The increase of competition in all industries worldwide has been a phenomenon of the modern market. Under these conditions, firms that are interesting in keeping their competitive advantage need to emphasize on innovation. Traditionally, innovation has been regarded as an element of the organizational strategy; indeed, most of organizational plans include rules that promote innovation. Current paper focuses on the examination of innovation in relation to FM but also in relation to the procurement process. In order to understand the context of innovation in FM, it would be necessary to refer primarily to the definition of the above concept, as given by Dogson et al. (2008); the above definition can be described as follows: ‘Innovation depends upon a firm’s ability to create new products and services and make and deliver them’ (Dogson et al 2008, p.235). Apart from innovation – especially in regard to Facilities Management, current study focuses on the identification of the forms of procurement – as it can being transformed, aiming to become more innovative; the requirements of procurement, especially regarding its alignment with the innovation process are critically discussed aiming to identify the terms under which innovative procurement routes can be related to improved FM services. The two key issues presented above are discussed in the sections that follow. It should be noted that the main body of the paper has been divided into two major parts – divided into sub-sections – so that the answers to each of the questions of the case study to be clear. It is concluded that innovation can be indispensable part of Facilities management supply chain management but their relationship is likely to change continuously, such as in the case of procurement and innovation.
In the context of innovation, FM supply chain management can be highly differentiated, aiming to support the increase of