What are 'Facility Operations'

Facilities operations refers to the management of all of the processes, people and assets required for facility to do what it is designed to do. Facility operations typically includes the day to day operations of the facility, as well as consideration and execution of future maintenance and improvement needs. Depending on the industry, each facility will have different operational procedures and requirements. Facility operations may also be referred to as "facility management" or "facilities management." Individuals whose main job function is facility operations may be referred to as an "operations manager," "general manager," or "facilities manager."

Breaking Down 'Facility Operations'

Facility operations is a management discipline that focuses on the efficient operations of a variety of enterprises, from retail stores, factories, offices, storage facilities, campuses, hospitals, warehouses or other commercial spaces and facilities. The main concern in facility operations is operational in nature, such as ensuring that day-to-day management meets the objectives of the organization. There are also strategic concerns, as well, such as an imperative to follow best practices, meet productivity and efficiency standards, and satisfy legal and safety requirements.

An example would be a manufacturing facility. It could be broken down into process, production and maintenance departments with each department having teams to oversee. The facility operations are the way each department and the teams work and help the manufacturing facility attain its goals.

Facility Operations: Key Responsibility Areas

Facility operations includes a number of key duties and disciplines, such as:

  • Maintaining an inventory of physical assets and the management of those assets.
  • Tracking the maintenance of facilities and physical assets, from preventative maintenance to scheduled maintenance to emergency repairs.
  • Knowledge and use of computer systems for utilizing and managing facilities.
  • The creation, maintenance and use of facility-specific manuals to assist with the processes, methods, equipment and tools, as well as the maintenance schedules that must be adhered to manage a facility. 
  • Management of maintenance staff, as well as consideration of how they can operate most efficiently.
  • Project management: given that the requirements of facility operations spans so many disciplines, facility operators must be able to effectively define and prioritize needs, manage costs and procedures, and execute various management and maintenance projects simultaneously.
  • Consideration and implementation of sustainable practices.
  • Conducting risk management assessments and proposing and executing on corrective measures.

Some additional areas that may fall under the aegis of facility operations include: fire safety, security, cleaning, business continuity planning, space allocation, and equipment inspections.

RELATED TERMS
  1. Committed Facility

    A committed facility is a credit facility whereby terms and conditions ...
  2. Assisted Living

    Assisted living is a type of housing facility for the elderly ...
  3. Revolving Loan Facility

    A revolving loan facility is a financial institution that lets ...
  4. Long-Term Care Ombudsman

    A long-term care ombudsman is an official who oversees nursing ...
  5. Continuous Operations

    Continuous operations are activities of a company that are ongoing ...
  6. Brown Field Investment

    Brown field investment occurs when a company or government entity ...
Related Articles
  1. Retirement

    Pros and Cons of "Small-Home" Care Facilities

    Intimate alternatives to traditional large nursing homes are gaining popularity. Could one of them be right for you or a member of your family?
  2. Insurance

    Investing In Healthcare Facilities

    Read on to learn about how to value heathcare sector stocks.
  3. Investing

    UPS to Expand Columbus Distribution Facility (UPS)

    UPS received an economic incentive to expand its facility in Columbus, Ohio.
  4. Investing

    Prison Stock 'That's Hot' (CXW, GEO)

    Paris Hilton's recent jail stint has investors thinking about private jails. Learn why three jail stocks are hitting new highs.
  5. Retirement

    5 Ways to Protect Pensions from Nursing Homes

    How to safeguard a patient's funds from shady or unscrupulous staffers.
  6. Insights

    Private Prison Stocks Hammered by DoJ Phase-Out (CXW, GEO)

    The Department of Justice is taking steps to end its use of private prison contractors, which sent their stocks down nearly 40% Thursday.
  7. Retirement

    Things Nursing Homes Are Not Allowed to Do

    Nursing home residents just got new safeguards to their rights – rights they aren't suppose to lose when entering a facility.
  8. Retirement

    Look for Quality Health Care During Retirement

    When deciding where to retire, be sure to consider the health care available in the area.
  9. Retirement

    Don't Pick The Wrong Type Of Retirement Community

    The names sound similar – continuing care, assisted living – but retirement communities differ widely. How to tell them apart and what you'll need to pay.
  10. Investing

    A Senior Play In Senior Housing

    With millions of Baby boomers retiring, that leaves opportunities for investors to profit. One way is through senior living real estate.
RELATED FAQS
  1. What are the different types of operating expenses?

    Learn about the different types of operating expenses and how they impact companies. Some are fixed costs while others are ... Read Answer >>
  2. How do capital expenditures affect (CAPEX) the valuation of a company?

    Learn the effects that capital expenditures, or CAPEX, used for maintenance and growth have on a company's revenue, profits ... Read Answer >>
  3. Which types of industries have the largest capital expenditures?

    Discover the significance of capital expenditures and learn what types of businesses or industries have the largest capital ... Read Answer >>
  4. What are key operating activities in a company?

    Find out the things that make up a company's operating activities, including examples of some the key operating activities ... Read Answer >>
Trading Center