Outsourcing Maintenance Services? How To Find Reliable Partners (2024)

Our 2021 Maintenance trends study shows that 90% of facilities are choosing to outsource parts of their industrial and building maintenance tasks.

Even though most businesses aspire to keep asset maintenance in-house, many lack the necessary skills and resources to do it all on their own. They need a reliable partner that offers affordable maintenance services.

Before we discuss how to find one, let’s give proper context to the outsourcing process.[limblecta formid=23]

Why outsource maintenance services in the first place?

Let’s not beat around the bush. There are many good reasons why businesses outsource maintenance services:

  • Focusing on their core business. Even though they have a significant physical asset portfolio, maintenance is not one of their core business areas.
  • Efficiency and cost-saving. To benefit from the specialist knowledge and equipment of outsourced partners without having to make additional capital investments, with the ultimate goal being a reduction in maintenance costs.
  • Staffing flexibility. Finding capable maintenance staff is a perennial challenge. Outsourcing enables companies to bring in additional labor when required and release them when the job is completed.
  • Business continuity & better risk management. Mitigate the risks of interrupted services due to internal issues.
  • Developing their internal staff. By working alongside outsourced specialists, a company’s staff can learn, develop, and upgrade their own maintenance-related knowledge.

This is reflected in our aforementioned maintenance report:

Outsourcing Maintenance Services? How To Find Reliable Partners (1)

The differences you can see are due to our survey involving different participants from the industrial space.

An industrial facility and a commercial/residential property will have different maintenance requirements. The main differentiator is the type of assets they use, which will determine the type of maintenance issues they face. All in all, it’s not a world of difference, but enough to warrant separate overviews.

What kind of building maintenance services can you expect to outsource?

Property management for buildings that are being used for commercial or residential purposes, the owner and maintenance team is primarily concerned with the safety and comfort of residents, visitors, and all building users.

To that end, some commonly outsourced building maintenance tasks are:

  • general cleaning/janitorial services
  • physical access control
  • swimming pool maintenance
  • water treatment and supply services
  • refuse disposal
  • IT equipment maintenance services
  • grounds maintenance (mainly landscaping and lawn maintenance, parking lots etc.)
  • HVAC maintenance, energy efficiency
  • the maintenance of specialized building systems (e.g. elevator maintenance)
  • renovations and restorations

Schools, churches, hospitals, zoos, town halls, and basically all commercial property that features office space are all types of facilities that need a proactive building maintenance plan, complimented by regular maintenance.

What kind of industrial maintenance services can you expect to outsource?

Efficiency, optimal productivity, downtime reduction, and cost savings are prime objectives for businesses in today’s competitive industrial landscape.

Maintenance managers in construction, manufacturing, aviation, and other asset-heavy industries will usually seek out additional support in the following areas:

  • implementation of advanced maintenance technologies and techniques (they might hire consultants for implementing prescriptive, prescriptive, predictive or preventive maintenance, running RCM, RCA, FMEA, etc.)
  • specialist cleaning services (e.g. oil and hazardous chemicals cleanup and disposal)
  • water treatment and supply services
  • maintenance and repair services for specialized equipment (because you often need specialized tools, software, and knowledge for troubleshooting and repairs)
  • fleet management
  • industrial automation (e.g. repair and maintenance of programmable logic controllers, industrial control systems, and robotic systems)
  • renovations and restorations

Recommended reading to learn more: A Simple Guide To Industrial Maintenance and 12 Ways To Improve Plant Maintenance.

5 tips for finding reliable maintenance vendors

When looking for a maintenance contractor, don’t make hasty decisions based on the prices they advertise. Instead, pay more attention to what you can learn about them based on the feedback from their existing or previous clientele.

If you have business partners that have had any maintenance-related dealings in the past, consider asking them for recommendations as well.

Here are some additional tips to get you going in the right direction.

1) Look for an established market reputation

The first point of evaluation can be reading what customers say about a potential service provider on their social media pages, and reading reviews on independent websites like the Better Business Bureau and Trustpilot.

via GIPHY

After considering the reputation of the firm, you can shortlist them for further discussions and assessment.

2) Know where to search

Looking at the commonly outsourced maintenance services we listed earlier, you’ll notice that many of these services are highly specialized and niche-specific. Generic online searches may not get you the desired results, or they may take longer to pinpoint an exact match for the kind of service provider you want. To help quicken your search, try the following.

For a start, location-based searches on online platforms like Merchant Circle, Thomasnet, and Yelp, can help to significantly narrow down your noble quest.

Another tip is to check out advertisers and vendors on popular building or industrial maintenance trade magazines and blogs like:

…. to mention a few.

As usual, remember to do your homework on the candidates before doing business with any company.

3) Check for flexibility and agile processes

Seek out companies that can adapt to your unique needs and are skilled at leveraging relevant modern technology to get work done.

The idea is to choose a partner that is confident about delivering exactly what you need – be that predictive maintenance or one-off service requests – in the required timeframe.

You will want to check things like what kind of software they use (if any) and their relevant expertise. Ask them for evidence of past projects that were similar to yours (through videos, pictures, and physical or virtual site visits if possible, etc.)

Be mindful of how well they communicate with you and how quickly they respond to your phone and email inquiries; is there a hotline or any other support services for emergencies? Slow communication and poor response rates can become a major hurdle.

If they can’t answer a simple question in a timely manner, what will be their response time for emergency maintenance requests?

4) Assess their technical skills

No matter their references and record, potential maintenance service providers should be able to demonstrate their understanding and abilities for any peculiarities of your project with regards to scope, quality of services on offer, and how they expect to handle potential challenges.

via GIPHY

Ideally, your maintenance outsourcing partner should be accredited in areas related to quality control and project management.

To help protect the staff working on your projects, you might also want to check if your outsourced partner’s equipment and tools are up to date and functioning well enough for the required tasks. To do that, you can make arrangements to check for the following:

  • cracked, split, broken, or loose tool handles
  • missing machine guards and shields
  • torn, worn, and outdated PPE
  • mushroom heads on chisels, impact drills, etc.
  • ladders with broken, missing, or loose rungs
  • digital multimeter readings on their electrical equipment e.g. drilling machines.

Be wary of working with any service provider that has too many issues with their equipment. If they are willing to compromise on safety, what will stop them from cutting corners when performing general maintenance work?

If you are outsourcing for a technical role, it’s a good idea to speak directly with the technical lead assigned to your project and understand how they intend to handle your tasks. A practical way to see if they measure up is to ask them for a quick mock-up or to provide a basic outline of their work plan.

5) Gauge their financial stability

The goal is to find a long-term partner. A company that is financially stable is simply a better prospect and a safer bet. Of course, this is not as relevant for handymen or small local contractors as for big maintenance service companies that will handle most of the work at your facility. Strike a balance between this and competitive pricing.

There are many metrics for evaluating financial health. You can check their financial statements, especially their balance sheet. This will give you an overview of their assets and liabilities. In addition, checking their business credit score can help identify any previous liens, court rulings, bankruptcies, and how financially risky the vendor’s business is.

Manage selected vendors with Limble CMMS

By now, you may have decided that maintenance outsourcing is the next logical step for your business. If so, you’ll need a sustainable, all-in-one maintenance management solution like Limble CMMS to manage your selected vendors and seamlessly include them into your internal workflows.

Let’s see what Limble CMMS vendor management features can do for you in that regard:

  • Track contract information, schedules, invoices, and work history for multiple vendors simultaneously.
  • Associate vendors with the assets they maintain or spare parts they supply.
  • Maintain a real-time record of each vendor’s data such as parts used, invoices, and so on.
  • Gain insight into your total expenditure for each vendor.
  • Access and maintain an all-time history of all work orders that the vendor has completed for your company.
  • Communicate effortlessly with each vendor via automated email notifications, detailed instructions, and comments.
  • Collaborate seamlessly and streamline workflow by sharing work orders directly with your maintenance service providers. If needed, assign one of your team members to oversee and approve the vendor’s work.
  • On their part, vendors can update WOs with evidence of work done and attach their invoice on job completion.

Here is a short video that showcases how you can share maintenance tasks with anyone outside of your organization.


Finding reliable vendors is just the first step. You need to have an easy and efficient way to collaborate with them. Limble CMMS offers features that make this process a breeze.

If you are in the market for a CMMS, check our pricing page where you can also start a 30-day trial. For any questions, contact us via email or live chat.

Otherwise, good luck on your vendor hunting quest!

Outsourcing Maintenance Services? How To Find Reliable Partners (2024)

FAQs

Outsourcing Maintenance Services? How To Find Reliable Partners? ›

What is outsourced maintenance? To sum it up, it's the practice of using external, contracted personnel to fulfill some or all of a facility's industrial maintenance needs — both planned and unplanned.

How do I find an outsourcing partner? ›

How to find the right outsourcing partner
  1. Define a clear scope of work. ...
  2. Make expertise an important criterion in the hiring process. ...
  3. Consider market reputation. ...
  4. Communicate clearly about budget. ...
  5. Protect your data and intellectual property. ...
  6. Use Agile methodologies in your development process. ...
  7. Choose a flexible partner.
May 23, 2023

What is maintenance outsourcing? ›

What is outsourced maintenance? To sum it up, it's the practice of using external, contracted personnel to fulfill some or all of a facility's industrial maintenance needs — both planned and unplanned.

What is an outsourcing partner? ›

What is outsourcing, and who is an outsourcing partner? Outsourcing is a common business practice. The company hires a third-party provider (called outsourcing partner) to provide some services. Some of the prevalent outsourced tasks are IT services and technical support.

What do companies outsource the most? ›

Here are some of the top areas where you might consider it.
  • Accounting. Accounting is one of the most common areas where small businesses choose to outsource. ...
  • Marketing. ...
  • Sales. ...
  • IT Management. ...
  • Administrative Tasks. ...
  • Customer Service. ...
  • Manufacturing. ...
  • Shipping and Logistics.
Nov 19, 2019

How do you get leads for outsourcing? ›

When to outsource lead gen
  1. You need a dedicated, experienced team working on lead gen full-time.
  2. You should know which channels and specialisms to focus on.
  3. You should focus on inbound marketing methods to generate leads.
May 12, 2021

What are the three 3 most common outsourcing types practiced by companies? ›

A few of the main categories include: Professional outsourcing. IT outsourcing. Manufacturing outsourcing.

What are the disadvantages of outsourcing maintenance? ›

Main disadvantages of outsourcing are loss of managerial control over outsourced operations, threat to security and confidentiality, quality problems, hidden costs and reallocation of existing teams.

What are the benefits of outsourcing maintenance services? ›

Advantages of Outsourcing
  • Cost;
  • Technical Expertise (know-how);
  • Supplier Availability;
  • Facilities Availability;
  • Risks Mitigation;
  • Legislation Compliance.
Oct 14, 2020

What are the three 3 types of outsourcing contracts? ›

There are three main types of outsourcing contracts that you may want to consider: fixed price, target cost contract, and time and materials contract.

What are the four outsourcing relationship types? ›

Outsourcing relationship has four categories [38] . These categories are: Support, Reliance, Alignment and Reliance. ... ...

Is outsourcing a profitable business? ›

Outsourcing Can Increase Company Profits

Companies might outsource and/or offshore to a country that has lower labor costs. While some might see the local job loss as a negative effect of outsourcing, the increased profits that can result are hard for companies to resist.

What is the biggest problem with outsourcing? ›

Problem #1: Lack of Experience with Outsourcing. Problem #2: Lack of Expertise with The Outsourced Task. Problem #3: Poor Cost Estimate. Problem #4: Choosing the Right Vendor.

What are the hardest jobs to outsource? ›

10 jobs in highest risk of outsourcing
  1. Computer Programming and IT Jobs. ...
  2. Writers. ...
  3. Personal assistants. ...
  4. Phone support. ...
  5. Medical transcription. ...
  6. Drafters. ...
  7. Tax prepares. ...
  8. Research and development.
Nov 29, 2013

What is the largest outsourcing company in America? ›

Top US companies that outsource their operations
1. GoogleMultinational technology company
3. Unitedhealth GroupAmerican managed health care company
4. Wells FargoFinancial services firm
5. NikeFootwear manufacturing company
6. Hewlett-Packard (HP)Information technology corporation
5 more rows
Mar 31, 2023

Where can I find clients for outsourcing company? ›

  • #1: Find Opportunities That Make You Look Attractive.
  • #2: Join Meetup.com Groups.
  • #3: End of Fiscal Year Opportunities.
  • #4: Connect on Social Media Channels.
  • #5: Run a Contest.
  • #6: Search Outsourcing Sites.
  • #7: Job Boards. Now it's Your Turn!

How do you approach a company for outsourcing? ›

  1. 1) Show them you know their business. ...
  2. 2) Spell out how they are going to benefit from your services. ...
  3. 3) Give them samples. ...
  4. 4) Show them you're professional. ...
  5. 5) Reduce the risk factor. ...
  6. 6) Keep it short and sweet. ...
  7. 8) Meet Your Deadlines. ...
  8. Convince a Client to hire you on a Freelance Basis with these E-Mail Templates.
Aug 30, 2019

How much do companies pay for leads? ›

Our analysis of over 100 lead generation agencies shows that retainer-based pricing and cost per lead pricing are the two most popular models. The average cost per lead is $198, and the average cost per appointment ranges from $150 to $250. Retainers typically cost between $3,000 and $20,000 per month.

What are three ways outsourcing is bad? ›

Some of the ways outsourcing can negatively affect company culture include:
  • Upset employees as they may feel they are being replaced.
  • Confused employees who don't understand why you are outsourcing particular tasks.
  • Add challenges to the daily workflow of the company.
Apr 23, 2023

What are the risks associated with outsourcing? ›

More formally, risks associated with outsourcing typically fall into four general categories: loss of control, loss of innovation, loss of organizational trust, and higher-than-expected transaction costs.

What are 2 negatives of outsourcing? ›

Disadvantages of outsourcing
  • service delivery - which may fall behind time or below expectation.
  • confidentiality and security - which may be at risk.
  • lack of flexibility - contract could prove too rigid to accommodate change.
  • management difficulties - changes at the outsourcing company could lead to friction.

What is one of the pitfalls of outsourcing? ›

One of the biggest outsourcing pitfalls for businesses is miscalculating offshore expenses. This results in a bad cash flow, affecting the company's overall financial plan. As a business owner, you want your outsourcing venture to produce positive results, especially in revenue generation.

What is the most popular outsourcing? ›

Outsourcing functions are sometimes called business process outsourcing or contracting. The most frequently outsourced services are information technology services like programming and software development, customer service, industrial manufacturing services, and human resource functions.

Does Amazon outsource anything? ›

Why Is Amazon Outsourcing Its Inventory Management? Amazon's supply chain is dependant on the outsourcing of Amazon inventory management. The infrequently ordered products are not stored in regular Amazon warehouses. Over 50% of Amazon's sales are done by third-party sellers, who restock products when the stock is low.

What is the most common type of outsourcing? ›

One of the most common types of outsourcing is business process outsourcing (BPO). You can use BPO to handle your more mundane business activities, such as administration, correspondence, and scheduling. You can also receive customer service and lead generation through BPO.

What are the main advantages and disadvantages of outsourcing? ›

The Pros And Cons Of Outsourcing
  • Advantages Of Outsourcing. ...
  • You Don't Have To Hire More Employees. ...
  • Access To A Larger Talent Pool. ...
  • Lower Labor Cost. ...
  • Cons Of Outsourcing. ...
  • Lack Of Control. ...
  • Communication Issues. ...
  • Problems With Quality.
Jul 17, 2017

Is outsourcing customer service good? ›

Outsourcing is an excellent alternative if you don't have the budget, time, or staff to properly tackle customer service in-house. However, remember that your provider should help reduce the workload of your internal team, not replace it completely.

What is the difference between outsourcing and 3pl? ›

The terms “outsourced logistics” and “third-party logistics” are roughly interchangeable — they refer to the same thing. Outsourcing logistics is when a company uses an external provider (aka a third-party) to handle various supply chain functions.

What are the three most important factors for successful outsourcing? ›

Successful Outsourcing Depends on Critical Factors
  • Make sure that your goals for outsourcing are clear from the outset.
  • Look at outsourcing over the short-and long-term.
  • Consider who will control the outsourcing decision and why.
  • Consider how well your company's culture will support an outsourcing decision.

How long are outsourcing contracts? ›

The average outsourcing deal was 3.5 years long — a full 15 percent shorter than they were three years ago, with ISG noting that many deals of three years or less in the marketplace as well.

What are the keys to a successful outsourcing relationship? ›

11. Get the right toolset. To establish a successful IT outsourcing partnership, you need to have the right toolset to support communication and collaboration between your employees and the vendor. “Communication solutions must be found which are tailored to this special partnership.

What are the two big drivers of outsourcing? ›

The two big drivers of outsourcing are: that outsiders can often perform certain activities better or more cheaply, and outsourcing allows a firm to focus its entire energies on those activities that are at the center of its expertise (its core competencies).

What are the 4 factors to consider before outsourcing? ›

Aspects to consider include cost, quality, cultural fit, and legal considerations. By focusing on these key factors, companies can ensure that their outsourcing arrangements are successful and beneficial to all parties involved.

What are 5 benefits of outsourcing? ›

If you're like most executive leaders you're looking to improve performance (62% of respondents), reduce errors (53%), streamline existing processes (52%), gain access to new technology ideas and innovation (51%), and lower costs (44%).

What is the profit margin for outsourcing companies? ›

Gross Margins ranged from 25% to 43% Average Gross Margin was 30%

Why is outsourcing unethical? ›

Unethical outsourcing practices violate laws, regulations, and standards of ethical behavior. Hiring full-time workers without proper documentation. Failing to provide adequate health and safety measures. Not providing fair wages and benefits.

What important five issues will you consider before outsourcing? ›

Here are five factors to consider when making outsourcing decisions that will help you realize its compelling benefits.
  • 1 — Cost involved. ...
  • 2 — Level of expertise and reputation of provider. ...
  • 3 — Technology and resources. ...
  • 4 — Seamless communication. ...
  • 5 — Service-level agreement. ...
  • Conclusion.
Mar 19, 2023

What are 3 reasons for outsourcing? ›

Some of the most common motives, however, are the following ones:
  • Reduce and control costs of operation (this usually the main reason).
  • Improve the company's focus.
  • Liberate inner sources for new purposes.
  • Increase efficiency for some time-consuming functions that the company may lack resources for.
Feb 2, 2023

What jobs are least likely to be outsourced? ›

There are many jobs that, for obvious reasons, can't be outsourced. Police officers, firefighters, waiters and plumbers would be in this category. But there are white collar jobs that are very likely safe from offshore outsourcing.

Which industries are most likely to outsource? ›

Outsource Manufacturing is Most Common in These 3 Industries
  1. Hardware and Software. A look at the top five biggest outsourcers in the United States reveals that hardware and software companies routinely leverage outsourcing. ...
  2. Fashion. ...
  3. Pharmaceuticals.

What is the top 1 outsourcing country? ›

The best country for outsourcing IT and software jobs is Poland, and the best country for outsourcing manufacturing is China. The best country for outsourcing HR and compliance is the U.S. The top country for outsourcing customer support is Mexico, and the top country for outsourcing marketing tasks is the Philippines.

Where are most US jobs outsourced to? ›

The U.S. outsources to China more than any other country. In addition, China's outsourcing market grows by 30% every year. Behind China, The Philippines, Taiwan, Ukraine, and Vietnam are among the top 5 countries U.S. businesses outsource to.

How do I get outsourcing projects from USA? ›

5 proven steps to get projects outsourced from US and Europe
  1. Find a niche.
  2. Have an awesome customer support person / team.
  3. Ensure the key people in the company are on LinkedIn.
  4. Get customer references on your website / LinkedIn.
  5. Be professional and maintain deadlines.
Oct 20, 2016

How do I find outsourcing work? ›

The best online worker websites to outsource jobs
  1. Outsource Accelerator.
  2. UpWork.
  3. FreeUp.
  4. Fiverr.
  5. Freelancer.
  6. PeoplePerHour.
  7. Toptal.
  8. Guru.
Mar 27, 2023

Where is the cheapest place to outsource? ›

Here are the top five low-cost countries you can outsource your business to:
  1. Mexico. Mexico is one of the most popular outsourcing hubs in North America. ...
  2. Malaysia. Many large organizations like Apple and IBM prefer Malaysia. ...
  3. Turkey. ...
  4. The Philippines. ...
  5. Vietnam. ...
  6. 10 common pitfalls of outsourcing (and ways to avoid them)
May 12, 2022

What should a company consider before outsourcing? ›

7 Factors to Consider When Outsourcing
  • Industry expertise of the outsourcing firm. It would be best to gauge your potential provider's industry expertise. ...
  • The cost involved. ...
  • Top-quality talent. ...
  • Recruitment and HR support. ...
  • Hot Leads. ...
  • Risk management. ...
  • Service-level agreement.
Nov 7, 2022

What not to do when outsourcing? ›

What you shouldn't do when outsourcing
  1. Going on cost savings alone. ...
  2. Not creating proper strategies. ...
  3. Outsourcing too many roles at one time. ...
  4. Letting your team on their own. ...
  5. Leaving out your backup plan. ...
  6. Analyze your company structure. ...
  7. Guide your outsourced team along the way. ...
  8. Get your in-house team on board with outsourcing.
Oct 24, 2021

Where is outsourcing most common? ›

Top countries for outsourcing services
Top countries for outsourcingMost outsourced services
IndiaIT and software development
PhilippinesCustomer service, back office
United StatesTech support, IT-related services
UkraineIT outsourcing
4 more rows
Mar 2, 2023

What are the cons of outsourcing? ›

So, what are the disadvantages of outsourcing?
  • Loss of control.
  • Negative impact on staff.
  • Data protection and confidentiality risks.
  • Lack of consistency.
  • Financial and reputation risks.
  • Less flexibility.
Feb 3, 2022

Is IT cheaper to hire or outsource? ›

It's cheaper than hiring in-house.

According to a Deloitte survey, 62% of companies report 10% to 25% savings when they outsource and the remaining 38% of companies reported savings as high as 40+%.

How much do outsourcing companies charge? ›

The average cost of IT outsourcing services

There are a variety of pricing models IT service providers use, but the most common is typically the flat-rate, all-inclusive method of billing. IT companies that use this system usually charge anywhere from $110 to $200 per user, per month.

References

Top Articles
Latest Posts
Article information

Author: Delena Feil

Last Updated:

Views: 5995

Rating: 4.4 / 5 (65 voted)

Reviews: 80% of readers found this page helpful

Author information

Name: Delena Feil

Birthday: 1998-08-29

Address: 747 Lubowitz Run, Sidmouth, HI 90646-5543

Phone: +99513241752844

Job: Design Supervisor

Hobby: Digital arts, Lacemaking, Air sports, Running, Scouting, Shooting, Puzzles

Introduction: My name is Delena Feil, I am a clean, splendid, calm, fancy, jolly, bright, faithful person who loves writing and wants to share my knowledge and understanding with you.