THE MAGAZINE FOR THE BRITISH INSTITUTE OF FACILITIES MANAGEMENT | 25 APRIL 2013
FMW www.fm-world.co.uk
SALARY SURVEY 2013:
Trends in pay and prospects across the FM sector
ORGANIC GROWTH
FM’s role in law firm Mills & Reeve’s move to Botanic House
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VOL 10 ISSUE 8 25 APRIL 2013
CONTENTS
6 | Jobs in FM
16 | Botanic House
22 | Salary Survey
NEWS
OPINION
FEATURES
6 FM sector is leading the way in job creation, finds research 7 Unused ‘obselete’ office space can be used for residential homes 8 Project of the Fortnight: British Gas’ Oxfordshire site is ‘green’ gem 9 Think Tank: Do ‘fun’ workplaces have the desired effect? 10 Business news: Graeme Davies examines the arguments in favour of rebranding 11 Touchdown at BA for OCS, Norland and BaxterStorey
14 Perspective of a facilities manager: Simon Francis makes a change to his team’s MO 15 Five minutes with Darren Etasse, head of the new BIFM Channel Islands group 42 No Two Days
MONITOR 30 Technical: An updated electrical testing code is under the spotlight 32 Insight: Market intelligence 34 To-do List: Alan Ferguson talks turf in this new section
24 | Biomass
16
Botanic House: Martin Read finds how FM teams have been embedded into departments at law firm Mills & Reeve’s new Cambridgeshire home
20
VAT Exemption: Nick Martindale reports on organisations looking at how the cost-sharing exemption could benefit them
22
Salary Survey: The results of the 2013 survey are in. Read our analysis and graphical breakdown of pay and demographic movements in the sector
24
Biomass Boilers: At Bradfield school in Yorkshire, a biomass fuel system has been a roaring success for pupils and staff, explains Mark Harrison
28
Drinking Water: Branded water bottles offer companies a chance to reinforce their values, while using a sustainable, ‘on-tap’ system, finds Paul Proctor
REGULARS 33 34 37 38 39
People & jobs BIFM news Diary of events Products Appointments
For exclusive online content including blogs, videos and daily news updates
visit fm-world.co.uk FM World Jobs – the best place to find FM career opportunities online
visit fm-world.co.uk/jobs For daily notice of the latest FM news and fresh FM World content, follow us on Twitter COVER IMAGE: Mike Goldwater
visit twitter.com/fm_world FM WORLD | 25 APRIL 2013 | 03
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The Leadership Challenge: Raising our game, making our case – realising our value
10 JUNE 2013, THE ROYAL COLLEGE OF PHYSICIANS, LONDON With sessions to advance skills and thinking, this is the facilities management conference to attend. Select sessions from hubs: Talent
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JUNE COURSES 4-6 5-6 5-6 11 11-13 12 12 13
ILM Level 2 Award in Leadership & Team Skills Disaster Recovery & Business Continuity Managing Relocation, Fit-Out & Move The Tender Process Understanding FM [Foundation] Contract Management Customer Focused FM Negotiating to Win
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Redactive Publishing Ltd 17 Britton Street, London EC1M 5TP 020 7880 6200 www.fm-world.co.uk EDITORIAL Tel: 020 7880 6229 email: editorial@fm-world.co.uk editor: Martin Read ⁄ news editor: David Arminas ⁄ sub editor: James Richards ⁄ editorial assistant: James Harris ⁄ art director: Mark Parry ⁄ art editor: Daniel Swainsbury picture editor: Sam Kesteven
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Average net circulation 11,513 (Jul 11 – Jun 12) FM World magazine is produced using paper derived from sustainable sources; the ink used is vegetable based; 85 per cent of other solvents used in the production process are recycled © FM World is published on behalf of the British Institute of Facilities Management (BIFM) by Redactive Publishing Ltd (RPL), 17 Britton St, London EC1M 5TP. This magazine aims to include a broad range of opinion about FM business and professional issues and articles do not necessarily reflect the views of the BIFM nor should such opinions be relied upon as statements of fact. All rights reserved. This publication may not be reproduced, transmitted or stored in any print or electronic format, including but not limited to any online service, any database or any part of the internet, or in any other format in whole or in part in any media whatsoever, without the prior written permission of the publisher. While all due care is taken in writing and producing this magazine, neither BIFM nor RPL accept any liability for the accuracy of the contents or any opinions expressed herein. Printed by Pensord ISSN 1743 8845
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he last time we met in this column, my theme was social sustainability. I was observing how the topic was becoming just as important an element of overall sustainability as ‘traditional’ environmental sustainability. Several conversations since have reinforced my view that what is perhaps more commonly referred to as social value will continue to drive the news agenda as 2013 progresses. Much of what companies are now saying about their greater use of apprentices, their engagement with local community groups and their commitment to training local workers can be traced back to the Public Services (Social Value) Act 2012, which was enacted – by the Queen’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons – in March of last year. Let’s be clear – organisations of all sizes, and certainly not just those offering FM services, were gradually moving to embrace this way of thinking anyway. But what we were seeing prior to the introduction of the act, and have seen a great deal more of since, are a variety of innovative service delivery models, where engagement with the local community is a key focus. It’s nothing if not a dynamic area of activity. Contrary to what some see as an issue that emphasises the capabilities of larger service providers, others tell me that the opportunities presented by tying service to social value will in fact empower smaller to mid-market FM service providers. Smaller means more local, and more local means greater bespoke attention on the needs of the local community – at least, that’s the theory. So, OK, it’s easy to understand why service providers would seek to influence prospective clients, particularly those in the public sector, by putting forward plans that allow them meet their own social value commitments. But what does social value mean to the in-house facilities manager? Is it obvious that committing to employ a certain percentage of local people, or to a guaranteed level of apprentices, will improve the quality of service provided? The drivers of social value for in-house FMs may be quite different, and they are certainly more likely to result from the public perception requirements and legal obligations of the organisations for which they work. That said, the famously people-friendly nature of the typical FM makes he or she a potentially superb manager of initiatives that involve interaction with their local communities. As to the potential impact of social value on how FM is perceived within organisations, it’s easy to visualise social sustainability initiatives showcasing the impact FM has across the organisation and workplace. Local engagement and apprentice initiatives would in many cases be logically routed through the FM department, and of course the obvious connection is FM’s strong existing involvement with sustainability of the environmental kind. FM can lead an organisation’s social and environmental sustainability charge – two issues that just happen to have a huge impact on the way an organisation is perceived, or wants to be perceived, by the outside world. FM is perhaps uniquely placed in this regard.
T
“It’s easy to visualise social sustainability initiatives showcasing the impact FM has across the organisation.”
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MARKET ANALYSIS
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highest of all sectors surveyed, said that the announcement to waive the first £2,000 of employers’ contributions would have a positive effect on the job market. Nicki Thomson, head of business services for survey sponsors Barclays Corporate Banking, said: “It’s positive news that FM companies are leading the way when it comes to job creation this year. The sector has weathered the economic storm better than some and there is optimism for the future, largely driven by the amount of government contracts we have seen in 2012 and will see throughout this year.” The survey also asked FM organisations whether they would
be interested in taking on ex-public sector workers. 58 per cent of FM firms answered in the affirmative, a significant jump compared to 32 per cent last year. By contrast, the national cross sector average was more negative. Of all businesses surveyed, 57 per cent stated they did not want to hire from the public sector, with 52 per cent saying they were not well-equipped to take a role in their business.
Thomson said: “The majority of FM businesses are interested in taking on ex-public sector workers, as their skills and experience can be transferred into their businesses. This will be welcome news to ex-public sector workers, as the on-going rebalancing of the economy means many are having to seek opportunities in the private sector.” The survey was undertaken in January and February this year.
Services sector enjoys growth surge During March, the UK services sector saw the fastest growth for seven months, according to the latest Purchasing Managers’ Index. The Markit/CIPS survey of UK service providers shows business activity in the sector continued to strengthen, with confidence at its highest for 10 months. The survey’s business activity index registered 52.4 in March, an improvement on February’s 51.8 , and the best reading since August 2012. The Chartered Institute of Purchasing and Supply (CIPS) said that the underlying trend is likely to be stronger than the data suggests. According to a statement, the figure is likely to have been offset by poor weather
ISTOCK
72 per cent of FM service providers will create new jobs in 2013 – and some of those go to former public sector employees. These are among the findings of the Barclays Job Creation Survey, published last week. The survey of 700 businesses included 33 FM service providers, and of these, 72 per cent indicated that they woukd create new jobs this year, up two percentage points on the same survey last year. This is the largest new job percentage of the 15 named job sectors surveyed by Barclays, and is also significantly higher than the survey’s national average. (Overall, 56 per cent of all surveyed organisations said that they planned to create new jobs this year.) 74 per cent of the FM firms surveyed also said that they were not planning any job losses within the next 12 months. Most – 76 per cent – attributed an increase in sales as the catalyst for new job creation, rather than the jobs being created in order to drive sales. Of the jobs planned this year, 16 per cent will be senior roles in management and 73 per cent in middle, junior or skilled positions. The FM firms surveyed also reported that government policy on job creation was having no impact on their business. 79 per cent said that government’s efforts to remove barriers to job creation were making no difference – an improvement on last year, when this figure was 90 per cent. Despite this, the FM firms also welcomed the planned reduction in employers’ national insurance contributions. 84 per cent, the
SHUTTERSTOCK
FM sector leads the way on job creation
conditions in recent months, causing disruptions to businesses. Although companies commented on a greater market demand and improved confidence from clients, the index figure is lower than that for March 2012, which read 55.3. The survey also said that employment is expected to
increase in anticipation of further sales and contract wins. Payroll numbers rose only marginally, however. Chris Williamson, chief economist at Markit, said: “The government and Bank of England will breathe sighs of relief in seeing signs of a gathering upturn in the service sector during March, which looks set to have helped the UK avoid a triple-dip recession. “With growth of the service sector offsetting contractions in manufacturing and construction, the PMI survey data collectively points to the economy having grown by 0.1 per cent in the first three months of the year.” www.fm-world.co.uk
18/04/2013 14:36
NEWS
BRIEFS Sustainability survey
‘Obsolete’ office space ripe for residential use More than half of the UK’s 11.7 million square feet of redundant office space is suitable for conversion to residential use, according to new research. In a survey of 32 UK markets, property consultant Lambert Smith Hampton (LSH) found that 7.4 million square feet of space is suitable for conversion. The company says that modern workplace trends for the use of flexible, open-plan space, as well as a halving of space allocated per person over the past 20 years, has resulted in significant overcapacity. “Office occupier requirements
will continue in this vein, meaning any stock that does not meet modern workplace trends is unlikely to ever be let again. While not every obsolete building can be converted, a fair proportion could be,” said Tony Fisher, national head of office agency at LSH. High-quality new office development is unlikely to be affected by a surplus at the bottom end of the market, Fisher believes. “A-grade stock has detached from the marketplace,” he said. “The demand for top-quality space will remain strong.” The government announced
recently that conversion of office space into residential use will be permitted without planning permission, making the previously convoluted process much more straightforward. Conversion is most attractive in London, where the gap between office and residential values is highest, but there are substantial gains to be made across the UK, the survey found. Average capital values for UK residential space are approximately £155 per sq ft, compared to average secondary and tertiary office values, which range from £30 to £80 per sq ft.
MARKET RESEARCH
SHUTTERSTOCK
Contract cleaners offer closer ‘strategic fit’ Sixty per cent of UK contract cleaners experienced growth in the past 12 months despite pressure on prices, a market report has found. To boost revenue, contract cleaners are offering more specialist services or seeking to more closely align their services with clients’ corporate aims and objectives such as, for example, on the environment. MTW Research’s report, based on 90 per cent of industry sales, revealed there is a clear growth in ‘strategic fit’ cleaning. MTW’s director Mark Waddy said: “Increasingly, the contract cleaning market is realising that clients need high-quality cleaning services that also www.fm-world.co.uk
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fit their organisational and corporate culture. For example, an environmental policy statement could be the clincher between winning a tender or not.” The 250-page report found that despite ongoing pressures on pricing and lower volumes of contracts, a growth in start-up companies has boosted demand
for entry level cleaning equipment and supplies and outpaced the level of business attrition in the cleaning industry in recent months. While this has contributed to a growing level of optimism for 2013, the report has forecast that a real term growth in the contract cleaning market will not return until 2014, as a result of fragile business conditions. The overall industry’s profitability has been erratic as a result of the double dip recession, with debt rising by £1.6 billion in the past six years and borrowing now standing at more than 100 per cent of total industry revenue in 2013, the report added.
The BIFM is seeking respondents to its annual survey on sustainability in the facilities management sector. The survey asks FMs about sustainability in their organisations and seeks to understand the level of responsibilities that facilities management professionals have in relation to sustainability. Lucy Black, chair of the BIFM Sustainability special interest group, said: “It is important for us to hear from FMs in all kinds of workplaces. What is really helping them to make their operations more sustainable, and what is holding them back?” FM professionals are encouraged to complete the survey at www.bifm.org.uk/sust2013
Green building costs fall Design and construction costs associated with green building are falling, according to a report from the World Green Building Council. In Business case for green building, the global network of national green building councils suggests a trend towards cheaper green building costs as building codes around the world become stricter, supply chains for green materials and technologies mature and the industry becomes more skilled at delivering green buildings. As investors and occupiers become more knowledgeable about the environmental impact of the built environment, the report says, buildings with better sustainability credentials will have increased marketability.
Investors’ returns rise Investors are to enjoy greater returns on commercial property this year, according to predictions from Jones Lang Lasalle (JLL). The real estates services and investment firm believes that overall returns will reach 4.6% this year, up from 3.4% in 2012. Offices will deliver the strongest returns over the five-year horizon, led by central London and averaging 7.1% a year. Industrial property follows (6.2%), although the retail sector will show weaker returns until a more solid recovery from 2015 onwards. FM WORLD | 25 APRIL 2013 | 07
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PROJECT OF THE
FORTNIGHT Breathing walls: elements of the fit-out at British Gas include three biomass boilers, and an internal living wall (left)
NEWS BULLETIN
Private sector partnerships in authority savings Private sector partnerships have helped local authorities make savings of 16 per cent in the last two years, and are key to helping them meet budget cuts, according to a position paper recently published by the Business Services Association (BSA). Partnerships with the private sector for service delivery last year accounted for 26 per cent of local government spend on service delivery, up from 6 per cent in 2011, according to the BSA’s March briefing note. The BSA said that 81 per cent of local authorities that have partnered with the private sector are happy with the result. A further 18 per cent of savings are required by 2014/15, and 82 per cent of local authorities see outsourcing as crucial to meeting these goals. The BSA’s position paper goes on to say that local authorities should focus on developing the right skills such as procurement and contract management to do this effectively.
Apprentices out-pace peers in employability
British Gas in eco fit-out Kier Construction has built and fitted-out a new, highly energy efficient building for British Gas in Oxford. The £19 million property in Oxford Business Park was designed to achieve a BREEAM ‘Excellent’ rating and an Energy Performance Certificate of ‘A’. The site comprises 7,432 square metres (80,000 square feet) of business space over three storeys. An internal ‘living wall’ provides an unusual centrepiece to the building, which was completed for developer Goodman. Kier gave the building a fit-out specifically for British Gas Business, which will inhabit the building. Inside, the building features meeting and conference facilities, as well as training rooms. It also contains a restaurant with dining for 200 people, and an innovation centre showcasing green technologies. Three biomass boilers provide all the primary heat for the building. These are displayed, illuminated, behind a glazed wall. The roof boasts a large solar thermal array for hot water, as well as a large photovoltaic installation. Internal and external lighting is provided by LED luminaries throughout. Terracotta rain screen cladding encases the building and the cycle store has a green roof. Goodman managing director Jim Johnston said: “The building is a leap forward in terms of building and environmental design and we believe it will become the benchmark for sustainable office developments for the out-of-town market.” British Gas Business deals with business rather than domestic energy customers. Kier Construction is part of the £2.1 billion turnover Bedfordshire-based Kier Group. Read more about biomass boilers on page 24 of this issue. 08 | 25 APRIL 2013 | FM WORLD
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Qualified apprentices are considered better prepared for the workplace than those with other qualifications, according to a study. A study by ICM research found employers in England rated qualified apprentices as 15 per cent more employable than their peers. Those that complete higher (degree level) apprenticeships were the most desirable employees, rated as 25 per cent more employable than those who took an alternative route into work, including with a university degree. Researchers asked employers to rate the employability of people with different qualifications on a scale of 1 (not at all employable) to 10 (very employable). The mean rating for those with an apprenticeship was 7.36. For those with other qualifications, including A-levels and vocational qualifications, the rating was 6.382. Those with higher-level apprenticeships were given a rating of 7.98, compared to 7.58 for those with university degrees.
Government departments to share office space The Home Office and the Department for Communities and Local Government (DCLG) are to move into a single central London building next year as part of a continuing drive to reduce costs and increase efficiency across Whitehall. The move will see DCLG leave Eland House and take up spare office space at the Home Office’s headquarters at 2 Marsham Street. The move is expected to help reduce the cost of the civil estate by £24 million per annum. Helen Kilpatrick, director-general of finance and corporate services at the Home Office said: “This is not just about saving money. The move provides us with a great opportunity to develop ways of working flexibly and share resources and knowledge across departments.”
Opinion divided over bundling catering services Views are split on the value of bundling catering contracts with other FM services, according to research. Although catering has continued to converge with FM – a trend that has particularly increased over the past six – some clients are still opting to keep it separate. Apex Insight’s market report on contract catering said that many leading catering companies are now offering additional services, while FM providers are increasingly including catering in their bundled service offer. While respondents keen on catering being part of a bundled service cited benefits such as cost savings and greater efficiency from having a single point of contact for all services, others felt that it was a service so key to staff morale it was worth leaving to a specialist. www.fm-world.co.uk
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THINK TANK
WE ASKED 100 FMS…
No difference 5%
Rarely has the desired effect 25%
Do ‘fun’ workplaces have the desired effect? Web hosting firm Peer 1 recently refurbished its Southampton headquarters, installing a helperskelter to get between floors, an indoor tree house for meetings, a cinema and some swings, among other things. Fun and quirky office re-fits are becoming more frequent, notably in the IT and software sectors. A large majority of respondents to our latest Think Tank poll see such maintenance-unfriendly refurbishments to have at least some positive effect. 40 per cent of respondents believed that ‘fun’ offices have a positive effect on productivity and create a ‘hive of happiness and creativity’, with 30 per cent think that it makes little or no difference
whatsoever to the business. One respondent highlighted creating the ‘right working environment’ as a key factor. “It has an overwhelmingly positive effect in engaging occupants and aiding motivation and productivity.” Another FM stressed that main offices should be “light, bright, and as informal as they can be.” “Fun is good, but we have work to do!” “It depends on the type of organisation,” commented one FM, who was more cautious about the perceived effects of such installations. “The norm for most premises would be a standard and formal layout. Introducing a ‘fun’ design may be a challenge to the existing
A hive of happiness and creativity 40%
Positive effect 30%
culture, and is difficult to forecast or quantify in terms of direct positive impact to productivity.” Another respondent felt that the stigma of “skiving” was still an issue for employees using informal break out areas. “Trying to get staff to feel comfortable even using these areas has proved a problem.” A number of FMs viewed the people as the main contributor to productivity, rather than the workplace itself. “I can’t remember some of the buildings too well,,” said one, “but I do remember the characters in them!”
Another respondent concurred, suggesting (as is increasingly being done) that organisations should be more concerned about addressing the health and wellbeing of their staff, not just the creation of a physically positive environment. Finally, one FM was unable to comment on the matter: “Sadly, I cannot participate in this poll as I have no experience whatsoever of working in a fun office!” Join the FM World Think Tank LinkedIn group by visiting www.tinyurl.com/fmwthinktank
SHUTTERSTOCK
Unified communications Lack of skills affects investment set to rise perception of outsourcing More than three-quarters of firms have plans and budgets in place to implement some kind of unified communications and collaboration (UCC), new research says. However, according to the global research carried out by Ovum for ICT firm Dimension Data, many firms are not doing enough to understand staff requirements and expectations regarding UCC technology and Bring Your Own Device (BYOD) policies. The research also highlighted that UK enterprises were considering third-party managed services for UCC solutions, and were more advanced in terms of core UCC infrastructure such as IP telephony (IPT), instant messaging (IM), and web/audioconferencing and formal, in-room video deployments, than the global average. UK firms also show progressive www.fm-world.co.uk
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Tablets: the right medicine?
support for BYOD, with a third expecting to support unvetted employee devices, but could get more value by rolling out further application support on devices, the research concludes. According to the research, while most UCC is managed in house, more UK firms showed interest in a managed services model for UCC than those from other countries.
Failure to invest in skills is putting a brake on obtaining the potential full value from outsourcing, according to a report from global analyst HfS Research. The report suggests buyers and providers of outsourced services need to focus more on developing talent if they want to achieve sustainable value from outsourcing beyond just cost reduction. Is Good Enough Really Good Enough? The Great Talent Paradox in Outsourcing surveyed 282 enterprises and found the two most important strategic skills in need of more development are: defining business objectives beyond cost reduction and efficiency (83 per cent regarded this as important) and influencing executives (77 per cent). Many of the executives surveyed acknowledged that their own current skill levels were deficient in these areas. Just under a third of
outsourcing customers believed that the teams responsible for managing the service relationship could drive further innovation or better define business outcomes. Around half of outsourcing providers have established training programmes to develop expertise in relationship management. The report concludes that failure to develop skills has created a “talent paradox”, with a lack of investment running counter to increasing demand from buyers for outsourcing value over and above cost reduction. The majority of enterprises’ outsourcing governance teams are largely made up of procurement professionals, contract negotiators and project executives. These teams fail to develop necessary strategic business skills needed once outsourcing engagements mature. FM WORLD | 25 APRIL 2013 | 09
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ANALYSIS
Brand and deliver: the business case GRAEME DAVIES newsdesk@fm-world.co.uk
Considering the importance of branding in the modern world, undertaking a complete rebranding is a decision that should not be taken lightly. But, given this, it is surprising how many companies seek to refresh their brands or completely change their corporate identity, often with rather questionable results. Normally, the corporate rebrand is the preserve of consumer-facing businesses that need to keep their brands looking fresh for consumers and ahead of the competition. But even here, some of the biggest
brands in the world have got it spectacularly wrong. Back in the mid-1980s, Coca-Cola famously attempted a rebrand in a bid to halt the march of Pepsi cola. But it was faced with such a backlash in the aftermath that the hugely expensive exercise was effectively rolled back within a few months. This proves that even the biggest brands, with the most expensive advisors, can get it completely wrong. But why do companies persist in taking such risks? There can be many reasons for rebranding, whether to attempt to revitalise sales, emphasise a new direction
or strategy for a business, or to promote a division within a business that is growing fast or changing its strategy. Some businesses demerge and rebrand individual divisions; this happened recently in the engineering sector, where the long-established Cookson Group split off its performance materials business from the foundry products business. The established name of Cookson was ditched in favour of the rather nondescript Alent, and the memorable Vesuvius (respectively), although why one would name a rather traditional, low-growth business after a volcano which destroyed ancient Pompeii, is rather baffling. In the FM space, the most recent example of a corporate rebrand is Mitie’s attempts to emphasise its environmental services through the renaming of its cleaning business as Environmental +. In this case, the business is pushing its ‘green’
Contract wins
NEW BUSINESS Mitie has extended its security contract with global bank Citi for the second time. The three-year contract, originally awarded in 2009, will see the services group provide security management for Citi’s UK and Ireland property portfolio. Europa is to provide the Institution of Engineering and Technology (IET) with M&E services. Throughout the three-year contract, Europa will provide mechanical and electrical services to the IET’s head office, Michael Faraday House in Stevenage. Europa will also service the IET’s conference and event facilities in Glasgow, Birmingham and London. The firm 10 | 25 APRIL 2013 | FM WORLD
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has also secured a total FM deal with global insurer RSA. It will provide hard and soft services, including building management, mechanical & electrical maintenance, fabric, cleaning, catering, hospitality, reception, security, grounds maintenance and waste management. ISS Facility Services Food and Hospitality has expanded its contract to provide catering services at household product supplier McBride. ISS will now supply catering to McBride’s office in Barrow-in-Furness, as well as continuing to serve offices in Middleton, Leeds and Hull, for another three years.
Fountains, part of OCS Group UK, has won a £5 million contract with National Grid. The deal to paint electricity pylons around Yorkshire and Newcastle-UponTyne was won under the Provision of Tower Painting and Maintenance Services framework agreement, part of National Grid’s ongoing maintenance and refurbishment programme of its overhead line network. Facilities Services Group (FSG) has become FM service provider to the West Cornwall Pasty Company. The contract to supply integrated FM services to the chain covers all aspects of property maintenance and includes a 24-hour helpdesk. Cofely has won a contract to operate and maintain the combined heat and power energy centre at Dow Corning’s facility in Barry, South Wales. Cofely will also be responsible for the operation and maintenance of water treatment systems, which provide boiler feed water and treated water to the site.
credentials in a marketplace where being seen to be sustainable is vital. But whether it actually works and brings in more business, only time will tell. Rebrandings can be expensive and actually quantifying the effect that such an exercise has on business performance is often impossible. In fact, most rebrandings have few short-term effects on a business. It tends to be the disastrous efforts that linger in the memory, rather than the well-executed ones. Possibly the most famous rebrand of recent years was one that went horribly wrong when the Post Office attempted to rename itself Consignia in 2001. The hugely expensive exercise resulted in little but ridicule as the business was forced into an embarrassing u-turn and the Consignia brand was dropped within months. So what can we read into rebrands in the mid-tier FM world? It probably reflects an industry sector in flux, as mid-ranking companies jostle for business in a world where the big players are hoovering up contracts and attempting to muscle-out their smaller rivals. It also reflects a desire to be visible – this area of the market regularly sees new entrants, in the form of divisions of larger players, and also social enterprises. It may, therefore, pay dividends to refresh one’s image in a bid to stay at the forefront of clients’ minds. Rebranding may appear from the outside to be something of a zero-sum game, but if it helps a business stay one step ahead of its rivals – or even just retain market share – it can be worth it, as long as it is done properly. Graeme Davies writes for Investors Chronicle
www.fm-world.co.uk
18/04/2013 17:36
Touchdown at BA for OCS, Norland and BaxterStorey
British Airways’ head office at Waterside, London
International FM providers OCS and Norland, and food service company BaxterStorey, have won new five-year contracts from British Airways for soft services (OCS), maintenance (Norland) and catering (BaxterStorey) across multiple UK sites. The contracts were previously
held by Emcor (soft) Carillion (M&E) and Serco and Restaurant Associates (catering) respectively. OCS is to provide reception, porterage and cleaning services. The company will operate at multiple sites throughout the UK including the airline’s head office near Heathrow, its cargo and engineering locations at Heathrow, and regional offices in Newcastle and Manchester. OCS has a long-standing partnership with the airline, having held the company’s aircraft appearance and logistics contracts for over 20 years. Norland will be responsible for M&E maintenance and grounds services at Heathrow Terminals 3 and 5 and Gatwick, while also, akin to the OCS contract, operating at the airline’s regional offices in Newcastle and Manchester, and its
BUSINESS BRIEFS
corporate offices and data centres. The firm is to deliver a planned preventative maintenance service to increase asset life, reduce breakdowns and improve efficiencies, with a focus on re-balancing the maintenance regime from reactive to planned. Specific environmental objectives have also been set including the need to reduce energy consumption by 5 per cent. BaxterStorey’s catering deal follows on from its January win, where it is providing catering for the airline’s UK lounges. The awards are part of BA’s new FM programme for 2013.Steve Probert, the airline’s property operations manager, said: “The vision of our facilities management 2013 programme was to provide ‘best in class’ services across all FM operations.”
Mitie rolls out apprenticeship scheme Mitie has launched what it claims is the security sector’s first fulltime apprenticeship scheme. The scheme is run by Mitie’s security management business, alongside training provider Skills for Security. It aims to provide a mix of study and practical training, giving young people the opportunity to learn alongside experienced operators. Scheduling, administration, finance, front-line security, and understanding risk and management are some of the areas the programme will cover. Apprentices will earn an NVQ Level 2 in the first year and NVQ Level 3 in the second. Bob Forsyth, managing director of Mitie’s security management www.fm-world.co.uk
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business, said: “Our industry is at a crossroads and the typical image of security is changing. The traditional security officer role will need to evolve to become a more intelligence-led and analytical career. “I’m certain that our programme will not only be a rewarding experience, but will identify talented individuals who will become future leaders in the security industry.” Mitie has also changed the name of its cleaning and environmental business to Environmental +. The name has been chosen to reflect what Mitie sees as its “integrated approach to the provision of soft services, with
Centerplate buys Lindley Caterering contractor Lindley Group has acquired by US hospitality group Centerplate for an undisclosed amount. Revenues for the combined company are expected to exceed £660 million ($1 billion) in 2013, and there are no plans to reduce the company’s combined workforce, which currently stands at over 35,000 people worldwide. The two entities will continue to operate under their current names, with Lindley Group chief executive Adam Elliott taking on the role of president of the Lindley Group, as well as executive vice president of Centerplate.
Seddon Group restructures Seddon Property Services will rebrand to Novus Property Solutions as part of a restructuring of the family-run Seddon Group. The restructure of the 115 yearold firm will create three separate business structures and trading companies. Seddon Property Services will be rebranded to Novus Property Solutions and will include Seddon Estates, which will be rebranded to SHS Estates. Seddon Construction will join with Seddon Homes into a single business structure, while the third business will be called Seddon Engineering Holdings.
Harrow Green merges a more joined-up sustainable offering for clients”. According to a statement, the company’s client base “expects a joined-up service delivery, often preferring to receive services from just one provider that complement each other, leading to cost savings and improved metrics”.
Harrow Green has merged with moving specialist Sargents. The merged companies, which are owned by support services company Restore, will trade under the Harrow Green name. Harrow Green’s managing director Nigel Dews said the merger would create wider geographical scope. Restore acquired Harrow Green in February last year. FM WORLD | 25 APRIL 2013 | 11
18/04/2013 12:16
FM BUSINESS IN FOCUS
THE ISSUE The growth in development of ‘social value’ business models by facilities management contractors
THE INTERVIEWEE Tony Cahill, chief executive, Vivark
Socially minded Tony Cahill is a man on a mission – to make the most of what he sees as his FM firm’s unique ability to inject social value into its every activity. Cahill’s FM business, Vivark, was formed in October 2012 as part of the First Ark Group, based in Knowsley, Merseyside. First Ark was set up in 2011 as the non-charitable and unregulated parent company of Knowsley Housing Trust (KHT). The restructure was carried out with a view to opening up commercial avenues not available to the housing trust, a heavily regulated and a registered charity. Although set up as a limited company, Cahill says that Vivark operates as a social enterprise because all of its profits go to furthering the social aims of the company – ‘supporting the provision of social and affordable housing, creating jobs, apprenticeships and training opportunities in Knowsley, and much more’. While Cahill is charged with implementing this model, it’s actually the brainchild of KHT’s chief executive Bob Taylor. Two years ago, Taylor foresaw changes in the way social housing organisations were funded, prior to the publication of the various welfare reforms now having a huge impact in the sector. 12 | 25 APRIL 2013 | FM WORLD
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When Vivark was first set up, the 200-strong KHT maintenance team TUPE-transferred across to Vivark, giving the First Ark group an FM contractor business that could operate independently, as well as service a new two-year contract with KHT – a contract that includes a three-year extension option. “So nw, I have to make sure we add real value to the service we give to KHT if we’re to retain the work,” says Cahill. Some of that additional value has already been added with Vivark taking on refurbishment and grounds maintenance services hitherto outsourced by the KHT to other contractors. For this, Vivark has put together its own grounds maintenance team, some members of which had been previously employed by the former contractor. Vivark is also installing 40 miles of fencing for KHT – another service previously outsourced – and obtained Microgeneration Certification Scheme (MCS) accreditation in
order to be able to maintain and install thermal and solar panels across the KHT estate. Vivark’s sole client remains First Ark and the KHT, but Cahill’s ambition is to take on work for similar organisations in the surrounding area. “We’re looking to capitalise on opportunities in the public sector, where local authorities want to commission contracts – grounds maintenance, property maintenance, highways and elsewhere. “The Public Services (Social Value) Act means any that any local authority letting a contract has to include a factor of the social value added by a potential partner, so we believe that with our background we have an advantage. “We’re looking to expand over the next few years in north-west England and also targeting private sector organisations including property managers and estate managers in charge of multiple properties. “As a social enterprise, we
“We look to employ local people and aim to create eight sustainable jobs per million pounds”
have certain values within our business as to how we operate,” says Cahill. “But also, 100 per cent of the profits we generate can be reinvested to create social value. “It doesn’t have to be reinvested back into the group; it could be that it is reinvested into the communities we work in. For example, we look to employ local people and have targets to create eight sustainable jobs per million pounds of growth.” When pressed, Cahill says that such jobs are “not jobs that may be gone within six months, but permanent jobs that can actually be maintained over a longer period”. That figure of eight jobs per million is based on taking “the normal turnover you’d generate from one employee and taking away from that fluctuations in that work. Generally, an individual employee could be worth in order of £100,000 of revenue, but we use the figure of £80,000 to compensate for the peaks and troughs. “We’ve also set a target of five per cent of the workforce being apprentices and that, as work on a contract grows, the number of apprentices on the contract will rise in that proportion.” www.fm-world.co.uk
18/04/2013 14:35
EXPRESSIONS OF INTEREST Grosvenor Britain & Ireland has embarked on a major change program in its Repairs, Maintenance and Services work and will be calling for tenders later this year under the IROORZLQJ À YH FDWHJRULHV I. II. III. IV. V.
M&E and Fabric Security and Cleaning Lifts and Lift Consultancy Health and Safety Assessments Major Works
Grosvenor has managed its London estate for over 300 years, helping to make Mayfair and Belgravia two of London’s most sought-after locations. We are now inviting companies to work with us in looking after our historic portfolio, maintaining it for the future and ensuring we have a positive impact on the community and the environment. :H DUH ORRNLQJ IRU À UPV ZKR DUH ULJRURXV HIÀ FLHQW DQG deliver on their commitments, who can also demonstrate a strong and successful track record in serving the following sectors: ‡ +LJK HQG UHVLGHQWLDO SURSHUWLHV LQFOXGLQJ listed buildings ‡ &RPPHUFLDO SURSHUWLHV LQFOXGLQJ OX[XU\ UHWDLO DQG VPDOO RIÀ FHV DV ZHOO DV PRGHUQ RIÀ FH EORFNV :H H[SHFW RXU SDUWQHUV WR ZRUN ZLWK XV DV RQH WHDP WR deliver outstanding customer service. If you believe your company can provide the highest standard of service in one RI WKH À YH FDWHJRULHV OLVWHG DERYH ZH DUH HDJHU WR UHFHLYH your response. 3OHDVH VXEPLW \RXU ([SUHVVLRQ RI ,QWHUHVW RQ D PD[LPXP RI WZR $ SDJHV LQFOXGLQJ ‡ \RXU H[SHULHQFH LQ VHUYLQJ RXU UHVLGHQWLDO and commercial markets ‡ \RXU FRPSDQ\¡V EXVLQHVV SULQFLSOHV RU FRGH RI FRQGXFW ‡ \RXU À QDQFLDO WUDFN UHFRUG DQG SURMHFWHG JURZWK For more information please contact Kathryn Gillard, +HDG RI 6WUDWHJLF 6RXUFLQJ *%, Submissions close noon, Friday 21st June, 2013. All Submissions to be sent to: Kathryn Gillard, Head of Strategic Sourcing, Grosvenor Britain & Ireland. gbi.procurement@grosvenor.com 3OHDVH YLVLW ZZZ JURVYHQRUORQGRQ FRP DERXW WR o QG RXW PRUH about our business principles.
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17/04/2013 11:26
FM OPINION THE DIARY COLUMN SIMON FRANCIS
“THE CUSTOMER DOES NOT CARE WHY A PLANNED SERVICE OR REACTIVE WORK REQUEST HAS FAILED”
Local authority
NHS Trust
FM consultant
Simon Francis is senior facilities manager at the University of the Arts London
PROCESS PERF ECT I O N
series of projects at the university has given Simon Francis the opportunity to change the way the FM team does business, while keeping the end user firmly in mind
A
We are in the process of mobilising a new contract for the majority of our cleaning and planned maintenance services across the university’s sites. This is taking place alongside our project to move our helpdesk back in-house. The team has been working with our partners to make a success of the new support arrangement. I have been very interested to observe how these procedural changes impact the way my team go about running the estate. While we expect that improvements in the contractual arrangements will bring improvements in service
levels, it is actually the way in which our FMs and their teams manage the services on their sites that can lead to a real step-change in service delivery. We are trying to take this opportunity to embed in our teams a new way of working with our service partners, particularly in performance management. For example, we are now asking our local FMs to take responsibility for checking and auditing the PPM tasks undertaken on their sites, rather than relying on the centrally-based FM to do this. Giving the team direct access to
our new in-house CAFM-based helpdesk is another measure that we have taken that we expect to effect change. Historically, there has been a tendency to defer responsibility for the completion of work requests to the outsourced helpdesk, which has very much been a part of an adversarial ‘us and them’ culture. Giving the team direct access to the helpdesk system and requiring them to actively monitor and manage reactive work for their sites, should engender more of a culture of ownership and partnership. The early signs are good and, while there are always challenges to be met during the mobilisation of any new contract with a new provider, I’m starting to feel confident that my team has started to take full ownership of the support services on their
assigned sites, even when the services are delivered directly by others. However, the customer does not care why a planned service or reactive work request has failed. They just want to see their classroom cleaned to a good standard, the lights in their office working effectively, and the temperature within our buildings comfortable. To do this, we must work in partnership with the provider of our support services, by ensuring our managers have the right tools to manage and monitor the services they are responsible for. Perhaps most important of all, they need the right attitude towards delivering service excellence. I will be trying to reinforce this attitude in my team over the next couple of months.
BEST OF THE WEB Views and comments from across the web Can the ‘unreasonable leader’ approach work in the FM profession? (BIFM group) Gordon Parker: Environments and staff are not homogenous. Whatever style is adopted, it will be viewed negatively by some. The issues are of versatility – the ability to change approach – and effectiveness. Richard Betts: Autocratic leadership will work, but 14 | 25 APRIL 2013 | FM WORLD
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always suppresses the development of others. Chris Lovell: The most appropriate leadership style for an FM is one that is not only suited to the corporate environment the FM is working in, but also contains a degree of inherent adaptability. What is the number-one attribute you look for in a grounds maintenance contract? (Facilities Management group)
Bradley Lang: A safe contractor with watertight risk assessments and method statements would hold a greater appeal than a cheaper contractor with a slapdash approach to health and safety. Alan Taylor: Quality of service is significant, especially if it is a corporate appearance issue. Risk assessments, however watertight, are meaningless from a safety perspective if they fail to apply them.
Predictive and preventative maintenance versus reactive maintenance? (FM Professionals UK) Simon Britton: It takes a bit of organising, but I favour a riskbased approach where there are no safetycritical or statutory requirements. This uses the breakdown frequency to determine planned replacement cycles. Shmuel Soffer: The problem is figuring
out what really prevents losses and what is just revenue maximisation measures by the manufacturer. What do you do, in exactly seven words? (BIFM LinkedIn) Ray Kydd: Do what we said we would do! Glenn Starks: I care so you don’t have to. James Dodgson: Take the mystery out of statutory compliance. Eileen Andrews: As much as possible in any day. www.fm-world.co.uk
18/04/2013 12:17
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BEST OF THE
FMWORLD BLOGS The key to workplace effectiveness is focus, not collaboration Stephen Searer, Office Snapshots I’ve written a lot about workplace collaboration and many offices put collaboration at the forefront of their goals. While I don’t think designing for collaboration is inherently a bad thing, it seems that it isn’t always wonderful. According to a white paper by Gensler, the most significant factor in workplace effectiveness is not collaboration, but rather individual focus work. It also happens to be that focus is measured as the least-supported workplace activity. If you work in a ‘collaborative office’, you’ll undoubtedly agree with these findings. One reason is probably because, in the ravenous desire to keep up with the trends of open, collaborative office spaces, employers and office planners decided to foist the design on to many employees rather than finding out what actually made sense for employee effectiveness and morale. Another reason is that placing employees into an open arrangement does not always equal a collaborative environment. Workplace design is based on the idea that there are four modes of activity that take place in an office – learn, focus, collaborate and social. The goal of an office designer should be to create a workplace that allows employees to freely interchange between these modes throughout the workday. Desks are not good places for group learning. Open office spaces are not good for socialising. Lunch rooms are not good for focus. An office that balances these modes well will be a workplace where employees can be maximally effective in their workdays. Read the article in full at tinyurl.com/cnvruaa
FIVE MINUTES WITH NAME: Darren Etasse JOB TITLE: Managing director, Amalgamated FM and chairman of the BIFM’s Channel Islands’ special interest group, which launches this week.
We’re launching a BIFM special interest group for the Channel Islands. We’re hoping to run four events a year, two on each island. Until now there’s been no forum for networking locally on the islands. We can island hop, but each time we do that it costs £50. The principal purpose of the group is to raise the profile of facilities management on the islands. Many people over here think that FMs just fit under the stairs, doing the mopping up and making the tea. The perception is that we are at least five to 10 years behind the rest of the UK.
The value of the FM Naomiisthinking, head of facilities in the banking sector I’m talking about the individual FM within an organisation, rather than the profession of FM. I was talking on the telephone to someone and we were discussing the profile of FMs amongst other areas of business and how our colleagues view the job we do. In my opinion, most of the low view of the FM is down to ignorance. Over the years, the FM role has evolved, perhaps from caretaker and handyman, along with the managing director’s PA or office manager taking care of the admin side. I’m currently studying for a BIFM Level 4 Diploma in Facilities Management and while in the office late one evening writing an assignment, a colleague asked why I was there after hours. I explained and his response was: “Oh, do you need a diploma to change a lightbulb?” He would have been delighted to know that he wound me up with that comment. However, my quick retort, which I couldn’t possibly repeat here, sent him on his way knowing I was less than impressed by his so-called humour. From talking to other FMs, I find they often say things like “no-one knows what I do” and “I don’t get recognition for what I do”. I’ve mentioned before that people only notice what we do when it goes wrong or isn’t done. So how do we change this view? It’s time to let people in your organisation know what it is that you do. Let’s not just tell people about the things that go wrong or are waiting to be fixed, tell them the good stuff, too. In my experience, I started to get respect and recognition by sending out general emails to let people know the status of what I was doing. We have regular communication meetings with the heads of departments and I will let the attendees know the types of things I’ve been working on and issues we face. Don’t just sit there waiting for someone to notice you and what you do – tell people! Read the article in full at tinyurl.com/ctxvjjy
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A lot of people think that because the Channel Islands are not part of the UK that the workplace law here is different here. In fact, it mostly follows the UK’s lead. The islands’ local government departments have their own internal systems and maintenance people. They’re beginning to consider outsourcing, but it’s not like the UK where in some cases organisations have moved their entire support services over to external providers. A lot of what’s done over here is reactive rather than proactive facilities management. But I’m sure that when people start to mix with others as a result of this new group, that will change. We’ll have a much greater exchange of ideas. Most of the FMs practising over here are native to the islands. They’ve not come from the mainland or elsewhere. There’ll be a feature detailing the logistical challenges facing facilities managers on the Channel Islands in a forthcoming edition of FM World. FM WORLD | 25 APRIL 2013 | 15
18/04/2013 16:42
FM FEATURE BOTANICAL HOUSE MARTIN READ
DEVELOPER: PACE INVESTMENTS SIZE: 4,992 SQUARE METRES (53,744 SQUARE FEET) NUMBER OF DESKS: 276 NUMBER OF STAFF: 303 FM TEAM (INTERNAL): 10 KEY CONTRACTORS: ARCHIVING – SAFEBOX CLEANING ACS SECURITY – CAMBRIDGE SECURITY SERVICES MAINTENANCE: HONEYWELL BUILDING RECEPTION – HYLINE SECURITY RECEPTION – IN HOUSE CATERING – LUSSO
Law firm Mills & Reeve’s move to the newest office building in Cambridge has allowed its FM department to bring about some significant workplace changes
BOTANIC CULTURE PHOTOGRAPHY: MIKE GOLDWATER
L
ike their London counterparts, the city planners of Cambridge wanted to ensure that when the railways came, they didn’t come through the centre of the city. So today, when you exit Cambridge station, the city centre itself is still a good mile’s walk away. But as you make that walk, you soon become aware of Botanic House, as of 2013 the tallest building in the city and the first speculative office development in Cambridge for over 20 years. Its immediately distinctive lens-like frontage strikes you as you reach the junction of Station Road and Hills Road. Botanic House has been built in what may soon come to be referred to as Cambridge’s ‘professional quarter’, an area expected to see further commercial, retail and residential space. Earlier this year, after more
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than 23 years in Francis House just 100 metres away, national full service law firm Mills & Reeve relocated its Cambridge office to the newly iconic sevenstorey building (named after Cambridge University’s Botanic Garden, over which the building affords unique new views). The company has leased the entire 52,000 square feet and has sub-let its fourth floor to accountants KPMG. Mills & Reeve has spent 10 years in the Sunday Times Best 100 Companies to work for, the only law firm to have done so. It has six offices in the UK and of its national workforce of 805 people, 303 are now based at Botanic House. The move came as a result of the lease on its former offices at Francis House falling due up in 2014. Pace Investments, which had recently become Mills & Reeve’s landlords, informed the company that they were
building Botanic House on the site of an old, two-storey block of the same name. “We could have stayed at Francis House, but quite quickly we decided it would be better to move if there was an appropriate building,” said Mills & Reeve’s head of facilities, Nick Brook. www.fm-world.co.uk
18/04/2013 15:36
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FM FEATURE BOTANICAL HOUSE MARTIN READ
The ground floor reception area (bottom); the sixth-floor cafeteria (right)
Botanic culture The company decided to use the move as an opportunity to introduce some major cultural changes to its working practice, as Brook explains: “Francis House was a three storey building and most of our business support people were based on the ground floor in meeting rooms, while our fee-earning teams were on the first and second floors together with a few embedded business support people. The offices were cellular, and we wanted to become a completely open-plan firm.” One of the things that came out of pre-move discussions was the idea of having business support embedded on the floors, rather than kept separate. “We felt this would help fee-earning and support teams interact more,” says Brook. “And it’s worked. On the first day here, we had people meeting each other in the kitchen that hadn’t ever met before.” There was also a need to consider filing, a key operational issue in legal firms. Says Brook: “Had we moved everything we had over from Francis House, we’d have had to dedicate an entire floor to filing. We couldn’t let that happen. As part of the move, we reduced our filing from 11 linear metres per desk to 8 linear metres. We then backed that up with ‘dump the junk’ days and the appointment of ‘file champions’ to encourage teams to reduce space used.” “We had a few exceptional cases – people who’d amassed 30 to 40 linear metres of storage at Francis House – but I think when they let go of their clutter, they found it quite liberating.” Brook also took the opportunity of cutting the number of desks. “I and the other heads and directors of support functions don’t have a desk here. Instead, we book rooms a week 18 | 25 APRIL 2013 | FM WORLD
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in advance as required or sit in available places throughout the business. Interaction is much better, because people come and say things that they wouldn’t necessarily phone or email you about, since you are there. On the whole, it’s been great – although you do need to remember to sit with your own team every now and again. I make sure one of my week days is spent sitting with the FM or team leader here.” The design of Botanic House has allowed Mills & Reeve to have two receptions – one on the ground floor and one on the sixth floor, where all of the client meeting rooms are now housed. Says Brook: “At Francis House, all our meeting rooms were on the ground floor. They were both client and internal meeting rooms, so quite often you’d get moved out because a client was coming in. We didn’t have a goods-in down there either, so reception doubled as the
FM QUICK FACTS
30-40
Linear metres of storage amassed by some staff at previous office
goods-in area. We’d end up with a client coming through and picking their way through a stack of DHL boxes – it just didn’t look the part.” The client meeting rooms at Botanic House are a big step up, with flexible partitions that allow expansion to accommodate up to 50 people in a seminar style. The remaining floors have a variety of break-out spaces for internal meetings, whether formal or informal. Goods-in for the whole building, including KPMG, is on the ground floor, but located separately to reception. And there’s a dedicated reprographics area on the third floor, where the facilities
manager and team leader are based. Elsewhere, the design of the building has liberated workers from their desks through building-wide wi-fi and there’s been a new waste management ethos introduced as well. “We don’t have rubbish bins at desks,” says Brook. “Instead, there are central recycling points on each floor. That said, workers have been told that if they really want one, they can bring their own bin in — just so long as they are responsible for disposing of its contents because our cleaners won’t be.” It’s an example that, despite the many cultural changes introduced to the www.fm-world.co.uk
18/04/2013 15:37
Botanic House has enclosed meeting rooms (left, below), and a modern, stone-and-glass external aesthetic (bottom, right)
workforce at Botanic House, Mills & Reeve has been careful to ensure individuals retain as much freedom as possible. “We have ways in which we want people to work and behave, ultimately because we’re a legal partnership and legal partnerships are quite different to other companies. A lot of consultation needs to happen and that can create challenges,” says Brook.” The seating arrangements at Botanic House are a case in point. “Once we decided where the leaders of the practice areas were going to be, we got them to tell us where the other members of their teams would sit, rather than decide that ourselves. For some, that was the hardest thing they’d ever done.” Because of the move and how FM now operates, Botanic House is seen by Brook as an exemplar of what the facilities department can offer in general. “People from our other offices visit and see what’s happened here and I think the facility sells itself. We’ve had really positive feedback. I think FM being embedded in the office on the fee-earning floors is helping change the mindset some may have had about FM and what we’ve done here we’d like to roll www.fm-world.co.uk
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“One of the things that came out of pre-move discussions was the idea of having business support embedded on the floors, rather than kept separate”
out to other offices as and when we can.” Brook is keen to see wider adoption of Botanic House sustainability initiatives such as on-site composting, the elimination of paper hand towels and plumbed-in mineral water, across the Mills & Reeve estate. A senior partner on the board is responsible for corporate responsibility and sustainability, although, in practice, Brook takes on the sustainability mantel, with the majority of sustainability issues primary influence through facilities and purchasing services. With the move still fresh – the company relocated in February – it’s early days in terms of assessing service levels. “It’s a question of working out whether what we’re doing now is enough for the business,” says Brook. “We’ve had a couple of niggles, but I’m meeting every couple of weeks with the facilities people to see what issues we need to address.” The next stage includes a ‘100 days in’ report to look at how the hot-desking situation is working. There will be a post-occupancy survey, probably in September. Brook is naturally keen to take what’s been learned in terms of support team set-up and introduce it into the firm’s other offices, where it is sensible to do so. “There’s no point in seeing each office as its own silo,” says Brook, “and, certainly, we in FM have been trying to ensure that whichever site you’re in, functions such as logging on to a computer, the way a phone operates, posting letters and booking meeting rooms are all the same whatever the location. It should all be the same single procedure.” Away from the office move, Brook controls a small group of outsourced service providers. One of Brook’s current projects is to roll out a national mechanical and electrical contract across
the business’s six offices. Lusso provides the on-site catering for Mills & Reeve’s larger offices in Birmingham, Norwich and Cambridge. When it proved difficult to find a single national provider of archiving services, Brook decided to work with local providers in each location. “The speed of recovery of documents is important – we expect that we can get something back from the archiving contractor within an hour,” he says. Being in the Sunday Times Best 100 Companies firms to work for is quite an accolade. How important does Brook think FM is to retaining that particular status? “It’s probably increased over time. I think more people are becoming aware of FM around our sites. Each time we’ve had a new office, or an office move, people from our other offices have looked enviously on. And here, this project has been much more than just an office move – it’s allowed us to introduce significant cultural change into the firm.” FM FM WORLD | 25 APRIL 2013 | 19
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FM FEATURE VAT EXEMPTION NICK MARTINDALE
VAT NAV
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VAT EXEMPTION
“Stemming from EU legislation, the cost-sharing exemption was introduced in the UK in July 2012” FM QUICK FACTS
20% 5% 0%
Standard rate of VAT
Reduced rate
Zero rate
For VAT-exempt organisations, the decision to outsource services can add a tax liability that is difficult to justify. Here, Nick Martindale looks at why some organisations are revisiting the issue
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F
or most organisations, the decision on whether to outsource facilities operations is usually influenced by concerns over efficiency and debates around core competencies. For others, though, there is an added complication: incurring VAT on such arrangements, which can add as much as 20 per cent to overall cost. This issue affects those entities that conduct VAT-exempt activities or, for VAT purposes, functions that are not seen as business-related and therefore incur the charge as a direct cost to the bottom line. Examples include charities, educational establishments, local authorities, housing associations, professional bodies, financial institutions and even insurance companies. “In those sectors, if they
decide to outsource FM, they are creating a new VAT liability that skews the numbers so much that they tend not to do it,” says Derrick Tate, assistant director, real estate advisory, at PricewaterhouseCoopers (PwC). There are, however, two models through which such organisations can – entirely legally – exempt themselves from paying VAT, at least on the labour aspect. This makes them well-suited to activities like FM and potentially creates a new market for FM organisations, especially those able to deliver total FM services. Initially stemming from EU legislation, the cost-sharing exemption was introduced in the UK in July 2012. Essentially, it allows two or more organisations to come together and create a “cost-sharing group” that can then supply those entities with
certain services at cost and exempt from VAT. “If the group can be set up in such a way as to meet a number of conditions (see box), that will actually be exempt from VAT,” confirms Jeffrey Hall, senior manager, tax, at PwC. “It doesn’t remove all the VAT costs because there will still be a VAT cost associated with materials. But the big significant saving is on the value of staff.” Such a model is likely to prove particularly attractive for entities such as universities or registered social landlords, says Audrey Fearing, indirect tax partner at Ernst & Young. “They might not [on their own] have a big enough stock portfolio to warrant having the number of staff they need to deal with the peaks, but if a small number of registered social landlords had 3,000 housing units between them, then it might be FM WORLD | 25 APRIL 2013 | 21
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FM FEATURE VAT EXEMPTION NICK MARTINDALE
more cost-effective to pool those individuals,” she says. Under this model, labour would be employed directly by the new entity, and the constituent parts would need to take on responsibility for running this operation. But if the ultimate aim was to bring in the experience and efficiencies of an outsourced FM provider, it would be possible to appoint an organisation to manage this on their behalf, says Hall. “If it’s an FM arrangement, they would run that, and in addition to the cost-sharing benefits, they should get additional benefits from running things a lot more efficiently,” he says. “There’s obviously a VAT cost associated with bringing in those management services, but you’re not paying it on the labour.” There are, however, a number of potential issues for organisations considering going down this route. Pauline Hawkes-Bunyan, a VAT partner specialising in outsourcing at Deloitte, says much will depend on how HMRC interprets the five principles around which cost-sharing organisations must comply. How it interprets the phrase “directly necessary” will be an all-important factor. “The general consensus is that HMRC’s view is quite restrictive and that it should be a bit wider,” she says. “It’s likely there will be some litigation and test cases.” There are other concerns that come with establishing such cost-sharing groups, aside from ensuring they meet the VAT requirements. “There’s clearly a lot of issues around any costsharing entity and the form it takes, such as the composition of the board, contractual conditions, implementing effective performance management and driving efficiency in the vehicle, which are completely non-tax22 | 25 APRIL 2013 | FM WORLD
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GOLDEN RULES There are five conditions attached to the cost-sharing exemption: There must be an ‘independent group of persons’ (a cost-sharing group or CSG) supplying services to persons who are its ‘members’ ● All the members must carry on an activity that is exempt from VAT, or one that is not a business activity for VAT purposes ● The services supplied by the CSG, to which the exemption applies, must be ‘directly necessary’ for a member’s exempt (and/or non-business) activity ● The CSG only recovers, from its members, the members’ individual share of the expenses incurred by the CSG in making the exempt supplies to its members. The application of the exemption to the supplies made by the CSG to its members is not likely to cause a distortion of competition. ●
“If organisations don’t, won’t or can’t share with others, they can look at sourcing services via a special purpose vehicle” related,” says Hawkes-Bunyan. Often, though, organisations are reluctant to pool their resources, either for practical or ideological reasons. Here, too, there is a means of legitimately exempting themselves from VAT, through the establishment of joint venture arrangements. “If organisations don’t, won’t or can’t share with others, they can look at sourcing services through a special purpose vehicle and use VAT grouping rules to eliminate the VAT cost on the labour,” says Hall. How such arrangements are set up varies, he says, with the customer organisation likely to take a stake from anywhere between 51 and 100 per cent, and both parties likely to transfer staff into the new vehicle. An example of this is Romec, he says, which is a joint venture arrangement set up in 2011 between Royal Mail Group and Balfour Beatty. In the arrangement, the former has a 51 per cent stake; a minimum requirement for making such arrangements work from a VAT
perspective. Any VAT savings would again only apply to the labour aspect, with management fees continuing to attract the tax. Historically, some supplier organisations have sometimes been reluctant to get involved in such arrangements, but that is starting to change, says Tate. “Suppliers might not have previously been interested in these more complex arrangements, because they’re more expensive to set up and engage in, and they might end up getting slightly lower margins out of them,” he says. “But as the outsourced FM market becomes more mature and more competitive, many will now actively consider these.” These joint venture arrangements have both pros and cons attached to them, suggests Hall. “As they would be in a one-to-one relationship with the provider, there’s a lot more scope to really refine the services and the delivery to what that institution wants; you don’t have to give concern to anybody
else,” he says. But alongside this is the desire of funders and – for public sector organisations, the government – to encourage collaboration and cost-sharing across the board, which could make the cost-sharing groups a more politically acceptable solution, he adds. Ultimately, the current economic and political climate is likely to be the deciding factor in whether or not organisations take advantage of these opportunities, suggests Mark Wesley, performance improvement partner at Ernst & Young. “In the past, I’ve always found that when change is optional, it’s at the bottom of the agenda. But when it’s essential, people just work harder to get through the obstacles,” he says. “Many have picked all the low-hanging fruit and they’re now looking for innovative ways to squeeze out the last bits of inefficiency from wherever they can.” For FM organisations, this could be very good news indeed. FM www.fm-world.co.uk
18/04/2013 12:18
Selected forthcoming features in FM World: 23rd May issue: Catering Contract Management 6th June issue: Building Management Systems 20th June issue: ThinkFM report 4th July issue: Third Spaces 15th August issue: Workplace interiors
9th May & 6th June are event issues with extended print runs Book your space now!!!
5th September issue: Carbon Footprint 3rd October issue: Cleaning innovations
We have something of interest for all advertisers. For a full 2013 features list visit:
www.fm-world.co.uk/about-us or contact
norbert.camenzuli@redactive.co.uk / 020 7880 7551 richard.york@redactive.co.uk / 020 7880 8543
Features are subject to change - please contact the editor for further details. FM World welcomes contributions and ideas for articles. Send a short synopsis to Martin Read at martin.read@fm-world.co.uk. Please note that we reserve the right to edit copy submitted for publication in the magazine.
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17/04/2013 11:30
FM FEATURE BIOMASS MARK HARRISON
A consistent supply of fuel is needed for a biomass system (below); Bradfield School in Sheffield (right)
THE BURNING ISSUE
Has the FM sector realised the true energy potential of biomass? Mark Harrison asks whether a wood-burning system can really be an alternative for energy buyers
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B
iomass may be enjoying a lot of publicity right now, but the idea itself is not new. Since the discovery of fire, man has been burning wood to keep warm. And this ancient concept is at the heart of the most modern biomass systems, used to generate power and heating. Over the past decade, there has been a definite upsurge in the interest in biomass. Alfred McAlpine (before it was acquired by Carillion) built, installed and maintained a biomass system fuelled from fields of willow, less than ten years ago. Elsewhere, the Drax power
station in North Yorkshire began a project to source the majority of its fuel from biomass, way back in 2003. The Drax site provides a huge 7 per cent of the UK’s electricity, making the site the single largest source of carbon dioxide emissions in the UK. It burns one million tons of biomass fuel, comprised of a variety of sources, such as peanut husk pellets, rape straw, and purpose-grown energy crops, most of which is currently imported from overseas. Research commissioned in the alternative energy sector by consultancy Sustainable Venture Intelligence, indicates www.fm-world.co.uk
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BIOMASS
“Woodchip dust is known to be 1,000 times more flammable than coal dust; clearly, this material has specialist storage requirements”
that medium-sized biomass boilers (200-1,000 thermal kilowatts) will be very attractive for organisations in the public and commercial sector. Social housing projects, and networked district heating schemes, were highlighted as being likely applications. The research suggested that the medium-scale biomass market is then likely to experience a ‘gold rush’ in 2015-17, as falling technology costs coincide with attractive government subsidies, creating a heavily incentivised market. However, government policy at that time remains, quite understandably, an unknown. www.fm-world.co.uk
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FM QUICK FACTS
2015-17
The period the medium-scale biomass market is likely to experience a ‘gold rush’
200-1,000kW A typical medium-sized biomass boiler
What is clear is that biomass has proved to be an effective, and in many cases, cheaper option – especially to gas and oil. For some organisations, the environmental drivers are paramount; but none outweigh the commercial imperatives. Hence, the actions of major highstreet brands like Marks and Spencer are hugely influential. M&S already has a major green building programme underway for its new stores, which has seen it deploy clean technologies such as biomass boilers, LED lighting and water-saving technologies. From the facilities manager’s point of view, service providers
must meet the requirements of intelligent clients like M&S, for whom sustainability is high on the agenda. They must anticipate the end users’ desire to save money, while seeking greener power options. Biomass is not necessarily simple, however. Like any new technology, it needs research and testing, preferably with the equipment it will be used with. For instance, woodchip dust is known to be 1,000 times more flammable than coal dust; clearly, this material has specialist storage requirements – just like any other source of fuel, such as gasoline or jet fuel. It FM WORLD | 25 APRIL 2013 | 25
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FM FEATURE BIOMASS MARK HARRISON
Bradfield School sources biomass from nearby woods to provide heating
boiler, and, due to the design, the woodchip tends to be taken from the middle of the pit. As a result, woodchips collect around the sides. To ensure all the fuel gets used, the team rakes the chips manually into the middle of the pit – prior to each weekly delivery – which safeguards against the ingress of damp. Because the woodchip has low moisture content it burns very efficiently. There is little waste, and if the entire pit burned, it would only produce a carrier-bag’s worth of ash, which, being a good fertilizer, is used to encourage grass growth in hard-to-seed areas around the school.
Conclusions
is essential to keep woodchip covered, as dampness will reduce its burn efficiency. Also, the fuel pellets need to be pushed to the middle of the container, because again, dampness can result from prolonged contact with the sides. For this reason, a consistent, reliable supply must be found.
Bradfield School Vinci Facilities took on the challenge of specifying a 350kW biomass boiler at Bradfield School in Sheffield. The school, which has around 1,050 staff on pupils on site, was due to open its new building in October 2012. Fortunately for Vinci Facilities and Vinci Construction, the team designing and building the new facility had some useful prior knowledge. Over the past six years, local authorities in South Yorkshire have gained a national reputation for encouraging the installation of new heating systems based on woodchips, for many residential complexes and blocks of flats. There are now 20 such sites in the region. 26 | 25 APRIL 2013 | FM WORLD
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The local authorities work with Sheffield Wildlife Trust to supply and manage a reliable source of fuel from the local area. Vinci Facilities staff visited several biomass installations at schools in Sheffield and Leicester, speaking to site staff in charge of maintaining the systems. Reliability was the issue that came to the fore; foreign bodies in the fuel, or over-sized wood pieces in the storage pits, had found their way into some units, causing damage to machinery, and, consequently, interruptions in performance. It was clear that a reliable source of fuel would be a top priority for the school.
Fuel for thought Fortunately, Bradfield School’s new buildings were adjacent to woodland, already under contract with Sheffield City Council, and ready to be used as a source of biomass material. A boiler of the size installed at the school requires around 25 cubic metres of woodchip per week at full capacity; this is all supplied
FM QUICK FACTS
25m3 350 Kw
Fuel requirement of boiler in school, per week
Power output of the boiler
from Grenoside Woods, next to the site. Sheffield City Council provides the woodchip through a partnership agreement with the school, and takes delivery of 30 cubic metres of fuel every week during the winter months.
Maintenance Maintenance is carried out on the equipment by the supplier, on a six-monthy basis. The fuel is stored in a 55 cubic metres woodchip pit. An augur funnels the chips into the biomass
As the example of Bradfield School shows, biomass can be an efficient and reliable source of energy. However, key to the success of this project was the effort of the specifiers to seek out advice from those who had used similar systems. Across the wider sector, there is an opportunity for FM providers to take up a position at the forefront of implementing these systems. However, the challenge will be in ensuring the biomass solution is appropriate, given the specifics of the project. Schools, new facilities on business parks, and some newbuild offices are all capable of supporting biomass, with the right infrastructure and supply chain. Managing biomass within an existing building might be less straightforward. Few commercial premises, for example, are blessed with the space needed for a large storage pit, or indeed, access for frequent deliveries of fuel. Facilities managers should seek advice before installing biomass systems, in order to take full advantage of the economic and environmental benefits of this increasingly popular fuel type. FM Mark Harrison is project manager, Vinci Facilities
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17/04/2013 18/03/2013 11:28 16:36
FM FEATURE DRINKING WATER PAUL PROCTOR
The case for plumbed-in vs. delivered bottles of drinking water has moved on a step with refillable water bottles that can be branded, as Paul Proctor explains
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P
ure, chilled and well-presented water encourages your staff to drink more, improving their health and wellbeing. And, increasingly, organisations are turning to plumbed-in water filtration systems. These systems give users access to an endless supply of chilled still and sparkling drinking water to serve in reusable glass bottles. Such bottles can now be pre-branded for use in almost any corporate environment, hotel, restaurant, hospitality venue, or by contract caterers. The case for plumbed-in water can be summarised in three key points: firstly, drinking water from this source costs less to produce than bought-in bottled water. A still and sparkling water system can be designed and fully installed, with free bottles, dishwasher trays and carrycrates, for around £38 a week, including servicing and full parts replacement. Based on these figures, were your organisation spending more than this on bought-in bottled water – around 10 litres per day – you would potentially save money from the first week of operation onwards. Many businesses are finding that rather than costing more to take the ‘sustainable’ option, it’s actually costing them less. The second argument is that the water generated is less environmentally damaging to produce, thus improving sustainability and CSR credentials. The third and final argument, is that because the water is pure, chilled and presented in glass bottles (with tamper-evident caps, if required), staff are encouraged www.fm-world.co.uk
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to drink more, improving their health and well-being. Perhaps the least-used benefit of plumbed-in water systems is the bottle branding aspect. All-too-often we see that organisations fail to make the most of opportunities to promote these positive messages. They are not communicating these benefits effectively, missing an opportunity to engage with staff, and often customers, on important aspects of their business. The key here is in using the branding capability of the bottle in a constructive way. As well as printing the organisation’s logo, some organisations now add a sustainability or health message. One typical example might read: “This environmentally friendly water is purified here on site through a sophisticated seven-stage process that delivers unrivalled purity and taste. So there are no food miles, no waste, just fresh still or sparkling water in a reusable bottle.” A branded serving font can also become a constant reminder to users that the organisation is contributing to a green and healthy initiative, every time water is being served. The cost of the system depends on the exact specification and the volume of drinking water required. However, costs are typically broken down into an original capital cost (which includes bottles and crates etc.), and an ongoing care and maintenance contract. Still and sparkling water systems are typically installed by the supplier, who also provides the bottles, dishwasher trays and carry-crates. They are constructed in component form, making them adaptable to available space. Most installations are the straightforward, ‘under-sink’ type with a back-of-house style font over or near the sink itself. Installation can usually be carried out in two to three hours, while www.fm-world.co.uk
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“Key here is in using the branding capability of the bottle in a constructive way – perhaps for company logo” FM QUICK FACTS
£38 p/w A still and sparkling water system can be designed and installed for around £38 per week, which includes bottles, dishwasher trays and carry-crates
proximity to the existing mains water system is a prerequisite. It’s difficult to be specific about the exact savings achievable through filtered water because many factors affect the calculation (previous usage and costs, previous storage and waste disposal practices, energy prices, and changes in the volume of drinking water used). However, branded bottles undoubtedly serve as a visual reminder of the commitment your organisation is making to sustainability. FM Paul Proctor is managing director of EcoPure Water
The ‘swing-top’ bottles are a familiar feature of meeting rooms across the world; now they can be branded (above)
SUSTAINABILITY
GREEN CARD? Making the most of clients’ desire to showcase their sustainability credentials, and EcoPure Water now offers clients a ‘green passport’ – a certificate issued every time the system is serviced. The company’s engineers are able to determine the quantity of filtered water produced since the system was installed or last serviced, and from this data, the environmental savings can be calculated and printed on the ‘green passport’ certificate. This can be expressed in terms of carbon savings, number of bottles saved from landfill, and/or the reduction in packaging and plastic waste. The certificate is then displayed for all to see, providing an up-to-date reminder of the contribution the system is making to the organisation’s CSR. FM WORLD | 25 APRIL 2013 | 29
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FM MONITOR JIM WALLACE
TECHNICAL
Jim Wallace, associate director, Seaward
ELECTRICAL SA FET Y AT WO R K
im Wallace finds that the new IET J Code of Practice for maintaining the safety of electrical equipment will require a more robust approach to risk assessment A renewed emphasis on riskbased approaches to electrical safety at work is likely to pose a significant challenge for FMs responsible as health and safety duty holders, and also those carrying out electrical testing. The revised IET Code of Practice for In-Service Inspection and Testing of Electrical Equipment is essentially the third step in a process that started with the publication of the Löfstedt Review on health and safety. This process continued with the HSE’s revised guidance on maintaining portable electrical equipment in low-risk environments. In all cases, concern was expressed that the implied legal requirement for maintaining the safety of electrical appliances was being applied too broadly and disproportionately, resulting in situations of over-compliance, particularly in more benign working environments. The IET Code of Practice is now in its fourth edition. It focuses on the importance of taking a proportionate response to ensure that all workplace electrical systems should be maintained to prevent danger, so far as is reasonably practicable and in line with the requirements of the Electricity at Work Regulations 1989. To do this, it says that electrical equipment inspection and testing regimes should be based on a more structured and robust 30 25 APRIL 2013 | FM WORLD
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approach to assessing the safety risks posed by appliances. Importantly, the code’s emphasis on risk assessment is completely consistent with the existing legal requirements of the Management of Health and Safety at Work Regulations 1999. Regulation Three of the regulation requires all employers and self-employed persons to assess the risks to workers and others who may be affected by their undertaking. Employers with five or more employees should also record the significant findings of that assessment. The implication is that only when the risk of using electrical equipment has been assessed and understood can it be managed through a programme of inspection and testing. In fact, the code has always advised that the frequency of inspections and testing should be reviewed on a regular basis, after an assessment of the risks associated with the use of a particular appliance. Greater prominence is given to this approach, which also emphasises that risk-based assessments are the responsibility of the duty holder, but that a duty holder may enlist the services of a competent person, such as an outside PAT company, to assist in this process.
The factors of risk To comply with the new guidance, duty holders need to understand
that risk encompasses many factors that can eventually influence a final decision. With electrical equipment, this should include a full consideration of the environment in which the equipment is being used, the level of user awareness, the equipment construction and type, frequency of use, previous records and type of installation for fixed appliances. Consideration of all of these factors should culminate in an informed decision being made on the frequency of any inspections and tests required. To further reflect the new emphasis on assessment of risk, the IET also stresses that its own widely-used table on test intervals included in the code should be used only as a guide to the initial frequencies of inspection and testing. Future and continuing inspection and test intervals should depend on ongoing risk-based assessments, with periods being increased, decreased or kept the same, as appropriate. Duty holders have a legal responsibility to ensure that the electrical equipment in their charge is safe and it is their responsibility to decide whether or not to vary the inspection and test frequencies. However, in doing so, the new advice makes it clear that duty holders can, if necessary, take advice from the person doing the inspection and testing.
Also, in a significant change to existing practices, it is also now recommended that the date for re-testing should not be marked on the pass label attached to an electrical item. Instead, it is advised that the duty holder should determine the date for the next inspection and/or tests on a risk-assessment basis and record this on their ‘Equipment formal visual and combined inspection test record’. This, again, is a change in emphasis and is likely to place even greater importance on the management of effective test and maintenance records.
Testing saves lives Over many years, there is indisputable evidence that the periodic in-service testing of electrical equipment has prevented injuries, saved lives and avoided workplace fires that would otherwise have been devastating for those involved. This has not changed. However, in certain situations, an over-zealous approach to testing has led to costly overcompliance with the regulations. The new emphasis on risk assessment is designed to overcome this. In clarifying the responsibilities of FM duty holders, the code will help to ensure that those involved in maintaining electrical safety make more informed decisions on the scope of inspection and testing, tailored to suit their own circumstances. FM
“The periodic testing of electrical equipment has prevented injuries, saved lives and avoided workplace fires that could have been devastating” www.fm-world.co.uk
18/04/2013 12:19
FM MONITOR JAMIE HARRIS
TO-DO LIST
Alan Ferguson is head groundsman at St. George’s Park
G ROU N DS M AINT ENA N CE, ST GEO RGE’S PA R K
or Alan Ferguson, head groundsman at the Football Association’s National Football Centre at St George’s Park, spring has come not a moment too soon
HANNAH TAYLOR
F
The harsh winter months of 2012 and 2013 have not been kind to football pitches in the UK. Postponements have affected many teams’ preparations, while at St George’s Park (SGP), the issue has been exacerbated. The centre, which opened in October 2012 (see FM World, 28 March 2013), represents a concerted effort on behalf of the Football Association to create a national team capable of winning a major tournament. So far, the project has proved extremely popular. “Teams are now coming to train here, rather than flying out to Spain or Dubai in the winter,” says Ferguson. “We have had 86 per cent occupancy in the first year, with some pitches carrying three sessions a day. We have been operating an ‘open door’ facility, but that is arguably too much for a pitch to cope.” Ferguson and his team maintain a variety of different surfaces, from natural grass to an indoor, synthetic 3G surface. St George’s Park also houses www.fm-world.co.uk
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an exact replica of the Wembley Stadium pitch. Artificial grass fibres intertwined with the grass roots results in a hybrid grass pitch, designed to shorten recovery time for the surface. Youth international matches have already been played on the surface. Ferguson began his professional career outside football. Taking a green-keeping apprenticeship at St Andrews golf course in Scotland, he was course foreman for three years. “In the 1990s, the profile of football expanded. I joined Sports Turf Services, which had a number of grounds maintenance contracts with Scottish football clubs. It was through this I was offered a job at Rangers FC.” Ferguson later moved to Ipswich Town FC, where he was recognised as ‘Groundsman of the Year’ in the annual league-wide competition. He also won two national titles, before being offered his current role at SGP in August 2011. One of his first tasks was to get the pitches up to a world-class
TASKS Daily preparation PItches require daily preparation before and after each session. Five pitches at St George’s Park have under-soil heating and these were the only pitches available for use throughout the recent cold winter. “The difference between a stadium pitch and the training pitches at St George’s is that we often need to focus on concentrated areas. Training routines will often be in the penalty area only, or in smaller areas of the pitch. The surface needs greater attention after these sessions.” Debris removal Ferguson’s 14-man team cleans debris and loose turf on the surface after every session. Any decaying organic matter can reduce the air, water and nutrient intake into the soil. “What’s underneath the surface is still in good condition. Even if grass looks thin, as long as the pitch remains stable, it is usable.” Mowing Mowing influences grass density and weed invasion. It is recommended that grass is kept to 25-30mm in height. “We are cutting the grass a bit more than I thought we would this year after such a spell, but we are quite happy with where we are right now.” Aeration Ventilating the soil improves drainage and aids in root development. Essentially, air in the soil is replaced by air from the atmosphere. Aeration takes place twice a month, depending on usage and conditions. Spikes and rollers are used to create slits in the surface to keep the turf permeable and receptive to watering. Hand forks are used on local areas of damage. Over-seeding Over-seeding involves using a roller fitted with short spikes and a seed box, which drops the seed into the holes in the ground. This is carried out every couple of weeks. An alternative process, drill seeding, sees machinery ‘drilling’ the seed below the ground. This results in a stronger root, but in order to minimise surface damage, particularly during busy times at SGP, over-seeding is the preferred process. 3G pitch maintenance An indoor 3G pitch supplemented the heavy schedule of the five heated outdoor pitches during the winter. A groundsman will typically draw a mixing and aerator unit across the pitch, akin to the process on a grass pitch, to re-distribute infill.
standard, as well as managing one new-build surface. “Nine pitches sat dormant for years, as the project was put on hold while Wembley Stadium was built,” explains Ferguson. “We had to remove layers of dead fibre on the surfaces, as well as managing a new-build facility. This was a huge project, which involved carrying out a series of
performance tests to ensure a professional standard.” In the future, the centre will look to segregate its commercial activities from its England commitments. For the next few months at least, renovation work will take place, giving both the team and the pitches some overdue breathing space. FM FM WORLD | 25 APRIL 2013 | 31
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FM PEOPLE MOVERS & SHAKERS
BEHIND
THE JOB What attracted you to the job? Like many in the industry, I fell into the role. I started at the college in 2000, giving them some advice on fire safety. This led to being offered a junior post within the facilities team. I began to take on more responsibility, was promoted to assistant manager and then estates manager. More recently I became director of facilities.
NAME: Steve Vincent Marshall JOB TITLE: Director of facilities ORGANISATION: Berton Peveril Sixth Form College, Eastleigh JOB DESCRIPTION: To provide an efficient and effective provision for property management by advising and assisting the senior leadership team in planning, organising, controlling and maintaining the college’s building portfolio, its services and infrastructure.
ON THE
MOVE Changing jobs? Tell us about your new role and responsibilities. Contact Jamie Harris Jamie.Harris@fm-world.co.uk
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If you could change one thing about the industry, what would it be? I would like to change people’s perception of FM. It’s a professional career path, but, unfortunately, it’s not seen as that by many. We need to shout from the roof tops about its importance and what it can offer.
My top perk at work is… When people say thank you. Those two words can go a long way, and they’re not used often enough.
If I wasn’t in FM, I’d probably be... Working within motorsport somewhere, or in either of my two dream jobs: a ski instructor or commercial airline pilot.
What’s been your career high point to date? A personal high point would be passing BIFM level 4 and level 5 in just under two years. My working high point would be completing three major building projects all on time and within budget.
Which FM myth would you most like to put an end to? That all FM staff are mind-readers. Surprise, surprise, we are not. We did not know that your light stopped working two days ago – you need to report it!
What has been your biggest career challenge? Probably the same as many organisations: getting others to understand the importance of FM, what we bring to an organisation and how we can actually help it. Believe it or not, we don’t sit around all day drinking tea only reacting to an issue when someone shouts loudly enough.
How do you think facilities management has changed in the past five years? FM has become one of the key foundations for any business. A modern FM is often required to have knowledge and understanding of specialist areas, such as health and safety, finance and legislation, and many now sit at board level.
If you could give away one of your responsibilities to an unsuspecting colleague, what would it be? Probably HR. It takes up a lot of my time and I often feel like an ‘agony uncle’. On the other hand, it’s nice that my staff feel they can talk to me about a problem.
What single piece of advice would you give to a young facilities manager starting out? Be open minded about what FM is. The role has changed and expanded so much in recent times that young FMs should obtain as broad a knowledge of all aspects of FM as possible.
Community Health Partnerships, the company set up by the Department of Health to take over the work of the Primary Care Trusts (PCTs), has announced the appointment of four corporate property managers. The new team is led by Neil McElduff (above), director lead for property. The appointments are Lesley McGregor (North East), joining from FM provider OCS; Gavin Hindley (London), a chartered surveyor with experience in estates and FM, with extensive experience of LIFT; AnnMarie Grant (North West), who has
worked within the NHS since 1993 and brings a range of estates, facilities, PFI and LIFT experience; and Riana Relihan (Midlands) who joins CHP from Oxfordshire PCT, where she was most recently project director and head of capital & estates. Arthur McKay Building Services has appointed Michael Floyd (above) as director of facilities management. Floyd has worked at Arthur McKay since 2008. He will be responsible for all hard aand soft service operations in the UK. Floyd was preiously a
branch manager at GSH and facilities manager at EICC. Transport specialist Rhys Davies Freight Logistics has appointed Andy Williams (right) as fleet operations manager, based at the company’s headquarters in Cardiff. Williams has previously worked for Rhys Davies as a fleet engineer in the 1990s. Williams will be responsible for managing the operations of RDFL’s 180 vehicles and keeping the company ahead of developing compliance issues. He will also oversee fleet efficiency.
www.fm-world.co.uk
18/04/2013 14:38
FM MONITOR MARKET INTELLIGENCE
INSIGHT
The figures on this page have been compiled from several sources and are intended as a guide to trends. FM World declines any responsibility for the use of this information.
PRIVATE CONVERSATIONS IN THE WORKPLACE
ECONOMY
VAT rates: Standard rate – 20% (from 4 January 2011) Reduced rate – 5% Zero rate – this is not the same as exempt or outside the scope of VAT
30%
OF EMPLOYEES RANK “PRIVATE CONVERSATIONS” AS IMPORTANT IN THE WORKPLACE
Source: HM Treasury (hmrc.gov.uk)
Bank of England base rate: 0.5% as of 4 April 2013. The previous change in bank rate was a reduction of 0.5 percentage points to 0.5% on 5 March 2009.
WITH JUST
21%
Source: Bank of England (bankofengland.co.uk)
Source: ONS (www.ons.gov.uk)
EMPLOYMENT
National Minimum Wage The following rates came into effect on 1 October 2012: Category of worker
Hourly rate from 1 Oct 2012
Aged 21 and above
£6.19
Aged 18 to 20 inclusive
£4.98
Aged under 18 (but above compulsory school age)
£3.68
Apprentice rate, for apprentices under 19 or 19 or over and in the first year of their apprenticeship
£2.65
SATISFIED THAT THEIR WORKPLACE SUPPORTS THAT ACTIVITY
WHILE 57% RANK “QUIET ROOMS FOR WORKING ALONE OR IN PAIRS” AS AN IMPORTANT PART OF AN EFFECTIVE WORK ENVIRONMENT
JUST 24% ARE SATISFIED WITH THE PROVISION IN THEIR WORKPLACE
24%
Employers are losing productivity because of inadequate quiet working space in the workplace. New data from Leesman Index reports that only 24% are satisfied with the provision of “quiet rooms for working alone or in pairs”, even though 57% consider it as an important part of an effective work environment. This raises big questions for both managers and designers, says Andrew Mawson, MD at professional services firm AWA. “Distraction from interruption is the biggest cause of lost productivity,” he says. And
neither management nor traditional office design measures workplace productivity, Mawson claims. “Until a proxy productivity measurement is created,” Mawson suggests, “everything is focused on cost. Organisations under pressure for space often just take out the meeting rooms,” making the problem worse. Worse still, the science behind the number and size of meeting spaces “is simply not there,” Mawson notes. “Meeting rooms are almost always too big. Space for 6-8 people is being used by 2-3.”
UK MARKET FOR MECHANICAL AND ELECTRICAL CONTRACTING 2007–2013 BY VALUE (£BN)
The M&E market was valued at around £14.1 billion in 2012, a decline of 23% since its peak in 2008. However, research predicts a return to growth next year, boosted by a recovery in construction and a focus on carbon reduction. It notes that one growth area in recent years has been improving energy efficiency, driven by increasingly stringent government legislation. The sector’s future health relies on the development of further avenues of business, which is a pressing concern due its maturity. The research highlights the trend of some larger contractors expanding services to include design and build capabilities or total management of hard FM projects.
20 18
VALUE – £BN
Consumer Price Index (CPI): The Consumer Prices Index (CPI) annual inflation grew by 2.8% in March 2013, unchanged from February and following four consecutive months where it stood at 2.7%. The largest upward contributions to the rate came from the recreation and culture sector, where there were price rises for audio-visual equipment and books, newspapers and stationary.
57%
16 14 12 10 2007 2008 2009 2010 2011 2012 2013 2014 EST
FCST FCST
Source: Leesman Index (www.leesmanindex.com)
Source: AMA Research (www.amaresearch.co.uk)
www.fm-world.co.uk
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BIFM NEWS BIFM.ORG.UK
Entries are closing for this year’s BIFM Awards, to be held at the Grosvenor House Hotel in October
LEADERS FORUM
The BIFM FM Leaders Forum series brings together leading minds and practitioners in the field of FM. The aim is to discuss issues and stimulate further debate through the use of a discussion paper. The discussion paper, which ties together findings from the session, is subsequently put together for members’ use. The latest forum featured a panel of FM industry commentators to identify the key themes and trends around the subject ‘The future of FM: emerging trends’. The outlook for the FM industry over the coming year and beyond was discussed. The 10 participants were encouraged to submit topics for discussion in advance to ensure that the key trends from all areas of the FM industry would be considered, including: > FM as a strategic player > The perception of FM within other business disciplines > The effect of the current economic downturn on FM > The impact of technology on FM > Anticipated trends emerging in legislation > How FM can attract top talent.
SAM KESTEVEN
Emerging trends
hotel in London to see the winners of the 2013 BIFM Awards announced. The ceremony takes place on Monday 14 October and tables and tickets are available now. By booking early, you can guarantee a prime position at the event, so if you are planning on attending, think about making your reservation now. Individual tickets are available, alongside tables of 10 and 12: ● Individual tickets – £230+vat ● Tables of 10 – £2,300+vat ● Tables of 12 – £2,760+vat The price includes a drinks reception, dinner, awards ceremony, entertainment and dance. i To secure your tickets or tables, or for more information, call 01279 712 640, email awards@bifm. org.uk, or go to www.bifm.org.uk/ awards2013.
BIM
Full details are available in the free The future of FM: emerging trends discussion paper at www. bifm.org.uk/fmlf. Previous FM Leaders Forums include ‘BIM and FM: bridging the gap for success’ and ‘FM procurement: who holds the power?’, which can also be accessed at www.bifm.org.uk/fmlf. i
AWARDS
Ceremony tickets The BIFM Awards is a highlight in the FM calendar. Over 1,300 of the industry’s most influential people will attend The Grosvenor House 34 | 25 APRIL 2013 | FM WORLD
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BIM4FM Survey Leading institutes, trade associations and professional bodies representing the built environment have joined forces to form the BIM4FM group, supported by the Cabinet Office Government Property Unit. The BIM4FM group provides an avenue for industry to input into the on-going development of BIM and Government Soft Landing work being developed
through the Cabinet Office Government Property Unit and BIM Task Group. To signal its launch, the group is promoting a survey to establish what FMs, owners and occupiers need from Building Information Modelling (BIM), establishing the level of awareness across the industry and the barriers that need to be overcome. Geoff Prudence, chairman of the BIM4FM group said: “Although BIM has long been discussed at the construction end of the supply chain, it has only recently and repeatedly started to raise its profile with those operating and using buildings. As the construction industry becomes more familiar with the concept of whole lifecycle costing, end users are increasingly being asked to input into the construction process at an early stage. “Therefore, we feel there is a need to understand the current perception and awareness of BIM from those using and managing buildings. The survey, which will be promoted across all of our respective organisations, is just one of the ways in which we intend to achieve this.”
i The survey is open for completion and is available at www. surveymonkey.com/s/BIM4FM The BIM4FM group intends to announce its results during summer 2013. The survey will remain open until 2 May 2013.
NORTH REGION
Summer ball The BIFM North region is holding its summer ball on Thursday 27 June at the iconic Hilton Hotel in Manchester. As part of its on-going support of the BIFM and the North region, Norland Managed Services is once again the headline sponsor for this fantastic networking event with over 250 of the North’s FM professionals celebrating World FM Day with a black-tie dinner and live music. Stephen Roots, North region chair commented: “We are one of the most active regions in the BIFM, with seven networking groups from Newcastle to Liverpool, and the summer ball gives members and non-members alike the opportunity to meet and network. With the support of our headline sponsors in Norland and our champagne reception sponsors, Axis Cleaning Services, the evening promises to be the
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18/04/2013 12:19
Please send your news items to communications@bifm.org.uk or call 0845 058 1356
premier networking event for facilities managers in the north of England.” Mark Muncaster, business unit director of Norland, added, “Norland is proud to continue our long standing support of BIFM and, in particular, to once again be the headline sponsor of the BIFM North region ball. We see BIFM as leading the way in shaping the facilities management industry. As one of the leading innovative suppliers within the sector, we are committed to the continued support of events, that bring individuals from the FM industry together”. i Further information and booking forms are available from north@ bifm.org.uk or by calling Stephen Roots on 07958 877 897.
SCOTTISH REGION
Vacant property Managing empty buildings is a hot topic for today’s facilities professional. It was an important issue for many of the FMs who attended a BIFM Scotland region event at Crossroads Caring Scotland on 19 March to listen to experts from empty property specialists SitexOrbis talk about managing vacant properties. Dave Richmond from SitexOrbis opened the discussion by talking about some of the issues facing vacant properties including loss of income, empty rates, compliance with insurance stipulations, increased maintenance and duty of care. Richmond outlined some of the dangers that befall organisations who fail to adequately manage their vacant buildings. A trespasser who fell through the roof of an empty building that was poorly maintained, for example, successfully sued for £567,000. www.fm-world.co.uk
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Ismena Clout is chairman at the BIFM
BIFM COMMENT ONE YEAR ON
o here we are. It’s now a full year since I became the chairman of the board of BIFM. What better time to ask myself how I’m feeling about it all. The answer: still very proud and thankful to have been given the opportunity. However, this sentiment is tempered by the knowledge that we still have so much more to do to make the institute even greater. Since I wrote my ‘Six months on’ comment piece, I would have to say the highlight for me has to be the BIFM Awards. It was a night when the industry really sparkles and cutting-edge practice and innovation steal the show. The BIFM Awards has proved to be the UK FM industry’s flagship event and a leading light internationally, with award winners and finalists achieving great success at the Global FM Awards. It was a real privilege to be on stage welcoming all the distinguished guests and then handing the awards to the winners. We finished the financial year in a strong position, for which I have to thank all the staff at head office for their diligent and hard work. In particular, I would like to thank chief executive Gareth Tancred and finance director Mark Morgan. Being stronger financially means that we have been able to attack this year with agility, determination and vigour. The board voted through a new medium-term strategy, from January, and we are already seeing actions and new initiatives take shape. There will be more communication on this in the coming months so do keep an eye out for that. I have also had the privilege of travelling to Malaysia to learn about the facilities management market there, meeting key stakeholders in both the private and public sectors. Highlights of the trip included going on live radio to discuss the profession and, on my final day, having a full backstage tour of the Petronas Towers. These are stunning buildings and so detailed on the exterior – truly unique architectural achievements. It hasn’t all been plain sailing, of course – this role provides me with lots of challenges and difficulties. But don’t they say the best things are always going to be hard, but with the greatest rewards? With just over a year to go in my term, what I am looking forward to the most? Well, of course we have the excellent Facilities Show in a month’s time. I will be opening the show on the first day and, this time, I hope the guys at UBM have a ribbon for me to cut! In June, we have our ThinkFM conference, addressing the leadership challenge. The programme is action-packed this year and I can’t wait to open it and spend the day learning, thinking and networking. I hope to see you at one of these great events or at our annual general meeting in July.
S
“BEING STRONGER FINANCIALLY MEANS THAT WE’VE ATTACKED THIS YEAR WITH AGILITY, DETERMINATION AND VIGOUR”
i For more information on upcoming events, visit www.bifm.org.uk/events
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BIFM NEWS BIFM.ORG.UK
BIFM TRAINING
The BIFM’s sustainability survey closes on 30 April
MEASURE WHAT MATTERS
eter Drucker famously said: “If you can’t measure it, you can’t manage it.” He wasn’t the first person to introduce the idea of quantifying performance (the Taylorists had been marching through the workplace with their clipboards and clickers since the 1890s), but he certainly invented a snappy strapline. The FM industry has seized on to it and won’t let go: dashboards, graphs, balanced scorecards and colourcoded reports abound. The problem is, we’re very often determining our performance by measuring things that are easy to measure, and not really counting the things that really matter. Let’s look at a couple of examples: Measures that ‘prove’ we’re doing more than we used to: Number of entries through our library turnstiles has trebled over the past eight years… Student headcount at our university has doubled… We receive 500 per cent more courier deliveries than we used to. But the click of turnstiles turns out to be library members going in and out to use their mobile phones and, in fact, the number of users has declined dramatically. Student numbers have grown, which means we’re working the campus harder, but the campus has not doubled, it has grown by 15 per cent. Courier deliveries are up due to staff deliveries from internet shopping – but we hardly receive anything in the post any more. We need to be careful not to draw the wrong conclusions. Measures that ‘prove’ we’re providing good service: We’ve benchmarked our cleaning costs and we’re in line with other buildings like this one… All calls to our helpdesk are answered within four rings… 100 per cent of visitors to our building are provided with a summary health and safety briefing. Cost isn’t the same as value though. What standard of cleaning are you receiving for the price you pay? Do customers feel their call to the helpdesk has been resolved to their satisfaction? Does the reception team make visitors feel welcome? ‘Measure what matters’ is a far more useful management maxim. This involves imagination as well as Excel, since so many of the interactions that go towards creating a customer’s service experience are subjective and individual. Most importantly, how do we objectify these impressions, to improve and enhance service?
P
Louis Fordham, general manager at SitexOrbis in Scotland, was keen to emphasise the need to take action to secure a property, given that a landlord’s statutory obligations remain intact, even when a property is vacant – empty buildings are covered under Occupiers’ Liability (Scotland) Act 1960. He discussed a site in Johnstone that had 18 open manholes. “The client had not been aware of the threat of the site until we were brought in to assess the risks and secure the site in the most appropriate manner. Should anything go wrong on the site now, the client has solid evidence that they have done what’s reasonably practical. This could be the difference between a £1,000 fine and a £1 million fine – or worse.” i Access the BIFM Good Practice Guide to Vacant Property Management at www.bifm.org.uk/ gpgs.
SUSTAINABILITY
SHUTTERSTOCK
Sustainable FM survey The BIFM’s sustainability survey closes on 30 April, so if you have not yet completed the survey, now is the time to have your say. This annual survey, developed in association with the University of Reading, is about sustainability in organisations and provides information on what is taking place in workplaces across the country. It helps us to understand the wide remit that FMs have in
36 | 25 APRIL 2013 | FM WORLD
34-36_BIFMNews.sr.indd 40
relation to sustainability, as well as the barriers and incentives that they experience. Changes over the years in responsibilities and the importance placed on sustainability by organisations can also be analysed. Thanks to the survey sponsors, Open Energi, whose website is www.openenergi.com. i Everyone is encouraged to complete the survey, which can be found at www.bifm.org.uk/sust2013.
MEMBERS
Corporate members The BIFM welcomed the following corporate members in March: ● Bespoke Establishments – consultant, provider of advice and guidance ● Energy & Technical Services – FM service suppliers, contractors ● Galbraith Property Services – FM service suppliers, contractors ● Green & Kassab – consultant, provider of advice & guidance ● Groom Property Maintenance – FM service suppliers, contractors ● Haworth UK – FM service suppliers, contractors ● Mears Group – FM service suppliers, contractors ● Planned Lighting Maintenance – product suppliers ● SSH Cleaning – FM service suppliers, contractors. i Learn more about Corporate membership at www.bifm.org.uk/ corporatemembership, email corporatemembership@bifm.org.uk or call 0845 058 1358.
Find out more, discuss these issues and learn about some practical techniques in BIFM Training’s regular one-day workshop on Managing FM Performance, next running on 11 July 2013 – call 020 7404 4440 or email info@bifm–training.co.uk
www.fm-world.co.uk
18/04/2013 12:20
FM DIARY INTERNATIONAL EVENTS 15–17 May | BCO Conference A full programme of plenary sessions, seminars, tours and social events, including talks on: changing culture to maximise value; innovation in austerity; survival of the fittest: lessons from other countries; and building information modelling (BIM). Venue: Hotel Meliá Castilla, Madrid, Spain Contact: www.bcoconference.org.uk 22-24 May | European Facility Management Conference 2013 Sustainability is the core focus of this year’s European Facility Management Conference (EFMC). Over 700 participants from all over the world are expected at the Prague Congress Center. Venue: Prague Conference Centre, Prague, Czech Republic Contact: www.efmc-conference.com 27 June | World FM Day 2013 A global FM initiative to celebrate the importance of the FM profession, raising the industry’s profile worldwide. This will be the fifth annual World FM Day. Visit the FM World website for last year’s highlights. Venue: Various global events. Contact: www.globalfm.org 2-4 October | IFMA World Workplace conference & expo The largest annual conference for FM includes exhibitors, discussions and networking. Venue: Philadelphia, Pa., US Contact: www.worldworkplace.org INDUSTRY EVENTS April and May | British Council for Offices regional awards dinners South West, Thames Valley and South Wales region – 25 April, 7pm, At-Bristol. London and the South East region – 30 April, 12pm, London Hilton, Park Lane. Scotland region – 3 May, 12pm, The Roxburghe Hotel. Midlands and East Anglia region – 10 May, 12pm, Birmingham Town Hall. Contact: www.bcoawards.org.uk/ dinner/events 8-9 May | Green Build Expo Green Build Expo focuses primarily www.fm-world.co.uk
37_Diary.sr.indd 41
Send details of your event to editorial@fm–world.co.uk or call 020 7880 6229
on professionals working in the volume housing and non-domestic building sectors. Green Build Expo has expanded its focus to wider construction sectors, which include hotel and leisure, retail and offices, as energy saving and refurbishment have impacts on these areas, too. Venue: Manchester Central Convention Complex Contact: www.greenbuildexpo.co.uk 14-16 May | Facilities Show Organised in association with the BIFM, the Facilities Show has established itself as the leading meeting place for the industry. Free education and CPD content, with hundreds of suppliers and exhibitors in this three-day event. Venue: NEC, Birmingham Contact: www.facilitiesshow.com 10 June | ThinkFM 2013 The leadership challenge. ThinkFM is a day of learning, debate, interaction and networking, brought to you in association with Workplace Law. Delegates will take away new ideas to make a difference to their organisations. There will be three hubs: talent, performance and relationships in FM. Keynote speeches from Jim Lawless, CEO, Taming Tigers, and Chris Kane, facilities director, BBC. Venue: Royal College of Physicians Contact: gary.williams@ubm.com or visit www.thinkfm.com 24-25 June | 33rd Facilities Management Forum In this ever-changing environment, all companies need to source sustainable FM services, products and solution providers that offer the best value for money. At the forum, you can find them quickly and efficiently. This event is specifically organised for FM directors and managers who are directly involved in the procurement of FM services. Venue: Heythrop Park, Oxfordshire Contact: Robert Wye at r.wye@forumevents.co.uk or call 01992 374 100 14 October | BIFM Awards 2013 The BIFM Awards is the most influential networking event within the UK’s FM calendar and gives national recognition to the leaders in our profession. The BIFM Awards is designed to
celebrate the increasingly strategic profile of FM by highlighting the key role it plays in the success of public and private sector organisations. The night of the awards ceremony brings together the leaders of our sector with the winners, finalists and high-profile guest presenters to celebrate excellence in FM. Venue: Grosvenor House Hotel, London Contact: communications@bifm. org.uk or call 0845 058 1356
the Tower of London. There will be a maximum of 50 guests and will include the world famous Ceremony of the Keys and refreshments. Venue: The Tower of London Contact: Bernard Crouch on 07782 287 074 or email bernard@ gunnersbury-consult.co.uk The BIFM London region holds its monthly CPD events on the first Tuesday of every month. Contact: www.bifm.org.uk/bifm/ groups/regions/london/events
EASTERN REGION SCOTLAND REGION 16 May | Regional resilience Regional Resilience events provide a platform to bring supplier and industry experts together, providing insight and advice for all levels of business continuity experience. The half-day event provides formal presentations followed by a ‘meet the supplier’ area in the networking space. Venue: The Old Hangar, Sibson, Peterborough PE8 6NE Contact: Email Steve Dance at steve1dance@btinternet.com or register at regionalresilienceeast. eventbrite.com/ MIDLANDS REGION 13 June | Regional resilience The midlands event is hosted by Convenco Recovery Services. The event is free to both suppliers and delegates, providing presentations and networking opportunities. Venue: Convenco, Lombard Way, Banbury, OX16 4TJ Contact: Email Steve Dance at steve1dance@btinternet.com LONDON REGION 7 May | Question Time A panel of six leading industry guests, led by a chairperson, will debate hot issues from the world of FM, with audience participation. Venue: TBC. Check www.bifm.org. uk/events for updates. Contact: erik.williams@talk21.com 30 May | Regional golf day Qualifying for September’s finals. Venue: Highgate Golf Club, Denewood Road, London N6 4AH Contact: Don Searle at 07850 098912 or email Don@c22.co.uk 26 June | Water compliance at the tower An event considering water compliance, taking place at
30 May | Regional golf day Sponsored by FES FM. Venue: Bishopbriggs Golf Club, Brackenbrae Road, Bishopbriggs, Glasgow, G64 2DX Contact: Call 01977 598 914 or email bill.anderson@telerealtrillium.com SOUTH REGION 25 April | People in FM A people-based seminar, concentrating on recruitment and selection and BIFM qualifications. Speakers include Ashleigh Brown and Alison Halfpenny in the FM recruitment sector, and Rachel Hiscox at BIFM Training. Venue: Specsavers, Forum 6, Solent Business Park, Whiteley, Hampshire, PO15 7PA Contact: frank.milner@milhow.com SOUTH WEST REGION 26 April | Breakfast seminar – waste management Seminars on best practice in sustainable waste management. Also focusing on the procurement chain in order to reduce waste before it even arrives on site. Venue: Newport Hilton Hotel Contact: Darren Crossman at dcrossman@wru.co.uk BIFM SIG EVENTS 25 April | Education SIG – Best practice in legionella control and energy management Presentations on metering and energy control devices, and health and safety requirements and responsibilities for legionella control. Venue: Sheldonian Theatre, Oxford University Contact: Call Mark Gale on 0333 323 0207 or email mark.gale@cataxsolutions.com FM WORLD | 25 APRIL 2013 | 37
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FM NEWS
Call Richard York on 020 7880 8543 or email richard.york@fm-world.co.uk For full media information take a look at www.fm-world.co.uk/mediapack
FM innovations ▼ Jangro to raise £100,000 for charity Jangro, the largest UK network of independent janitorial supply companies, has teamed up with Macmillan Cancer Support to raise £100,000 by the year-end. Jangro has organised sponsored walks and fun days for staff and families throughout the country. Employees are organising sponsored bike rides, fivea-side football, swimming and coffee mornings. Suppliers have joined in by donating generously to a Jangro Christmas raffle for staff, suppliers and customers. Prizes include luxury weekend breaks, theatre tickets, four-ball at Lytham Golf Course, iPads, iPods, Kindle Fires and more. Macmillan Support Line: T: 0808 808 0000 W: www.macmillan.org.uk. Jangro fundraising details: T: 0845 458 5223 E: enquiries@jangrohq.net W: www.jangro.net
▲ Avica for customer service
▲ Fountains wins at National Grid
Avica, the leading independent southern janitorial and catering supplies company, is increasing stock levels and extending order cut-off time at all three centres. Avica has extended the weekday order cut-off time for next-day deliveries from 4pm to 5pm, and orders over £45 will be delivered free. Jeremy Thorn, MD, said: “Most janitorial supply companies have a cut-off time of 2 or 3pm, with many orders on a two or three-day service. We have always closed orders at 4pm, but to meet customer needs, we have moved to 5pm. 99 per cent of orders are delivered next day because of our high stock levels and forecasting customer needs.” All Avica trade counters (open from either 8.30 or 9.00am – 5.00pm) will have upgraded facilities for personal callers. W: www.avica-uk.com T: 01923 210 009
Fountains, part of TFM provider OCS Group UK, has been awarded nearly £5 million of work with National Grid to paint electricity pylons around Yorkshire and Newcastle in 2013. The work, which was won under the Provision of Tower Painting and Maintenance Services framework agreement, is part of National Grid’s ongoing maintenance and refurbishment programme of their overhead line network in the UK. Fountains has also recently completed a £500,000 contract for National Grid to replace anti-climbing guards and circuit identification plates on electricity towers in the south of England. Richard Linnell, Fountains’ operations director, said: “[The win] demonstrates the breadth of our facilities management capability in the utilities sector.” W: www.fountainsgroup.co.uk
▼ Jangro leads again Jangro is also leading the way in the cleaning industry. Continuing its quest to provide buyers and users with all relevant product information, Jangro is adding QR codes to product packaging. By scanning the QR codes via any Android, Apple or Blackberry device, users can see relevant information about the product, from description to safety data, risk assessment and product usage. Joanne Gilliard, operations director, said: “Retaining market leadership means showing leadership in every aspect of our business. Our QR coding programme ensures that all our customers have instant access to everything about our products. This ensures safe usage, correct product selection and minimising waste.” T: 0845 458 5223 E: enquiries@jangrohq.net
▲ Janitorial Express wins Janitorial Express, one of London’s leading janitorial supply houses and a member of the Jangro Group, has won the ‘Best Turnaround Business’ Award at the European Business Excellence Seminar. In 2009, the company lost 35 per cent of its turnover in the space of seven months, making a third of its staff redundant. With the business struggling and staff morale at an all-time low, managing director Gary Fage started a rescue plan. Temporarily abandoning his job as chief executive, Gary took on a sales role, determined to build strong relationships with existing key accounts and forge new relationships with high-growth businesses. The company increased its gross profit by a remarkable 83 per cent in three years. T: 020 7700 3322 E: sales@janitorialexpress.co.uk 38 | 25 APRIL 2013 | FM WORLD
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▲ Gartec launches platform lift Gartec, part of the Aritco Group, is launching its latest ground-breaking product – the Aritco 9000 Cabin Lift. Based on its highly successful Aritco 7000 platform lift, the Aritco 9000 Cabin Lift has a fully enclosed cabin and combines the feel of a passenger lift with the ease of installation and cost benefits of a platform lift. However, installing an Aritco 9000 works out to just 60 per cent of the cost of a typical passenger lift installation. Having a market-leading pit depth of only 75mm and a headroom requirement of just 2,400mm, the Aritco 9000 is ideal for fitting into buildings where space is at a premium and where a conventional lift would simply not be possible. The Aritco 9000 also takes just three days to install. The Aritco 9000 comes with its own shaft enclosure. T: 01296 397100 W: www.gartec.com www.fm-world.co.uk
18/04/2013 14:38
Appointments
Call Carly Gregory on 020 7324 2755 or email jobs@fm-world.co.uk For full media information take a look at www.fm-world.co.uk/mediapack
Meet the Team: Partick Farrelly
Danny Woodcock
Richard Britcliffe
A;ex and l r e h t u S Alex Sutherland
Senior Appointments
0121 01 1 450 5000 / alex@thefmnetwork.co.uk
x heads up p tthe he team at the FM Alex work. He fo ocu cuse sess on 3 k se ey ya reas re as Network. focuses key areas
Senior Business Development Senior Operations Retained Assignments Alex set up the FM Network in 2008, prior to this he spent a number of years with construction recruiter Hill McGlynn. He specialises in senior roles within Facilities Management, primarily within Operations and Business Development. He has a vast network within the FM industry and is well placed to offer very swift senior recruitment solutions.
“Alex is a very trust trusted ted and reliable recr recruitment partner for senior level rre ecruitment, he has a recruitment, an extensive netw t ork k with withi ithin tth he industry and I wo he network within the would have no hesitation in recommending him.”
Chris Kenneally - Managing Director Technical - Initial Facilities
“I have dealt with Alex both as a client and a FDQGLGDWH +H WDNHV WLPH WR XQGHUVWDQG \RXU VSHFLÀF needs and uses his wealth of knowledge and FRQQHFWLRQV WR ÀQG D VXLWDEOH VROXWLRQ +H LV H[WUHPHO\ NQRZOHGJHDEOH DQG RIIHUV D ÀUVW UDWH UHFUXLWPHQW service.”
Ian Howarth - Business Development Director Kier Services - Facilities
“Alex is one of the most well-connected people in FM. Whether you are looking for the best candidates to join your organisation, or are seeking a new position yourself, Alex is the man to talk to.”
Liz Kentish - Managing Director - Liz Kentish Coaching
NO.1 FACILITIES MANAGEMENT RECRUITER IN THE UK*
www.thefmnetwork.co.uk *ACCORDING TO A RECENT SURVEY
jobs.fm-world.co.uk
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Be at the centre - drive great performance Here in Brent there is a real vision and focus for the future and we are really proud of what we have achieved so far. To maintain our momentum in the current economic climate we have introduced a council-wide programme of actions designed to create a more efðcient and streamlined organisation, whilst maintaining our focus and priorities on delivering high quality front line services. As part of our vision our award winning Civic Centre is near completion and we will be moving into this exciting new building later this year. Located right in the heart of Wembley opposite the famous Wembley Stadium and Wembley Arena, it is supported by excellent transport links. The Centre will create a focal point for the delivery of council services. It contains a large event and function hall, library, cafes and retail areas. The council has recently entered into a long term contract with an external FM company to provide a TFM solution.
Performance Manager Client FM Ref: 13732 Salary: £38,961 - £41, 610 p.a inc London Weighting Location: Civic Centre, London, Wembley Hours of work: 36 hours per week
Performance Manager Assistant Client FM Ref: 13731 Salary: £26, 400 - £28, 032 p.a inc London Weighting Location: Civic Centre, London, Wembley Hours of work: 36 hours per week
Please note CV’s will not be considered as part of your application for this position.
Operational Assistant Client FM x 2 Ref: 13730 Salary: £26, 400 - £28, 032 p.a inc London Weighting Location: Civic Centre, London, Wembley Hours of work: 36 hours per week
Application Closing Date: 26th April 2013 (23:59) Interview Date: 13th May 2013 To apply please visit: http://jobs.fm-world.co.uk/employer/7976/brent-council/
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the
natural choice
The Goodwood Estate Company Ltd
Repairs and Maintenance Manager Location: Chichester, West Sussex
in FM recruitment
Salary: Negotiable depending on skills & experience plus excellent benefits Reporting to the Group Facilities Manager, the R&M Manager is responsible for all planned preventative maintenance, refurbishment work and projects, as well as reactive repair and maintenance to the Estate’s built environment, and overseeing the private water supply. The R&M Manager will be accountable for the performance of all departmental trades and external contractors to the highest standards. A detailed understanding of the UK’s legal framework in relation to repairs and maintenance of infrastructure along with thorough knowledge of Health and Safety in relation to R&M is a necessary requirement. It is essential that the right person has excellent communication, leadership and financial control skills together with the ability to deliver an excellent service in a busy and developing department.
To find out how you can benefit from working with Eden Brown, contact us today on 0845 4 505 202. www.edenbrown.com
Due to the rural location of the Goodwood Estate, own transport is essential. To apply please visit: www.goodwood.co.uk/careers
40 | 25 APRIL 2013 | FM WORLD
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Building Maintenance Manager Location: Central London Salary: £23,250 - £27,000 (inclusive of London Weighting Allowance of £2,750 a year) a year FTE depending on experience Ethical Property is one of the UK’s leading social businesses. We aim to ensure that commercial property supports the creation of a better world, through the provision of office and meeting space to charities and voluntary groups, retail space that supports small businesses and social enterprises and workshops for organisations in creative and cottage industries. This is a unique opportunity for a capable and enthusiastic individual who shares our values to work for one of the UK’s leading social businesses. You will work as part of a property management team in the South-East to ensure our serviced office centres are well-maintained, safe and pleasant and that services are working for the benefit of our social change tenants and other building users. As Building Maintenance Manager, you will be responsible for the day-to-day building management of four office buildings in London and, from time to time, covering for property management staff in other centres in London, Brighton and possibly elsewhere on occasion. All your work will be in accordance with our ethical and environmental principles. You will also occasionally be required to travel elsewhere within the UK. Start date: As soon as possible Apply by: 9.00am on Wednesday 1st May 2012 Interview date: Thursday 9th May 2013, in Development House, 56-64 Leonard Street, London, EC2A 4LT To apply, please visit: http://www.ethicalproperty.co.uk/careers.php
Operations Director EMEA Guildford, Surrey Johnson Controls Global WorkPlace Solutions is a leading global provider of integrated facilities and corporate real estate management. We are recruiting an Operations Director for one of our clients in the technology sector. This role is responsible for the delivery of facilities services across the UK & Ireland, Germany, Netherlands, Belgium and Sweden. This leadership role will be pivotal in developing, maintaining and enhancing relationships with our client and be responsible for the overall delivery of facilities management services. The successful candidate will have proven experience managing multi-service contracts gained with another service provider with a proven track record of providing strategic account management to a large corporate organisation. High levels of cultural awareness gained in managing teams outside the UK & Ireland is preferred. A background in change management and process improvement is also required along with experience of managing a $20 million P&L. If you are interested in the above vacancy please visit our website www.johnsoncontrols.co.uk/careers and apply online, or email your CV to ukcareers@jci.com quoting the vacancy reference number 092210.
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— Peter Moore, Managing Director Macdonald & Company
Macdonald & Company is a market leading FM recruitment consultancy that provides a first class service to clients and candidates alike. The team consists of a talented group of consultants that have a blend of FM industry and recruitment experience, making them true specialists in their field. For a comprehensive list of live FM vacancies, please visit our website
www.macdonaldandcompany.com/ facilities-management-jobs Alternatively, please contact our London office +44 (0) 20 7629 7220 or our Manchester office +44 (0) 161 605 0500 and ask for a member of the FM team.
People make the difference. We connect you to that difference. macdonaldandcompany.com
jobs.fm-world.co.uk
FM New appoints250413.indd 041
FM WORLD | 25 APRIL 2013 | 41
18/04/2013 18:20
FINAL WORD NOTES FROM AROUND THE WORLD OF FM
NO 2
DAYS
THE SAME
THE PURSUIT OF HAPPINESS
BEST FOOT FORWARD?
The Workplace Efficiencies LinkedIn group has been having an interesting debate about one of the great business intangibles – happiness in the workplace. There were some slick arguments distinguishing the happy (’a feeling that includes responding well thers’) from the self-contained to others’) tisfaction’).Contributor Eric (‘satisfaction’).Contributor wles recalled a case “where Bowles meone was satisfied, but someone mately fired because of their ultimately riendly interactions with unfriendly ers”. Happiness, on the other others”. d, “includes being pleasant hand, h co-workers and customers”. with here was an acceptance There thatt the workplace would ays include a few ‘sad sacks’ always and ‘sour pusses’, but sensus that, in the consensus rds of Jim Meredith, words “if our starting point in workplace design doess not include at leastt satisfaction, n we are then
Building on last year’s successful trial, organisers of this year's Facilities Show have extended their pedometer challenge, measuring the steps that visiting FMs take around the NEC. Each pace taken by pedometer-wearing visitors between 9am and 5pm, April 22 to May 6, will be measured, with those who walk the most rewarded at the show. There have been 280 registrations thus far for the individual and group categories – a big increase on last year. Competitors can keep track of one another’s progress on twitter, using the hash tag #FacSteps. Last year’s winner was Martin O’Connor, chief engineer at the Kensington Forum Holiday Inn (and someone who featured in our 2012 Careers Guide.) Martin managed 130, 216 steps, with his team averaging 129, 370. Top performers will glow warmly, not just from all that exercise but also the award of a certificate, trophy and winner's photo to display on their desk. And just in case the winners are left feeling a little weak after all that exercise, the prizes – a Fortnum and Mason hamper for both winning team and individual – should restore their energy levels. Winners will be announced at lunchtime on day two of the show (NEC Birmingham, 14-16 May).
draining energy from people and organisations.” The recent Yahoo home-working controversy was connected to the idea of offering employees control over their working lives and mentioned frequently. Kelly Bacon contrasted “progressive organisations with high levels of corporate nomads” with “companies mandating an ve-day-a-wee policy… 8.30 – 5.30, five-day-a-week the opposite of personal con control”. For Richard Kadzis, the is issue was broader still: a deep alig alignment of employees’ skills with a m meaningful, fulfilling role. “When purpo purpose, meaning and playing to stre strengths are aligned,” he suggests, “productivity will increase aand employee satisfaction tran transforms to employee happiness.” The question remain remains – to what extent can FMs instill us of happiness in the users facilities? Should we even be trying? Perha Perhaps it's a question of wh whether trying would make us happy…
IS SAFETY SIGNAGE GOING TO THE DOGS? The design of prohibition, hazard, mandatory and fire-warning signs are being standardised at a European level to ensure that growing populations of non-native workers can understand them. The mandatory regulation ISO EN 7010 was officially adopted at European level in January of this year and is set to come into force in the UK – replacing the current best-practice standard BS 7010 – later this year. While the principle behind the change makes
sense, some of the individual design changes are barely noticeable. The BS 7010 ‘no dogs’ sign, for example, shows a Labrador-type creature with a diagonal red line through it. Under ISO EN 7010, it’s an identical design, but instead features a decidedly continentallooking Schnauzer or Poodle. We have to ask – who's deciding what constitutes the most generic shape of dog? And should we really be paying that person to work it out?
NEW FORMS OF HIERARCHY IN THE WORKPLACE – FM'S ROLE /// CASHLESS PAYMENT SYSTEMS /// TABLET COMPUTERS ON CONTRACTS /// LEGAL UPDATE – THE ELECTRONIC COMMUNICATIONS CODE /// PREVIEW – FACILITIES SHOW 2013 /// WORKPLACE LAW'S LEGAL UPDATE EVENT // ALL THE LATEST NEWS AND BUSINESS ANALYSIS
42 | 25 APRIL 2013 | FM WORLD
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SHUTTERSTOCK
IN THE NEXT ISSUE OUT 9 MAY
www.fm-world.co.uk
18/04/2013 16:46
FM ADVERTISEMENT FEATURE
AVEX 2013 SET TO BE BIGGEST AND BEST YET! (11-13 June 2013, Hall 3, NEC, Birmingham)
T
he UK’s largest trade show dedicated to the vending and water industries, AVEX, takes place this year at the NEC in Birmingham from the 11–13 of June. This year’s show, which will be run in conjunction with the European Drinking Water Cooler Association (EDWCA), is set to be even more memorable than previous years. For the first time ever it will run for three days and will also play host to the inaugural FM Vending Show, which has been specially created with facilities managers in mind. Visitors to the show will be able to interact with 150 specialist vending and water
suppliers and attend free seminars run by industry experts from the Facilities Management Association and leading vending consultants – 24 Vend. The facilities management sessions, on Tuesday 11 June, will play an integral part in the launch of the new FM Vending Show. This ‘show within a show’ will have a specific focus on providing advice for professionals on how to increase profits. The headline speaker at the FMA seminar will be Steve Davies, managing director of Compass. This will be followed by a panel discussion with Chris Hoar, chief executive of the FMA, Steve Davies and two
end-user companies. The focus of the seminars run by 24Vend, on Wednesday 12 June, will be healthy eating and will include a morning conference where delegates can enjoy sampling a range of healthy new products across snack and beverage categories and includes a light and healthy networking lunch. The seminar programme will focus on how to incorporate healthy options into existing vending portfolios to attract new vending consumers as well as driving profits. Also on the 12 June, visitors will also be able to watch the students from University College Birmingham present their healthy vending products for judging by an expert panel for the chance to win the University Food Development Award. The students were asked to create new food and packaging concepts for six different vending markets, addressing some of the key issues of today such as obesity, recycling of packaging, allergens and government regulations regarding salt and sugar levels. The winner will be announced at the inaugural Vending Industry Awards that evening. Thursday 13 June is set
to bring an innovative and competitive spirit to the AVEX seminars, with the chance for engineers and the more technically minded to fault-find a vending machine under timed conditions. Combining fun with expert knowledge, this session will highlight the importance of on-going professional training and will be run by the AVA’s training partner Vending Intelligence.
TO BOOK If you would like to book a place on either of the exciting seminars mentioned, or if you would like to enter the engineers’ competition, please visit the following websites for further information: FM/AVA www.ava-vending.co.uk 24vend www.24vend.com Vending Intel www.vendingintelligenceagency.co.uk Register now for your free entry to AVEX 2013 at www.avexshow.co.uk.
www.fm-world.co.uk
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