Final answer:
Facilities maintenance is essential for keeping a company's physical buildings and services in good working order, involving upkeep such as plumbing and safety standards. It may involve varying combinations of labor and physical capital. Investment in human capital, technology, and physical equipment can improve maintenance efficiency.
Step-by-step explanation:
Examples such as human resources, financial resources, equipment, and facilities maintenance are all key components that contribute to the smooth operation of any business or organization. Focusing on facilities maintenance, it is the practice of ensuring that the physical buildings and services that execute a company's operations are in good and efficient working order. It involves the upkeep of essential services such as plumbing, as well as adherence to safety standards.
Creating a stable and market-oriented economic climate also contributes to facilities maintenance by ensuring that financial resources are available to keep the physical infrastructure in top condition. The maintenance of facilities often involves a combination of labor and physical capital. For example, a local government may hire a private firm to handle the maintenance of public parks, where the choice of whether to use more labor or more machinery will depend on the cost-effectiveness given the prices of labor and machines.
Moreover, investing in human capital, technology, and physical plant and equipment can greatly improve the efficiency and quality of facilities maintenance. Companies may lean toward a technology-heavy approach, substituting manual labor with machinery to enhance productivity and reduce long-term costs, thus adhering to the trends in production, transportation, and material moving.