THE MAGAZINE FOR THE BRITISH INSTITUTE OF FACILITIES MANAGEMENT | 15 JANUARY 2015
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VOL 12 ISSUE 1 15 JANUARY 2015
CONTENTS
09| Food for thought
22| Fit for purpose
26| The 2015 BIFM Awards
NEWS
OPINION
FEATURES
08 Honoured university FM calls for more technical roles 09 Study shows benefits of workplace food 10 Project of the fortnight: Swansea Metropolitan University 11 Think Tank: Would a fresh attempt to introduce a ‘consistent methodology for measuring office buildings around the world’ work? 12 News Analysis: ESOS: the £1.6 billion goldmine 14 Business news: Graeme Davies: 2014 – A year of recovery and consolidation 16 State of UK FM outsourcing sector ‘uncertain’ 17 Shepherd Group rescued by strong FM performance 18 In Focus: Tony Raikes of Vinci Facilities
20 Finbarr Murray on how to shine during a crisis 21 Five minutes with Anthony Bennett, director of Bennett Hay 46 No Two Days
MONITOR 33 Insight: Market intelligence 34 Legal Update: Environmental legislation update 35 Court report: Court report – essential guidance on residential service charges 36 Technical: Fire damper failings exposed 37 How to... Dealing with urban foxes
28| Office moves
22
How to finance a fit-out: With the world of payment for services constantly evolving, does leasing office fit-outs make financial sense?
26 28
People. Impact. Innovation: Established as the highlight of the facilities management calendar, the 2015 BIFM Awards are now open for entries Stairway to health: Obesity is an “immense problem”, says the National Institute for Health and Care Excellence – but FMs can help manage it.
REGULARS 38 41 42 43 44
BIFM news Diary of events Products Behind the job Appointments
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visit fm-world.co.uk/jobs For daily notice of the latest FM news and fresh FM World content, follow us on Twitter Cover illustration: ADAM HANCHER
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FM CALENDAR FEBRUARY
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EN T CLO RIES 22 SE MA Y
Entries are now open for the 2015 BIFM Awards. It’s time to inspire your peers with examples of progressive facilities management in action: B E PA R T O F T H E 2 0 1 5 B I F M A W A R D S
FM Team of the Year
Societal Impact
Learning and Career Development
Brand Impact
Innovation in Technology and Systems
Impact on the Workplace
New Product or Service of the Year
Rising Talent in Facilities Management Facilities Manager of the Year
SPONSORS
Impact on Customer Experience Impact on Sustainability
Lifetime Achievement Award
www.bifmawards.org
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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: Herpreet Kaur Grewal ⁄ reporter: James Harris ⁄ sub editor: Deborah Shrewsbury ⁄ digital content executive: Hannah Whittaker ⁄ consultant art director: Mark Parry ⁄ art editor: Daniel Swainsbury
MARTIN READ EDITOR COMMENT
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t was when my sister offered me a cereal bowl containing nothing but miniature Bounty bars – and a spoon – that the traditional festive red light began flickering. Here was my annual warning that it was time to draw a line under the Christmas excess and prepare instead for the grey, caloriecontrolled realities of January. So – New Year, new me? More likely new year, new meaningless attempt to adopt a better diet and get more exercise. But what we’re all dealing with is an age-old industry driven by marketers. As is traditional, the first get-fit food and exercise adverts were being run barely fifteen minutes into Boxing Day – as regular a part of the post-Christmas advertising mix as those frankly surreal part-work publications (collect parts of the Millennium Falcon – a snip at just £900!). Of course, it is entirely normal to welcome in the New Year with a fresh focus on personal health and all that contributes to it, but it’s an impetus that can quickly ebb away. That said, there’s plenty going on to suggest that 2015 might just be different – with FM taking a lead role. Like so many other areas of corporate performance, there’s much for FM to tap into regarding an individual’s personal health and fitness levels, with it going further than the provision and maintenance of on-site gyms. This Christmas saw another generation of smartphones and tablets in the hands of new owners, each sporting a plethora of health maintenance apps. These latest devices – including wrist watches and other forms of monitors – allow each of us far greater awareness of just how easily our own physical and mental performance can be monitored. Health monitoring has been the digital device trend for a year or so already, but 2015 will see a real change in the number of such devices in day-to-day use with an associated rise in the number of people actually using the functionality. Meanwhile, 2015 has already seen an event aimed at workplace managers – the Active Working Summit (subtitle: ‘The Sedentary Office – a case for change’) and we’ve noticed far more in the way of physical health related product and service announcements already this year. You’ll also be aware of the markers you can install to show how many calories are consumed walking a particular flight of stairs and how users can monitor that activity. So, the office as a kind of health-related obstacle course? It’s another angle for FMs to consider, but why not? FM already plays a role in maintaining a workplace used at different times for different functions, so it’s not much of a leap to include a consideration of users’ day-to-day fitness requirements. It’s interesting stuff. Instead of its more obvious role providing a binding sense of purpose to the corporate whole, could it be that the thing that really saves the office in physical form is its ability to feature in workplace users’ daily exercise routines? However this all works out (pardon the pun), it’s another example of the potential for FM and HR to work together for the corporate good. After all, few will argue against the obvious logic that a healthy workforce is a productive one.
I
“Could the thing that saves the office in physical form be its ability to feature in workplace users’ daily exercise routines?
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PEOPLE
Honoured university FM calls for more technical roles Colin Miles, a facilities manager at the University of Southampton, has been recognised in the Queen’s New Year Honours list with a British Empire Medal for services to higher education – and has called for more universities to offer technical management roles. Miles, who joined the university in 1978, said that his remit had expanded with the university’s undergraduate intake and research. He has devoted 35 years to the university’s physical sciences and engineering faculty, provides technical support for teaching and research requirements in the university’s research labs, and manages technical staff across various disciplines, such as mechanical and electronic workshops, teaching labs, procurement and research group technicians. He is also buildings manager and safety officer. Miles praised the relationship between support staff and academic staff at Southampton, citing it as a major factor in allowing technical staff to make a significant contribution to the university. He said he was very surprised but pleased by the recognition, which he said highlighted the importance of the role of technical staff. “When I moved to Southampton from the University of Oxford in 1978 it was with a great deal of trepidation, but with the support of the staff within physics and astronomy, and the university in general, it has been a wonderful career. “Over my years, I have had the pleasure of working with some wonderful people,” he added. “The relationship between the academic 08 | 15 JANUARY 2015 | FM WORLD
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staff and the technical staff has made my role so much easier and worthwhile.” Miles said that more education establishments could benefit from such roles and relationships. “Universities should be employing more people like me,” he said, “because our knowledge of the building and what’s required to run it, and our technical and facilities knowledge, is invaluable. There’s a direct relation between that and the quality of teaching and research. “Sometimes academics are taking on the role but really, technical staff need to be managed by a technical person. “It’s good for support staff at
the university to see technical staff being rewarded in such a way.” Vice-chancellor of the University of Southampton, Professor Don Nutbeam, said Miles was “outstanding” as the university manager. “His immense contribution to seek continuous improvement in the standard of service and facilities offered by the university’s
laboratories and other facilities has been invaluable,” he said. Last year a British Empire Medal was awarded to the grounds maintenance manager at the University of York in the New Year’s Honours List. Gordon Eastham, who worked at the university for 20 years, was recognised, also for services to higher education.
OFFICE SPACE
BRE lauds world’s ‘most sustainable office building’ A building in the Netherlands is being called the world’s most sustainable office building, after gaining the highest-ever BREEAM rating. The Edge building in Amsterdam was awarded the highest score recorded by the Building Research Establishment, the global assessor of sustainable buildings. The 40,000 square metre (430,000 square feet) building was created by developer OVG Real Estate and PLP Architecture and is occupied by professional services firm Deloitte. It achieved a BREEAM new construction certification of ‘Outstanding’ with a score of 98.36 per cent, beating the previous title-holder, One Embankment Place in London. Ron Bakker, founding partner at
The Edge, Amsterdam
London-based PLP, said the shape and orientation of the building was the first step to achieving its exceptional performance. “Large floor plates arranged around a north-facing atrium allow daylight to permeate the majority of workspaces while load-bearing structure with
smaller openings provides thermal mass and shade to the sunlit faces of the building,” he said. “The 15-storey atrium space full of light and activity contributes to an inspirational workplace environment that is operationally, aesthetically and environmentally outstanding.” www.fm-world.co.uk
12/01/2015 16:16
NEWS
BRIEFS CSSA leaves BFG
Study shows benefits of workplace food What employees eat in the workplace can significantly improve their health, according to a nutrition study of security staff at Gatwick Airport. In a 12-week trial, 35 shiftworking security employees were given a healthy eating plan by a nutrition consultant, with caterer Charlton House providing meals and signposting to encourage healthier meal consumption in staff restaurants. The healthy eating plan included fruit, vegetables and high-fibre foods such as porridge. Foods rich in protein, such as eggs, pulses, fish
and lean meat, were also included. At the end of the project there was an average overall reduction of 3 kg in body weight and significant reductions in body mass index and waist circumference. Blood glucose levels and cholesterol levels were also reduced. Employees also reported feeling happier and had better quality of sleep. Nutritionist Amanda Ursell, who co-authored the report on the trial, said that the project showed the significant impact of workplace eating on employee health. “As the trend to eat out of home continues, this research shows
how a workplace intervention programme that offers a holistic approach to diet and physical exercise can positively influence an employee’s approach to health and aid their personal wellbeing,” she said. Charlton House chief executive Caroline Fry said the findings showed the key role employers play in the health of workers. “Improved health and wellbeing in employees is proven to reduce absenteeism, improve productivity, mood and selfesteem within the workforce,” she said.
REPORT
GETTY
Organisations ‘should promote workplace exercise’ Companies should do more to integrate exercise into the working day of employees to improve their health, says a new study. An international survey of corporate real estate professionals by CoreNet Global and Eurocres Consulting reveals that workers sit for an average of 6.3 hours a day. CoreNet Global’s report cites studies showing that prolonged sitting is a health risk, and says companies should be doing more to actively encourage physical activity at work. The report adds: “We have become so sedentary that 30 minutes a day at the gym may not counteract the detrimental effects of eight, nine or 10 or more hours of sitting.” The report finds that although many companies offer gyms, www.fm-world.co.uk
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The Cleaning and Support Services Association (CSSA) has voted to leave the Building Futures Group (BFG). It is understood that the association, which merged with the BFG last March, voted on the change at an extraordinary general meeting before Christmas. A spokesperson for the BFG said details will be announced by both organisations soon. The BFG is the membership body that was formed by the merger of the CSSA, the Facilities Management Association and sector skills council Asset Skills last year. The BFG plans to produce its own election ‘manifesto’ focused on FM.
Hospital standard updated BSI has revised PAS 5748, its specification for the planning, application and measurement of cleanliness services in hospitals. The spec was first published in 2011. It is designed to provide a framework for a risk-based cleaning system and takes a continuous improvement approach to hygiene. It provides for the planning, application, measurement and review of cleanliness services in hospitals. The standard covers governance of cleanliness service; assessment of the risk of a lack of cleanliness; provision of cleaning tasks; measuring cleanliness on the basis of visual inspection; implementing corrective action; conducting of performance analysis and the implementation of improvement actions.
Allergen legislation in force
fitness classes and more ergonomic workstations, this is wasted unless employees actively participate. It says standing meetings, treadmill desks, company freedom to work throughout the office, including outside, use of stairs, and company policies that encourage
walking throughout the day should all be considered. “In the long run a successful workplace health improvement strategy will rely on initiatives that totally change the workplace environment,” concludes the report.
New legislation on allergen information has come into force, affecting all facilities that provide food. As of 13 December, all restaurants, caterers, retailers and schools, hospitals and prisons meals service providers have to track, record and inform the public of all food items that contain any of the 14 most common foods to cause allergic reactions. The new regulations have been put in place to comply with EU regulations, which extend existing legislation to cover non pre-packed foods, such as meals sold in restaurants and cafes. FM WORLD | 15 JANUARY 2015 | 09
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PROJECT OF THE
FORTNIGHT NEWS BULLETIN
More quality office space to be available this year
SWANSEA METROPOLITAN UNIVERSITY PROJECT: Refurbisment and creation of Institute of Design building COST: £8 million ARCHITECT: Powell Dobson TWIN-WALL FACADE DESIGN: D2e CURTAIN WALL SYSTEM: AluK
Uni block’s cool twin skin Swansea Metropolitan University has transformed its Grade II listed former Central Library building to create the university’s new Institute for Sustainable Design. The building’s refurbishment, restoration and extension cost the university £8 million. The project included a twin-wall façade, which allows for climatic control while keeping the original fabric untouched. Yvonne Gibbs, an architect at Powell Dobson, said: “Due to the context of the listed building, it was imperative that the new extension was as transparent as possible to express the original scale and features of the historic fabric behind. The university was also looking for a sustainable solution to reduce energy consumption.” The main extension to the Grade II listed building includes a new reception entrance, teaching spaces and design studios. Designed by D2e, the façade comprises a AluK SL60 curtain wall system forming the internal wall, and a structurally bonded glazed toughened laminated glass skin forming the outer wall, with an interstitial space between them. “The façade is south-facing and therefore through solar gain the space between the two skins heats up naturally,” said Gibbs. “This in turn acts as a thermal buffer, which keeps the building warm in winter months whilst promoting air movement and cross-ventilation. This arrangement provides the transparency that the listed building deserves, while introducing a number of opportunities for passive climatic control.” The gap between the internal and external wall allows control of the flow of air and temperature within the building interior, using the air exhaust louvre on top and the air inlet louvre at the bottom to create a ‘chimney’. In winter, solar gain can be collected in the buffer zone and brought into the building to offset heating costs. In summer, windows can be closed and heat rejected using mechanical ventilation. 10 | 15 JANUARY 2015 | FM WORLD
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Occupiers will be able to acquire high-quality new office space this year, and mitigate the risks of continuing occupation of secondhand, older buildings, according to research. CBRE’s UK Property Market Outlook 2015 said there were already a number of known large requirements for space in the SouthEast at the end of 2014. It added that this year would see the beginning of a wave of demand driven by lease expiries, particularly of 15-year leases signed during an exceptionally active year in 2000. It predicted expanding demand for Central London office space this year, but said 2014 was also the year when demand for regional offices returned across the UK. Jones Lang LaSalle has also predicted that office space take-up will be strong this year. It said that take-up of office space in Central London in 2014 was 11 million square feet, boosted by significant pre-leasing across all sectors. Take-up in the Docklands saw the strongest growth – more than doubling to 1.2 million sq ft. The London total compares with 8.4 million sq ft in 2013 and JLL predicts that take-up will be strong throughout 2015. Neil Prime, head of UK office agency at JLL, said that demand for Central London offices was higher at the end of last year than at the beginning, but said that in some areas of the capital supply was restricted. “While this demand picture is very encouraging, a lack of available new supply combined with limited speculative development, particularly in the City, is becoming a real issue and the market will tighten further in 2015.”
2015 commercial property growth to be sustainable Growth in UK commercial property is set to return to a more sustainable pace in 2015, according to market research. Property consultancy Knight Frank found that the 12-month total return, according to figures from IPD, a real estate analyst, grew by more than 20 per cent, the highest growth since 2010. According to Knight Frank, economic recovery across the wider UK in the last year is expected to have a positive impact on the rental market outside Central London. James Roberts, chief economist at Knight Frank, said: “We expect office rents to rise across the regional city centres in 2015, and lack of development to date could quietly migrate growth from prime to secondary.” The continued trend towards ‘destination retail’, inclusive of cafes, restaurants and leisure, and the increase in supermarket convenience outlets, could result in a footfall benefit for surrounding units, claims Knight Frank. The report suggests the 2015 general election could provide opportunities for further growth in the North. A drive to build up a ‘Northern powerhouse’ in cities such as Manchester, could offset spending pledged by government.
Hierarchical structures excessive, finds CIPD report Two in five workers believe that their organisation’s hierarchical structure is excessive and leads to a lack of autonomy in decision-making, according to research published in December by the Chartered Institute of Personnel and Development (CIPD). The report, Employee Outlook: Focus On Managers, highlights findings from a recent survey of 2,153 working adults. While 60 per cent of employees say their suggestions on how to improve work practices will be considered, only 41 per cent say they are satisfied with the amount of influence they have in making work-related decisions. The research suggests that the decision-making process is affected by excessive hierarchical structures. Sixty per cent of public sector respondents are concerned with excessive managerial levels, compared with 34 per cent in the private sector. Nearly three in 20 employees say their organisation has a strong blame culture, with the figure rising to 36 per cent in the public sector. Another research paper from the CIPD, Megatrends: The Trends Shaping Work And Working Lives, found that the relationship between employee and line manager is critical to wellbeing in the workplace. The quality of relationship with the line manager can offset some of the dissatisfaction with how work is organised, suggests the CIPD. www.fm-world.co.uk
12/01/2015 16:54
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THINK TANK
This standard is sorely needed 18%
This standard could make a difference 36%
OUR READERS SAID… We asked our LinkedIn and mailing list members whether a fresh attempt to introduce a ‘consistent methodology for measuring office buildings around the world’ would work
A new standard seeking to bring “transparency and consistency” to global real estate markets was launched in November by the International Property Measurement Standards Coalition (IPMSC) – a group of 58 professional and not-for-profit organisations from around the world. The International Property Measurement Standard for Offices (IPMS for Office Buildings – see ipmsc.org/standards) seeks to create ‘a uniform method for measuring property’ – one that replaces dozens of existing (and overlapping) standards currently in use around the world. The standard will define which areas are included when measuring a property and which are not. According to the IPMSC, IPMS
for office buildings will lead to “increased transparency and consistency across real estate markets that will benefit the way property assets are managed and, ultimately, how financial decisions are made by investors, corporate occupiers, buyers and sellers”. The IPMSC expects governments to support the adoption of IPMS ‘as a means of promoting transparency and international best practice’. So we asked what you thought of the proposal – with most of you (46 per cent) replying that it was just another bureaucratic gimmick that will in fact make little difference. “Provided building plans and the principles applied are properly understood, professionals
This standard won’t be helpful 46%
currently have no difficulty knowing what is measured and what is not,” said one correspondent. “Once introduced, the standard may provide plenty of work for surveyors needing to update company building records for international tenders.” However, just over a third of you (36 per cent) thought the IPMS would make a difference – although take-up would be slow. “If it brings clarity then it’s a good thing,” one respondent said, ”I’m in favour of things that bring clarity; they help benchmarking and they help buying (and selling) across the industry.” “I don’t think take-up will be very quick,” said another
correspondent, “because we are a sector that doesn’t seem to work that way. But I would like to think that the global players will latch on to it and start to make an impact on its adoption.” Another respondent said: “The big problem is probably in that legacy systems will be measuring in other ways and converting historic data, together with the knock-on effects for reporting performance, may put off making the changes.” Perhaps telling is that just 18 per cent of you said that this standard was sorely needed. Join the FM World Think Tank: www.tinyurl.com/fmwthinktank
REX
Public sector contractors ‘must show probity’ The ethical standards of contractors have been found wanting, according to a damning report published by an influential group of MPs. The review into the government’s contract management by the Public Accounts Committee (PAC) said because the private sector delivers around £90 billion worth of complex services on behalf of the public sector – half of the expenditure on goods and services – it was incumbent on these companies “being paid for services by the taxpayer to have the highest ethnical standards in their work”. But the Rt Hon Margaret Hodge MP, chair of the PAC, said: “However, too often the ethical standards of contractors have been found wanting. It seems that www.fm-world.co.uk
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Margaret Hodge MP
some suppliers have lost sight of the fact that they are delivering public services, and should do so in accordance with public service standards.” She cited the case of G4S and Serco overcharging the Ministry of Justice for years on electronic tagging contracts as being “the starkest illustration of both contractors’ failure to work in the
public interest and government failure to safeguard taxpayers’ money”. Hodge said the PAC had examined similar cases where there are allegations of the misuse of taxpayers’ money. “Serco’s altering of performance data on its contract for out-ofhours GP services in Cornwall is an unacceptable example. Two other G4S contracts have been referred to the Serious Fraud Office to investigate, and another Serco contract has been referred to the City of London police,” she said. Contractors simply had not shown “an appropriate duty of care to the taxpayer and users of public services”. Hodge said: “Contractors talk of corporate renewal and a need
for a new way of thinking about how companies do business with the government – but this must be turned into real action. In our view, the present crisis could have been avoided if earlier recommendations from this committee had been acted upon.” The report states that the electronic tagging case had served as “a belated wake-up call” to government after departments had placed too much trust in contractors and relied too much on the information contractors supply. The report said contracts needed to be managed at a sufficiently senior level, with strong accountability in place, by people “with the right commercial expertise”. FM WORLD | 15 JANUARY 2015 | 11
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Indeed, qualifying organisations will not be able to ignore ESOS. The Environment Agency – the compliance body for England – can impose financial penalties for non-compliance. The Environment Agency also has the right to publish information on non-compliance, including the name of the organisation and the details of its non-compliance.
Another piece in the jigsaw
Energy secretary Ed Davey: audits should help FMs implement efficiency drives
ENERGY SAVINGS OPPORTUNITY SCHEME
ESOS: the £1.6 billion goldmine
REX
JAMIE HARRIS jamie.harris@fm-world.co.uk
As we enter 2015, the Energy Savings Opportunity Scheme (ESOS) deadline looms into view. The regulations, part of a European Union directive that aims to plug gaps in energy efficiency by enforcing regular energy audits, come into effect in the UK on 5 December 2015. Larger organisations – those with more than 250 employees and an annual turnover of more than Ð50 million (£39.7 million) – must carry out an energy audit by the 5 December deadline, and at least every four years from the date of the initial audit. The audit will provide an estimate of the organisation’s total energy consumption, covering transport and industrial processes, as well as energy use in buildings. The organisation must identify areas of significant energy consumption and establish areas where energy savings could be made.
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Sunil Shah, a director at Acclaro Advisory, a sustainability consultancy, believes that many in the industry are still unaware of the legislation – particularly when it comes to the consequences of noncompliance. “Many people do not understand what it means,” he says. “They don’t realise, for example, that all buildings do not need to be audited. We are still in the learning stage.” Shah warns of ‘overkill’ consultants auditing all buildings, where an auditor conducting a representative survey of an organisation’s sites will suffice. “Energy efficiency has always suffered from board apathy,” says Tim Hipperson, director at Utilitywise, an energy and water cost management consultancy. “It is often not looked at because of time pressures. “But energy is front page news at the moment. It can’t be ignored any longer.”
When ESOS was first announced in July 2013, questions were raised about the logic in having multiple energy-compliance measures, with some describing ESOS as another branch of a dysfunctional and confusing set of energy-efficiency policies. But while other existing legislation provides a guideline for a building’s performance, an ESOS audit can identify potential energy-saving areas in a business. Organisations are not, however, obliged to act on the recommendations. Last month, energy secretary Ed Davey explained that ESOS should be effective as the audits will go to the decision-makers, helping facilities managers implement efficiency drives. Speaking at an ESOS Roadshow event in London, Mr Davey explained that the audits “will become a burden if the savings identified are not realised”. The estimated saving through implementing energy efficiency measures for organisations in the UK could reach £1.6 billion. “There are two types of organisations,” says Hipperson. “There are those that like to simply tick the boxes and comply with energy legislation, and those that will push to try and get something out of it themselves.” “We are now aware that corporate real estate value is intrinsically linked to energy
performance,” says Shah. “At board level, organisations can now understand the significance of it.”
Taking the lead ESOS assessments, the first of which can cost organisations up to £17,000 (further audits are expected to cost about £10,000), must be signed off by an approved energy assessor, which are listed on one of 13 approved professional body registers. However, both Shah and Hipperson noted that the number of qualified lead assessors in the sector is insufficient. Several organisations have raised concerns about a shortage of qualified energy assessors. But the DECC says that while there were only 200 lead assessors qualified in November 2014, the number is expected to rise to more than 2,000 by the time the scheme comes into effect in December, eliminating the skills shortage. “Organisations need to take care. There are huge numbers of ‘cowboy’ auditors in EPCs,” says Shah. “Organisations need to choose their lead assessors wisely,” says Hipperson. “They should have expertise in your commercial field.” Hipperson says assessors who normally undertake DEC (display energy certificate) audits may not have the expertise in transport and logistics efficiency, and therefore may not complete the audit as effectively.
Meeting the target The EU has set targets for Europe to achieve a 20 per cent decrease in primary energy consumption by 2020. “We need to generate less and use more,” says Hipperson. “UK business needs to do both.” Further reading: http://bit.ly/1pIE7oo – Government ESOS guidance and list of assessors http://bit.ly/1tY59eh – Carbon Trust guide to ESOS
www.fm-world.co.uk
12/01/2015 15:50
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2014: A year of recovery and consolidation Babcock International, while the likes of Interserve and Mitie have continued to add to their skills sets through acquisitions as they seek to establish themselves in the top tier of UK FM providers. Overseas rivals have continued to move into the UK too as the opportunities to pick up public sector outsourcing work in particular continue to prove tempting.
The year just past has been yet another intriguing one for the FM sector. It began with two of its major players – G4S and Serco – effectively put on probation by the government after allegations of irregularities in the delivery of public sector contracts such as prisoner transport and offender tagging. But this public shaming of two sector heavyweights did little to stop the march of outsourcers in picking up lucrative government contracts as the trend of shrinking of the state by the coalition continued apace and the shift in the sector towards larger multi-disciplinary providers taking contracts with wide remits established itself further. As the UK economy continued to recover through 2014, private sector FM business has also rallied as companies began to invest once more in properties and expansion, although still not at rates seen before the financial crisis. Indeed, the amount of new business coming from the UK public sector continued to outstrip private sector new business, with the public sector spending roughly double on outsourcing services during the past year than the private sector. But it has been by no means plain sailing for the UK’s FM participants. Although government outsourcing has continued apace the trend here appears to be slowing a little, despite the Conservative partners in the coalition renewing a vow to speed up the shrinking of the state’s role. Some areas that were expected to yield significant outsourcing and FM opportunities have been 14 | 15 JANUARY 2015 | FM WORLD
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SHUTTERSTOCK
GRAEME DAVIES newsdesk@fm-world.co.uk
slower than expected in delivering them such as justice and defence because public concern has grown over the value for money that can be achieved by handing services to private sector operators. As the government’s desire to outsource enters ever more emotive areas such as children’s services and the cherished National Health Service, then the focus on the quality of delivery is likely to become more acute while the pressure to get best value from contracts will remain paramount. The FM market has picked up in Europe as austerity policies continue to wither government budgets. The trend has also spread south from the Scandinavian and Northern Europe, where FM has been traditionally strong, into Mediterranean countries such as France and Spain, where contract values have been rising sharply.
US rebound Farther afield, the US economy has rebounded strongly during the last three quarters, finally seeing some
of the hefty cash reserves built up by companies being released for investment in their businesses. FM also saw a recovery of sorts in the Gulf Region during 2014 after several barren years as its economies worked off the excesses of the first decade of the century, and some UK companies have enjoyed success in the region over the past year, usually in partnership with local operators. In Asia, the slowing Chinese economy has had a ripple effect on the countries around it and this has been reflected by more mixed market conditions for FM operators with Australia also becoming something of a worry in recent months as the effects of China’s slowing on its dominant resources sector has begun to weigh on confidence in the wider economy. Most of the UK operators have had solid enough years although G4S has recovered its poise much quicker than Serco. Capita continues to sail serenely on, taking significant business from the public and private sector, as has
Polarisation continues Indeed, the UK’s bigger players continued to assert their dominance as 2014 wore on, despite continued government claims that it is encouraging the growth of smaller operators, mutuals and charities in the sector. As the government has sought greater efficiencies, it has gravitated towards larger contracts that can be fulfilled by one supplier with greater economies of scale. This in turn has prompted the bigger players to consolidate the sector over recent years in a bid to bring more skill sets under one roof, resulting in the continued polarisation of the sector into larger ‘one-stop shops’ and small specialists.
Outlook increasingly uncertain into 2015 As we head into 2015 the outlook for the FM sector in many parts of the world is becoming ever more uncertain. Although we are likely to see the continuation of themes such as strong government outsourcing activity and private sector business picking up in the UK and US, there are a number of unknowns here that could affect the FM market. Further afield, Europe remains mired in economic www.fm-world.co.uk
12/01/2015 10:13
stagnation and, with deflation looming, looks to be struggling to find a coherent way out. The Gulf region’s recovery is now seriously threatened by the recent slump in the oil price, Asia is still adjusting to the new reality of Chinese growth settling around or below the 7.5 per cent-a-year level and in other emerging regions such as Africa and Latin America economic growth is uneven and, in some countries, fragile. The big uncertainty hanging over the UK market over the next four months is the general election on 7 May. With Labour wanting to frame the election around the NHS and its increasing ‘mercerisation’ the role of FM providers in this and many other areas of public service delivery is likely to come under real scrutiny. Couple this with the fact that elections usually prompt a hiatus in contract awards for a couple of months, and the opening six months of the year could be challenging for the FM sector, especially as private sector business looks unlikely to fill the gap. The state of play beyond the election is open to conjecture, given that this is likely to be the most open contest for many years, with no party taking a clear lead in the polls and a number of smaller parties polling well. A Conservative government has already signalled its intention to press on with shrinking the state for the majority, if not all, of the next Parliament and thus private sector outsourcing work would likely remain plentiful, although the increasing emphasis on value for money could put further pressure on margins. A Labour-led government would be unable and even unwilling to unpick the private sector’s role in public service delivery, but some areas would see a slowdown in awarding of contracts and Labour leader Ed Miliband has also talked of breaking contracts down into more elements to encourage smaller www.fm-world.co.uk
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players in the sector and the further growth of third-party social enterprises and mutuals in delivery of public services.
the economy. Given that QE has not been seen on this scale before, predicting the consequences of its withdrawal is almost impossible.
QE curse?
Oil’s slide
Overseas, the US recovery is going great guns and job creation is surging, which is likely to feed into wage growth and a healthier consumer – a self-fulfilling prophecy for the its consumer-led economy. The hope in the US is that a recovering economy will help pay down government debts and free up more spending and also encourage the private sector to invest more in its businesses – and this is likely to boost service providers such as FMs. The unknown quantity there is the effect the withdrawal of its massive quantitative easing programme and the likely rise in interest rates is going to have on
Furthermore, the effect of the recent oil price plunge on the wider global economy has not yet been fully felt. While in some regions and countries, the easing of the cost of oil is a boon that boosts margins for industry and gives consumers a boost in their pockets, in others where oil is a major export the effect could be crippling. Certainly in the oil-rich Gulf region the price slide will be keenly felt, although in Asia the likes of India and China could see their economies boosted by cheaper energy costs. Graeme Davies writes for Investors Chronicle
THE YEAR IN FM BUSINESS
2014’S BIG WINS AND ACQUISITIONS BIG WINS ● In January Carillion won a
£100 million deal with Sunderland Council for property services in its regeneration plan. ● In April Carillion struck a £200 million deal with Nottingham University Hospitals NHS Trust to provide support services. ● In May Dacorum Borough Council awarded Osborne Property Services 10 years of housing repair work worth up to £235 million. ● Mitie extended its link with Vodafone in a £250 million deal in June. ● In August Amey and Carillion secured a £955 million deal with the MoD to upgrade bases UK-wide. ● In October Compass Group took a £60 million extension to its catering contract with The Range. ● In November Amey won a £70 million deal with United Utilities to install water meters across NorthWest businesses.
ACQUISITIONS ● In January Bilfinger expanded its FM operations with the acquisition of IFM outfit Europa Support Services for an undisclosed sum. ● Mitie paid £9 million for Complex Care, a company providing complex care for older people. ● In May Bilfinger announced it was buying commercial property adviser GVA to be part of Billfinger Real Estate, with completion byJune. ● In July Cofely expanded with the acquisition of Lend Lease FM. ● Host Management and Catermasters merged into a company called HCM Group in September in a deal giving the company a turnover of £6o million. ● US FM giant ABM bought UK firm GBM for an undislosed sum in October. ● In November social care services group Mears bought the Omega Group in a deal thought to be worth £40 million.
SERCO’S CHANCE OF REDEMPTION Investors in Serco will be hoping that chief executive Rupert Soames can deliver an annus mirabilis in 2015 after the horrible year they have just consigned to the dustbin of memory. The £900 million outsourcer saw its share price melt away during 2014 as it ended the year worth only around a third of its January high. After a testing end to 2013, during which it had come under scrutiny for working practices on government prisoner transport contracts, a total of four profit warnings during 2014 – coupled with a hefty £1.5 billion paper write-down owing to uneconomic contracts and restructuring – wreaked havoc with investor confidence. But the year ended with a glimmer of hope as Serco announced that City of London Police had decided there was no evidence to suggest criminal intent in the prisoner-transporting debacle. Further positive news came in the form of agreement from Serco’s lenders to extend their covenant testing date out to 31 May, which avoided a breach of its lending agreements and now gives Soames and his team the time to put together a rights issue that could raise north of £500 million to shore up Serco’s finances. The pain for shareholders may not be over yet; indeed, the company is not approaching its rights issue from a position of strength. But assuming that it succeeds, then Serco may finally have put itself on an even keel to better exploit what continues to be a bulging order book. Soames has a good reputation in the City, which he will be keen to protect and even enhance by revitalising Serco’s fortunes and even though more turbulence is still to be expected he has a decent chance of succeeding. FM WORLD | 15 JANUARY 2015 | 15
12/01/2015 09:57
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State of UK FM outsourcing sector ‘uncertain’ The outlook for the UK FM outsourcing market is still uncertain despite economic recovery, according to a study. AMA Research’s Facilities Management Outsourcing Market Report UK 2014-2018 says the global economic downturn has caused a period of turbulence within the FM outsourcing market. And it concludes that although the UK economy has recovered since the last edition of the report, there is still uncertainty in the market, which will see more clients
looking to shorten contract lengths or build in contingency clauses. Despite a curb in demand in the corporate sector during the recession, the public sector outsourcing market for FMs was boosted, as many local authorities viewed outsourcing as a way to meet difficult budget cuts, says the report. It also says the trend towards bundled service contracts has continued. This is partly driven by clients seeking to outsource more functions, and partly by providers
broadening their range of services to stay competitive. The report examines market activity from 2008 to 2013, with forecasts to 2018 and focuses on the consolidation of supply chains and cost reduction and its relation to the trend for bundled FM services. It also looks at the intense competition causing providers to broaden service offerings and the development of niche services, along with the expectation of tighter contract provisions as clients’ risk awareness increases.
Contract wins
NEW BUSINESS Electrum Services has secured a contract to provide a range of services to retailer Netto. Under the terms of the contract, Electrum will be responsible for planned maintenance, statutory compliance, reactive services, 24/7 helpdesk and warranty management. Mitie Client Services has won a contract to manage the guest relations team at Gunwharf Quays shopping centre in Portsmouth. A team of nine will provide a concierge service for the eight million visitors that come to the 90 shops and 30 bars at the shopping centre every year. The team will provide restaurant recommendations, travel information, directions, gift vouchers and deal with other enquiries. 16 | 15 JANUARY 2015 | FM WORLD
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Incentive QAS, the cleaning arm of Incentive FM Group, has secured a contract with real estate firm CBRE. Under the three-year deal, Incentive QAS will provide a full range of soft FM services for the 35-storey City Point building in the City of London. The contract covers periodic cleaning, internal and external window cleaning, reception floor maintenance, external cleaning and waste management. Incentive QAS will also provide on-site shredding, washroom services, consumables supply and pest control. Support services group GBM has been appointed preferred supplier for cleaning, security, maintenance and customer services at The Forge Shopping Centre in Glasgow. The
deal is worth £2 million over a threeyear period. The shopping centre has 400,000 sq ft of enclosed retail space with more than 70 high street shops and 1,600 free car park spaces. Wilson Vale has retained a contract with the National House Building Council (NHBC) at its UK corporate headquarters in Milton Keynes. Wilson Vale first gained the staff catering contract in 2004, when the operation was originally across two sites. In 2010, the NHBC moved into purpose-built offices in Milton Keynes, where a team of seven Wilson Vale staff managed catering services for 500 NHBC staff on site. This latest contract is worth £300K in annual turnover. Centerplate Retail Catering has extended its contract with Celtic Park Football Club. Centerplate has managed the public concourse catering at the 60,832-capacity Celtic Park stadium for the past decade. Its contract has now been extended following a competitive tender process and Centerplate will refurbish the 40-plus kiosks on the concourse for
Fullcircle delivers M&E to armed services college
RAF Lyneham
Fullcircle Total Facilities Management has won the complete mechanical and electrical subcontract for the Armed Forces’ new joint training facilities in Wiltshire. All three of the armed services – the Army, Royal Navy and Royal Air Force – are combining their training facilities at the new Defence College of Technical Training based at the former RAF Lyneham airbase. Once the facilities are completed the site will include living accommodation for more than 1,100 trainees, purpose-built teaching facilities, a large outdoor training area, a public museum and new homes for the Army’s Corps of Royal Electrical and Mechanical Engineers (REME). The overall £121 million project is run through a joint venture between Kier and Balfour Beatty, named Hercules J.V. The £3 million sub-contract deal with Fullcircle consists of mechanical and electrical works plus design and installation of the museum, gymnasium and the OR Bar. This will consist of a full electrical, air conditioning, ventilation and plant room installation, as well as a complete heating package. Gary Smith, Fullcircle project manager for the Hercules J.V contract, said: “Providing a bespoke facilities management package to meet clients’ needs… [has given] us the capabilities to continue winning large contracts like this one.” www.fm-world.co.uk
12/01/2015 12:07
Shepherd Group rescued by strong FM performance Shepherd Group’s FM division has continued to strengthen, reporting a 30 per cent increase in turnover for the year ending 30 June 2014. Contract wins with TNT, World Pay, the London School of Economics (LSE) and Executive Office Group boosted company earnings. Shepherd FM is also reporting a 98 per cent customer retention rate. Noel Clancy, CEO at Shepherd FM, said: “2014 represents an excellent period of sustained growth and new partnerships with an ever-growing number of clients who value our inimitable business continuity and five-star customer service approach. “The strength of our longlasting working relationships is based on a shared belief that the secret to delivering firstclass FM service is unparalleled customer service and an honest
Shepherd Group’s recent wins include work at the London School of Economics
and bold attitude to exceptional collaboration.” While Shepherd FM reported positive results, the Shepherd Group as a whole posted an 8.3 per cent fall in turnover for the same period, with revenues at £686 million, down from £748 million. The group’s operating profit also fell slightly by 1 per cent to £10.1 million.
BUSINESS BRIEFS
‘A number of challenging contracts’ in its Shepherd Construction business have been blamed for the shortfall. Last year, the group’s turnover had risen by 11 per cent, but profits had fallen by 53 per cent. David Williams, chairman at Shepherd Group, said: “We are currently reviewing our businesses, assessing their strengths and weaknesses in relation to their markets, sector norms and peer performances to ensure that we continue to bring a sharper focus to those areas of the group where the most significant future investment will be made. “This strategy is essential in achieving our vision of maintaining and developing a portfolio of fully empowered, high-performing businesses consistently growing shareholder value.”
GETTY/REX
Morgan Sindall creates new services division Morgan Sindall Group has created a new business division to extend its range of property support and facilities management services. With the creation of Morgan Sindall Property Services, the group aims to expand services previously offered by its Lovell Repairs and Maintenance operation. The division will be led by managing director Gary Lester, who previously headed Lovell Repairs. With its head office in Sheffield, the division’s work includes maintenance for local authorities, housing associations and PFI schemes. The group said that bringing together its repairs and maintenance and www.fm-world.co.uk
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The group hopes to create “significant new opportunities” said MD Gary Lester
FM services under the Morgan Sindall banner would create significant new opportunities to offer property support services to a wider client base. The group is investing in business systems including a new IT platform for Morgan Sindall
Property Services, which aims to improve efficiency and provide more customer access. “As Morgan Sindall Property Services, we can offer customers a flexible and responsive, personal service delivered locally, backed by the strength of leading construction and regeneration group Morgan Sindall Group plc,” said Lester. “Over the past six months there has been significant investment, including the start of work on a new IT platform, to ensure that we provide the highest levels of service to our customers. The rebrand continues that work as well as bringing considerable opportunities for business development.”
‘Solid’ results for Carillion Carillion sees a solid performance ahead of its end-of-year results in a pre-close trading update. The group says that “by remaining very selective” about which contracts it bids for, it expects operating margin and revenue to be similar to that of 2013. In the year to date, Carillion has won contracts worth £4.6 billion. The business is expecting revenue from its support services division to be marginally more than its 2013 results, with an underlying growth of nearly 4 per cent. It expects the revenue to have offset the £70 million lost revenue in the first quarter of 2013, when a number of energy services contracts ended.
Vivark sees profit boost Vivark has announced annual revenues of £25.94 million and profits of £1 million. The organisation provides housing repairs to Knowsley Metropolitan Borough Council and Knowsley Housing Trust. Vivark was formed in October 2012. It is part of the First Ark Group, set up in 2011 as the parent company of Knowsley Housing Trust.
Mitie to report crimes Mitie has announced a partnership with online crime reporting and networking service Facewatch through which Mitie takes control of the crimereporting process on behalf of its clients, through its total security management division. The service allows users to report minor crime with CCTV evidence and share images and intelligence with other businesses. FM WORLD | 15 JANUARY 2015 | 17
12/01/2015 12:08
FM BUSINESS IN FOCUS
The interviewee: Tony Raikes, managing director, Vinci Facilities The issue: A growing awareness among clients of the strategic value of building assets
Looking to the longer term ‘The long term’ – it can be an ambiguous phrase, and something that clients have historically failed to consider when considering how they let their FM contracts. But all of that is changing if Vinci Facilities’ Tony Raikes is to be believed. Because, says Raikes, “the really interesting thing for me is the discussions we’re now having about the long term; discussions which didn’t really exist prior to the recession.” In a bullish interview with FM World, Raikes told us that Vinci’s public sector clients “have got more confidence about where they’re going”, and that existing clients in both the public and private sector are spending more, becoming “more clear about their direction. They’re really thinking about the whole-life cost of their assets and less about the FM contract provision in isolation”.
Asset strategy Throughout the recession there’s been growing recognition, says Raikes, of what can be achieved by calculating the right balance between capital and operational expenditure – and how that is the right way to go. “Whether they can get backing through their boards is a different discussion, but certainly the discussions taking place between 18 | 15 JANUARY 2015 | FM WORLD
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us and our direct clients – the person responsible for running the contract – are tending towards longer-term conversations.” And these discussions are about the longer-term estate and asset strategy. “Contracts are still being let on a short-term basis,” explains Raikes, “but there are more contracts with explicit provisions incentivising the contractor to think about the longer term, and that if they do they will get their contract extended.” The issue, explains Raikes, is that clients are starting to appreciate the three components that go into asset planning – the impact of running to fail, the impact of maintenance to set criteria, and the impact on fuel expenditure of decisions made either way. “I don’t believe that running equipment to fail and then renewing it is the answer, because it becomes more expensive from an energy consumption perspective; if you’re running outdated kit, then you’re exposed; also, at what point are you
defining failure?” Is this new appreciation of longer-term planning something that Raikes can identify in all of his company’s clients? “No, but more and more of these discussions are happening, and in quite a diverse range of sectors, too. My own personal view is that with retailers, for example, and also governmental organisations and utilities, there’s a maturing of our clients’ mindsets; it’s not just about next two years anymore, it’s about a five or even a 10-year plan, and that’s great. “Asset coding is being conducted at a much more granular level; we’re getting to have a greater level of visibility of our client’s assets, at least in those situations where they want us to have it.”
Scenario planning Vinci is now spending the time, money and effort to build up asset registers, while at the same time assessing the condition of those assets. “With both aspects of that data we can do some very good predictive cycles on scenario
“I go into every contract with the intention of working with that client forever”
planning with Opex versus Capex. And that’s key.” But while it’s good that clients are working with contractors to make longer-term decisions regarding their assets, contract terms become an issue. While discussions about maintenance strategy make sense within a PFI arrangement, with relative shortterm contract terms in other arrangements the contractor is being asked to contribute to the strategy for the asset base of that client with no more than three years of guaranteed involvement in the contract. “Right, but all of that depends on how you look at your job,” says Raikes. “Clearly, at some point someone in procurement will say that it is time to test the market – but I go into every contract with the intention of working with that client forever. “It’s not just about delivering what the contract states, it’s about delivering a benefit to the client that provides a compelling case for that client to extend their arrangement with us.” “I have an inherent belief that we will always be able to create a situation in which both ourselves and our client benefit.” MARTIN READ martin.read@fm-world.co.uk
www.fm-world.co.uk
12/01/2015 16:16
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For more information contact Jack Shuard • 020 7880 8543 • jack.shuard@fm-world.co.uk
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07/01/2015 11:41
FM OPINION THE DIARY COLUMN FINBARR MURRAY
“WHEN WE FACE SUSTAINED INCREASED DEMAND IT MAKES IT EVEN MORE IMPORTANT THAT WE MANAGE SERVICES WELL”
University Local Estates authority
Finbarr Murray is director of estates and facilities at East Kent Hospitals University NHS Foundation Trust
PER F OR M IN G UN DER P R ESS UR E
o often, FM is seen as being very much in the background. Now that the NHS is facing a crisis, is this our time to shine?
S
The NHS is facing huge pressures. Accident departments and hospital wards are seeing unprecedented levels of demand, with several trusts declaring major incidents. A major incident is not called lightly and involves all routine and appointmentrelated work being cancelled so that all resources can be focused on the pressures in the A&E department and in discharging patients to free up beds. FM often gets limited visibility, so is this our time to shine?
FM consultant
Given the range of FM managed services offered in a hospital setting then the answer must be ‘yes’. Pretty much every service used by patients and their families – other than medical – is delivered or managed by our teams. Looking at the journey of the patient through the hospital, we often start as early as the transport to the hospital; unless it’s under blue light we manage the parking, reception services, public facilities, signage and the
public retailing and catering. We deliver a wide range of different types of cleaning from front-of-house to complex deep cleans following infections, the portering of patients and supplies around the hospital, the food and meals served to patients and visitors. Last year alone we washed 12 million pieces of laundry in my trust. On the hard FM side we also manage the equipment and fabric of the hospitals, addressing repairs and breakdowns, provide the lighting, ventilation, medical gases and heating, all of which run pretty much 24/7. In a trust this size the numbers are massive normally, so when we face
sustained increased demand it makes it even more important that we manage services well. Not only can we make the overall staff and patience experience that much better, but, crucially, getting services absolutely right in key areas such as laundry, catering and cleaning will directly help manage the pressures on the whole organisation. The other key benefit is the sense of being all in this together and having empathy with our internal staff customers; our resulting actions and visibility will have an inevitable result of boosting our profile and PR.
BEST OF THE WEB Views and comments from across the web Lone working solutions (BIFM group) Paul Waterman: At the (NHS) trust we use identity badge-style trackers which the user just presses on entering a site, they talk into the badge and give over their approximate location. The location is then recorded by an operator who will then listen and monitor the person during their time on site. Certain trigger words are given with the training in the use of the badge that will 20 | 15 JANUARY 2015 | FM WORLD
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activate an emergency response if needed. Jonathan Elms: If you refer to the HSE guidelines on Lone Working you will find a framework to build your system around, but also the most up-to-date expectations. (See more at http://bit.ly/1jZYjfa) What are the pros and cons of a central helpdesk within FM? (BIFM group) Clive de Silva: My experience is to know
what you want from your helpdesk. Do you want it to just react to initiate works and sort out issues? Then the helpdesk best lies with the FM supplier. Graham Joyce: The helpdesk can be successful in any environment. Its success is almost entirely due to the quality of data capture and input. Correct partitioning of the services and clearly defined escalation procedures are imperative. Anne Lennox-Martin: The helpdesk function is the
hub of the FM service and deserves recognition as such with real investment in the software and people. Of all areas – you shouldn’t stint on employing bright young people – I always started my graduate intake with a year on the helpdesk. What are the flooring maintenance issues that FMs face? (FM group) Trently Ashton: The biggest issues that I deal with are water damage getting under the flooring
and warping the wood, tiles chipping/breaking in corners creating a tripping hazard, and high traffic areas in stock rooms and hallways that just don’t last because of the materials. Richard Gellert: Lightcoloured vinyl flooring is very susceptible to black scuff marks and damage from dollies moving equipment over it. No one takes the time to coordinate this equipment movement and lays down protective floorcoverings. www.fm-world.co.uk
12/01/2015 12:08
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FMWORLD BLOGS Despite being overworked, there’s a reason we do more Reuven Gorsht, Connecting the dots Wouldn’t it be nice if your organisation had something similar to a ‘disk full’ indicator like the one on our computers? A CEB workforce surveys show that 88 per cent of staff believe their workload has noticeably increased in the past year to the point that they have far less discretionary capacity than they once did. When more objectives are added and more work is expected from the same resource base, things naturally start falling through the cracks and execution grinds to a halt. According to a study in The Economist, 61 per cent of strategies under-perform as a result of poor execution. When new priorities or strategies get introduced, most organisations fail to mobilise because prior tasks and processes used to execute existing or current strategies have become “cemented in”. We complain about being busier then ever, but many of us are reluctant to question the relevance of our tasks and purge some so that we can free up time for new priorities. It isn’t rare to hear people taking pride in averaging 14-hour days and taking no vacation for three years. Greg McKeon, author of Essentialism: The Disciplined Pursuit Of Less, says we operate in a bubble fuelled by a trinity of trends: smartphones, social media, and consumerism. We are aware now of what everyone else is doing and this often means that we are expected to be supermen who can get it all done. He boils down a few tactics to get more of what matters in our one precious life: Dedicate time to think and reflect. Rest well to excel. Few people realise that the second most highly correlated factor distinguishing the good from the great is how much they sleep. Add expiration dates on new activities. Not every activity has to become a tradition. Say no to a good opportunity every week. When something doesn’t make sense or you can’t commit to it, be empowered to say “no”. There are no winners when our “disks are full”. Read the article in full at www.tinyurl.com/jw4qxyk
Present and incorrect Gemma Reucroft, hrgem It’s thirty-seven-and-a-half hours per week. Monday to Friday, nine to five with halfan-hour for lunch. It’s important that you are here on time every morning. And I don’t mean walking in the door at nine or making a cup of coffee, but coat off and logged on and ready to go. I’m less concerned if you stay behind after 5pm; that’s up to you. Your lunch break is 12-12.30pm. Please make sure that you stick to that time slot so that I know where you are if I need anything and I can manage other people’s expectations. The business needs to know when people will be available. I do like to see you at your desk. Visibility is important. I can see your screen from my office, so I will be able to see if you are on one of those social media sites. That isn’t work, so keep it for after hours, please. When it comes to the dentist or the doctor, make sure that you book the appointment at the end of the day, and please make the time up within the same week. Personal calls and emails should be limited to official breaks. Working from home? I know people just want to watch Homes Under The Hammer. It doesn’t work for this sort of job, you know. If you are not here in the office, I can’t assess what you are doing and the contribution you make. If it’s the nativity play or parents’ evening, then take half a day’s annual leave. I can’t set a precedent because then everyone else will want it and I won’t be able to say no to anyone else. What is really important is how long you are at your desk. Then when it comes around to your annual performance appraisal I will know you have been working hard or not. Won’t I? Read the article in full at www.tinyurl.com/ldlxaar
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FIVE MINUTES WITH NAME: Anthony Bennett JOB TITLE: Director, Bennett Hay
Consistency of the front-of-house service is a big issue. Some teams provide a good service on a particular day but fail to do so on another. That tends to be because individuals have not been trained on the guest experience that the particular client is aiming to offer. So while the difference between good and exceptional service often comes down to individuals, you need a framework underpinning that to ensure consistency. Where our industry been a little lacking is in deploying some of the customer management techniques used in hotels. Where we’d like to get to is to have none of our frontline service guys going in front of a customer until they’ve been trained – but I concede that can be quite a luxury. Some organisations say they want a five-star service, but in reality only want to pay for three or four star. Space costs are going to continue to increase. Clients are recognising the value that refining the guest experience can have on their brand. Personalisation of the front-of-house service is key for me – creating a personal signature for a particular client. How clients differentiate their customer service can come down to little things; most successful corporate ‘signatures’ tend to involve individual interactions – staff referring to people by name, and asking them where they went on holiday, for example. Our sector can show fantastic examples of what we’re describing, but it’s still only happening in pockets – where a particularly ambitious client or charismatic individual wants to see it happen, and so drives it through. Many firms still approach front-of-house services in a departmentalised manner. Too many firms look at reception as a separate function – but we at Bennett Hay are more holistic. FM WORLD | 15 JANUARY 2015 | 21
12/01/2015 12:09
FM FEATURE
FUNDING OFFICE FIT-OUTS
MARK ELTRINGHAM
HOW TO
FINANCE
A FIT-OUT Y
ou can’t help but notice that there has been a shift in recent years for us to become the consumers of things we were once obliged or wanted to own. We watch films on Netflix, listen to music on Spotify and share cars with strangers through BlaBlaCar. As both individuals and businesses we rent software rather than own it, and in the growth of serviced offices and co-working spaces we see the same forces at work. The attractions of this 22 | 15 JANUARY 2015 | FM WORLD
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approach are obvious, not least in keeping down the costs of things we may not want to keep in the long term and leaving ourselves free to make different choices in the light of rapidly changing circumstances. So it’s no surprise that economic uncertainty is just one factor that has driven an increase in asset financing at the same time that we have seen a permanent change in spending patterns. Yet organisations have an apparently ambivalent attitude towards the idea of leasing as
ILLUSTRATION: ADAM HANCHER
To own or not to own – that is the question. In this era of renting software and other products, we are increasingly accustomed to the idea of having, but not being tied to a range of products. So does leasing office furniture and interiors make financial sense? Mark Eltringham reports
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FUNDING OFFICE FIT-OUTS
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FM FEATURE
FUNDING OFFICE FIT-OUTS
a way of keeping theirr options nging world, open in a swiftly changing oducts and pigeonholing some products nd others services as leasable and ds to be as something that needs bought outright. In thee former cles, IT and category we find vehicles, he latter we office equipment. In the nd fit-out. find office furniture and ing that “It’s perhaps surprising n’t ’t consider more organisations don’t Charles leasing a fit-out,” says Charles ase sed d of ffi fice ce Marks of Chepstow-based office rkspace. design firm Fresh Workspace. hod of ‘The traditional method financing as a capital purchase has many advantages, but it is olution. not always the right solution. native that Leasing offers an alternative preads the is tax allowable and spreads cost based on a fixed budget, siness which can help the business onthly plan around regular monthly outgoings. “This has obvious benefits in terms of cash flow and credit scoring, but also allows the firm to think outside the box in other ways. For example, by allowing it to upgrade space more readily or even acquire a better and more expensive interior than it might assume was affordable. I don’t think you should underestimate this flexibility for organisations
MARK ELTRINGHAM
operating in a fast paced business environment,” adds Marks.
Asking the right questions ti However, there are also possible reasons why leasing may not be the best option. “It’s a question of asking the right questions up front,” according to Marks. “An outright purchase may be the best option and there are several different forms of leasing to consider that may suit some organisations
more than others. So final payments for leased products might be significant if the buyer decides they want to hold on to what they’ve got at the end of the term. The length of the lease or purchase needs to be weighed up against the quality, adaptability and durability of the products themselves. The terms and conditions of the lease should also be considered, as there may be charges for damage beyond what constitutes normal wear and tear, or special charges
that apply if the furniture is returned within the lease term. As always, it’s great to know all of the options and get some advice to make the right decision.”
Accommodating growth One firm that did go down the leasing route was Openwork, a financial services company employing about 2,000 advisers in the UK. Last year the firm moved to a new 27,000 square
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FUNDING OFFICE FIT-OUTS
feet headquarters building near Swindon to accommodate business growth. According to chief financial officer Simon Clifford, the move was not only a chance to address operational issues such as the desire to implement more flexible working and provide staff with a better working environment, but also a chance to address how the office was financed. ‘The new arrangement allowed us to fit out our new office building in a way that would not have been possible without the funding arrangements that were made available to us” he says. “We opted to finance around three-quarters of the total cost of the move with a lease facility.” So why haven’t more companies been drawn historically to look at leasing as an option? Martin Pickard of FM Guru believes that there have traditionally been a number of factors. “In the past the cost of capital was very affordable, and may even have been better than the terms offered by leasing,”’ he says. “I’m not sure that is any longer the case, but it certainly was a factor in the past, especially when you consider the fact that the cost of the furniture as an element in the overall cost of a building is likely to be relatively small. Then again, that equation will change when you start to look at extensive fit-outs, refurbs, dilapidations and so on.”
Check on life cycles Pickard also believes that the life cycle of furniture plays a part in decision-making. “With things like cars and computers, you know in advance you’re going to replace them after two or three years, either because you want a more recent model or because they don’t do the things you need them to do,“ he says. “That may not be www.fm-world.co.uk
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“‘THE TRADITIONAL METHOD OF FINANCING AS A CAPITAL PURCHASE HAS MANY ADVANTAGES, BUT IT IS NOT ALWAYS THE RIGHT SOLUTION”
OFFICE OPTIONS
FORMS OF LEASING Leasing itself comes in a number of forms so it is worth bearing in mind that there is even a degree of flexibility in the kind of lease that might be best for you.
Lease purchase Also known as hire purchase, this is familiar to most of us through the high street. Payments are made over a fixed period, at the end of which the asset becomes yours. Under lease purchase agreements VAT registered businesses can claim back the VAT on the asset upfront, there is a capital allowance on the reducing balance and interest payments can be offset against profit as part of a 100 per cent tax allowance over the term of the contract. The assets are effectively yours, so upgrades are also your responsibility.
Finance lease Similar to a lease purchase, except that the ownership of the asset does not transfer at the end of the contract, although you may wish to come to an agreement to buy the assets at some point. Payments can be offset against tax and VAT can be reclaimed.
Contract hire
the case with furniture, even allowing for the fact that firms generally underestimate how frequently they will need to buy new furniture, relocate or reconfigure offices. Similarly, while furniture may only be guaranteed for five years or whatever, you may have a perfectly reasonable expectation that a well-made product will last for 10 or 20 years. I think it’s important to consider all of these things and look at all of the options.” FM
Essentially, you get to use an asset that remains the property of the finance company which is also responsible for its maintenance and upgrade. A residual value for the asset will be set for the end of the contracted period, which will typically be deducted from the original sum financed. This might offer a more affordable option to a finance lease and you won’t have to worry about the upkeep of the assets. Some businesses find this attractive because there is no large initial capital outlay and it can help to pep up the balance sheet. The possible downside is that you will not own the asset at the end of the contract. Information supplied by Plus Finance
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BIFM AWARDS 2015
PEOPLE. IMPACT. INNOVATION. Established as the annual highlight of the facilities management calendar, the 2015 BIFM Awards are now open for entries
T
he BIFM Awards recognise and showcase best-inclass FM practice and evidence its impact on business, the economy and society. Entries are welcome from all organisations, regardless of type, size, sector and experience. Entries are received from national, international public, private and third sector organisations.
The 2014 Awards ceremony
CHAIR OF THE JUDGES, STEVE GLADWIN
I was delighted that last year’s BIFM Awards ceremony at The Grosvenor House Hotel was an exceptional success. The feedback provided to the team from the awardwinners, finalists, entrants, attendees and our sponsors has been exceptional. In my first year as chair of the judges, I wanted as much
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feedback as possible from key stakeholders. We sought to build this feedback into this year’s awards process and ceremony. The learning process is ongoing and I am grateful to those people who take the time to provide feedback. As a previous client of mine used to say, “feedback is a gift”. So thank you, and please keep your suggestions and ideas coming. October 12 might seem a long way off, but the process for the 2015 Awards started in
September, and our nominated lead judges are looking to raise the bar even higher in terms of industry excellence. This year the Award categories are grouped under three themes: People, Impact and Innovation. We have a people theme – representing individuals at all stages of their career paths. This theme includes awards around learning and development and teamwork. Over my years in FM I have
worked with many great teams. Sometimes these teams have been a mix of client and service provider working together. Other times bid or mobilisation teams, or teams from the same organisation coming together to make a real impact. By entering the 2015 Awards there is an opportunity for high-performing teams to come together to showcase the difference they have made. Then we have Awards that really make an impact to either
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INDUSTRY AWARDS
2015 BIFM AWARD CATEGORIES For 2015, all categories relate to one of three themes: people, impact or innovation and reflect the important role FM plays in relation to business, the economy and society.
PEOPLE The individuals, teams and organisations that invest in their people, who are cuttingedge, and who lead and drive improvements.
IMPACT Harnessing the real tangible impact good FM brings to business, society, brands, the environment, the workplace and the customer.
INNOVATION The difference innovative technology, systems, products and services make to FM, in turn offering wide benefits from costsaving to interaction.
PEOPLE: Facilities Manager of the Year A role model who has delivered cutting-edge service, who acts as an ambassador for his or her employer, who has achieved notable career success and who demonstrates the highest levels of support and commitment to the wider FM profession. Learning and Career Development Open to FM teams and organisations from any sector to demonstrate the contribution learning and career development has made to success. The scope extends for potentially everyone in
your organisation – not necessarily just targeted training for a small group. Rising Talent in Facilities Management Recognising an individual who has made a significant impact and contribution to their organisation and to FM within the first five years of entering the profession. Clearly demonstrating their impact and achievements to date, showing innovation and initiative in the supply of FM services. Team of the Year Recognises exemplar FM teams that deliver innovation and value to their organisation and customers. Delivering a solid business-as-usual service will not be enough – your team will be consistently delivering best practice and leadingedge ideas.
IMPACT: Brand Impact How do you, through FM practice, create an impact on your organisation or client’s brand? This category is seeking evidence of how a company has worked to support the brand of a customer or a project team has developed and promoted the brand of the organisation they work for. Impact on Customer Experience Customer experience is created by a multitude of customer touch points, throughout the customer journey and over the term of the relationship. Although traditional customer service might focus on the direct physical and virtual interaction with customers, customer experience considers the entire lifecycle of a customer and all factors that could impact their awareness, understanding, attraction, purchase, service and
advocacy of a brand or product/service. Impact on Sustainability Identifying and rewarding sustainable and environmental initiatives that can objectively demonstrate the positive impact that they have had on the organisation and society at large. Impact on the Workplace Recognising working environments or direct FM activities, systems and processes that not only deliver sustainable and functional workplaces, but also create a positive workplace that drives increased job satisfaction, productivity for its employees and organisational performance. Societal Impact For initiatives demonstrating impact of the profession on the fabric of society including the wellbeing of individuals, productivity of industry, economic health and the natural environment, bringing to life the very real impact that the profession has on societal change.
INNOVATION: Innovation in Technology & Systems Recognising the most innovative application of systems or technology in FM, the primary measure of success will be how the innovation improved the solution to a problem or challenge. It can be simple and inexpensive or the most complicated rationalisation. New Product or Service of the Year Recognising the product or service that through its development and utilisation has had the most positive impact in the work and/or social environment in which we live. A product/service can be an object, tool, system or process.
KEY DATES
the organisation or more broadly to society. Several of the Awards in the impact category build on the success of previous years and provide inspiration for organisations to demonstrate significant contributions to society. The innovation Awards allow organisations to showcase their use of technology, systems, products or processes. What can you showcase to the FM community? How can you best
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demonstrate your exceptional achievements? What can you share to inspire others to advance the FM profession? The BIFM Awards are the standout awards within FM. Winning is an exceptional achievement and sends out a strong message from a positioning perspective. I look forward to seeing your inspirational entries. Steve Gladwin, chair of the judges, BIFM Awards
22 May 2015
Entries close
June – July 2015
Judging takes place
Mid-August 2015
Finalists announced
12 October 2015
Awards Ceremony
For further details on the BIFM Awards and full entry details go to
www.bifmawards.org You can also follow the latest Awards news on Twitter
@BIFMAwards
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FM FEATURE
STEPJOCKEY
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NINA WHITBY
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12/01/2015 13:31
M
odern facilities managers must focus as much on the people in their buildings as on the buildings themselves. Big data from a new digital stair promotion initiative suggests they can do both. According to research from Public Health England (PHE), one in two women and a third of all men in the UK are damaging their health as a result of a lack of physical activity. It’s a situation that is costing the UK an estimated £7.4 billion a year. The bill not only hits the National Health Service but also employers, who have seen absences through sickness soar over the past decade. Nearly 160 million working days were lost in the UK in 2012 at an average cost of £975 a day, according to the Confederation of British Industry. Physical inactivity is the fourth largest cause of disease and disability* and much of the problem is
because of our sedentary office design. Now health chiefs are calling on employers and FMs to fight back by adopting ‘active design’ initiatives – and many are responding. A report published last month by the World Green Council and sponsored by JLL, Land Lease and Skanska argued that health should be seen as an integral part of sustainability by all FMs. Echoing recommendations made by both PHE and the National Institute for Health and Care Excellence (NICE) it urged among other things that FMs should encourage use of their property’s stairs. “Research clearly demonstrates that the design of an office has a material impact on the health, wellbeing and productivity of its occupants,” it stated. “While to many this may sound obvious and goes without saying, it does need saying, loud and clear, because this evidence is not yet translating at
STAIRWAY TO HEALTH Obesity is an “immense problem”, said the National Institute for Health and Care Excellence (NICE) in November. Sadly, that wasn’t a joke. But workers can increase exercise to lose weight even at work – and FMs can help by adopting the StepJockey Initiative, claims director Nina Whitby
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FM FEATURE
STEPJOCKEY
scale into design and financing decisions, certainly not in all parts of the globe”.
Taking to the stairs Last year, FM World reported on offices labelling their stairwells with new ‘smart signs’ that both give the calorie burn rating of the stairs and allowed people to track and ‘gamify’ their performance. Now the first data from the StepJockey initiative has been made available for several large London buildings and the results are hard to ignore. The presence of signs alone was found to increase stair use by between 20 per cent and 50 per cent depending on their placement and the building’s configuration. When the system was ‘gamified’ in London City Hall, stair use soared by more than 500 per cent, with more than 130,000 calories – the equivalent of more than 60 days’ food – burned off by staff using the stairs in just 10 days. Importantly for FMs and their clients, significant subsidiary return on investment was delivered through: • Reduced lift congestion and employee time saved; • Reduced carbon emissions; • CSR and employee engagement opportunities; and • Improved fire safety by familiarising staff with the stairs
A simple idea The idea behind StepJockey is relatively simple and based in behavioural economics. Mark the workplaces for calorie burn in the same way we mark foods for calorie-consumption and you will seamlessly prompt people to build more physical activity into their daily working lives. Allow those same passersby to record and gamify their calorie burn by tapping and tracking using the calorie signs and you 30 | 15 JANUARY 2015 | FM WORLD
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NINA WHITBY
will increase engagement and uptake still further. The company’s evaluation and launch in November last year was seed-funded by the Department of Health. Helen Nuki, StepJockey’s founder, had the idea after her seven-year-old daughter, Litzi, wondered why official signs, “only tell you about the things that are bad for you”. She said: “StepJockey is about looking at the positive and promoting fitness for everyone a little bit at a time. “The interest from FMs has been impressive. I think it’s partly because FMs now really get health, but also because StepJockey exploits this amazing asset they all have and which has already been paid for – the stairs. “It helps too, I think, that StepJockey takes the pressure off the lifts and saves time and energy. Virtually all our installations more than pay for themselves within a year through these and other productivity gains.”
Health benefits Government guidelines state that adults should get at least 150 minutes of physical activity a week. Stair climbing is classed as vigorous physical activity and burns more calories a minute than jogging. As important perhaps, it is one of the few exercises that almost everyone can do and which can be integrated into a normal working day. This is vital for busy office workers, many of whom are cash-rich but time-poor. Professor Alan Batterham, professor in exercise at Teesside University and an adviser to StepJockey, said it was important to note that physical activity such as stair climbing has benefits that go far beyond weight loss. “Building a vigorous physical activity like stair climbing
“When the system was ‘gamified’ in London City Hall, stair use soared by more than 500 per cent, with more than 130,000 calories – the equivalent of more than 60 days’ food – burned off by staff using the stairs in 10 days”
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into your daily routine is an excellent, time-efficient way to help increase your fitness and control your weight,’ said Prof Batterham. “You also reduce your risk of chronic diseases including cardiovascular disease, diabetes, osteoporosis, and breast and colon cancers.” Alongside the calorie burn information, the smart signs incorporate evidence-based health messaging such as: “Stair climbers have stronger hearts”, and “Stair climbing protects against stroke”. These not only educate, but also are a powerful way to prompt discussion and get people motivated.
Big data Before launching, StepJockey undertook field trials involving more than 250,000 stair-lift journeys over a six-week period. In these tests stair climbing increased by up to 29 per cent when the building was equipped with StepJockey smart signs. The research also showed that 92 per cent of new stair climbers said it would become a habit and there was no evidence of increased calorie consumption or sedentary behaviour to compensate for the increase in physical activity. Since launching, StepJockey has been rolled out in more than 4,000 stairways worldwide. Clients include the NHS, Lloyd’s of London, Legal & General, Public Health England, Proctor & Gamble, Deloitte and KPMG. One client, a global professional services firm, installed StepJockey across two of its London buildings with more than 2,000 employees in September 2014. StepJockey conducted an impact study covering a four-week period before and after installation, recording more than 360,000 stair-lift journeys. The findings accord with www.fm-world.co.uk
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stair climbing as it would to climb Mount Everest. Between them they burned more than 6,000 calories in the first day alone. Boris Johnson, who has supported StepJockey since the company launched last year, said: “Anything that gets people more active and helps tackle obesity is a good thing in my book. This initiative is a great, great mix of old-fashioned common sense and smart technology to track and incentivise.”
Getting started StepJockey’s original research and the findings of other stair labelling studies and validate the behavioural economics behind StepJockey: that labelling the physical environment for calorie burn can seamlessly and significantly boost physical activity in multi-storey offices. In just four weeks, presence of the StepJockey initiative resulted in:
52% 11,332 101,313
increase in stair journeys;
additional stair journeys; and
additional calories burned in first six weeks.
Gamification While the signs alone have a clear impact, it is the ‘gamification’ the system offers that has most captured attention – and boosted stair use. Challenges include Climb Everest, Burn a Million and the Seven Summits. Companies issue a URL for staff to sign up at and divide into teams. There are no special gizmos needed; staff just use the free
apps on their mobile phones. Progress is shown in real-time on a webpage, including league tables. Companies get access to a full data dashboard for wellness and CSR reporting and FMs can offer bonus points for use of particular stairwells at particular times. This enables them to further reduce rush-hour lift queues in busy buildings. In November one client, the Greater London Authority, ran the StepJockey Climb Everest challenge and hundreds of staff at London City Hall ditched the lift in a bid to burn as many calories
The StepJockey initiative can be installed easily in any size building at very reasonable rates or facilities teams can install the system themselves. As a guide, two people can install in a large building with 15 floors and four stairwells in less than a day. To arrange a quote or installation call 0203 397 8377. Alternatively, go to https://www.stepjockey. com to find out more. FM *Everybody active, every day: a framework to embed physical activity into daily life to address the physical inactivity epidemic. https://www.gov.uk/government/ publications/everybody-activeevery-day-a-framework-to-embedphysical-activity-into-daily-life
STEPPING UP
CASE STUDY Jane, a facilities manager, is 45, weighs 75 kg and is 172 cm tall. She commutes to her job in a large City firm in Central London each day. She climbs up and down the stairs at Elephant & Castle Tube station once a day and climbs up and down the stairs in her four-storey office at least twice a day. Overall, she burns an extra 76.5 calories a day by climbing the stairs. This equates to 17,595 calories a year (based on 230 working days in the year), which is equivalent to 8.5 days of food or 2.3 kg of fat. Perhaps most important of all, the extra exercise moves her into the healthy body mass index (BMI) range.
ABOUT STEPJOCKEY The StepJockey initiative is backed by the Department of Health through the Small Business Research Initiative, a government scheme that promotes innovation in areas that bring public benefits.
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Have your ďŹ nger on the pulse of FM Get to the heart of facilities management by joining the BIFM today. Be at the very heart of your profession by joining the BIFM. It’s the one body that has something for everybody in the business. We offer the most prestigious training, development and recognition for facilities managers.
We provide a fantastic range of beneďŹ ts, services, and offers for all our members. We enable you to network with your peers and share ideas at a whole range of national, regional and local events.
We keep you totally in the know through FM World magazine, our continuously updated website and networking groups. We even give you a chance to inuence your profession personally by getting involved and giving FM a better future. If you want to put your heart and soul into FM, talk to us.
Are you ready to move up? BIFM pulse NEW 186x123.indd 1
T: 0845 058 1358 E: membership@bifm.org.uk www.bifm.org.uk
2/8/10 12:21:43
We’re here to help you progress $UH \RX VWLOO DW WKH ULJKW %,)0 PHPEHUVKLS JUDGH WR UHĆƒHFW \RXU LQFUHDVLQJ DFKLHYHPHQWV LQ WKH )0 LQGXVWU\ Ĺ? RU LV LW time to progress? 7R XSJUDGH WR WKH QH[W OHYHO RU WR Ć‚QG RXW PRUH please visit: ZZZ ELIP RUJ XN FOLPE or contact the Membership Team on: 0845 058 1358 or email membership@bifm.org.uk 32 | 15 JANUARY 2015 | FM WORLD
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09/01/2015 12:54
FM MONITOR MARKET INTELLIGENCE
INSIGHT ECONOMY
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.
FLOORCOVERINGS MARKET REPORT 2014-2018
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
FOLLOWING A
Source: HM Treasury (hmrc.gov.uk)
£1.73 BILLION
Bank of England base rate: 0.5% as of 8 January 2015. The previous change in bank rate was a reduction of 0.5 percentage points to 0.5% on 5 March 2009. Source: Bank of England (bankofengland.co.uk)
Consumer Price Index (CPI): The Consumer Prices Index grew by 1.0% in the year to November 2014, down from 1.3% in October. Falls in transport costs were the main contributors to the slowdown in the rate of inflation between October and November. Food and petrol prices, which have historically been upward contributors to the 12-month rate, are currently reducing it by 0.4 percentage points. Source: (www.ons.gov.uk)
EMPLOYMENT
National Minimum Wage NOTE: The following rates came into effect on 1 October 2014: Category of worker
Aged 21 and above Aged 18 to 20 inclusive
Hourly rate from 1 Oct 2014
THE WOOD FLOORCOVERINGS SECTOR HAS EXPERIENCED
20%
26%
DECLINE OVER 2007-11, THE UK FLOORCOVERINGS MARKET SAW MODERATE GROWTH IN 2012 TO AROUND
DECLINE IN VALUE SINCE THE MARKET PEAK OF
£385 MILLION £233 MILLION IN 2007 AND IS ESTIMATED TO BE WORTH AROUND
IN 2012. THE HOUSING MARKET STRUGGLED IN 2012 WITH MOST FLOORCOVERINGS IN THE DOMESTIC SECTOR SEEING TOUGH CONDITIONS. THE CONTRACT SECTOR ALSO STRUGGLED, AS DEMAND FOR BIG NEW-BUILD AND REFURBISHMENT PROJECTS WAS SLOWER BETWEEN 2009 AND 2012.
PROSPECTS FOR THE MARKET INDICATE THAT GROWTH IS LIKELY TO BE MARGINAL AT BEST INTO THE SHORTMEDIUM TERM, BECAUSE OF A SLOW HOUSING MARKET AND THE PROSPECT OF MORE SOURCE: AMA RESEARCH PUBLIC SPENDING CUTS.
BUSINESS POPULATION ESTIMATES
SOLAR PHOTOVOLTAICS DEPLOYMENT
The number of large private sector businesses (with 250 or more employees) fell from 7,200 at the start of 2000 to 6,300 at the start of 2011, since when it has increased to 6,700 in 2014. Office for National Statistics labour market statistics show that private sector employment grew by 434,000 from November to January 2013 and Nov-Jan 2014. The Annual Business Survey [ABS] gives estimates of change in business turnover, but these statistics lag business population estimates by about a year. ABS estimates for 2013 show 7 per cent growth in turnover in the private sector over 2012. SOURCE: OFFICE FOR NATIONAL STATISTICS
£6.50 (up from £6.31) £5.13 (up from £5.03)
Business without employees
Business with employees
Business with 1 to 49 employees (Small)
Business with 50 to 249 employees (Medium)
Business with 250 or more employees (Large)
All businesses
180 170
168
Aged under 18 (but above compulsory school age)
£3.79 (up from £3.72)
Apprentice rate, for apprentices under 19 or 19 or over and in the first year of their apprenticeship
£2.73 (up from £2.68)
Base year 2000 = 100
160 151
150 140 130 120
117 115
110
115
100 94
90
At the start of ...
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2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
80
Overall UK solar PV capacity at the end of November 2014 stood at 4,671 MW, across 634,896 installations, an increase of 1.1 per cent in capacity and 2.1 per cent in installations compared with the end of October 2014. Capacity accredited under the Renewables Obligation stood at 1,692 MW at the end of November 2014, across 7,612 installations, unchanged compared with the end of October 2014. Renewables Obligation capacity represents 36 per cent of total solar deployment. Other solar capacity represented 6 per cent of total solar deployment. SOURCE: UK GOVERNMENT
FM WORLD | 15 JANUARY 2015 | 33
12/01/2015 12:10
FM MONITOR LEE CALVER
LEGAL UPDATE
Lee Calver is content developer at International Workplace
EN VIRON MEN TA L L EGI S L AT I O N UP DAT E
s the existing ISO 14001 environmental A management system is replaced this year, FMs should be instituting the Energy Saving Opportunity Scheme, says Lee Calver The Energy Saving Opportunity Scheme (ESOS) is a hot topic. For large companies in the UK this is potentially the most significant new environmental regulation since the CRC Carbon Reduction Scheme was launched in 2010. If you are a UK organisation employing more than 250 people or meeting the standard financial criteria for defining a large company, then you need to know about these regulations and be considering how to ensure your compliance to avoid the £50,000 maximum fine the Environment Agency (EA) is toting as the scheme administrator. Participating organisations must inform the EA that they have complied with the scheme by 5 December 2015 and be able to show documentary evidence of this on request.
ESOS costs Meeting these regulations will on average cost £17,000 for each participant in the first audit cycle and if 6 per cent of opportunities identified are implemented, then it will bring a net benefit to the UK economy of £1.9 billion between 2015 and 2030. The new regulations require participants to calculate their total energy use (including fuel for business transport) over a 12-month period overlapping with the qualification date (31 December 2014), and to carry out energy efficiency auditing 34 | 15 JANUARY 2015 | FM WORLD
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covering 90 per cent of energy use. The good news is that those already collecting data for the CRC, EU ETS, mandatory GHG reporting and CCAs can use these submissions to eliminate the need to duplicate data collection. Ninety per cent of your organisation’s energy use must be covered by: ESOS compliant energy audits Display Energy Certificates ● Green Deal Assessments ● ISO 50001 accredited energy management system ● ●
ESOS stems from article 8 of the EU Energy Efficiency Directive; this means that similar regulations are coming into force across all European Union member states. ESOS equivalent regulations have already been transposed into national law in the Irish Republic, France and Germany. There are minor differences in the way that energy auditing will be mandated in all jurisdictions, therefore it is potentially a significant headache to work out requirements for meeting all of these individual national obligations. One mode of compliance using a single, harmonised strategy is implementation of ISO 50001. This excludes certified bodies from the need to comply, however, time for implementing this International Standard is running out and if this is something you are considering, you should act now.
ESOS opportunity FMs I have spoken to about ESOS have all had great ideas for realising significant energy savings, but have struggled to gain traction with these plans at a senior management level. ESOS is a great opportunity to get these plans seriously considered at board level (sign-off by at least one company director is a requirement of the regulations). As a result of several regulations over the past 10 years, it will be easy to see ESOS through cynical eyes – as just another environmental tax and a costly tick-box exercise. But the most significant benefits will be realised from organisations and FMs recognising the opportunities associated with these regulations.
ISO 14001 to change The worldwide number of bodies with a certified ISO 14001 environmental management system (EMS) now exceeds 300,000. The rapid rise in popularity of the standard is testament to the business benefits it can bring to an organisation including economic savings, for example, from reduced resource use, plus reputational benefit arising from better management of environmental risks. But the existing standard has been in place since 2004 and is nearing the end of a review that should result in publication of a revised version in Q3 of next year. Several significant changes are proposed to integrate consideration of the environment into an organisation’s core business processes and strategic thinking. It places particular focus on the roles and responsibilities of top management, and also requires consideration of the
effects on the organisation of a changing external environment. In addition, it puts emphasis on reducing environmental impacts across the lifecycle of products and services, including supply chains, and requires a higher standard of communications. These changes will affect bodies with an existing certification and also those seeking to achieve certification to the standard. If your organisation has a certified ISO 14001 EMS you will have a transition period of three years following publication of the new standard before you will be required to comply with the revised standard. If you are working towards achieving the standard, or even thinking of doing so, there is time to gain certification against the existing version provided that this is achieved within 18 months of the new standard being published. You will still need to meet the requirements of the 2015 standard within the three-year transition period.
Are there benefits? The structure of the new standard has been aligned with ISO management system standards, making it easier to put together an integrated system. While the requirements of the draft standard raise the bar, there will be uncertainties in both implementation and auditing until it has been in place for a while. But the required commitment of top management, together with the integration of environmental management into the business strategy should enhance the credibility of the standard and its benefits to an organisation. FM www.fm-world.co.uk
12/01/2015 09:57
FM MONITOR LAUREN FRASER
Court Report WHAT IS THE STANDARD OF REPAIR IN LEASES? A REMINDER OF THE RULE IN PROUDFOOT V HART
Court of Appeal provides essential guidance on residential service charges Phillips v Francis THE ISSUE
THE DECISION
Landlords must consult with tenants before carrying out any ‘qualifying works’ that would oblige each tenant to contribute more than £250. The Landlord and Tenant Act 1985 (‘the 1985 Act’) provides that if such consultation is not carried out, a landlord will be barred from recovering any additional costs through the service charge, unless dispensation is applied for. There is no definition of ‘qualifying works’ in the 1985 Act. The position until recently had been based on the case of Martin v Maryland Estates [1999], after which it was widely accepted that the limit applied on a project-by-project basis.
The High Court controversially decided that following the amendments made to the 1985 Act by the Commonhold and Leasehold Reform Act 2002, Martin v Maryland Estates was no longer relevant. Accordingly, the definition of ‘qualifying works’ to which the consultation requirements applied included all works, no matter how minor, for which the landlord incurred costs during any given service charge period, not on a project-by-project basis. Therefore, as the contributions were payable by tenants annually, the limit should be applied to all qualifying works carried out in that year. This meant that the landlord was limited to recovering £250 per tenant for each service charge year in respect of all the improvement works, leaving a shortfall of several hundred thousand pounds. This decision left the landlord in an almost impossible position. The cautious landlord would have to carry out a consultation for all works to be carried out once the annual limit of £250 a tenant for each year had been exceeded, no matter how small. The High Court’s decision made it clear that there was no triviality threshold, which would mean that strictly speaking, consultation would have to be carried out for fairly minor works, such as replacing a window. This would be an administrative burden for the landlord and delays and additional costs for tenants. Alternatively, a landlord could opt not to follow the consultation
BACKGROUND
The new landlord at a holiday site in Cornwall decided to embark on a series of improvements to the site, which was welcomed by the 150 or so tenants. They did not, however, welcome the significant increase in their service charge demands. The landlord had not carried out a consultation in respect of the works, arguing that it was not necessary as the improvement works were made up of a number of smaller projects, each of which did not exceed the limit, which could be recovered from individual leaseholders without consultation. The judge at first instance in the Truro County Court agreed with the landlord, leading to an appeal by the tenants to the High Court.
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procedures and risk not being able to recover those costs, which would have particularly disastrous consequences for Right to Manage Companies and Residential Management Companies with limited reserves. The decision was of such importance that industry bodies such as the Royal Institution of Chartered Surveyors and the Association of Residential Managing Agents supported the landlord’s appeal to the Court of Appeal and the secretary of state intervened on the grounds that the decision had wide-ranging effects for all landlords and tenants. DEFENCE
The Court of Appeal fundamentally disagreed with the High Court’s approach and said Parliament simply could not have intended for landlords and tenants to be encumbered in this way. They held that the correct approach to determining what constitutes qualifying works for the purposes of consultation is to identify individual sets of qualifying works. The Master of the Rolls provided some helpful guidance to determine what a single set of qualifying works comprises. He described this as a multi-factorial question, the answer to which should be determined in a commonsense way, taking into account the relevant circumstances. The relevant (but non-exhaustive) list of factors includes: ● Where the items of works are carried out (whether they are contiguous or physically removed
from each other); ● Whether they are the subject of the same contract; ● Whether they are done at more or less the same time or different times; and ● Whether the items of work are different in character from, or have no connection with, each other. The Court of Appeal stressed that the policy of the act is to protect tenants from unexpected costs from major works. It was made clear that the ‘sets’ approach should not put tenants in a more vulnerable position, as they were still entitled to the separate protection in the act, which provides that a landlord can only recover costs where the works carried out are reasonably incurred and of a reasonable standard. CONCLUSION
This decision will be a relief to the property management industry and provides a practical framework for landlords and tenants. The lack of a definition of ‘qualifying works’ in the 1985 Act has led to uncertainty, but this sensible decision puts flesh on the bones and gives a clear structure within which landlords will be able to approach works with a degree of certainty. Lauren Fraser is a solicitor within the real estate litigation team at Charles Russell Speechlys
FM WORLD | 15 JANUARY 2015 | 35
12/01/2015 09:58
FM MONITOR CRAIG BOOTH
TECHNICAL
Craig Booth, technical sales manager at System Hygienics Ltd
F IRE DAM PER FA I L I N GS EXP O S ED
ire damper failings at the Queen Elizabeth Hospital Birmingham were exposed by Channel 4 News in September. Craig Booth explains why it is crucial that fire dampers are regularly tested and maintained
F
Fire and smoke dampers are an important way to stop the spread of fire and smoke through a building’s air conditioning and ventilation duct pathways. Fire dampers are typically spring-loaded shutters held open by a fusible link that releases and allows the damper to shut when the temperature in the duct exceeds 72°C. Smoke damper blades are usually motorised and respond to smoke alarm signals and/or a temperature sensor. There are many ways to design a fire compartmentation strategy, but whatever route you take it’s vital that these life-safety devices operate reliably when called upon to stop the spread of fire and toxic smoke and gases through ductwork. Probably the highest-profile instance of fire compartmentation failure was at Dusseldorf Airport in 1996, where 17 people were killed. The Regulatory Reform Order (Fire Safety) 2005 calls upon the responsible person, usually the FM, to ensure that protection measures “are subject to a suitable system of maintenance and are maintained in efficient working order and in good repair”. British Standard 9999: 2008 provides a suitable system of maintenance. BS 9999 can be a little confusing as it initially leads you to believe that testing should be carried out every two years, whereas most dampers should be 36 | 15 JANUARY 2015 | FM WORLD
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tested once a year. It states that all fire dampers should be tested by competent persons at regular intervals not exceeding two years and must be repaired or replaced immediately if found to be faulty. But it then goes on to say spring-operated fire dampers should be tested annually and fire dampers in dust-laden and similar atmospheres should be tested much more frequently, at periods suited to the degree of pollution.
Spring into action Considering that more than 95 of fire dampers are spring-operated and almost every motorised damper has a spring mechanism for fail-safe back-up, then effectively most dampers should be tested annually. The days of the old GLC-style single pivot, unsprung gravity damper, which would simply swing shut when the link broke, are gone. Healthcare maintenance codes, such as Health Technical Memoranda, recommend annual testing. The Rosepark Inquiry after the fatal care home fire in South Lanarkshire underlined that testing of shutter dampers should normally be carried out annually. Channel 4 News illustrated a selection of some of the most common problems encountered: ● ●
Damper blades propped open Transport ties left in place
No access panel Inaccessible access panel ● Damper skewed ● Spring broken ● Damper fitted wrongly ● Installation fixings block shutter movement ● Access panel too small or too distant ● Dirt and obstructions foul damper channel ● Motor disconnected/loose on shaft ● Runner channel malformed ● Damper remote from fire partition ● Gaps to side of damper ● ●
The large number of misinstallations found only serve to underline that much construction is carried out in a race against time for the lowest possible cost. More charitably, one could point to the complexity of multiple trades working in the same area and that the ductwork is usually the ‘first in’ and so is often obscured by later additions of services, builders’ work, finishes and occupant appurtenances. Testing should be carried out by a competent person. For fire dampers that means a person familiar with ductwork and fire/ smoke dampers as found up above the ceiling. The experience and general skill set of the person who can advise on extinguisher types, signage and escape routes is often inadequate for this sort of specialist work. A critical feature of proper testing is that the damper must be physically dropped or actuated. It is the only way to confirm that it is in good order. The responsible person should insist that a photo be provided of each dropped damper so that a record exists to verify the
successful testing. Some property managers have been tempted to accept service that simply confirms the absence or presence of a fire damper as noted on a schedule, but that is unlikely to hold water as ‘suitable and sufficient’. Estates engineers and contractors will prefer to use dedicated fire damper testing specialists with ductwork knowledge because the specialist will also be able to provide practical, workable recommendations for solutions to any problems found. There is usually some maintenance done as part of the testing process, e.g. light oil lubrication of the runner channels or blade spindles. This can often be extended to replace fusible links if faulty. More complicated remedial works are usually carried out at a later date against a separate instruction. These require ductwork-fitting skills to: Install useable access Fit removable duct section (especially for smaller ducts) ● Ductwork modifications to provide useable access ● Fit new damper ● Re-fit damper straight ● Re-fit damper in partition/ barrier ● Repair damper ● ●
Other possibilities include updating drawings, schedules and building management systems; the latter usually in co-operation with controls specialists. The important first step is to have the dampers inspected and tested by a competent person who can ensure that the FM is properly covered, and fire dampers operate reliably when required. FM www.fm-world.co.uk
12/01/2015 09:58
FM MONITOR PEST CONTROL
HOW TO DEALIN G W ITH UR BA N FOXES
he Chartered Institute of Environmental Health (CIEH) is a campaigning organisation and professional voice for environmental health. This is an extract from Urban Foxes: Guidelines On Their Management
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Urban foxes have become a significant problem in cities and towns in the UK. There have been a number of news stories about attacks on children and pets, and it is inevitable that more will appear in the future because of this media interest. The way we live nowadays provides the urban fox with a readily available supply of food in rubbish bins and other poorly managed disposal facilities. Their populations have recently increased in some urban areas. Foxes are not a protected species as such, but they are protected against abuse and ill-treatment.
ALAMY
1⁄
Biology and behaviour
Foxes eat a wide range of foodstuffs. Their diet includes small mammals, birds (including eggs), reptiles, insects, earthworms, fruit, vegetables and carrion. In urban areas about a third of their diet is scavenged waste or food deliberately provided by householders. Foxes readily store their food, usually by burying it in the ground. Foxes are predominantly nocturnal, but in urban areas the sight of a fox active during the day is not unusual. Foxes usually shelter and breed below ground in an ‘earth’ or ‘den’. They prefer well-drained soil and sometimes use burrows made by rabbits or badgers. www.fm-world.co.uk
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In urban areas they also live beneath sheds and outbuildings, even under the floorboards of houses.
2⁄
A source of human disease
Like most mammals, foxes can carry a range of parasites and diseases that theoretically could affect humans. However, there is little published evidence to support the notion that foxes are actually a source of infection in the UK. The two most important foxborne zoonoses [diseases that can be transmitted from animals to humans] do not currently occur in the UK. These are classical rabies (due to genotype 1 rabies virus) and alveolar echinococcosis (Echinococcus multilocularis). The significance of urban foxes for human disease would change substantially if either of these infections were to be introduced into our fox population.
3⁄
Urban fox management
Dealing with foxes is the non-statutory responsibility of the owner, occupier or manager of the property where the problem occurs. Local authorities do not have a statutory responsibility to control foxes as they do under the Prevention of Damage by
Pests Act 1949 to keep their districts as far as practicable free from rats and mice. Poor food waste management at fast-food outlets and restaurants, overgrown outside areas, gaps under outbuildings and building foundations and broken air vents are all contributory factors to the successful colonisation of urban areas by foxes. Human interference will often encourage foxes to leave a site. Filling in excavations as soon as they appear can stop foxes moving in. This can be done by light blocking with loose soil. This will help to ensure that no animals become trapped below ground.
●
Care must be taken to check that the hole is not part of an active badger sett; blocking or interfering with a badger sett without a licence is illegal. Advice on distinguishing badgers setts is available from Natural England.
●
4⁄
Use of repellents
These compounds have an unpleasant odour or taste and make an area or particular substrate unattractive to foxes. Only compounds that are approved as animal repellents under the Control of Pesticides Regulations 1986 or the Biocidal Product Regulations 2001 may be applied, and they must be used in accordance with the instructions on the product label. Repellents should not be placed down a foxhole, and the use of anything other than an approved product as a repellent – e.g. disinfectants, fuels and wood preservatives – may be illegal.
5⁄
Legal control measures
It is legal to place and set a suitably baited cage trap for the purpose of catching foxes. However, section 11 of the Wildlife & Countryside Act 1981 (as amended) prohibits the use of live decoys for the taking or killing of any wild animal. As there are no restrictions on the design or manufacture of these traps, there are many types available. One of the major advantages of live capture trapping is that it enables the release of any protected wild animals or domestic pets. Once captured, the fox becomes a protected animal under the Animal Welfare Act 2006 as it is ‘under the control of man’, albeit temporarily. A decision on how to deal with the fox should have been made before setting the trap. Relocate and release is not recommended owing to the stress imposed on the animal through transportation and relocation into an unfamiliar environment. Dispatch must be conducted humanely and is best dealt with at the site of capture. However, there may be situations where this is not possible (e.g. where the site is in full view of the public or others) and movement to an alternative site for dispatch may be necessary. The Protection of Animals Act 1911 and the Control of Pesticides Regulations 1986 make it an offence to lay poisonous substances for foxes. FM Further advice and information is available in Technical Information Note TIN072 available from Natural England. http://bit.ly/1xTWuZV The full version of this guide can be downloaded at the CIEH website: http://bit.ly/17zMT0E]
FM WORLD | 15 JANUARY 2015 | 37
12/01/2015 16:17
BIFM NEWS BIFM.ORG.UK
Last year’s ThinkFM at the same venue saw a record attendance THINKFM 2015
energy bills, legislation and its role, the importance of behavioural change and the performance gap between design and operation. While the group saw a central role for FM in all areas it was felt that there is some way to go before it is in a place to influence organisations at the very top level on energy management and resource security. As a result of the forum the group developed a plan to support FM’s role:
Supporter packages BIFM has announced its supporter packages for its industry leading conference ThinkFM. The conference which takes place on 13 May, at Kings Place, London, is set to return to discuss ‘The Competitive Edge: Gaining competitive advantage through the workplace’. “After the phenomenal success of ThinkFM 2014 we have put together a variety of supporter packages which will allow companies to position themselves alongside the conference as an inspirational thought leader. “The conference itself has a full agenda which starts with a networking breakfast right through to the evening reception. There are a whole host of opportunities available for supporting organisations throughout the day,” said Olivia Ferrari, account director at BIFM. The ThinkFM conference is a driving force in generating debate, discussion and networking between FM professionals. The 2015 conference will be hosted by Daisy McAndrew, former economics editor at ITV News, and speakers will be announced over the coming weeks. Statistics from the 2014 event showed: ● Over 50 per cent of attendees are director or senior management level with 94 per cent of all attendees at management level or above; ● 360-plus delegates from the FM sector and beyond; ● 86 per cent of delegates rate ThinkFM as good or excellent; ● Mix of attendees from both the public and private sector; ● ThinkFM has exposure in the run-up to the conference across all BIFM’s membership – over 38 | 15 JANUARY 2015 | FM WORLD
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15,000 members and beyond; and ● In 2014, on the day ThinkFM had 2,524,216 impressions and 1,500 tweets, resulting in it trending and reaching Twitter’s UK top 10. To find out more about the supporter opportunities available, contact the corporate team at corporate@bifm.org.uk or +44 (0)1279 712 675. i Bookings for ThinkFM will open later in the month. See www. thinkfm.com for full details.
NEW KNOWLEDGE
The future of public procurement The latest BIFM Leaders’ Forum gathered 15 experts from the public and private sector to look at the challenges involved with administering government contracts, following recent criticism by the Public Accounts Committee about how such contracts are run. The consensus was that there are significant issues in government contract
management, and to resolve these issues the government will have to evolve and adapt. Recommended changes include investing more in recruiting the right people to manage the contracts, training existing staff, and taking best practice from the private sector. The latest FM Leaders Forum considered these issues and challenges, what they mean for the industry and what the future of FM procurement in the public sector might look like. i Download the Leaders Forum at www.bifm.org.uk/ publicprocurement
● Invest in training and new technology in order to be able to present a strong business case and become a trusted intermediary; ● Develop in-depth understanding of a building’s energy performance by acquiring operational energy data; ● Become involved as client partners in the design of buildings in order to manage energy usage better; ● Play a key role in developing energy, water and waste benchmarks; ● Promote an industry leader and figurehead on whom CEOs can rely for guidance and vision; and ● Become energy ambassadors and raise energy awareness. i Download the Leaders Forum at www.bifm.org.uk/jeopardy
BIFM COMMUNITIES
FM and the energy crisis
Volunteer your abilities
In another knowledge-sharing ‘Leaders Forum’, a panel of energy thought leaders agreed that FM professionals will play a crucial role in the evolving energy debate, but warned that knowledge and skill levels will need to increase if this is to happen. Areas covered in the paper include the threat of increasing
As 2014 is over, it is a good time to reflect on all that has happened throughout the year, especially within our BIFM communities. It has been a busy year for our Regional and Special Interest Groups (SIGs) where we have had two new additions over the past year, with the founding of the Wales and UAE groups, www.fm-world.co.uk
12/01/2015 09:59
Please send your news items to communications@bifm.org.uk or call +44 (0)1279 712 620
and the restoration of the Fellows Group as an SIG. Our committee members dedicate many voluntary hours to organise and develop a variety of interesting and informative events, most of which are free to attend. Our volunteers delivered an outstanding amount for the members of BIFM. In 2014 our Regions and SIGs delivered more than 145 events, which have had at least 7,200 bookings. They also raised more than £150,000, plus much more gift in kind, to deliver different activities to support the membership and to highlight the important work of the FM industry. Our volunteers, who dedicate so much of their time and expertise for the benefit of their fellow members, are hugely important to the institute and its members. Not only do they deliver multiple events, they develop knowledge content, relevant documentation and Good Practice Guides, in order to support the BIFM and our members in the industry. Alongside this, volunteers judge the BIFM Awards, which help to improve and build the FM community through networking and knowledge sharing, which is such an important part of building our membership relationships. I would just like to take this opportunity to say thank you to our many volunteers who do so much throughout the year for the BIFM and its members. If you are interested in volunteering your time and being a part of a committee or would like to assist with the development of knowledge content, then please contact Bryan Precious on bryan. precious@bifm.org.uk i For further information on all our Regional and SIG Committees go to www.bifm.org.uk/groups
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38_40_BIFMNews.indd 39
BIFM COMMENT
Julie Kortens is chairman of the BIFM
OUR POTENTIAL FOR TOMORROW
hose of you that have either read comment pieces from me over the past year, or have attended events that I have spoken at, will know that I’m excited by the prospect of what we can achieve here at BIFM. I believe in the positive impact that FM can have in any organisation and I also hold that belief for our professional body. In 2014 we demonstrated some of the potential, but as we move into the New Year we must start to deliver the value necessary to support the profession as it continues to evolve. If last year was about adjusting our offer and positioning ourselves as an organisation then next year is about the development of that work and taking it that much further. An example of this is our conference, which was a great success last year. But we must enhance the delivery and content of the next one in May if we are to keep up the momentum. Having announced the theme, we are confident we will do this and by linking the world of FM to the competitive edge of an organisation we can again demonstrate the relationship between the people and place. This also sits at the heart of our collaboration with CIPD and you will begin to see some externally focused activity in 2015 following a number of months where we have been shaping the project and speaking with organisations and thought leaders on the future of the workplace. It’s a hot topic and one that is bringing FM into the spotlight for business leaders. Our list of partners continues to grow with work taking place with CIPS and other organisations that represent specific business communities or also those within the built environment. This will be crucial to support our growth; FM is linked to so many parts of organisations and by working with other professional bodies we are able to connect common challenges and trends, which in turn should help to create connections around the workplace. In summary, BIFM will continue to build on this year’s great work during 2015 and I hope that as many of you as possible will join us on the journey – it promises to be a very exciting year!
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“FM IS LINKED TO SO MANY PARTS OF ORGANISATIONS AND BY WORKING WITH OTHER PROFESSIONAL BODIES WE ARE ABLE TO CONNECT COMMON CHALLENGES AND TRENDS, WHICH IN TURN SHOULD HELP TO CREATE CONNECTIONS AROUND THE WORKPLACE”
FM WORLD | 15 JANUARY 2015 | 39
12/01/2015 10:00
BIFM NEWS BIFM.ORG.UK
FAIRPLACE AWARD
Calling for assessors Over the past five years UK property charity the Ethical Property Foundation has been working in partnership with BIFM and a range of like-minded organisations to develop ’the fairplace award’ – a comprehensive workplace accreditation that evidences an organisation’s commitment to the people in the workplace and the community outside, as well as the environment. The Ethical Property Foundation is recruiting volunteer assessors across the United Kingdom. Applicants need a property management and FM background and will be instrumental in embedding the award into working life. Assessment can be done in your own time at home and full expenses are paid for site visits. Training, mentoring and support are provided and you will also have the opportunity to join other assessors, colleagues and property professionals at annual events. The fairplace awards are given to individual workplaces: this can be part of a building, a single building or a number of buildings on a single site. Both landlords and tenants can apply. There is a huge amount of interest in the award from companies who see it as an effective business improvement tool and as a means to embed workplace management into long-term strategic business planning. Each award lasts for three years and applications receive assessors’ recommendations for improvement. For more information please contact Antonia Swinson, director of the Ethical Property Foundation at i
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antonia.swinson@ethicalproperty. org.uk or 020 7065 0761
BIFM TRAINING MAKE CAREER TRAINING PART OF YOUR NEW YEAR’S PLEDGES
MEMBERSHIP
New members BIFM would like to welcome: Anders+Kern UK Ltd – FM service suppliers, contractors Artelia UK – consultant, provider of advice and guidance Boden Resource Ltd – FM management, suppliers Carbon2018 Limited – consultant, provider of advice and guidance CIS Security Ltd – product supplier, provider of a specific product Clugston – product supplier, provider of a specific product G3 Systems Ltd – FM service suppliers, contractors General Medical Council – end-user, in-house FM team Hampshire County Council – FM service suppliers, contractors Proof Facilities Management Ltd – FM service suppliers, contractors Red Facilities Management Services – FM service suppliers, contractors Regent Samsic – FM service suppliers, contractors Save Money Cut Carbon – FM service suppliers, contractors SEE-FM – FM service suppliers, contractors Segro – group member organisation Styles&Wood Group PLC – FM service suppliers, contractors US Embassy London – enduser, in-house FM team i Learn more about corporate or group membership at www.bifm.org.uk/ corporatemembership, email corporate@bifm.org.uk or call +44 (0) 1279 712675
anuary is by tradition a month when most people knuckle down after the deserved excesses of December. Resolutions are made, new plans hatched and new careers and promotions are aspired to. Learning and development will be key to achieving the latter and here are some key up-andcoming courses to support your ambitions.
J
Understanding FM – 20-22 January 2015/24-26 February 2015 Our flagship course, which is consistently sold out, is suitable for newly appointed staff and those with less than two to three years’ operational experience looking to broaden their range of responsibilities and skills. Includes a site visit that provides an invaluable insight into FM in practice. IOSH Risk Assessment in Practice – 11-12 February 2015 Following many calls for a focused risk-assessment training package, we have realigned the long-established Health & Safety Regulations, Responsibilities & Risk Assessments programme, incorporating more of the technical side of risk assessments. Workplace risk assessments are a requirement under UK law, so it is essential that you have somebody on site trained to carry out the procedure. Contract Management for FMs Suite – 24-25 & 26 February 2015 (Can lead to an Institute of Leadership and Management Endorsed Award when delivered in-house.) This gives delegates an effective, systematic and professional approach to contract management from devising specifications, tendering, negotiations and appointment to management of contractors. Objectives, targets and performance levels set out in a contract or SLA and promised benefits delivered and improved quality of service sustained throughout the contract life cycle. All contracts involve negotiations between customer and service provider, and the course will explain how to maximise opportunities, minimise risk manage negotiations with experienced opponents. Discounts offered on The Tender Process, Contract Management and Negotiating to Win courses are awarded when the courses are booked together for one delegate to attend all three days consecutively. i For further information go to www.bifm-training.com, email info@bifm-training.co.uk, or phone 020 7242 4141
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FM DIARY INDUSTRY EVENTS 10 February 2015 | Workplace Futures Conference This year’s theme is convergence, and FM’s relation to CRE, HR, IT, finance and more. Venue: The Crystal, 1 Siemens Brothers Way, Royal Victoria Dock, London E16 1GB. Contact: Visit www.workplacefutures.co.uk for more information. 12 Feb 2015 | RICS BIM Conference 2015 Guidance from experts on how BIM is used on projects, in various sectors, and their experiences of implementing BIM in practice. Venue: etc Venues,155 Bishopsgate, Liverpool Street, London EC2M 3YD Contact: www.rics.org/uk/trainingevents/conferences-seminars/ rics-bim-conference/london/ to book tickets. 3-5 March 2015 | Ecobuild A three-day conference focusing on sustainable design, construction and energy for both commercial and domestic buildings. Confirmed speakers include John Armitt, Board of Transport for London, Natalie Bennett, leader of the Green Party, and the Rt Hon John Gummer. Venue: ExCeL, London. Contact: Visit www.ecobuild.co.uk for more information. 24-26 March 2015 | Facilities Management 2015 The show brings together FM professionals and exhibitors of innovations and business solutions to the UK market. Visitors will also benefit from the co-located event Cleaning Expo, as well as Maintec 2015 and the Health & Safety Event. Venue: National Exhibition Centre, Birmingham Contact: See www. easyfairs.com/events_216/ maintec-2015-facilitiesmanagement-2015_58902/ facilitiesmanagement-2015_58975/ 13 May 2015 | ThinkFM – The Competitive Edge: Gaining competitive advantage through the workplace The ThinkFM conference will be held at Kings Place, London. Full details to follow. Venue: Kings Place, London. Contact: To find out more, and to register your interest, www.fm-world.co.uk 41 | 8 MAY 2014 | FM WORLD
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Send details of your event to editorial@fm–world.co.uk or call 020 7880 6229
visit www.thinkfm.com. Sponsorship and advertising opportunities available. 1-3 June 2015 | EFMC 2015 The BIFM, IFMA and EuroFM have partnered to hold the European Facility Management Conference, held next year in Glasgow. More information on speakers to follow. Venue: Glasgow. Contact: To find out more, visit www.emfc-conference.com 16-18 June 2015 | Facilities Show The annual conference, in association with BIFM, and colocated with IFSEC International, FIREX International, Safety & Health Expo, Energy & Environment Expo and Service Management Expo, returns to ExCeL. Speakers and programme to be confirmed. Venue: ExCeL, London. Contact: To find out more, visit www.facilitiesshow.com 23 July 2015 | BIFM AGM 2015 Details to be made available shortly. Venue: London, TBC. Contact: Visit www.bifm.org.uk or email membership@bifm.org.uk 7-9 October 2015 | IFMA’s World Workplace Conference & Expo Annual conference and expo for those who support facilities from FM, IT, PM and HR to engineering, security, real estate and sustainability/energy specialists. Venue: Colorado Convention Center, Denver, Colorado, US Contact: See more at: www. ifma.org/events/fm-events/ event-details/2014/10/20/ worldworkplace.ifma.org 12 October 2015 | BIFM Awards The BIFM’s annual awards ceremony, bringing together the leaders in the sector with the winners to celebrate excellence in FM, giving national recognition to the leaders in the profession. Entries for this year’s awards open in January. Sponsorship opportunities are available on the website. Venue: Grosvenor House Hotel, London. Contact: Visit www.bifm.org.uk/ bifm/events/awards/awards2015 or email awards@bifm.org.uk Follow @BIFMAwards on Twitter for regular updates.
More information to follow soon. Please visit www.tinyurl.com/ q2rujzc for updated details. Venue: Manchester Central Convention Complex, Windmill St, Manchester M2 3GX Contact: Email Mark Whittaker at mark.a.whittaker@integral.co.uk SCOTLAND REGION 25-26 April 2015 | 2015 Gala Ball and Recognition Awards The Scotland region’s flagship event. The region’s awards evening will see FM Professional of the Year, FM Team of the Year and FM Project of the Year being awarded for the first time. Hosted by Scottish TV and radio presenter David Farrell (DJ Romeo). Venue: The Marriott Hotel, 500 Argyle Street, Glasgow G3 8RR Contact: Email Tony McKee at tony.mckeebifm@hcsuk.org or visit www.tinyurl.com/qbqnept to book tickets. SOUTH REGION 28 January 2015 | Technology and space utilisation Find out the latest thinking on using technology to assist with space utilisation. More information at www.tinyurl.com/q2yd85f Venue: Chichester County Hall Contact: Email Ian Fielder at ian.r.fielder@gmail.com 25 February 2015 | Qualification taster session An event outlining BIFM qualifications. Venue: Specsavers, Forum 6, Solent Business Park, Whiteley, Hampshire PO15 7PA Contact: Email Ian Fielder at ian.r.fielder@gmail.com SPECIAL INTEREST GROUPS 4 February 2015 | Introduction to catering contracts Designed for those new to catering who have recently been made responsible for this function, this course covers key requirements for managing a catering contract. Venue: Central London Contact: Kay Bain on 020 7404 4440 or info@bifm-training.co.uk, or see www.bifm-training.com/ intro_catering_contractsFS.htm to book tickets.
NORTH REGION 21 January 2015 | Delivering strategic facilities management
11 February 2015 | Women in FM – transformation technology: what does the future hold?
More information to follow. Venue: RPC LLP Tower Bridge House St Katharine’s Way London E1W 1AA Contact: Email Pauline Mitchell at pauline.mitchell@rpc.co.uk 26 February 2015 | International – Challenging convention: the ultimate sustainable case study More information to follow. Contact: Email Claire Sellick at clairesellick@btinernet.com 17 March 2015 | Selecting & controlling contractors FMs are increasingly being held accountable for breaches of H&S legislation committed by contractors. This course will provide you with up-to-date guidance and covers. Venue: Central London Contact: Kay Bain on 020 7404 4440 or info@bifm-training.co.uk, or see www.bifm-training.com/selecting_controlling_contractorsFS.htm 19 March 2015 | Social media for FMs This course explores how well FMs and the FM sector use social media, looks at best practice, and how organisations and individuals can use social media to boost their own reputation and improve their prospects. Venue: Central London Contact: Kay Bain on 020 7404 4440 or info@bifm-training.co.uk for further information or to book. 19 March 2015 | IOSH managing FM performance A course defining, measuring and managing FM services. Learn how to articulate service requirements and evaluate performance. Key topics include SLAs, KPIs, incentives and penalties. Venue: Central London Contact: Kay Bain on 020 7404 4440 or info@bifm-training.co.uk, or see www.bifm-training.com/service_ levelFS.htm to book tickets. 24 March 2015 | IOSH managing safely refresher day If you have achieved an IOSH Managing safely certificate within the last three years and need a refresher, this one-day course will provide you with continued support in managing health & safety issues at work and update you on changes in good practice, legislation and standards. Venue: Central London Contact: Kay Bain on 020 7404 4440 or info@bifm-training.co.uk or see www.bifm-training.com/IOSH_ managing_safely_refresherFS.htm to book tickets.
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Call Jack Shuard on 020 7880 8543 or email jack.shuard@fm-world.co.uk For full media information take a look at www.fm-world.co.uk/mediapack
FM innovations ▼ Northampton firm cleans up overseas
▲ Be prepared for ‘massive snowstorms’ In November a massive snowstorm wrought havoc in the north-eastern US, resulting in deaths in upstate New York. Across the pond, the UK’s weather has remained mild over the past month or so, and we are yet to see any signs of ‘massive snowstorms’. But, as we move into February, who knows what weather there may be in store? The one thing that is certain with our weather is its uncertainty. We urge businesses, schools and hospitals to get themselves prepared – to be ready for harsh conditions. Ice and snow can cause havoc when it comes to the day-to-day operations of a busy organisation, and the impact of possible claims should be cause for real concern. Don’t take winter lightly – be prepared for another ‘Big Freeze’ and you won’t go wrong – whatever the weather. W: www.de-ice.co.uk
SpaceVac in Northampton is set to open its first international office in South Africa, just months after exploring exporting with UK Trade & Investment (UKTI) and Northamptonshire LEP. The new office completes an exciting first year for Northampton based SpaceVac, whose product to reach heights that other high-level cleaning equipment cannot was invented just over two years ago. The news came during UKTI’s November Export Week (held 10-14 November), which aimed to encourage companies to take up the export challenge. Colin Lewis, SpaceVac’s MD, shared his experience with 100 firms at ‘Making it in Northamptonshire’, a key Export Week event held at the Daventry Icon Business Centre. SpaceVac has now been sold to nine countries. Colin Lewis, MD, said: “The African market is valued at 20 times that of the UK. There has been enormous interest in the product and no real competition, so we are confident of success.” W: www.space-vac.co.uk
▲ Space-saving recycling bin stacks up Leafield Environmental has created a modern space-saving recycling unit that can be used as a single unit (52 litres) or a stackable group. Its compact and discreet design makes it ideal for small offices, kitchens or narrow corridors to collect up to four different types of waste in one flexible unit. It features WRAP colour-coded apertures and recycling labels as standard. A set of two starts from £99. E: comms@leafield-environmental.com W: www.leafieldrecycle.com T: 01225 816541
First unit to filter, not mask smells
▶ OCS recognised for emissions reduction
A new UK manufactured air filtration and fragrance system called ECOBreezeTM that filters out all smells rather than masking them is now available. ECOBreeze is the first air care product that has a triple-action system. First, it draws air through a dust filter to remove all airborne dust particulates; air is then directed through a sophisticated carbon filter to extract smelly organic molecules. The clean air passes over a wicking system that releases a fragrance, leaving the air in the washroom, kitchen or corridor clean, fresh and fragrant. W: www.washroom-wizard.co.uk
Facilities management provider OCS has achieved recognition for reducing its impact on global climate through the Certified Emissions Management and Reduction Scheme (CEMARS) certification. The world-leading greenhouse gas certification (GHG) programme is the first to be accredited under ISO 14065 and recognises and rewards the actions of businesses that measure their GHG emissions and put strategies in place to reduce these. OCS is committed to achieving a 10 per cent reduction in carbon intensity over the next five years. W: www.ocs.co.uk
▲ SpaceVac wins ‘pole’ position SpaceVac Technologies Ltd, the world’s leading manufacturers of high-level and gutter pole cleaning equipment has reached ‘pole’ position – voted best brand in independent comparison tests. SpaceVac beat its two competitors Omnipole and Skyvac in practical tests on an Essex office block by a national window and gutter cleaning company. One complete basic set of vacuum-operated gutter cleaning equipment was bought from each of the three UK manufacturers – Omnipole, SpaceVac and Skyvac. Top independent nationwide window and gutter cleaning expert Ian Robson, director of Progress Cleaning Services, put all three brands through their paces and reported on his findings. SpaceVac Technologies was voted equal or best product in every aspect from ease of use and assembly to effectiveness and efficiency of doing the job. W: www.space-vac.co.uk
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▼ OCS supports education programme Prancing packhorses, mooing cows and even shovel-digging navvies play a starring role in a new digital interactive game, ‘Build a Canal’, launched by the Canal & River Trust on its Explorers education website. Sponsored by total facilities management provider OCS, whose Fountains business provides environmental and vegetation management services for the trust, the game invites children to get their virtual hands dirty and play at being a canal engineer. Designed for children aged seven to 11, the animated storyline is packed full of interesting historical facts and figures, as well as colourful moving graphics featuring animals, people, boats and buildings. The game comes with comprehensive teacher notes suggesting ways the activity could be used for lessons. Canal & River Trust education manager Annette Simpson said: “The game is part of the trust’s wider education programme to encourage children to engage with their local waterways.” W: www.ocs.co.uk
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12/01/2015 10:01
FM PEOPLE MOVERS & SHAKERS
BEHIND
DATA
THE JOB
LUKE HERRIDGE
TOPIC TRENDS
NAME: Luke Herridge JOB TITLE: Facilities manager ORGANISATION: Storm Facilities Management Ltd JOB DESCRIPTION: To look after my customer base and ensure their ad hoc and planned service demands are met. What attracted you to the job?
Facilities management was always something that interested me and was a path that I wanted to take my career. I liked what Storm stood for as a small but passionate business offering our customers a quality personal service. I was more than pleased to be able to take a leap into FM with them.
What’s been your career high point to date?
I have certainly worked for some great companies so far in my career and consider myself very lucky. I have worked hard, but have been lucky enough to always enjoy what I do – gaining some excellent experience and knowledge. If I wasn’t in FM, I’d probably be…
I would still be a lifting inspections engineer.
OUR INTERVIEWEE RATES THE IMPORTANCE OF CURRENT FM TOPICS OUT OF 10. THE ‘AVERAGE’ SCORE (IN GREEN) IS TAKEN FROM OTHER RECENT INTERVIEWEES.
Ensuring compliance with legislation
9
9
AVERAGE
LUKE HERRIDGE
If you could give away one of your responsibilities to an unsuspecting colleague, what would it be?
Nothing. I enjoy the job as a whole, along with the challenges that are thrown my way on a daily basis. Maybe ask me this question in five years’ time. If you could change one thing about the industry, what would it be?
Some tendering processes can be overly complicated even for the smaller jobs. The need The flexibility of being in facilities means I am to set people apart is needed, but in making the involved in a wide range of process clearer the tenders tasks on a daily basis that is received would be of a WHAT SINGLE PIECE always keeping me on my toes. higher quality. OF ADVICE WOULD YOU I can safely say I am never GIVE TO A YOUNG FM Which “FM myth” would bored. STARTING OUT?
Introducing/ working with new forms of IT
5
5
My top perk at work is…
How did you get into facilities management and what attracted you to the industry?
I contacted Ben the director at Storm on LinkedIn and stayed in regular contact. I liked what his business was about and jumped at the chance to become a facilities manager when it came.
“Ask as many questions as possible of whoever you can. There are a lot people within the industry with a lot of knowledge who are normally more than happy to share it with you.”
What has been your biggest career challenge to date?
I was made redundant two days before my daughter was born and ended up taking calls for job interviews while my partner was in hospital. I was given the opportunity to choose between four job offers in the end – that gave me the satisfaction of knowing I had plenty of options for my skill set. Any interesting tales to tell?
Far too many, to be honest! It’s one of the interesting things about my career that has kept me surprised – seeing new things on a regular basis. It is part of what has made my work life so engaging.
www.fm-world.co.uk
you most like to put an end to?
That things just fall into place when you are in the industry,then you can appreciate how much hard work goes into running a building.
How do you think facilities management has changed in the last five years?
I am new to the industry, but can already see how far the role has come and how broad of a job title it is. Facilities now covers every aspect of a company and will only continue to grow. And how will it change in the next five years?
I think it can only continue to grow over the next five years with people really seeing the importance and benefits of having good FMs and practices in place.
Working on energy-efficiency initiatives
7 9
Adapting to flexible working
5 6
Maintaining service levels while cutting costs
8 10
Do your friends understand what FM is?
Most do, though they are normally surprised when I tell them exactly what the job involves. Have you got a story to tell? We are looking for facilities managers to feature in Behind the Job. Contact the team at editorial@fm-world.co.uk for more information
Adapting FM to changing corporate circumstances
8
8
FM WORLD | 15 JANUARY 2015 | 43
Appointments
Call the sales team 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
JOBS PLAN YOUR NEXT MOVE
on the move New features available through your smartphone See the latest job listings View all the jobs from the website Search or browse to find the right opportunities Create and update your live email job alerts View jobs directly from your email alerts Save and apply for jobs Save jobs to your profile Email jobs to yourself or friends Apply for the right jobs first using your saved CV Keep track of all your jobseeking activity
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FM opportunities Facilities Manager | Managing Agent North West • £45,000-£55,000 There is an immediate need for a Regional FM to join a bestin-class managing agent. Covering the North West region, the successful candidate will take the reigns of a mixed portfolio of c.15 properties to deliver hard and soft services. Using your stakeholder management skills, you will coordinate outsourced contractors and seek to find cost saving initiatives whilst upholding quality and adding value to portfolio. This role is best suited to candidates that have come from a managing agent/property background. IOSH qualifications are preferred but not essential. Ref: 278751
Technical Services Manager Lancashire • £40,000 Our client is regarded as one of the leading global service providers. This company operate across a number of industry sectors, however in this instance is actively seeking a Technical Services Manager with a mechanical bias to be based onsite at one of its healthcare clients. The successful candidate will have 2 direct reports with an additional team of c. 30 technicians which will deliver mechanical FM initiatives. This is a customer facing role whereby you will be interfacing with senior stakeholders, hence good communication skills will be key to your success in this role. Ref: 288581
Offices globally www.cobaltrecruitment.com Please apply for either of the above roles by emailing apply@cobaltrecruitment.com or call 020 7478 2500 to speak with David Bremner quoting the relevant reference number.
The power of people
the
natural choice in FM recruitment
ESTATE MANAGER We are seeking to appoint an Estates Manager for the management and development of the buildings and grounds at Manchester High School for Girls which is one of the country’s leading independent girls’ schools and which occupies an eleven acre site close to the city centre. The person appointed will be responsible to the Bursar. The Estates Manager will be responsible for all aspects of both hard and soft facilities management across the Estate, associated budgets, the management of an in-house team and sub-contractors. The ideal candidate will have an appropriate Facilities Management quali½cation, be pragmatic, have an engineering/electrical background and be computer literate and able to take advantage of project planning software. Closing date for applications: 12.00 noon, Monday 9th February Interviews will be held at the School on Monday 23rd February 2015.
To find out how you can benefit from working with Eden Brown, contact us today on 0845 4 505 202. www.edenbrown.com
Further details and application forms available from the school: E-mail administration@mhsg.manchester.sch.uk and also from the website: www.manchesterhigh.co.uk MHSG is committed to safeguarding and promoting the welfare of children and young people and expects all staff and volunteers to share this commitment. The successful applicant will be subject to an enhanced DBS check. Registered Charity 532295
FM WORLD | 15 JANUARY 2015 | 45
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FINAL WORD
NOTES FROM AROUND THE WORLD OF FM
NO 2
DAYS
THE SAME MPS ARE BOTTLING IT It’s the kind of thing that gives our elected members a very bad name – and this in an election year, too. A proposed merger of catering departments at Westminster has been rejected because members of the House of Lords feared the quality of champagne would suffer. A report published in The Observer in December detailed how the former Clerk of the House of Commons, Sir Malcolm Jack, astonished a governance committee set up to examine how the Palace of Westminster is run. Jack said that a proposal to merge the two catering departments had faltered “because the Lords feared that the quality of champagne would not be as good if they chose a joint service”. In another deposition to the committee, Sir Robert Rogers, recently retired clerk of the house, said that “people are very possessive about some services. Catering is an absolute classic.” Would that we voters had the luxury of being so possessive! The governance committee is considering whether the Palace of Westminster should be run by a clerk or instead have a chief executive responsible for its operational budget, which stands at £200m a year. (The Observer reports the size of the House of Lords’ catering budget as £1.3 million.)
STAND UP – FOR STANDING UP! On average, British people sit for just shy of nine hours each day – with 70 per cent of all that sitting occuring while you're doing your job in the workplace. That was the theme of the Active Working Summit in the first week of this new year, with speakers promoting the idea of sit-stand working. It was a well-timed event, tapping into individuals’ feelings (both physical and mental) after the extraordinary break from reality that the two weeks over Christmas have become. This edition of FM World has plenty on the subject of health within the workplace, but that particular statistic on sitting is an important one. For one thing, the Active Working Summit’s organisers claim that, irrespective of your level of physical activity, prolonged sedentary working leads to significant increased risks of heart disease, diabetes, obesity, certain cancers, depression and muscle degeneration. Note that key phrase - “irrespective of your
level of physical activity”. If we take it that the average person is awake for 18 hours a day, then that nine hours of sitting is equivalent to more than half of our working time happening while we’re in chairs. If you’re lucky enough to get the full eight hours of sleep a night, they’re suggesting that nearly 60 per cent of your waking time sees you seat-bound. One thing that standing up increases is movement, and that means walking – so why not tie the personal health message to that of your organisation's corporate social responsibility and sustainability initiatives? Where are the floors that generate energy when workers tread on them? Not that long ago there were plans to install such flooring in railway stations. A shame if that idea is no longer viable. Forget the Back To The Future hoverboards, they’re way off – but where are the energy generating floors? Because together, the standing at work and personal energy generation ideas could change everything. Just a thought.
FOCUSSING ON A FESTIVE MESSAGE A final thought for the Christmas and New Year break, during which it was easier than is typically the case for the general public to chance upon, and recognise the true value of, facilities workers. From people cleaning trains on late night services to porters in hospitals and security guards in buildings, members of the public, in their travelling from home to party and back, will have possibly made more note of the out-of-hours providers of services that they’d not really give much thought to during
the normal working week. Christmas tends to bring out the charitable in people, so we wonder whether there’s an opportunity here for a Christmas 2015 campaign to highlight all those facilities professionals who work over this high profile holiday period and thus ensure other people’s holidays go without a hitch. After all, with so much talk about FM being an unseen 'Cinderella' service, perhaps more could be done to showcase the work of all those who ensure that the rest of us can go to the ball.
IMAGE SOURCE
IN THE NEXT ISSUE OUT 29 JANUARY
FEATURE: NHS PROPERTY SERVICES – FUNDAMENTAL CHANGES AHEAD /// REPORT: BIFM WOMEN IN FM CONFERENCE /// FEATURE: WASTE MANAGEMENT /// LEGAL UPDATE: R22 REFRIGERANT RULES /// FEATURE: PAUL EMMANUEL PROVIDING FM AT THE OLYMPIC DELIVERY AUTHORITY /// ALL THE LATEST NEWS AND BUSINESS ANALYSIS
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