Setting Performance Expectations
Every vendor relationship should be governed by a contract defining scope, SLAs, KPIs, reporting obligations, and consequences for underperformance.
This article was produced by the Bestcare Facility Management Knowledge Desk as part of our series on best practices in property and facilities management.