Determine whether Jeff should give greater priority to a smaller facility with possibility of expansion or more into a larger facility immediately. According to Sliwinski and Gabryelczyk, facility management is a customer-oriented complete service, covering the comprehensive decision-making principles for optimum
planning, usage and adaption of buildings, their installations, premises, and services reinforced
by information systems supporting company management in a strategic manner and with regard to each job participating
in the core process (Sliwinski & Gabryelczyk, 2010). Jeff should be looking at facilities management in order to
decide which facility would be the most sensible choice. This type of management looks at each component necessary in
choosing the proper facility for one’s business. In the business engineering architecture for both the organization and the
FM area, processes link strategy to information systems, constituting a central element of the architecture (Sliwinski &
Gabryelczyk, 2010). Jeff has only acquired two new clients, which adds to a total of only four clients. His strategy should
include forecasting based on the four clients that he already has. He should look at the amount of time it took to obtain the
third and fourth client and weight it with time it took for him to get the first two clients. After he has ascertained that
information, he can them work that into the facilities management process.
Examining the profitability of a smaller facility to a larger one will help with determining the expansion rate Jeff should
take. According to the case study of Data Tech, Inc., if Jeff moves into a larger facility he has a profitability of $1,000,000 if
the demand is high and a profitability of $600,000 if demand is low. If he
References: Reid, D.R. & Sanders, N.R. (2010). Operations Management: An integrated approach. (4th edition). Hoboken, NJ: John Wiley & Sons, Inc. Sliwinski, B. & Gabryelczyk, R. (2010). Facility Management Process Architecture Framework. Journal of Internet Banking and Commerce. Weitzner, W.M. (2006). Five Facility Planning Mistakes and How to Avoid Them.