FM World 24 September 2015

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THE MAGAZINE FOR THE BRITISH INSTITUTE OF FACILITIES MANAGEMENT | 24 SEPTEMBER 2015

FMWorld www.fm-world.co.uk

PAYING IT FORWARD How to best present facilities management’s role as a value driver for the core business

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VOL 12 ISSUE 17 24 SEPTEMBER 2015

CONTENTS

06| Towards a ‘smarter state’

18| Lincolnshire partnership

24| ActionAid in Haiti

NEWS

OPINION

FEATURES

06 PM: ‘Smarter state’ to provide better public services 07 Firms could dodge pay law by using ineligible workers 08 Project of the fortnight: Overbury revitalises BAE HQ at Farnborough 09 Think Tank: Will facilities management gain or lose from the National Living Wage? 10 News analysis: How hard will EU travel-time ruling hit FM companies? 11 News analysis: The shift from brawn to brains 12 Business news: Graeme Davies: Will FM clients be footing the living wage bill? 13 CBRE closes deal to purchase Global Workplace Solutions 14 In Focus: Andrew Pollard, managing director, Place Partnership

16 Finbarr Murray asks whether less fragmentation is the answer to funding 17 Five minutes with Gev Eduljee, external affairs director, SUEZ Recycling and Recovery UK

MONITOR

28| Making FM pay for itself

18

Seeking wise council: Lincolnshire County Council’s property services deal is seen by its parties as a triumph in communication

24

The best aid plans: The role of FM at aid charity ActionAid has developed considerably since former FM World Rising Star Will Bowen joined

28

Pay it forward : FM doesn’t have to be a cost burden on an organisation – it could be a value driver with ‘the multiplier effect’, say researchers

33 Insight: Market intelligence 34 How to: Training: aspects to consider 35 Standards: What BSI 8536-1:2015 means for FMs 36 How to: Air con systems: cleaning coils 37 How to: Seven questions to ask before refitting your workplace

REGULARS 38 41 42 43 44 46

BIFM news Diary of events Case in point Behind the job Appointments Calls to action

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Or simply one call to a professional national gritting company that will take care of all of this for you. 0845 680 2130 www.truegrit-gritting.co.uk

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MARTIN READ

EDITOR COMMENT

EDITORIAL Tel: 020 7880 6229 email: editorial@fm-world.co.uk editor: Martin Read ⁄ assistant editor: James Harris ⁄ news editor: Herpreet Kaur Grewal ⁄ sub editor: Deborah Shrewsbury ⁄ content development executive: Martha Harris ⁄ consultant art director: Mark Parry ⁄ art editor: Nicola Skowronek

LEADER

ADVERTISING AND MARKETING email: sales@fm-world.co.uk senior sales executive: Darren Hale (020 7880 6206) ⁄ senior sales executive: Jemma Denn (020 7880 7632) ⁄ sales executive: Jack Shuard (020 7880 8543) / case in point sales: Greg Lee (020 7880 7633) recruitment sales: Sabmitar Bal 020 7880 7665 PRODUCTION production manager: Jane Easterman senior production executive: Aysha Miah PUBLISHING publishing director: Joanna Marsh Forward features lists and media pack available at www.fm-world.co.uk/about-us

new Labour leader so divisive that many fear a party split, people crowding the streets to protest intractable international issues, and a government operating with a small and vulnerable majority. It’s a scene that sums up both 2015 and 1981 – and for a number of politically obvious reasons it’s felt a lot like the 1980s in recent weeks. Of course, FM has a particular tie to that decade – during which, by common consent, it was first identified and structured as a distinct business activity. What strikes me is how, 30 years later, an entire political epoch appears to have come full circle without FM’s value to organisational performance yet maturing into a clearly accepted and measurable form. At which point you’ll doubtless be shouting for me to change the broken record, but bear with me. Because while today’s politics has given us cause to compare then with now, they’ve also opened up another opportunity for comparison. Take the Prime Minister’s recent keynote speak about seeking a ‘smarter state’ (see p.6). Now there’s an interesting choice of phrase – and one which immediately brings to my mind FM’s equally powerful phrase, ’intelligent client’. It gets more interesting when you read Cameron’s words. Again, there’s something naggingly familiar. Comparing government with business, Cameron argues that “businesses are constantly adapting and changing, using new technology or new methods of delivery, to improve both their products and reduce their costs”. Remind anyone of the typical conversation between client and providers to bake ongoing service innovation into contracts? Or how about this: “What energises many markets are new insurgent companies who break monopolies and bring new ways of doing things.” In 30 years, a slew of FM providers have first defined, created, operated in and then completely ’disrupted’ their market. “The best businesses would never shy away from allowing their customers to shape the way they improve their services,” continues the PM. Well, all the best FM case studies talk of FM moulding itself to the core aims of the end-user customer. OK, so many of these parallels apply equally to other professions. But if government can bang the ‘smarter state’ drum, perhaps FM can resuscitate ‘intelligent client’ at the same time. There’s been less ‘intelligent client’ noise in recent years, and more’s the pity; piggybacking off government’s smarter state quest might yield some particularly helpful publicity for FM. One other change since the 1980s is that FM’s focus has gone from optimising premises performance to optimising organisational performance, or at least a more nuanced combination of the two. If government seeks to facilitate a smarter state, perhaps FM should campaign on how it seeks to facilitate better organisational performance. Hey, how about facilitation management instead of facilities management? He lights the blue touch paper and retreats…

A

SUBSCRIPTIONS BIFM members with FM World subscription or delivery queries should call the BIFM’s membership department on 0845 0581358 FM World is sent to all members of the British Institute of Facilities Management and is available on subscription to nonmembers. Annual subscription rates are UK £110, Europe £120 and rest of world £130. To subscribe call 020 8950 9117 or email fm@alliance-media.co.uk – alternatively, you can subscribe online at www.fm-world.co.uk/about-us/subscribe/ To order the BIFM good practice guides or the FM World Buyers’ Guide to FM Services visit www.bifm.org.uk/bifm/knowledge/ resources/goodpracticeguides. EDITORIAL ADVISORY BOARD Simon Ball, business development director, Mitie ⁄ Martin Bell, independent consultant / Lucy Jeynes, Larch Consulting / Nick Cook, managing director, Avison Young ⁄ Rob Greenfield, health & safety business unit director, myfm ⁄ Ian Jones, director of facilities, ITV ⁄ Liz Kentish, managing director, Kentish and Co. ⁄ Josh Kirk, facilities manager, JLL ⁄ Anne Lennox Martin, FM consultant ⁄ Peter McLennan, joint course director, MSc Facility Environment and Management, University College London ⁄ Geoff Prudence, chair, CIBSE FM Group ⁄ Jeremy Waud, chairman, Incentive FM group⁄ Jane Wiggins, FM tutor and author Average net circulation 13,326 (Jul 14 – Jun 15) FM World magazine is produced using paper derived from sustainable sources; the ink used is vegetable based; 85 per cent of other solvents used in the production process are recycled © FM World is published on behalf of the British Institute of Facilities Management (BIFM) by Redactive Publishing Ltd (RPL), 17 Britton St, London EC1M 5TP. This magazine aims to include a broad range of opinion about FM business and professional issues and articles do not necessarily reflect the views of the BIFM nor should such opinions be relied upon as statements of fact. All rights reserved. This publication may not be reproduced, transmitted or stored in any print or electronic format, including but not limited to any online service, any database or any part of the internet, or in any other format in whole or in part in any media whatsoever, without the prior written permission of the publisher. While all due care is taken in writing and producing this magazine, neither BIFM nor RPL accept any liability for the accuracy of the contents or any opinions expressed herein. Printed by Polestar Stones ISSN 1743 8845

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“An entire political epoch appears to have come full circle without FM’s value maturing into a clearly accepted and measurable form”

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FM NEWS

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PUBLIC SERVICES

PA/KIER

PM: ‘Smarter state’ to provide better public services Prime Minister David Cameron has set out plans for a ‘smarter state’ that provides better value for the taxpayer. In a keynote speech earlier this month and ahead of the comprehensive spending review, Cameron called for the government to broaden opportunities, reform markets by breaking ‘monopolies’, and attempt to make government more efficient. “The best businesses would never shy away from allowing their customers to shape the way they improve their services. If we are bold enough, government can go one better by actually putting many of those services in the hands of local people.” He confirmed that 38 local areas across England have proposed devolution deals, which could see ‘major devolution of spending and powers over transport, education and health’. Cameron has also confirmed that the government will continue to streamline more services, introducing legislation to enable the police, fire and ambulance services to combine back-office functions, IT and procurement services. The speech called for more smaller organisations to become involved in public sector services. The government stressed earlier this year that it plans to buy from smaller organisations ‘every time they are the best value for money’. “Opening up contracts to small businesses spreads entrepreneurship and drives innovation.” Matt Hancock, the Minister for the Cabinet Office, has targeted a third of government spending to be with small businesses by 2020.

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In 2013/2014, 26 per cent of central government spend (£11.4 billion) was with SME organisations. Meeting the 33 per cent target would mean an additional £3 billion annually spent directly with small and

median-sized businesses. The government’s contract finder, a website that aims to help smaller organisations bid for future contracts, was launched in February. It covers current and future public sector contracts with a value of more than £10,000 in central government, and £25,000 in the wider public sector. However in July, Wendy Sutherland, director of consultancy Ramsay Todd and deputy chair of the BIFM’s procurement special interest group, told FM World that the Crown Commercial Service’s (CCS) Total Facilities Management agreement for procuring services would result in smaller suppliers finding it ‘challenging’ to actively vie for government contracts.

Sutherland said: “The ability for SMEs to actively participate in this environment is challenging despite the best intentions of central government, as can be seen when reading the list of the successful suppliers. “We can only hope that there will be opportunities for elements of the service to be sub-contracted to smaller organisations throughout the lifetime of this framework.” But Sutherland said the agreement was otherwise “a logical and practical solution for the outsourcing of FM services”. CCS recently published a full list of suppliers, including ISS, Amey and Interserve, which are to deliver facilities services under a series of ‘lots’.

FM INDUSTRY

M&A in FM ‘ticks over’ with smaller deals Merger and acquisition activity in the facilities management industry during the second quarter of 2015 has slowed, according to market research by Grant Thornton. M&A activity eased off modestly in the second quarter of this year, mainly as a result of lower activity among international buyers in the UK FM market. Important larger deals drove the value of M&A upwards during the period. The M&A market in the FM sector is “largely ticking over on the back of consolidation activity at the smaller end of the scale”, although the occasional larger deal has a significant impact on the market value, according to the study. It added that although Q1 2015 saw no such deal, the finalisation

of Kier’s acquisition of Mouchel in Q2 had been “by far the largest transaction seen in the sector since the private equity-backed buyout of Keepmoat in Q3 2014”. David Ascott, partner, corporate finance at Grant Thornton, said: “Whilst M&A activity in Q2 was steady, the July Budget created

unexpected ripples in the market due to the potential impact of the increasing minimum wage. The profit outlook and share prices of some of the listed FM players was hit and this new level of uncertainty may reduce M&A appetite until it is clearer who is picking up the tab.” www.fm-world.co.uk

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NEWS

BRIEFS JLL appoints new COO

Firms could dodge pay law by using ineligible workers Companies might try to bypass paying the new National Living Wage by taking on more younger or self-employed workers who are not entitled to it, according to a report from Manpower Its Employment Outlook Survey, based on responses from 2,101 UK employers, suggests employers are already feeling the impact of the National Living Wage, scaling back their recruitment plans in the fourth quarter of 2015. The policy will see six million people receive a 6 per cent pay rise each year until 2020, but the Office for Budget Responsibility estimates that the extra costs could mean up to 60,000 job losses. The survey is considered the

most comprehensive of its kind, being used as a key economic statistic by both the Bank of England and the UK government. Manpower asked whether employers intended to hire additional workers or reduce the size of their workforce in the coming quarter.James Hick, ManpowerGroup Solutions UK managing director, said: “The National Living Wage is sending shockwaves through the UK labour market. Support services firm Interserve has announced that the extra annual wage bill for its 15,000 cleaners could amount to as much as £15 million, or 12 per cent of its annual profits. This sentiment was echoed by

social care company Mears Group, which estimates the cost of meeting the wage hikes for its 4,000 care workers will be £5 million, or 10 per cent of its annual profits. Faced with a wage bill of this size, some employers are thinking twice about taking on new workers. “Firms might try to bypass the legislation altogether,” said Hick. “Some employers may look to mitigate the extra costs by taking on more younger or selfemployed workers who are not entitled to the National Living Wage. While on the surface this could be good news for youth unemployment, which currently stands at 16 per cent, it could push a greater proportion of young people into low-skilled jobs, resulting in an influx of less-experienced workers into social care and other sectors hardest hit by the new legislation.”

ISTOCK/ALAMY

£10bn ‘extra cost’ on local services by 2020 A Local Government Association (LGA) report has suggested that local councils are to face up to £10 billion in further cost pressures over the next five years. The LGA says that the implementation of government policies is set to cost councils £6.3 billion by 2020. It also predicts an extra £3.6 billion of ‘business as usual’ pressures necessary to maintain current level of services, taking into account inflation and other demand burdens. The report indicates a number of looming cost increases including the introduction of the National Living Wage for council www.fm-world.co.uk

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staff and care workers. Eligible workers – those over 25 years old – will be paid a minimum of £9 an hour by 2020. This, says the LGA, will cost councils £834 million a year by 2019/2020. Other cost pressures include increasing waste recycling targets

and treating growing cases of tree disease and pests, such as Chalara ash dieback. The latter is expected to cost up to £100 million over the next five years. The LGA represents more than 370 local councils in England and Wales. In its report, the LGA warned chancellor George Osborne that “failing to fully consider these unfunded cost burdens... could result in important local services being scaled back or lost”. The LGa’s report has been published and submitted to the Treasury ahead of November’s comprehensive spending review.

JLL has appointed Yash Kapila as chief operating officer for its Integrated Facilities Management (IFM) division in Europe, Middle East and Africa (EMEA). Kapila will have full responsibility for account operations and business transformation, effective from the fourth quarter of 2015. Kapila is currently an international director at JLL in India, and he brings 22 years of industry experience to hi new role. JLL’s IFM team measures and manages the performance of corporate clients’ buildings. It also aims to maximise the efficiency of real estate staff, optimise operational spend through strategic sourcing and reduce building energy costs by lowering consumption.

Place Partnership in action A commercial enterprise established by six Midlands-based public sector shareholders and the government is now open for business. Andrew Pollard, a qualified barrister and director of a number of real estate vehicles engaged in regeneration and development, has been named its managing director and will lead the body. FM World reported news of the scheme in July. The new asset vehicle scheme, called Place Partnership, has been promoted as a way to manage various public sector properties across the West Midlands. (See In Focus, p. 14, for more on this story.)

ESOS take-up remains low Just 152 organisations have notified the Environment Agency that they are fully compliant with the ESOS (Energy Savings Opportunity Scheme) Regulations with only three months until the deadline for compliance, according to a survey. Energy and environment consultancy Savills Energy says that this number represents less than 1 per cent of the 15,000 firms that need to comply. As it can take up to three months for an assessor to complete the mandatory audit the consultancy is urging businesses that have yet to complete the process to make arrangements now to avoid the risk of fines and penalties. FM WORLD | 24 SEPTEMBER 2015 | 07

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PROJECT OF THE

FORTNIGHT NEWS BULLETIN

Use of zero-hours contracts rises by 6 per cent There were 744,000 people on a zero-hours contract in their main job, according to the Labour Force Survey for April-June 2015. This is 2.4 per cent of all people in employment. The latest estimate for workers on a zero-hours contract is a 6 per cent increase on the 624,000 people who reported this at the same time last year, or 2 per cent of those in work. Two-thirds of the increase is from people in their job for more than a year and so the overall increase does not necessarily relate to new zero-hours contracts. It could have been because of either increased recognition or people moving on to a zero-hours contract with the same employer. Women made up 54 per cent of those on zero-hours contracts, compared with 47 per cent of other workers. Zerohours contracts were common among students, with 20 per cent of people on them being in full-time education, compared with just 3 per cent of other workers. John Cridland, director-general of the Confederation of British Industry, said: “These figures, which show zero-hours contracts are a small proportion of the UK labour market, again illustrate that they are most common among groups where flexibility benefits both parties. For example, more than one-third are young people taking their first steps in the labour market. Labour market flexibility continues to be a great asset to the UK economy, helping to increase the participation rate of parents – women in particular – and of older workers.”

BAE SYSTEMS OFFICE FIT-OUT, FARNBOROUGH REFURBISHMENT: Overbury (part of Morgan Sindall)

Overbury revitalises BAE offices Fit-out and refurbishment business Overbury, part of Morgan Sindall Group, has recently begun the office fit-out for BAE Systems’ new headquarters, following plans to unite the occupants of its headquarters from two existing buildings into Hertford House, located at the Farnborough Aerospace Centre. BAE Systems is a defence, security and aerospace company, providing maintenance and manufacturing services. Overbury was appointed earlier this year to reconfigure the original space into a working environment ‘fit for the future’, with new meeting suites, state-of-the-art conferencing facilities and informal collaboration zones for more than 700 staff, all within a six-month programme. The new building, standing at three storeys and totalling an internal usable footprint of 7,715 square metres, will accommodate a total of 730 seated employees. Each level will have an open-plan environment that accommodates in-bound manager offices, small meeting rooms, collaboration zones, and hot-desk areas. In order to ensure all these elements can be incorporated and that there is sufficient natural light, cellular cores will run down and through the central sections of the floor plate, leaving the rest of the perimeter with sufficient space and no rooms that might block out the light. Overbury is also installing ‘Business Lounge’ zones throughout the building, with informal seating, collaboration furniture and two conference rooms. The ground floor will also include a dedicated meeting and conference facility with 17 rooms, as well as a refreshment point and kitchen, and a breakout area is planned in the south wing. Towards the other end of the building, at the north wing, there will be an added open-plan office compartment. 08 | 24 SEPTEMBER 2015 | FM WORLD

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Office rents increase as core cities feel revival Growth in prime headline office rents has continued across the UK’s regional property markets with an average increase of 4.3 per cent across the core eight markets over the past year (to June 2015), says property consultant JLL. Reflecting the solid outlook for demand and tight supply of new space, headline rents are expected to continue on an upward curve with average growth of 2.9 per cent a year in the Core 8 regional markets over 2015-19. Jeremy Richards, head of national office agency at JLL, said: “Sustained levels of occupier demand combined with the decreasing availability of Grade A office supply has contributed to healthy rental growth, with year-on-year increases witnessed in all bar one of the Core 8 cities. Manchester and Leeds saw the most significant increases – rents jumped by 6.5 per cent year-on-year to £33 per square foot and by 6 per cent year-onyear to £26.50 per sq ft respectively. According to JLL’s report office take-up across the Core 8 regional markets reached 3.8 million sq ft in the first half of 2015 and is forecast to exceed last year’s full-year total of 7.3 million sq ft. The falling supply of good-quality office space remains a key theme, says JLL. Available office space across the Core 8 markets stands at 19.5 million sq ft with an average overall vacancy rate of 8.2 per cent, down from 9.1 per cent over the year.

Newport firm fined for Legionella risk Coilcolor Limited, a steel coating company based in South Wales, has been fined £75,000 for a number of safety failings that led to risks from Legionella bacteria. The firm, in Newport, Gwent, had been operating two cooling towers on site without taking suitable actions to control the spread of bacteria. The Health and Safety Executive (HSE) found that the safety failings had occurred over a five-year period from 2009 to 2014. Newport Crown Court fined the company £75,000, and ordered Coilcolor to pay £28,393 in costs. Coilcolor Limited pleaded guilty to offences under Section 2(1) (£30,000) and 3(1) (£45,000) of the Healthy & Safety at Work Act 1974. HSE inspector Joanne Carter said: “Operating cooling towers without proper controls in place can present a significant risk to employees and members of the public. In this case the company operates next to a housing estate and within one kilometre of the Royal Gwent Hospital.” Find out more about controlling the risks of Legionella in your organisation by reading a recent best practice guide, published in FM World, or visit the HSE website at: www.hse.gov.uk www.fm-world.co.uk

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FM will continue to be perceived as a commodity purchase - 20%

THINK TANK

OUR READERS SAID… We asked our LinkedIn and mailing list members: Will facilities management gain or lose from the National Living Wage?

News reports suggest that the national “living wage” announced by the chancellor in the Budget has caused service forms of all kinds, including FM, to warn of the new legal minimum’s effects on their short-term profitability. Interserve CEO Adrian Ringrose, for example, said that he expected his company to suffer an “initial adverse impact on margins”. Cleaning is likely to be most affected; research firm AMA says that the National Living Wage is one of the major issues facing the contract cleaning industry. A Manpower Employment Outlook survey suggests that companies might try to get out of paying the new wage by taking on the younger or self-employed

workers who are not yet entitled to it. Employers are already scaling back their fourth-quarter recruitment plans. There’s also research from think tank the Resolution Foundation indicating that support services, especially hospitality, will have the largest wage bill as a result of enacting the National Living Wage. So this time we asked – what might all of this might mean? In the long term will facilities management gain or lose from the National Living Wage? In answer to a straight yes or no, 80 per cent of you agreed that paying workers a more respectful wage would highlight the significance of their roles and the wider impact of facilities

Subbed

The NLW will highlight the significance of FM - 80%

management. One respondent said: “The same fears surfaced prior to a minimum wage being set, but there was no mass lay-offs or effect on the profit margins.” Another said: “Enhanced pay can be used as a catalyst to raise standards, performance and morale benefiting supplier and client.” “Our industry is all about people,” said another respondent – “the more investment in our people, the better.” However, 20 per cent of you disagree, accepting the argument that the NLW would compound the problem of FM being wrongly perceived as a burdensome

commodity purchase. One respondent pointed out the cost of labour for service delivery is “always the issue between clients and facilities management supply businesses. It does not matter who the client is - public or private - whatever they say in sanctimonious press releases, they are all disinclined to pay out more than they have to. “Clients do not really concern themselves about individuals on low pay. If they did then they would pay much more; to see what they truly value just look at what salary the same client pays to attract a good facilities manager.”

SHUTTERSTOCK

US medics’ study reveals surface-cleaning ‘gaps’ Tray tables, bed rails, light switches, and toilets are common areas for swapping germs between patients and healthcare workers, but there is a lack of evidence on the best ways to clean surfaces, according to research by academics. A new systematic overview in the American journal, The Annals of Internal Medicine, points to several promising new nethods of cleaning these ‘high-touch surfaces’, but there’s a lack of evidence as to which is the most effective at reducing healthcare-associated infections (HAIs). Few studies measured patient outcomes or focused on newer technologies, and even fewer compared cleaning tactics with one another — important gaps to fill as the US healthcare system works to reduce the 75,000 HAI-related www.fm-world.co.uk

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deaths that occur annually. The systematic overview was led by Craig A Umscheid, assistant professor of medicine and epidemiology in the Perelman School of Medicine at the University of Pennsylvania and senior associate director at the ECRI

Institute-Penn Medicine Agency for Healthcare Research and Qualityfunded Evidence-Based Practice Center (EPC), Jennifer Han, an assistant professor of medicine and epidemiology, and Brian Leas and Nancy Sullivan, research analysts in the ECRI-Penn AHRQ EPC.

Their work revealed major gaps in existing evidence for the best practices for cleaning hospital room surfaces to prevent HAIs, including Clostridium difficile, MRSA, and VRE. Lead author Jennifer Han said: “The cleaning of hard surfaces in hospital rooms is critical for reducing healthcare-associated infections. We found that the research to date provides a good overall picture of the beforeand-after results of particular cleaning agents and approaches to monitoring cleanliness. Researchers now need to take the next step and compare the various ways of cleaning these surfaces and monitoring their cleanliness in order to determine which are the most effective in driving down the rate of hospital-acquired infections.” FM WORLD | 24 SEPTEMBER 2015 | 09

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EMPLOYMENT LEGISLATION

How hard will EU travel-time ruling hit FM companies?

The European court considers the workers to be working during their journeys

HERPREET GREWAL newsdesk@fm-world.co.uk

A new Court of Justice of the European Union ruling that says travel time is work time could affect the facilities management supply chain. All 28 nations of the European Union are bound by the decision, including the United Kingdom. The court says that its decision applies to workers, such as those who “do not have a fixed or habitual place of work, the time spent by those travelling each day between their homes and the premises”. For FM, that could include cleaners or other kinds of workers who do shift work. The ruling is based on a decision on a case about a Spanish security company called Tyco. It employs technicians who install and maintain security 10 | 24 SEPTEMBER 2015 | FM WORLD

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equipment on industrial and commercial premises and in homes within the geographical area assigned to them, so they have no fixed place of work. The area can consist of all or part of the province in which they work and sometimes more than one province, according to the ruling. The workers each have the use of a company vehicle for travelling every day from their homes and the places where they are to carry out work. The distances vary and sometimes can

be more than 100 kilometres – taking three hours to drive to. The Court of Justice of the European Union said that it considers workers in such situations to be carrying out their activity or duties over the whole duration of those journeys. The ruling states: “The journeys of the workers to the customers their employer designates is a necessary means of providing their technical services at the premises of those customers. Not taking those journeys into account would enable Tyco to claim that only the time spent carrying out the activity of installing and maintaining the security system falls within the concept of working time, which would distort that concept and jeopardise the objective of protecting the safety and health of workers.” It adds: “The court takes the view that the workers are at the employer’s disposal for the time of the journeys. During those journeys, the workers act on the instructions of the employer, who may change the order of the customers or cancel or add an appointment… The court considers the workers to be working during the journeys.”

Major challenge Tim Oldman, CEO of workplace consultancy Leesman Index, said: “Patently, the ruling is going to present a major challenge to some operational parts of the facilities management supply chain,” he told FM World. “But it could also elevate the debate around the importance and value of corporate workplace to

“Patently, the ruling is going to present a major challenge to some operational parts of the FM supply chain”

the highest political and executive levels. We then stand a far better collective chance of getting corporate boards to see the contributory role property plays in organisational performance and competitive advantage. That is surely way overdue.” More generally, Kevin White, managing director of Working Time Solutions, a provider of workforce planning and management software and services, is worried that the ruling could have “a devastating impact on productivity and efficiency for organisations with a significant number of employees who don’t have a fixed place of work”. White says: “There are huge grey areas around how it would be applied. For example, if an employee decides to live much farther away from their typical work location, would the employer have to pay that additional travel time? “It also appears to disadvantage employees with fixed places of work who often have significant daily travel time which does not fall within contracted hours. What’s clear is that it will add significant complexity to workforce planning and administration.” White added: “Roster design will need to dovetail with task allocation and route planning to ensure the travel time bookending a shift is minimised.” Neil Carberry, CBI director for employment and skills, said: “It’s now important that the government reaches a robust and effective definition of the ‘normal workplace’, so that travel to infrequently visited client sites is covered, not ordinary commutes. “Given that this ruling extends working time, it again emphasises that the voluntary individual optout from working time rules is a vital part of ensuring the system works in the UK. We want to see the opt-out protected.”

GETTY

FM NEWS ANALYSIS

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TECHNOLOGY FORECAST

The shift from brawn to brains

CORBIS

HERPREET GREWAL newsdesk@fm-world.co.uk

Facilities managers’ jobs have a 57 per cent of becoming automated, according to research. A study by Deloitte, using figures on UK job numbers and average wages from the Office for National Statistics and research by Oxford University, shows that the growth of jobs at low risk of automation outpaces the loss of jobs at high risk. It observes that 3.5 million lowrisk jobs were created since 2001, with 800,000 high-risk jobs lost. Property, housing and estate managers are not destined to be automated, according to the research and are ranked at 233rd of 366 jobs – only 25 per cent likely to be automated. A waste disposal and environmental services manager is also around 25 per cent likely to be automated. Cleaners, on the other hand, are ranked 156th of 366. The likelihood of automation was “too close to call” at a 57 per cent www.fm-world.co.uk

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likelihood. Hospital porter and building and civil engineering technician fall into a similar category. The job of telephonist is at a 96.5 per cent risk of automation, says the study, with receptionist at a 95.6 per cent chance of automation. A cleaning and housekeeping manager and supervisor is at a 94.4 per cent chance of automation, with a housekeeper at a likelihood of 94.4 per cent. A security guard faces an 89.3 per cent probability of being automated.

Where empathy scores The probability of an office manager’s job being automated is rated “quite unlikely” – it comes 343rd in the list of 366. The study reckons social workers, nurses, therapists and psychologists are among the least likely occupations to be taken over by technology because assisting and caring for others, which involves empathy, is a

crucial part of the job. Additionally, occupations involving tasks that require a high degree of social intelligence and negotiating skills, like managerial positions, are considerably less at risk from machines. These results show that while the lower-end facilities management jobs face a chance of being automated, the more sophisticated roles are less likely to be. The research touches upon previous discussions of the sector being automated. In 2014 Chris Kane, CEO of BBC Commercial Projects, went as far to say: “As things like robotics take over, the [FM] industry will shrink.” At the time Marie Puybaraud, director of global workplace innovation at Johnson Controls, responded by saying that while the digitisation of the industry was inevitable, she added: “I don’t think the industry is to ready to hear that it won’t survive in the long term.” The research presents a mixed picture for FM, but also demonstrates that automation would not obliterate the profession completely. Previous research has also suggested that robotics and artificial intelligence could

permeate industries such as customer services and maintenance over the next decade. Last year research by the American Pew Research Centre stated just this. It focused on experts’ views about advances in artificial intelligence (AI) and robotics, and their impact on jobs and employment. The report stated that many experts believe advances in AI and robotics will pervade nearly every aspect of daily life by the year 2025, “from distant manufacturing processes to the most mundane household activities”. Using the information from the Oxford University study, Deloitte has concluded that every region and nation of the UK has benefited from technology. In every part of the UK, routine jobs at high risk of automation have declined, but have been more than made up for by the creation of lower-risk, non-routine jobs. Angus Knowles-Cutler, vicechairman of Deloitte, said: “Our work shows the automation of jobs – and a shift from brawn to brains – is well under way in every nation and region of the UK. But we appear to be benefiting from this, not losing out. But we cannot be complacent. Business, educators and government must work together to ensure young people enter the workforce with the skills suited to the jobs of tomorrow and those already in work are able to re-skill during their careers.” The Future Of Employment: How Susceptible Are Jobs To automation. Data supplied by Michael Osborne and Carl Frey, from Oxford University’s Martin School. Figures on UK job numbers and average wages from the Office for National Statistics and Deloitte UK. www.oxfordmartin.ox.ac. uk/downloads/academic/The_ Future_of_Employment.pdf

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FM BUSINESS SIGN UP FOR FM WORLD DAILY AT FM-WORLD.CO.UK

ANALYSIS

Will FM clients be footing the living wage bill? GRAEME DAVIES newsdesk@fm-world.co.uk

Much has been made of the Conservative government’s attempt to take advantage of the enfeebled state of the Labour opposition by moving to plant its flag in the centre ground of British politics. And no policy embodies this more than the introduction of a ‘living wage’. The summer Budget saw George Osborne introduce plans

to ramp up the minimum wage for over-25s to a living wage with the first increase from the current £6.70 to £7.20 an hour in April, planned to be a staging post on the way to £9 an hour by the end of this Parliament in 2020. There are many reasons for doing this, partly to improve the lot of the worst-paid, but also to make working more attractive to those whose benefits are being squeezed.

But for businesses whose operations are labour-intensive, the living wage threatens to pose significant challenges. Some argue that it will create more loyal workforces and reduce turnover of staff, but it will also pose challenges to profit margins as wage bills look set to soar. Indeed, business groups such as the Confederation of British Industry have described the move as a ‘gamble’ that could harm the UK employment market with those offering care services in particular likely to have to pass on costs to government clients. And recruitment company Manpower waded into the debate earlier this month by saying the move was likely to hamper job creation. With a 7.5 per cent wage rise for those on the lowest wages baked in for 2015, companies are going to have to look hard at areas of their businesses where they

Contract wins

NEW BUSINESS Serco has secured an £85 million, fiveyear extension to its deal with Norfolk & Norwich University Hospital (NNUH) to provide a range of FM services. The extension runs from August 2015 to August 2021. NNUH was the country’s first new-build PFI hospital and has been open since 2001, when Serco began its TFM contract. Galliford Try’s FM business has taken a £5 million-plus, 10-year reactive maintenance contract with Anglia Ruskin University. Working with Anglia Ruskin’s estates department across two of its campuses in the east of England, Galliford Try will deliver a reactive M&E maintenance service through an in-house team to residential and non-residential buildings. 12 | 24 SEPTEMBER 2015 | FM WORLD

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Mitie has begun landscaping services at the NEC in Birmingham, the region’s leading venue for trade and consumer shows. The three-year contract includes grounds maintenance, winter services and interior tropical plants. Mitie will also provide pest control services at the centre. Incentive FM has won a two-year cleaning and maintenance contract at law firm Addleshaw Goddard. The service provider will carry out a range of FM services across the firm’s three UK offices in London, Leeds and Manchester, including office cleaning, mechanical and electrical maintenance, waste management, pest control, window cleaning and washroom services. Incentive FM says the win

represents its first big deal in the legal sector. Incentive FM will deploy an FM to oversee services at each site, as well as managing the 50 members of staff who have transferred to Incentive FM. Wilson Vale has gained a catering contract with Ruskin College, Oxford, a residential college specialising in educating adults with few or no qualifications. The five-year deal began on 1 September, when Wilson Vale’s team began a seven-day catering operation for 400 students and staff. Energy company Doosan Babcock has awarded FM provider OCS a three-year contract to deliver all soft facilities services including cleaning, security, post room, washroom hygiene, waste management, grounds maintenance, window cleaning, pest control, water coolers and vending. Caterer The Genuine Dining Company has won a deal with Pinewood Studios. Genuine’s team will take over eateries at the film studios in Iver Heath in Buckinghamshire for the next five years. It will cater to an estimated 3,000 people.

can make commensurate savings, or look to pass on the additional cost to their own customers. Interserve reckons it will see its wage bill rise by between £10 million and £15 million next year – the news sent its shares tumbling recently. The company reckons 10,000 of the 15,000 it employs in the UK will see their wages leap, and margins will suffer as a result. Mears Group estimates its extra costs at £5 million, or 10 per cent of profits. The problem for many FM firms is that such is the rivalry in the sector they could struggle to pass on such costs to customers and will have to take a margin hit. Outside the FM sector, Whitbread, which runs coffee shops, hotels and restaurants, also admitted it will take a significant hit from the living wage – but it vowed to pass on costs to customers. Retailer Next devoted a significant portion of its results to discussing the effect that the living wage could have on its business and margins. With the dual effect of wages rising sharply ahead of the prevailing rate of inflation and prices also potentially rising to cover such costs, the government’s initiative could have the effect of reawakening inflation. Coupled with the fact that commodity prices, oil in particular, cannot stay this low, we could see inflation creeping back, which may allow FMs with inflationlinked contracts to recoup some of the extra costs. It could also pave the way for the Bank of England to set in train interest rate ‘normalisation’, although what that really means now after six years of near-zero interest rates is difficult to quantify. Essentially, while the living wage is to be welcomed, it will bring big challenges for the FM sector for several years to come. Graeme Davies writes for Investors Chronicle

www.fm-world.co.uk

17/09/2015 16:09


CBRE closes deal to purchase Global Workplace Solutions CBRE Group has confirmed that it has closed the acquisition of Johnson Controls Inc.’s Global Workplace Solutions business, a move announced earlier this year. Global Workplace Solutions is a market-leading provider of enterprise facilities management solutions for global corporations and other large occupiers of commercial real estate. Global Workplace Solutions had revenue of more than $3 billion (£1.95 billion) in calendar year 2014. Bob Sulentic, the company’s president and chief executive officer, said: “It advances our strategy of delivering the highest-quality, globally integrated services to major occupiers and builds our relationships with many of the world’s most prominent

Bill Concannon, CEO, global corporate services, CBRE

corporations. We are helping our clients to enhance their competitive position by aligning every aspect of how they lease, own, use and operate real estate.” Bill Concannon, CEO, global corporate services, CBRE, speaking exclusively to FM World in April following the

BUSINESS BRIEFS

announcement, said: “As a result of [this acquisition] we will be a key player for integrated FM globally… As far as the branding goes, CBRE will be the business that all of the folks [across GWS] will work with. Within GWS that’s roughly 16,000 people around the world – the largest [group] of which is across the EMEA.” Global Workplace Solutions has been merged with CBRE’s occupier outsourcing business line, and the new combined business has adopted the Global Workplace Solutions name. The acquisition follows CBRE’s takeover of Norland Managed Services in 2013 for £250 million. CBRE now manages about five billion square feet of commercial real estate and corporate facilities around the world.

ISS, Carillion and Elior revel in stable growth Support services group Carillion has reported in its half-yearly results that its underlying profit and earning “grew strongly”. Figures for the six months ended 30 June 2015 show the company’s revenue grew by 21 per cent compared with the period in 2014, from £1.87 billion to £2.26 billion. The report says several big new contracts, “notably in support services” had contributed to the progress. The profit from support services was up by 5 per cent on the same period last year. Philip Green, Carillion chairman, said: “Carillion has continued to perform in line with expectations, which reflects the actions we took during the economic downturn to position www.fm-world.co.uk

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Philip Green, chairman, Carillion,

ourselves in markets where we can now achieve revenue growth, consistent with our targets.” ISS Facility Services has also increased its organic growth, according to its half-year results. Its interim report for the period from January to the end of June 2015 reveals that its increased

organic revenue growth had risen to 4.8 per cent in Q2 compared with 3.1 per cent in Q1. Jeff Gravenhorst, group CEO, said: “In a volatile macroeconomic environment, we have increased our organic growth rate and improved our operating margin.” Elior has also seen revenue grow by 5.9 per cent in the nine months from 2014 to June 30, 2015, show that consolidated revenue totalled ¤4.28 billion (£3.12 billion). The increase reflects solid organic growth of 2.7 per cent over the period. The October 2014 acquisition of Lexington in the UK added 0.9 per cent to revenue growth, net of the effect of the disposal of catering operations in Argentina.

Burnley chooses Liberata Burnley Council has been awarded a 10-year contract to support services company Liberata to operate its FM and other services worth £34 million. The company will begin providing a range of council services from next January in an arrangement that the council says should lead to 19 per cent savings on the transferred services over the life of the contract, which is valued at £8 million. Burnley Council will transfer a range of functions including: customer services and IT services; revenues; payroll and human resources systems; asset and facility management services; and environmental health and licensing.

CCS awards KBR FM deal SThe Crown Commercial Service has awarded the new facilities management assurance agreement to global technology, engineering, procurement and construction company Kellogg, Brown & Root. The contract offers a single helpdesk to customers in the public sector to help manage their FM services. The government says the contract is expected to save the public sector £4.8 million on office management services.

Rapport launches in US Guest services provider Rapport has launched in America, following its success in the UK. Rapport in the US will help to meet the demand of British clients requiring the same quality of service in their US offices. It will also cater to new clients. The company will sit within the FLIK Hospitality Group – also part of the Compass Group. FM WORLD | 24 SEPTEMBER 2015 | 13

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FM BUSINESS

IN FOCUS

The interviewee: Andrew Pollard, managing director, Place Partnership The issue: Future plans for a new UK asset vehicle scheme launched this month

It’s the time and the Place In 2014, FM World reported that the idea of a new asset vehicle scheme was being touted as a way to manage various public sector properties across the West Midlands. In January this year, the Cabinet Office officially backed the scheme. In March it was given a name – the Place Partnership. This month, the scheme became open for business and a new managing director was appointed. Andrew Pollard, a qualified barrister and director of a number of real estate vehicles engaged in regeneration and development, has been named its managing director, and he will lead the body. His first task will be “to bring together the six partner organisations into one organisation and to create strong bonds between the people that represent them”, says Pollard. He says: “I need to make sure that the relationship between the six organisations and Place Partnership itself is positive and proactive so that we’re in a solid position to work together.” The Place Partnership for the West Midlands comprises the six founding partner organisations – Hereford & Worcester Fire and Rescue Service, Redditch 14 | 24 SEPTEMBER 2015 | FM WORLD

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Borough Council, Warwickshire Police, West Mercia Police, Worcester City Council and Worcestershire County Council. This will be no mean feat. But Pollard is prepared. “Setting up a new company is always a challenge, especially when there’s no precedent to draw from,” he says. “Agreeing the concept terms was a key challenge, but Place Partnership has a robust governance structure because of the work the partners have undertaken, supported by the Cabinet Office. We’ve overcome all the challenges we’ve faced so far.” Vehicle for change The asset vehicle is described as the first of its kind in public sector history. The services it will deliver include strategic asset, property, project and facilities management as well as technical services. The concept was developed from the One Public Estate programme and has been

sponsored by the Government Property Unit, but Pollard says Place Partnership was really borne of “a true partnership forged between the senior leaders of the partner organisations”. “They had been discussing the concept of co-location and wanted to take that further by facilitating improvements to public service delivery,” he says. “We consider it to be the first of its kind in public sector history because of the way it creates a single vehicle to optimise real estate management across a portfolio of different organisations. “This element is a unique way of facilitating improvements in public sector service delivery through a single asset management company.” As the body only launched at the start of this month it is a little early to know what savings will be made. But the business case projects £75 million of savings over 10 years (2015-2025), reducing current revenue spend

“We’re currently in the process of consolidating our assets so we can analyse them closely and see where savings can be made”

of £32 million annually by 25 per cent to £7.8 million by year 10. Pollard says: “We’re currently in the process of consolidating our assets so we can analyse them closely and see where savings can be made. We’re expecting to see significant savings on behalf of the public, who own the properties we manage, within the first two years of operation, though. The company has the potential to achieve regeneration and growth within the community, yet also achieve savings that the partners are unlikely to achieve on their own.” Identifying inefficiencies The scheme works by using money that could be spent on improving public services that often gets locked up in underused property. Those inefficiencies are identified, then improved upon to enable funds to be released to be reinvested elsewhere. Pollard prefers to focus on the opportunities and not the challenges that the scheme could potentially face. “We’ve created a business that will earn returns for its participants, achieve savings and create opportunities to add value for its customers. The business has multiple opportunities from gaining efficiencies in FM, to energy management, to property management and to driving value from real estate assets.” And there are already plans to expand it. ”In the fullness of time we may well see other public sector organisations approach us wanting to benefit from the value creation model we’ve established – or we may see the Place Partnership model adopted in other parts of the UK.” HERPREET GREWAL newsdesk@fm-world.co.uk

www.fm-world.co.uk

17/09/2015 17:14


Clean to the smallest detail Data centres are fragile environments where the tiniest particle can cause untold damage, and threaten the integrity of your data. At 8 Solutions we have the expertise not only to technically clean your facility, but also deliver a range of services to identify, test and manage contaminants to keep your data centre on the top line, all of the time. www.8solutions.com

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11/09/2015 16:51


FM OPINION

THE DIARISTS

IS LESS FRAGMENTATION THE ANSWER TO FUNDING?

FINBARR MURRAY

is director of estates and facilities at East Kent Hospitals University NHS Foundation Trust

Public services face big cost demands, with the NHS alone having to find billions of recurrent and one-off savings. These demands are driving innovation, but it’s also true that many opportunities to cut costs have been achieved. Across the range of public service providers in the South-East, a huge variety of similar services are being provided by similar organisations – in health, education and local government – largely acting autonomously. This approach to publicly funded services was once thought the best way to generate local ownership and empowerment and, indeed, for some services and some areas this may be the best approach. But, unlike the private sector, where fragmentation spurs competition, generating

efficiencies and better deals for customers, it could be argued that fragmentation in the public sector prevents the same efficiencies. Take FM. The fragmentation of the demand is beneficial to commercial FM providers because it generates a range of customers, with a range of needs, geographies and priorities that when there isn’t the pressure of financial challenge is great, local demand, met locally with local flexibility. But in the universal financial challenge we face the local

“LOTS OF BODIES ARE DELIVERING GREAT EXAMPLES OF HOW INTEGRATION, RATIONALISATION AND PARTNERING CAN OVERCOME FRAGMENTATION”

fragmentation of the market also brings a reduced single buying power, too much disbursement of tight budgets, and local demands conflicting with core priorities. Lots of bodies are delivering great examples of how integration, rationalisation and partnering can overcome fragmentation. Examples across health and local government show the way out of the financial challenge. Looking at the private sector again, this would be the same climate that would see a spike in mergers and buyouts, reducing fragmentation and maximising the benefit, albeit with the intention of making firms more efficient. In the public sector the challenge is to balance local drivers with the benefits of less fragmentation and more integration to generate the billions needed.

BEST OF THE WEB Views and comments from across the web Have you any insight into “agile working environments” which would help to engage employees and management teams so they see it as positive and beneficial? (BIFM group) Ian Wright: From my recent experience I would recommend involving yr staff as much as possible, picking the furniture, colours, names of rooms etc so that they feel involved. IT kit is essential good tablets phones etc. 80% should be achievable and going down to 30 is 16 | 24 SEPTEMBER 2015 | FM WORLD

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great. And provide coffee and donuts on the first day or a glass of wine for the really stressed! Amanda Bellia: I like the idea of sitting agile working alongside active working. Getting people to move around and use different spaces for different activities would really help. Feedback sought about waterless urinals (FM group) Michael McCarthy: They are great in non-hard water areas. Make sure to

use the chemical to clean as some mark them. Jody Massey: Maintenance perspective: I look at different buildings every day and talk to the people about the systems. They HATE them. It is kind of a nasty discussion, but the lack of water to wash things away lets things drop to the bottom of the pipe and stay there forever. It is a big problem. I have an installation for emergency power applications, which can require paralleling two,

three, or four gensets. How do you manage the generators and transfer switching to ensure power continuity for the loads you most want/need to support? By assigned priority? By run time? By load requirements? (FM group) Mohamed Nadim: Equipment loads are always decided based on the criticality of the business at site. Loads can be either transferred manually as per the requirement or by using

auto-switching panels for safety purpose. Bijay Majumdar: Today’s corporate/business houses are technically highly advanced and too busy to accept any interruption in power. Scott Stahl: Also check the UPS’s on your important computers. They are usually out of sight and I recently had an issue where the UPS battery was dead so in the 2 minutes before the emergency generator came on we lost a couple of servers. www.fm-world.co.uk

17/09/2015 14:45


You can follow us at twitter.com/FM_World www.tinyurl.com/fmthinktank

BEST OF THE

FMWORLD BLOGS The importance of transparency Kevin Craven, The Business Services Association I was pleased to see the launch of Sodexo’s Transparency Charter. Consensus is building around the need for greater transparency in the delivery of public services. When you deliver services in politically controversial areas such as prisons, schools, healthcare and the military, you will always find critics. Bankers and politicians have all felt the wrath of public opinion, and some may say that it was simply the turn of the public services industry. But in the early days of outsourcing, the truth is that we were all learning as the market developed and the success of the sector is clear – we have all learned much from our mistakes. The models developed during this time have gained traction around the globe. That success has not, however, changed public perception. So it is down to us to help governments show how public service delivery is better for the involvement of the private sector. In a world where citizens are becoming more demanding of how taxpayers’ money is spent, where good quality data becomes the norm, transparency will fast become a right. Many of our people are doing fantastic things in public services. Many of them transferred from the public sector and might be expected to have a public service ethos, but many are from the private sector. If we were to make more transparent the work that they do, I believe that our reputation as an industry would improve by being associated with such care, commitment, dedication and expertise. Transparency provides an opportunity to showcase what we do, it drives up standards and efficiency through better data and proof of performance; used properly it could spark an informed debate around competition and the delivery of vital public services. Read this full article at www.tinyurl.com/nctgkhs

Is sustainability expensive? Sanne Oostendorp, Planon Organisations are under pressure to reduce costs while still achieving sustainability targets. This is one of the most significant conflicts within the sustainability phenomenon. Or is it? No matter how often it is thought that cost savings and sustainability don’t go hand in hand, practice has shown otherwise. Research by the University of Toronto has shown that 27 cities with 6.7 per cent of the world’s population are responsible for 9 per cent of worldwide electricity use. Making real estate sustainable is a smart way to reduce electricity consumption. Sustainability is often associated with new buildings. ‘The Edge’ from Deloitte on Amsterdam’s Zuidas is a splendid example of a sustainable building. But what happens with existing buildings? Making existing buildings sustainable is a concern still not tackled because of the assumption that it will be expensive. And that’s a missed opportunity as 99 per cent of buildings are part of the existing building stock. Toronto uni’s study shows that extra taxes have succeeded in reducing electricity consumption in London, despite economic growth. But are rules and taxes the answer? Or should it come from practical tools that offer ways to achieve energy savings? Making existing buildings sustainable and cutting costs can coexist. “Forget reducing the negative impact; go for increasing the positive impact,” insisted Guus Berkhout, fund manager for Triodos Bank, during the Planon masterclass. Its building – built in 1959 – in Amersfoort, the Netherlands, is full of energy-saving tricks that are invisible to the naked eye. Despite its age, the building was suitable for the latest ‘sustainability tricks’. Triodos believes this will help cut its annual energy costs by half. Read this full article at www.tinyurl.com/oyr9ms2

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FIVE MINUTES WITH NAME: Gev Eduljee JOB TITLE: External affairs director, SUEZ Recycling and Recovery UK

Our sector has always faced new entrants, be they FM, engineering or construction – that’s nothing new. But FM itself can be hugely complex and very wide-ranging. There aren’t many firms who can afford to have that entire range of skills in-house, because that can be quite inefficient. Waste management can be a very small component of one contract, but a large component in another. And in addition, it’s not just an issue of collection; we have recycling and carbon reduction targets to meet, you need a reach far beyond the mere collection of waste; you want to get into national and international markets to trade these materials. For these reasons, our experience with FM companies is that they much to prefer to work with us through SLAs rather than take it on themselves. There might be some FM companies that do this but, by and large, we’ve found that they much prefer dealing with us specialist operators through SLAs. In our sector we’ve got to better understand our customers’ businesses. If we’re to convince them that [recycling] is the right thing to do and there is a bottom-line benefit, we’ve got to understand their businesses and processes an awful lot better than we’ve tended to do in the past. That means doing it sectorially, segmenting sectors in a much more sophisticated way, and then being able to tailor solutions that are much more geared toward what these guys are specifically doing. Ultimately, regulation will set the benchmark. If the landfill tax is not high enough, you’re not going to be able to convince anybody that doing something different is going to work. Gev Eduljee was talking during an RWM event roundtable discussion entitled ‘From Waste to Resource: taking a circular route’. To watch the full discussion, visit tinyurl.com/RWMroundtable FM WORLD | 24 SEPTEMBER 2015 | 17

17/09/2015 17:15


FM FEATURE

LINCOLNSHIRE COUNTY COUNCIL

MARTIN READ

SEEKING WISE COUNCIL LINCOLNSHIRE COUNTY COUNCIL

The £45 million property services contract in place with Lincolnshire County Council is seen by all parties as significant because of how transparency in communication between interested parties is adding intelligence to decision making. Martin Read reports

The Ellis windmill is one of a great variety of buildings covered by the Lincolnshire property services deal

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www.fm-world.co.uk

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LINCOLNSHIRE COUNTY COUNCIL

L

ast August, following a robust competitive tendering process, Lincolnshire County Council awarded a comprehensive five-year property services contract. It went to VinciMouchel, a joint venture between Vinci Facilities and infrastructure services group Mouchel, one that had been set up specifically for the purpose. The contract was signed in December 2013, entered mobilisation in August 2014 and went live in April. It covers all of the council’s corporate portfolio of municipal buildings and includes schools, fire stations, community centres and traveller sites. Its expansive scope embraces FM services both soft (catering, cleaning, grounds maintenance, pest control, waste management) and hard (energy management, planned and reactive maintenance, minor works). The JV also provides estates management and managed services including Legionella control and asbestos management, while the Mouchel part of the equation will be engaged over the contract’s life span on a capital works programme. Estimated savings – from a reduction in overall service costs and rationalisation of estate – are estimated at £2 million over the initial five-year term of the contract.

Together in effective teams Five months in, the principal characters on both sides of the new contract are exhibiting all the honeymoon happiness that such significant new partnerships typically evoke – but there’s another factor in the confidence radiating from all parties; a belief that this deal – so different to its predecessor, and so much seen by all involved as a better fit for www.fm-world.co.uk

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21st century purpose – might just result in all parties benefiting from it as time goes on. And if that ends up being the case, it would be quite a trick. David Mathieson, MD property and assets at Mouchel Business Services, calls it “an exemplar deal”, and while much can be said about the contract’s specifics and scale, the issue that was clearly at the heart of the project to replace the previous deal was that of transparency in communication between all interested parties. Lincolnshire County Council’s chief property officer, Kevin Kendall explains: “From the outset, when we started this journey two years, we were showing that we wanted to operate as a single team, client and supplier. Previous contracts we’ve had have been very much them and us, so at the outset our vision was to have the one team.” An obvious demonstration of how this has been achieved is the fact that both client and supplier now sit in the same office together, of which more later. It’s evidence of how both parties have understood what their combined approach to transparency means in terms of day-to-day operations.

Seen to be lean The introduction of lean principles – the constant addressing and eliminating of non value-add activities, where identified – was high on Kendall’s list of essential requirements and also high, it would appear, on the JV partners’ list of the USPs it hoped to bring. “Lean was something we wanted out of this arrangement,” says Kendall, “because what ‘lean’ means to Lincolnshire County Council is the ability to drive out waste and do things more efficiently, helping us with

Vinci’s operations director Paul Taylor was involved in the mobilisation process

our intention as a council to maintain public services (despite) the reductions in budget. “Doing more things efficiently with our properties means that ultimately we can maintain frontline services; so for me it’s about driving out waste in everything we do in FM, in constructing and operating our buildings; it means we can do more elsewhere.” Kendall’s role is crucial here; he is clearly open to new ways of working and respects that doing so is a two-way street. “I see an opportunity with both Lean and Empower (a Vinci programme in which managers learn how best to interact with each of their individual clientside counterparts) to drive through culture change wider within the county council, not just within property.” Vinci itself has been on its own journey to understand the requirements of Lean working, and operations director Paul Taylor, who was involved in bidding and mobilising the Lincolnshire contract, explained how Lean principles were introduced into the contract. Tackling the cultural elements is the most important element, says Taylor. “We talk about the elimination of waste and make sure that people understand what waste is in the [context of the] FM WORLD | 24 SEPTEMBER 2015 | 19

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LINCOLNSHIRE COUNTY COUNCIL

MARTIN READ

“The best ideas don’t come from management, they come from the people who do the work” role they do.” Time is the biggest potential area of waste – Taylor suggests 80 per cent of waste on a contract is inefficient use of time – with use of materials comprising a further 10 per cent. The remainder is proper use of team know-how (“are we using all of our talent effectively?”). Linked to that is another key element of Lean – the asking for, and using of, improvement ideas and suggestions from facilities team members. Says Taylor: “The best ideas don’t come from management, they come from the people who do the work.” To this end, work is ongoing 20 | 24 SEPTEMBER 2015 | FM WORLD

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to engage with facilities team members themselves, who are still coming to terms with a major change in management. Of course, while new management may be in place, together with new working practices, some of those who have TUPEd over have needed convincing. “It’s about getting people out of the old mindset,” accepts Kevin Kendall, “and getting them to understand that with this contract things are different.” Establishing a consistency in behaviour is seen as a key distinction between the old and new ways of working.

NEC3 is the magic number Maintaining levels of service and communications consistency meant that, as well as Lean, the use of NEC3 contract templates, and the obligations on both sides that such contracts introduce, was another key factor. Use of the NEC3 term service contract – as the structure around which the arrangement between Lincolnshire CC and the Vinci-Mouchel JV is managed – is intended to codify and ensure transparency of operational activity from both client and provider, encouraging open communication between the parties through use of contract notices such as early warnings and compensation events that can ensure that any issues set to affect the service are flagged and discussed upon their identification. One surprisingly simple

Above: Lincolnshire’s Energy from Waste facility. Top right: Lincolnshire County Council’s main offices. Right: Gainsborough adventure playground

solution has been the co-location of Lincolnshire CC and VinciMouchel personnel in a central control centre. This coming together, says Kendall, has proved to be a huge enabler. “With the last contract there was a physical gap, and that sowed the seeds of mistrust. We wanted to be a single team together – so now we sit in the same office together, even have a shared mobile number.” Kendall accepts that the council cannot be entirely exonerated for the failure of the previous property services deal. “There’s client responsibility in these things too,” he accepts, “and our last contract was based

LINCOLNSHIRE COUNTY COUNCIL

FM FEATURE

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17/09/2015 18:53


LINCOLNSHIRE COUNTY COUNCIL

OPEN ACCESS ALL HOURS

on a traditional client-supplier relationship; you could see in it some problems that resulted from our own behaviour.” That contract became adversarial, with blame for individual failures all too easily allocated in the heat of the moment. What’s different now, and crucially so, is the consistency in communication that the use of the NEC3 contract template obliges. “We have to be consistent,” says Kendall, “if you back down the whole thing falls apart. NEC3 is not easy, and we have had to work hard at it.”

Mobilisation Mobilisation of the contract was “excellent,” says Kendall, “the best I’ve been through. And of course when the first day happened it was a fantastic relief; it had all worked!” Vinci’s Taylor was involved www.fm-world.co.uk

18_22 Lincolnshire.indd 21

in bidding and mobilising the Lincolnshire contract. He says that Lincolnshire County Council, in particular under the leadership of Kevin Kendall, is “a very forward-thinking client. Kevin’s tough and challenging, but very forward-thinking”. Says Taylor: “We had a six to nine-month lead-in before the contract went live, but there was a hell of a lot we needed to achieve.” The first priority was the setting up of a policy relationship with the council, which meant a steering group including Kendall and his team with each party committing to how they would be working with each other. “As our solution came to life, the council was very much part of it,” says Taylor. “So, for example, the Concerto management system (see box; our partners Mouchel developed it with Concerto to meet our

Key to successful client/provider communication on a contract of this scale is the software in place to facilitate it. CAFM capable of dealing with this magnitude of information, that can also provide it in a clear and accessible form with all the necessary transparency of access for multiple operating parties, requires considerable consideration. Chosen as the core CAFM system in this case – and also running helpdesk and contract notices under the NEC3 contract - was an adapted version of Concerto, a product already in use for estates and property management services within a number of local authorities. Implementation of the Concerto system started in October 2014 and went live in April. The intervening period included design workshops with stakeholders to ensure that contributions were included from experts in each service area. Aspects of the Concerto system developed specifically for this contract included a process for Vinci’s sub-contractors to use the system for their own work to progress jobs, submit quotations and costs. Integration with Lincolnshire County Council’s finance system, so that cost journals could be uploaded with the correct account and cost codes, was also key – as was use of NEC3 contract notices (including early warning and compensation events, so that the notices are managed in the correct contractual workflow with each party receiving the appropriate notice at each stage). With all parties to the contract having access to the system, everyone – client, joint venture contractors and sub-contractors – gets to look at and use the same data. Lincolnshire’s Kevin Kendall says he wanted a system that only ever presented “a single version of the truth”, and it is this transparency through access that triggers compliance with a key objective of the NEC3 contract; open book = honest relationship. Custom-designed dashboards across the system provide management information to all users. The schedule of KPIs used to measure all aspects of contract performance are calculated and presented on the dashboards and in an associated performance indicators application. As all local authorities are forced into making huge savings, the ability to instantly call up all costs related to given services is key for planning capital works. Kendall and his team now have access to energy performance statistics for each building now, and Kendall recounts how he was able recently to go in to the system and instantly extract all leased accommodation costs. “I don’t think that would have been possible before,” he says. operational needs, and the council was also involved in that project and therefore felt part of the overall solution.” The Vinci team then joined with their Lincolnshire counterparts to compose a ‘day one critical plan’, so that the council would know what the service would be like on day one as well as what it would be

like when developed further in a transition period over the next 12 to 18 months. “That really helped all of us start to focus on what was critical,” says Taylor, “so, for example, when a customer raises a call, getting it to a help-desk and dealt with there and then was deemed a day one critical activity.” FM WORLD | 24 SEPTEMBER 2015 | 21

17/09/2015 18:26


FM FEATURE

LINCOLNSHIRE COUNTY COUNCIL

MARTIN READ

Client and service provider alike agreed that the latter would adopt a self-delivery approach as much as practicably possible, and indeed 85 per cent of services are now delivered directly by Vinci. Another factor was distance. “They had a very centralised solution before,” says Taylor, “and while that sounds good it was not very efficient.” And so the contractor put in place a regional structure for delivery of FM services, “so each region had all the resources it needed to do the work”.

Culture club

22 | 24 SEPTEMBER 2015 | FM WORLD

18_22 Lincolnshire REV.indd 22

Wolds college, Lincolnshire

NEC3

NEC3 contract templates aim to stimulate good management of the relationship between interested parties to the contract and are designed to be used in a wide variety of commercial situations, a wide variety of types of work and in any location. Contracts written using NEC3 have been used on many highprofile projects over the past 20 years. Designed to be clear, simple and written in plain English, using language and a structure that is straightforward and easily understood, the NEC3 has been described as the “unsung hero” of the projects that collectively brought about the 2012 London Olympics.

brought to the team,” says Taylor, who also suggests that his own team are now benefiting from their own analysis of the data. “For example, we’re already starting to get a picture of call volumes, seeing where the work is so we can make intelligent decisions about how we react to that in the future; and that’s

something the client hadn’t experienced previously.”

Beyond Property Vinci Facilities MD Tony Raikes says that in recent years his company’s public sector clients “have got more confidence about where they’re going”, and says that, rather like Vinci’s private

sector clients, “they’re really thinking about the whole-life cost of their assets and less about FM contract provision in isolation”. For Lincolnshire, Kevin Kendall says that “over the last five years the changes we’ve had to make as an authority are because of reduced budgets. We’ve had to rationalise. The whole council has had to change.” Kendall hopes that the many changes in working practice introduced in the property services contract have the potential for wider application across council activities. For Vinci and Mouchel, the work conducted here is now being used as a template for a new bid for similar local authority work. It’s going to be interesting to see just how the model now working here is adapted elsewhere. FM

LINCOLNSHIRE COUNTY COUNCIL

“The culture (of JV partners Vinci and Mouchel) has been consistent, from the top and all the way down,” says Kendall. “Whoever I’ve met, it’s been consistent from the top all the way through. That desire to challenge and innovate are significant things to us, and they’re certainly helping to change the way we work.” Most pressing for the client was to ensure that all the organisations involved – client, JV contractor, any sub-contractors – all existed together on the same system, to promote the required transparent communication, avoiding duplicate effort and thus the destabilising impact on morale of slow but steady miscommunication. The Concerto integrated management system is seen by all as the binding element providing transparency of communication. Access by all parties to endto-end activity data is a major difference. Taylor explains how his client can now make informed decisions about its estate for the future, understanding the full cost base whether it’s capital works, rent rates, utilities costs or maintenance costs they have the full end-to-end picture. “That’s a major success factor that we’ve

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15/09/2015 10:24 10:02 15/09/2015


FM FEATURE

ACTIONAID INTERNATIONAL

JAMIE HARRIS

THE BEST AID PLANS The role of FM within international aid charity ActionAid has developed considerably since Will Bowen joined the organisation, as Jamie Harris reports

24 | 24 SEPTEMBER 2015 | FM WORLD

24-27_Action aid.indd 24

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17/09/2015 14:27


ACTIONAID INTERNATIONAL

“L

ess than two weeks after we moved, they had trouble in the premises,” recounts Marie Andrée Saint Aubin, head of HR for ActionAid’s Haiti office. “There were threats of violence while mobs armed with stones approached the old compound forcing the occupants to flee.” Not exactly the typical fate of a recently vacated office, but this is no typical location. Saint Aubin has been working with ActionAid for the past 14 years. Her 17-strong team works with the island’s local communities, and in July 2014, four years after a 7.0 magnitude earthquake close to Haiti’s capital city Port-au-Prince, they had cause to deal with a far from typical workplace security concern.

Aid in full ActionAid is an international non-governmental organisation (NGO). Founded in 1972, it has been working on various projects in Haiti for nearly 20 years. In addition to emergency relief in the immediate aftermath of the earthquake, and recovery work in the medium term, the organisation now provides educational programmes, strongly promotes women’s rights activities and supports sustainable agriculture across the country. But to support its workforce on these projects – vital to local communities in deprived areas of the world – the charity must first ensure that its local working environments - and staff - are safe and secure. Will Bowen has been facilities manager for ActionAid’s UK offices since January 2013, and part of his time is also spent as a security focal point in the UK. But since October of the same year he has also been spending www.fm-world.co.uk

24-27_Action aid.indd 25

Will Bowen joined ActionAid UK as facilities manager 2013

part of his time working with ActionAid’s offices outside of the UK – a role that sees him supporting offices in 17 countries. It’s a role described as ‘regional security champion’ and in Bowen’s case it covers countries in Europe and the Americas. As security champion, Bowen spends 10 per cent of his time away from the UK facilities he oversees, travelling to advise on security matters in countries including Brazil, Guatemala, Nicaragua and Haiti. ActionAid has three such champions, each reporting into the company’s international security adviser Javeria Ayaz Malik. But while the other two have an HR background, Bowen, a former FM World Rising Star, is the first such champion from a facilities background. “ActionAid looks at premises security, audits and health and safety, as well as human security, with facilities being key,” says Bowen. “If you can’t provide a safe and secure built environment, then you’ve got problems.” Bowen’s FM experience allows him to influence local training and security decisions, but with broader FM requirements in mind. ActionAid works in more than 45 territories across the world. Understandably, in most cases FM isn’t as formalised as it is in the UK, where ActionAid has had an FM requirement servicing its FM WORLD | 24 SEPTEMBER 2015 | 25

17/09/2015 14:27


ACTIONAID INTERNATIONAL

corporate office portfolio for the past 20 years. Bowen’s regional champion role means that he is on hand to provide advice on compliance, building improvements and health and safety. He also works closely with office coordinators in European countries, as well as those in ActionAid’s Johannesburg international headquarters. “If they need support on something I’ll be there to discuss it with them,” says Bowen, “and I’m also there to make sure minimum standards are being met as well. Each country has its local law, so the key is to abide by that legislation and then try to follow best practice after that.” Bowen visits these countries to ensure that standards are being met, which is why in July 2014 he was asked to complete a site visit to ActionAid Haiti’s office. His role on this occasion was to complete a physical security audit of the premises leased by ActionAid Haiti, providing safety and security training to staff. Fire and earthquake simulations, first aid and health and safety guidance were also part of the agenda. The audit allowed the Haiti team to decide on building improvements such as space planning to better prepare the workplace for emergency evacuations, as well as the placement of emergency exit signage – but Bowen’s visit was 26 | 24 SEPTEMBER 2015 | FM WORLD

24-27_Action aid.indd 26

JAMIE HARRIS

complicated by the political instability endemic across Haiti. Its unpopular government had delayed the calling of elections while the United Nations (UN) Security Council was steadily scaling back its military support. Bowen was asked to observe the situation on the ground and assess the organisation’s capacity ‘to identify and manage security risks’. “Our built environment is so important,” says Bowen. “It’s where your staff operate from, so it needs to be safe and well looked after; without that, you can’t operate. It’s as serious as that.” Bowen duly identified a number of potential security risks specific to Haiti, from gun crime and health infrastructure (a cholera outbreak has killed nearly 9,000 Haitians as of April this year), and dilapidated building infrastructure resulting from the earthquake. The key concern, however, was something quite different – the other tenant sharing the office building that ActionAid Haiti leased. “When they moved in, they

ACTIONAID

FM FEATURE

ActionAid Haiti’s old office complex was shared with a political party

said they were architects,” says Bowen. “But it turned out that they were a political party.” Port-au-Prince has seen a number of demonstrations over recent years, some of which have been violent, with rocks and debris thrown as activists voiced

“I already knew the guys at Greenpeace and the FM at WaterAid; we’ve got some nice reciprocal support agreements”

anger at the Haitian government. Concern within ActionAid Haiti about the motives and actions of the party resulted in recommendations to relocate to a new office in order to secure the safety of staff. “We had some meetings at quite a high level with our international management team, right up to the deputy chief executive,” says Bowen, “and we then agreed funding to move to another part of town.” The audit had also revealed additional security concerns that the office move nullified, in particular the original building www.fm-world.co.uk

17/09/2015 14:27


ACTIONAID INTERNATIONAL

“If there is any news about security, we get the news on the spot; we can advise our staff of any troubles”

ACTIONAID

complex’s use of armed guards. ActionAid policy states that “arms and armed personnel will not be allowed in ActionAid’s premises or vehicles, except if staff are faced with a threat to life”. Although this security may well have been necessary in a politically unstable environment, the move eliminated this policy conflict. Says Bowen: “[The relocation] allowed them to move away from operating in a dangerous, unsustainable environment to a safe, secure and more effective environment.” The relocation was suggested in July, funded, signed off and completed by October, just three months after Bowen’s visit. And a good thing, too: within two weeks of the move the old office was being threatened by local people protesting against the political party. Now, however, the team is

working in a secure environment and the focus has returned to bolstering communication between ActionAid Haiti’s employees and the local partner organisations it works with on projects, ensuring that they, as well as the people they are serving, are kept safe from violence and natural disasters. “We are part of a number of networks,” explains Saint Aubin, “so if there is any news about security, we receive the news on the spot; we can then avert and advise our staff of any troubles (such as protests or earthquake warnings).” To this end, ActionAid Haiti works with the Office for Coordination of Humanitarian Affairs (OCHA), itself part of the UN. It also shares information and knowledge with other charitable organisations including World Vision International.

Where there’s a Will Bowen has learned a lot in his time with ActionAid, in particular the charity’s ways of maximising the resources available. He’s met a number of FMs at other not-for-profits to share his knowledge of the sector, and has also been able to bring across knowledge from his previous role at Sevenoaks District Council (FM

World diarist Emma Vincent is Bowen’s successor in Sevenoaks). “Coming from a local authority, we had to make big savings, engage in partnership agreements and we are working on shared services projects. To be able to bring that sort of skill to the charity sector has been useful.” This small network of NGO FMs is, says Bowen, ”a great little community; they know we all experience the same issues.” “This summer I held a BIFM Rising FMs SIG event (at ActionAid’s UK HQ in Farringdon) at which I met the FM at Unicef. I already knew the guys at Greenpeace and the FM at WaterAid; we’ve got some nice reciprocal support agreements between each other for this like business continuity planning.” Since Bowen was drafted in as security champion, ActionAid’s human security policies have developed to incorporate premises and facilities management. “It has really developed, and more globally,” he explains. “There is some great legislation in the UK, and although I find that keeping up with it really adds to the workload, it’s a great thing to take over [to the countries in which ActionAid works].” Engagement in the demands of FM has certainly increased at a

ActionAid Haiti work on projects for sustainable agriculture, educational programmes and women’s rights activities

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24-27_Action aid.indd 27

local level, with staff suggesting even small solutions to day-today projects. “It can come down to simple things,” says Bowen, “such as visibility coming out onto the road from the Haiti office. One member of staff just suggested putting up some mirrors.” Each country has a coordinator who remains in charge of facilities, but Bowen’s visits are designed to advise and give recommendations. Such is their value that in Bowen’s absence, other staff members now fill in. A recent audit in Nicaragua, conducted by Malik, saw Bowen participating through Skype.

Charitable intent The aim of many charitable organisations is not just to provide emergency relief, but to also leave a lasting legacy of support that can be selfsustained. The aim is no different with Bowen’s role at ActionAid, where the goal is to enable others to take local FM decisions themselves. “They are still in charge,” says Bowen, “but now they have regional support if they need it.” Today, Bowen’s role continues to be varied; at our meeting he explains he has trips to Berlin ahead, having recently conducted workshops in Thailand and Kenya. He’s also a committee member on the BIFM’s international special interest group. And the greater awareness of FM has benefited ActionAid’s UK FM as well. Says Bowen: “It has made me realise that facilities is key to any operation, and I’ve really enjoyed bringing the FM element into human security.” Although the day job of overseeing ActionAid’s UK offices may not be as exotic, bringing another angle into the organisation’s security strategy is paying dividends. FM FM WORLD | 24 SEPTEMBER 2015 | 27

17/09/2015 14:27


FM FEATURE

ADDED VALUE IN FM

DANIEL VON FELTEN, MANUEL BÖHM, CHRISTIAN COENEN

PAY IT FORWARD

28 | 24 SEPTEMBER 2015 | FM WORLD

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17/09/2015 14:28


ADDED VALUE IN FM

FM should be seen as a value driver in the sense of selling future levels of productivity, say researchers Daniel von Felten, Manuel Böhm and Christian Coenen, who call it ‘the multiplier effect’

C

ould a company that invests less than ¤1 into FM services increase its productivity by more than ¤1? This was the equation at the centre of our survey-based analysis of added value in FM. Much has been published about the need for FM to be more strategic and escape the commodity trap. But it seems to be hard to quantify the value of the actual impact FM might have for primary activities. Even tougher, apparently, is quantifying the productivity gains caused by FM. The point of the study was to respond to these challenges by creating a way to identify a demand-gap in FM and demonstrate the measurements of potential productivity gains. It is the conventional wisdom that only a small share of the FM market has been professionally developed. This is because: a) The demand side (customers or clients) of FM services buys incorrectly or does not buy FM

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28-31_Productivity REV.indd 29

services at all. The study defined this as the ‘FM-demand-gap’. The user knows which support services would be helpful, but the customer and/or the client are not aware of this or ignore it; providers may or may not know how the benefits of these FM services could be developed. All it needs is a little communication. And b), no one – not the provider, the client, the customer or the users – knows how to exploit the likely benefits of FM. The authors defined this as the ’FM-supply-gap’. Professional FM is often not present in small and medium-sized enterprises, so there is little in the way of marketable FM products. But through innovation in technology and service the FM-supply-gap can be tapped. The FM community regularly talks about the value of FM and says the industry should raise the bar to be strategically relevant. As James Ware and Paul Carder noted in their 2012 RICS paper, “heads of FM are so often told

to cut (or freeze) their budgets without reference to the causal chain of consequences to the workforce, to work processes and productivity, and to the bottom line itself. “Without understanding the consequences of these budget cuts, FM has become a commodity rather than a professional skill in many organisations, to be procured at lowest cost. Worse still, the industry does not yet have the sophistication to be able to analyse and report on the consequences of lowered standards and reduced (or lowercost) resources,” they concluded. Since 1985 when Michael Porter developed his value chain analysis as a comprehensive approach to developing corporate strategies, FM has been classed as a support activity. Further to this, researchers Margit Osterloh and Jetta Frost said in 2006 that companies should focus on their primary activities because support activities don’t bring a competitive advantage and could be standardised and easily imitated. Maybe this is why FM services are seen as cost factors, bought as commodities, and not seen as a driver of productivity. If it could be shown that FM could add to productivity, it would be a valid argument against shortsighted budget cuts. FM WORLD | 24 SEPTEMBER 2015 | 29

17/09/2015 16:10


FM FEATURE

ADDED VALUE IN FM

DANIEL VON FELTEN, MANUEL BÖHM, CHRISTIAN COENEN

TABLE 1 Annual labour productivity potential per service per person - ranked

Hours

Hours

FM service

n

Mean

Median

Mean

Median

Workplace without disturbance

4712

50

34

3300

2100

ICT hardware

4712

31

23

2000

1400

ICT services

4712

29

23

1900

1300

Document management

4712

22

23

1500

900

Study methodology

Mobility services

4712

20

0

1300

0

First, the authors set about analysing part of the likely demand gap in FM by using a quantitative national online survey of 7,500 participants – alumni of universities of applied sciences in Switzerland in 2011. Of these, 61 per cent were managers: 16 per cent were upper management; 26 per cent were in middle management; and 20 per cent in lower management. The sample was drawn from different sectors, mainly manufacturing and production (18 per cent) and financial services (14 per cent). For step two the ‘use value’ was measured by the potential of enhanced working productivity. In step three, the potential of the enhanced working productivity was compared with the potential enhanced FM resources (exchange value) to deliver the best-quality FM service. A model for measuring the productivity enhancement through FM services was developed and the dimensions of a demand gap and a supply gap in FM defined.

Office services

4712

19

0

1300

0

Meeting points

4712

19

0

1300

0

Workplace equipment/installation, storage

4712

18

0

1200

0

Workplace air, light, temperature

4712

17

0

1100

0

Catering

4712

16

0

1000

0

Background theory In 2006 The European Committee for Standardisation defined FM as the “integration of processes within an organisation to maintain and develop the agreed services that support and improve the effectiveness of its primary activities”. In previous papers Coenen and von Felten had shown that FM should be seen as a service 30 | 24 SEPTEMBER 2015 | FM WORLD

28-31_Productivity REV.indd 30

Technical installations

4712

13

0

800

0

Childcare

4712

10

0

700

0

Cleaning/disposal

4712

7

0

500

0

management discipline in addition to its built environment and engineering focus. The effectiveness of the primary activities is often associated with productivity, which they defined as the relation between output and input. Productivity for services was discussed by Christian Gronroos and Katri Ojasalo in 2004, who concluded that, “Regardless of the problems involved, the only theoretically correct and practically relevant approach to measuring service productivity seems to be to base productivity calculations on financial measures. In principle, the correct way of measuring service productivity as a function of cost effects of internal efficiency, revenue effects of external efficiency and cost and revenue effects of capacity efficiency is the following measure: Service productivity = revenues from a given service/costs of producing this service. As a global productivity measure of the operations of a service provider, this measure can be used: Service productivity = total revenues/

total costs.” Since Stephen Vargo and Robert Lusch’s 2004 and 2006 contributions to the service dominant logic (SDL) stressed the importance of services compared to goods, the value of services can be characterised thus: (a) the customer is always a co-producer of value, and (b) the value of a service cannot be measured only at the price achieved in the market, but also perceived differently depending on the perspective of the customer. So it is recommended that in addition to the paid price – defined as the exchange value – the use value should be distinguished as the individual value for a user. To increase the efficiency of the core business, FM could either provide a higher value of use in relation to the used FM resources, and/or increase the productivity with a cost for FM services that is lower than the achieved productivity growth of the core business (service productivity/value of exchange) – creating a multiplier effect. In other words, whether a firm that invests less than a euro

into FM services can increase its productivity by more than ¤1.

Mind the gap As mentioned, the FM-demandgap occurs when the user knows which support services would be helpful, but the customer and/ or the client is unaware of this or ignores it and buys FM services inadequately or not at all. Users were asked to rate how the quality of their work changes when the FM services are offered “in the best possible way”. Respondents selected answers from a four-point sliding scale: ‘Not at all’; ‘Slightly better’; ‘Better’; ‘Much better’; and ‘Don’t know’. The sum of the answers in the four middle choices represents the potential FM-demand-gap. It is not clear whether the added use value would surpass the possible additional resources to enhance the service – only if so it will be a genuine FM-demandgap – something that is a need from an economic point of view and not just a want from a user. Questioning moved on from an additional use value to an www.fm-world.co.uk

17/09/2015 16:10


ADDED VALUE IN FM

“It is the conventional wisdom that only a small share of the FM market has so far been professionally developed” additional exchange value to elicit a possible growth of productivity in work through enhanced FM services. Respondents were asked: “How much productive work time a week do you gain if the following services in your organisation (workplace without disturbance, ICT services, meeting points, technical installations, office services, catering, mobility services) are offered in the best way?” The scale of six graded responses was set between ‘None’ and ‘3 hours+’, making it possible to calculate the potential growth of working productivity in hours a year. As participants’ salaries were known it was possible to calculate the annual salary costs in euros. With an average productivity potential a year of ¤3,300 (median ¤2,100), the availability of “workplace without disturbance” was rated top for potential, followed by enhancing ICT hardware (mean ¤2,000, median ¤1,400). Respondents also saw an average productivity potential of ¤1,900 (mean ¤1,300) for ICT services. A second analysis was conducted with respondents who saw productivity potential in certain services only. The highest productivity potential was seen in childcare, with a mean of ¤4,800 (median ¤3,800). Obviously not all participants would profit from this service,

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28-31_Productivity REV.indd 31

but when it is in place those specific people would save a lot of time. ‘Workplace without disturbance’ was ranked second, with an average productivity potential of ¤4,500 – higher than before (¤3,300) and, with 3,399 participants citing it, was the most likely to have potential. As before, “workplace without disturbance” was followed by ICT hardware (mean ¤3,300, median ¤2,200). So all FM services show some productivity potential. But could they be enhanced, and what are the costs of improving such services? Next, respondents were asked about their needs. The main goal here was to provide some examples of the costs compared with the productivity potential of certain services. With an average productivity potential of ¤1,900 (N =1140) ‘Cleaning/disposal’ has the lowest rank. By comparison, the average cleaning cost per workplace per year is identified as ¤120. If, for example, the cleaning services were doubled, the annual cleaning cost of ¤240 per workplace would still be

much lower than the productivity potential of ¤1,900. A second example was conducted on the service with highest potential – workplace without disturbance. There are four mechanisms to improve privacy: physical boundaries, separate areas, norms and rules, and non-verbal signals and signs. For this example, physical boundaries and separate areas were calculated as measures to cut disturbance. The average costs for an office workplace are ¤4,100 a year. The increase of the workspace for more distance to co-workers and additional acoustic barriers would total ¤5,500. The additional cost of increasing the workspace for each employee and adding acoustic barriers would be ¤1,400 a year, compared with the annual labour productivity potential of ¤4,500 a year – an average net productivity potential of ¤3,100 a workplace a year.

Conclusion The results show there is a huge potential FM-demand-gap. How

huge depends on the service and its effects on 50-80 per cent of users. And services could not only increase the productivity of the core business, but also enhance net productivity. FM should be seen as a value generator in the sense of selling productivity. The task was not to analyse how this capability could be tapped. FM is a service, so the customer/ client/user is always a co-producer of FM and the value of use is subjective for each stakeholder. But the authors assume that with procuring and providing FM as a commodity, the benefits are greatly under-exploited. The data will undergo analyses promising insights on areas such as differences between occupations, industries, job satisfaction and age. The authors hope other nations will extrapolate this study on their own FM-demand-gap and multiplier effects to compare data. FM About the authors Daniel von Felten, Manuel Böhm and Christian Coenen are researchers at the Institute of Facility Management, Zurich University of Applie Sciences. This research was first presented at the EFMC 2015 conference in Glasgow.

TABLE 2 Annual time and productivity potential per service per person – ranked (without ‘no service potential’)

Hours

Hours

FM service

n

Mean

Median

Mean

Median

Childcare

697

70

68

4800

3800

Workplace without disturbance

3399

69

68

4500

3600

ICT hardware

2889

51

34

3300

2200

ICT services

2756

49

34

3200

2100

Mobility services

1898

49

34

3200

2100

Workplace air, light, temperature

1807

45

34

3100

1900

Office services

1995

44

34

2900

1900

Meeting points

2058

43

34

2900

1900

Document management

2439

42

34

2800

1900

Catering

1802

41

34

2700

1900

Workplace equipment/installation, storing

2180

40

34

2700

1900

Technical installations

1639

37

23

2400

1700

Cleaning/disposal

1140

30

23

1900

1600

FM WORLD | 24 SEPTEMBER 2015 | 31

17/09/2015 16:10


FM CALENDAR OCTOBER

YOUR CAREER OUR COURSES TRAINING FMs FOR OVER 20 YEARS

12-16 13-15 14 14-15 14-15 15 20 20-22 20-22 21-22 22

NOVEMBER 3-4 4-5 5 9-13 10-12 11 12 16 17-19

Telephone

+44 (0)20 7404 4440

facebook.com/bifmtraining

NEBOSH Week1 Understanding FM Customer Focused FM Effective Space Planning Managing FM in an Outsourced Environment FM Contract Models Personal Effectiveness Skills Professional FM 1 Team Leading Advanced Building Services - The Next Step User Needs, DDA and Reasonable Adjustments Managing Relocation, Fit Out and Move Managing Catering Contracts How to Procure a Fit Out for FMs NEBOSH Week 2 Understanding FM Making the Change to Agile Working Managing FM Performance & SLAs Trends and Innovation Business School

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twitter.com/bifmtraining

linkedin.com/company/bifm-training

Want to be at the cutting edge of FM? Then get involved in the BIFM

Want to get involved in the BIFM? Then look sharp and contact us. As the representative body for facilities management, we’re already the cutting edge of the industry. But as a member (or potential member), you might like to get your teeth into what we do and be a more active participant. It’s a fantastic opportunity to help shape

BIFM cutting edge NEW 186x123.indd 1 32 | 24 SEPTEMBER 2015 | FM WORLD

FMW.240915.032.indd 032

the future of our business – from the business end. Whether you’d like to simply attend a regional meeting and the national conference, organise an event, join a committee, become a mentor or sharpen your vocal or literary skills by being a key speaker or writing

in FM World, we’d love to hear from you. Because to help everyone in the industry make the most of it, we need all the useful tools we can get our hands on. So why not get involved and get more out of FM – for yourself and everyone else.

T: 0845 058 1358 E: membership@bifm.org.uk www.bifm.org.uk

2/8/10 12:19:58

11/09/2015 16:53


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.

ART AND PHOTOGRAPHY IN THE WORKPLACE

VAT rates: Standard rate – 20% Reduced rate – 5% Source: HM Treasury (hmrc.gov.uk)

Bank of England base rate: 0.5% as of 10 September 2015.

ART & PHOTOGRAPHY IS ONE OF THE LOWESTRANKING PHYSICAL FEATURES, IN TERMS OF IMPORTANCE IN THE LEESMAN INDEX.

41.5%

IT’S IMPORTANT TO 62.1%, AND WE SEE A SATISFACTION SCORE OF 41.5%.

Consumer Price Index (CPI): The Consumer Prices Index (CPI) was unchanged in the year to August 2015, a 12-month rate of 0.0 per cent, down from 0.1 per cent in the year to July 2015. A smaller rise in clothing prices on the month compared with a year ago was the main contributor to the rate’s slight fall. There were also downward effects from falls in motor fuel prices and sea fares. Source: (www.ons.gov.uk)

EMPLOYMENT

National Minimum Wage The following rates will come into effect on 1 October 2015: Category of worker

Hourly rate from 1 Oct 2015

Aged 21 and above

£6.70 (up from £6.50)

Aged 18 to 20 inclusive

£5.30 (up from £5.13)

Aged under 18 (but above compulsory school age)

£3.87 (up from £3.79)

Apprentice rate, for apprentices under 19 or 19 or over and in the first year of their apprenticeship

£3.30 (up from £2.73)

SHUT TERSTOCK

UK Living Wage: The following rates are set by the Living Wage Foundation: Category of worker

Hourly rate from Nov 2014

UK Living Wage

£7.85 per hour

London Living Wage

£9.15 per hour

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33_Insight.indd 33

% OF ONLY 42.4 ESPONDENTS R + 0 0 ,0 0 T. 11 IMPORTAN VIEW IT AS ONLY , SE O H T F O SATISFIED 21.9% ARE IS BEING AT H W H IT A W . THERE IS PROVIDED TIVE STORY SI O P E R O M CONSIDER WHEN YOU ÉCOR. D L A ER EN G

110,000+

Source: Bank of England (bankofengland.co.uk)

44.7%

ART AND PHOTOGRAPHY ARE OFTEN LOW ON THE LIST OF PRIORITIES WHEN CREATING WORKPLACES, BUT WHEN YOU LOOK AT THE TOP 15 PERFORMING BUILDINGS IN THE INDEX SATISFACTION JUMPS TO 44.7%, GENERAL DÉCOR LEAPS TO 74.3%. IT MAY BE THAT THIS IS REFLECTIVE OF THE GENERAL APPROACH TO WORKPLACES; INVEST IN THE BASICS AND YOU’RE MORE LIKELY TO INVEST IN THE DÉCOR. OR ARE THERE BENEFITS TO CREATING THE RIGHT AMBIENCE? SOURCE: LEESMAN INDEX

74.3%

B&ES STATE-OF-TRADE SURVEY, SEPT 2015

WOOD & LAMINATE FLOORCOVERINGS

Research carried out among members of the Building & Engineering Services Association (B&ES) indicates that order, enquiry and turnover levels all rose across the board during the past six months. The association’s latest state-of-trade survey, covering -January to June this year, reveals a positive “net optimism measure” of 45 per cent, up from 39 per cent six months ago, confirming that B&ES members in the UK – of every size and specialism – feel positive about business prospects. Growth in orders was seen by 53 per cent of respondents compared with 47 per cent in the second half of 2014 – while 41 per cent enjoyed an increase in enquiries and 40 per cent an increase in turnover. An improvement in tender prices was also detectable; for the first time since the six-monthly B&ES survey was introduced in 2012, more members reported a rise than had experienced a decline. Labour and material costs both to increased – while 36 per cent of firms claimed to be employing more direct labour than six months ago, and 40 per cent expected workforce levels to SOURCE: WWW.B-ES.ORG increase.

The UK’s wood flooring sector – solid wood, engineered wood and laminates, make up 16 per cent of the £1.8 billion flooring market. Market value has been rising since its low point in 2011, and demand for wood flooring grew in 2015 in the face of competition from luxury vinyl. But wood and laminate are again on trend, as makers invest heavily in innovations to gain share. Laminate, the largest product category, continues to be a strong driver of growth in the wood market. Although engineered and solid wood have become more affordable, laminates’ environmental credentials make it popular in the commercial/ contract sector and sales grew in 2014 and 2015 on growth in the housing market and consumer confidence. Solid and engineered woods returned to growth in 2012 after four years of decline that saw the market’s value fall by 14 per cent. Imports rose significantly in value terms in 2014 owing to a recovery in construction. China is the top supplier; Poland is the main European supplier. Forecasts show growth of 3-4 per cent a year until 2017, falling slightly between 2018 and 2019. SOURCE: AMA RESEARCH

FM WORLD | 24 SEPTEMBER 2015 | 33

17/09/2015 14:29


FM MONITOR FRANK CLAYTON

HOW TO...

Frank Clayton is head of group learning and development at NG Bailey

TR AIN IN G : ASPECT S TO CO N S I DER

eople are the biggest asset of any FM business, so employee training is key to your overall success, says Frank Clayton

P

Giving employees opportunities for growth and development is a key aspect of attracting and retaining the best people. Training your employees helps to maximise their skills and potential and is also fundamental to ensuring your organisation has a robust platform for future commercial success. Here are five key steps to ensure well-rounded training in FM.

1⁄

Holistic development

Many organisations believe that if your employees have been well educated in their field, they are automatically able to put what they have learnt into practice. But in FM, a ‘one-size-fitsall’ approach to learning won’t suffice and shouldn’t end in the classroom. Development is ongoing, and should be tailored to each person’s needs – and the needs of the client. It’s important to recognise that each person has their own strengths that can meet the different needs of clients. The customer service your people deliver should be the same high standard across the board, but tailored to each client’s requirements. Some companies do this through continuous coaching and mentoring to help shape people to be the best they can be. For example, consider how teams working on specific contracts could receive bespoke 34 | 24 SEPTEMBER 2015 | FM WORLD

34_How to_indd REV.indd 34

customer service training, designed with the client, to ensure that they are given a clear understanding of “what good looks like” and how to deliver it.

2⁄

Understand your people

Having a good appraisal process goes a long way. As well as continuous mentoring and coaching, I recommend scheduling appraisals twice a year, acknowledging success and setting objectives to provide direction and focus for the coming year. Feedback should be based on a set of behavioural and technical competencies that outline what’s needed to be successful in the role and enables managers to give measured feedback from what they observe. If we can’t track our employees’ development, how can we help them improve? When you know what these measures are and how well your people are doing in these areas, you can then help them excel and tell them when they do!

3⁄

Focus on strengths, not weaknesses

Far too many businesses train people based on their

deficiencies. They focus on addressing weaknesses and trying to turn these into strengths. But often these weaknesses aren’t a crucial element of that person’s role and are skills that are rarely used. A person’s strengths should be the reason they were appointed in the first place. Therefore, expecting them to be exceptional at something entirely different isn’t realistic and will only waste time and resources that could be spent on really developing what they’re really good at. Instead of providing courses and training programmes on areas that won’t make a big difference to your overall output as a business, you should be focusing on developing core skills.

4⁄

Empower your people

When considering what training programmes to offer, FM businesses need to balance their people’s needs with wider business objectives, ensuring “line of sight” from the employee, through to the strategic aims of the business. Focus on empowering your people to drive their own development and trust them to make decisions about how they get better that will also benefit the business. How can you do this? By tracking their performance, it will become clear what their needs are. And tracking progress

“As they take up more senior roles, their development should feature hands-on project work”

isn’t difficult to do, even when they are away from the office and working on site. I would recommend creating a learning management system that employees can access remotely. A system that offers bite-size learning exercises will give people the opportunity to develop wherever and whenever they like. They will really appreciate that level of support.

5⁄

Changing skill sets

In FM it’s important to try to bring talented people into the business as early as possible in their careers. But once they join you, it’s crucial to help them develop, so they can climb the career ladder. Organisations in FM need to recognise that when they employ people, they are typically recruiting them for their technical knowledge and expertise. But as they grow and take up leadership positions, they need to develop here, too. You can help manage this transition by offering a broad range of development opportunities. This could start with apprenticeship qualifications and progress through supervisory and line management, onto leadership and executive development. This enables you to develop people from entry level up. As they take up the more senior roles, their development should feature hands-on project work, which will support their growth and expose them to the next level of the business. You should adapt your programmes and increase the amount of coaching opportunities as your people grow. FM www.fm-world.co.uk

17/09/2015 16:10


FM MONITOR BRIAN ATKIN

STANDARDS

Brian Atkin is a director at The Facilities Society

B SI 8536-1:2015

he new BSI 8536-1:2015 code creates T better design and construction briefings for facilities managers, says Brian Atkin The impact of design on construction – the concept of buildability – has long been recognised and is routinely considered by designers and their teams. The impact of design and construction on operations – the concept of operability – has yet to achieve the same level of recognition and consideration. This situation is set to change with the publication of a new British Standard, BS 8536-1:2015 – a code of practice – which has been developed with government and industry support to improve the effectiveness of briefing on operational performance requirements for design and construction.

The reason Ensuring that the design and construction of a new or refurbished facility take account of operational performance requirements is a primary concern for owners, operators and FMs. Yet inadequate account is often taken of those requirements, specifically environmental, social (i.e. functionality and effectiveness), security and economic criteria. The fault doesn’t necessarily lie with the design and construction team. Sometimes owners and operators do not define their operational requirements well at the outset so that later, when the facility is operational, it fails to match expectations. Without a clear definition of www.fm-world.co.uk

35_How To.indd 35

operational requirements, it is not possible for the design and construction team to aim for, or be measured against, specific performance outcomes/targets. The standard helps to overcome these failings by providing guidance and recommendations on facilities management briefing for design and construction teams, as well as owners and operators. When this extends to all parties represented in the project it means that everyone is reading from the same page. Importantly, the standard does not tell anyone how to design or construct – it outlines the data requirements – and the activities they support – that are essential to defining and measuring operability and performance requirements.

Scope of the code The three-fold aim of this code of practice is to: (1) improve the focus of the supply chain on operational performance; (2) extend supply chain involvement through to operations and defined periods of aftercare; and (3) involve the operator and FM from the outset. This should be seen in the context of a broader scope that considers operational requirements throughout design, construction, testing and commissioning, handover,

start-up of operations and during defined periods of aftercare. From an FM perspective that translates into a facility that is safe, efficient and cost-effective. The code of practice reflects the many changes that have taken place within the industry and among its clients:

users and other key stakeholders concerning the operational performance of the facility. Performance outcomes should be verified in each work stage to ensure that the facility will meet its operational requirements and so avoid unpleasant surprises at handover.

1. The incorporation of the principles of soft landings; 2. A definition of the data requirements associated with Level 2 BIM for CAPEX (in accordance with PAS 1192-2) and for OPEX (in accordance with PAS 1192-3); 3. Security-mindedness (in accordance with PAS 1192-5); 4. The requirements for postoccupancy evaluation (POE) to strengthen the link between owners, operators and FMs, and the design and construction team to assure operational performance.

Defining performance

The code is intended to have a key role in the coordination of the project delivery process and the work stages that it encompasses. Among its other features is a close alignment with industry work stages for projects. A key feature of the underlying processes for delivery of an operational facility is an evidence-based approach to design and construction that is driven by performance outcomes/targets, which are explicit and measurable. These need to reflect the requirements of the owner, operator, end

“Performance outcomes should be verified in each work stage to avoid unpleasant surprises at handover”

As noted, the code considers operational performance in terms of environmental, social (i.e. functionality and effectiveness), security and economic criteria – the practical side of sustainability principles – that have to be satisfied by the new or refurbished facility. ● Environmental targets – energy use, CO2 emissions, water use and waste reduction. ● Social outcomes: functional and operational requirements of the owner – overall concept, context, uses, access, visual form, space, internal environment, durability and adaptability; and the operator’s and end users’ requirements of utility, usability, safety, maintainability, inclusiveness and comfort. ● Security outcomes: securitymindedness with respect to both physical and digital assets. ● Economic targets: capital cost and operational cost side-by-side to support whole-life costing. The code is a standard for everyone engaged in the design, build and operation of a new or refurbished facility. It provides FMs with a powerful tool to make a compelling case to bring operational requirements into design and construction. FM BSI 8536-1:2015 and all standards referred to here are available free from BSI at http://shop.bsigroup.com

FM WORLD | 24 SEPTEMBER 2015 | 35

17/09/2015 14:29


FM MONITOR BARRY LEA

HOW TO...

Barry Lea is chairman of Advanced Engineering

AIR CON SYSTE M S : CL EA N I N G CO I L S

he key to lower building costs and fresher air is a clean air conditioning system, says Barry Lea, who offers FMs essential advice on A/C maintenance

T

Does your building surround people with fresh, beautifully clean, air-conditioned luxury? Or does it subject them to odd smells, allergies and airconditioning misery? Good air conditioning hygiene increases a building’s energy efficiency, lowers its carbon footprint, improves indoor air quality and saves the FM’s time, energy and money. If the coils of your air conditioning system are dirty, the results will include unpleasant odours, allergic reactions and the spread of diseases. In short, poor Indoor Air Quality (IAQ). All of these avoidable symptoms stem from the microbes that gather and breed in dirt collecting on the air conditioning coils and in their associated condensate trays. Take away the dirt and these objectionable organisms will have nowhere to live. By keeping your air conditioning coils clean you will increase the energy efficiency, effectiveness and service life of the air conditioning system, which means major cost savings.

The consdquences The dirt coating any air conditioning coil’s surfaces acts as an insulating blanket, seriously affecting its ability to function effectively. To achieve the same cooling effect, your system has to work harder, using more energy and 36 | 24 SEPTEMBER 2015 | FM WORLD

36_How to_indd REV.indd 36

putting extra pressure on its components – particularly the compressor, an expensive item to replace. If the compressor were to fail, it could lead to water leakage and damage to the fabric of your building. Dirty air conditioning coils can cause: Increased energy consumption; Increased operating pressures and temperatures; ● Reduced heat transfer within the system; ● Decreased capacity to cool; ● Increased wear on the system, which can lead to component damage, system malfunctions and reduced life expectancy; ● Reduced building energy efficiency; and ● Poor indoor air quality and potential for contamination (evaporators only). ● ●

This summary of the functioning of the coils should help to explain how dirt affects both system efficiency and the quality of the air breathed by workers.

The coils A typical air conditioning system has an indoor cooling coil (evaporator) and an outdoor condensing coil (condenser).

The building’s air is constantly circulated through the evaporator coil. Dirt in the air will attract and stick to the evaporator’s cooling surfaces as it passes over them. To minimise this, and to help prevent the recirculation of airborne dirt, a filter is often fitted. Unfortunately, filters are rarely 100 per cent efficient – particularly when it comes to stopping very small items such as dust and microbes. Dirt on the evaporator coil, and in the moist environment of its associated condensate tray, is the main habitat in the system for microbes. The job of an air conditioning condenser is to dissipate heat absorbed from the refrigerant. The condenser coil may be aircooled or water-cooled and will accumulate dirt just as an evaporator coil does. If the condenser is indoors – in a large warehouse, for example – it can harbour microbes that affect IAQ.

The microbes Changes to the Indoor Air Quality (IAQ) are the first things to be noticed by building occupants. The main culprits involved are fungi, bacteria and viruses. As we all know, bacterial activity often causes nasty smells. Fungi produce spores and defensive toxins, which can trigger allergic reactions. The bacteria and viruses include a number of organisms that cause disease in humans through airborne infection.

“Dirt in the air will attract and stick to the evaporator’s cooling surfaces as it passes over them”

Regular maintenance All of these contaminants are constantly being pumped into the air by dirty systems. To avoid the costly and unhygienic problems described above, coil cleaning needs to become part of a planned regime of regular maintenance. Advanced Engineering recommends a threestage treatment process: 1. Clean and disinfect the coil and condensate tray. Use a good quality combined cleaner and disinfectant – one that meets the appropriate British and European Standards for both bactericide and fungicide. Heavy-duty disinfectants or one of the new breed of foaming cleaners will work best for a particularly dirty or rarely serviced system. 2. Apply a protective coating to the coil and condensate tray. This is an excellent tip to keep microbes at bay. The coating is not rinsed off; it remains in place (depending on the environment) for a minimum of six to 12 months, acting like a non-stick layer, preventing dirt and microbes from sticking to the treated surfaces. 3. Place a disinfectant strip in the condensate tray. These are readily available and will slowly leach out a disinfectant, killing any microbes washed into the tray and preventing any further micro-organic growth. This helps to control bacteria and odours, and the strips and condensate mixture will also clean and disinfect the drain lines as they wash away. As a finishing touch, a fragrance-enhancing gel can be added to the unit to give a ‘justcleaned’ freshness. FM www.fm-world.co.uk

17/09/2015 16:11


FM MONITOR MARK BRADSHAW

HOW TO...

Mark Bradshaw is part of the workplace team within Capita’s property and infrastructure business

SEVEN QU ESTIO N S TO A S K BEFO R E R EFI T T I N G YOU R WOR KPL ACE

orporate workplace redesign is no longer merely a matter of a lick of paint and some new furniture, but integral to the business, as Mark Bradshaw explains

GRAINGE PHOTOGRAPHY

C

Approaching a redesign of the office can be a tricky business – expectations are always high, and budgets don’t tend to stretch far enough to create the ideal workplace. This challenge can seem insurmountable, particularly when you have staff at all levels of an organisation making challenging requests and explaining why their team or department is a special case needing special treatment. This is often complicated by senior staff who have read about the latest trend or style in workplace design and assume that they need it in their offices – without stopping to consider whether or not it is appropriate for the company or industry they work in. After all, a ‘collaborative sofa’ without a collaborative workforce is just a sofa. So many issues that become prohibitively expensive and politically complex can be solved if people set out their expectations and needs at the start of the redesign process. These questions are the ones that are crucial to ask before anyone opens a floor plan, orders a desk or chooses a paint colour – the ones that will make your lives and our customers’ entire redesign process simpler.

1⁄

How is the current office used – really?

Before starting to design an www.fm-world.co.uk

37_How to_indd.indd 37

office, the workplace should be observed and you should engage with the business – both senior staff and the rest of the office – to understand as much as possible about how the space is used. Remember, there is no such thing as ‘too much information’ here – the more you can capture about the existing setup, the more certainty you can have that the redesign will be what you’re looking for, and what your employees need.

2⁄

What are you looking to change?

Sometimes office redesigns are just about freeing space or rearranging some teams. However, more often, the business is trying to bring about a change – of culture, working practices or just atmosphere. Unless the business really understands what it is looking to achieve, it’s incredibly easy to get it wrong. Creating a collaborative workplace isn’t just about new furniture and taking down office walls – and if you don’t explain what you’re trying to create, consultants won’t be able to help you as well as they could.

3⁄

What’s going on at the company?

This one sounds simple, but it often isn’t. Many office redesigns

are triggered by forthcoming changes – maybe new staff or new functions – but it is important to look as far forward as possible. Encourage your colleagues to really drill down into what the business will be doing over the next year of two, and how that might change the business. A forthcoming acquisition might just mean you need more space – but how will that change working practices? Which teams are likely to grow, and which are likely to shrink?

4⁄

What do you actually need?

Senior executives will often have some grand ideas about what the office should look like – but the reality is that sometimes these can’t be met cost-effectively. Any project will be a process of compromise between different needs – and so it is crucial to really understand what is required, and what is an aspiration. Without strong engagement across the business at the start of a project, you’ll face some challenging situations later on when it is a lot more expensive and disruptive to change a design.

5⁄

What’s going on in the building?

Again, this is such a simple question – but it can make so much difference. Your contractor needs to understand not just your offices, but the whole building it sits in. This not only means understanding both the constraints of the fit-out guide provided by the long-

leaseholders, but also whether or not there is any other work going on at the same time. The fit-out process is always expensive and prone to missing deadlines if badly planned – extensive construction work in the same building can rapidly increase delays, and generate costs that can spiral out of control.

6⁄

What do staff expect from the refit?

Good workplace design should be a collaborative, consultative process. Employees are the best source of information about what is wrong in an office, and how to fix it. But they can also be very resistant to change. Managing everyone’s expectations and keeping them informed is key, and you can only know that if you’ve asked what they expect to happen. If you don’t find this out at the start of a project the business can face significant challenges later down the line.

7⁄

What is the marketing team doing?

Finally, a simple point – but a potentially expensive one; before you start commissioning expensive signage and office centrepieces, it’s worth triple checking with the marketing and branding team about their plans for the next six months. I’ve had at least one panicked phone call from a customer who’d just overheard the marketing team talking about their forthcoming logo redesign – moments after he’d signed off on an expensive laser-cut sign for reception. FM FM WORLD | 24 SEPTEMBER 2015 | 37

17/09/2015 14:30


BIFM NEWS

BIFM.ORG.UK

ENTERTAINMENT

BIFM Awards The BIFM Awards are just weeks away, taking place on 12 October, when more than 1,300 guests will see the 2015 winners announced at the Grosvenor House Hotel. The host has been confirmed as Simon Evans. Described as the thinking-man’s comedian, he is dapper, refined and intelligent. His razor-sharp timing and nimble wit encapsulate one of the UK’s most distinguished and sidesplitting comedy acts. Simon’s routines can be described as ‘adult’, in the most positive sense of the word, leading to top comedy reviewers describing him as ‘demonically dry’ (Metro) and ‘sublime’ (The Guardian). Having written for Jimmy Carr, Dara O Briain, Sean Lock, Lee Mack and Marcus Brigstocke, Simon appears regularly on BBC Radio 4’s The News Quiz, The Unbelievable Truth and Armando Iannucci’s Charm Offensive. He has written and presented seven series of the news satire The Way It Is, and has appeared as part of the Comedians’ team on University Challenge – The Professionals. The Lionels They were so good at the 2014 that we’ve asked them back again! The Lionels are a four-piece band who specialise in blistering live performances of well-known popular tunes, such as Superstition (Stevie Wonder), Jumpin’ Jack Flash (The Rolling Stones), Sex On Fire (Kings Of Leon), and Let’s Stay Together (Al Green) to name but a few. The band bring a wealth of talent and experience to their live performances, from session work for major record labels to TV work to international touring original and tribute bands. 38 | 24 SEPTEMBER 2015 | FM WORLD

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Back by popular demand, musical group The Lionels will be performing during the BIFM Awards 2015 ceremony at the Grosvenor House Hotel, Park Lane, London, on Monday 12 October

In addition there will also be the charity casino taking place on the Rink Balcony, raising money for the BIFM Chairman’s charities – Children with Cancer and Shooting Star Chase. i Tickets for the Awards ceremony are available from www.bifmawards.org/the-ceremony, or alternatively you can contact the BIFM Awards team on +44(0)1279 712 640 or awards@bifm.org.uk

group will also be discussing their work to date. i Book your free place at www.eventbrite.co.uk/e/bifmseptember-corporate-membersevent-tickets-18261051296

STREAMED EVENT

FM Procurement

and how they can support FMs with the delivery of FM contracts, alongside a keynote speaker talking through a case study of where the TSC or TSSC has been introduced, followed by a panel question-and-answer session. i To attend in person, or to stream the event, go to www.eventbrite.co. uk/e/fm-procurement-why-is-itgood-practice-to-use-nec-for-fmcontracts-tickets-17860524309

CORPORATE MEMBER EVENT

Discover and discuss BIM The September BIFM Corporate Member Event will explore issues surrounding Building Information Modelling (BIM), Soft Landings and the FM industry and is open to all members. The event takes place on 30 September at the Cabinet Office in Whitehall, London. Bouygues and EC Harris will present an overview of BIM and their project experiences to date, and BIFM will discuss the latest BIM Academy case studies. BIFM’s BIM and Soft Landings steering

On 6 October from 18.00-20.30 the BIFM Procurement SIG is hosting an event on ‘why is it good practice to use the NEC for FM contracts?’, which will be streamed live from the event taking place at the Institution of Civil Engineers (ICE) in London. The NEC Contract Suite assists FMs with the procurement of goods, works and services through the NEC3 Terms Service Contract (TSC) and Term Service Short Contract (TSSC). The event will introduce NEC

EMEX

Energy Management Exhibition BIFM is again supporting EMEX (Energy Management Exhibition) at ExCeL, London, 11-13 November. EMEX connects all energy users with leading experts, policymakers, suppliers

KEEP IN TOUCH » Network with the BIFM @ www.networkwithbifm.org.uk » Twitter @BIFM_UK » LinkedIn » Facebook » YouTube » Flickr www.fm-world.co.uk

17/09/2015 14:31


Please send your news items to communications@bifm.org.uk or call +44 (0)1279 712 620

and technical solutions. This marketplace includes a free-toattend conference with seminars that will help you control energy costs, gain industry insights, source innovations, share knowledge and stay up to date with the latest and forthcoming legislative changes and how these are affecting businesses in the UK. i You can register for a free ticket at www.emexlondon.com, which includes access to more than 80 education sessions

WOMEN IN FM

Event review It wouldn’t be the WIFM treasure hunt unless there was rain, and there certainly was a lot of it on Monday 24 August, the date of this year’s annual event. The hunt took teams along the south of the river via the Shard and Globe Theatre, across the Millennium Bridge to St Paul’s Cathedral, down to the Monument, and past the Tower of London. It had a strong built environment theme, having teams pass bridges and places made of steel, concrete and wood, both historic and modern, while collecting treasures made of the elements. New for this year’s hunt, teams had to tweet a photo of themselves from four locations, with some brilliantly soggy results. Those brave enough to complete the trek were rewarded with a box of chocolates, and the winning team, named ’Wet wipes’ (weather inspired, as were most of the team names), took home a bottle of Champagne each. WIFM would like to thank everyone who participated, with special appreciation going to the ladies who came down from the North. Thanks also to the event sponsors Macro, the event hosts Norton Rose Fulbright, and www.i-fm.net for providing www.fm-world.co.uk

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GUEST COMMENT

Tanya Horscroft (née Brick) is facilities manager for Capita Property & Infrastructure, and Deputy Chair of BIFM’s Women in FM SIG

THE OPPORTUNITIES OF VOLUNTEERING

ews reports continue to indicate that the UK is experiencing a skills shortage, with a recent PwC survey stating that almost two-thirds of UK business leaders believe that a lack of employees with key skills is hampering their firms’ growth prospects. Most individuals and organisations assume that additional training, simplifying jobs, or recruiting in the skills will overcome the issue. Sure, there are some skills that can only be acquired (and validated) through structured training and learning. But there are many other skills that can be learned ‘on the job’, and volunteering offers the perfect opportunity for individuals to develop a new skill while making a meaningful contribution. I’ve had the privilege of being awarded both the BIFM ‘Special Interest Group Volunteer of the Year’, and the overall ‘Volunteer of the Year’ this year. I put a lot of time and effort in to my roles throughout the year, but I do it because of the people I get to spend time with (and learn from), the skills I get to acquire along the way (networking, communication, event planning), and the experiences I get to be a part of (events, discussion groups). People that I’ve worked with on Special Interest Groups (SIGs) have now become my personal mentors/coaches, an added bonus of volunteering. With 13 SIGs and 10 regions helping to keep BIFM running smoothly, there are plenty of opportunities to get involved. I’d highly recommend this to people who are looking to push their boundaries, or to extend their network. Even better, if you have a specialist discipline or a unique job role, come along and share your knowledge and experience with members. It may not expand their skill enough to become proficient in your discipline, but it would certainly help to raise awareness, or help inspire someone to become a specialist themselves. Volunteering outside of the industry broadens horizons and skill sets even further. I have previously volunteered for a local charity as a ‘befriender’, going to visit a housebound 91-year-old once a week just for a chat. It was a pleasure to hear about her life and to see what a difference that visit made to her, all for just one hour of my week. While this didn’t help me gain any business skills, it definitely helped with developing my people skills, and how to cope in emotionally charged situations. I also joined the board of my local volunteer centre to gain insight into director-level business management, certainly something that easily translated back into my day-to-day, but not something I would usually have exposure to in my job role. I’d like to end this article with one of my favourite quotes, hoping that it gives individuals and organisations food for thought… “Volunteers are not paid – not because they are worthless, but because they are priceless.”

N

“VOLUNTEERING OUTSIDE OF THE INDUSTRY BROADENS HORIZONS AND SKILL SETS EVEN FURTHER”

i To learn more about volunteering at BIFM contact the membership team on membership@bifm.org.uk or call +44(0)1279 712 650

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BIFM NEWS

BIFM.ORG.UK

the champagne and chocolate ’treasure’. The next WIFM event is scheduled for Wednesday 30 September, entitled ’Are we feeding our minds as well as our bodies’, to be held at the Good Housekeeping Institute. Remember to follow WIFM on Twitter for the latest news and updates: @BIFM_WIFM i See all BIFM events at www.bifm.org.uk/events. You can see details of all BIFM groups at www.bifm.org.uk/groups

QUALIFICATIONS

Online employer learning packages FM employers can now purchase a package of licences for the BIFM online learning portal to enable their employees to undertake BIFM Levels 2 and 3 qualifications. This platform, which was launched earlier this year, offers a cost-effective solution for developing a skilled and capable workforce. It enables staff to study for FM qualifications at their own pace, in their own time and can be accessed from anywhere on any device where there is an internet connection. The e-learning platform can be branded to match the employing organisation’s website and corporate identity. It provides a range of learning support materials to learners; including video presentations, regular webinar tutorials and contact with BIFM assessors. This offer is available for a minimum package of 10 activation codes for each employer. i For more information email: qualifications@bifm.org.uk, or telephone: +44 (0) 1279 712651

40 | 24 SEPTEMBER 2015 | FM WORLD

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MEMBERSHIP

New organisation members BIFM would like to welcome: ● ABP Associates Ltd ● B:ssec ● B38 Facilities Management Ltd ● Carbonlights Solutions Ltd ● l Classeq Ltd ● Cleankill Environmental Services ● Cobia UK Limited ● Compass Group UK & Ireland ● Cox Design & Planning Ltd ● Crystal Services ● Cylon Controls (UK) Ltd ● Dale Building Maintenance Ltd ● EDM Workspace ● Fame Services UK Ltd ● FISco (UK) Limted ● Homerton University Hospital ● Jackson Lift Services Ltd ● Karcher (U.K.) Ltd ● Kershaw Group Ltd ● Life Environmental Services Ltd ● London South Bank University ● Maintenance Management Ltd ● McLaughlin & Harvey Ltd ● MWUK t/a Alexandra ● OfficeTeam Ltd ● Parcour Consulting ● Pinnacle Group ● Randstad CPE Ltd ● Realm Ltd ● Rexel UK Ltd ● Ricoh UK ● Seloc Facilities Management Ltd ● St Georges Facilities

Management Ltd ● System Hygienics Ltd ● Terasaki Electric (Europe) Ltd ● The Mount Charles Group ● Unite Students 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

BIFM TRAINING TERRORISM, CRIME, AND DIRECT ACTION GROUPS – ‘STAYING ALERT – STAYING SAFE’

uring 2015, we have witnessed, yet again, deadly and callous terror attacks in Europe and elsewhere. Terrorists have targeted specific groups. This included British civilians who were relaxing on holiday in Tunisia, when 30 died. Police officers, journalists and the Jewish community have also been targeted. The perpetrators of these atrocities, as in the case of previous attacks, were Islamic extremists influenced by Al Qaeda and the so-called ‘Islamic State’. These threats pose a significant challenge for UK facilities managers planning and implementing security programmes. Many public and private companies and organisations, irrespective of size, are at risk. Frequently, the ownership and global areas of operation of such companies and organisations will define their status as a target. Thus American-owned businesses, or those operating in global regions of conflict are particularly vulnerable. The challenge for FMs is increased when there is no dedicated and experienced security manager with whom they can share responsibilities. Threats also emanate from organised crime and opportunist criminals as well as extremist groups. In previous decades sectors such as the pharmaceutical industry, fur trade, and defence industries have been targeted. Twenty-first century single-issue and protest groups target a broader range – with banking, finance, transport and retail sectors being prime examples. Paramount to effective security management and planning is defining effective security policies, strategies, ownership, and procedures. FMs who have acquired the skills to carry out security surveys on their own company premises will have the benefit of prioritising their physical, electronic and human security resources, as well as gaining a deeper understanding of how to source appropriate suppliers. Effective security measures are not necessarily dependent upon the size of the available budget. The raising of security awareness, robust access control, staff training and penetration testing can all add to security effectiveness without huge spending. Professional training courses can offer tangible opportunities to share best practice between FMs. Mike Bluestone MA CSyP FSyI, a chartered security professional and fellow of The Security Institute, of which he is a former chairman and vice-president. Mike, the director of Corps Consult, has for the past 15 years delivered the BIFM Security Management Course. The next Security Management Course is on 7th-8th October 2015.

D

i Call us on 020 7404 4440, email at info@bifm-training. co.uk, or visit www.bifm-training.com

www.fm-world.co.uk

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FM DIARY INDUSTRY EVENTS 30 September | Corporate members event: BIM and Soft Landings Venue: Admiralty House, 28 Whitehall, London, SW1A 2AS. Contact: For details, email corporate@bifm.org.uk or call 01279 712 675. 7-9 October | 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.worldworkplace.ifma.org 12 October | BIFM Awards The BIFM’s annual awards ceremony, bringing together the leaders in the sector with the winners to celebrate excellence in FM and giving national recognition to the leaders in the profession. A few sponsorship opportunities, tickets and tables are still available. Venue: Grosvenor House, London Contact: Visit www.bifmawards.org or email awards@bifm.org.uk Follow @BIFMAwards on Twitter. 15 October | Workplace Trends: Designing for inclusion Creating a welcoming, productive workplace for everyone, that goes beyond legislative compliance. Speakers include Charlotte Sweeney, Department of Business, Innovation and Skills and Richard Baldwin, Derwent London. From 9.30am. Venue: 155 Bishopsgate, London EC2M 3YD Contact: For more information, visit www.workplacetrends.co.uk 20 October | The FM Inspired Conference More than 200 industry-leading delegates will be able to learn new ideas, share knowledge and meet solutions providers. Attendees can select workshops they wish to participate in and the areas of expertise they want to source. Venue: Jumeirah Carlton Tower, London Contact: For details email info@ inspiredconferences.com or call 020 8012 8180 9-14 November | Workplace Week A week-long convention, organised by Advanced Workplace www.fm-world.co.uk 45 | 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

Associates. The week includes tours of interesting workplaces, a convention on 12 November, and fringe events in aid of BBC Children in Need. Contact: For more information, visit www.workplaceweek.com 11 November | Cold and dark by 2050? From 6pm. Presentations and a Question Time debate: ‘How sustainable is our energy consumption?’ Topics will include demand reduction, supply options and the interrelationship between the two. Speakers include Peter Guthrie, director of the Centre for Sustainable Development; John Loughhead, chief scientific advisor, DECC, and Professor Goran Strbac, Imperial College London. Venue: Weston Auditorium, De Havilland Campus, University of Hertfordshire, Hatfield AL10 9EU Contact: Advance booking required. For more information, and for tickets, visitwww.eeesta. org.uk/seminars IRELAND REGION 27 October | Northern Ireland branch: Brektec event – contractor management Rob Greenfield, IES Compliance to discuss management of contractors and best practice for facilities managers. From 8am. Venue: Cultra Manor, Ulster Folk & Transport Museum Contact: Visit www.bifmireland. org.uk/brektec for more information.

22 October | AGM More information to follow. Venue: Hallmark Cards, Bingley Road, Bradford BD9 6SD Contact: Email Sue Gott at sgott2@ hallmark.com to register interest. 19 November | Outsourcing vs in-house More information to follow. Venue: Ministry of Justice, Manchester Contact: Email mark.a.whittaker@ integral.co.uk to register interest. SCOTLAND REGION 29 October | All about FM! Annual conference and exhibition. From 8.45am. Keynote address from Debra Ward, MD, Condeco Software. Sessions include the challenges of FM in the public sector, combining the roles of safety and operations, Get Britain Standing and more. £55+VAT for BIFM members, £65+VAT for nonmembers. Venue: BT Murrayfield Stadium, Edinburgh Contact: Email Michael Kenny at mkenny@fesfm.co.uk for details. SOUTH REGION 30 September | Sustainability Greg Davies, Assurity Consulting to discuss the potential opportunities and threats of sustainability in FM. Venue: EDF Energy, 329 Portland Road, Hove, East Sussex BN3 5SU Contact: Email Ian Fielder at ian.r.fielder@gmail.com for more information or visit www.tinyurl. com/oyuaczz to book tickets.

NORTH REGION 13 October | Big Splash at Manvers Lake BIFM Sheffield and South Yorkshire group’s presentation and tour at the Manvers Waterfront Boat Club, which has had a large clubhouse constructed this summer as part of the lakes site regeneration. The tour will cover how the site has changed from one of the most contaminated sites in Europe to its present state. Chris Hawksworth, national FM for British Canoeing, is to lead the presentation.. Venue: The Boathouse, Station Road, Wath-Upon-Dearne, Rotherham S63 7DG Contact: Email Bob Rabgaliati at bailiff@trinity-estates.org.uk or visit www.bifmmanvers.eventbrite. co.uk to book tickets.

28 October | Help for Heroes A site visit to the Help for Heroes recovery centre in Tidworth. Venue: Tedworth House Tidworth, Hampshire SP9 7AJ Contact: Email Ian Fielder at ian.r.fielder@gmail.com for details. 25 November | Managing FM in science and business parks The South Region looks at managing FM in a business park. Venue: Fasset Business Park, Havant, Hampshire Contact: Email Ian Fielder at ian.r.fielder@gmail.com for details. SOUTH WEST REGION 20 November | Training day – procurement and contract management

More information to follow. Venue: Hilton Bristol Hotel, Woodlands Lane, Bradley Stoke, Bristol BS32 4JF Contact: Email Nick Fox at nicholasjamesfox@outlook.com for more information or visit www. tinyurl.com/nzho3za to book tickets. SPECIAL INTEREST GROUPS 30 September | Women in FM – Are we feeding our mind as well as our bodies? More information to follow. Venue: Good Housekeeping Institute 21-25 St Anne’s Court London W1F 0BJ Contact: Vicky O’Farrell at wifm@ bifm.org.uk for more information. 6 October | Procurement – Why is it good practice to use NEC for FM contracts? Speakers from BIFM and NEC to highlight case studies of NEC3 Terms Service Contract (TSC), a panel discussion and more. The event is to be live streamed to enable remote participation. Venue: Institute of Civil Engineers One Great George Street Westminster London SW1P 3AA Contact: Email Wendy Sutherland at wendy@ramsaytodd.co.uk for more details, or visit www.tinyurl. com/q4fjfzg to book tickets. 14 October | Sustainability – AGM and site visit The group’s AGM, followed by a tour and presentation of UBM’s new London office, which has received Platinum LEED rating. Venue: UBM HQ, 250 Blackfriars Road, London, SE1 8BF Contact: Lucy Black at lucy@ bigpondconsulting.com 22 October | International – The differing shape of FM in international markets More information to follow. Venue: Workplace International in central London. Contact: ClaireSellick@btinternet. com for more information. 17 November | People management – DNA of a facilities manager An event providing the chance to meet the new Facilities Manager of the Year and previous winners. Venue: Sodexo, 1 Southampton Row, London WC1B 5HA Contact: Email alimoran@hrworks. org.uk for more information. FM WORLD | 24 SEPTEMBER 2015 | 41 www.fm-world.co.uk

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FM MONITOR

PRODUCTS PUT TO USE

Call Greg Lee on 020 7880 7633 or email greg.lee@redactive.co.uk For full media information take a look at www.fm-world.co.uk/mediapack

CASE

IN POINT FEATURE CASE STUDY

Check your netting before winter sets in PROBLEM The facilities manager in charge of several central London buildings with bird control netting forgot to ask his pest control company to check the netting for breaks and other damage before winter weather set in.

Unfortunately the netting was damaged which led to birds getting tangled up and damaging the netting further. The company received complaints from staff and members of the public and there were problems retrieving the birds safely. There was also evidence that a number of birds had found their way through the holes in the netting and had accessed roof space through a damaged tile.

FMs should choose a pest control providers that offers an installation service with an inspection contract. This means that it is the pest control company’s responsibility to regularly check the netting hasn’t been damaged and make any necessary repairs. They should also have adequate insurance, health and safety procedures in place and be members of the British Pest Control Association.

SOLUTION Cleankill was approached and developed and integrated solution using netting, spikes and bird free gel. Technicians also found the entry point in the roof space and arranged repair as well as clearing the mess inside the roof left by the pigeons.

OUTCOME The FM can now rest assured that the netting will be checked regularly as part of a prevention contract. Call 0800 056 5477 for more information E: enquiries@cleankill.co.uk Visit www.cleankill.co.uk

Long service college contract

BREEAM ‘Excellent’ research Illuminated cycle stand fixes centre chooses Remeha cyclist locking issue

PROBLEM

PROBLEM

PROBLEM

As Cambridge Regional College has expanded, its cleaning horrors have increased too, from the 20,000 students who drop their rubbish and half finished drink cans everywhere. They have transformed the paved areas into a sea of chewing gum, which as fast as it is removed, reappears.

The MRC-University of Glasgow Centre for Virus Research briefed installment of reliable, low-carbon heating technology in compliance with Part L of Building Regulations at its new £10.4 million international research centre, the Sir Michael Stoker Building.

Struggling to secure or undo your bicycle lock in the dark is a problem that every cyclist has faced in their lifetime. As the nights draw in and winter approaches, this problem will become more prevalent to those who cycle on a regular basis.

SOLUTION

SOLUTION

M&E Consultant Arup specified a Remeha Gilles HPKI-K 240kW Pellet Biomass boiler in conjunction with a Remeha Gas 610 Eco Pro high-efficiency condensing boiler to complement architect Sheppard Robson’s design.

Lighting is the natural solution to this problem, however, overhead lighting will inevitably cause the cyclists body to create a shadow where the light is needed most. The new VELOPA Illuminated Sheffield Cycle Stand rectifies this.

OUTCOME

OUTCOME

The Remeha biomass system has assisted the building in achieving a BREEAM ‘Excellent’ rating. Scott Winton, M&E contractor at Crown House Technologies, was impressed with the “quality of the boilers and Remeha’s technical support”.

The VELOPA Illuminated Sheffield Cycle Stand, manufactured in the UK and featuring an energy efficient 1.2w LED, is now shining light directly where it is needed, with each stand providing secure cycle parking for up to two bicycles.

SOLUTION LCC Support Services was employed to look after the exterior and all the student indoor areas. These include the much-abused restaurant and the construction class where cement is walked out into the College.

OUTCOME LCC has handled the cleaning for 15 years, and continue to keep the college in top condition. It has even won a Golden Service award for its amazing achievements on site. Visit www.lccss.co.uk for more information or email info@lccss.co.uk

42 | 24 SEPTEMBER 2015 | FM WORLD

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Visit www.remeha.co.uk T: 0118 978 3434 – E: boilers@remeha.co.uk

Visit www.autopa.co.rk/velopa/ illuminated-cycle-stand for a quote

www.fm-world.co.uk

17/09/2015 16:13


FM PEOPLE

MOVERS & SHAKERS

BEHIND

DATA

THE JOB

KEN O’MAHONY

TOPIC TRENDS

NAME: Ken O’Mahony JOB TITLE: Senior director of EMEA in global real estate and facilities ORGANISATION: EMC2

Key responsibilities

I’m responsible for the provision of services for FM, RE, environment, H&S, compliance and security across 126 offices in 50 different countries. What attracted you to the job?

The EMEA region is hugely diverse… The role itself has a broad scope of responsibility. My top perk at work is…

which would have been unheard of a few years ago. And in our London office on 1 June it was 35.6°C, the hottest it’s been in the building’s history. When it was commissioned 20 years ago, the building had a specification for heat extremities of 27-29°C. What’s been your career high point to date?

Being part of the team that delivered the NGO concept and the integrated facilities service provision. EMC2 won the Euro FM Partners Across Borders Award because the judges thought EMC2 was unique in its ability to bring together competing FM companies to work for one team under one service banner. Seeking standardisation across 50 EMEA locations was a new idea in EMC2 and in FM. If you could give away one of your responsibilities to an unsuspecting colleague, what would it be?

will never happen, I’d use my finance skills to be a successful businessman. I like having influence and being involved in developing the EMC2 business. In many respects I’m doing my ideal job”

I started in finance, training with EY. I then chose to join EMC2, excited by the company’s growth and direction. I took on a controller role and transitioned to managing the operations side. My financial acumen comes in handy to back up decisions that can influence outcomes, standards and processes. What’s been your career high point to date?

The pace of the information and communications technology industry is so fast that influencing longterm decision-making in the industry has been a challenge. However, we have successfully delivered the next-generation office (NGO) concept and an integrated facilities service provision. Standardising and coordinating these in the EMEA region, across 50 locations, and developing partnerships, has been the biggest challenge and the biggest reward. Any interesting tales to tell?

What’s happening from a climatic change perspective has been unexpected. On one project in Cairo we had to put a heating system in the office, www.fm-world.co.uk

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Ensuring compliance with legislation

8

10

AVERAGE (SINCE JAN 2014)

KEN O’MAHONY

Introducing/ working with new forms of IT

7 10

I’d struggle. We don’t have silos. The unity of the components working perfectly together is what makes us successful.

One day I might be on a call with the Middle East, the next Africa, America, Germany, France or Israel… I IF I WASN’T IN FM, I’D also get to travel to exotic places PROBABLY BE... that I wouldn’t necessarily go to “I’d be an F1 driver. Since that otherwise. How did you get into facilities management and what attracted you to the industry?

OUR INTERVIEWEE RATES THE IMPORTANCE OF CURRENT FM TOPICS OUT OF 10. THE ‘AVERAGE’ SCORE (IN GREEN) IS TAKEN FROM OTHER RECENT INTERVIEWEES.

If you could change one thing about the industry, what would it be?

Facilities can sit quite far down the decision-making chain, but this is changing. Companies are crying out for FM solutions, and if the industry can unify a bit better, and listen to customers, it can be a supplier of choice for big, fully integrated solutions. Which “FM myth” would you most like to put an end to?

Working on energyefficiency initiatives

8 10

Adapting to flexible working

6 9

We are here just changing light bulbs… We are challenging the status quo and showing industry where it needs to be. How do you think facilities management has changed in the last five years?

Facilities companies … are delivering services to massive global companies through partnerships, and have a positive influence on massive segments of society. FM is being seen as vital in its own right.

Maintaining service levels while cutting costs

8

7

And how will it change in the next five years?

Global players will seek even more support on a global level. The FM discipline and its components will become increasingly unified. 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 10

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Appointments

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Call the sales team on 020 7880 7665 or email jobs@fm-world.co.uk For full media information take a look at www.fm-world.co.uk/mediapack

jobs.fm-world.co.uk

17/09/2015 14:13


Taking care of business Ready to go to the next level? Then talk to Compass Group UK & Ireland. With a turnover of over £1.8 billion, we’re already one of the biggest names in contract catering and support services. But we’re not stopping there. Thanks to major new contract wins, our business is very much on the up. For an ambitious professional, it’s a unique opportunity. Not only will you have the chance to work within one of our growing Business & Industry sub sectors; you’ll have the opportunity to shape its very future.

Regional Managers compass/TP/18/11660/JB Competitive salaries Passionate and determined Regional Managers are required to oversee a team of managers to deliver exceptional service. These are demanding roles but at the same time highly rewarding. This role is a great opportunity for you if you enjoy client relationship building and have the desire to drive the business forward with the support of your team. If you have the leadership skills required and the account management experience within an operational background then this is the ideal position for you.

General Managers compass/TP/18/11661/JB Competitive salaries We’ve some amazing opportunities for General Managers to join us within the busiest and fastest growing sector in Compass Group. You’ll be instrumental in managing the day to day operations on site as well as building up a successful and robust client relationship. Outstanding customer service skills coupled with strong people management are required along with proven commercial experience. In addition, we’ve great opportunities to progress to regional management in the future so if you have the desire to succeed then this is the role for you.

Catering Managers compass/TP/18/11659/JB Competitive salaries If you have a passion for food and consider yourself as a ‘foodie’ then we need you. We’ve opportunities for Catering Managers to oversee the day to day running of our fantastic units to offer catering for a variety of different clientele. You’ll be front of house focused with the drive to manage a successful busy unit, driving sales and love feeling a sense of achievement. Each day is different and these are key roles for Compass as you’ll be the driving force behind our growth and a continuing success.

To be considered for one of our amazing opportunities from catering, a range of soft services to fully integrated facilities managers go to www.compassjobs.co.uk and apply using the job reference above.

JOBS

Business Development Cleaning & FM London, Essex, Hertfordshire, Bedfordshire. Basic £30k to £40k OTE £60k

Facilities Manager Cambridgeshire Up to £40k pa plus benefits

Head of Facilities (Soft Services) New Cross, London Grade 9, £51,510-£57,607

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REQUESTS

Unless otherwise stated, all surveys mentioned on this page will keep your contact details confidential at all times and not use them for commercial purposes

SURVEYS / POLLS / EVENTS / RESEARCH

CALLS TO

ACTION HERE’S WHERE WE BRING TOGETHER ALL THE LATEST REQUESTS FOR YOUR INPUT – AND THE REASONS WHY IT’S WORTH YOUR WHILE TO GET INVOLVED ( = DEADLINE FOR ENTRIES)

FM WORLD’S NEW SNAPSHOT GUIDE TO FM SOFTWARE AND SYSTEMS FM SOFTWARE & SYSTEMS

What The BIFM Awards 2015 Commitment The finalists have been announced and there may still be time to book your table for the awards evening at the Grosvenor House Hotel on Monday 12 October. Why The BIFM Awards evening, now in its 15th year, is expected to be another sell-out. At the time of going to press, only a handful of premium tables remained available. Notes Individual tickets cost £250+VAT, £2,400+VAT for a table of 10, £2,760+VAT for a table of 12, and £3,400+VAT for a premium table of 10. www.bifmawards.org The awards evening is held on Monday 12 October at the Grosvenor House Hotel

2015 SECTOR GUIDE

What FM World is launching a snapshot guide to FM software, capturing the current state of the market, developing trends and profiling case studies of good FM systems in practice. Commitment FM World would like anyone in the FM software sector to share their experiences of software products and services whether it’s CAFM software, meeting room booking systems, or space planning and management software. Why The guide will be a distillation of current debate and best practice in the use of software systems, talking to and naming key influential people and providing highlights from useful reports and resources. It aims to serve as a desktop reference, looking back at the past 12 months and ahead to the next. Your comments on your experiences of software systems will be of huge value to this project.

Email editorial@fm-world.co.uk to register your interest Please get in touch by 30 September

BIFM SPECIAL INTEREST AND REGIONAL GROUPS

The BIFM Home Counties region in discussion at a recent event

What BIFM's regional groups and special interest groups (Sigs) are networking groups run and organised by volunteers. Commitment Joining a special interest group or region involves attending events, from interesting FM sites in your area, to presentations and debates on relevant issues. Group members can also get involved further by becoming part of a committee, which organises said events and administers each group. Why Not only are BIFM regions a great way to meet with other facilities managers to share ideas and knowledge, but the events put on by each group offer relevant education. Notes The BIFM International sig recently announced its new committee, with BIFM Awards chair of judges Steve Gladwin the group chair, and ActionAid's Will Bowen (page 24) elected as a committee member. Visit www.bifm.org.uk/bifm/groups for more information The groups are continuously open for members to join

IN THE NEXT ISSUE OUT 8 OCTOBER

CRIMINAL COURTS OF JUSTICE, DUBLIN /// HUMAN GENOME CAMPUS, SANGER INSTITUTE /// A LIFE IN FURNITURE /// FLEET MANAGEMENT: RTA CHANGES /// URBAN EXPLORERS: PREVENTING ACCESS /// WINTER MAINTENANCE /// PERIODIC INSPECTION AND TESTING /// ALL THE LATEST NEWS AND BUSINESS ANALYSIS 46 | 24 SEPTEMBER 2015 | FM WORLD

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Accelerate your FM prospects To speed up your FM prospects ACT FAST and join the BIFM today. If you want to get on in facilities management, get into the BIFM. As Britain’s leading association for our profession, we’re here to advance your cause. Use our extensive network of training and expert advice to progress your career.

Gain invaluable knowledge and contacts at our industry leading events and specialist networks. Increase your standing through our recognised professional qualifications and accreditations.

Profit from the latest professional and industry news – online and in print. Take your opportunity to shape your industry’s future by getting involved in everything from regional committees and local events to national strategy planning. And make it your first priority.

T: 0845 058 1358 E: membership@bifm.org.uk www.bifm.org.uk

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12 OCTOBER, LONDON

Join us to celebrate the best in FM Tickets and tables are available for the BIFM Awards ceremony taking place on 12 October at The Grosvenor House Hotel, London

SPONSORS

The BIFM Awards is a must-attend event for anyone in, or interested in, facilities management. Attracting over 1,350 professionals, the black tie event is a highlight of the FM calendar. Alongside acknowledging the best in the FM industry, the event also encompasses networking, celebration and fun.

THE 2014 CEREMONY SOLD OUT, SO EARLY BOOKING IS A MUST. www.bifmawards.org/the-ceremony

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11/09/2015 16:49


Think fresh

Think big

Think better Innovative thinking can help you find better ways to manage your MRO procurement strategy; ways that can uncover hidden costs and unlock big savings.

Ways that could save as much as 35% of your MRO budget. Savings that help your business to be more efficient and more successful, not only now, but into the future. The key is actionable data insights, created by examining your consumption behaviour in a different, better way. We’ve already worked with several leading FTSE organisations to unlock value through innovative thinking. Now we’re ready to work with you. We should be talking. E: lets-talk@rs-components.com W: uk.rs-online.com/working-together LinkedIn: https://www.linkedin.com/company/rs-mro-procurement

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