FM World 2010-09-30 by Redactive Media Group

THE MAGAZINE FOR FACILITIES MANAGEMENT PROFESSIONALS | 30 SEPTEMBER 2010

FMWorld www.fm-world.co.uk

FUTURE PROOF KPMG designs for staff, clients and times to come

TWM PREVIEW:

The industry gears up for its prime showcase CATERING SUPPLEMENT:

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VOL 7 ISSUE 18 30 SEPTEMBER 2010

CONTENTS

06 | Games under threat

26 | KPMG

40 | The FM World interview

NEWS

OPINION

FEATURES

6 Survey reveals tenants are dissatisfied with landlords 7 Reporting the passing of an industry figurehead 8 Hospital bug cost reaches £1bn 10 FM 100 poll: will more firms go the way of Connaught? 12 Business news: Government sticks to its guns on carbon use Connaught redundancies hit 1,400 14 Cathy Hayward reports from Sheffield on the FM Networks Conference 2010 16 Report from AWA’s Life and Work in 2020, Seminar 3

24 Diary of a facilities manager: David Walker’s regular look at the daily challenges he faces in his working life 25 Five minutes with FMX’s Tony Leppard 66 Felicity Messing

MONITOR 44 Legal: gas legislation 46 Technical: investigating an electrical fault 48 How to: maximise air con efficiencies 50 Careers advice: setting up job-hunting processes 52 Insight: market intelligence

26 30 34 36 40

18 | TWM preview

Cover feature: David Arminas visits KPMG’s new premises at Canary Wharf M&AS: High-profile buy-outs are thrusting FMs back in the spotlight Lost & Found Ever wondered what happened to the items left in the lost property office? Occupancy Why agile working is the solution to sustainability FM World Interview: Bev Nutt and Anne Lennox Martin discuss the early days of facilities management

REGULARS 54 BIFM news Diary of events 61 People & jobs 63 Appointments

For exclusive online content including blogs, videos and daily news updates

visit fm-world.co.uk FM World Jobs – the best place to find FM career opportunities online COVER IMAGE: PETE SEARLE

www.fm-world.co.uk

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visit fm-world.co.uk/jobs FM WORLD | 30 SEPTEMBER 2010 | 03

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Redactive Publishing Ltd 17 Britton Street, London EC1M 5TP 020 7880 6200 www.fm-world.co.uk EDITORIAL Tel: 020 7880 6229 email: editorial@fm-world.co.uk editor: Cathy Hayward ⁄ news editors: Louisa Roberts and David Arminas ⁄ sub editor: James Richards ⁄ assistant editor: Natalie Li ⁄art director: Mark Parry ⁄ art editor: Daniel Swainsbury ⁄ picture editor: Sam Kesteven

CATHY HAYWARD EDITOR COMMENT

LEADER

ADVERTISING AND MARKETING recruitment sales: 020 7880 6245 display sales: 020 7880 8543 email: sales@fm-world.co.uk display sales executives: Adam Potter and John Nahar ⁄ recruitment sales executive: Stephen Fontana PRODUCTION production manager: Jane Easterman production executive: Aysha Miah PUBLISHING publishing director: Cathy Hayward Forward features lists and media pack available at www.fm-world.co.uk/about-us 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 non-members. Annual subscription rates are UK £110, 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 call Natalie Li on 020 7880 6229. EDITORIAL ADVISORY BOARD Simon Ball, business development manager, Interserve ⁄Jason Choy, director, Persus⁄ Ismena Clout, energy consultant, powerPerfector ⁄ Nick Cook, managing director, Haywards ⁄ Rob Greenﬁeld, director for health, safety, environmental and quality, Sodexo ⁄ Anne Lennox Martin, FM consultant ⁄ Peter McLennan, joint course director, MSc Facility Environment and Management, University College London ⁄ Lionel Prodgers, principal, Agents4FM ⁄ Chris Stoddart, general manager, Heron Tower ⁄ Jeremy Waud, managing director, Incentive FM ⁄ Jane Wiggins, freelance lecturer and FM author ⁄ Chris Wood, senior associate at Advanced Workplace Associates

Average net circulation 11,781 (Jul 08- Jun 09) FM World magazine is produced using paper derived from sustainable sources; the ink used is vegetable based; 85 per cent of other solvents used in the production process are recycled © FM World is published on behalf of the British Institute of Facilities Management (BIFM) by Redactive Publishing Ltd (RPL), 17 Britton St, London EC1M 5TP. This magazine aims to include a broad range of opinion about FM business and professional issues and articles do not necessarily reﬂect the views of the BIFM nor should such opinions be relied upon as statements of fact. All rights reserved. This publication may not be reproduced, transmitted or stored in any print or electronic format, including but not limited to any online service, any database or any part of the internet, or in any other format in whole or in part in any media whatsoever, without the prior written permission of the publisher. While all due care is taken in writing and producing this magazine, neither BIFM nor RPL accept any liability for the accuracy of the contents or any opinions expressed herein. Printed by Pensord ISSN 1743 8845

elcome to your all-new FM World. After more than three years with the same look and feel, and more than six years since we launched the original FM World logo, we felt it was time for a change – both in terms of design, content and size. The more modern, shorter, size of the magazine will allow us to showcase some of the buildings and projects that we profile at their very best. The changes are very much based on your feedback, both anecdotally and through our biennial readership surveys. You asked for more technical content, so we have introduced a regular technical article (page 46), more technical information in our case studies, including floorplans where appropriate, plus a regular Insight column (page 52) which is a onestop-shop for all sorts of information you might need to know, from landfill taxes and the national minimum wage, to trends in office rents and energy prices. The new Monitor section (pages 44 to 52), which includes regulars such as our how-to column, legal and court report, and careers advice, has been moved to the back of the magazine to become the must-read section for all those interested in the practical aspects of FM. FM World’s award-winning business coverage has been improved and a newly-revamped opinion section includes old favourites such as our columnist David Walker and the Best of the Blogs from fm-world.co.uk, but also includes a new ‘five minutes with’ interview with a senior facilities professional and a look at FM discussions on social networking sites from Twitter and Facebook to Linked-in. While you’re there do check out FM World’s own Facebook page at www.facebook.com/fmworldmagazine as well as our Twitter presence at fm_world or my own tweets at cathy_fm_world As ever, we have the best case studies (the atrium at KPMG is simply breathtaking on pages 26-9 and check out the video of the building at fm-world.co.uk), the best interviews (hear what Anne Lennox Martin and Bev Nutt talked about when they were reunited after five years on page 40 and on video at fm-world.co.uk) and a great mix of strategic (green occupancy, page 36) and practical articles (page 30) as well as some light-hearted fun – what happens to all the lost items in public buildings (page 34) and what does our erstwhile columnist Felicity Messing think of all this change – turn to page 66 to find out. I’ll be formally asking you what you think of our new look next spring, as part of our regular readership survey. But I’d also be interested to know your views now. Please do drop me a note at cathy@ fm-world.co.uk to tell me what you like – and what we need to improve on. Enjoy the issue – one of the biggest in our six year history.

“THE CHANGES ARE VERY MUCH BASED ON YOUR FEEDBACK.”

BIFM ENQUIRIES

cathy@fm-world.co.uk British Institute of Facilities Management Number One Building, The Causeway, Bishop’s Stortford, Hertfordshire CM23 2ER Tel: 0845 0581356 email: admin@bifm.org.uk web: www.bifm.org.uk

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Tenants disatisfied with landlord service Commercial property tenants are only moderately satisfed with the service they recieve from their landlords, according a new survey. The latest UK Occupier Satisfaction Survey from the Property Industry Alliance and Corenet Global shows that UK occupiers have only given their landlords an average score of 4.9 out of 10, a similar figure to previous years. One in five says that the service charge arrangements have got worse over the past year, and there are a number of areas in which occupiers would like to see increased transparency on costs. But despite cost pressures, half said that sustainability was more important to them than it was a year ago. Tenants rated satisfaction with sustainability and environmental issues at just 3.5 out of 10, suggesting lots of room for improvement. A look behind the average scores revealed that SMEs tend to take the matter of sustainability less seriously than larger companies. Although smaller firms rate the importance of environmental and sustainability fairly highly at 5.9, larger companies clearly see it as a priority at 7.7 “Perhaps this is because the latter group realise the greater potential for loss of business if they do not meet standards,” the report stated. The highest level of satisfaction was reserved for rent review terms and conditions agreed in the lease negotiation process. 06 | 30 SEPTEMBER 2010 | FM WORLD

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The majority - 81 per cent said that their relationship was the same as it was a year ago, but smaller businesses were the least

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LOUISA ROBERTS newsdesk @fm-world.co.uk

Tenants are satisfied with rent reviews

satisfied. Just one in ten said that their landlord contacted them once a month - a third said that they were contacted less than once a year. John Story, chairman of the Steering Group, said: “The results show that many appear to be benefiting from increased flexibility over lease events. This may be a reflection of current market conditions, as landlords become increasingly responsive to the difficult trading conditions facing their tenants. “Evidently sustainability is a key issue for occupiers,” Story added. “Despite a number of initiatives which landlords, occupiers and their advisers are all working on, it appears there still needs to be more clarity and a greater willingness to work in partnership.

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LEASES

Delhi games threatened by safety fears

Green roofs no longer “wacky and fringe” NATALIE LI natalie@fm-world.co.uk

Turning green roofs from “novelty to normality” was one the key messages at this month’s World Green Roof Congress. The second annual event held at the offices of Allen & Overy in London, welcomed expert speakers and delegates from across the world to present their ideas and experiences on all things related to green roofs. One of the keynote presentations saw Simon Mills, head of sustainable development at the Corporation of London, addressing delegates on how attitudes to green roofs have changed over the last 10 years in the City of London. “Green roofs are no longer

considered wacky and fringe but a practical solution to real issues. There is a call for pragmatism and education,” said Mills. The event saw international speakers offering inspirational presentations on how green roofs and green walls can contribute to sustainability, climate change adaptation, green infrastructure and ecosystem services. Alongside the programme a custom built freight container was on public display in Bishops Square to mark the event. The

structure, complete with a green roof, aimed to promote biodiversity, with habitat walls to encourage a range of rare invertebrates to colonise the container. As concerns about climate change grow, a push for green roofs and walls in the UK is the way forward, speakers said. But there is still a way to go with standards and policy all needed to be put into place, said Alun Tarr, an independent consultant at Wildface.

“In 25 or 30 years I imagine more green roofs will not only be used for sustainable reasons but as a place for recreation and urban farming” www.fm-world.co.uk

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NEWS

BRIEFS from games officials of athlete accommodation “unfit for human habitation.” This included broken or installed showers, air conditioning and electrical sockets. According to The Guardian, Indian government officials are investigating allegations that safety certificates for some buildings were falsified to cover up the use of cheaper substandard materials. Millions of holes were even dug, to be filled with pot plants, in an effort to make the area A footbridge and arena roof around the Commonwealth collapsed on consecutive days at village more attractive to the Commonwealth Games village visitors. in New Delhi, with just days to go The holes remained unfilled, before the opening ceremony. so collected rainwater, which The incidents, which injured attracted millions of mosquitos more than 20 workers, five and a subsequent outbreak of critically, joined several reports dengue fever.

Riba: put an end to PFI for schools The Royal Institute of British Architects wants the government to dump the “flawed and outdated private finance initiative” method for procuring school buildings. Riba said the PFI process, which sees two full designs worked up by separate teams of contractors, architects and consultants, as being a costly and time consuming unnecessary duplication. Riba also said it is “confusing for the school client and can result in poor design decisions”. It wastes “upwards of 8 to 10 months of procurement time and £2.5m on every school project”, according to the Major Contractors Group. The comments by Riba were part of their response to the Department for Education’s James Review of Capital Investment in Schools, which will guide spending decisions over the next spending review period of 2011 to 2014.

OBITUARY

Leading FM figure John Davis dies CATHY HAYWARD cathy@fm-world.co.uk

John Davis, the head of Facilities Recruitment Limited, died suddenly this month after suffering a stroke in August. Davis, who set up FRL in September 1999 to specialise in the provision of executive search services, permanent facilities managers, building services maintenance and soft services staff, also played a role in the development of the BIFM. He sat on the council from 2004 to 2006. A popular industry figure, he was a regular on the conference platform giving speeches about trends within the FM sector and careers advice for facilities managers. A keen charity fundraiser, Davis has raised money for Macmillan Cancer Relief, Marie www.fm-world.co.uk

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Curie Cancer care and Children in Need by organising football tournaments as well as sponsoring cross Atlantic rowing events. “John made a strong contribution to our profession and was a legend in the FM recruitment industry,” said FM consultant and trainer Anne

Lennox Martin. “ His knowledge of the market sector, who’s who and where they were was unrivalled.” “We are saddened to hear of John’s untimely death,” said Ian Fielder, CEO of the BIFM, who was recruited to the post by Davis. “He was always a lively participant in discussion and debate; he will be sorely missed. Davis began his career in recruitment in 1979, working with RAG plc for 18 years before becoming managing director. He became chairman of the Institute of Employment Consultants Education and Training Committee in 1994 and president of the institute in 1996. John resigned from RAG in 1999 to form FRL. Davis was a keen oarsmen and leaves behind a wife, Sandra, and two sons.

Climate data needed The CBI has urged the government to make its environmental data more accessible to aid businesses in preparing for the risks of climate change. Dr Neil Bentley, CBI director of Business Environment, said: “Many businesses aren’t ready for the changes that could be ahead. The flooding in 2007 had insurance claims totalling over £3bn and, as our climate changes, it is estimated that annual flood damages alone could cost as much as £22bn by 2020.”

Lift bacteria warning Lift buttons carry three times as much bacteria as a toilet seat, new research has shown. Bacteria such as E-coli, Staph-aureus and MRSA was found on lift buttons after research was carried out in hotels, restaurants, banks, offices and airports. Dr Nicholas Moon Ph.D, Director of Technical and Regulatory Affairs at Microban Europe, which carried out the research, said: “It is easy to see that in some environments, especially airports and hotels where there are thousands of people regularly touching lift buttons, that they could be a major point for cross contamination and the spread of disease.”

Showers for cyclists London mayoral candidate Oona King wants private gyms to provide showers for “hot and sticky” cyclists if their own company does not have facilities. The workplace will be a much more pleasant place for all staff, she said. The former Labour MP, and cyclist, set a target for 20 per cent of all journeys in the capital being made by bike in 2025. “The incentive for commuters will increase if they know they can get a shower after a long and sticky ride to work,” she said.

GSH trainees celebrate A group of GSH apprentices have graduated as part of a new scheme that aims to equip all engineers at the company with a comprehensive FM and building services knowledge. The 17 apprentices have completed course in either electro technical or service and maintenance services. The courses combine classroom and workplace training. The graduates are among 60 trainee engineers participating in the scheme, and will now begin engineering roles in the company. FM WORLD | 30 SEPTEMBER 2010 | 07

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PROJECT OF THE

FORTNIGHT Hospital infection costs reach £1 billion Almost 70 per cent of patients are worried about themselves or a relative going into a hospital and catching an infection, a new report shows. If they had the choice, 50 per cent said this fear of healthcare acquired infections, including MRSA, C-difficile and NDM-1, would prevent them from going into hospital. Almost the same figure said that they, or somebody they had known, had contracted a superbug when in hospital. Infection control experts estimate that the total cost for treating hospitalacquired infections is £1bn - as sufferers incur 2.9 times greater hospital costs and 3.2 greater post-discharge costs. Support services company Resource, which commissioned the new research, say that it has developed a strategy for controlling infection outbreaks. “This includes dividing the hospital into zones, allocating cleaning operatives into specific areas and creating dedicated discharge teams to provide rapid response deep cleaning and decontamination for patient bays,” said Brian Lee, healthcare-acquired infection specialist with Resource.

Group calls for more jobs, less waste A new report launched by Friends of the Earth revealed that at least 51,400 new jobs could spring up if the UK recycled 70 per cent of the waste collected by local councils. The green campaigning charity’s report, More jobs, less waste states that at least a further 18,800 jobs could be created if the UK recycled commercial and industrial waste at the same rate. It also found that recycling creates around ten times more jobs per tonne than sending rubbish to landfill or incineration. Friends of the Earth’s waste campaigner Julian Kirby said: “Recycling is a win-win for the environment and the economy – saving precious resources and creating many more jobs than expensive and outdated incinerators. “The government must be ambitious in setting recycling rates – better product design, as well as action to stop supermarkets and producers selling products that can’t be recycled, means that we could easily achieve upwards of 75 per cent recycling rates by 2025.”

Beware of one man data destruction outfits

Oldest green roof gets 21st century facelift The Museum of London’s garden roof is one of the oldest in the capital, created in 1976 when the museum opened. A £20.5m refurbishment of the site, just north of St Paul’s Cathedral, has changed the design of the garden so that it fits in with displays taking place in the surrounding galleries. But before that could happen, 360 tonnes of soil had to be dug out by hand and removed by wheelbarrow through the museum. Cranes couldn’t be used to remove construction materials because of the museum’s location among offices and residential buildings. The original asphalt was removed and a new waterproof surface installed. Many of the garden features were kept and used in other locations throughout the museum. Large granite and terracotta planters were re-potted and placed near a fully functional beehive, which was installed as part of this year’s City of London festival. As part of its ongoing plans to be sustainable, the museum is looking at plans to refurbish the remaining roofs of the building, so there will be a large proportion of green roofs, supporting biodiversity.

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Security experts are warning businesses to beware of unregulated one-man bands entering the data destruction sector that may compromise security. Businesses are reducing costs, meaning many could be considering cheaper off-site companies to destroy public confidential information, said Jim Watson, managing director of confidential data destruction company Shred Easy. “These non-regulated one-man bands may offer a cheaper service at the outset,” he said. “But do you know how secure your data is? Ask your data destruction company to provide you with an on-site service so you can see your waste being destroyed. Also, demand a certificate of destruction that confirms the time and date of the destruction.” Watson said there should be “greater recognition” of accreditation in the security sector. Last month the UK operation of Zurich Insurance was fined nearly £2.3m by the Financial Services Authority for losing personal details of 46,000 customers, a report by the BBC said.

Cable announces £50m new college plans Colleges across England are being rebuilt and refurbished as part of £50m scheme announced by business secretary Vince Cable in May. A list of 149 colleges have been invited to apply for a £225,000 renewal grant, if they can match the figure by raising it through private investment. Some will qualify for extra help, bringing their total to £1m. “In allocating this £50 million funding, we have seen some impressive bids come in for ambitious and innovative projects from colleges that are planning for the future,” said Cable. “Helping colleges modernise their facilities will give them a much-needed boost at a time when education could not be more important, and I am glad we have been able to provide them with this support.” www.fm-world.co.uk

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66% Yes

FM 100 POLL

WE ASKED 100 FMS… In the wake of Connaught’s failure, will more FM firms collapse in the coming year or two? Two out of three FMs thought more facilities firms would collapse in the next year or two, in the wake of the recent failure of the social housing repair business Connaught. In the past several years, there has been a history of low-margin bidding – especially for public sector contracts -- that will return to haunt those winning firms after October’s Whitehall Spending Review. “There is a desire among service providers to undersell their work, at their own expense, in order to keep their competitors

at bay,” said one respondent. “Within hospital cleaning this philosophy led to a failure to eradicate MRSA. The contracts were so cheap that the ability to clean properly was not available to the contractor.” However, there is some blame to be placed on the client who, even before the spending review, was under pressure to cut costs, up to 40 per cent in some cases. “A quantity surveyor told me that following stringent prequalification, which guarantees your bidders are all capable of undertaking the

34% No

work, the only other factor to consider is the price,” he said. “And you should always choose the cheapest.” Another factor that bodes ill for success is the lengthening payment period, an FM said. “Clients are extending payment terms from 30 to 60 and now 90 days and this will have a huge impact upon cash flow.”

Union supports Royal Mail bicycle plans

DREAMSTIME

LOUISA ROBERTS newsdesk@fm-world.co.uk

The postal workers’ union has announced its support for Royal Mail plans to remove bicycles used for post deliveries. The Communication Workers’ Union (CWU) is supporting the move, which cites health and safety concerns. A decision was made as more deliveries are made up of bulky parcels, ordered online. Health and safety issues have become a major concern as 13 cycle delivery postmen and women have been killed on their bikes at work, while thousands have been injured, over the past 15 years. “Postal workers can’t pick and choose where they go on their cycle like leisure cyclists. Changes in traffic conditions have made cycles no longer suitable on many routes.” said a CWU spokesperson. “For every postman and woman that loves their cycle there’s one that hates them.”

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CWU added that many people use their own private cars for delivery, instead of their work bikes. “This not only raises problems of insurance and safety but is an invisible major contributor of emissions.” “New vehicles being brought in have high environmental performance, will eliminate the use of private vehicles and will be fully audited in Royal Mail’s carbon footprint.” Earlier this month, the Cycling Touring Club delivered 700 protest letters to Royal Mail’s chief executive Moya Greene, asking her to reconsider the decision to remove the bikes. The group says that the idea

that increasing weights of postal deliveries necessitates new delivery technologies ignores the potential to use cargo bicycles and tricycles, already used in other European countries and by courier companies in Britain - for instance DHL and FedEx.

“Postal workers can’t pick and choose where they go on their bike. Changes in traffic conditions have made cycles no longer suitable on many routes.”

“There is no real reason why FM firms should be any more immune than others from the consequences of the economic climate,” added another. “October’s spending announcements will have an effect on the FM industry and those who are heavily involved with public sector contracts have reasons to be concerned.”

CHP is the future, says Huhne CHP technology will play a major part in reducing the UK’s energy and carbon emissions, the secretary of state for energy and climate change has said. Visiting a new low-carbon and renewable energy centre at the £72m Museum of Liverpool,Chris Huhne said that the relevance of CHP was clear. The CHP plant, installed at the museum by energy services firm Ener-g, will cut CO2 emissions by 884 tonnes per year. New CHP schemes installed in buildings in the past 12 months - similar in scale to the one at the Museum of Liverpool, have delivered 50 MWe of low-carbon electricity and 60 MW of heat. “We have committed to cutting the carbon emissions in the public sector - starting with 10 per cent in the first 12 months. I expect CHP schemes like this to deliver on our goals,” Huhne added. www.fm-world.co.uk

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ANALYSIS

Government holds firm on carbon usage GRAEME DAVIES newsdesk@fm-world.co.uk

30 September marks the deadline for up to 30,000 UK businesses to register with the latest government attempt to encourage the business community to reduce its energy usage, the Carbon Reduction Commitment. This is a relic of the Labour government’s energy policy but the coalition has, somewhat surprisingly given the gay abandon with which they have cut initiatives elsewhere, retained the CRC despite misgivings about the scheme from some quarters. What misgivings, you might say. Well the scheme itself, or the ideals behind it, is not the problem. Encouraging businesses not already affected by climate change initiatives such as the European Emissions Trading Scheme to monitor and attempt to reduce their energy usage or face a financial penalty is laudable indeed. And some would say it comes not a moment too soon. But others have criticised the overly bureaucratic nature of the scheme which, just to comply with, will add an extra layer of cost when companies can least afford it. Indeed PricewaterhouseCoopers has estimated that simply administering the scheme will cost companies around £20,000 in the first year before any bills come in for their usage. Furthermore, the charge has been levelled at the scheme’s 12 | 30 SEPTEMBER 2010 | FM WORLD

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administrators that companies have not been given enough time to comply with the scheme and risk thousands of pounds of fines for not registering in time. With the process taking approximately four weeks, many companies have left it too late to possibly apply in time with just 1,695 of the largest 5,000 having registered by 6 September, according to the Environment Agency. But this excuse is a little weak, having listened to the chief executive of energy efficiency devices business Sabien

Technology talk at great length about the need to prepare for the CRC almost a year ago now. Of course, Sabien’s boss had a vested interest given that his company’s devices could be in demand once companies begin to be hit with fines for their energy usage. As with any major new government initiative, the gripes come first – but for some companies this represents an opportunity whether through providing physical energy saving devices, or by offering consultancy services. The more forward thinking companies will see the initial outlay worth making to avoid fines and the public humiliation of being “named and shamed” in the annual league tables of energy users and abusers. Some companies will always play the refusenik, either on practical or philosophical grounds. But the scheme looks

likely to go ahead even though some are calling for a delay to allow companies to catch up with paperwork, including those who half expected the new government to sweep away the policy. Whether the Environment Agency will allow such a delay, or choose to allow an amnesty for those who have begun the process remains to be seen. But there is an opportunity here for FMs that offer consultancy and outsourcing services once the scheme is up and running. It could prompt businesses to outsource more in a bid to avoid racking up future costs. This could place some initial pressure on FMs but in the long run will add to their order books and may replace some business which could be lost elsewhere to government cuts. Graeme Davies is the news editor of Investors Chronicle

Latest contracts

NEW BUSINESS

RESOURCE has won a five-year cleaning contract with Dudley College, worth more than £1m. The support services company has worked with the college for the past four years, providing security services at seven campuses. The company has cleaning contracts with Imperial College London, Legal and General and the South Yorkshire Passenger Transport Executive.

DERWENT FM has won a five-year, £50,000 per annum contract to provide FM services at Hard Service House health centre in Wakefield. Services will include helpdesk, mechanical, electrical, plumbing and fabric maintenance, landscaping, environmental management, pest control and energy management. Derwent FM was launched in June.

Independent catering services provider HARRISON CATERING has added three new school contracts to its growing portfolio. The caterer has secured a deal with Putney High School, Harrogate Ladies College and Snaresbrook College Preparatory School.

OCS has won part of the British Airways colleague catering contract, covering 12 BA locations throughout the UK. OCS has more than 20 years’ experience providing services to BA, including fleet cleaning and laundry services. IN DEPTH has secured the £30,000

window cleaning contract at Warrington Hospital for a further three years. In Depth has held the contract with the hospital for the past three years. IAN WILLIAMS has won a £1m per year, three-year contract with North Somerset Council. The contract, which covers Weston-super-Mare’s historic Winter Gardens pavilion, includes emergency repairs, planned maintenance and minor works. Property covered by the contract includes corporate buildings, libraries, and some school work. Ian Williams’ appointment forms part of a larger programme by the council to reduce costs by appointing multi-discipline suppliers to deliver larger contracts.

Birmingham Metropolitan College, the newly-merged Sutton Coldfield College and Matthew Boulton college, has extended a deal with REGENT CLEANING to work on all of its campuses. Regent has worked with the college on the Matthew Boulton campus since 2006, cleaning classrooms, work shops, offices, theatres, conference rooms, wash rooms, canteens, stairs, corridors and laboratories. www.fm-world.co.uk

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BUSINESS UPDATE

Lovell buys Connaught contracts Lovell Partnerships, the social housing division of Morgan Sindall, will buy the majority of Connaught’s contracts for £28m. Around 2,500 employees will transfer to Lovell as part of the agreement. The new contracts are expected to generate around £200m of additional annual revenue, split between response maintenance contracts and Decent Homes, planned maintenance contracts. Connaught went into administration after its backers refused to extend lending terms

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Kier profits up to £58m

and provide additional funds. The group’s other main subsidiaries, Connaught Compliance, National Britannia Holdings, Fountains and Connaught Environmental and their respective subsidiaries are trading normally. The acquisition will significantly improve Lovell’s position in the affordable housing sector and creates a national business delivering planned and reactive maintenance as well as new-build social and open market affordable housing. The payment was made

using the firm’s existing cash resources rather than debt. At 30 June, Morgan Sindall had £138m net cash. In the year to 31 December 2009, Lovell reported an operating profit of £14.9m on revenue of £374m. Ian Carlisle has resumed his post as chief executive of Connaught Compliance that provides integrated health and safety solutions combining consultancy, training and field services. It employs around 1,800 staff and continues to trade profitably.

Connaught redundancies hit 1,400 While the majority of Connaught contracts have been bought by rival firms, including Mears, Morrison and Morgan Sindall, saving thousands of jobs, administrators KPMG confirmed that 1,400 Connaught staff have been made redundant. The majority of contracts were bought by Morgan Sindall with around 2,500 staff transferring to Lovell Partnerships. Social housing group Mears took on eight contracts, and 1,000 staff. Morrison has offered employment to 24 of Connaught staff working in Lambeth. The GMB union is making an official complaint to KPMG, Connaught’s administrators for the “appalling treatment” of 300 Connaught staff who were sacked by conference call. www.fm-world.co.uk

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The union said that its members were called and asked to log on to a conference call. From there, 300 people across the country were told they had lost their job. A union representative said that KPMG then refused to answer any questions from Connaught staff and “all hell

broke loose”. Brian Green, joint administrator at KPMG, said that the wide geographic spread necessitated the calls to ensure staff were informed of redundancies quickly. Connaught’s share price went from a high of more than £2 in June to below 25p this month.

Connaught share price 130 Units per pence 120 110 100 90 80 70 60 50 40 30 20 10 30 Jun 5 Jul 8 Jul 13 Jul 16 Jul 21 Jul 26 Jul 29 Jul 3 Aug 6 Aug 11 Aug 16 Aug 19 Aug 24 Aug 27 Aug 2 Sep 7 Sep

Kier’s pre-tax profits have reached £58.4m, up 10 per cent from last year, with group revenue falling slightly to £2.098bn from £2.145bn the year before. The group said that its support services and Partnership Homes divisions had grown, “an excellent achievement in the current environment”. Operating margins had grown to 4.5 per cent in Kier’s support services division. The division is expected to achieve annual revenues in excess of £500m by 2012, according to the latest group statement. Kier Facilities Services, part of the support services division, generated £119.6m of revenue in the year, compared to £92.9m in 2009, with growth resulting from new contracts including the £6m per year cleaning contract for Sheffield City Council.

Newwave buys FRL FRL, the FM recruitment business founded by John Davis, who died suddenly this month, has been acquired by Newwave Group, another recruitment agency. Newwave operates in the construction, industrial, care and public sector markets. It will be called Newwave Facilities internally, but will continue to trade as FRL. FRL had continued as business as normal during Davis’s short illness, but owing to a backer pulling out, administrators were called in and offers for the business were sought. The acquisition fulfils Newwave Group’s ambition to move into the facilities management sector, said group managing director Mike Checkley. The acquisition had been swift to benefit the Davis family and to ensure the continuity of the business, he said.

Pathology JV for Serco King’s College Hospital NHS Foundation Trust has joined GSTS Pathology, a joint venture between Guy’s & St Thomas’ NHS Foundation Trust and Serco. GSTS has been awarded a 10-year contract valued at around £300m, as the principal provider of pathology for King’s. Revenue to Serco over the term of the King’s contract is £110m. Serco’s share of GSTS Pathology prior to this agreement was 50 per cent. With the inclusion of King’s into the joint venture, Serco’s share of the joint venture will reduce over time. The group will retain one third of the business. FM WORLD | 30 SEPTEMBER 2010 | 13

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FM EVENT FM NETWORKS CONFERENCE 2010

PUBLIC SECTOR FM

DON’T MENTION THE ‘C’ WORD Cathy Hayward finds little sympathy in evidence for Connaught at Sheffield Business School’s FM Networks Conference 2010

CATHY HAYWARD cathy@fm-world.co.uk

A public sector FM conference entitled Embracing Change in Times of Uncertainty, which takes place during a raft of government spending cuts, was always going to be a fascinating event. But when social housing maintenance provider Connaught went into administration the day before this month’s FM Networks Conference 2010, organised by Sheffield Business School’s Centre for Facilities Management Development, Sheffield suddenly became the centre of the FM universe. Despite the presence of many Connaught clients in the room, it took until mid-morning for the ‘C’-word to be mentioned in a session, and speaker Paul Crilly, Reliance’s chief executive, was typically robust in his response to a question from the audience. “Connaught’s demise was more to do with the way Connaught was managed than government changes,” he said citing shoddy bidding practices, including bidding below cost to secure deals. “If a deal looks too good to be true, then it usually is.” His comments were echoed by Iain Murray, immediate 14 | 30 SEPTEMBER 2010 | FM WORLD

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past chairman of the BIFM and conference chair of the conference, who as CEO of Connected FM has had to compete against organisations bidding with negative margins. “Buyers need to consider the actual cost of doing the work,” he said. Mark Steed, Kier Asset Partnership Services’ operations director reflected on Connaught’s perilous financial situation over the past few months during a presentation of his organisation’s partnership with Sheffield City Council (see box). He compared Kier’s debt-free status with Connaught’s debtridden position before its demise. “We want to grow our business and we need to make a profit to do that; clients must understand that we cannot work for free,” he said. “Profit is not a dirty word. As the Connaught example proves, who wants to work with an organisation with wafer-thin margins and gets into financial difficulties?”

Less with more? If finding out how to do more with less was the main reason the couple of hundred public sector heads of estates attended the event, then they might have been

put off by the opening remarks from the university’s pro-vice chancellor Mike Smith. “It’s not so much about doing more with less. We should focus on doing the same with less,” he said. Murray was even more vigorous. “Doing more for less isn’t an equation that makes sense. Only less for less works.” And according to Crilly, many of the cuts and changes should have already been done. “Some of the austerity measures should lead you to do things that you should be doing anyway.” Crilly blamed poor procurement methods citing an example of one client whose inefficient practices were revealed in a specification. When he asked them why they did something in a particular way, as opposed to a much more efficient and effective system, he was bluntly told to price the specification. “Why not challenge the specification and established practices, rather than doing things because they were always done that way?” An inherent lack of trust in the FM sector was blame, Crilly said, whose business was involved in a government contract where the lawyers insisted they remove the word ‘partnership’ from a document because it implied a sharing of liability. “Why can’t

we just sit down and have a sensible conversation about risk?” He went on to question the adversarial language used in specifications. “Let’s talk outcomes,” he urged the audience. “If your outcome is a 40 per cent reduction in costs, we need to talk about that first.” The ‘one-team’ approach was the key to successful relationships, he concluded. “When you’re putting a team together, you need to think about who’s best for the job, not who pays whose salary.”

“As the Connaught example proves, who wants to work with an organisation with wafer-thin margins and gets into financial difficulties?” www.fm-world.co.uk

23/9/10 17:01:30

FM NETWORKS

Paul Crilly Reliance’s chief executive

Iain Murray CEO of Connected FM

Mark Steed Colin Stuart Kier Asset EC Harris Partnership Services’ operations director

Bob Calver EC Harris

Sheffield City Council: a perfect marriage? n July 2009, Sheffield City Council started a seven-year, £54 million contract with Kier Asset Partnership Services. The contract covers facilities management (including catering, cleaning, town centre CCTV, mailroom and associated services) and property services (including acquisitions, disposals and asset management strategy. Fourteen months on, the two contract leaders from their respective organisations talked about the successes of the relationship so far and where improvements could be made. Nalin Seneviratne is director of property and facilities management at Sheffield City Council and Mark Steed is Kier Asset Partnership Services’ operations director. The key to the success of the partnership is sharing goals and ensuring that both parties benefit from the arrangement, said Steed. “It’s like a marriage; you have to be able to discuss and communicate things. And it may mean compromise on both sides.” Sheffield City Council, which is England’s third largest authority, started the relationship by setting out a few clear goals: to rationalise the estate; improve regeneration; improve sustainability credentials; and, to be more efficient. “It was great to have those four key drivers up front as we could then refer back to them, whatever we did,” said Steed. Kier worked with the council to create a corporate asset management plan and an estate strategy for the office accommodation which is set to save £20 million over the course of the contract. Establishing similar values between the two parties is also important. Openness and honesty was essential from the start: “A lot was changing, so openness and honesty on both sides was a must. You can’t rely on rumour and supposition,” says Steed, although he added that, in retrospect, they should have done more to engage the stakeholders. “We focused on the client team and the delivery mechanism, but instead, we should have spent more time and resources engaging the wider organisation.” Once Kier realised that mistake, they started sending out newsletters and talking to the council staff – a tough call as they are several thousand strong. It takes time to develop strong relationships, added Seneviratne. “There has been a long transition period in my ‘marriage’ to Mark. A seamless changeover of service took place, but 14 months later, the task of bedding-in the contract is still going on. Like a real marriage, there will be plenty of ups and downs, “property is a slow beast and you cannot expect overnight changes.”

The glass half full/half empty theme was continued after lunch with an engaging debate between three public sector FM experts: Dinesh Kotecha, Haringey Council’s director of facilities, Clive Wilson, director of estates and facilities at the University of Bradford, and Peter Wearmouth, development director at Inventures, formerly NHS Estates. The main problem facing the three organisations seemed not to be reducing costs, which as Kotecha said, is a regular pressure due to changing political masters, but getting the right type of property. “We need less of what have got, and more of what we haven’t,” he said, describing his estate as a mixture of family silver and broken crockery. If the event was in danger of descending into doom and gloom, www.fm-world.co.uk

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then the final presentation ensured it ended on a high. Colin Stuart and Bob Calver from EC Harris shared their vision on how to be world class and save £10 million in the process – a feat their organsiation achieved for the Department of Children, Schools and Families (now the Department for Education). It was, said Calver, an example of benefits of turning best practice into standard practice. The £10m savings were achieved by moving two buildings (Sanctuary House and Caxton House) into one, so that there are now 2,250 people where there was once 1,600; the carbon footprint of the London estate has been reduced by 50 per cent; and the desk ratio has been increased to 8:10 and 9 sq m per person. But much of the impact is unquantifiable, added Calver: all staff are now under one roof which makes for shorter internal communications, while informal meetings are convened quickly and easily. “People said that they collaborated more effectively, while their operational effectiveness was increased.” He concluded that change is an opportunity not a threat. “Change is happening for people not change happening to people. That’s the key to success.”

Guests discuss the future of FM in the climate of austerity – and the fate of Connaught

FM WORLD | 30 SEPTEMBER 2010 | 15

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FM EVENT AWA LIFE AND WORK IN 2010

INFORMATION TECHNOLOGY

LEARNING NEW SOCIAL GRACES The third seminar on Life and Work in 2020, explored the developments in information technology and their implications for organisations, society and the workplace CATHY HAYWARD cathy@fm-world.co.uk

Social networks will fundamentally change businesses, eradicating the traditional command and control structure within organisations and replacing it with a peer-to-peer network by 2020. That was the message from Leon Benjamin, one of the UK’s experts on social software, speaking earlier this month at the third seminar on Life and Work in 2020, organised by consultancy Advanced Workplace Associates (AWA). “Too many corporates spend too much time thinking about using social media externally to promote their brand, but the bigger transformation can take place if you use this technology inside the organisation,” Benjamin told the group of senior property and facilities people. Churches, armies and business use orders, stability, continuity, rules, fear, withholding information, measurements, incentives and competition, he said. “Social networks cut across

this structure.” Benjamin told the audience about a personal experience of an organisation which was very rigid and unaccepting of change. Benjamin had been successful in his work there because he had approached key employees through LinkedIn before he arrived and set up quick meetings with them in his first week which helped him establish the crucial relationships to allow him to make changes successfully. “But when I suggested they develop an internal network, based on the LinkedIn model I was told if I mentioned it again I would certainly be fired.” “Networks allow insignificant people in organisations to influence senior staff which hasn’t happened before, that’s why middle managers are so frightened of it – it cuts across command and control. They allow people to share ideas, information and work on open source projects across organisations and countries.” But where internal networks

“Social networks allow insignifiant people to influence senior staff, which hasn’t been done before. It ignores the command and control structure” 16 | 30 SEPTEMBER 2010 | FM WORLD

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exist, they need to be managed carefully, though censorship should be kept to a minimum, Benjamin added. He cited the BBC’s forum as being a prime example of a well-managed internal network where employees can vent their frustrations and are responded to by senior managers, which means they feel listened to and don’t feel the need to leak to the press. “Networks must be moderated to both stoke discussion and teach new behaviour.” The organisation must also adapt to the peer-topeer network model, Benjamin added, citing the example of another firm where the only real sharing on the internal network took place at partner level because there was too much competition at other levels of the organisation.

Virtual reality Ian Hughes, a consultant on virtual worlds, took Benjamin’s example a step further predicting that virtual worlds, such as Second Life, will be a key form of communication and an essential

working environment by 2020. “Virtual worlds will allow people to create networks and work with any number of people anywhere in the world, share ideas and expertise.” But, thanks to new technology like 3D printers, the virtual world is merging with reality, he said, adding that the most successful social networks and virtual worlds are the ones which encourage conversations offline. The 2020 seminar series aims to build a picture of how life, work and the workplace will be in 2020. The inaugural seminar, focusing on the likely macro-economic, demographic and social context for the UK in the world in the next decade, took place in April; the second explored the future of sustainability; the third will look at technology; while the fourth, to take place in November will be hosted by Will Hutton from the Work Foundation and Regus’s Mark Dixon and will be reported exclusively in FM World and at fm-world.co.uk

PREDICTIONS FOR 2020

Leon Benjamin ● Social networking becomes the default channel to market for the distribution of goods and services ● The rise of networking societies with their own currencies ● Intranets are replaced by social networks where employee engagement is no longer optional ● Peer-to-peer becomes the default model within organisations and outperforms command and control – particularly with new entrants to the corporate world ● The increase in fractional work – the unit of work, not the whole job

Ian Hughes ● Manufacturing will equally spread across the planet; 3D printers will become common ● We will interface with computers in ways that suit us humans ● Gesture, depth, emotional and brain interfaces ● Displays are not about fixed screens but projections, augmentation and immersion ● Gamification of everything, adding interest and narrative to the most mundane tasks

www.fm-world.co.uk

23/9/10 18:07:30

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FM FEATURE TWM

TWM 2010 SHOWCASES LATEST AND BEST he remit for facilities managers is constantly expanding. With this in mind Total Workplace Management 2010 will once again address their needs through its extensive exhibition as well as innovative features. Produced in association with the British Institute of Facilities Management, the UK’s leading FM and estates event will take place on 6-7 October at London’s Olympia. Adrian Newton, organiser of Total Workplace Management, said: “We work closely with the leading associations and companies in this evolving industry, and as such we know that the remit for facilities managers is growing on a daily basis. With the number of visitors increasing 18 per cent last year, we will be expanding the visitor

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As the number of visitors rises, Total Workplace Management 2010 has expanded too. This year’s event boasts all the leading names – and all the latest developments

programme to incorporate all the disciplines required to carry out effective management of a working building.”

Exciting features Many of the industry’s leading names will showcase their latest developments at Total Workplace Management, including Bywaters, Coca-Cola, Comet, FSI, Watco UK Limited and Wincanton. This year’s Total Workplace Management also sees the launch of the Innovation Showcase, sponsored by powerPerfector This exciting feature area will sit at the heart of the event and give visitors the chance to see the latest and best innovations available in the industry. Education will once again take centre stage, with two dedicated seminar theatres on the exhibition floor. The FM

Academy, sponsored by the Royal Institute of Chartered Surveyors, will host more than 10 hours of free seminars giving insights, practical information and direction, to help put sustainability roadmaps into practice. Recently-appointed BIFM deputy chairs Ismena Clout and Stuart Harris will be opening the event in the keynote speaker slot at the seminar theatre on the Wednesday morning. Seminars will include a panel debate on the influence of the facilities media and industry events; a discussion on whether FM is a commoditised industry; a session on retrofitting green roofs; a session from the BIFM’s Women in FM Special Interest Group on the power of positive thinking; advice on managing strategic change; while the BIFM will launch its latest three titles in www.fm-world.co.uk

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TWM

“WE WILL BE EXPANDING THE VISITOR PROGRAMME TO INCORPORATE ALL THE DISCIPLINES Visit the BIFM REQUIRED TO stand CARRY OUT MANAGEMENT T OF A WORKING BUILDING” STAND D75

its series of good practice guides with presentations from the authors of the guides to Customer Care in Facilities Management, Risk Management, and Business Continuity. Renowned tweeter Iain Murray, chair of the BIFM and CEO of Connected FM, will give a presentation on the use of social media in business. This will explore the various social media tools available and how they can be used in everyday business and marketing strategies. Topics covered will include online business networking sites, Twitter, blogs, Facebook and podcasts. Meanwhile the Health and Safety Seminar Theatre will give visitors the chance to keep up to date with the latest legislation and discover the newest advances in safety and facilities management. Sessions will look www.fm-world.co.uk

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SHOW QUICK FACTS

8,000 visitors have registered to attend TWM

£99 the cost of BIFM membership if you sign up at stand D75 during the exhibition

6-7 october. The dates TWM is taking place at London’s Olympia

he BIFM will be on stand D75 in the heart of the action, and invites all attendees to come and visit to see how the institute can help further your career. Offering information, education, training and networking services for over 12,000 members, the institute is offering a joining fee of just £99 if you sign up at the show. One of the many benefits of becoming a member is receiving the fortnightly magazine, FM World, which will keep you up to date with the latest industry and institute news. TWM will also see the launch of three new BIFM good practice guides, on customer care, business continuity and risk management. Current BIFM members and those of you who have already registered to attend then exhibition will have received a survey via email recently. The Post-recessional workplace survey seeks to understand what role business leaders see their workplace playing in post-recessional economic recovery. As economic pressures and emergent technologies allow an unprecedented review of how and from where employees contribute, businesses are increasingly facing difficult decisions on what value they place on the spaces they provide for their teams. The eight-point e-questionnaire, sent to all BIFM members and the 8,000 pre-registered TWM visitors, will probe areas such as the strategic importance of the workplace, the importance of the occupiers / users experience and the increasing trend toward higher workplace occupant densities. The findings will be published in a report in early November. We look forward to seeing you at Total Workplace Management. Also on the BIFM stand is BIFM Training, the institute’s training arm. Experts will be on hand to talk delegates through the extensive range of training programmes, including formal qualifications and accredited programmes. Whatever your level of requirement in FM training, come along to the stand and pick up the new FM training brochure. It’s the ideal time to review your training needs and refresh yourself on the range of learning and development services that are on offer to you. Alongside the exhibition BIFM Training is running a special one-day conference Cost Effective and Sustainable Corporate Catering (see box overleaf) .

FM World, the BIFM’s magazine, will be officially launching its new, fresh look at TWM, showcased in this launch issue. Pop along to the stand and tell the team what you think of the new size, design and content.

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FM FEATURE TWM

at the CDM (Construction, Design and Management) regulations; disabled access and egress in complex environments; and trends and developments in the UK occupational safety market. Total Workplace Management will also contain a variety of features to make everyone’s visit as beneficial as possible. These include a Managing Safety and Health area, which will host a variety of exhibitors providing health and safety products. The Green FM Trail, which highlights organisations offering sustainable solutions, returns to TWM in 2010. Exhibitors to the trail include Bauder, Innovise, Tassimo Professional, Grundon Waste Management, Eco Depo and Transport for London.

“THE BIFM WILL LAUNCH THREE NEW BIFM GOOD PRACTICE GUIDES ON CUSTOMER CARE, BUSINESS CONTINUITY AND RISK MANAGEMENT WITH SEMINARS FROM EACH OF THE AUTHORS”

New for 2010, The PropIT trail will showcase IT solutions providers. FM professionals are increasingly looking towards new technology to make their organisations more efficient, more sustainable and more productive. Prop IT will bring together market leading companies offering cutting edge services in Cafm, document management, resource booking software, security and fire services, mobile communication and systems integration. Exhibitors in the Prop IT Trail include: FSI, Tabs FM, Wincanton Records Management and Condeco. A Recycling Centre, to ensure the event itself remains sustainable, will be set up,

collecting and processing waste material with state of the art equipment. Total Workplace Management is open from 9am-5pm on Wednesday 6 October and 9am4pm on Thursday 7 October at London’s Olympia. The event is co-located with Energy Solutions, the UK’s fastest growing energy management event, and M&E – The Building Services Event, the UK’s only exhibition dedicated to all building services. Care Show London will also be taking place at London Olympia at the same time. i Get all the latest information at www.twmexpo.com and follow us on twitter at twitter.com/twm_expo

GALLERY SUITE

Catering conference: cost and sustainability

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discuss the thorny issue of reducing subsidies for staff catering. Poor diet affects work performance – without the right food intake people feel sluggish and energy levels are low, attention levels and efficiency slip. Not only does the quality of work suffer but bad diets can cause poor health often leading to absenteeism. Drew Fobbester, MD of Interactive Profiling, will look at how FMs and caterers can help people to achieve healthier lifestyles and get positive recognition for the FM service. The day will also include several case studies of great food projects in schools, communities and businesses, such as Barclays, from which the FM can take away top tips. The event costs £375 plus VAT for BIFM members, with discounts available for additional members from the same organisation. Nonmembers are £425. Contact BIFM Training on 020 7404 4440.

ISTOCK

Alongside TWM, BIFM Training is running a one-day conference on Cost Effective and Sustainable Corporate Catering. Taking place on Wednesday 6 October in the Gallery Suite at Olympia, a group of expert speakers will look at everything from sustainable catering and taxation on catering to achieving cost savings in catering and a look at nutrition. After an introduction from BIFM CEO Ian Fielder, Bob Cotton, chief executive of the British Hospitality Association, will take an in-depth look at taxation in relation to catering. With the government blowing hot and cold over salary sacrifice for meals at work and inconsistent application of VAT on take away cold food, Cotton will explain how this will affect facilities managers now and in the future. He will be followed by Tony Horton, chief executive of Tricon Foodservice Consultants, who will

www.fm-world.co.uk

23/9/10 17:44:56

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Call John Nahar on 020 7880 6230 or email john.nahar@fm-world.co.uk For full media information take a look at www.fm-world.co.uk/mediapack

FM NEWS

FM innovations ▼No green compromise needed as Bike Dock launches the re-cycle shelter Bike Dock Solutions, the specialist provider of practical and secure cycle parking solutions, has launched the ReCycle Shelter, whose sustainable wood exterior makes it an ideal choice for those seeking an environmentally sustainable option. An estimated ﬁve million people regularly cycle in the UK, something that the government is keen to support through its Cycle to Work Scheme, part of the Green Transport Plan, reinforcing the importance of secure, sustainable cycle parking facilities. The ReCycle Shelter complies with secure storage as required by the Code for Sustainable Homes. It is supplied with no-climb end frames with anti-vandal panels and a no-crawl under perimeter. For more information, visit www.bikedocksolutions.com

▲It’s snow problem for Raychem

▲Jangro signs specialist Member

Raychem has once again come to the rescue with the installation of their IceStop self regulating roof and gutter de-icing system to protect the new roof at Dunster Castle. Dramatically situated on a wooded hill near Minehead and providing magniﬁcent views over the surrounding countryside, Dunster Castle has been on this site since the Norman times, with an impressive medieval gatehouse and ruined tower giving a reminder of its turbulent history. The recent installation of a new lead roof at the castle brought its own challenges but one of the major ones was to protect it from snow and ice in winter. Tel: 0800 969013 Email: SalesUK@tycothermal.com

Caterite Food and Wineservice Ltd of Cockermouth, Cumbria has become the 38th Member of Jangro, the largest network of independently owned janitorial supplies companies covering the UK and the Isle of Man. Servicing hotel, restaurant, catering and licensed trade customers across Cumbria, Caterite brings over 40 years specialist knowledge and experience to Jangro. Caterite is a one-stop-shop group providing wine, beer and soft drinks; fresh produce, dry, chilled and frozen foods; butchery, catering hygiene and cleaning products and equipment. Enquires to: Caterite sales on 017687 76000 or enquiries@caterite.co.uk

▼Western Power Distribution awards a three-year generator contract to Power Electrics Power Electrics Generators, the UK’s leading independent supplier of specialist generators has signed a three year sole supplier agreement with Western Power Distribution (WPD). Power Electrics will supply a range of rental generators and equipment which includes static sets from 15kVA to 500kVA which can be lifted with crane, containerised sets (750kVA – 2000kVA) on artic trailers and mobile sets (15kVA – 100kVA) as well as providing a complete 24-hour call out service. The agreement also includes a contract to service and maintain WPD’s own mobile generator ﬂeet.

▲Expanding Belfast company is ‘shining light’ on energy-efficiency front AJ Hurst, a Belfast-based electrical distribution business, is on the expansion trail following the success of a green initiative that is helping customers power ahead on the energy-efficiency front. “In recent months our business has been boosted by the number of innovative energy efficient lighting schemes we have carried out for clients,” explained Managing Director, Lisa Goldsbrough. Savings can run into thousands of pounds and in some cases can result in energy bills being reduced by more than 50 per cent. Companies beneﬁtting from AJ Hurst’s expertise range from Corus Steel and Irwin’s Bakery in Northern Ireland to the Potter Group, professional logistics service providers in England. For further information: www.ajhurst.com or telephone 028 9077 0037

▲A common sense guide to portable appliance testing Seaward has introduced a free booklet providing guidance for facilities managers involved in workplace electrical safety testing. The new publication is specifically intended to help those involved understand how electrical health and safety obligations can be fulfilled in a realistic and cost effective manner and without the need for unnecessary or over excessive inspection and testing regimes. ‘A Common Sense Approach to Electrical Safety Testing in the Workplace’, describes the importance of establishing inspection and testing measures that are appropriate to each particular environment or workplace and which are in keeping with the specific risks posed. Further details are available from www.seaward.co.uk or by telephoning 0191 587 8708.

22 | 30 SEPTEMBER 2010 | FM WORLD

FM Tech Spec.indd 22

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TWM EXHIBITOR NEWS

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▼Jangro expands - Discover more on stand F40, TWM Exhibition

Biodriers are quiet, fast and easy to use. With a hygienic touch-free operation you place your hands into the recess and immediately both sides are covered with powerful gusts of high-speed air. In only ten seconds your hands are dry and on removal the unit stops immediately. Fast drying minimises queues experienced with traditional slow machines. Unlike paper hand towels there are no waste disposal requirements or janitor costs of reﬁlling dispensers. Their cost in use is the lowest of any form of hand drying system.** Biodriers are 100% recyclable - so no landﬁll charges. 01392 444080 sales@biodrier.com www.biodrier.com

Jangro, the largest network of independently owned janitorial supplies companies in the UK, is returning to TWM. This year, Jangro boasts more branches and more product choice than ever before. The event will reinforce the rapidly growing Jangro Brand, which incorporates the exclusive Enviro and Sovereign product ranges, which Jangro has speciﬁcally developed to have a minimal impact on the environment and deliver market leading performance respectively. Metsa Tissue and Newell Rubbermaid are just two of those eager to support Jangro on the stand throughout the exhibition. Visit stand F40, Olympia or call Jangro on 0845 458 5223, email centraloffice@jangrohq.net or www.jangro.net

▲Power Electrics Generators will be showcasing its capabilities at this year’s Building Services Event Power Electrics Generators, the UK’s leading independent supplier of specialist generators for sale and rental, and the UK’s largest FG Wilson authorised dealer, will be demonstrating the extent of its capabilities on Stand Number B88 in the Grand Hall at this year’s Building Services Event. Power Electrics offers a range of generators rated from 5 to 2200kVA as single units or large multi-set parallel systems for high power or high availability (N + 1). Systems are custom designed to meet the demanding needs of both the rental and sales markets.

▼Good Things Come In Small Packages Metsä Tissue takes care to deliver to its distributors in optimum pallet loads and balances its distribution policy to deliver to a number of customers from the same load. In turn, its distributors such as specialist converter Midland Paper Products, specialise in the supply of the smaller quantity of products to focussed distributors. The team at Midland Paper Products converts and sells its own Esﬁna brand but chose Metsä’s Katrin, Lambi and Fasana brands because they provide the perfect compliment to complete its assortment. Small janitorial and general business supplies distributors interested in selling the Katrin range should contact: Metsä Tissue Ltd: (0208) 332 2842 or sales.uk@Metsätissue.com. www.katrin.com

▲Marshall Laundry has grown to become one of the leading London-based companies providing laundry services. The successes that we have enjoyed so far have been as a result of supplying our customers with a top quality service matched to unbeatable prices. We serve our customers on daily routes throughout London and the South East. We offer an excellent laundry service with ﬂexible delivery and collection times to suit your requirements, with prices and services that are almost too good to be true. For more information on how we can provide great service whilst saving you money please contact us today. www.MarshallLaundry.co.uk E-Mail: Harry@MarshallLaundry.co.uk Tel: 07957141360

▲RICS is the world’s leading qualification when it comes to professional standards in land, property and construction. Established by Royal Charter in 1868 and professional home to over 100,000 property professionals worldwide including 12,000 involved in facilities management. RICS launches its Professionalising FM campaign at TWM: A research survey and panel debate led by inﬂuential FM professionals on the future of FM as a core strategic business function and the role that industry qualiﬁcations play in promoting FM as a board level discipline. Professionalising FM – what next?, FM Academy, 7 October, 12.30-1.15pm. Join us at stand D46 or visit www.rics.org/professionalisingfm

FM WORLD | 30 SEPTEMBER 2010 | 23

FM Tech Spec.indd 23

23/9/10 18:34:34

FM OPINION THE DIARY COLUMN DAVID WALKER

David Walker is facilities project manager at Northumbrian Water

“... I KNOW WE ARE LEGALLY OBLIGED TO PROVIDE HEALTH & SAFETY NOTICES BUT, REALLY, 22 OF THEM?” SW ITCHIN G TO M I CRO S O FT – A N D A R A N T

he migration from Lotus to Outlook has been a slow process, especially with 2,000 staff and a compliance process to go through. But the assessment will iron out many problems early on – good news for FMs

Two lots of training have interrupted my normal routine over the past couple of weeks. The ﬁrst was the migration from Lotus Notes to Outlook 2007. Yes, I know many of you will already have the program on your own home computer but we are just getting round to doing it now. It can take time when you have to roll out to 2,000 employees spread across a large geographical patch. The frustrating thing for me is that half the business is on one system and the other half on another. It makes things slightly time-consuming when you are looking – or trying to look – at

diaries or for phone numbers. For those of you not using it, Outlook is a Microsoft Ofﬁce email package which includes all the packages many of us use on a regular basis. My opinion? Well it’s early days but I do like many of the new features it has to offer and it certainly seems an improvement on the old Lotus Notes. To ensure compliance with one of our quality procedures we also have to a complete a workstation assessment. The package we use is called Cardinus Workstation Safety Plus. This computer-based package helps you set up and use your computer safely.

It puts the onus on the user to ensure that they are working comfortably and safely and it does so in a step-by-step programme. You have to go through it and then answer questions at the end of each section, followed by a test. I quite like the programme and we ask staff to complete it each time we move them to a new location. It also gives the individual the chance to highlight any problems that they have with the working set up, for example, new chair or wrist rest required. This can be quite handy when we receive complaints further down the line. And now for a quick rant. Has signage gone mad? I took delivery of a package as no-one else was around and was amazed by the number of signs displayed in the delivery bay. In an area no bigger than 3m x 5m, I counted 22 warning and

information signs. I can see the need for signage and I know that we are legally obliged to provide certain health and safety notices but, really, 22 of them? By the time I had read what I was supposed to do – and not do – the parcel could have been out of date. Do we really need to ask staff to turn off lights, hold on to handrails, mind your step, etc? On a personal note, next weekend I will be taking part in the Kielder Challenge, an outdoor-based team-building event in Kielder forest. It will be attended by 30 or 40 teams from various companies, which takes the form of a 30-hour challenge made up of mental and physical tasks. I am looking for a good result this year after last year’s disappointing ﬁfth place. Bye for now.

BEST OF THE WEB The latest views, comments and reaction across the web

1⁄

Lee Harris asks on LinkedIn’s British Facilities Management’s group: First we move from cellular offices to open plan, then we look at hot desking, now everyone is talking about new ways of working. Is this a bridge too far? New ways of working is a process being reviewed by many local authorities, how successful is it and what kind of problems does it create for the FM 24 | 30 SEPTEMBER 2010 | FM WORLD

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teams? Sean Jones: I think the drive for new ways of working is just the next workplace evolutionary step. Wireless networks and broadband is really the enabler to this but has enough work been done on organisational effectiveness and individual social impact to be able to measure how far it will go and what success looks like?

2⁄

One reader’s response to the FM World blog, Connaught suspends trading but why? (September 7 2010): “Connaught is/was a maintenance contractor not a provider of social housing. Housing maintenance is a traded service that can be provided by for profit or not-for-profit bodies. It is a shame for all those associated with Connaught

of course. However, let’s not confuse Connaught with some sort of corporate Octavia Hill it isn’t, never was and never would have been.”

3⁄

“Helping a client to find the right facilities management model is as satisfying as finding perfectly fitting shoes,” tweets FM Guru Martin Pickard, 17 September via Facebook.

4⁄

“Asked Chris Huhne about government 10:10 progress. He said Cameron is going to name and shame ministers of high emitting departments during cabinet,” tweets Sarah Whitebread, Liberal Democrat, environmental policy student, tea drinker and cake gobbler, tweets on 18 September 2010. www.fm-world.co.uk

23/9/10 17:47:32

You can follow us at twitter.com/FM_World facebook

BEST OF THE

FMWORLD BLOGS

FIVE MINUTES WITH

1⁄

NAME: Tony Leppard JOB TITLE: Managing director and founder COMPANY: FMX, the creator of CAFM Explorer

Gold medal chance for FM

Anne Lennox-Martin/independent FM consultant Hmmm, can’t help wondering as the Olympics 2012 volunteer website goes live, what the impact of the games will be on London’s frontline delivery. The FM provision for the games will need a workforce drawn from all over the country. Is it an opportunity for FM providers and in-house teams to sponsor one of their “ FM stars” as a reward for excellent customer service? Why not FM folk in London offering accommodation for those coming from other parts of the UK? Many are worried that regular service may suffer but could we use this as the time to put FM on the UK map?

2⁄

Debt in Dubai

Mick Dalton/Independent FM consultant FM companies are suffering the effects of debt in Dubai. It is reported that there are “concerns about the overall debt burden of Dubai’s state-linked companies mounted after Dubai announced a standstill on repaying $26bn in debt as it restructured conglomerate Dubai World”. It unveiled a $9.5bn rescue plan for the firm in March. How does this affect FM companies here? Well, many FM companies are not getting paid for months on end. This is putting the companies at risk and cashflow is king. Many FM companies delaying paying staff and sub contractors. FM consultants are not getting paid also for work done which is hurting many.

3⁄

FROM AGED THREE I NEVER STOPPED KICKING A FOOTBALL AROUND. At 16 I was scouted for Brighton and Hove Albion but then I was hit by injury and my whole world fell apart. I’d always thought I’d be a footballer so when that dream ended I felt so deflated. I left the country and took time out to adjust. I WENT FROM THE DRAWING BOARD TO THE BOARDROOM OF UNILOCK IN NINE YEARS. A director saw the potential in me and moved me about the business allowing me to grow with it. He was tough on me, and there were times I nearly left. He’s passed away now, but I would have loved for him to see what I achieved here. WHEN I SET UP ON MY OWN I PUT MY WHOLE LIFE ON THE LINE FOR THE BANK. You believe on your own ability but financially it’s quite scary; in the early years we were paying more back to the business than to our mortgage. THE 90S RECESSION NEARLY TOOK US OUT. Cash is king; we didn’t have the cash reserves we could have had because we had tried to grow too fast. The fear of failure kept me working 24/7.

The final straw

Ian Broadbent/ BIFM chairman I am often asked how I manage the BIFM chairman role and my day job with Hallmark, when I add in some of my other roles and the fact I support my wife’s business and help occasionally on the family farm, it becomes more of a mystery to people. I’m afraid I don’t have a magic answer other than I merge everything together and tend not to keep each one in a separate silo, so the time I spend on each remains very flexible. For example I often catch up on my BIFM correspondence early in the morning at work before carrying on with Hallmark items, equally if my wife rings up with a business issue we may spend some time discussing this; at the weekend we may spend some time planning for my wife’s business and at the same time I may catch up on Hallmark tasks, sort of multi-tasking really. Much comes down to teamwork and having a great team behind me at Hallmark. www.fm-world.co.uk

024_025_FMW Opinion 1.indd 23

I WOULDN’T LIKE TO NAME AND SHAME THEM but there are organsiations that we visit that are still using a hotpotch of in-house applications and spreadsheets which don’t talk to each other. I’VE HAD A FEW OFFERS FOR THE COMPANY THAT I’VE TURNED THEM DOWN. I’m not ready to sell yet and I think I’ll know when I am. We’ve just got established in our 35th country, China; less than two years ago we only had a UK base with a couple of customers in the US. I think we’re at another turning point.

FM WORLD | 30 SEPTEMBER 2010 | 25

23/9/10 17:48:01

FM CASE STUDY KPMG BY DAVID ARMINAS

DEVELOPER: CANARY WHARF GROUP PROJECT MANAGER: TURNER & TOWNSEND FIT-OUT CONTRACTOR: ISG COST AND COMMERCIAL MANAGER: EC HARRIS M&E & SUSTAINABILITY CONSULTANT: AECOM CONSTRUCTION MANAGER: CANARY WHARF GROUP FIT OUT ARCHITECT: SWANKE HAYDEN CONNELL BUILDING DESIGN ARCHITECT: KOHN PEDERSEN FOX CLIENT STRUCTURAL AND FACADE ENGINEERS: RAMBOLL

NOTE

Construction firm Canary Wharf Contractors, part of the Canary Wharf Group, won a Green Apple Award for “innovation in construction” and a Gold and Silver award in the Considerate Constructors Scheme in 2010.

KPMG: THE SPACE TO MOVE PETER SEARLE

At KPMG’s new Canada Square office in Canary Wharf, you are just as likely to run into clients as you are employees. And that’s just the way FM planned it.

WATCH a tour of the Canary Wharf building at www.fm-world.co.uk

26 | 30 SEPTEMBER 2010 | FM WORLD

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our years ago, KPMG took a long, hard look at its future space requirements. “We sat down and said: ‘what will the workplace need to be like in two or more years’ time?’,” says Andy Moseley, UK head of workplace facilities at the professional services provider. “We asked ourselves how our workplace could support our business plan.”

Client-centric KPMG has increased its focus on the client, which Mosely feels is at the centre of its business offering: “client-centricity”, he says. To achieve this aim, the consultancy required office space in which clients would be as catered for as employees. “We needed a KPMGbranded building that would be recognisable as such,” he said. “We didn’t want to inherit a building from a developer and then ‘KPMG it’, retrospectively.” The consultancy pooled its knowledge about the work environment from its London sites, which at that time totalled 600,000 sq ft. A two-hub property strategy, developed in 2002, indicated that KPMG could reduce the number of its London buildings from five (three in the City and two in Canary Wharf ) to one City building and one purpose-built Canary Wharf premises. The business’s total space has increased from 485,000 sq ft to 515,000 sq ft (400,000 sq ft at 15 Canada Square, Canary Wharf and 115,000 sq ft at

Salisbury Square in the City, which it retained). Canada Square will gradually take over from Salisbury Square as the consultancy’s UK headquarters. KPMG also vacated five floors at Number 1 Canary Wharf, not far from its new building. “KPMG had a mixed bag of properties, some of which were at the end of their useful life in terms of supporting increasingly sophisticated IT technology,” says Moseley.

Steady integration This summer, KPMG began www.fm-world.co.uk

23/9/10 16:32:57

KPMG

“FM FORMS PART OF A HOLISTIC PROPERTY STRATEGY WHICH MEANT IT WAS ALREADY IN THE BUILDING TWO YEARS PRIOR TO OFFICIAL OCCUPATION.”

Less is more: KPMG’s new Canary Wharf office replaces several outdated sites

moving people into 15 Canada Square. By October, all 4,000 employees will have been relocated. The consultancy’s holistic approach to the relocation meant that FM was already on site in the new building two years prior to official occupation. FM was also included in the initial planning stage, along with the architects, quantity surveyors, construction firms, HVAC businesses and fitout specialist. It was a truly integrated team, says Stuart Cranna, KMPG’s workplace area www.fm-world.co.uk

026-029_FMW_KPMG.indd 27

manager for London. “Right from the start, we dealt with issues directly, there and then, with the entire supply chain present,” he says. “And in 2008, we held our meetings on an unfinished floor on site amid ongoing construction, often over a builder’s tea.” KPMG’s on-site presence during construction meant that the client and suppliers were no longer unknown quantities. “We could say to suppliers: ‘it’s our building and you are working on it’,” says Cranna. “This was great for observing and

monitoring progress and we built up a good relationship with the construction teams. According to Cranna, this arrangement made for a smoother, slicker operation: “If there was an issue raised during a meeting, we would walk to the part of the building in question, see for ourselves what needed attention, and then return to the meeting room to make a decision on the spot,” he says. “This allowed us to solve those unforseen problems quickly. “ Having the team on site held other advantages. “We knew

what we were getting from the start because we could actually see it in front of us,” reveals Cranna. When the first occupants were shown around the new building six months before relocation, the FM team had already sorted out many of the usual teething problems. “We were working with the HVAC system a good year before people started moving in,” Cranna says. KPMG believe that a building must be flexible enough to accommodate various functions that need more or less space. FM WORLD | 30 SEPTEMBER 2010 | 27

23/9/10 16:36:07

FM CASE STUDY KPMG BY DAVID ARMINAS

“WHEN THE NEW OCCUPANTS VISITED THE SITE SIX MONTHS BEFORE RELOCATION, FM HAD SOLVED MANY OF THE USUAL TEETHING PROBLEMS.” Talking the talk: meeting areas and large openplan atria put visiting clients in the centre of the action

The consultancy aims to provide a five-star atmosphere with an emphasis on brightness that welcomes visitors and occupants alike. The design is based on a ‘cassette concept’, in which blocks of three floors are connected by several staircases set within a common atrium. The layout encourages collaboration and interaction between colleagues who have expertise in disparate areas. “No-one is far from a wide-open space within the building,” says Cranna (see box).

Security “Reception security needn’t be intrusive,” says Cranna, who feels that many great building designs fail to impress visitors when they walk through the door. At KPMG, the reception is wide, brightly lit and open. A small coffee shop offers a quick rendezvous point when formal entry is not 28 | 30 SEPTEMBER 2010 | FM WORLD

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essential for a meeting. Although still in the open, the baggage scanners are unobtrusive. This is in contrast to many buildings in London, some of which we even consider to be iconic, that conceal scanners behind partitions added after the fit out. Visitors can sometimes feel like they are going through airport customs. Beyond the ground-floor security turnstiles is the main presentation suite. The audiovisual equipment in the suite can broadcast external events and also meetings over the internet, television or radio. To accommodate large functions, the main wall of the suite can be swung back, allowing guests to spill out into the reception area.

The innovations The first floor has client meeting rooms, a business lounge, breakout areas and privacy cubicles.

CONCEPT IN FOCUS

The ‘cassette’ design here are four groups, or cassettes, at KPMG’s new building, comprising three floors each: floors two to four, five to seven, eight to ten and 11 to 13. Each cassette of three floors shares a common atria which contains all of the internal meeting rooms, breakout areas and project rooms. The three floors within each atria are linked by large open stairs in each cassette. The base floor of each cassette atria – two, five, eight and 11 – has a larger floor area. The 2nd and 11th floors are dedicated mostly to break-out space. The fifth floor has a coffee shop and the 8th has a grab-and-go style catering outlet.

www.fm-world.co.uk

23/9/10 16:38:44

KPMG

Energy efficient systems allow KPMG to cut their C02 output in half – the reward for integrated planning

FM functions at KPMG Reception/Meeting Room In-house/outsourced Switchboard In-house Catering/Events Restaurant Associates (Compass Group) Planned Maintenance Carillion Cleaning OCS Staffed Guarding ISS Document Services Swiss Post Vending Bunzl Planting Ambius (Rentokil Initial) Relocations Premier Moves Off-site archiving Iron Mountain

Following the external wall, the windows on the main corridor provide abundant natural light

Clients can use these areas for work, before or after a meeting, and for preparation for travel. The 800-seat staff restaurant is used by 96 per cent of the people in the building between 11.30am and 3pm, an important statistic for the catering provider. KPMG also provides X [number?] of ‘faith’ rooms for private prayers, and a room specifically for people to wash in before praying. None of the meeting rooms have an external wall. This maximises the number of possible layout configurations in the meeting rooms, because there are no structural pillars or hindrances around which to fit. www.fm-world.co.uk

026-029_FMW_KPMG.indd 29

Instead, the main corridor follows the external wall – and has views to the outside. Half of the workstations are pre-assigned and a touchscreen booking system on each floor shows people the desk they have been booked. It is also useful for finding out where someone is sitting, and can be used to book a parking space. The entire 14th floor was initially put aside for plant, including chillers, even though it boasted spectacular views; so half the space was freed up and now constitutes the fine dining area. A BREEAM ‘Excellent’ rating demonstrates the site’s energy-

saving credentials. In the new building, KPMG will be able to cut its overall CO2 emissions by more than 50 per cent, way beyond the legal requirement (28 per cent less than 1990 levels by 2013). A gas-fired generator produces the building’s electricity, cutting on carbon emissions, and the waste heat is reused in order to adjust the interior temperature. But Cranna is aware that it may take up to two years before these systems, such as chilled beam air conditioning, sedum matting and a living green roof, innovations prove themselves. Many of the fit-out materials come from recycled sources.

The carpets comprise 40 per cent recycled material and the workstations and screens are made from 100 per cent recycled plastic bottles. Around 90 per cent of the wood has been certified by the Forest Stewardship Council or equivalent, or from recycled sources. There are 200 bicycle spaces as well as on-site shower facilities. The number of spaces currently represents only 5 per cent of the building’s occupants, but there is room to increase that to 10 per cent. There are 40 car spaces – but even the chairman does not have a reserved area. FM WORLD | 30 SEPTEMBER 2010 | 29

23/9/10 18:48:26

FM FEATURE M&AS NICK MARTINDALE

M&AS: WHAT’S THE BIG DEAL? Organisational buyouts are starting to make headlines again, and once more FMs are being presented with a range of last-minute, challenging, issues. But the experience can present personal opportunities too. Illustration: Aude Van Ryn

hen US food giant Kraft acquired chocolate manufacturer Cadbury earlier this year, it signalled a general revival in merger and acquisition activities. Companies were seeking out bargains in readiness for an economic upturn. There were plenty of other examples too. In April, car rental firm Hertz agreed to buy its smaller rival Dollar Thrifty for $1.2 billion, while computer equipment manufacturer HP acquired smartphone business Palm for the same amount. Also that month British Airways finalised plans to merge with Spanish airline Iberia. Deals done in 2009 at the depths of the recession included those between Pfizer and Wyeth, Oracle and Sun Microsystems, and Yorkshire and Chelsea Building Societies. Such activity can present a range of issues for FM directors and their teams, not least because they are often unaware of any deal until late in the day and can find themselves having to react at very short notice.

Short notice Until 2009 Gail Mee worked for Siemens, initially as FM manager before becoming mergers and acquisitions transition manager. She was at the company for six years, at a time when it was on a major acquisition spree. “Within FM we were very late to be approached for any sort of merger or acquisition,” she says. “We would get a knock at a point 30 | 30 SEPTEMBER 2010 | FM WORLD

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www.fm-world.co.uk

23/9/10 16:47:58

“THE FM TEAM IS OFTEN LEFT TO PICK UP THE PIECES AFTER A MERGER BUT WHAT COMPANIES TEND TO FORGET IS THAT THEY ARE ALSO IMPACTED AS A GROUP OF INDIVIDUALS”

M&AS

when things were happening and we would have to mobilise for or integrate with a new site with six weeks’ notice.” Ian Fielder, chief executive of BIFM, says this is a common complaint. “A lot of mergers and acquisition discussion goes on at board level but once the decision has been made to move ahead to the next stage in the process most of the FM team would say they should be involved, even as early as the due diligence stage,” he says. Often one of the first challenges for an FM director of a dominant partner in such an arrangement will be to address the fears of those in both their existing team and in the acquired business. “The FM team is often left to pick up the pieces but what companies tend to forget is that they are also impacted as a group of individuals,” says Liz Kentish, director of Liz Kentish Coaching and chair of the BIFM Women in FM group. According to Lionel Prodgers, director of consultancy Agents4FM, FM needs to work with HR to organise roadshows and workshops to inform

staff about what is happening and keep them on side. “You need to ensure the workforce is fully operational so you’re not risking operational failure or people not understanding the arrangements that are likely to happen,” he says.

FM QUICK FACTS

42%

of UK executives are putting aside capital for merger and acquisition activity rather than paying down debt or dividends, compared to 25 per cent in November 2009

57%

of global business executives believe they are “likely” or “highly likely” to buycompanies in the next 12 months

27%

The value and volume of mergers and acquisitions fell by in 2009 compared to 2008

Hand-holding This was one area which Siemens generally handled well, says Mee, who now works alongside Prodgers at Agents4FM. “We’d learned the hard way through some too-speedy mergers so we spent effort in the softer areas,” she says. “We spent a lot of time developing induction processes for all the people who would be transferred in and I implemented and rolled out the first induction packages with our HR partners for people being transferred into our FM team. There was a need for hand-holding and because we were such a large and complex organisation.” Others, though, were less fortunate. One FM, who asked not to be named, working for a large blue-chip recently acquired by an international rival said a lack of communication had a detrimental effect on the whole team. “There was muddiness on both sides but it did feel as if the takeover was happening to us rather than us being involved in the process,” she says. “It was a difficult time to stay motivated and carry on delivering when there was all this uncertainty going on in the background.” Once a merger or acquisition has gone ahead, FM directors must bring the two disparate FM teams together. In mergers, senior execs are likely to have already decided which team will take the lead, while in acquisitions it would normally be the acquirer.

Smoothing the path One thing to watch out for here, says Kentish, is power struggles between individuals in parallel roles. “It may be that you can have two roles, although probably not identical ones,” she says. “Or it may be that one person has more experience and can take the lead.” FM will also have to redesign the internal arrangements to accommodate the new setup, points out Prodgers. “You’re likely to be talking about move management, bringing similar functions of the business together, probably into consolidated space, and at that point you do start to think about redundancies,” he says. Ensuring communications and IT systems are running effectively, complete with any new branding, is also a priority, he adds. A further headache comes from inheriting a second set of suppliers, which will usually lead to a reduction in the number of providers. “It’s very difficult to split it and have competing suppliers doing different parts of the business,” says Kentish. “There’s no easy FM WORLD | 30 SEPTEMBER 2010 | 31

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23/9/10 16:48:20

FM FEATURE M&AS NICK MARTINDALE

answer; it’s just about being as ethical and moral as you can and telling them what’s happening. It might be that one company has a very small supplier which just can’t manage that whole contract.” Yet there can be problems hidden in existing contracts, says Fielder at BIFM, particularly when one party has a “rest-of-property” agreement under which they are entitled to work on any future properties acquired. “You have to make sure that not only are you doing the due diligence properly but you are aware of the political situation as well,” he warns. At Siemens, the situation was even more complicated, says Mee. The FM department was only an optional service provider for the rest of the business – and it was often a more costly choice for the acquiree. “We would generally do – and this is where our procurement department came in – a really thorough rationalisation where we would look at who their suppliers were and speak with their current providers,” she says. “Transition services were required; you would agree with a current provider to carry on providing the services for a certain period of time.”

Consolidation Another priority is to assess and rationalise the company’s new property portfolio, with a view to disposing of any unnecessary sites. “The people at the top of an organisation might just think they can finish a lease or sell a building but it’s not that simple,” says Kentish. “There are rules to follow and contracts to be dealt with.” The due diligence carried out ahead of the deal going through should have identified any long-term commitments and the potential for savings, says Prodgers. “It could be that none of the properties are suitable and a new HQ has to be acquired,” he adds. “It creates a lot of work for the FM so there may be an increase to the team because of the increased workload and then a scaling back later.” The number of buildings was dictated by our space strategy team, recalls the blue-chip FM. “We just got advised as to the decision and then had to go off vacating and relocating staff. My personal role was around the hard services of the building, so closing down or reducing services, trying to understand when we could hand the building back to the landlord or if we were going to mothball it for 12 months, in which case we’d need to do certain maintenance on it.”

New opportunities Yet if going through a merger or acquisition can bring with it uncertainty, stress and a notable increase in workload, it can also create opportunities. In the end, the whole experience worked out well for the unnamed FM. “My role 32 | 30 SEPTEMBER 2010 | FM WORLD

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“YOU MUST MAKE SURE THAT NOT ONLY ARE YOU DOING THE DUE DILIGENCE PROPERLY BUT YOU ARE AWARE OF THE POLITICAL SITUATION”

is now bigger and better and it presents more opportunities for career progression, either inside the company or externally,” she says. “In terms of personal experience for managing processes like this, it was absolutely invaluable.” “There’s a huge opportunity for the whole team to demonstrate their value-add to the boardroom, and as individuals it gives you the chance to broaden your scope and expertise,” adds Fielder. “FM teams in pharmaceutical, ICT or telecoms will have had great experience of this, and you’d imagine that in a couple of years those in insurance and banking will be very active in this area. People who have been through the process and got the experience will be much sought after.”

TOP TIPS

How to handle a merger hen Ready Mix Concrete (RMC) was acquired by Mexican company Cemex in 2005 it presented the UK FM team with a range of challenges. “Within a very short space of time we had 300 colleagues descending on the UK so our role was to make sure there was adequate space, workstations, buildings, technology and accommodation,” recalls Diana Kilmartin, head of UK FM at Cemex, who then worked for RMC. Her Mexican equivalent came over to the UK and between them they established how FM would function going forward. “The majority of the legacy RMC practices remained in place because they were more tailored to the UK,” she says. The difference in business culture was an issue. “My colleague suggested we changed the cleaning company because he thought the cost was high,” she recalls. “In Mexico you can just tell them to go but we had contracts and legislative procedures to follow.” There were some redundancies but this was not such a big concern as Cemex had no existing UK presence, says Kilmartin. It was a similar case with supplier contracts, bar a few major international deals. One area where there was an impact was in rationalising the property base. “Cemex saw that as quite an opportunity,” she says. “We have reviewed about 130 office locations over the past couple of years and reduced that down significantly.”

www.fm-world.co.uk

23/9/10 16:48:35

INK YL E RT TIS PE ER RO DV 1 A ON OR E R PAC FO S CH ESS AR IN 4E BUS LE AB AIL AV

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FMW.30.09.10.033.indd 1

20/9/10 15:19:12

FM FEATURE LOST & FOUND KEVIN STANLEY

The lost & found function is rarely managed by FM providers. Yet most public places operate this service. Isn’t it time FMs claimed their lost property? ery few of the UK’s largest FM providers are responsible for the lost & found function. Often, it’s bundled in with security, but most public places run their own schemes. Those FMs that do have responsibility feel it is an important, and often an amusing, function. “If you can drop it, we’ve found it,” says Nicki Smith, facilities manager, Incentive FM, at Crystal Peaks Shopping Centre, Sheffield. “It’s always personal belongings: bits of clothing, hats, scarves, gloves, purses, wallets, umbrellas, babies’ shoes, socks and toys. Fortunately, we’ve never picked up anything that posed any kind of security risk or any dangerous or hazardous substances,” she adds. Lost & found is dealt with by the customer care desk in the central atrium of the shopping centre. It is a core function for Incentive FM. All mislaid items are entered into the lost & found book at the care desk. They are kept for up to two months before being bagged up and stored in the archives. “We never dispose of anything,” says Smith. “If it is an item that can be identified, such as a credit card, a purse, or a wallet, we will always try to find the shopper immediately using the PA system,” she explains.

Rightful owners If a customer wants to retrieve a lost item the care desk team try to establish whether they are the rightful owner by asking for a description of the item. “We ask them to sign for the item as well as taking at least one form of identification and an

LOST PROPERTY: A SENSE OF RECOVERY Treasure, I land? The difference between lost property and treasure. To be considered ‘treasure’ and not mislaid property, the item must have been deliberately hidden or concealed, and sufficiently long ago so that the original owner is dead or not discoverable. Treasure is the property of the Crown. It includes items made from gold or silver as well as groups of coins from the same find which are at least 300 years old. What do I do with treasure? If you find treasure, you must report it to the coroner of the district where you found it within 14 days. If you fail to report your discovery without a reasonable excuse, you will be committing a criminal offence. What happens next? An inquest will decide whether the object is treasure and, if so, who the finder is. This may happen if the object is likely to be treasure and a museum wants to acquire it. The process can take several months.

34 | 30 SEPTEMBER 2010 | FM WORLD

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www.fm-world.co.uk

23/9/10 16:49:21

LOST & FOUND

“You name it, we’ve seen it: from 44GG bras and ladies’ toys, to two weeks’ worth of holiday clothes, including tickets and passports.” FM QUICK FACTS

address and phone number,” explains Smith. “Just in case they turn out not to be the real owner.” Resource Group handles lost & found for the South Yorkshire Passenger Transport Executive (SYPTE) in Sheffield. This includes tram and overground train stations, a large shopping centre and a coach departure point. “We have trams and trains nearby so people could be coming to the shopping centre from anywhere in the country. It makes it difficult for people to know where they have lost something,” says Bill Russell, Resource Group’s service delivery manager at SYPTE. “You name it, we’ve seen it. From size 44GG bras and ladies’ toys, to two weeks’ worth of holiday clothes, including tickets and passports,” he adds. To claim items, members of the public must go to the customer service desk, confirm their ID and describe the items that they are claiming. They then sign to say the item has been received and contact details are recorded. Lost money is a more serious matter. If it is found in a purse or wallet it is counted by two employees and then, just like any other valuable, it is secured straight away at the travel information centre, which banks money for safekeeping. Mobile phones regularly turn up. “We try to ring them if they have numbers such as ‘home’, ‘mum’, or ‘dad’ listed in the contacts,” says Russell. “We’ve had a few responses, but other times we get nothing. A lot have probably been stolen, or pickpocketed in the centre so the SIM cards will have been changed, or erased,” he explains.

CRYSTAL PEAKS SHOPPING CENTRE SHEFFIELD

Finders keepers

Lost cash donated to charity per year

Such items are retained for three months and then shredded. “Passports and driving licences are easier because they can be returned to the passport office or the DVLA,” he continues. Usually, people don’t know where they have lost something and therefore never reclaim it. If the rightful owner fails to turn up after three months the person who handed it in can claim it. “This sometimes happens, especially if it is an electrical item such as an MP3 player. Occasionally people will claim items of clothing if they are new,” says Russell.

33 50% 28 14.3%

Items found per month

Items claimed per month

Items reported lost per month

Items reported lost and later found

FM provider Interserve is responsible for a range of environments, from shopping centres to hospitals and offices to schools. However, the role of lost & found is more often dependent on the facility Interserve maintains and the services it provides rather than its role as a support services provider. Interserve believe that in a customerfacing environment where it manages services such as information desks and reception areas, it is usually appropriate for it to manage these services for its clients. “Where we do provide lost & found facilities, they are managed in line with the customer’s requirements,” explains Bernard Spencer, chief operating office at Interserve. “Even where formal lost & found facilities aren’t operated, we’d undertake a similar protocol to ensure that items aren’t mislaid or thrown away by mistake,” he adds.

Safety measures

CUMBERLAND INFIRMARY CARLISLE

10 10% £250

Items found per month

Items claimed per month

MANCHESTER ARNDALE SHOPPING CENTRE MANCHESTER

38 £500

Items found per month

The collection and storage of lost items can often be a problem though, especially in transient environments. Interserve aims to strike a balance between the likelihood of them being collected and the time it holds an item. “On average this is between one and three months, after which we’ll donate what items and cash we can to local charities,” says Spencer. At the Cumberland Infirmary, Carlisle, all kind of objects are handed in, the most common being, jewellery, hats and gloves. In a hospital, property is most often abandoned in the public walkways and toilets. Manchester Arndale has also seen its fair share of unusual lost items – from crutches to biolab specimen bottles. Items are received by Interserve employees, either at the reception desk or collected by the security team. When lost property is handed in directly, details are taken and an attempt is made to trace the owner. Sodexo Prestige handles several major events such as Ascot and the RHS Chelsea Flower Show. “Our clients handle the lost property process. If our staff find any lost property they must follow the clients’ procedures and give it to an appropriate person or place it in the pre-determined area,” says Paul Boon, events director, at Sodexo Prestige.

Lost cash donated to charity in 2009 (Cash for Kids) (Uncollected usable items donated to Barnado’s) Busiest time: Christmas

www.fm-world.co.uk

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23/9/10 16:49:36

FM FEATURE OCCUPANCY ANDREW MAWSON

With the registration deadline for the Carbon Reduction Commitment coming in next month, energy management is top of many firm’s agendas. But while the latest energysaving gadgets are flying off the shelves, businesses are failing to grasp the potential environmental (and economic) savings of agile working argues Andrew Mawson

ight now lighting suppliers, building control suppliers and energy consultants are having a field day promoting products that use less energy or manage energy better as organisations start to pay attention to the need to reduce energy consumption in offices. Landlords are busily investing in green buildings to differentiate them from the competition and for the existing stock of buildings, that far out-way the new, ‘green refurbishment’ seems to be the order of the day. But, shhhhhhh nobody is talking about agile working... To achieve the government’s target to reduce CO2 to 26 per cent below 1990 levels by 2020 we’re all going to have to work a lot harder at reducing the energy generated in running our lives. Offices have a big part to play, given that they account for some something close to 50 per cent of the UK’s CO2 which comes to 6.8 million tonnes, so there’s a lot organisations could and should do to drive down energy consumption and CO2. Recently I’ve made myself very unpopular attending sustainability and environment conferences by asking some awkward questions. I’ve heard people talking about the virtues of new low energy lighting systems, natural ventilation, green buildings, better energy management, using degree days and so on. While I applaud people who promote these technological and management developments I’ve become absolutely infuriated by the total lack of mention of agile working as a solution to the CO2 problem. And no, I’m not talking about home working. Sometimes when we talk about agile working, people get the impression we’re talking about shutting the office and having everyone working from home. Sure for some organisations this might be a sensible solution but for the vast majority of

WHY AGILITY IS THE KEY TO 36 | 30 SEPTEMBER 2010 | FM WORLD

036-038_FMW greenworkplace.indd 36

SUSTA www.fm-world.co.uk

23/9/10 17:45:53

OCCUPANCY

PHOTLIBRARY

OFFICES ACCOUNT FOR AROUND 50 PER CENT OF THE UK’S CO2 EMISSIONS (6.8M TONNES) large organisations in the public and private sectors the office is still where work is done, sometimes because of custom and practice and sometimes because there are regulatory, cultural or operational issues that make it difficult to go down the utopian flexible model. Much of our work over the last few years has been supporting real estate and IT leaders in building the evidence to support a change to agile working and helping people in large organisations understand and learn to get used to these new ways of working until they become natural. Most of this has been within the office…NOT involving home working. But for me driving out waste is as much a part of reducing CO2 as introducing new lighting systems, materials and controls and there is waste galore when we start to look at the use of buildings. It’s pretty well accepted these days that most desks in most offices are only occupied around 50 per cent of the time – or a grand 60 or so hours they are available for occupation every week out of 168.

That is waste on a grand scale. We know that in most offices we can improve both the effectiveness of the working environment, the efficiency of working practices AND reduce the waste in building capacity by increasing the number of people that use the building by 25 per cent to 30 per cent. We do this by getting people to work differently in the office and providing a range of the right IT tools and spaces to help people do their jobs better. We know from our studies people are not as happy as you’d think with the traditional workplace. People complain of distraction and not being able to find a suitable space to do tasks needing quiet or confidentiality. In fact about 50 per cent of people complain about distraction and an inability to find an appropriate space. So there has to be a better way of designing and using office buildings to get a better and more sustainable situation. Imagine an organisation that has five buildings of a similar size in a city or area it could easily, (lease

DESKS ARE ONLY OCCUPIED FOR 60 OUT OF AN AVAILABLE 168 HOURS A WEEK

TAINABILITY www.fm-world.co.uk

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FM WORLD | 30 SEPTEMBER 2010 | 37

23/9/10 17:52:04

FM FEATURE OCCUPANCY ANDREW MAWSON

38 | 30 SEPTEMBER 2010 | FM WORLD

036-038_FMW greenworkplace.indd 38

FIGURE 1 QUIET SPACE

000s Frequency

4 3 2 1 0 Strongly agree

Agree

Uncertain

Disagree

Strongly disagree

There are adequate numbers of small rooms or other suitable areas available for quiet or confidential work FIGURE 2 NO DISTRACTION

000s 8 Frequency

breaks permitting) retrofit agile working into four buildings and dispose of the fifth. With a fully loaded typical workstation costing anything between £9,000 and £22,000 this could be a large amount of saving in cash for even a medium-sized organisation. But the biggest secret of all is the sustainability dimension, and not even the environmentalists have cottoned on to it yet. So let’s imagine you take my advice and dispose of one of the five buildings and retain the other four. You have immediately reduced your energy consumption and therefore CO2 emissions by 20 per cent at a stroke. If you are smart you would have introduced agile working in the other buildings spending some capital budget creating a more scientifically constructed workplace suited to professional tasks and mobility, re-stacked the buildings and implemented a change programme to make sure people are prepared for the changes that agile working brings. So what about the increase in energy consumption in the other four buildings because of their more intense usage? Well there is not much real research in the public domain on this at present, but the anecdotal evidence from some of our clients in the public and private sector is that increasing the intensity of occupancy from 50 per cent utilisation to 75 per cent-80 per cent has only had a marginal impact on energy consumption probably between 4 per cent and 6 per cent. The experts have pointed out to me that all buildings have a base load. In other words the amount of energy they consume whether they have 1 or 1,000 people occupying them. That base load is generally pretty big and so it takes a lot of increased demand to create any additional power consumption beyond the base load. So in my earlier example, each of the retained buildings were being lit, cooled and powered 100 per cent even when they were only being used at a 50 per cent utilisation level. So, increasing the number of people working from the building appears to have a very limited impact on energy consumption. Going back to the example, let’s say each of the buildings when operated in a traditional fashion had 500 workstations and people, then on a conservative estimate the closing of one building will save £5m per annum (assuming a £10,000 per year cost of a workstation). We might spend £3m to augment the retained buildings with new meeting spaces and quiet spaces, upgraded IT and telephone systems and possibly invest in new energy efficient building controls and lamps and we’ve got our money back almost immediately. We’ve saved £3m year one and over a five-year period £22m AND saved probably around 15 per cent in carbon emissions per annum.

6 4 2 0 Strongly agree

Agree

Uncertain

Disagree

Strongly disagree

The activities of people located near me do not distract me when I am working Source: AWA research based on 19,000 office workers

I’m not knocking organisations that are trying to make their buildings greener. We all have to attack CO2 reduction with whatever tools we can. But we can achieve more CO2 and cost savings faster by introducing agile working as part of a green occupancy programme. Of course such a change to green occupancy, requires lots of people who have engrained attitudes and behaviours to change their ways, but a great many organisations have made the change and their businesses are operating effectively. Getting people to work in a mobile, agile way within the office takes leadership and commitment and a carefully constructed change programme to prepare people for change but there is a science emerging that allows these changes to be achieved without any loss of business focus or motivation. So next time you are talking to your colleagues about sustainability, ask them why they are not considering agile working and green occupancy as a key part of their sustainability programmes. There really is no reason why the link between agile working and sustainability should be secret. Andrew Mawson is managing director of Advanced Workplace Associates

www.fm-world.co.uk

23/9/10 16:57:25

www.dysonairblade.com

Costs £1,460.00 per year to run.

Costs £39.78 per year to run.

Based on 100 people visiting a washroom twice a day, a paper towel dispenser will get through 146,000 towels a year.

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Usage based on 2 towels per dry (data from Dyson internal research – Sept 2008). 1600W machine shown. Calculations include standby power. Cost based on 1 pence per paper towel (data from Dyson internal research – Jan 2010) and £0.1194 per kWh (data from Eurostat 2009 Semester 2 – published March 2010). Paper towel dispenser and Dyson Airblade™ hand dryer purchase costs are excluded from comparison. 10 second dry time based on NSF protocol P335.

Dyson bleed.indd 1 FMW.30.09.10.039.indd 1

16/9/10 15:20:09 16:57:24 20/9/10

FM WORLD INTERVIEW BEV NUTT

ANNE LENNOX MARTIN

Photography: Akin Falope

Anne Lennox Martin: When was the first time you heard the phrase ‘facilities management’ and what did it mean at that time? Bev Nutt: I’d like to twist that question a little. The first time I heard ‘facilities’ was in the internal DEGW publication which Jane Bell edited. Right from the start, I and others didn’t like the word. You had to speak it in an American accent for it to sound good. It was pre-1988 and I was at University College London, as a senior lecturer in the faculty of the built environment. I trained as an architect and architecture was going in a direction I didn’t like. When I was educated in the profession, user requirements and user participation was critical to the briefing and the design of buildings. It was all about making sure that the future users of buildings are able to adapt what they inherit and manage it into the future. But that changed. A: I know that you and Frank Duffy were saying to architects “look, this has to change.” B: Architecture was returning to its roots, that is a very egotistical, ‘I’m the great creator’ type. I know it’s not like that now, which is fantastic. At the time I thought I’ve either got to take this on the chin or I’ve got to do something else and so I did. I was granted a sabbatical and one of the things I did was to think through what I might do on the education side and that lead into a Masters proposal in FEM. I must stress facilities and ENVIRONMENTAL management. It was there from the start. A: And that was when David Kincaid got involved? B: I’d never done facilities management, so we had to have someone twinned with me who had vast practical experience so their skills would 40 | 30 SEPTEMBER 2010 | FM WORLD

040-042 History.indd 40

In the first of a series of interviews with key players in the development of the facilities management profession, facilities management consultant Anne Lennox Martin, one of the first people to take a Masters degree in FM, talks to Bev Nutt, who led the course at UCL in the early 1990s

LIVE AND LEARN complement mine, not compete or duplicate them. David’s name came up. He has an engineering background and extensive North American experience and UK experience with IBM. So we matched together well. David came to us initially on part-time appointment because that’s all we could afford but luckily, having come from IBM, money was not a concern. Later on he became a full-time member of staff and is now an honorary reader at UCL. A: When you made the decision to get heavily involved in facilities management and the Masters, what was the key that decided, ‘this is where I’m going to focus my career?’ B: Well I didn’t. It was a part of my career but not all of it. One thing I missed out was that before I directed the intellectual property business for UCL,

WATCH Anne Lennox Martin and Bev Nutt discuss the early days of facilities management at fm-world.co.uk

www.fm-world.co.uk

23/9/10 16:51:01

Bev Nutt career file NAME: Professor B.B.Nutt BORN: 1940 in Bedford LIVES: Milton Keynes EDUCATION: Wolverton Grammer School and University College London QUALIFICATIONS: BA Architecture CAREER:

I’d been deputy director for the Joint Union for Planning research – between UCL and the London School of Economics. This was 30 people, a crossdisciplinary group. It was from urban management to what I know from DEGW, workplace management which are the user requirements. It was a very large spectrum of interests. What brought me down to a good clear focus was the Association of Facilities Management, which was tremendous. A: How did you get involved in the Association of Facilities Management? B: It was Geoff Gidley who was looking for someone to be on the board of the AFM who could have wear an educational hat. Frank Duffy contacted me and that’s how I joined. Geoff wanted me to set up an education www.fm-world.co.uk

040-042 History.indd 41

committee at the AFM, which I did. In the early days, everyone was giving their time for nothing so we had big ambitions but between meetings we were continuing with our paid jobs so it was very distributed and continued to be like that when it became the BIFM. Geoff was the godfather. Always. He has a superb ability to bring people together and help them to resolve, in a positive way, any differences. And he was very useful to us in establishing the MSc because I needed an external examiner with academic credibility and he’s got a chemistry PhD. A: How did the BIFM committee appoint John Crawshaw? B: It was scale. The membership was growing and growing and there were just a few people and you really needed something to organise this effort. John,

September 2006 to present: Emeritus professor of Facility and Environment Management, University of London 1995-2006: Professor of Facility and Environment Management, UCL and 1992-2006: Course director, MSc in Facility and Environment Management 1995-2005: Board member of UCL council representing the Faculty of the Built Environment 1990-97: Director of Research and Application, Bartlett, UCL. Responsible for the promotion and co-ordination of applied research and consultancy work across the fields of architecture, planning, environmental design and engineering, construction and facility management 1992-93: Dean to the Faculty of the Built Environment, UCL and vice dean 1988: Acting head of department, The Bartlett, UCL and course director MSc in Environmental Design and Engineering 1997-78: Expert witness and subsequently official external advisor to the UK government’s Committee of Enquiry into Motorway Services [The Prior Committee] 1980-87: Founding Director of UCL’s Academic Services Unit (ASU), now (UCLi). Initiating and managing applied research and consultancy business for University College London as a whole, to exploit and apply UCL’s expertise and intellectual property worldwide, through contracts with overseas clients, industrial companies, professional firms, research organisations, overseas clients and government agencies 1970-75: Deputy director of the Joint Unit for Planning Research [JUPR] responsible with Professor Cowan for the management of this joint University College London/ School of Economics interdisciplinary research unit. Personal responsibilities for the research programme into the causes and repurcussions of obsolescence with in the UK built environment, housing obsolescence and the development of failure planning methodology. 1975-78: Sub-dean and faculty tutor to the Faculty of the Built Environment and part time design tutor at the Bartlett 1968-69: Architect with the Ministry of Public Buildings and Works 1964-66: Architectural assistant with Llewelyn-Davies Weeks and Partners

FM WORLD | 30 SEPTEMBER 2010 | 41

23/9/10 16:51:24

FM WORLD INTERVIEW BEV NUTT

with his military background, was superb. The beginning of the AFM/ BIFM’s conference programme, he was the person who pushed it from the start. There was a group of people in the AFM who were very senior. There was John Jack, Marilyn Standley, Roger Reeves; these people had little time to contribute but my goodness did they contribute. At that time they were very excited, they saw FM as a new profession, alongside the Riba and the Rics. There are some issues of definition and I believe that BIFM have adopted the European definition of FM. It’s probably a very sensible line to go down but it’s very limited and I hope they (the BIFM) realise it’s so limited. A: Let’s go back to John Jack, who to me is the godfather of outsourcing. He used to talk about outsourcing and I used to talk about building the in-house team and we ended up talking about virtually the same thing – ‘it’s all about the people.’ Is that your memory? B: It wasn’t when I first met him. John and his people had been with IBM but were now separate. They said they didn’t want FM in house but to be dealt with separately and that’s what happened. I was invited down to Waterlooville to do a presentation about the central nature of FM, what it did and didn’t encompass in America and Europe. I went down and all the people were amazing, of exceptionally high calibre. We had a great meeting and from then on we had a working relationship. John gave a huge credibility to the early days of FM because people knew what he’d done, knew where he’d came from and they respected him. A: What do you think is your greatest contribution as you look back now? 42 | 30 SEPTEMBER 2010 | FM WORLD

040-042 History.indd 42

ANNE LENNOX MARTIN

B: Two things, not to sound arrogant. Before we ever met I had done my homework looking at library sources, meeting key people, I had perhaps approached over 50 senior people to try to get to grips with what FM was and what it could be. I was trying to develop a model curricula for FM courses. That became quite a seminal paper. We had a working party on core competencies in AFM. One of the contributions I think was the notion that you ought to start defining what you’re about. The other thing is FM research. It proved to be hugely successful. One of the reasons for UCL respecting my area was because of the money I brought in. Money speaks at the university. Once you talk about millions coming in, they love it. I think the research was important. A: What’s changed most since you’ve retired with where FM sits today? B: BIFM membership has grown and grown, it’s a very large membership. To a large degree as a quasi-professional organisation, you have to serve the membership, provide what they need, help them and I think the BIFM does a superb job in that position. But you are somewhat trapped by the membership, because things you may, at board level, think are important to FM are not important on the shop floor. If you go down the operational support services line, that’s fine, that’s your real core competence, the people based approach which is now common place. On the other side, if I had five years more work left, it’s about operational strategy, to go into an organisation and in relation to the management support environment. Operation strategy gets over all this silly thing ‘I’m operational’ ‘ you’re strategic’ the class divide between the people doing the

PROJECT

History lesson: the FM journey he BIFM has launched a project to create a comprehensive archive of the history of facilities management in Britain, including the institute’s own development. The BIFM wants to hear from people who were around in those pioneering days. Of particular interest are those FMs with insight and knowledge of the two organisations that came together in 1993 to form the BIFM - the Institute of Facilities Management and the Association of Facilities Management. If you have any hard copy material about the early days of what we now know as FM, please get in touch with the BIFM. Information is needed on the development of the BIFM, or its predecessors, for the period prior to 2000, such as minutes of the association’s councils, specialist groups, regional groups, members’ newsletters, conference programmes and papers. Many of these documents may be tucked away in people’s personal archive boxes in their store-rooms or roof space. Please contact Graham Briscoe at graham.briscoe@bifm.org. uk with details of what you have. All material donated will safely deposited and catalogued for retention in the BIFM archives.

real work and the people on the board. If you start with what is the most appropriate operational strategy to this company you then can push down to the work and occasionally you can push up and see the business strategy. A: What advice would you give to young people coming into the profession now? B: If anybody wants to do it via a university education route, I would say get a good first degree in something semi-relevant and pursue it in the traditional way. But the majority of people come through the work place and this is where I do think that the professional development route we set up is really the exciting route still. Looking to the future it should be less cumbersome, it takes too long, very bureaucratic. I would concentrate on that route. A: If you could do one thing differently in your career in FM, what would it be? UP NEXT

B: A very difficult question. Because we were the new kid on the block, I wasn’t firm and strong enough in pointing out the absolutely essential contribution of FM in securing a competitive national infrastructure. In securing much better support services, a very important political point at the moment. I feel I did not push enough the management component. Today you get people talking about doing more for less. Do they realise that’s impossible? You can, in a way do the same for less if there are gross inefficiencies in the system but I was thinking you can do it differently for less. That’s the point. That’s why in a way I’m sad to be retired because I think what’s happened in Britain there’s no better factors than those outside your control to act as a catalyst to let you push things through that you wanted to anyway but now you’ve got a proper reason for doing it.

Next month facilities management consultant and former BIFM chairman Lionel Prodgers will meet up another former BIFM chairman John Crawshaw

www.fm-world.co.uk

23/9/10 16:51:43

Advertorial

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CFCs are Phased Out in Favour of CO2 – But Still Need Special Care Over the years we have all heard that the use of CFC has been a major contributor to the depletion of the ozone layer and legislation has been in place for some years to control and reduce its use in both the commercial and consumer sectors. What many people will not know is that CFCs were deliberately introduced many years ago as a lower cost option and easier to manage refrigerant gas than the, at that time, common CO2 coolant. CO2, carbon dioxide or to use its refrigerant name R744 is now being re-introduced into the commercial and industrial sectors as the refrigerant of choice. The retail environment in particular has decided to use it more commonly to operate all high temperature and in some instances low temperature equipment. CO2 had been used less and less since the introduction of CFC’s some time ago but the effects of CFC’s on the environment with Global Warming Potential (GWP) and Ozone Depletion Potential (ODP) having generally been acknowledged as being harmful to the environment. For this reason, from 2010 only recycled HCFC’s will be allowed in new installations, therefore the predominant refrigerant group would be HFC’s such as R404a. But HFC’s are also considered as not environmentally sustainable in the longer term due to their high Global Warming Potential (GWP) which has emphasised the need to switch to environmentally acceptable alternatives. CO2 has now been chosen by many retailers, such as Sainsbury’s, Tesco, M&S, Waitrose and the Co-Op, as their primary refrigerant due to its excellent coefﬁcient of performance and very low GWP. As an example R404a has a GWP of 3750 whereas R744 has a GWP of 1. R744 does however have a negative side as it runs at

very high pressures unlike the currently used CFC’s, HCFC’s and HFC’s. Also due to its requirement to run at high pressures, if it is dispersed through accident or malfunction in the wrong environment the resulting gas escape could cause serious injury or fatality. For this reason, very strict protocols have been set in place such as specific training courses and in the examples of M&S and Sainsbury’s the companies have insisted engineers can only work or operate their CO2 equipment if they have attended and passed their company specific CO2 course operated by an approved training body. Westway Services currently maintain 3 Marks & Spencer stores ( Epping, Witney and Cambridge) that have CO2 sub-critical systems and have a number of trained and highly skilled engineers who have to deliver reactive and maintenance on a 24/7 basis to these stores. Westway Services have repeatedly delivered fast and efficient repairs to these stores including replacing CO2 after it has vented to atmosphere. For any retail or wholesale business that relies on refrigeration for much of its stock the changes in legislation can and will make significant differences to the way that you manage your freezers, cold stores and blast chillers. Only by engaging the services of a company like Westway can you ensure you are not only legal but can also be seen to have the duty of care for the environment and your staff that is now so important. Westway Services Ltd offers a wide range of services for building management, environmental control, building and construction, project management and business systems audits. Full details visit www.westwayservices.com

DELIVERING YOUR ENVIRONMENT WE OFFER INNOVATIVE SOLUTION FOR ALL BUILDING SERVICES ACTIVITIES Our team is dedicated, experienced and committed to ensuring we consistently create ground-breaking, environmental solutions. It’s why so many companies trust us to deliver the environment that’s right – every time.

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FMW.30.09.10.043.indd 1

20/9/10 15:21:32

FM MONITOR PAUL PADDICK

LEGAL UPDATE

Paul Paddick is managing director of safety compliance specialist PHS Compliance, part of the PHS Group

A ROU N D-U P O F GA S SA FET Y L EGI S L AT I O N

ith 72 codes of practice in gas safety, and stiff penalties for failure to comply, it is tricky area for facilities professionals. Paul Paddick summarises the relevant legislation

Gas must be treated with respect. It can escape and silently poison or even cause catastrophic explosions, so it must be carefully managed. Meeting the legislation and standards for gas safety is not easy but duty holders must make sure they understand them.

you are prosecuted for breach of health and safety law, and it is proved that you did not follow the relevant provisions of the code, you will need to show that you have complied with the law in some other way or a court will ﬁnd you at fault.

The law Gas safety legislation stems from the Health and Safety at Work Act 1974. Added to this act are speciﬁc regulations: Pipelines Safety Regulations 1996, Gas Safety (Management) Regulations 1996, Workplace (Health, Safety and Welfare) Regulations 1992, Management of Health and Safety at Work Regulations 1999 and ﬁve more. Other legislation for gas includes: the Gas Acts 1986 and 1995, Gas Appliance (Safety) Regulations 1995 and Building Regulations and Building Standards (Scotland) Regulations.

Legislation The essential phrase to consider is in Part F of Regulation 35: “It shall be the duty of every employer or self-employed person to ensure that any gas appliance, installation pipework or ﬂue installed at any place of work under his control is maintained in a safe condition so as to prevent risk of injury to any person.” Regulation 4 qualiﬁes that this means taking reasonable steps to ensure that the person undertaking the work is, or is employed by, a “class of persons” approved by the Health and Safety Executive (HSE). In other words the person undertaking the work must be

Codes and standards In addition to the above, there are ACOPs (Approved Codes of Practice) for gas that support the legislation, plus the relevant British Standards totalling 72, which cover ﬂues, valves, meters and regulators, tubing and appliances. Knowing, understanding and following these 72 separate standards is an onerous task, yet this is what is required for compliance. As it states in the Gas Safety Regulations 1998: the code has special legal status. If 44 | 30 SEPTEMBER 2010 | FM WORLD

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registered with Gas Safe and qualified to the appropriate ACOPs for the specific job in hand. In 2009, the Corgi gas registration scheme was replaced in the UK by the Gas Safe Register: the official body for gas safety in UK, Isle of Man and Guernsey, run by Capita Gas Registration and Ancillary Services. The sole focus of the register is on improving and maintaining gas safety to the highest standards. Gas Safe holds the only official list of 120,000 gas engineers legally able to perform gas work on boilers, hobs, ovens, fires and all other gas appliances. Anyone carrying out gas work must have a Gas Safe Register ID Card. If not, they – and you – are breaking the law. Compliance The route to legislative compliance begins with risk assessment, as recommended by the HSE, to establish hazards and necessary precautions. That assessment should inform what is subsequently done in terms of a test regime and maintenance schedule. It should be conducted according to that assessment and in line with regulations and ACOPs.

COMPLIANCE ON A BUDGET Get competitive, comparative quotes or tenders. Don’t be fooled by cut price testing where charges are loaded on remedial repairs ● Use flexibility to your advantage: Plan in advance and build all the timing and site access flexibility in that you can to claim competitive pricing ● Negotiate a longer contract for testing that will span three, four or five years. You are sure to get preferential pricing ● Link the buying of your gas safety requirements to electrical testing and other services to maximise your buying power ● Source a supplier with multi-skilled engineers - it could mean less time on your site and hence cost reductions ●

For gas this means annual inspection and test of gas appliances, pipework and flues in every type of property, other than private domestic. Test and inspection is not often where compliance is completed; it’s where the process starts. For gas, that’s easier said than done because of the complex Corgi legacy: there are many, many ACOPs for gas and it is essential to establish that the engineer conducting the assessment is qualified for the specific item or situation. For example, an engineer qualified to inspect domestic gas appliances may not be suitably qualified for commercial appliances, while an engineer qualified to assess one grade of pipework may not be qualified to assess other grades. In fact, there is training and qualifications for every one of the 72 ACOPs. It is extremely complicated and requires both awareness and diligence on the part of the Duty Holder. If an accident were to occur and the HSE to investigate, one of the first things they would scrutinise would be the specific qualifications of the gas engineer. So it is advisable to check the engineer’s registration card before allowing access and verifying the details on the Gas Safe online register to establish that the individual’s specific qualifications match every aspect of your site’s specific requirement.

USEFUL SOURCES

– gassaferegister.co.uk (Official register of qualiﬁed gas engineers) – hse.gov.uk (Health and Safety Executive – a source of advice and legal information about health and safety in the workplace) www.fm-world.co.uk

23/9/10 17:00:32

LEGAL NEWS

New legislation CO M I N G I N TO FO RCE O N 1 O C TO B E R 2010

Next month sees the introduction of new employment legislation affecting employers and facilities management professionals. From 1 October 2010 new National Minimum Wage levels will apply. The adult hourly rate will increase from £5.80 to £5.93; the hourly rate for 18 to 21 year olds will increase from £4.83 to £4.92; and the hourly rate for 16 to 17 year olds will increase from £3.57 to £3.64. A minimum wage rate of £2.50 an hour will also be introduced for apprentices aged under 19 and apprentices aged over 19 who are in the first year of their apprenticeship. The Equality Act Also coming into force (in part) in October is the Equality Act – which was passed in April but has yet to become law. This streamlines nine separate pieces of employment legislation into a single act. Employers’ responsibilities remain largely the same but there are areas where protection to certain groups has been extended so it is worth reading through the legislation and checking if you are affected. What’s staying the same? • Direct discrimination on the grounds of age, disability, gender reassignment, race, religion or belief, sex, sexual orientation, marriage and civil partnership and pregnancy and maternity

(now known as protected characteristics) What’s new? • The outlawing of associative discrimination (direct discrimination against someone because they associate with another person who possesses a PC) in the PC areas of age, disability, gender reassignment and sex. The rules are already in place for the other PCs apart from marriage and civil partnership or pregnancy and maternity. • The outlawing of discrimination by perception (direct discrimination against someone because others think they possess a particular PC) in the areas of disability, gender reassignment and sex. Rules are already in place for age, race, religion or belief or sexual orientation but the law does not yet cover marriage and civil partnership or pregnancy and maternity. • The outlawing of indirect discrimination (which occurs when you have a rule for everyone which may disadvantage a particular PC) in the areas of disability and gender reassignment. Rules already exist for the other PCs apart from pregnancy and maternity. • There are also new rules governing harassment by a third party. Employees are potentially

liable for harassment of their staff by people they don’t employ in the PC areas of age, disability, gender reassignment, race, religion or belief and sexual orientation. Rules already exist in this area for discrimination because of sex but not for marriage and civil partnership and pregnancy and maternity. Where are there changes? There are several changes to the existing legislation in the area of harassment – employees can now complain of behaviour they find offensive even if it not directed at them - in several PC areas; and also in the area of victimisation (where someone is badly treated because they have made or supported a complaint or grievance under the Equality Act). Read the relevant sections of the act carefully to check how this affects your organisation For more information on the Equality Act download the Acas guide The Equality Act – what’s new for employers? from acas.org.uk. The Equality and Human Rights Commission (EHRC) also has extensive guidance in this area which can be downloaded at equalityhumanrights.com

CRC deadline closes Registration for the Carbon Reduction Commitment energy efficiency scheme, for organisations using 6,000MWh annually, closes on 30 September. The scheme is designed to increase awareness of the impact of energy use and to drive changes in behaviour and infrastructure. If organisations do not register, they face an immediate £5,000 fine and the fine will increase by £500 a day. More information is available from the Environment Agency at environment-agency.gov. uk or at fm-world.co.uk

Security guard faces trial A shopping centre security guard is on trial for killing a shoplifter using “inappropriate” restraint techniques. Sam Bawden was employed by security firm Professional Security Management. He is accused of chasing shoplifter Aaron Bishop into a gangway before holding him around the face and neck. Three other staff joined Bawden to restrain Bishop, before police arrived at the scene 10 minutes later. By that time, Bishop had died. Bishop had been caught on CCTV stealing a bottle of perfume.

MoD faces Crown Censure The Ministry of Defence has received a formal Crown Censure from the Health and Safety Executive after potentially exposing workers to deadly asbestos fibres. It relates to an incident in 2005 at an MoD base near Bicester, Oxfordshire. The MoD’s facilities management provider firm Interserve has been fined £33,000 and ordered to pay costs of £17,936.

NEED SOME GOOD ADVICE? The Good Practice Guide to Refurbishing office interiors The BIFM publishes a series of good practice guides which are free of charge to all members. For a full list of titles or to download the guides visit www.bifm.co.uk Non-members: call 020 7880 8543 to order your copy

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FM WORLD | 30 SEPTEMBER 2010 | 45

23/9/10 17:00:48

FM MONITOR JOHN LANE

TECHNICAL

John Lane leads Cundall’s IT and communications team

IN VESTIGATIN G EL ECT R I CA L DA M AGE

government agency had just moved into new premises when power problems struck. The result was substantial damage – and a forensic puzzle

One morning without warning, lighting at a government office started to flash and personal computers began to fizz. Then their screens went blank. Managers sounded the fire alarm and evacuated the building. Although the fire brigade found no obvious damage, electricians discovered a loose wire in the distribution board on the affected floor and an overheated 125amp switch disconnector that fed the board. The damage to the PCs though, was far more serious. Nearly 100 had been burnt out. Their power units were destroyed and while the main board and central processor appeared to be working, their life or reliability may have been reduced. Some of the lighting controls were similarly damaged but the light fittings themselves had survived. Given the cost of the damage and the disruption, Cundall was asked to investigate what had happened, what was needed to prevent any recurrence – and who was to blame. The contractor had installed a 4-pole switch disconnector on the incomer to the three-phase distribution board to the floor. Following forensic examination of the 4-pole switch disconnector, it was determined that the neutral terminal clamp had not been tightened properly. This led to local arcing, overheating and melting of the switch disconnector casing, which in turn led to the neutral pole opening while the phase 46 | 30 SEPTEMBER 2010 | FM WORLD

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poles L1, L2 and L3 remained connected (see diagram). Initially, the government agency believed that the computers and lighting controls had been damaged by a supply surge. The electrical supply company was asked to monitor the supply to the building for a month. While the supply was on the high side (240Vac compared to a nominal 230Vac), there was no evidence of any surge. The loss of the neutral connection in the distribution board resulted in up to 400V Merlin Gerin MGI1254 FP switch disconnector 125A

across the 230V input terminals of the PCs and lighting controls. With the neutral disconnected and the phase conductors still live, a circuit was formed between the phase conductors at 400Vac. If the loads were exactly balanced and resistive, then there would only be 200Vac across each load and no damage would occur. However, with switchmode power supplies in the PCs and the uneven numbers of PCs on each phase, the situation becomes much more complex. It is difficult to be certain of the mechanism but we suspect that as the switch-mode power supplies draw current for part of the cycle and are not synchronised with each other, some individual PCs will be subject to 400Vac. As individual PCs become damaged those that remain are also subject to 400Vac. In a few seconds all the PCs were damaged – rather like the bulbs on a Christmas tree that fail to shortcircuit, while the remaining bulbs glow brighter and brighter until they fail too.

Lessons learnt Any failure in a neutral connection where 3-phase supplies are distributed to single-phase loads like PCs will

be catastrophic. Designers have the choice of using a 3-pole switch disconnector with a solid neutral link, or a 4-pole switch disconnector. There are some situations in which 4-pole isolation is mandatory such as where the neutral conductor is of a smaller cross-section that the phase conductors or where there is an alternative source of energy such as a generator or UPS. Electricity supply companies insist on 4-pole isolation where standby generators are used to support a load, in case of public supply failure. There has been a recent trend towards using 4-pole isolation even when not mandatory. Reasons vary but some designers are driven by health and safety concerns: 4-pole isolation ensures that a circuit can be completely isolated regardless of anything happening upstream. In all cases, neutral terminals and links must be carefully checked. If 4-pole isolation is used the additional risk of potential damage to singlephase loads must be considered. The risk can be minimised by selecting high quality switchgear, careful installation and regular testing with a thermal imaging device.

FAULT CONDITION WITH OPEN CIRCUIT NEUTRAL Riser Bus Bars

Riser Bus Bars

400V ac 3-Pole Isolation (solid neutral link)

4-Pole Isolation (switched neutral)

Neutral open circuit www.fm-world.co.uk

23/9/10 17:03:02

R22 REPLACEMENT

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Nobody knows Daikin better Space Air’s 30 years experience with Daikin equipment and over 650 years collective expertise in technical, practical, commissioning, logistics and spare parts management is complemented by 500 in-house manufactured mechanical and electrical accessories, ensuring that every customer has access to the highest level of product support. With significant developments in technology, older forms of air conditioning and heat pumps operate less efficiently than those available today. Daikin is arguably the largest manufacturer in the field of air conditioning. With over 2000 models covering Splits, VRV, Roof Top Packages plus Air & Water cooled Chillers. It is possible to find the ideal solution to any equipment replacement need.

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FMW.30.09.10.047.indd 1

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r22@spaceair.co.uk www.spaceair.co.uk 20/9/10 15:23:13

FM MONITOR JOHN DURBIN

HOW TO…

John Durbin is engineering department manager at Dalkin UK

MAXIMISE EF F I CI EN CI ES FRO M A I R CO N DI T I O N I N G SYST E M S

conomic uncertainty is increasing the heat on FMs. Managers across the country are now seeking double-figure efficiencies on their air conditioning systems. John Durbin offers 10 tips on how to keep your cool while also reducing carbon emissions

1⁄

Switch to VRV systems

Variable Refrigerant Volume (VRV) technology delivers typical efficiencies of between 300 per cent and 500 per cent – among the highest levels being achieved in the industry.

2⁄

If possible, employ heat recovery

Within the VRV system, employing heat recovery has been proven to deliver a Coefficient of Performance (COP) of more than ten – previously unheard of. Balanced mode operation is achieved by cooling one area of the building, which is experiencing the highest heat gains, and transferring that reclaimed heat to other areas of the building that need heating. (The same process can also be used to provide hot water for kitchens and washrooms.)

3⁄

Understand the system

The system works by indoor units maximising the occasions when this balanced operation can take place, with the heat recovery system diverting recovered heat to wherever it is needed, thus contributing significantly to the goal of zero heat rejection.

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4⁄

Analyse right from the start

Consider a building’s multiple requirements, usage patterns and varying occupancy levels in order to design a fully integrated system that optimises energy efficiency and heat recovery. Doing so will help you to achieve those industry-beating efficiency levels. A building manager will not necessarily be able to input into the early stages of design. However, they are more likely to be able to exert their influence in the efficient maintenance of these systems.

5⁄

Consider operating efficiency

An air conditioning system’s operating efficiency has an impact on emissions and energy consumption; it also affects the reliability, cost of maintenance and the life expectancy of the system. If air conditioning systems can be kept running at an optimum level, the result is longer lasting, cheaper to run units that produce fewer emissions.

6⁄

Remote monitoring

Remote monitoring involves gathering and analysing data from a particular system, usually by the air conditioning

provider via specialist equipment, which uses an internet connection, It is a useful weapon in the fight to ensure that systems operate at their optimum level.

forecast provision which is then combined with data collected from the air conditioners. If energy saving measures are possible, they can be made remotely.

7⁄

9⁄

Fault prediction

If using a remote monitoring system, ensure that it also provides a malfunction prediction module too. Via constant monitoring and analysis of data from the equipment, any abnormalities can be picked up at an early stage. This means failures can be prevented and possible down time reduced to an absolute minimum. Ideally, this service will also flag certain operational issues such as blocked or contaminated air filters or heat exchangers. As a result, performance and efficiency can be improved. This optimisation will also increase the lifespan of the equipment.

8⁄

Energy saving

The best remote monitoring equipment will also offer an energy saving function. Such systems should be designed to remotely adjust the operating parameters of air conditioners to ensure optimum energy efficiency. They can include a remote weather

Look for efficiencies

By examining how the real-life performance of an air conditioning system varies from its predicted performance, a canny FM can root out further efficiencies. As predicted performance is generally expressed in terms of nominal performance, there can be significant differences between this and actual performance.

10⁄

Get back to basics

Finally, don’t forget the basics – maintenance and inspection. Regular maintenance and servicing visits are vital to ensuring optimum performance, as is making sure units are clean and dust-free. Something as simple as a self cleaning cassette can optimise performance. It will maintain peak operational efficiency and significantly reduce the lifetime cost of the air conditioning system. Post-inspection and compliance reports can also contain valuable efficiency information.

TOP TIPS ● Heat recovery – taking excess heat energy (from refrigeration units or IT suites) and reusing it elsewhere ● Heat recovery in balanced mode – as above, but with the arrangement of the indoor air conditioning units to optimise performance ● Utilise remote monitoring – to prevent problems from occurring and to optimise performance ● Ensure regular servicing and cleaning of equipment – something as simple as self-cleaning filters within indoor units can increase efficiencies ● Take advantage of air conditioning inspections – not only are they compulsory (above a total of 12kW of cooling installed) but the subsequent report will offer useful information to improve efficiencies

www.fm-world.co.uk

23/9/10 17:03:35

Let us take the hassle out of your monitoring by doing it for you With the increased requirement to monitor services we have introduced servicetrac TM, a fully web based, highly flexible, realtime and paperless auditing solution. We undertake independent facilities services audits on your behalf, the results of which are entered onto a secure personalised database easily accessible by you through the internet. This service can be tailored to suit your particular needs or service provision, for example Catering, Cleaning or Maintenance with monitoring being carried out at agreed intervals.

Facilities Management Consultants

providing independent reviews, advice and service monitoring to Business, Industry, Hospitals, Education and many other service providers

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FM WORLDâ&#x20AC;&#x201A;| 30 SEPTEMBER 2010â&#x20AC;&#x201A;| 49

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20/9/10 16:34:46

FM MONITOR RICHARD MAUN

CAREERS ADVICE

Richard Maun is the author of Job Hunting 3.0, which gives advice on how to sell yourself effectively

T HE POW ER OF P RO CESS

ow do you manage your career? What strategies do you employ when looking for work? Do you adopt a random approach and wait for jobs to swim past? Richard Maun helps you to organise your thinking and maximise your opportunities

In my experience, when it comes to jobs, most people trust to luck and perhaps to the help of well-meaning friends or family. There’s nothing wrong with this, except that if another two million job hunters are also taking the same approach, then you’re spoiling your chances of getting where you need to go to. A better way to organise yourself, which has consistently produced higher grade results, is to work methodically through a process. Seeing job hunting and career management as a process causes a shift in our mindset and opens up opportunities to improve what we do.

The job hunting process If you build a good process and work through it, good things will come out of it; in career management and job hunting terms, a suitable process can look like this: 1. Identify the type of role you wish to apply for 2. Identify achievements which can help to sell you into that role 3. Put a value on each achievement 4. Add them to your CV 5. Set up weekly targets for job hunting activities 6. Send out CVs 7. Set up and attend networking meetings 8. Practise interview skills 9. Review your performance against your targets 10.Discuss progress with your supporters group This process is designed to balance thinking with doing, so that people take time to work out where they have performed 50 | 30 SEPTEMBER 2010 | FM WORLD

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well, give themselves attainable targets to follow and then have quality review time to keep track of performance. Simply sending out CVs is only one part of the process; if that’s all we’re doing then we’re missing out nine other key steps. The process accounts for three basic elements of modern-day employment that, in my experience, about 95 per cent of people overlook:

1⁄

All employment is a risk

We need to show potential employers that by giving us the job they will reduce that risk. We can do this by highlighting our transferable skills and experiences that fit the role in question. We need to put the key ones on our CV and make reference to them in emails and in cover letters.

2⁄

Employment costs money

We need to show an employer how they will get a

tangible return on that money. Adding a number to a sentence makes it more memorable and gives people a sense of the scale of our successes. Instead of saying ‘I trained staff in time management’, a better approach would be to say ’I trained 30 people successfully in time management, which increased departmental efficiency by 25 per cent and saved £4,000 per annum in overtime costs’. Numbers give truth to our stories. They sell us, and sell us well.

3⁄

Many jobs go to people who network

We need to appreciate that a network is a static collection of people whom we know, whereas networking means to go and meet with them, drink tea and get to know them. We can then ask them our vital question, which is: ‘who do you know who could use my skills?’ Ask for what you’re looking for, but never ask someone directly if they have work for you. If they do, they will tell you anyway, and if they don’t they will just be embarrassed about it. In our process we have time allotted to practise our skills,

including what we say when we introduce ourselves, answers to searching interview questions and our ability to maintain eye contact. Not being able to do all of these things will let us down when we’re under pressure. We practise our driving skills, our golf swing, even our vows before we get married. However, running through interview questions and answers seems to be beyond about 80 per cent of the people who complain they find it hard to get a job. Stop here and ask yourself; what’s the worst question I could be asked at an interview? Now you have that question, do you have an answer for it? It’s worth taking time to practise one, in order to avoid ‘dead air’ during your next interview, when silence descends and you shuffle uncomfortably in your seat. At least once a month take some time out with a trusted friend, or career coach and review your performance. What’s going well for you? What’s getting in the way of success? What do you need to do differently? Answer these questions, refine your process and become more successful.

INTERVIEW TECHNIQUE ● Sip water to give yourself thinking time when asked a tricky question ● Smile when you shake hands and say something warm like ‘nice to be here’, or ‘thank you for seeing me’. Politeness makes a positive impact ● Salt your interview answers with words such as great/fun/enjoyed/ rewarding as this lifts your tone of voice, and encourages you to smile at the memory, making you look enthusiastic and energetic ● Use smiles and nods to let people know you’re listening to them ● Notice areas of commonality with people and exclaim, ‘I do that too!’. When we have things in common we feel closer to people and are more likely to warm to them ● Hold eye contact for an extra half a second to reinforce a key point. This is assertive and will help you to appear confident

www.fm-world.co.uk

23/9/10 18:03:11

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hot dates Planning your future with us November 2 Energy Management 2-4 The Professional FM1-FULL 3 Energy Legislation 3 Cutting Costs but Maintaining Services 4 IOSH Safety for Senior Executives 9-10 Understanding and Managing Building Services 9-11 The Professional FM 2 11 Selecting and Controlling Contractors on site 15-19 Management Development - ILM Level 3 Award in First Line Management 16 Introduction to Catering Contracts 16-18 The FM Business School 17 Building Surveying and Maintenance 0207 404 4440 info@bifm-training.co.uk www.bifm-training.com

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23/9/10 11:26:05

FM MONITOR MARKET INTELLIGENCE

INSIGHT

The figures on this page have been compiled from several sources and are intended as a guide to trends. FM World declines any responsibility for the use of this information.

ECONOMY

PAYMENT

LANDFILL TAX

Bank of England base rate: 0.5% as at 9 September 2010. The previous change in Bank Rate was a reduction of 0.5 percentage points to 0.5% on 5 March 2009.

UK businesses paid their bills significantly faster during April to June of this year than they did compared to the same period last year. According to the Late Payment Index from Experian during Q2, 2010 businesses paid their bills an average of 20.99 days late compared to 23.61 days late in Q2 2009. Micro businesses (1 to 2 employees) led the improvements from Q2 2009 to Q2 2010 – from 21.01 days to 18.32 days followed closely by the largest companies (501 plus employees) – from 40.48 days to 35.43 days. The biggest improvements came from the IT sector, which almost halved its late payment times year-on-year (from 26.08 days to 14.27 in Q2 2010). The oil sector and the spirits, wine and tobacco trade also saw big improvements. The property sector continues to pay its bills the slowest, averaging 33.06 days beyond terms. This is over 13 days slower than the national average. The south-east saw the biggest improvement in payment performance since Q2 2009, going from 20.08 to 16.32 days beyond agreed terms on average. Only businesses in the south-west paid faster (15.83 days late). The only region to see late payment times worsen, albeit marginally, was Scotland - from 23.38 in Q2 2009 to 23.65 in Q2 2010. Averaging 25.16 days beyond terms, the north-west overtook London to become the slowest-paying region.

From 1 April 2010

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

Consumer Price Index (CPI) Annual inflation was 3.1% in August, unchanged from July but down from 3.2 per cent in June. Retail Price Index annual inflation was 4.7 %, down from 4.8 per cent in July. Source: Office of National Statistics (statistics.gov.uk)

EMPLOYMENT

National minimum wage Category of worker

Hourly rate from 1 Oct 2010

Aged 22 and above

£5.93

Aged 18 to 21 inclusive

£4.92

Aged under 18 (but above compulsory school age)

£3.64

A minimum wage rate of £2.50 p/h will also be introduced for apprentices aged under 19 and apprentices aged over 19 who are in the first year of their apprenticeship.

Standard rate Lower rate

» £48 » £2.50

per tonne

Note: Budget 2009 announced that the standard rate will continue to increase by £8 per tonne on 1 April each year from 2011 to 2013 inclusive and that the lower rate will be frozen at £2.50 per tonne until 31 March 2011.

CLIMATE LEVY CHARGE Taxable commodity supplied

Rate at which payable if supply is not a reduced-rate supply from 1 April 2009

Electricity

£0.00470 per kilowatt hour

Gas supplied by a gas utility or any gas supplied in a gaseous state that is of a kind supplied by a gas utility

£0.00164 per kilowatt hour

Any petroleum gas, or other gaseous hydrocarbon supplied in a liquid state*

£0.0150 per kilogram

Any other taxable commodity

£0.01281 per kilogram

These rates will change on 1 April 2011. See Notice CCL1/3 Reliefs and special treatments for taxable supplies at hmrc.gov.uk for a list of supplies exempt from the CCL and Notice CCL1/2 Combined heat and power schemes. Source: HM Revenue and Customs (hmrc.gov.uk)

SIZE OF THE UK FM MARKET

Source: experianplc.com

Rates of growth between 2005 and 2009 ENERGY PRICES

4% 4%

2005

Gas Indicative prices for July 2010 contracts (based on

2006

fixed price single site contracts)

Accommodation offset: The daily rate of the accommodation offset is £4.51 (£31.57 p/w) for each day accommodation is provided.

p/therm

Firm 25,000-

Source: HM Treasury (hmrc.gov.uk)

52 | 30 SEPTEMBER 2010 | FM WORLD

052_FMW_Insight.indd 52

1 mth

3 mths

1 yr

63.82

-8.7

4.2

-9.1

60.82

-9.1

4.5

-9.5

55.82

-9.8

4.9

-10.3

therms Interruptible <1m

2008 2009

Prediction of rate growth between 2010 and 2014 2010

1% 3% 3% 3% 3%

2011

therms Interruptible >1m

2007

% change

100,000 therms Firm 100,000-1m

Tax thresholds, rates and codes Basic tax rate 20% on annual earnings above the PAYE tax threshold and up to £37,400. Higher tax rate 40% on annual earnings from £37,401 to £150,000. Additional tax rate 50% on annual earnings above £150,000

per tonne

54.82

-11.1

5.0

-10.5

2012

therms Electricity Invoice-based all-inclusive prices, June 2010 p/kWh

% change

2014

100 kW-plus sites

7.38

1.4

-8.3

-21.7

1 MW-plus sites

6.31

-4.4

-12.5

-16.2

Source: EnergyQuote JHA

2013

Size of market: Source: MBD (mbdltd.co.uk)

£118.3bn www.fm-world.co.uk

23/9/10 17:04:12

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FMW.30.09.10.053.indd 53

14/9/10 10:36:06 FM WORLD | 30 SEPTEMBER 2010 | 53

23/9/10 18:11:37

BIFM NEWS BIFM.ORG.UK

GOOD PRACTICE GUIDES

GPGs set for launch at TWM The BIFM will be launching three new good practice guides at the Total Workplace Management exhibition next month in London. The event, which takes place on 6-7 October, will see the release of the Customer Care, Business Continuity and Risk Management guides. Authors of all three will be making presentations at the exhibition on the Thursday morning and will be available at the BIFM stand (D75) to answer questions. The presentation of the Customer Care guide will review how it supports facilities management professionals in creating a customer centric service. It will summarise how people, place and process are used to meet customer needs, manage customer expectations and deliver customer care. These essential elements are offered with practical, tried-and-tested methods. The Business Continuity presentation will give a practical approach to implementing good practice and will give a stepby- step guide to developing a business continuity plan using templates in the publication. The presentation will conclude with practical advice on establishing a governance framework. The third presentation will emphasise that risk management is a fundamental part of

TWM 2010: GPG authors to make presentations

everything we do yet often it can be a forgotten part of business practice. This presentation looks at risk management from the facilities manager’s perspective. The BIFM publications committee, which produces the good practice guides, is always looking for ways to improve their value and convenience. We have recently arranged a more convenient way for members to view the guides online. The institute’s website now has an additional link against each good practice guide, which presents them on screen as a normal book giving a more natural reading experience. i We welcome feedback on any aspect of the good practice guide service to members, email gpgfeedback@bifm.org.uk. Offers of support are also appreciated, either as guide authors, sponsors or reviewers

NING

Join us on our new network There are a number of different channels that you can use to connect with the BIFM – via the website and most recently Facebook, Twitter and LinkedIn. In a bid to enhance our social network offering even further, the BIFM has decided to launch a new social networking site called NetworkwithBIFM. The new social networking site will provide a way for members to connect and collaborate with each other via various tools such as videos,

IN THE CHAIR Name: Gordon Ludlow Job title: Managing director, Ergoplus Facilities BIFM role: Sustainability Sig chair Ludlow has been elected to the BIFM board as Special Interest Group representative.

54 | 30 SEPTEMBER 2010 | FM WORLD

054-056 BIFM news.indd 54

» Network with BIFM @ www.networkwithbifm.org.uk » Twitter @BIFM_UK » LinkedIn » facebook

groups, events, and forums. NetworkwithBIFM provides an enhanced way for special interest groups, regions, networks and committees to communicate with members and non-members alike and provide the latest updates of what is happening within each group. The new network will enhance engagement and awareness of what is happening within the institute and provide further networking opportunities for fellow industry professionals to communicate with each other underneath the same banner. NetworkwithBIFM will be used as an extension of the BIFM’s website and will help to further develop BIFM’s online offering and provide an interconnected, valuable and informative experience for all. The network will be launched on 6 October 2010 at Total Workplace Management.

REGIONS

Movers and shakers in committees The BIFM has recently seen a change in many committees, some of the latest movers and shakers are listed below. In the London region, Ismena Clout has handed over the responsibility of chair to Bernard Crouch. In the north region, Stephen Roots has taken over as chair from Ian Broadbent. In the south west, Gareth Andrews has taken up the position of chair from Beth Goodyear. With regards to special interest groups, the education Sig is now chaired by Martin www.fm-world.co.uk

23/9/10 17:04:39

Please send your news items to Jessica Beaven at the BIFM jessica.beaven@bifm.org.uk or call 0845 0581356

Pritchett, while Steve Dance has taken over as chair of the security & business continuity Sig. Both Martin and Steve are actively looking to add to their committees, and any interest in volunteering your services would be greatly appreciated. As voted for at the recent BIFM Members’ Council, Stan Atkins has been elected as the individual member representative, while Gordon Ludlow and Liz Kentish have been elected to the BIFM board as special interest group representative and Members Council Representative respectively. i If you would like further information contact Carolyn Knight at Carolyn.knight@bifm.org.uk

REGIONS

Governance committee: first meeting The new governance committee held its inaugural meeting under the recently appointed chair of the committee, Bill Clark, in the High Holborn offices of Davis Langdon LLP. Clark opened the meeting by welcoming the members of the committee: Ed Baldwin, Nigel McElvenny, Dom Sherry and Keith Waterman. The BIFM’s chief operating officer Gareth Tancred and strategy director Stephen Bennett were in attendance, together with Sharon McKenzie, governance assistant. The venue had kindly been made available by Keith Waterman. Between them the committee members represent experience in governance issues that spanned the voluntary, private and public sectors, including health, housing, defence, education and atomic energy.

www.fm-world.co.uk

054-056 BIFM news.indd 55

Gareth Tancred is chief operating officer

BIFM COMMENT E F F O RT S B E H I N D T H E SC E N E S

recently visited Dubai and was in awe at the transformation of what was apparently 40 years ago, a small desert fishing village to a giant ultra-modern tourist metropolis with everything you can imagine. The vision, construction and running of the hotels and attractions in Dubai is so inspirational, it’s little wonder they surpass what the rest of the world has to offer time and time again. A lot of this transformation is due to the diligent work of those in the facilities management field and indeed, it would not be possible without FM. It made me think about the transformation of the institute. Just like Dubai, much work goes on behind the scenes long before the glass and marble hotels open their doors to the public. In a similar way, the institute, which is still only 17 years old, is undergoing a similar transformation. If I look back over the last few months, there are some good examples of this transformation; for instance, the Members’ Day and Annual General Meeting that took place at the London IMAX in June. We trialled a number of new initiatives – a bold venue with unsurpassed presentation techniques, electronic voting, an enhanced format, etc. I am pleased to report back to you that our survey showed 100 per cent of those that attended thought that it was a huge success. Prior to that we launched our new qualifications, accredited by Ofqual at Levels 4, 5 and 6. Training centres are now delivering courses around these new levels. Soon you will see this network expand. Also this year, we introduced the new certified member grade – CBIFM. Congratulations to those who have already achieved it. If you’d like to find out more about the benefits of CBIFM, and how you too can achieve it, I encourage you to visit the website, visit us on stand D75 at Total Workplace Management on 6 and 7 October, or contact the membership team. Yet another example of the transformation is this issue of FM World. You will already have noticed changes on your favourite FM magazine. I am delighted with it and we hope you will also find it a change for the better. The FM World team and I welcome your comments. It is the time of year when most organisations plan for the future. The institute’s board also has been closely examining its strategic objectives. At a time when many organisations are planning flat or only very modest single-digit growth, the institute has its sights on much bigger plans. There are many exciting projects going on behind the scenes to continue this transformation and I can promise you it won’t take 40 years to deliver.

“YOU WILL HAVE NOTICED THE CHANGE OF STYLE OF FM WORLD. I AM DELIGHTED WITH IT WE HOPE YOU ALSO FIND IT A CHANGE FOR THE BETTER.”

gareth.tancred@bifm.org.uk

FM WORLD | 30 SEPTEMBER 2010 | 55

23/9/10 17:05:15

BIFM NEWS BIFM.ORG.UK

ISTOCK

BIFM TRAINING Stress at work: The PM Sig tackles the issues in a new programme of events

GROUPS

PM Sig sets events diary for 2011 The people management special interest group was launched in March this year. The group is currently putting together a programme of events for the year ahead with topics, such as motivation and stress, selected based on the results from our survey of BIFM members. One very exciting development is the use of webinars to deliver some of our events direct to your desk, so look out for the very first one which will take place in mid to late November. The topic is bullying and harassment – not a session on ‘how to’ but an examination of what can constitute bullying (with a challenge to us all to examine our own behaviour) and what the law requires of us, as i If you are attending TWM then join Liz Kentish and Ali Moran (chair of the People Management Sig) in an interactive session about the Power of Positive Thinking on Wednesday 6 October at 2pm in the FM Academy

MEMBERSHIP

What Grade of Membership is right for you? The BIFM have recently launched a new diagnostic tool on the BIFM website. This tool is the best way for you to determine which grade of BIFM membership you should apply for. If you are unsure of which grade is most relevant for you follow the simple steps and we will guide you to the most appropriate grade. To find out which Grade of Membership is right for you, whether for a non-member or current member upgrade, please visit the membership pages and click on “Which Grade is for me?”.

IN THE CHAIR Name: Liz Kentish Job Title: FM coach BIFM role: WiFM Sig chair Kentish has been elected to the BIFM board as special interest group representative.

56 | 30 SEPTEMBER 2010 | FM WORLD

054-056 BIFM news.indd 56

Dishing up the successful food service facility he staff restaurant often forms the social hub of the workplace and, if well managed, your catering operation can have a major impact on staff retention, well-being and productivity. But, as Tony Horton, CEO of Tricon Foodservice Consultants warns, delivering high street expectations against a trend towards reducing subsidy and costly space constitutes major risk and investment, and in order to add value to your foodservice operation it is essential that the FM understands all strategic and operational issues involved. Understanding this can spell the difference between success and failure. If you as an FM have recently been asked to take over responsibility for the catering contracts within your organisation, but have no prior experience in this field, your first goal is to gain a better understanding of the catering industry and what it means to be managing a successful contract. You need to appreciate the nature of catering operations and the key players involved, so that you may communicate with caterers and make preliminary assessments. BIFM Training has recently launched a new one-day Introduction to Catering Contracts course which next runs on 16 November. Those already managing the catering operation need to ensure optimal performance. Through a review of your own catering objectives, you need to define the foodservice brief and develop a strategy for continual improvement. It is essential to take an in-depth look at the operational, legal and financial aspects of the catering contract, and to have a greater awareness of the tendering process, the options and the potential pitfalls involved. Making Catering Contracts Work, on 17-18 November will show you how to do just that. It is also important to keep abreast of current trends, obstacles and opportunities, and making sure you regularly attend industry conferences is a good place to start. A special conference titled Cost Effective and Sustainable Corporate Catering on 6 October, running alongside Total Workplace Management, will examine how the current drive to reduce costs can be compatible with a move towards better sustainable employee catering. It is ideal for those wishing to hear from a range of credible speakers offering their insights on new developments and best practice within the field.

i For more information or to book up for these courses contact us by calling 020 7404 4440, emailing info@ bifm-training.co.uk or visiting www.bifm-training.com

www.fm-world.co.uk

23/9/10 17:05:44

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Your opportunity to move among the stars of our industry

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17/9/10 16:35:33

IN ASSOCIATION WITH

For information on tickets, tables and sponsorship, please contact Sandra Light at FMevents on 0141 639 6192 or email bifmawards@fmevents.biz

MONDAY 11TH OCTOBER 2010, GR ROSVE ENO OR HOUSE E HOTE EL, PARK K LA ANE, LO ONDO ON

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Table of 10 ยฃ1990.00 Table of 12 ยฃ2388.00 Individual tickets ยฃ199.00 (All prices ex Vat)