The terms ‘facility management’ and ‘property management’ are interchangeably used frequently and this can lead to misunderstandings or misinterpretations. Although the terms can be said to be synonymous there exist quite a few differences.
That is why it is important to know the distinction between the two and know what sets them apart. This can come in handy when managing properties yourself and issues that need to be addressed. Here in this article, we’ll discuss the same.
We’ll look at how facility management services work and how commercial building management services keep up real estate – namely facilities and properties.
What Is Facility Management?
In facility management, everyday activities and operations are handled that includes energy management, physical security, repairs, utilities, cleaning, fire prevention, grounds keeping, gardening, landscaping, and complete maintenance. Thus, facilities management brings together the people, the place and the operations to enhance the overall productivity and the quality of living.
What Is Property Management?
Meanwhile, property management means managing the premises that are owned by another person. Property managers work as representatives of the owners to facilitate the running of this property and handle its day to day operations and also generate income. It also handles operations related to energy management, physical security, repairs, utilities, cleaning, fire prevention, grounds keeping, gardening, landscaping, and complete maintenance.
Differences
● Ownership
Facility building management oversees the spaces that are occupied and leased by the owner. There might be multiple facilities in the same space but occupied by different owners. In such a case there can be multiple facility managers.
Property management oversees the tasks of the complete property and building on behalf of the owner. Premises are looked after, tenants are kept in contact, rents are taken care of, and issues are tackled by the property manager.
● Maintenance
Facility management maintains the overall business systems and makes sure everything runs smoothly without any hindrances to the day to day activities. Each and every operation related to the facility premises are taken care of by the facility manager.
Property management manages the leases of all the tenants and fulfills the responsibilities of the building owner as required by either the owner or the tenants themselves. Building managers are the tenants’ go-to people.
● Staff
Facility building management manages the staff of the facility and delegates work that needs to be done. They handle numerous workers in different sections of the facility and oversee their work.
Property management acts as the main bridge between the owner and tenants. They are the ones that tenants go to talk to on behalf of the owner. Likewise, the owner talks to the building manager on behalf of the tenants when needed.
● Facilitation
Facility management keeps the premises safe and secure, looks after its operations, and ensures it runs effortlessly without hindrances.
Property building management handles rent payments from the tenants and makes sure the payments are done on time to the owner.
● Infrastructure
Facility management makes sure the equipment of the building is functioning smoothly and the infrastructure is well looked after.
Property building management ensures the owner of the property moves toward their goals of effortless property management. They also ensure the owner moves towards their financial goals.
● Troubleshooting
Facility management conducts troubleshooting if there are problems on-site to check if they can be solved on location or needs a specialist to be called in.
Property management interacts with the facility management if any issues arise in the building facilities. The tenants can report their grievances and have them addressed by the property manager.
Now that you know the distinction between the two are you ready to look through some real estate managers? Here’s a popular suggestion for facility management services and commercial building management services. Let us move ahead and look at the roles the facility managers and the property managers themselves play.
Facility Manager
The main motive of the facility manager is to implement cost-effectiveness and continuous supply of facilities to the premises in order to create a healthy work environment. This, in turn, will improve the overall effectiveness and productivity of the facility. A facility manager aligns strategies related to real estate management to ensure optimised productivity.
This ensures that the overall facilities in the premises are working smoothly. Real estate management is a huge sector and one that needs utmost facilitation and the property manager focuses on this responsibility to take care of the needs and demands of the facility. They take care of the requirements of the owners and the occupants on the premises.
The mark of a good facility manager can be derived from the satisfaction of the occupants, the overall cost-effectiveness of owning the premises, and the quality of facilitation.
Property Manager
The main objective of the property manager is to implement fool-proof strategies to the property to handle it like real estate. Real estate management is a huge source of profit generation and needs a complete focus on the handling of the tenants and the owner themselves.
A good property manager ensures a smooth relationship between the owner and the tenants. In turn, this maximises the scope of profit generation.
The property manager works as a representative of the owner and is the one responsible for smooth cash flow. This leads to an increase in profit generation and increases for the stakeholders the value of the property. The mark of a good property manager can be derived from the overall generated income, overall yield, and cost-effectiveness.
Conclusion
Understanding the distinction between property management and facility management can help you manage your properties and facilities in an organised and effortless manner. Effective real estate management increases the value of the premises for the stakeholders.
Responsibilities are placed on those who manage the premises and accountability is placed on the roles that they performed. Decision-makers can make accurate decisions based on the performance indicators of the real estate being managed. Assets and liabilities, operations and facilities, owners and occupants, are all the responsibility of the real estate manager.
