What Most FM Contracts Get Wrong
Many facilities management contracts are built on outdated models that prioritise cost-cutting over value. From vague SLAs to fragmented supplier chains, discover the common pitfalls that leave property managers frustrated and buildings underperforming.
Read Time
5 min read
Author
The Core Group Team
Category
Facilities Management
Service Area
North West & Midlands
Vague Service Level Agreements That Protect Nobody
The single biggest failing in most FM contracts is poorly defined SLAs. Phrases like "regular cleaning" or "timely response" mean different things to different people. Without measurable KPIs, clear response windows, and defined escalation procedures, both parties end up frustrated. Property managers feel let down, and service providers argue they have met their obligations. A strong FM contract should specify exact frequencies, response times in hours not days, and measurable quality benchmarks that leave zero room for interpretation.
- Response times should be defined in hours, not vague terms like "promptly"
- Cleaning frequencies must specify exact schedules per area
- Quality benchmarks need measurable pass/fail criteria
- Escalation procedures should have named contacts and deadlines
- Penalty clauses must be proportionate and enforceable
Too Many Suppliers, Not Enough Accountability
A fragmented supplier chain is the silent killer of FM efficiency. When you have one company for cleaning, another for drainage, a third for pest control, and a fourth for waste, nobody owns the overall outcome. Issues fall between the cracks, finger-pointing replaces problem-solving, and the property manager becomes an unpaid project coordinator. The best FM contracts consolidate services under a single accountable provider who takes ownership of the entire building environment.
- Single point of accountability eliminates finger-pointing
- Consolidated reporting gives a complete picture of building health
- Cross-service coordination catches problems early
- One invoice instead of dozens reduces admin overhead
- Relationship depth improves over time with a single partner
Ignoring Preventative Maintenance Entirely
Most FM contracts are structured around reactive work — fix it when it breaks. This approach is fundamentally flawed because it treats symptoms rather than causes. A roof gutter that is never cleaned will eventually block, causing water ingress that damages ceilings, electrics, and stock. The repair bill dwarfs what preventative cleaning would have cost. Forward-thinking FM contracts build in scheduled preventative maintenance across every discipline, turning unpredictable emergency spend into controlled, budgetable investment.
- Planned preventative maintenance reduces emergency callouts by up to 70%
- Asset lifespans extend significantly with regular care
- Budget forecasting becomes accurate and reliable
- Tenant satisfaction improves with fewer disruptions
- Insurance premiums can reduce with documented maintenance programmes
How The Core Group Does it Differently
At The Core Group, we build FM contracts around outcomes, not activities. Every contract starts with a detailed site survey and honest conversation about what matters most to you. We define clear, measurable SLAs with real accountability. We bundle services so nothing falls between the cracks. And we bake preventative maintenance into every programme because we know it saves money and protects buildings. Our clients do not just get a contractor — they get a partner who is invested in the long-term health of their property portfolio.
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