Strategic Guide to Outsourcing Maintenance: Turning Contractors into Trusted Partners

Turning a select group of external contractors into integral team members can unlock a wealth of expertise, especially during critical shutdowns. By allowing them to profit from their contributions, you create a partnership that naturally aligns with your organization’s long‑term interests.

Even when core maintenance functions are handled in‑house, periodic use of outside contractors provides a valuable check on pricing, quality, and delivery, ensuring your internal team stays competitive.

Contracting out does not replace the need for a preventive maintenance system, root‑cause failure analysis, or a responsive organization. Managers must remain actively involved in both RFCA and PM processes, regardless of who performs the work.

Types of Work Commonly Contracted

1. Seasonal tasks such as groundskeeping and snow removal.
2. One‑time projects like construction or major upgrades.
3. Low‑skill labor where vendors can hire cost‑effective staff, e.g., custodial services.
4. High‑skill tasks such as troubleshooting electronics.
5. Work that requires a license or certification you lack in‑house, e.g., certified welding.
6. Full outsourcing of a maintenance department’s operations.

15 Reasons to Hire a Contractor

1. Cost savings.
2. Jobs that exceed internal capacity.
3. Improved quality through specialized expertise.
4. Skill gaps (e.g., computer server service, alarm systems).
5. Lack of required licenses.
6. Access to specialized equipment.
7. Reduced liability for high‑risk systems.
8. Mitigating hazards to internal staff.
9. Fresh perspective or new solutions from an outside expert.
10. Training opportunities for your own technicians.
11. Time savings when you’re already stretched thin.
12. Delegating job management for partial shutdowns.
13. Flexibility to scale up or down quickly.
14. Political or managerial constraints on resource allocation.
15. Preserving control of existing projects while tackling new ones.

9 Common Reasons Not to Hire a Contractor

1. Loss of control over project execution.
2. Slower response times or higher costs for urgent work.
3. Unclear scope—difficulty measuring value for money.
4. Negative perception of using contractors.
5. Risk of corners being cut and quality compromised.
6. Incomplete final work, especially the last 5%.
7. Dependency that limits organizational agility.
8. Potential for fraud or overcharging.
9. Outsourcing beyond the contractor’s expertise.

Tips from Industry Experts to Smooth the Contracting Process

1. Clearly define the scope of work early; avoid vague specifications.
2. Ensure mutual understanding—hold a kickoff meeting to align expectations.
3. Vet contractors thoroughly: review finances, credit, insurance, and past references.
4. Avoid low‑ball bids; negotiate a schedule of extras and protect against hidden costs.
5. Specify deduction clauses for debris removal, cleanup, and missed deadlines.
6. Include cancellation provisions that protect your interests.
7. Set an appropriate contract term—too short inflates mobilization costs, too long locks you in.
8. Document responsibilities, supplies, unloading locations, safety rules, and site‑clean‑up expectations.
9. Verify insurance coverage: general liability, property damage, workers’ comp, auto liability, and E&O for design work.
10. Define performance standards: professional workmanship and compliance with all applicable codes.
11. Prepare the work area to minimize damage and theft; consider site isolation.
12. Manage the contractor actively—track progress, conduct inspections, and provide timely feedback.
13. Maintain rigorous payment records; secure lien releases before final payment.
14. Resolve disputes quickly—avoid protracted litigation.
15. Evaluate each contractor regularly for quality, cost, service, and contract adherence.

About the Author

Joel Levitt is a leading trainer of maintenance professionals, having guided over 10,000 leaders from 3,000 organizations across 20 countries in more than 500 sessions. Since 1980, he has served as president of Springfield Resources, a management consulting firm that addresses maintenance challenges for clients of all sizes. With nearly 25 years of hands‑on experience—as a process control designer, equipment inspector, electrician, field service technician, merchant marine worker, manufacturing manager, and property manager—Levitt brings a rare blend of theory and practice. For more information, visit www.maintrainer.com or call 800‑242‑5656.