Approaches To Budgeting And Contingency Plans For Facilities Management

Managing the Facilities

Australian Property Management (APM) Company works on retail, high rise commercials as well as residential buildings. It is passionate about developing consistent and iconic projects of Melbourne and other parts of Australia which are comparable to that of the international standards. It always keeps extra cash for purchasing new machineries when required for quality management of its buildings as well as for effective facility management. The involvement of the company in terms of its financial assets and liabilities are noteworthy since it effectively allocates its funds and even accomplish projects on buildings within a short notice period. The paper highlights the working of the company on providing a compactor so that it would be easier for housekeeping staff to ensure efficient facility management within the residential buildings.

The financial management process of the work team is very vital in case of any organization. This is because it does not only determine the performance of the organization in the long run but also how the coordination and corporation between the team simultaneously get executed to identify the problem in the process of facility management as well as synchronize them with effective improvement initiatives. Based on periodic requisition of the owners, developers as well as the operational managers the company provides reports on a monthly basis and implement asset management strategies for buildings. There are lots of activities with which the company is allied to can be extensively shown as:

Along with keeping daily inspection of the buildings and remaining abide by its annual budget the APM Company coordinate, manages as well as repair through essential maintenance services for safety measure audits. For managing the facilities coordination and cooperation within all the relevant entities are maintained regarding move in and move outs within the residential, commercial and retail buildings are executed allowing necessary waste removal from all the buildings. Effective financial management process in Australian Property Management (APM) Company is accompanied by appropriate financial planning and their successful implementation in a procedural manner. It reviews, monitors as well as fit out its works in the retail offices as well as recreational areas of residential interest. It works in a series of stages that is allied with effective manoeuvre which is not dependent upon any components of the process like the contractors, visitors, tenants, owners, etc. of the residential buildings. This can be shown as follows:

This stage is the obligation and the cost associated with the executable activities. It is an opportunity that helps to logically understand the previous financial condition and the costing associated with the allocated funds. Analysing the financial statements including the balance sheet cash flow statement as well as the income statement is also necessary to ensure effective documentation based on the understanding regarding the financial circumstances which includes the assets, liabilities expenses, profit, superannuation statements, share and property holdings as well as tax returns.

It is important to understand the goals objective of the financial management to optimally utilize the facilities of the residential building and create a contact us so that the housekeeping staff does not face problem while executive managerial operations. This requires a realistic pathway and time same base protocols that will guide the operational as well as financial objective to accomplish successfully². It is important to protect the future of the financial investment enhance construction of effective working arrangement based on Corpus fund allocation as well as utilization to managing the portfolio actively is the need of the hour for the Australian Property Management Company.

Areas of Improvement

The complex structure of the industry and the variation in the wants and demands of target consumers it is important to maintain a location environment through the preparation of a manageable financial plan by prioritizing it based on executable activities as well as synchronizing eat with respect to optimal utilization of available finances. Transparent understandable as well as straightforward strategize plan regarding all investments and their returns.

The process of investment in various accounts followed by account consolidation, manage superannuation rollover, off-market share transfer, established income channels, insurance applications as well as established super funds, etc. all are dependent upon the simplification of the complexity associated with the process of the recommended financial management process. Establishing compactor will enable better functioning by the housekeeping staffs within the residential buildings and hence the implementation of the design workflow process is required. It will avoid loopholes or major slip from the target and will help the Australia property management company to perform optimally.

In the intermediate stages, financial management strategies are required to be redesigned based on the available opportunities and industrial development this will enhance the organizational culture and systematize the legislative changes that will optimize the investment portfolios their superannuation as well as the tax matters. To standardize the authenticity of relationships between the housekeeping staff and the target consumer base is effectively important since they will dwell in the residential building after the construction by the Australian Property Management company.

Efficient field Research as well as understanding the internal consistency helps to evaluate the financial sustenance and effectiveness of the Australian Property Management Company. Bank account records, contracts that are undertaken, insurance reports, taxation records or petty cash receipt are the various set of information that helps to understand the performance of the company financially. The cash flow of the company as well as the insurance and the taxation records reveals a clear picture of areas of improvement that are necessary to be monitored based on the existing process as well as initiatives undertaken for advantageous facility management. There is requirement for cross verifying the implemented activities and monitor the agreed improvements on a regular basis. From the budgets it has been seen that the planned budget and the actual budget differs a lot as the funds considered for certain activities are not appropriate. Specifically there is enormous difference in the expenses upon administrative activities. The audit services are presumed to be held at the cost of 1500 $ though it have cost to be $ 7000. The bank charges on administration was considered to be $ 150 whereas the actual expenses is $35. However, the telephonic charges for fire phone line, office and that of the security system is higher than the proposed expenses yet the income tax returns are same at $330. The essential services for general repairs are proposed to be higher at $ 18,655 though the actual expenses are $2154 by 2017-18 and 2500 $ by 2018-19. But the maintenance services and fire protection were accompanied by increased spending at $ 10,200 though it was proposed to be $1500 only. From the cash flow data this are being found that cash are available but appropriate allocation of it was left over that led to deficit carried forward from previous years. Notably in the contracts considered for cleaning purpose in the main building are considered less at $24000 while the cost incurable is $183974 as forecasted. So review of the contracts and also the insurance schemes are highly necessary as perceived from the bank account records, maintenance schemes and insurance reports.

Conclusion

There exist high necessity to control the flow of cash and maintain the financial transaction close to the prosed budget. The monitor the expenses that takes place upon unavoidable situational turmoil should be backed with financial risk management initiatives. The recoverable insurance claims requires cross examination with the existing records and the investments done upon fire, electricity and main building repairs  should be sufficiently funded to cope up with uncertainty and maintaining common residential safety for the long run.

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