FACILITIES FINANCE & BUSINESS

In order to manage finances properly, the facility manager must have adequate   

funding for operations and maintenance and repair (to include deferred    

maintenance), the areas most often underfunded.

The most successful facility managers view themselves as businessmanagers.

All economicanalyses and comparison sshould be based on life-cycle

costs and should consider the cost of ownership.

Know your company's rules for capitalization, and follow them carefully.  Don't cheat.

Manage carefully the depreciation charges for your capital programing your  annual budget.

The facility manager must have a working knowledge of capital evaluation tools.

Vendor-supplied cost analyses are not dependable.

Use a landlord mentality when developing and implementing allocations and rules for charge back.

In order to discuss managing finances properly, the facility manager must have 

adequate resources. 

This does not mean that there will not be times when the belt must be tightened but, 

in the long run, physical assets deteriorate if not properly maintained.