CRE/FM Outsourcing Advisory

Verum oversees the entire real estate outsourcing process end-to-end. We perform a needs analysis, develop the Scope of Work (SOW), then reverse-engineer the Request For Proposal (RFP). We then guide clients through service provider selection, contract negotiations, and account transition. Our specific focus on the transition ensures the service provider relationship has staying power and is supported by performance management and governance plans that are fair and reasonable. This is our full-service advisory offering. 

But, perhaps a full rebid of your outsourcing arrangement isn’t the right approach. Maybe you simply need a tune-up or a reset. That’s why the first thing we always ask our clients is: “What is your Outsourcing Situation?”

We usually get one of three responses and adjust our role accordingly.

In this scenario, we create a better relationship with your existing provider by equipping both sides with the right tools for success, overcoming communication and reporting barriers, and giving the relationship a tune up.

The second situation arises when there are serious challenges that often get into the contractual nature of the relationship. There may be disagreements, often tense and frustrating, yet both sides know there’s a solution – they just struggle to find it. The result is legalistic over-reliance on the contract versus seeking a humanistic solution.

This scenario is likely to appear because most Corporate Real Estate and Facilities Management (CRE/FM) outsourcing arrangements are structured to punish missteps rather than reward performance. This keeps real estate service providers in constant “self-preservation” mode – worried more about survival than their client’s success. Here, we work to re-establish the relationship from the ground up. We may issue a formal RFP exclusively to the existing service provider with a refreshed scope of work and service agreement in order to preempt a rebid.

In the third scenario, either the situation is so dire, a rebid is not only necessary but the only practical and pragmatic solution. Or, simply by terms of the contract, it is time to competitively bid the business. 

Here’s our approach in a full rebid: First, we lead your CRE/FM team through our V.E.R.U.M. process. This ensures your outsourcing goals are clear, achievable, and realistic.

Then, we engage qualified real estate service providers in pre-RFP working sessions. We have one-on-one direct discussions about existing CRE/FM challenges and desired outcomes. We invite your legal and procurement teams to participate in these meetings for transparency and this sets the foundation for a successful long-term partnership.

After these working sessions, we solicit written feedback from the service providers. We use this feedback to “reverse engineer” the RFP questions so they are clearly and directly applicable to your existing situation and your desired Scope of Work (SOW). This eliminates working through proposal responses that contain boilerplate language and marketing spin. It also results in proposals that are easier to evaluate side-by-side. 

During the process, we coach your team to consider characteristics such as team chemistry, collaboration, commitment, engagement, and responsiveness. We determine what percentage of your selection criteria should be behaviorally-based, and tied to these characteristics.

We believe in the V.E.R.U.M. process, and we believe our commitment to stay engaged through the transition to your new service provider is THE key to success. While other consultants typically exit the engagement once the service provider selection is made, we will never compromise on our end-to-end approach.

“In selecting a consultant for my corporate real estate partnering initiative, I was looking for someone flexible, energetic, with great industry knowledge, and personally empathetic to my need to disrupt the RFP process. If you’ve struggled with your service provider relationships, I highly recommend you give Vik a call. The Verum approach involved coaching, training, and guiding my internal real estate team as well as the service provider teams, from needs analysis all the way through account transition (an add-on service from others but maybe the most crucial part of the consultant’s job, and thus a commitment from Vik). He’s a great team player, respectful to all involved, thoughtful in his counsel, and fun to work with. Thanks for everything Vik!”

 –Philip Grossberg, Former VP Global Real Estate and Facilities – Avnet

“Vik understands the critical need for a unified corporate facilities strategy that brings the facilities management, real estate management, and all property asset acquisition, management & maintenance functions into a synergistic relationship. He fosters these relationships between client and outsourced resources with a view to a cohesive team focused on the client’s needs and strategic plan.”

 – Larry McLaughlin – McLaughlin & Associates, Inc.