Rationale and Cost Evaluation for Bundling Soft Services into Integrated Facilities Management Contracts and Nominated Subcontractor Model

Mr Kenneth Tiong Boon Kiat asked the Minister for National Development (a) what the policy basis is for incorporating soft facilities management services into Integrated Facilities Management contracts, and whether any cost or service-quality evaluation supports it; (b) whether there is information on (i) what proportion of such services is now bundled (ii) how many suppliers have moved from prime to subcontractor as a result; and (c) whether a nominated subcontractor model can be applied.

The Building and Construction Authority promotes Integrated Facilities Management (IFM) to enhance productivity and uplift the Facilities Management (FM) industry. Building owners are not required to incorporate soft FM services into IFM contracts. Depending on their operational needs, they may choose to bundle these services within IFM contracts, nominate subcontractors or contract directly with specialist service providers. Since 2020, around 90% of public sector IFM tenders include soft FM services.