THE MAGAZINE FOR THE BRITISH INSTITUTE OF FACILITIES MANAGEMENT | 21 APRIL 2011
Coventry’s Ricoh Arena is the star player for football at the 2012 Olympic Games
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VOL 8 ISSUE 8 21 APRIL 2011
7 | Royal wedding blues
18 | Ricoh Arena
22 | Back to the ﬂoor
6 Building Schools for the Future blasted as wasteful by report 7 FMs give the thumbs down to preparations for the Royal wedding 8 Conference news: Reports from the Th!nk FM conference in Nottingham last month 8 Ziona Strelitz on how ‘third spaces’ can solve the commute puzzle 9 Why outsourcing still makes sense, according to Oliver Jones 12 Integrated design teams are here to stay, says Paul Morrell 14 Business news: Analysis by Graeme Davies on the consolidation trend 15 Balfour Beatty loses QinetiQ contract five years early
16 Diary of a facilities manager: David Walker’s regular look at the daily challenges he faces in his working life 17 Five minutes with Procore managing director Phil Ratcliffe 42 Felicity Messing
26| UHSM: energy efficiency
Ricoh: With the 2012 Olympics one year away, Coventry’s Ricoh Arena warms up for a key role in the football competition, finds Cathy Hayward
Back to the floor: Industry veteran Lionel Prodgers returns to front-line FM at Mace Macro’s London call centre, in the first of a series
University Hospital of South Manchester: How a new woodchip-fuelled boiler system is helping to reduce the carbon footprint, by David Arminas
30 Legal: The benefits of attaining PAS 55 legislation 32 Technical: Using MAC curves to map energy efficiency measures 33 Insight: Market intelligence
REGULARS 34 BIFM news 38 People & Jobs 39 Appointments
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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: firstname.lastname@example.org editor: Cathy Hayward ⁄ news editor: Louisa David Arminas ⁄ sub editor: James Richards ⁄ assistant editor: Natalie Li ⁄art director: Mark Parry ⁄ art editor: Daniel Swainsbury ⁄ picture editor: Sam Kesteven ADVERTISING AND MARKETING email: email@example.com
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Average net circulation 11, 654 (Jul 09 – Jun 10) 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
f there was a theme to this issue it would have to be events. For the Royalists among you, the wedding of Prince William to Kate Middleton (who seems to have been renamed the far posher Catherine, recently) will be essential viewing next week. And if you’re not glued to the TV, then many of you will be outside celebrating the royal nuptials with street parties. One of my first memories is sitting at a flag festooned table outside my house in Epsom celebrating the Silver Jubilee and ever since I’ve loved the very British concept of a street party – and the food (and latterly, booze). Which was why I was disappointed by the results of our latest poll which revealed that just six per cent of you will be decorating your offices for Kate’s big day. Even if you’re not a Royalist, or even remotely interested in the Royal wedding, it’s an excuse to party after a pretty grim few years – inflation is down, the spectre of a rise in interest rates has been put off for another month at least, unemployment is down and summer’s almost here. And as Anthony Mundy, facilities director at the Ricoh Arena says on page 18, FMs make natural event organisers. So, don your party hat, and start putting up the bunting. The Royal Wedding may well pass Mundy by, because his eyes are on summer 2012 when his facility will host 12 football matches during the 2012 Olympic Games. The level of planning and detail is just extraordinary (and that’s just for one site) but necessary when you think that up to 4bn people will have their eyes on the Olympic facilities. The Olympics are a great opportunity for us as a sector to showcase what we can do. And that was ably demonstrated at the recent Th!nk FM conference in Nottingham. A great venue and slick organisation combined with a cracking programme made for a superb event (read our coverage from pages 8-13). Despite some truly inspirational speakers including Chris Moon, my conference highlight was when plenary speaker Ziona Strelitz, talking about the importance of third spaces while trying to remove her jacket, got tangled up with her microphone cable. Her resulting request to conference (and BIFM) chairman Ian Broadbent to undress her had the audience howling with laughter at Broadbent’s blushes. It just goes to show that however well you plan an event – or anything in facilities – the unexpected can always trip you up. Watch out for that bunting next week, Kate.
“FMS MAKE NATURAL EVENT ORGANISERS SO DON YOUR PARTY HAT AND START PUTTING UP THE BUNTING”
British Institute of Facilities Management Number One Building, The Causeway, Bishop’s Stortford, Hertfordshire CM23 2ER Tel: 0845 0581356 email: email@example.com web: www.bifm.org.uk
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BSF disregarded maintenance Labour’s plan to rebuild the majority of Britain’s crumbling schools disregarded the cost savings to repair them, a new report said. Too many schools were torn down and replaced with new buildings instead of extensively refurbishing the old ones, for which there should have been a good planned maintenance strategy, said a review headed by Sebastian James, head of group operations at Dixons. The James Review said Labour’s school building programme wasted as much up to 30 per cent of the Building Schools for the Future budget – around £2.5bn a year – in bureaucracy and for the design of schools. The lesson should be that the capital allocation system for the schools estate should be focused on the condition of buildings first. “Sharper accountabilities for maintaining buildings and better procurement routes for doing so will help ensure that the current estate is able to deliver for our children in the decades ahead,” James said in a letter to education secretary Michael Gove. The £55bn BSF was dumped almost immediately by Gove when the Conservative and Liberal Democrat coalition government took office last year. BSF, said the report, “frequently resulted in poor use of resources [and became] a bureaucratic system for providers and local authorities and a mixed – and at times poor – outcome for both parents and children.” 06| 21 APRIL 2011| FM WORLD
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Procurement should have been centralised because contracts were not always negotiated by those who had the expertise. The result is
DAVID ARMINAS firstname.lastname@example.org
BSF: Wasteful of resources
inconsistent value for money. The review also came down heavily on the academies strategy that included designs by major architects such as Norman Foster. “There is very little evidence that a school building that goes beyond being fit for purpose has the potential to drive educational transformation.” Some research suggested that pupil performance often “dipped” during and after rebuilding work, the review said. In February, a high court judge ordered Gove, to reconsider his cancellation of BSF. Justice Holman told the High Court in London that Gove’s actions were “so unfair as to amount to an abuse of power”. However, the judge said final decision on any project still rests with Gove.
BUILDING FOR SCHOOLS
Royal wedding gets thumbs down from FMs
Council fined over dishwasher fluid death DAVID ARMINAS email@example.com
A man with learning difficulties died and five others suffered agonising internal injuries after confusing dishwasher fluid with orange squash, and drinking it on a councilorganised trip. East Sussex County Council was fined £50,000 and ordered to pay costs of £27,670 following the incident in December 2004. The adults from St Nicholas Centre, Lewes, were on a visit to Plumpton Agricultural College to use the sporting facilities, a statement by the Health and Safety Executive said. “The drink, which should have been orange squash but which actually contained the powerful chemical sodium hydroxide, had
been prepared at the day centre and taken with them.” Lewes Crown Court heard how the six immediately became distressed, started vomiting blood and began fitting after swallowing the industrial cleaning chemical. A 60-year-old man, who had Down’s syndrome, died in April 2006, 17 months after sustaining his initial injuries. Other members of the group suffered burns to their mouths, throats and stomachs
and most had to undergo repeated surgery. Three will never be able to swallow normally again. Although the dishwasher fluid was marked as corrosive, its container was similar in appearance to that of the orange squash. The HSE investigation found the council had failed to ensure the dishwasher fluid was safely locked away. The council admitted leaving the liquid out in the unlocked kitchen of the day centre.
“The drink, which should have been orange squash but which actually contained the powerful chemical sodium hydroxide, had been prepared at the day centre and taken with them” www.fm-world.co.uk
Royalists or not, very few FMs will be decorating their offices this month ahead of the wedding of Wills and Kate, according to FM World’s FM 100 Poll. Only 6 per cent of FMs said they will decorate. The vast majority replied, “No!”.
Welsh tidal power
One FM said he expected his client to have “discreet congratulations in the main foyer at its central London offices and none in any other of the countries where it operates, including the USA”. Also, the respondent did not sense the enthusiasm for this Royal Wedding compared to the one in April 1981. Thus there may not be pressure to decorate anyway. Another said nobody will be there to celebrate. “A large number of staff are booking the intervening three days as holiday.” FM World’s poll results were mirrored by a survey from office design company Maris Interiors. Only four out of 316 workplaces contacted plan any decorations. But Furniture Solutions, in Surrey, have already decked out their offices with bunting and Union Jack flags. All 30 staff have an extra three days of holiday in April.
Tidal Energy has received approval to install a 1.2 MW tidal power device over a 12-month test period in Pembrokeshire. The project, which was approved by Secretary of State at the Department of Energy and Climate Change, Chris Huhne, could provide power to 1,000 homes. The device will be assembled in west Wales, providing jobs for the local economy. Also in Wales, Marine Current Turbines submitted plans to the Welsh Assembly Government to set up the first power-generating tidal farm. The £70m project, proposed by MCT and RWE npower renewables, will see the installation of seven twinrotor turbines off the north Wales coast near Holyhead in a plan to power 10,000 homes on Anglesey. If passed, the scheme could be operational by 2015, according to Marine Current Turbines, the company behind the world’s only operationally commercial tidal turbine.
Low-carbon energy plan for PwC Professional services firm PwC has secured a deal for recycled chip fat from bars, restaurants and businesses across London to generate the company’s low-carbon energy. Two 6,000 litre tankers a week will be filled with used cooking oil collected by Arrow Oil, from offices, restaurants and bars from city centre locations. The oil – 45,000 litres a month – will be transported to a local refinery, Uptown Biodiesel, and then on to PwC for use in the firm’s state-of-the-art tri-generation facility on site at their new office at More London, for 5,500 employees. The tri-generation facility will use 100 per cent biofuel and is the largest installation of its type in a www.fm-world.co.uk
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DAVID ARMINAS firstname.lastname@example.org
More energy savings at PwC
commercial office building in the UK, a statement by PwC said. The oil will fire two large generators creating a quarter of the electricity needed for the building, as well as 20 per cent of its heating and cooling. Overall, 25 per cent of
the energy needed in the building will be generated on site, PwC said. PwC has targeted a reduction in energy usage per square metre of office space of 25 per cent by 2012 from a 2007 baseline. The firm said it has reached 16 per cent already. PwC said it worked with its catering supplier Aramark to secure supplies. “Securing the supply within the M25 was essential, as otherwise the carbon footprint for moving the oil increases would have defeated the purpose of investing in the low carbon technology.” Over half of the building’s energy demand is met from low and zero carbon technologies. A quarter of the building’s electricity will be generated on site including through solar thermal panels to heat water.
Christchurch toilet scare Thousands of portable chemical toilets in Christchurch will cause harm to the city’s already-pressurised wastewater treatment system, a New Zealand MP said. By next month, more than 40,000 chemical toilets will have been distributed to residents in need after the earthquake hit the city on 400,000 in February. A Green Party MP said while city officials have been told the toilets don’t contain formaldehyde, the chemicals used can transform into a toxic chemical. Meanwhile, city planners and architects said many Christchurch city businesses remain locked out of the central business district because it is off limits due to seriously damaged structures that remain dangerous. As a result, they have decamped to the suburbs, including Addington, Hornby and Wigram areas.
Plastic flowers save cash Plastic flowers in hanging baskets are being piloted by the north-east town of South Shields, outside the town hall as part of £35m budget saving plan. The landmark town hall, a 151-year-old building, has experienced high basket maintenance costs, a BBC report said. A council spokesman said the council is looking for “feedback” before making the flowers permanent.
Farmers urged to cut gas Agriculture Minister Jim Paice challenged farmers to live up to their commitment to reduce greenhouse gas emissions. Paice, speaking at the launch of the farming industry’s Greenhouse Gas Action Plan, said farmers are making an important commitment to reduce their greenhouse gas emissions and the government will continue to support them to achieve this. The industry’s progress will be reviewed in 2012.
UK opts for wind energy The UK is set to capture a 10 per cent share of the global offshore wind market, itself likely to grow by around 10 per cent a year from now on, according to the Carbon Trust. The announcement came as the Carbon Trust reviewed its research into the potential of offshore wind to drive green energy growth in the UK. Offshore wind growth had the potential to create 230,000 UK jobs by 2050. FM WORLD |21 APRIL 2011 |07
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Third spaces solve the commute puzzle CATHY HAYWARD email@example.com
Too many people in UK go in for extreme commuting, working too far away from where they live. This leads to stress and exhaustion and people feeling unable to cope with their working lives. Campus-style workplaces which provide everything from gyms and crèches to running tracks and beauty salons are not the answer – people just want to be at home, or at least closer to home. That was the message from Ziona Strelitz, founder director of ZZA Responsive User Environments, who closed the
conference on the first day by talking about the benefits of third spaces between home and work. “There are strong pulls to the home milieu – kids, partners, passions and pets,” she said. But the home itself is not conducive to long-term working. “There is too little space, too many distractions, not enough structure, it can lead to isolation and loneliness, and an over-reliance on your own judgement.” Meanwhile the workplace also has a pull, offering information exchange, a contrast from home, collaboration, a change of scene, sociability, a sense of belonging, talent spotting, the
Tightening our belts in lean times PHOTOGRAPHY: ROBERT JAMES EGAN
DAVID ARMINAS firstname.lastname@example.org
The question for all FMs is whether they are operating at peak efficiency in this period of tough economic conditions. “Examine your consciences and ask yourself if you operate at your most efficient,” said Professor Joe Nellis, the opening keynote speaker at this year’s Th!nk FM conference. Everyone has a “creative gap”, Nellis told the 200 delegates attending the opening plenary session yesterday morning at the
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East Midlands Conference Centre on the campus of Nottingham University. “It’s about smarter not harder working, and cutting costs is not sustainable in the long run,” said Nellis, professor of international management economics at Cranfield School of Management, Cranfield University. Times are tough, but there is a glimmer of light at the end of the tunnel. Chancellor George Osborne stressed in his budget the need
Ziona Strelitz closes the first day of Th!nk FM earlier this month
scope to bounce off ideas, spark to creativity and productivity, and opportunities that flow from being seen. “People still want the workplace and business benefits from physical proximities but big cities challenge this position and they don’t want the long commutes.” The answer, proposed social anthropologist Strelitz, is
distributed workplace hubs in local communities. They reduce travel to workplaces, provide professional settings with good technology, a sense of space and belonging and complement corporate offices and home. “They provide the buzz of the face-to-face and are a strategic solution to mediate urban scale.”
for a rebalancing of the economy, away from debt-fuelled consumer spending and the public sector towards investment by the private sector and export growth. But how will he and the private sector achieve this? Importantly for the FM sector, what will be the consequences on contracts and client relations? While it is true that there have been government cuts to public sector spending, he said, at least they are now known, although Nellis expects another £80bn in government cuts by 2016. But, even with the unexpected dip into the negative in the last quarter, GDP growth is expected to rise from now on reaching 2.8 per cent by the end of 2015. Inflation, although now at 4.0 per cent, is expected to drop to around 2 per cent by then as well.
This bodes well for UK business, said Nellis. Already the UK has, at 26 per cent, one of the lowest corporate tax regimes in the G7 group of western countries, so it should attract inward investment. And corporate tax is to drop further, to 23 per cent by 2014. Tax breaks for small businesses will continue for at least another year and the government announced 40,000 more apprenticeship schemes. In the session, Nellis said that one of the FM sector’s greatest benefits that supports not only their own growth but the economy as a whole, is the ability to be flexible in their delivery of services. This allows for greater economies of scale and also for greater innovation in delivery. In effect, said Nellis, the FM sector is able to be creative in its use of resources at a time when they are scarce. www.fm-world.co.uk
Why choose to outsource? DAVID ARMINAS email@example.com
Terrorist threats, health epidemics, travel disruptions, natural disasters and environmental concerns all make the world a more difficult place to do business in. They create new demands on businesses and their outsourcing contracts must be more adaptable. But these concerns also mean traditional objections to outsourcing have been swept away, Oliver Jones, partner in EC Harris, said in his presentation Mind
Stretching Outsourcing. Technology – such as cloud computing and social networking on the internet – has shrunk the world. But this also creates new boundaries and the possibility of radical outsourcing options, said Jones. FMs have moved away from looking at only the square footage saved when outsourcing part of their in-house services. Today’s outsourcing trends include more aggregated contracts. Public sector bodies will continue to look for private sector finance and commercial input. Single-source outsourcing opportunities will continue for hard FM such as M&E, fabric maintenance and energy management. Soft services, such as cleaning, catering and security, also
will retain single-source possibilities. Major services such as logistics, distribution, transportation and warehousing also typically outsourced. And there will be more business process outsourcing for back office functions such as accounts and human resources. Examples of major integrated, long-term contracts include £400m GCHQ – Government
Communications Headquarters – in Cheltenham. A £1.2bn deal over 30 years is handling the FM side of the secretive establishment. In Afghanistan, the US government has outsourced the running of 60 military bases. The strategy increasingly used is a move away from owned assets to managed services, Jones said. Nike, for example, outsources product design, manufacturing, distribution and retail of its clothing lines. In an unusual move, fast-food chain MacDonald’s in some parts of the US has outsourced the handling of orders when people ‘drive-thru’ their premises. Within the public sector, the trend is towards more outsourced local government services, especially as the number of employees shrinks.
Work has left the building argues Peter Andrew CATHY HAYWARD firstname.lastname@example.org
Children work and study in bright, dynamic and flexible environments in schools, colleges and universities and have the latest technology on tap; and then they are introduced to the dull, lifeless workplace with rows and rows of desks, bad lighting and little ambience. And the result is that they vote with their feet and don’t use it. That was the message from Peter Andrew, director of strategy at DEGW UK opening Th!nk FM’s Hub Two: Future Ways of Working. Work, he argued, has left the building. A last-minute replacement for DEGW’s Dr Nigel Oseland, Andrew pointed out that space utilisation surveys show that desks are typically only used for 50 per cent of the time they are available, because people want to work elsewhere – at home, in client sites, coffee shops, trains and planes or hub spaces. www.fm-world.co.uk
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If you can correctly combine people, place and technology, you can create productive, efficient and collaborative environments which are a joy to work in, he said. “But where organisations do embrace other options and create alternative work spaces, they often tend to miss the point, simply removing pedestals while adding lockers and increasing space use without talking about behavioural and cultural change that must go hand-in-hand with those projects.” Andrew cited the example of consultancy Accenture where people were crammed around café style tables, preferring that environment and leaving rows of formal desking completely behind. The right type of space was in short supply, while rows of the wrong
types of space was unused. Andrew went on to question the whole point of buildings and workplaces in today’s culture. “Cities want tall buildings because it places them on the global stage,” he said. “But their real purpose is for social cohesion and collaboration. People want to come together in a building which creates and allows those connections.” Buildings encourage that sense of belonging, he said. Despite the prevalence of people carrying iPods, iPads, laptops and all the high-tech gadgetry, the building can still be that technology hub for complex and specialised hardware and software. Despite all the research and data, workplaces remain low priorities for business leaders, added Andrew citing financial issues, competitive
“Cities want tall buildings because it places them on the global stage but their real purpose is social cohesion”
positioning of products and services, and business strategy as examples of what keeps CEOs awake at night. “The frustrating thing is that all those issues are affected by the interplay between people, place and technology, but the challenge is communicating that to the board.” Andrew called on leaders to stop seeing space as a commodity and start using it as a business tool. He went on to present a case study of Microsoft’s Schipol headquarters in Holland, describing it as the best workplace in the world because it fits the type of organisation. The technology giant’s move to the new building reduced real estate costs by 30 per cent, increased its revenue by 50 per cent and attendance was up from 35 per cent to 50 per cent. “The business created a smaller environment with less desks but more people came to it to work there because it was an improved space which better suited the organisation’s values.” FM WORLD |21 APRIL 2011 |09
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BRIEFS STRATEGIC FM
Intelligent working at RBS RBS’s head of intelligent working
Sowing the seeds of change DAVID ARMINAS email@example.com
Your company spent millions of pounds and hundreds of manhours on organisational change and not a lot changed. Why so? What happened? More to the point, asked organisational psychologist Steven Shrago, what didn’t happen? At any one time, around 15 per cent of UK organisations are involved in some form of change management. But many change management projects fail immediately after the change management team has been disbanded, said Shrago. Organisational change is akin to gardening where the gardener only can create conditions for change, and not force change itself, said Shrago, a director of TempoRubato and who has consulted for
companies ranging from those in heavy manufacturing to the fashion sector. “Organisational change is about empowering people to make a change,” he told delegates. In that respect, less work to bring about change is the better move. Be a project manager, he advised, but be aware of the many pitfalls that nullify a change team’s efforts. FMs will have to get out of their ivory towers, form a steering group and listen well to what employees tell them. There must be a focus on what sort of change is needed to add value to the business, but don’t over-manage the process of change. Leading a change management team shouldn’t be an exercise in keeping spinning plates rotating on sticks. A good leader will empower people to make decisions, and
not be overly concerned with the tactics or operational processes that they use to reach the end result. Don’t be afraid to take tough decisions – every organisation has sacred cows and unwritten rules that must be tackled if change it to happen. Sometimes the sacred cows are as simple as dumping the big gas guzzling cars for senior directors; it may not save much money overall, but the symbolic significance could be outweigh the negligible savings. The best leaders lead by example, so if an FM urges people to collaborate more, they should be seen to be doing just that. Be prepared to be frustrated at the process of change, he said. But also be prepared to accept progress and to be pleased when someone notes that a change is for better, or they are comfortable with it.
Breeam is becoming the standard
ROBERT JAMES EGAN
NATALIE LI AND JOHN NAHAR firstname.lastname@example.org email@example.com
Breeam is fast becoming the industry standard when measuring your building’s environmental impact, said Sophie Hutchinson, sustainability manager at Morgan Lovell at the Th!nkFM conference earlier this month. “When carrying out any office refurb or fit-out I believe it is a key trigger point for impinging
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culture change in an organisation,” said Hutchinson. Breeam is used to rate the sustainability of a building, how it is performing, and to ensure best practice levels are adhered to. According to Hutchinson, it is the leading assessment method in the UK, however similar accreditation can be achieved through Ska and LEED rating. To achieve a Breeam rating a scoring system is used.
Although some upfront costs are involved with Breeam, and it has proved to be more expensive than Ska and LEED, it is proving a more successful tool in demonstrating best practice is incorporated into buildings. But securing a Breeam adviser from the beginning of the process is an essential step towards ensuring maximum points and saving costs later down the line, ended Hutchinson.
programme Tim Yendell took to the floor on the opening day of Th!nk FM to talk about his experiences over the past five years taking RBS from a traditional, static workplace to a new way of working. The bank has 5,050 properties in 50 counties totalling 39m sq ft used by 160,000 staff. The programme was about getting to grips with how efficiently it used its portfolio. After two small pilots, Yendell took 4,500 people in London and Edinburgh through the process followed by further waves in 2007 and 2009. In 2010, the sharing ratio increased from 1:1.2 to 1:1.5. A longer feature on the RBS journey will appear in the 19 May issue of FM World.
Spread the word to save Slash and burn cost cutting will save money but only up to a point. Beyond that point, there is a reduction in an organisation’s value, warned Martin Bell, specialist FM adviser to consultancy PwC. Sustained cost savings can best be achieved by explaining to staff what their actions to save money – turning off lights, for example – means in the long run but in terms they can understand. To nurses, the money saved by a cost saving action could mean three additional nurses. FM can take a leaf from the automobile industry and look at integrated supply chains, sometimes called an integrated service chain.
AWithclearer view of energy a bewildering array of environmental legislation in existence, Greg Davies, head of service development at Elementus explained the most important. In the last session on the Tuesday, he presented a lively insight into what compliance means for organisations. “What does compliance mean to you?” he asked delegates. Davies reeled off just a few of the numerous regulations coming into force, such as the Carbon Plan released by DECC in March this year. The government-wide plan of action on climate change, including domestic and international activity sets out actions for the next five years. www.fm-world.co.uk
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AWARDS2011 This year’s BIFM Awards are now open for entries The search is on for the award winning FM teams and individuals of 2011. You and your team could be picking up a prestigious industry award at the most influential FM event in the UK. Entries close Friday 29th April 2011 (with the exception of Facilities Manager of the Year, Friday 15th July 2011) Contact us: 0141 639 6192 or Email: email@example.com
www.bifm.org.uk/awards2011 Awards ceremony: 10th October 2011 at Grosvenor House Hotel, London. FM WORLD |21 APRIL 2011 |11
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Integrated design teams are essential
PHOTOGRAPHY: ROBERT JAMES EGAN
DAVID ARMINAS firstname.lastname@example.org
An integrated design and construction team may be mandatory for the design and initial running of new buildings, the government chief construction adviser said. Importantly, the team would take over the running of the building for three to five years after completion and handover to ensure it operates to specific standards and savings, Paul Morrell told delegates to the Th!nk FM Conference at the East Midlands Conference Centre on the campus of Nottingham University. The government is considering the idea, said Morrell who has just completed his first year as government chief construction adviser. The past year has been spent improving the quality of the conversation, said Morrell, the keynote speaker on the last day of the conference. Getting all sides to start listening and talking has been important. The most urgent question was and is, how can the construction industry effectively deliver a lowcarbon environment? The issue remains a tug of war between saving money on construction but getting sustainable buildings and getting carbon out of buildings. It’s been like riding two horses at the same time. How the world has changed its attitude towards resources, Morrell said. “When I was a kid, no one ever told me any of the stuff would run out.” Now, even if people do all they can to change the environment, it will likely be 2030 or beyond that any differences are felt, such as
12| 21 APRIL 2011| FM WORLD
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lowering of the global temperature. Whereas the older generation – he includes himself – is worried about the money and investment needed to lower emissions, the younger generation “is excited” by the prospect of a low-carbon future and see reaching it as a challenge and an opportunity. “What I like about carbon is that it is measurable,” said Morrell. This makes it like water where production and consumption can be understood. But fighting the creation of carbon emissions is a constant struggle. It takes cash; money is needed to lower emissions, through investment in better technologies to improve building performance. Morrell also favours development of nuclear power – despite, he said of the recent natural disaster in Japan that damages nuclear reactors. Nuclear power is essential if the UK “is to keep the lights on”. But to lower emissions there must be a concerted and coordinated attempt at planning at the regional, city and building levels, he said. The question remains, is the construction sector fit for purpose in helping reach the low-carbon future? A major stumbling block remains over costs and carbon reduction, he said. The prices of office buildings keep rising and rising, and it gets more costly to make them energy efficient. But let’s not forget that there is also an issue of how buildings are run by occupants he said. In the end the occupant will determine how much energy is used. It is important to remember how much an occupant can do, without spending a lot of
Morrell: we need to improve the quality of the conversation
money, to reduce carbon emissions. If an occupant is considering upgrading a building, they should remember than some buildings will never repay in energy savings and carbon reduction the amount that was needed for the energy efficiency upgrade. Whatever an occupant does to improve the energy consumption of their building, they should always remember a cardinal rule – make an improvement measure the results,
make an improvement, measure the results, and so on. For the future, Morrell said the Building Information Modelling system increasingly will be important. A BIM allows the virtual construction of a building into which variables are added – carbon emissions, cost of construction, life cycle costs, repairs and more. The programme builds the structure and can predict total costs of the building over its projected lifecycle.
Reducing emissions is about people power People power is the strongest tool in creating an effective energy campaign in the workplace. “It’s always down to people and what they do with the technology in their workplace,” said Debbie Hobbs, practice area leader for European Climate Change, in the second sustainability session on the second day of the Th!nk FM conference. With government targets to reduce carbon emissions by 80 per cent by 2050, the real challenge lies in tackling this in existing buildings, said Hobbs. With the need to comply with the growing raft of legislation and the
importance of protecting the corporate image of a business, people power has never been more important. Following John Kotter’s eight steps to transformation is the way to establish a framework to introduce change, according to Steve Barlow, principal at Environ. The eight steps, taken from the book Leading Change by leadership guru and author John Kotter, outline key steps in implementing change across any organisation. “Establish a sense of urgency, and look at the threats to your business,” said Barlow. www.fm-world.co.uk
Tenants should break a lease – not the bank DAVID ARMINAS email@example.com
Breaking a lease is much more common, said Beverley Vara, partner at Allen & Overy. In today’s harder economic times many companies are downsizing their overall organisation or consolidating their business divisions. That means both landlord and tenant are taking a much closer look at the details of how and when a lease can be broken legally.
“If you’ve done all the right things, keep evidence of having done it,” she advised delegates at her session on commercial property portfolio changes. “Don’t assume that the landlord will show up on the day you vacate the premises and say everything is alright.” In one case, the landlord went to a former tenant six months after they had vacated and demanded items be repaired. The former tenant and landlord disagreed, but
The cloud with the silver lining
the tenant ended up settling with a cheque to the landlord. Vara advised tenants to have a professional survey done on the day they vacate. “Cutting costs by not taking proper advice on this could cost you dearly later.” She said to be aware of the “in-business occupation”, as under the Landlord and Tenant Act 1954. Leaving even a storage box behind could mean the tenant remains occupying the premises.
Businesses which hosted infrastructure outside of the disaster areas in Japan, New Zealand and Australia are still going, whereas many organisations which had hardware on site went bust. Martin Ferguson, business development director and co-founder of Pedimenta, discussed the benefits of cloud computing for the FM sector in the afternoon of the first day in Hub 2. “Cloud computing is the fridge talking to the laptop, to the kitchen sink – everything connecting but with all the hardware hosted online,” he said. “It means you never have to worry about servers, software or even employing a geek.”
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EFMC 2011: Themes FM as a Factor of Production Measurement of Productivity FM Positioning and Strategy Impact of New Ways of Working Optimisation and Lean Management Performance Management Value Added FM Other related topics
Gala Dinner Prestigious mony re & Award Ce
www.efmc-conference.com FM WORLD |21 APRIL 2011 |13
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Big players in FM cherry pick acquisitions GRAEME DAVIES firstname.lastname@example.org
The FM sector has been a hive of activity recently as larger players continue to make smaller bolt-on acquisitions to enhance their service offerings and geographical strengths. The consolidation theme that has characterised the facilities management sector over recent months has continued, despite the high profile collapse of takeover talks for Mouchel. And Costain, one of the thwarted suitors for Mouchel, did not rest on its laurels. The construction and support services business began April by sealing the bolton acquisition of ClerkMaxwell for just £3.2m, which takes the company into the growing market of support services to the oil and gas industry. Compass Group has also got in on the act by making its fifth acquisition of the year. The first four acquisitions expanded Compass’ core food service business but the latest acquisition, £19.7m for PPPInfrastructure Management (see page 15), strengthens the business’ position in other support services sectors such as healthcare, education and defence. Compass Group also boosted their Indian services with Vipul Facility Management and also Ultimate Hospitality Services. Meanwhile, Balfour Beatty, which has made a habit of successful acquisitions in 14| 21 APRIL 2011| FM WORLD
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recent years including its hugely important expansion in the US with Parsons Brinckerhoff, has bulked up in the important area of energy consultancy. With the government increasingly targeting energy efficiency as a key plank in emissions reductions, Balfour’s £18m acquisition of Power Efficiency will bolster the offering of Balfour Beatty WorkPlace in energy management and carbon strategies. All three of these acquisitions, although small in the context of the acquiring businesses, emphasise how the bigger players are cherry picking skills sets from elsewhere in the industry
to firm up and widen their own offerings. In many cases this is a more efficient way of expanding skill sets than through the more time consuming method of setting up new business units. This is a theme touched upon in this column before and we are likely to see such consolidation continue as procurers of support services look to reduce the number of suppliers they use in an attempt to glean more value from their procurement services. And certainly from the size of some of the contracts awarded for FM and support services in recent weeks, the big deals are still available for those businesses who can service them. Indeed, Balfour Beatty itself just renewed a 10-year contract with the Royal Mail which has been worth £150m a year to its joint venture, Romec. The extension is worth £900m over ten years with the potential to generate another £900m of business over the same period. As part of the deal, Balfour is acquiring Romec Services, the
joint venture’s engineering and maintenance services arm, which generates £36m of FM revenue. Balfour’s emphasis on filling in gaps in its UK FM business is notable given the recent focus by management on expanding the company’s presence in overseas markets in a bid to diversify risk away from the weak UK economy. And, although the UK government is clamping down on spending, recent contract awards by the Ministry of Justice for the running of prisons suggest the appetite for outsourcing remains strong. G4S will take over Birmingham Prison and a new facility, Featherstone 2 near Wolverhampton, and Serco is taking over Doncaster Prison in deals worth an aggregate £1bn over 15 years. Notably, a fourth prison, Brinckley Hall, was awarded to the government prison service after a competitive tender, which suggests the private sector will not get it all its own way as outsourcing grows. Graeme Davies writes for Investors Chronicle
NEW BUSINESS Mace Macro has signed a minimum three-year agreement to continue its work with news and multimedia company ITN. Macro has worked with ITN since April 2008 at its Gray’s Inn Road headquarters. Carillion has won contracts with the Nationwide Building Society and Virgin Media, worth in total around £204m. For three years Carillion will provide FM for Nationwide’s UK property portfolio. For Virgin Media, Carillion renews a current agreement and extends its work with Virgin to at least
mid 2013 and potentially to mid-2015. Sodexo Prestige, the fine-dining, hospitality and events division of Sodexo, has signed a deal with International Airlines Group – BA and Iberia – for services at its Heathrowbased headquarters. Arthur McKay has won a four-year £30m FM contract with the Scottish Court Service. Services include M&E and fabric maintenance, 24/7 helpdesk, cleaning, security and energy management across all the Scottish
Court Service buildings from the Borders to the Highlands and Islands. SGP Property and Facilities Management has been awarded the contract for managing planned and reactive maintenance for retailer Lakeland. The contract covers the Windermere head office, their distribution centre and their 50 UK stores. Caterer Wilson Vale has won a contract with employee-owned social enterprise business Circle to provide catering services in their Nottingham NHS Treatment Centre. Interserve has signed a £108m, twoyear extension to its south-east regional prime contract with the Defence Infrastructure Organisation, formerly called Defence Estates. Work includes estate management and construction services. www.fm-world.co.uk
Contract loss for Balfour Beatty Balfour Beatty Workplace and its defence sector client QinetiQ will part ways in October after less than two years into a major seven-year contract. The loss of the contract, estimated to worth £15m a year to BBW, will see 350 staff move back in-house to QinetiQ . A spokesperson for QinetiQ told FM World the contract was “terminated for convenience”. BBW announced the deal in late December 2009, saying it would provide integrated facilities management for QinetiQ’s 31 UK sites “for a seven-year contract with a base-line value of £15m per annum, plus additional fees
for non-core services”. Balfour Beatty will be transforming the service, providing greater efficiencies and cost reductions to QinetiQ and will be responsible for mechanical and electrical and building fabric maintenance, waste management, mail, logistics, cleaning, front of house, helpdesk management and ground maintenance, the original
2009 Balfour statement said. A source close to the contract told FM World that QinetiQ announced the termination of the deal on their intranet and also emailed employees, saying they could achieve better quality and value for money by bringing the service back in-house. BBW said in a written statement that they had “a number of contracts worth substantially more than the contract with QinetiQ, with one worth some £1bn”. This month Balfour Beatty acquired Power Efficiency, an energy procurement and carbon strategy consultancy, for around £18m. The employeeowned firm provides energy procurement, invoice validation, compliance and carbon reduction advisory services to the private sector. It will be integrated into Balfour Beatty WorkPlace.
Integral: sales down, but profits up Bristol-based Integral posted operating profits of £9.1m on sales of almost £178m to the year-end in December 2010. But sales were down from £183.9m to £177.7m. Including various exceptional items, pre-tax profits rose from £7.3m to £13m. Integral had a “strong balance sheet of over £20m”, an Integral statement said. The “impressive results”, said Integral, “have been posted despite the severe economic recession. Very many clients have suffered deep cuts to their facilities management and buildings maintenance budgets and have sought to work closely with Integral to obtain more from their budgets, without sacrificing service quality.” Small bolt on acquisitions www.fm-world.co.uk
FM Business.indd 11
widened Integral’s in-house service capabilities, and will continue to do so, the statement said. These included Visual Integrated Systems, a CCTV installation and maintenance business, and Babcock Professional Solutions, which was renamed Hub Professional Services. Hub specialises in property management and is the first “white collar” consultancy acquisition, the statement said. “In addition, the business and assets of property maintenance business Beale & Cole were acquired from the administrator.” Integral said it will continue to expand through acquisition to be a “truly one stop shop from design through to build”. Other highlights during the financial year were the launch of
Integral’s energy division “Carbon Steps”. The company also rose 33 places in the Sunday Times “Top Track 250” privately owned businesses. Despite “impressive” results, Integral will remain prudent, its chief executive Bryan Glastonbury said in an interview with the Financial Times. Integral results, 2007 to 2010 Turnover 2007 2008 2009 2010
£147 million £180 million £184 million £177 million
Operating profits 2007 £7.2 million 2008 £9 million 2009 £9.5 million 2010 £9.1 million Source: Integral annual reports
Garvis Snook returns? Garvis Snook, former chief executive of failed social housing repair and construction business Rok, appears to have re-entered the sector with a new start-up firm. Repair-Rite (UK) was registered at Companies House on 24 February. The firm is based in Exeter at 59 Magdalen Street and Snook was appointed executive chairman in late March. Matthew Cavill is also named as a fellow director.
Compass buys PPP-IML Compass Group has bought PPPInfrastructure Management, a special purpose vehicle of Semperian PPP Investment Partners Group, which provides support services to the public sector. PPP-IML’s client portfolio includes an army training facility, primary and secondary schools, a hospital, teaching and research university facilities and children’s homes. In India, Compass Group acquired Vipul Facility Management and also Ultimate Hospitality Services. Compass Group also forecasts a 9.5 per cent revenue growth for the first half of the year.
Bailey eyes public sector Bailey Maintenance, the buildings service and maintenance division of NG Bailey, hopes to boost its contract portfolio to upwards of £100m within five years. Stuart Linington, managing director of Bailey Maintenance said he sees public sector contracts as a potential growth market for Bailey Maintenance. Currently, public sector contracts are around 15 per cent of the £35m turnover, he told FM World in an exclusive interview. The strategy to boost the overall business includes having more resident, dedicated Bailey Maintenance teams permanently on site. FM WORLD |21 APRIL 2011 |15
FM OPINION THE DIARY COLUMNDAVID WALKER
“IT’S NOT A BIG PROJECT AS SCHEMES GO BUT IT WILL GIVE ME FOUR OR FIVE WEEKS WORK TO MANAGE”
David Walker is facilities project manager at Northumbrian Water
AN F MS WOR K I S N EV ER DO N E
one project wasn’t quite enough, A sa iffew new ones have popped up this week including the conversion of a Portacabin and the renewal of two maintenance contracts A couple of new projects have dropped into my inbox during the last week which gives me a little more work to do in the coming weeks. The first of these is the conversion of a Portacabin into part lab part office. The building which I installed approximately two years ago is a number of individual units which are then bolted together to give us an open plan office. I also built in a number of meeting rooms and of
course a server room to house the voice and data panels. To enable a few organisational changes to take place the cabin now has to be converted to a lab/ workshop. The scope of work first of all will consist of me putting together a specification so I can obtain three competitive quotes for the work to take place then I have to provide a new footpath and ramp coupled with new steps and handrails to
enable samples to be taken into the building. A new door opening has to be formed then a number of walls removed and a couple rebuilt in different positions. I then have to provide benches and worktops – I need to check on what is required with regards to the tops as I notice ovens will be sitting on the work surfaces. I have to provide a new locker room and a room to house fridges and a bottle store and finally when all the work is complete move the staff to the new location. It’s not a big project as schemes go but it will give me four or five weeks work to manage. We have also been busy working with contract procurement on reviewing/renewing a couple of our contracts the first one being the maintenance contract for heating
and air conditioning and the second one is the framework contracts for the provision of maintenance to the buildings. In today’s market these will no doubt prove to be very competitive in terms of costing and there is also no shortage of interest in the contract, in fact for the maintenance of the buildings, 122 contractors expressed an interest so as you can imagine we have work to do reduce this number and shortlist them. I also have the opening of the Museum of Power following a refurbishment I have worked on for the last six weeks. This promises to be quite an event with the beam engine in action and a few local dignitaries turning out. So all in all quite a bit to get on with in the coming weeks. FM
BEST OF THE WEB The latest views, comments and reaction across the web
thefmguru Martin Pickard on Twitter: Preparing a talk on the service-profit chain. Very relevant to #facilitiesmanagement. Nice summary here http:// tinyurl.com/3cttuay
Twitter #Th!nkFM GBroersma Gary Broersma Enjoyed #Thinkfm the #BIFM conference and now back to work in Florida on global project 16| 21 APRIL 2011| FM WORLD
oversight and corporate strategic facility planning.
neil ushertheatreacle neil usher@@ lotsaquestions Saw a Prezi at #ThinkFM - same effect, only the whizzing around on a large screen added seasickness
Anne Marie McEwan drmcewan Anne Marie McEwan: Introductory
verses to @theatreacle poem at #ThinkFM via FMCoach and others http://bit.ly/gBpzJv
Have you moved successfully from the public to the private sector? Posted by Wendy Mason. Moving out of the public sector and into the private sector can be a daunting experience. But we all know people who have done it successfully. Is that
someone you and would you like to write a guest post about the experience for leavingthepublicsector. net? Writing guest posts is a very good way to raise your profile and I’m happy to advise if you have not tried it before. Your post could be of real help to others!
Guardian comment fr33cycler@ tunring tide: Feed-in Tariffs are a policy to stimulate
a new industry – they are deliberately designed so that subsidies taper away in a planned way that gives confidence to the industry to expand, and delivers savings through competition and volume production. It goes wrong if ministers slam the brakes on whenever they want (which is what is so stupid about the decision) but a planned and predictable reduction of tariff rates is what everyone expected. www.fm-world.co.uk
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Perks not pay rises?
Lauren Grest is an FM graduate at Rollright Facilities April is the start of the new financial year and the time when most companies have their annual pay reviews. But for many companies who have been squeezed by the economic downturn, the days of pay rises and cash bonuses are long gone. For staff, this can be a disappointing time and many can harbour resentment for seeing their pay freeze as the cost of living rises, resulting in a lack of motivation and key employees perhaps seeking greener pastures. However, a creative approach to employee benefits can help increase staff morale without breaking the bank.
Fair pay for London cleaners
Sandy Aird is managing director of Enhance Office Cleaning When I launched Enhance Office Cleaning I started with a clean sheet of paper onto which I wrote our business trading terms, our service and customer care policy, business ethics etc – but the first item was staff pay rates because everything else revolves around it as I will explain. We were the first cleaning contractor in London with 95 per cent of our clients willing to pay cleaning staff the London Living Wage of £7.85. Generous or foolish you may think, but our clients are content to pay this amount because of the resulting benefits they receive. It’s madness to think that we can pay cleaning staff an insulting national minimum wage of £5.93 to work in Central London when a significant proportion of their income is spent on travel from outer city zones.
FIVE MINUTES WITH NAME: Phil Ratcliffe JOB TITLE: Managing director COMPANY: Procore
You need to spread a sense of ownership out to your team, both for social reasons to empower people and to fulfil the economic objectives of growing the business. You can be qualified in FM but it’s attitude that counts. You can train people in certain skills but not train them to have the right attitude. Maybe it’s the Englishness in us but we’re reticent about introducing people through LinkedIn in a way which feels much more natural in the flesh. But it will be different for future generations. We don’t train people in the art of working. But when you move them from a static to a mobile environment you need to take the time to explain how that will change the way they work. As a virtual business we don’t get those chance encounters over the coffee pot, so we have to make sure we meet regularly. But we have flexibility and work-life balance built into our working lives and many businesses don’t have that. But you do have to be disciplined. Volunteering is a two-way process. As a school governor I have come across some great ideas, particularly about organisational improvement, that I have developed for my own business.
Research funding: Alien life or FM?
Michael Pitt is professor of FM Innovation at UCL If you’ve ever seen the film Contact, where much of the film is dominated by the issue of research funding, then you have a genuine insight into the world of academia. For some it may lack the glamour of a hunt for alien life but in order to spend time looking at FM productivity, life cycles, performance measurement etc. the funding has to come from somewhere. Contrary to popular belief the funding does not simply come from the university, it has to be sought out and usually won in a competitive environment.
Mobile working has meant people are incredibly indiscreet about business. They openly discuss confidential information in public spaces. There needs to be more education about the etiquette of mobile working. Interview by Cathy Hayward
FM WORLD |21 APRIL 2011 |17
FM FEATURE CASE STUDYCATHY HAYWARD
FEVER PITCH COST: £113M BUILD TIME: 18 MONTHS STADIUM SEATING CAPACITY: 32,000 CAR PARKING SPACES: 2,000 SIZE OF G CASINO: 43,056 SQ FT SIZE OF JAGUAR INDOOR ARENA: 64,583 SQ FT JAGUAR ARENA STANDING CAPACITY: 10,000 NUMBER OF BEDROOMS (ON-SITE DE VERE HOTEL): 80 ON-SITE CAR PARKING SPACES: 2,000 FITNESS STATIONS (ARENA HEALTH AND FITNESS CENTRE): 100
The Ricoh Arena will be a star player of the football competition in the 2012 Olympic Games, finds FM World editor Cathy Hayward
he journey from Coventry train station to the Ricoh Arena takes about 10 minutes and is somewhat nondescript; around the A4053 ringroad, past the familiar IKEA blue box and north for a few miles on B roads. It’s not a journey many visitors will remember. But all that will change next summer when the venue plays host to the 2012 Olympics football competition and the route from station to stadium will be dressed with everything from banners and flags to flowers and giant models of footballers on roundabouts. The city is being transformed, thanks to European funding, with a new development welcoming Olympic visitors. “When people arrive at the station or at one of the outlying car parks they must feel like they have arrived at the Olympics,” explains the venue’s facilities director Anthony Mundy.
18| 21 APRIL 2011| FM WORLD
The 40-acre, £113m site will play host to 12 football matches during the competition including five days of two matches a day back-to-back. And the home of Championship side Coventry City FC is in good company: Old Trafford, Wembley, Hampden Park and Cardiff are also hosting Olympic football. Aston Villa had been chosen as the Midlands venue in the original Olympic bid, but the club had to pull out because of planned building work. The Ricoh competed with Notts Forest, Derby, Leicester and Birmingham football clubs but won, Mundy believes, because of the facility’s flexibility. “We are not just a football club with a few thousands seats and a pitch. The Ricoh includes an 80-bed hotel, the UK’s largest casino, an indoor arena which holds 10,000 people standing and 3,000 seated for a
dinner, an auditorium, restaurants, bars and cafés and numerous meeting and entertainment facilities,” says Mundy, who was head of FM at Millennium Point, Birmingham’s flagship millennium project, before joining the Ricoh three years ago. Kicking off the games The first football of the games to be played in England will be hosted at the venue (a game in Cardiff kicks off 20 minutes before) and the women’s bronze final will be held here but Mundy won’t know which specific games will be played, and what countries could be coming, until the draw in April next year. Time is even more of a pressure at the arena, because the football starts on 22 July 2012 – two days before the opening ceremony – to fit in all the games. There are more football matches, in fewer venues with less time www.fm-world.co.uk
FM AT THE RICOH ARENA he Ricoh Arena is run and managed by Arena Coventry Limited, a joint venture consisting of Coventry City Council and The Alan Edward Higgs Charity, a local sport-focused charity. The in-house facilities management team is made up of 12 people, led by facilities director Anthony Mundy and including a grounds manager, an energy manager, a facilities manager, a health and safety manager, an events manager, a fire safety manager together with six engineers who look after the hard services. Compass runs the soft services. “A stadium of this size and complexity is so specific in terms of its legal requirements that to outsource that requirement to a third party would be difficult and we wouldn’t be comfortable with it,” says Mundy. FM is very much part of the core business at the arena, hence Mundy’s position on the board. At his first board meeting, the pitch (a source of pride and concern at every football club) was on the agenda. The pitch suffers from bad winters and Coventry’s position in the Championship (rather than the Premiership) means the club doesn’t have the funds to keep the glass looking trim. “Many Premiership club’s pitch budgets will be as big as my entire FM budget, says Mundy. But one advantage the club does have is its head groundsman. John Ledwidge started coming to the club aged 13 to work for free and eventually became head groundsman of the club’s training ground. After a spell at Aston Villa as head groundsman at their training ground, he returned to the Ricoh – the youngest head groundsman in the country. The pitch was voted one of the top three in the country (by away-team managers and officials) “But then we put on a concert and cover the pitch, or host a rugby match, and we still expect the pitch to be in top condition.”
than in any other Olympics, hence the early start, he explains. As the second-most watched Olympic sport after athletics, Mundy knows that his seven-year old facility will be under intense scrutiny – and the scrutiny has already started. The past six months has seen huge amounts of operational planning with the London Organising Committee for the Olympic Games (Locog) and Mundy estimates he is currently spending half of his time on Olympic-related matters. “Everything within the bowl is ours to manage during the Olympics, but everything outside is theirs, such as the accreditation, security and access.” The Ricoh Arena, with a capacity of 32,000, is no stranger to tight security. Although Mundy rightfully boasts that it regularly hosts police-free football matches, security is tight for local derby www.fm-world.co.uk
matches and with clubs, such as Millwall, which come with a certain reputation. “Sometimes away fans rip up the seats and throw them onto the pitch and vandalise the building, so we have strong security when need be. But the Olympics will be on a different level to what we usually do. It will be airport-style.” The FM team, for example, will create a detailed schedule of all vehicles with planned deliveries such as catering, cleaning, linen, maintenance vehicles and provide these to the Olympic security team. Any ad hoc requests will have to go through vehicle screening. Although the arena has 2,000 on-site car-parking spaces, these won’t be sold to the general public come summer 2012 but will be used to house the huge amount of infrastructure the Olympics brings. There will be 7,500 car park spaces in off-site car parks
WATCH A video tour of the Ricoh Arena at fm-world. co.uk
Anthony Mundy is the Ricoh Arena’s facilities director FM WORLD |21 APRIL 2011 |19
FM FEATURE CASE STUDYCATHY HAYWARD
The on-site auditorium (above); the Arena Health and Fitness club (right)
around the stadium. Having back-to-back games on the same day means having four teams on site, instead of the usual two, and means that Mundy will have to create two extra changing rooms. Feeding the Olympic volunteers, which are expected to number between 1,500 and 2,000 people operating on a shift system between 6am and midnight, is as much an operation as feeding visitors in the stadium, says Mundy. There are eight kitchens on site but temporary facilities will be provided where need be. The arena has had a joint venture with Compass since 2005 and in 2009 signed a 10-year contract for its soft facilities management services. But for the Olympics, the arena had to go through a bid process for its catering, something it agreed with Compass before it bid to be an Olympic venue. 20| 21 APRIL 2011| FM WORLD
Fortunately, Compass won the deal to provide the catering at the Ricoh for the Olympics, together with catering at the Millennium Stadium, the O2 Arena, Wembley Arena and Wimbledon. There needs to be around 500 media personnel on site during the games and the arena’s press box currently sits 90. And it’s not just the lack of seats which is the problem but the amount of extra camera angles and photographer positions which are required. Clearly thrilled to be involved in such an interesting, and prestigious project, Mundy acknowledges that it stretches the boundaries of what is facilities management. “I’m often outside my FM comfort blanket,” he says. It’s easy to think of the next 15 months as mere preparation for the Olympics, but Mundy is keen to point out that the venue has more than 450 working
FM QUICK FACTS
Olympic volunteers on-site during the competition
football matches hosted at the venue during the games
days before the Olympic party comes to town. It hosts around 26 Coventry City home matches a season, together with rugby events, several concerts in the stadium itself (in 2009 it hosted 120,000 Take That fans over three nights and this summer, Kings of Leon are starting their UK summer tour at the venue). It also hosts numerous entertainment nights in the new 650-seat Mercia Live Level, which opened in October 2010 as part of a £3.7m investment programme. Next month, the venue will host the 2011 FA Women’s Cup final for the first time. Every year the venue hosts 14,000 people over three days for the Jehovah’s Witness convention and 3,000 people for the annual Boots conference as well as numerous other conferences, exhibitions and meetings for the likes of Whitbread, Link, Tesco, www.fm-world.co.uk
“BECAUSE OF THE NUMBER OF CONFERENCES, A KEY OBJECTIVE FOR MUNDY IS TO CREATE MORE HOTEL ROOMS – WE WANT 200-250”
Costa, Sainsbury’s and Argos, as well as local businesses. Bang in the centre of the country and close to the M6, in many ways it’s a perfect location. When FM World visited, plans were in place for 50 iconic Jaguar cars to line the exhibition hall to celebrate the 50th birthday of the E-Type – the same day Coventry beat Watford 2-nil just yards away in the building. Because of the number of conferences, a key objective for Mundy is to create more hotel rooms: “We want a 200-250 bed hotel here,” he says. The 46-pitchfacing rooms can either be set up as a hotel bedroom, or (with bed safely folded into the wall) a meeting room or corporate box. And the flexibility doesn’t end there. A major football match could be taking place at the same time as a wedding and a huge exhibition, plus other smaller www.fm-world.co.uk
events. The sheer size, scale and adaptability of the building is its strength, and the reason no doubt, why it was chosen for the Olympics. “Lots of football venues kick into action for match day but we’re a 365-day a year facility.” Naturally hosting major events can occasionally disrupt local residents; Mundy is chair of the local residents group and holds regular consultations. In the past, car-parking, litter and stadium visitors urinating into people’s gardens were the main problems. As a result, the Ricoh has introduced one of Britain’s biggest car-parking enforcement schemes, provided extra litter bins and temporary toilets around the venue on big event days. Like most FMs, energy saving is high on Mundy’s agenda, both to become a greener site but also to save money – the site spends more than £1m a year on utilities.
The pitch at the Ricoh Arena (centre); the Jaguar meeting facility (above) Take That wows the crowds (left)
Over the past two years, a 13 per cent saving has been achieved by introducing technology to monitor and tweak the building management system to ensure it runs at peak efficiency, introducing gas and voltage optimisation technology, PIRs, and liaising with staff and tenants. Now Mundy and his team are looking at renewables such as wind, solar power and CHP to see if they are cost-effective. Banning the brand Perhaps the most challenging aspect of the 2012 Olympics is that the venue will lose its identity for the duration of the games. No branding is allowed, so the Ricoh Arena will become the City of Coventry Stadium. A simple change, but one which requires every bit of branding to be covered to create a “clean” stadium. The Olympic branding itself will cover
some of the Ricoh, and other branding, but there are major challenges such as the massive Ricoh painted in huge letters on top of one of the halls. “We are trying to establish the extent to which we need to be a clean stadium. For example, do we need to cover the brand of the pipework around the stadium?”. What is already certain is that the venue will switch to Olympic sponsors Coke and Heineken from Pepsi and Carlsberg for the duration of the games. The arena is host to a number of tenants including Yorkshire Bank, Ricoh, Rank, Arena Health Club, de Vere and a community space – and they too are affected by the Olympics. “It’s amazing the influence that the Olympics has,” says Mundy. “All of our tenants and our suppliers have bent over backwards to help, to the extent that their business will be affected. But they are prepared to do that because it’s a once-in-a-lifetime opportunity and they want to be associated with that.” And that sentiment extends to the facilities management team: “For us as an FM team, the Olympics will have taken more than two years to prepare for, and will be over in 12 days. But to be involved at a planning and practical level with an event of that magnitude is a huge buzz.” FM FM WORLD |21 APRIL 2011 |21
FM FEATURELIONEL PRODGERSBACK TO THE FLOOR
Back to the... FM call centre
TALK OF THE TOWN In the first of a series of articles, industry veteran Lionel Prodgers returns to the floor of FM service delivery, this time at Mace Macro’s call centre in Camden Town Photography: Sam Kesteven
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t was with much trepidation that I set out for my day at Mace Macro’s office in Camden, home to the company’s fm24 central call centre. As I was introduced to the supervisor, Julie Shaw, two thoughts went through my mind: am I up to the challenge and will I make a terrible fool of myself? I have to say, that within moments of meeting Julie and the team, my mood began to brighten. I was immediately struck by the buzz – a room full of chatter is surprisingly calming. Artemis Papademetriou, one of the 17-strong team of operators, kindly explained the system and the many inter-dependent processes. It all looked terribly clever but very complicated to navigate and my mind soon wandered. Although I was there to be an operator, I was somewhat distracted by the technical side of things: the infrastructure, organisation and logistics of the whole operation.
I don’t envy the people who go on the call centre’s training course because there’s a great deal to remember. A lot of information is available but the system doesn’t prompt you on some of the finer details. For example, if a company in the US calls in the afternoon, you have to remember to greet them with a ‘good morning’. It’s fair to say help desks have come a long way since I first started in FM in the mid-1980s. I’ve seen the gradual evolution from calls being fielded by an office administrator with a pen and notepad, to a single telephone service and on to call centres and help desks. Like most people, I’ve talked to help desks from time to time but I had no idea how much data is available at the click of a mouse these days. Fm24 is a help desk services company specialising in delivering customer care and service support for the FM sector. The first thing that struck me was the diversity of its role. It is multi-client based, international and it’s open 24-hours a day, all year round. Each of the operators has to become familiar with the different characteristics and requirements of the 16 client companies and all their employees. It’s almost like a concierge service. It’s very interesting to see how all this is www.fm-world.co.uk
THE MAGAZINE FOR THE BRITISH INSTITUTE OF FACILITIES MANAGEMENT | 21 APRIL 2011
FM MWorld MW www.fm-world.co.uk
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CATHY HAYWARD EDITORCOMMENT
CONTENTS or our latest supplement, we return to the burning issue of facilities management technology and software. Inside, we examine some of the specific aspects of how technology and digital solutions can make big differences across a host of FM functions. We trust that even the most dogged technophobe will discover something in the following pages that will bring them up to speed as to the types of services and functions that today’s FM can approach with a modern application. Freelance journalist Kevin Stanley explores virtual worlds, such as Second Life, and their application in an FM context (page 4); while Martin Ferguson, an expert in cloud computing, who spoke about the topic at the recent Th!nk FM conference, gives us the lowdown on what we need to know about cloud computing (page 8); sponsor Service Works Group talks about how technology can be used to create a more productive and effective workplace (page 10).
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Virtual worlds FMs are turning on to Second Life Cloud computing Moving business processes online
Computer aided FM How innovation is driving change
This supplement was published by redactive publishing ltd 17 Britton Street, London EC1M 5TP Tel: 020 7880 6200 Website: www.redactive.co.uk
“WE RETURN TO THE BURNING ISSUE OF FACILITIES MANAGEMENT TECHNOLOGY AND SOFTWARE”
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FM SUPPLEMENT TECHNOLOGY AND SOFTWARE KEVIN STANLEY
Digital lives Virtual worlds such as Second Life are more than just entertainment. This and similar programmes can be very effective in visualising environmental and management issues, as well as gaining feedback from potential building users, finds Kevin Stanley
irtual worlds offer users the chance to experience 1:1 scale 3D models of planned and existing real life spaces. Users can look at, explore and interact with these virtual spaces. Daden, a virtual worlds and artificial intelligence (AI) solution provider based in Birmingham, offers consultation, design and build services. In the virtual world known as Second Life the company has created a number of spaces, from Birmingham City University’s Millennium Point campus to its most exciting project to date – the Library of Birmingham, which is due to open in 2013. “Birmingham
City Council contracted us to deliver an interactive virtual model of the new library, primarily to support community engagement, to inform the internal fit-out and to investigate the potential of a mixed physical/virtual library space,” explains Soulla Stylianou, client director, at Daden. “Architect’s images, plans and drawings were used to build the virtual Library of Birmingham in situ on ‘Centenary Square’ in Second Life as a tool for library staff working on the new development as well as to allow the public to explore the new library in the virtual world. “The three dimensional aspect
The possibilities of using a virtual space are almost endless. Factors such as practicality of room layouts, accessibility of toilets, meeting rooms, stairs and lifts, can all be assessed
of the virtual library makes it ideal for planning many aspects of the new library – training for issues like evacuation, health and safety, and security are obvious starting points,” says Sue Round, facilities manager for Birmingham Central Library. “It’s great that my FM team will be really familiar with the new building long before it opens,” she adds. Virtual worlds really do offer users a chance to see a plan in virtual real-life. They provide organisations with the ability to show stakeholders what a new building will look like and feel like and, for instance, where people will be sitting. It’s simple to appreciate that this is much more effective than showing a client a few carpet swatches or some floor plans or artist impressions. But it’s even more impressive than that, says Stylianou: “Within a virtual world, objects can do
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A Second Life simulation of the yet-to-open Birmingham Library
AN FM PRESENCE IN SECOND LIFE he Centre for Facilities Management Second Life has been hosting seminars online since April 2008. The Centre for Facilities Management Second Life also has a meeting space presence in Second Life on the Manchester UK sim, where anyone can drop by to simply say ‘hello’ or participate in debates.
What is Second Life? “Second Life is an open-ended experience, and our customers use it in a wide variety of ways, including entertainment (eg playing games, attending live music performances, role-playing), creativity (eg designing virtual fashions, scripting animations, filming machinima, building 3D environments), socializing (eg watching movies with friends, chatting in voice or text with people from around the world), education (eg learning a new language, roleplaying historic scenarios, examining 3D models), enterprise uses (eg 3D prototyping, training, meetings with remote workers), and much more,” explains Peter Gray, a spokesperson from the Linden Labs Press Team. “In 2009, the Children’s Memorial Hospital in Chicago used Second Life to show employees how to evacuate patients in an emergency. The virtual version of the hospital was created by a contractor using blueprints and photographs as well as images from Google Earth.
things – doors can open, lifts can go up and down and screens can show video or live web pages. You also have the option of showing more than one configuration of spaces within a build which allows you to ask for feedback on the configurations. Anything is possible depending on what the client wants to do. A virtual world can truly bring proposed projects to life,” enthuses Stylianou. There is also a definite element of cost saving involved in the use of virtual worlds to create virtual versions of buildings to enable people to become familiar with their future surroundings. “Any project that involves moving people to a new space creates a level of fear of change and territoriality. Visualising the new space in a virtual setting helps people to deal with and resolve the impact of the change, prior to investing in the real world IN ASSOCIATION WITH SERVICE WORKS GROUP |05
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FM SUPPLEMENT TECHNOLOGY AND SOFTWARE KEVIN STANLEY
construction – whether it be a functional change in work flow, changing accommodation standards, or pilot testing new workplace strategy concepts,” says Meredith Thatcher, president, of Thatcher Workplace Consulting, a Canadian agency delivering workplace strategy, FM and project management consulting services. “Few people are skilled at reading a 2D drawing and visualizing it, in 3D in their minds eye,” she says. “What intrigues me about virtual worlds is the ubiquitous access (which is also, ideally, less expensive) for stakeholders and occupants without relying on the CAD/BIM operators to ‘walk’ them through. Ultimately this should improve the final design, speed up the process, reduce the number of surprises and reduce the overall cost of construction. This puts power into the hands of the people paying for, using and interacting with the facility,” says Thatcher. Indeed, the possibilities of using a virtual space in this way are virtually endless. Factors that can be assessed include practicality of room layouts, accessibility of toilets, meeting rooms, stairs and lifts, suitability of external pathways – and the most sensible routes between buildings; many of these factors are especially important when considering disabled users. “Not only can disabled users be brought in-world, but project staff can also explore the build by wheelchair to make sure that the build is fully accessible,” says Stylianou. “By creating a virtual model and letting users explore it, it is possible to get answers to the very practical questions of how a building will be used that can potentially be overlooked by most current techniques. Problems can be identified much earlier, reducing build time and saving the cost of rectifying mistakes.” Virtual site and building models
have been in use by the business community for almost a decade and are often referred to by industry users as building information models (BIM). There are different forms of BIM models. The include massing models, photo realistic models and production models, the latter used by architects, engineers, contractors, suppliers and facilities managers for use in the design, analysis, fabrication, build, commission and operate phases of the building’s lifecycle. Intelligent building objects such as exterior/interior wall types, doors, windows, mechanical, electrical, furniture equipment can contain significant data provided by the manufacturer that can be used to analyse building performance, estimate costs or be rendered to look like much the same as a photograph of the finished product. “Having end-users view a 3D photorealistic BIM model is a major leap in productivity compared to the traditional method of providing 2D floor plans,
FM QUICK FACTS
per cent rise in repeat monthly logins to Second Life in 2009-10
number of average monthly repeat logins in 2010, as compared to 526,000 in 2007
hours spent in the virtual world by the average Second Life user, as of January 2011
The Library of Birmingham, as realised in Second Life (above and top right)
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Users contemplate a virtual version of the University of Birmingham in Second Life (left)
By creating a virtual model and letting users explore it, it is possible to get answers to the very practical questions of how a building will be used
elevations, renderings, furniture and equipment components that the future occupants who are not in the building trades have to conceptualise,” explains Andy Fuhrman, director, at customer solutions strategy, Cisco Smart+Connected Communities. It stands to reason that if virtual worlds can do all of this that they can therefore be used to simulate disaster recovery planning and business continuity planning exercises such as flooding, and fire. “Virtual worlds can certainly be used for emergency evacuation planning and hazardous material tracking, with access by the first responders so they know what’s in the building (hazmat type, quantities, adjacencies) enabling them to better plan where they’ll set up their command post and triage centres,” confirms Fuhrman. So what are the applications of virtual worlds in terms of training and networking? “HOK Architects is using Cisco Unified Communications and
video conferencing, video display screens and whiteboards for virtual collaboration work sessions including building information models. Virtual worlds allow participants to work, train and learn from remote locations. It reduces travel costs and greenhouse gas emissions, while increasing productivity,” says Fuhrman. So the advantages and applications of virtual worlds in the FM sector are well known and numerous as well as being used across the world. However, it will always be important to remember that there is often still no replacement for living and connecting in the real world. Jelle van der Kluit, a consultant to the Advisory Facilities Management Twynstra Gudde facility in the Netherlands, wrote a report for the Dutch magazine Facility Management in early 2007. His thoughts at the time were that Second Life could certainly be useful in the FM sector. However, four years later he does not really believe that Second Life has lived past its own hype. “I believe that most companies, such as Randstad and ABN Amro Bank left Second Life. There is a shift from a true virtual world (like Second Life) towards, web 2.0 applications and social media (Facebook, Twitter) to be directly in contact with customers,” he explains. “In the Netherlands, we see that while FM companies have registered accounts they are not very active on Twitter. A small number of consultancies and FM suppliers are using Twitter to share FM information and thoughts,” explains van der Kluit. “My advice for FM companies would be to get away of any virtual world. It’s important to be real and authentic. Get ‘online connected’ to your market and customers by social media and get ‘offline connected’ by visiting the market and your customer,” says van der Kluit. IN ASSOCIATION WITH SERVICE WORKS GROUP |07
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FM SUPPLEMENT TECHNOLOGY AND SOFTWARE MARTIN FERGUSON
Cloud computing is here, but what exactly is it, how is it going to affect the FM industry and which organisations are well-placed to capitalise on the opportunities?
he ‘cloud’ may seem like new-age jargon, but it is a simple concept. The term refers to the use of an internet-based service to support a business process. A powerful example is Microsoft’s Exchange Online. It represents both infrastructure and software as a service (IaaS and SaaS respectively) – the buzz words you may have heard of.
Why is it a revolution? For the first time, it gives small and medium businesses access to the enterprise systems previously only available to large (and in some cases huge) organisations. There are clear business benefits. It’s quick, easy and cost effective to deploy (unlike traditional systems and processes); you can reduce (and almost eliminate) the need for IT specialist support; and you can establish automated business processes – all of which offer great potential to add real business value and reduce operating costs. In essence, you can design, develop and manage services rather than manage infrastructure and software. A typical example is
collaboration. Academic institutions are looking to the cloud (albeit a private cloud) to provide collaboration services to its researchers. They’re no longer thinking in terms of infrastructure and software (this is a commodity they can buy from a multitude of vendors) – they’re thinking in terms of service: identifying specific requirements and customising a core service to deliver a functional real-time collaboration platform for users across the world, without any concerns about the maintenance and reliability of the service. Information technology has gone beyond the ‘any colour you like so long as it’s black!’ approach. Why do we suggest the FM industry is best placed to capitalise on this opportunity? Firstly, as an industry, the FM sector is well versed in managing third party suppliers, delivering against stringent SLAs and, most importantly, the FM industry is used to reacting to business needs, tailoring services as customers’ needs change. The cloud levels the playing field and is effectively leading to the commoditisation of IT.
A company no longer needs highly skilled IT specialists in house to maintain infrastructure and software. The existing resources that are dedicated to analysing and improving business processes can be redeployed to design new, more efficient processes which can utilise the enterprise-class cloud infrastructure and software. Clearly, early adopters have an opportunity to gain competitive advantage and, because cloud applications are infinitely scalable, it will enable your processes and systems to grow and change as quickly as your business does, and open untold new opportunities. Pedimenta’s managing director, Nicola Russell, says: “Even if your clients are not immediately planning to use a cloud solution, it pays to keep abreast of developments. Literally, billions of pounds are being invested,
by the big boys (Amazon, IBM, Microsoft and Google) and many small businesses and start-ups. It promises to shake up the way business is done. “Feature-rich online collaboration applications are re-writing the rules of business engagement – with clients and the supply chain,” concludes Russell. What about the threat to your business by savvy organisations within your own industry who have already started to adapt their business processes and business models, and in some cases start new businesses to exploit the opportunity? If the edge you have over your competitors, currently, is better systems and processes, your past investment in traditional IT will have likely played a part in providing this edge. What if this were no longer the case? What if you were stuck with an inflexible system and processes
Cloud applications are infinitely scalable, enabling your processes and systems to grow and change
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provide you and your customers with business continuity: the availability of your core business applications and processes in the event of any disaster, anywhere in the world, anytime. Again, the FM industry is best placed to advise their customers and take them on the journey as you understand business continuity.
The types of service
Generally, you can contract for cloud services at three levels:
and your competitors were not? Whole industries are being wrong-footed because they are stuck with dinosaur processes that are no longer serving them or, critically, their customers. The business need for agility and speed is greater than ever before, and those encumbered by out-of-date business models based upon legacy technology platforms are at a great disadvantage. Think it’s just a problem for big business? Small and medium organisations are arguably at most risk: squeezed by bigger organisations with improving processes to fulfil smaller and smaller orders; and squeezed by new competitors, from within the UK and overseas, who may have figured out a more efficient path to market and/or how to improve customer service.
The opportunity In a nutshell, it’s about better business systems and processes and lower cost, with the flexibility to pick and mix applications (software that run processes) as the need or opportunity arises. Here are some typical characteristics of cloud services:
Little or no start-up cost and no capital investment ● Suck-it-and-see: usage based – often with no fixed commitment ● Can be scaled up and down according to your needs ● Rapid deployment (unlike traditional systems and processes) ● World-class infrastructure and data management ● World-class data security ●
Obviously, compared to local servers, software applications and IT support – you have potentially much lower costs. Also, rather than fixing the server, upgrading software or dealing with the latest virus or hard-drive crash – you can actually focus on your business. We only need to go back to December last year to understand the relationship between traditional IT systems and processes and lost productivity. The big freeze saw businesses lose millions if not several billion in lost productivity, simply because people couldn’t get to work. Cloud services can be accessed anywhere where there’s an internet connection, and thus
1. Infrastructure as a service Grids of virtual servers, storage and networks 2. Platform-as-a-service Allows developers to focus on application development and not worry about operating systems, infrastructure scaling, and load balancing 3. Software-as-a-service Applications with a webbased interface accessed via web services and Web 2.0. Examples include Exchange Online, Windows intune, Google Apps, SalesForce.com and social network applications such as Facebook. If your clients are small and medium businesses, they’ll probably be considering software-as-a-service with, perhaps, a couple of custom applications. Larger organisations will be looking at both software-as-a-service and infrastructure-as-a-service, unified mobile communications and collaboration.
What are the risks? Always make sure that you get what you are paying for. ● Service levels – understand the service levels you can expect, especially for response times, data protection and data recovery times. ● Compliance – in theory, cloud service providers can meet the required level of compliance
for data stored in the cloud but you’ll need to take care ● Data ownership – do you own your data once it’s in the cloud? You may think the answer to this question is obvious, but it’s essential to get it in writing ● Data mobility – can you share data between cloud services? If you switch or end a cloud service can you get your data back?
Are your customers ready? Replacing systems and processes is a major decision for mature organisations. The cloud can literally change your customer’s business model, with all that involves. We argue that it’s better for you and your customers to look at the opportunities – and threats – than to be caught off-guard by existing and new competitors. It isn’t just hype – cloud computing is happening. Billions of pounds have been spent on these new services, and companies are benefiting from the services as you read. Martin Ferguson is programme manager at Pedimenta. Ferguson has over 10 years experience in delivering applications and services in the telecommunications, web based services industry and the healthcare sector.
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FM SUPPLEMENT TECHNOLOGY AND SOFTWARE MARK KIRKHAM
The future in your hands
to increase transparency and optimise levels of customer service.
Efficient and green
Advances in computing and handheld technology have ushered in a new era of flexible, mobile FM, finds Mark Kirkham
he facilities management department of most sizeable organisations will have a computer aided facilities management (cafm) or computerised maintenance management (CMMS) system, to control functions such as planned and reactive maintenance, assets and space management. But to consider FM technology simply in terms of the functionality is to limit the possibilities that IT can offer. Smart businesses are those that have embraced technology, leveraging its full potential in order to enhance staff output, maximise productivity and ultimately drive business success. This is no more true in any area than FM, where today’s FM is challenged with both optimising the working environment for building occupants and meeting business demands for improved cost efficiency and increased performance. Modern cafm applications embrace the latest web and mobile
technology to offer a centralised solution which is accessible by facilities staff, external contractors and building users, via a web browser, regardless of their location. This enhances a company’s ability to manage assets and service delivery in multiple locations via one fully integrated solution. It supports centralisation or relocation of FM operations, such as a facilities help desk, and removes the reliance upon local facilities teams in each geographic location. Web-based FM systems also serve a central role in improving communication and raising the profile of the FM department within the workplace. Critical operational FM data is made available, on-demand, in realtime, to users in any location. Staff within the workplace can be granted ‘self service’ access to the cafm system to view the progress of maintenance jobs that they have logged. In the case of FM service providers, this level of access can be granted to their clients
With the installation of a mobile cafm solution, maintenance tasks can be dispatched directly to the handheld device of remote staff, with the result that the maintenance workflow becomes timely because all parties involved have instant access to data. Supporting documents can be attached to electronic work requests and accessed from anywhere, eliminating the time involved in sourcing a document that would traditionally have been stored in filing cabinets. Via their mobile device, contractors and engineers can request spare parts, provide a detailed report of time and materials and close a job, all without ever touching a sheet of paper or picking up a pen. Reporting is another area of the facilities operation that greatly benefits from being paperless. Any comprehensive cafm system will offer reporting functions which can query FM data, generate reports and automate workflows in relation to specific business processes, to support the needs of legal and regulatory reporting. In addition to the environmental and efficiency savings, web-based solutions offer the potential to reduce the costs associated with IT hardware maintenance, as well as reducing facilities managers’ reliance upon internal IT staff. The hosted software model, or, as it is commonly known, SaaS (software as a service), offered by many technology suppliers is one such offering. SaaS outsources the management of FM software applications to the software vendor, who are responsible for hosting and maintaining the applications and data in a secure environment. This allows businesses to access the latest FM technology via a web browser without the need to invest heavily in IT hardware, and without
being heavily reliant upon internal IT departments, since all support and maintenance is provided by the vendor. SaaS also provides a comprehensive solution to support disaster recovery strategies as well as a cost-effective solution without the need for capital investment. Today’s workforce has high expectations around flexible working schedules and their overall work environment. For the employee, a key concern when selecting a potential job can be whether that employer supports flexible work patterns such as remote or home working.
Flexible working Web and mobile Cafm technologies have allowed FM professionals to leave the confines of their desk computer to work in an efficient, mobile and paperless real-time work environment. By integrating cafm, bookings and space management technology, facilities managers are able to effectively plan workspace for employees who do not require full time office accommodation. Webbased tools support hot-desking strategies enabling staff to book desk space or meeting rooms for the days that they are required to work in the office. This can be flexibly controlled with the FM system so that any given employee can only book a workspace located within a certain building, floor or other geographic region. In a further level of convergence, FM and BMS (building management system) technology can be integrated to ensure that heating and lighting are automatically switched on when a flexible workspace has been booked, and switched off once the space is no longer in use. Facilities managers must continue to embrace the tools and technology at their disposal if they are to effectively anticipate and meet the needs of a demanding workforce.
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Prodgers gets to grips with the role of operator under the guidance of Artemis Papademetriou
organised – from the logistics behind the work rota to the systematic approach which answer a broad range of calls. Developments in IT technology have certainly made the whole process much more seamless than it used to be. One of the things which impressed me most was the depth of information behind the screens. First off, the caller’s company name appears automatically so that the operator can respond as the bespoke help desk. Each client is given a unique reference number to ensure that the problem can be monitored to the point of resolution. The operator has so much information at their fingertips that they can confidently tell the customer how long it’s going to take to respond. You can see the workflow, the messaging going out to contractors and the email being sent to confirm that the job has been completed. All this activity is logged on the system and the data is then sent to the clients. The data then enables the clients’ FM teams to pick up on recurring problems and work out where there is room for improvement. Because the help desk is open 24 hours a day, the nature of the calls is incredibly diverse. Arti told me one of the most unusual calls she has received in her five years at fm24 came in the small hours of www.fm-world.co.uk
22-24 Lionel.indd 23
the morning from a man whose car was locked in a company car park. “He was huffing and puffing and very indignant that he couldn’t get his car off the site,” she told me. The problem was resolved when a cleaner was contacted and asked to set the unfortunate driver free. “I think he must have been lonely as he kept me on the phone for about an hour,” Arti recalled. “It can’t have been much fun being stuck like that but I couldn’t help wondering how he ended up going back to his car at two o’clock in the morning.” The strangest call that came in during my shift was rather less dramatic: someone complained that a vending machine hadn’t dispensed change from the purchase of a Snickers bar. For a while I wasn’t convinced about the efficiency of dealing with such a trivial issue, particularly as the call lasted 10 minutes. However it has to be said that ‘Snickers man’ had his 45p hand-delivered within minutes. Looking back on the day, I am left with a great deal of respect for the help desk operators. They are the face of the company and they interact directly with the customer – much more so than the managers further up. I was under the impression that remote help desks wouldn’t have this personal touch. I think it’s probably a great benefit that FM WORLD |21 APRIL 2011 |23
FM FEATURELIONEL PRODGERSBACK TO THE FLOOR
A SMOOTH OPERATOR ionel Prodgers is one of the top 20 pioneers of FM. In 1984, he founded Facilities and Property Management which he later sold to Chesterton International and become managing director of their property asset management division. His FM software solutions management firm, Ark e-management, was acquired by Integrated FM in 2006. Prodgers was BIFM chairman from 1997 to 1999 and chairman of EuroFM from 2000 to 2005. He is now a director of Agents4FM, an international consultancy working for bluechip companies.
“IF THERE’S BEEN A WEEKEND OF RAIN, ALL THE CALLS ON MONDAY MORNING WILL BE AROUND FLOODING AND LEAKAGE” operators are encouraged to visit the UK sites they support and gain valuable insight about the clients, buildings and services they work with every day. As for my own performance? I can’t lie, I didn’t exactly excel but then I didn’t embarrass myself too much either. I learned a great deal and, from now on, I shall be extra courteous whenever I contact a help desk. Artemis Papademetriou’s response: It usually takes three weeks to train a new recruit, so Lionel was definitely jumping in at the deep end. He was very calm and interested in how the system worked from the inside out. I could tell that he knew a lot about IT even if he wasn’t familiar with our particular system. I’m sure after some proper training he’d make a great operator. Lionel told me he was surprised by how much the 24| 21 APRIL 2011| FM WORLD
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elements affect our traffic trend: if there’s been a weekend of rain, all the calls on Monday morning will be around flooding and leakage. However, most of the calls that came in during Lionel’s shift related to air conditioning, blocked toilets or vending machines. These are the most common types of problem we deal with. When it came to the Snickers bar call, Lionel wasn’t convinced that it was a productive way to deal with such a small incident. I explained that if we didn’t get these calls, we wouldn’t acquire the valuable data on plant and machinery efficiency for our clients. The caller could have wasted a lot more of his working day resolving the problem himself. The company is paying for a service, so they need to get the most out of it. Lionel could see the sense in that so I hope he felt his day was a productive one. FM www.fm-world.co.uk
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2/8/10 12:21:43 FM WORLD |21 APRIL 2011 |25
FM FEATURE ENERGY MANAGEMENT DAVID ARMINAS
Cutting carbon emissions is of rising importance at the University Hospital of South Manchester after a new heating system was installed
FIRST BUILT: 1902 INAUGURAL NAME: BAGULEY SANATORIUM INITIAL NUMBER OF BEDS: 100, RISING TO 150 IN 1912 NEWEST BUILDINGS: ACUTE UNITS (PFI, FIRST AND FOURTH WAVE) TOTAL BEDS TODAY: 1,000 WORKABLE FLOOR AREA: 1.3M SQ FT DAILY FOOTFALL: 7,500-8,000
Photography: John Reynolds
26| 21 APRIL 2011| FM WORLD
any best practice efforts involving large multibuilding portfolios, which combine old and new buildings, are hampered by the varied quality of the buildings. The energy-saving potential of older structures, no matter how much you upgrade, will always be more difficult to maximise. As such, they can drag down the overall rating of the entire estate. But the University Hospital of South Manchester, in Wythenshawe, around eight miles from Manchester city centre, has squeezed – and is still squeezing – their mixed estate to produce commendable energy reductions (see page 25). Its buildings range from early 20th century to the latest – and last – wave of private finance initiative structures before the controversial procurement
process was canned by the new coalition government. At the Guardian Sustainability Awards this year, UHSM scooped the Innovation and Progress, Sustainability category for reducing the trust’s energy consumption and CO2 emissions by 26 per cent within three years. It also was proclaimed the overall winner, out of 700 entries and 11 finalists. The judges thought the long-term energy and cost savings at UHSM, done in partnership with the Carbon Trust, was “an excellent example of best practice”. Reductions and efficiencies are the result of carefully coordinated planning, and not ad hoc efforts. There has been a focused move towards renewable technologies, and this is manifest in the trust’s biomass boilers. However, installation of the boilers, and of
a ground-source heat pump, is part of a larger carbon-reduction strategy. This includes a carshare scheme, cycle-to-work programme, monthly on-site farmers’ markets, staff allotments and a healthy lifestyles club for employees. The first step was to set up a carbon management implementation plan, explains Paul Featherstone, director of estates and facilities at the hospital. This was done with help from the Carbon Trust, an independent not-for-profit organisation. The trust was set up by the government with support from business to help UK businesses use low-carbon technologies. UHSM set a target to reduce carbon emissions by 15 per cent by 2010, as government goals state, and by 20 per cent by 2012. But in reality, UHSM cut its emissions by 26 at the end of last year, well ahead of even the 2012 goal. Implementation of low-carbon technology is the “how-to bit”. What’s also needed – and often forgotten – is the “why-do-it bit”, where everyone from frontline staff to the chief executive understands what carbon saving means for the business, says Featherstone. This calls for major PR activity to get all employees to think ‘I will save energy daily’. The PR campaign at UHSM ranged from posters around the sites and direct talks to staff to, importantly, getting “energy champions” around the hospital to drive the culture change along. Featherstone and his team identified around 20 energy champions. They still remain the “eyes and ears” of the FM team because they pinpoint where to make changes to technology, where energy is being wasted and where general waste is being created. “Let’s face it, we compete www.fm-world.co.uk
UNIVERSITY HOSPITAL OF SOUTH MANCHESTER
“INSTALLATION OF THE BOILERS, AND OF A GROUND-SOURCE HEAT PUMP, IS PART OF A LARGER CARBON STRATEGY” www.fm-world.co.uk
with many budget centres, and many are directly related to patient care,” says Featherstone. “So energy-saving technology requires a hard sell to the board.” This means it helps also to have a champion at board level, someone with more than just a passing interest in energy saving, says Featherstone. In the case of UHSM, while putting together their 2007/08 carbonmanagement plan the chief executive was their champion. A lot of low- to medium-cost energy-saving technologies are available, like moving to more efficient T5 fluorescent tube lights. These are around 40 per cent smaller in diameter than the one-inch T8 lights and energy savings are obvious. But a carbon management plan requires a commitment to collecting the minutiae of consumption data, FM WORLD |21 APRIL 2011 |27
FM FEATURE ENERGY MANAGEMENT DAVID ARMINAS
£3.3m was spent on energy efficiency measures
analysing it and acting upon it, said Featherstone. “For that, our energy manager, Tony Small, has the world’s biggest spreadsheet.” Around 200 energy-monitoring meters that log data every halfhour were installed on site, along with automatic meter readers on gas lines. Even though biomass boilers were being installed, efficiency improvements on the trust’s regular dual-fuel boilers also were sought. The heating systems were switched from using chlorine to metal-plate heat exchangers and economiser units were installed on the regular gas boilers that saved 5 per cent energy, annually. UHSM spent £3.3m on energy efficiency measures within its carbon management implementation plan, including for two 2MW biomass boilers along with support systems and services. Another 200kW biomass and a ground source heat pump were installed in mid 2008 into its new Northwest Lung Centre. Around £1.5m came from government grants for the associated measures in the plan with further monies from savings due to improvements to, and better efficiencies of, energy maintenance schedules. The 200kW boiler installed in the lung centre is sized to accommodate the base load. During the months when only the base load is required the centre becomes carbon neutral regarding fossil fuel needs. The lung centre also has generator plant as a back up in the event of a power outage. Most of the centre’s heating requirements are satisfied by dual-fuel boilers – if the gas supply is down, they can still operate on oil. The biomass systems offer further resilience to heating and domestic hot water supplies. For the rest of the estate, the two main biomass boilers, in the main boiler house, displace around 28| 21 APRIL 2011| FM WORLD
21m kWhrs of fossil-fuel energy a year. The steam it produces passes through metal heat exchangers to provide hot water and heating for a large proportion of the estate. Importantly, the large boilers are integrated into the main steam infrastructure so it works in conjunction with the main dual-fuel boilers. When essential maintenance is needed, the site’s heating and hot water capabilities are not compromised. The tender for the two- to fouryear contract to supply woodchips to the biomass boilers includes a management and maintenance plan for the boilers themselves. A local supplier was found, not 50 miles away but only 15 miles down the road – fewer carbon emissions to be marked on the hospital’s spreadsheet.
The cost of woodchips is around £75 a ton and the main boiler goes through around 20 tonnes a day, which is one articulated trailer-full. But the cost per ton is adjusted downwards according to the moisture content. The more moisture in the chips, the less energy when burned. Although the boilers can use wood pellets, Virgin A-grade wood chips are preferred because they don’t contain foreign substances such as a glue to hold the pellet together, says Small. The chip supplier backs up a full trailer into a bespoke parking bay and leaves it for 24 hours. In effect, the trailer acts as the beginning of the chip supply line leading into the boiler’s furnace. A large plate inside at the front of the trailer slowly moves back, pushing chips
“A CARBON MANAGEMENT PLAN REQUIRES A COMMITMENT TO COLLECTING THE MINUTIAE OF CONSUMPTION DATA, ANALYSING IT AND ACTING UPON IT”
UNIVERSITY HOSPITAL OF SOUTH MANCHESTER
GETTING A HANDLE ON EMISSIONS any organisations install a few cycle racks and transform a loo cubicle into a shower as their nod in the direction of a green-travel policy. Not so at UHSM. “It’s more than that, it’s about a healthy lifestyle choice, says Colin Botts, former chief inspector of police and now UHSM’s security manager, who also runs the hospital’s cycling club. There’s 110 committed members, and counting, says Botts, 73, who took up cycling only two years ago. “Our Sunday club gets between 18 and 24 people out for a rides of around 30 miles and 50 miles. That means there’s something for beginners as well as experienced cyclists. We don’t want to scare people away with too-long rides and kids are welcome.” Apart from the club, around 200 of the hospital’s 5,500 staff cycle to work, which is not bad, says Featherstone, who acknowledges he comes in by car because he drops his children off at school. The catchment area of the hospital includes one of England’s more deprived neighbourhoods where an unhealthy lifestyle, including heavy smoking, is normal, explains Featherstone. Most of the employees come from this area. Energy manager Tony Small does a daily round trip of around 15 miles – the average distance for cyclists – while the hospital’s chief executive Julian Hartley commutes from five miles away, and takes a fold-up bike on the bus to meetings in central Manchester. The hospital medical director also cycles in. The trust estimates that this saves 15,000 car-miles each week. It also has around 150 members of staff sharing their cars, allowing them to split the monthly charge for the car park – and to use special reserved spaces near its entrance. Mindful of the fact that seven out of 10 employees are women – and the hospital operates 24/7 – there is also a 24/7 cyclists rescue and repair service. Just make a call to security and a van comes out picks up the
forward to fall out the rear end into an Archimedes-screw type feeder that pushes the chips down feeder ling to the boiler. Installation of the ground-source heat pump for the Cystic Fibrosis development meant six boreholes were sunk more than 100 meters. But they were 50 to 100 meters from, the building, meaning there were routing issues getting the pipe-work across the site. The water is put through a vacuum and a compression cycle boosts its temperature from around 12 degrees C to 45 degrees at source. In summer months the process can be reversed and system’s delivery pipes cool the centre. UHSM has done a feasibility study to establish if more heat pumps will reduce the hospital’s carbon footprint. FM www.fm-world.co.uk
Director of estates and facilities, Paul Featherstone (top); Colin Botts, security manager (top right)
cyclist, takes them to work, delivers the stricken bicycle to a repair shop and brings it back again that day for the cyclist’s return journey home. To further encourage cycling, the hospital has an arrangement with the local police who loan bikes to the hospital from its collection of stolen and unclaimed bicycles. The person has the bicycle on loan to see if cycling to work is for them, meaning there is no initial expensive financial outlay.
FM WORLD |21 APRIL 2011 |29
FM MONITOR PETER GAGG
Peter Gagg is a director of MCP Consulting and Training
emonstrating to clients that systems D and processes are in place in the whole life cycle of management of physical assets is the aim of the PAS 55 standard
PAS 55 is the British Standards Institution’s publicly available speciﬁcation for the optimised management of physical assets. First published in 2004 and revised in 2008, it is scheduled to become an international standard (ISO) by late 2012. PAS 55 deﬁnes asset management as “the optimum way of managing assets to achieve a desired and sustainable outcome at minimum total cost of ownership through their whole life cycle.” It therefore encourages longer term thinking promoting, among other things, sustainability and energy efﬁciency by providing clear best practice guidelines and a detailed requirements speciﬁcation to assist in achieving optimised whole-life management. PAS 55 is applicable to any size of organisation, public or private, with signiﬁcant physical assets. For example, ﬁnancial centres, ofﬁces, hospitals, schools, infrastructure, laboratories, airports, data centres as well as transport and utilities
30 | 21 APRIL 2011 | FM WORLD
sectors. PAS 55 will help these organisations: ● Establish an asset management system ● Demonstrate its compliance with its deﬁned asset management strategy. In the UK, several facilities sector businesses have started on the journey to PAS 55 accreditation and in doing so have seen the beneﬁts, in terms of: ● Improved understanding, by both the asset owner and the contractor, of the need for clear goals ● The ability to demonstrate continual and effective asset management plans that minimise risk to the core business ● Recognition of the organisations competence and compliance with a worldwide speciﬁcation for asset management FM service providers must Plan-Do-Check-Act PAS 55 is now recognised as an appropriate framework for
achieving sustainability for the FM sector during and after the contract term. The framework is based on the well-recognised and understood Plan-Do-Check-Act (PDCA) continuous improvement methodology. Within the framework, which comprises 28 clauses, the key elements of asset management are covered, eg asset management policy, strategy, risk management, management controls and continuous review. By embracing PAS 55 FM service providers have the opportunity to demonstrate to their clients that they have in place systems and processes that will deliver high performance service and reliability at the optimum cost which balances risk operating costs and capital expenditure. Achieving certification It should be noted that to achieve full recognition it is generally necessary for both the asset owner and service provider to work in partnership to deﬁne the business goals and appropriate asset management system. There are two approaches that third party FM service providers can use to achieve certiﬁcation. Either the provider company can develop a standard set of processes, procedures and information systems which are then applied to each contract. Or, the provider company works with each client to develop processes and procedures which are tailored to the site/organisation’s needs. In either instance the active involvement in the development process by the asset owner is non-negotiable. It must be a formal approach by both the asset owner and service provider (even if the provider is an in-house organisation).
A five-step approach Achieving certiﬁcation to PAS 55 standard will take between 12-24 months to achieve. A typical approach will involve the following steps: Step 1 – Awareness workshop for asset owners and service providers Step 2 – Initial gap analysis against the standard Step 3 – Gap closure plan Step 4 – Intermediate assessment against the standard Step 5 – Certiﬁcation against PAS 55 Part 1 standard. To maintain certiﬁcation, the organisation will be required to demonstrate continuity and sustainability of its developed systems. A re-certiﬁcation is required after three years. Case Studies 1. A world-leading ﬁnancial institution with several locations in London has started on the PAS 55 journey. Initial beneﬁts identiﬁed include increased levels of reliability, reduced maintenance costs and revised asset life plans resulting in annual savings of £170k. 2. An FM service provider working with a PAS 55 consultancy used the framework to achieve certiﬁcation of its management physical assets and infrastructure at one of the UK’s largest airports which identiﬁed: a. 30 per cent cost reduction b. Improved operating efﬁciency in-line with the business risk c. Sustainable environmental, regulatory, legal and carbon reduction compliance. FM Peter Gagg is a director of MCP Consulting and Training
Legal brief Sentenced for basic errors
BRIBERY ACT 2010
The long-awaited guidance to the Bribery Act 2010 was published by the government on 30 March, together with guidance on when prosecutions may be undertaken. The act, which is expected to come into force on 1 July, will create four new bribery offences and replace the existing legislation. The key change to the existing law is the creation of a criminal offence by commercial organisations of failing to prevent bribery on their behalf. Organisations will not, however, be liable for bribes paid on their behalf where they have “adequate procedures” in place to prevent them. The guidance is intended to focus on what businesses would need to demonstrate to mount a successful “adequate procedures” defence under section 7 of the act. Prevention over cure However it’s not just about having the defence. It will also be useful for commercial organisations that want to prevent incidents of bribery in the ﬁrst place. The government’s commentary on the act addresses several particular issues that have been the subject of debate since the act was passed, in particular corporate hospitality, the nature of an “associated person” in the context of an organisation’s joint ventures and/or suppliers, and facilitation payments. However it is important to note that it does not change the act and will perhaps have only limited inﬂuence on the courts.
The six principles which should be considered when implementing procedures to prevent bribery being committed are: 1. Proportionate procedures This is a welcome recognition that any procedures must be proportionate, both to the business in question and to the activities that it engages in 2. Top-level commitment This emphasises that engagement by senior management is essential in setting the tone of an organisation 3. Risk assessment In order to design appropriate anti-bribery procedures, businesses must assess the risks they face from time to time 4. Due diligence Businesses are expected to conduct due diligence on those who might perform services on their behalf 5. Communication (including training) Business must ensure that its policies are clearly communicated, both internally and, where appropriate, externally 6. Monitoring and review Business are expected to engage in a process of continuous improvement, whereby existing procedures are periodically assessed to ensure that they are ﬁt for purpose. This is likely to be a key principle as an argument about whether an organisation’s procedures were adequate will only take place if a bribe has been paid. It will be important to show that there was a robust system of monitoring, even though one slipped through. The government stresses that the principles are not intended to
be prescriptive, but instead are ﬂexible and outcome-focused, allowing for the huge variety of circumstances that commercial organisations ﬁnd themselves in. It is particularly welcome that the government has made clear that isolated incidents of bribery on behalf of an organisation should not give rise to liability. Businesses should adopt a risk-based proportionate approach to managing bribery risks. Three of the key practical steps to take are: • due diligence on sales and marketing agents, consultants and distributors etc • maintaining controls over and records of gifts and hospitality • maintaining controls over and records of all other voluntary payments In relation to the Joint Prosecution Guidance, the most noteworthy section is on facilitation payments which suggests that large or repeated payments which are a standard way of conducting business are more likely to attract the attention of the prosecutors. However, one off payments made in difﬁcult circumstances and which are dealt with in accordance with an appropriate corporate policy on how to deal with requests for facilitation payments are less likely to result in prosecution. For more information on the guidance visit justice.gov.uk/ guidance/bribery.htm FM Beverley Vara and Jonathan Hitchin are both partners at Allen & Overy
A gas fitter and his employer have been sentenced for putting people’s lives at risk with a catalogue of defective work. The offences included making basic errors when installing gas appliances and pipe work at three separate properties in Holyhead and Bangor, and not being registered with the official accreditation scheme. Anthony Trevor Hughes, 47, of Gwalchmai, Anglesey, admitted breaching the Gas Safety (Installation and Use) Regulations 1998 at Caernarfon Magistrates’ Court. His employee Justin Shane Owen, 37, of Llynfaes, Anglesey pleaded guilty at an earlier hearing at Holyhead Magistrates’ Court.
Bring out the bunting The Health and Safety Executive (HSE) is concerned that ‘health and safety’ will be trotted out as an unfounded excuse not to hold local celebrations. Minister for Health and Safety Chris Grayling said: “The Royal Wedding will be a great national occasion, and I want to reassure everyone that they can have street parties with friends and family and bring out the bunting to celebrate in time-honoured British tradition.”
Gateshead firm fined A Gateshead steel firm has been fined a total of £40,000 after a worker’s feet were crushed in a rolling mill. Gateshead Magistrates heard the maintenance team was removing large mill rollers used to reduce the thickness of slabs of steel at very high temperatures to make them into flat plates. Spartan UK was fined a total of £40,000 and ordered to pay £9,757.99 in costs after it pleaded guilty to three breaches of the Provision and Use of Work Equipment Regulations 1998 and a breach of the Management of Health and Safety at Work Regulations 1999.
FM WORLD |21 APRIL 2011 |31
FM MONITORBRENDAN TAPLEY
Brendan Tapley is a senior consultant at powerPerfector
M AC CU RVES
arginal Abatement Cost (MAC) curves are useful tools to measure the most cost effective improvements to a building’s energy performance, explains Brendan Tapley
FM has been placed squarely in the middle of one of the biggest challenges that business faces today. Energy costs are on the increase, causing margins to be squeezed, while carbon reduction targets mean that the pressure is on large organisations to make fundamental changes to their operations. The increasing use of Energy Performance Contracts and energy saving companies (ESCOs) indicates how many businesses intend to outsource the challenge. It’s not unusual for a large FM company to have up to 250 energy saving and energy generating measures available. With such a large number of low carbon technologies, the challenge is in determining which will bring the most cost effective and expedient improvement to a building’s energy performance. This is where the Marginal Abatement Cost (MAC) curve becomes useful. If used correctly the MAC can determine which of the numerous low carbon technologies will prove value for money and save carbon in the long term. In short, the MAC is a tool for comparing a range of different investment choices. Originally developed by the Massachusetts Institute of Technology (MIT), MAC curves were incorporated into the development of global climate policy. They’ve since undergone refinement, most notably by McKinsey & Company, while the UK government used MACs as a guide for the potential future costs 32| 21 APRIL 2011| FM WORLD
of technical measures in the 2007 Energy White Paper and the UK Low Carbon Transition Plan. For any given energy conservation measure, the MAC curve takes the net present value of capital costs, future maintenance costs and monetary savings from reduced energy consumption and carbon emissions, and then divides this by the carbon savings to show the net saving (or cost) per tonne of carbon. Crucially for FMs this allows a direct comparison to be made between energy efficiency measures and renewable technologies.
conservation measures. In the MAC curve below, net costs are as low as -£108/tCO2, so every tonne of carbon saved will add £108 to the organisation’s cash flow. This makes the energy conservation measure a no-brainer compared to doing nothing and paying the government £12 per tonne of CO2. The MAC curve below outlines the range and ranking of energy saving measures for the NHS’ small/medium acute sites. This shows ‘voltage optimisation’ as the number one energy conservation measure, followed by a number of other common energy efficiency measures. However, this also demonstrates its limitations. The MAC curve does not differentiate between different technologies
MAC CURVE: NHS SMALL/MEDIUM ACUTE SITES Marginal abatement cost per tonne of carbon (£)
Practical applications The applicability of the MAC curve now extends beyond the realm of policy makers and has become an industry standard investment tool. For example, the NHS Sustainable Development Unit states: “The MAC Curve is a powerful tool to collate and illustrate a vast amount of data in a meaningful way. It indicates the win-wins where cutting carbon saves money, puts into perspective those measures where the investment costs cannot be recouped and shows where the most cost efficient and largest CO2 savings can be made.” The MAC can identify measures with a net cost, or savings over their lifetime. Some measures may still be of interest if the investment is less than £12 per tonne of CO2, ie the CRC tax liability. Measures offering cost savings can be considered an income, which can be used to fund other energy
within the same broad categories. So for instance, within the broader ‘voltage optimisation’ category there are over 30 different technologies, each of which will achieve different savings levels and come with radically different reliability records. Voltage Power Optimisation (VPO) has an additional benefit in that it significantly improves security of supply through its improvement to the on-site power quality, something that isn’t reflected in the analysis. This is why the MAC curve should only form part of the decision making equation, which should ideally take the following format: MAC curve + technology knowledge + financial engineering = sound decision making. FM
60 40 Increasing costs
0 25,000 50,000 75,000 100,000 125,000 150,000 175,000 200,000 225,000 C02, savings (†CO2 in 2015)
-40 -60 -80 -100 -120 1 2 3
9 11 12 13 16 10 14 15
C02 savings (tC02 in 2015)
1 degree C
Improve the efficiency of chillers
Variable speed drives
Improve lighting controls
Building management system optimisation
Source: NHS Sustainable Development Unit, Febuary 2010 A Marginal Abatement Cost Curve for NHS England prepared by AEA Technology. The top 7 technologies are indexed above. All 18 technologies can be reviewed in the full report.
KEY POINTS ON MAC CURVES • Developed by the Massachusetts Institute of Technology (MIT) • A useful tool for analysing multiple technology options • The width of the bar represents the level of carbon abated • The height of the bar represents the unit cost of the measure • Requires additional product knowledge
FM MONITOR MARKET INTELLIGENCE
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.
VAT rates: Standard rate – 20% (from 4 January 2011) Reduced rate – 5% Zero rate – this is not the same as exempt or outside the scope of VAT
From 1 April 2011
Source: HM Treasury (hmrc.gov.uk)
5 4 3
National Minimum Wage Category of worker
Hourly rate from 1 Oct 2010
Aged 22 and above
Aged 18 to 21 inclusive
Aged under 18 (but above compulsory school age)
Apprentice rate, for apprentices under 19 or 19 or over and in the first year of their apprenticeship
CLIMATE LEVY CHARGE Mar Jun 2009
CPI annual inflation, the government’s target measure, was 4.0% in March, down from 4.4% in February. The surprise news means that the Bank of England is unlikely to raise interest rates next month, as forecast. But the UK inflation rate is still above the provisional figure for the European Union which is 2.8%, and double the government’s 2% target. The largest downward pressure to the change in CPI inflation came from food and soft drinks where overall prices fell by 1.4% between February and March this year compared with a rise of 0.3% between the same two months a year ago. In the year to March, RPI annual inflation was 5.3%, down from 5.5% in February. Source: Office for National Statistics (statistics.gov.uk)
Category of worker
Hourly rate from 1 Oct 2011
Aged 21 and above
Aged 18 to 20 inclusive
Aged under 18 (but above compulsory school age)
Apprentice rate, for apprentices under 19 or 19 or over and in the first year of their apprenticeship
Taxable commodity supplied
Rate at which payable if supply is not a reduced-rate supply from 1 April 2009
£0.00485 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
£0.00169 per kilowatt hour
Any petroleum gas, or other gaseous hydrocarbon supplied in a liquid state*
£0.01083 per kilogram
Any other taxable commodity
£0.01321 per kilogram
These rates took effect 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)
BUSINESS INSOLVENCIES DOWN
The central London commercial property market is set to face its worst Grade A office shortage since the 1980s due to a dearth of new developments and prime stock. As a result, rents in London are set to rise rapidly over the next two years with headline rents set to reach £100 per sq ft in the West End and £65 per sq ft in the City by 2013 (currently £70 per sq ft and £55 per sq ft). Over the last year alone office rents in some parts of central London have risen strongly, including 16% in the City and 18% in Midtown according to figures released by Capita Symonds real estate division. Over the last year, office availability has fallen in almost every central London market, including a 14% drop in the West End and over 20% in Midtown and Docklands.
Fewer businesses became insolvent in February compared to the same month last year according to the latest Insolvency Index from Experian. The total number of insolvencies fell by 12.5% – from 1,834 in February 2010 to 1,605 in February 2011 – bringing the rate of insolvencies down from 0.10% to 0.08%. The overall financial strength score of UK businesses continued to improve, from 81.18 in February 2010 to 81.60 in February this year. The score also saw a small month-on-month improvement from 81.49 in January. Scotland saw the greatest improvement with the lowest insolvency rate at 0.06 per cent in February while Wales saw the biggest increase to the rate of insolvencies rising to 0.11 per cent from 0.08 per cent in February 2010. Yorkshire was the worst performing region with a rate of 0.13 per cent.
Source: Capita Symonds (capitasymonds.co.uk)
Source: Experian (experian.co.uk)
The following rates will come into effect on 1 October 2011:
Source: Bank of England (bankofengland.co.uk)
Note: Budget 2010 announced that the standard rate will continue to increase by £8 per tonne on 1 April each year from 2011 to 2014 inclusive, and that the lower rate will be frozen at £2.50 per tonne until 31 March 2012.
Bank of England base rate: 0.5% as of 7 April 2011. The previous change in bank rate was a reduction of 0.5 percentage points to 0.5% on 5 March 2009.
» £56 » £2.50
FM WORLD |21 APRIL 2011 |33
BIFM NEWS BIFM.ORG.UK
BIFM Awards: A chance to recognise FM’s leading teams and individuals
Time to win an award The BIFM Awards are the best opportunity for the industry’s leading individuals and teams to be recognised nationally. Facilities services are delivered across all sectors and winning an award sends a powerful message to the employees of in-house teams, to the clients of outsourced teams and to all staff and team members at all levels. The awards are designed to celebrate the increasingly strategic profile of FM by highlighting the key role it plays in the success of public and private sector organisations. They identify the evolution of facilities departments and external providers into key players in the major decision-making process of a business, integral to an organisation’s performance. The award categories are: ● Innovation in Customer Service ● Innovation in Technology and Systems ● Innovation in Products ● Impact on Organisation and Workplace ● Sustainability and Environmental Impact ● Communications and Marketing ● Excellence in a Major Project ● Client of the Year ● Consultant of the Year ● Service Provider of the Year ● Facilities Manager of the Year The clock is ticking and the closing date for all categories except FM of the Year is Friday 29 April. FM of the Year closes on Friday 15 July. Winners will be announced on 10 October 2011 at the awards event at London’s Grosvenor House Hotel. For more details on how to enter, visit www.bifm.org.uk/awards2011 i
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KEEP IN TOUCH » Network with BIFM @ www.networkwithbifm.org.uk » Twitter @BIFM_UK » LinkedIn » facebook
New streamlined membership The BIFM has recently reviewed its membership application process in an effort to streamline this for existing members wanting to upgrade and for new members
wanting to join the institute. The BIFM went through a process of reviewing our existing application requirements, which encompassed taking into account feedback from members and applicants about the process and setting it against industry standards. As a result of this, we have introduced a more streamlined application process which provides a smoother way for new members to join the
institute and for existing members to be recognised at the relevant grade of membership. The original process required applicants to complete an in-depth Personal Professional Review and a Reflective Continuing Professional Development record; these were very labour intensive for applicants. This has now been replaced with a new declaration form process which allows the applicant to declare their knowledge and level of experience which is then counter signed and confirmed by a sponsor. The sponsor is then contacted in the application process to verify the level of experience, knowledge and competence held by the applicant. The grade structure has not changed and we still require applicants to have the same level of competence, knowledge and experience. What has changed is how the applicant proves their level of competence, knowledge and experience. This process of proving has been streamlined to improve the accessibility of membership for new and existing members. i If you would like to find out how this change of process affects you or would like to find out about upgrading your existing membership please contact the membership team on 0845 058 1358.
SUSTAINABILITY SIG PROFILE Chair: Lucy Black, Tremough Campus Services Number of members: 3,451 Key dates and events for 2011: Events are mainly linked with other Sigs and regions, as an effective way of working and reaching members across the country. Purpose of the Sig: The group acts as a centre of excellence for knowledge and opinion within the FM sector, covering the three strands of
economic, social and environmental sustainability. They promote best practice in sustainable FM by activities such as raising awareness and participating in national consultations. They comment on BIFM Best Practice Guides, to integrate sustainability in all aspects of the institution’s work. The group informs the FM community and other stakeholders about the importance of effective sustainable development practice.
Why should members join the Sig? The group provides a forum for discussion about sustainable practices, regardless of what sector you work in, where you are based or what level you are in your organisation. You will find out about events that are taking place, where you will be able to network with other members. i To join the region, go to bifm.org. uk/bifm/groups
Please send your news items to email@example.com or call 0845 058 1356
Members’ Day and AGM This year’s BIFM Members’ Day and AGM will take place on 30 June, at the British Library Conference Centre in London. All BIFM members are welcome to join this free event, which is all about getting involved, networking and celebrating success. Registrations are now open for the event. The day will start at 9.30am for registration, coffee and networking, followed by a varied agenda to include various case studies from BIFM Award winners, keynote speaker, 2011 Recognition Awards and the AGM, plus lots of networking opportunities. The day will end with a drinks reception from 5.30-8pm. The AGM provides members with the opportunity to engage with the board and exercise their vote to contribute to the future direction of the institute. All those that hold the grade of Member, Certified Member, Fellow or Honorary Fellow are eligible to vote on the resolutions contained in the specific AGM papers. A tour of the British Library will be available for non-voting members while the AGM takes place in the main auditorium. Keep checking the Members’ Day and AGM page on the BIFM website for full details, including details of the case studies and speakers, bifm.org.uk/AGM2011 i Register now for the event at surveymonkey.com/BIFM_ MembersDay. To nominate or enter for a Recognition Award, go to bifm. org.uk/recognition2011 To learn more about the British Library Conference Centre go to bl. uk/conferencecentre/
34-36 BIFM news.indd 34
Ian Broadbent is chairman at the BIFM
BIFM COMMENT R E SP O N D I N G TO A C R I SI S
ecent events in Japan show what a fragile world we live in. Coupled with the natural disasters in Australia and New Zealand, this year will be a year to remember for many people for all the wrong reasons. Such events test the most thorough of emergency preparations and indeed, in many cases, no amount of planning could have prevented or helped given the magnitude of the disaster. In respect to the earthquake in Christchurch, what amazed me was the speed with which the emergency services moved and the fact that within 48 hours there were rescue teams from the UK on the ground in New Zealand. You may remember the St. Mary Axe bomb in the early 1990s during which a certain insurance company was badly affected. Yet within 48 hours, the company had all their staff working at an alternative site. As an industry we are used to having to fight fires, but good planning and testing of those plans can pay off hugely. While I sincerely hope no-one reading will face a natural disaster such as those mentioned above, there is no harm in planning, producing, rehearsing and testing to make sure your programmes are as robust as possible. Don’t forget here at the BIFM we have a special interest group that looks specifically at business continuity and your membership entitles you to any publications that the group publishes. In my role as chairman there are certainly peaks in the year when the diary seems to be full of events, awards, exhibitions and engagements. Early in April we held the very successful Th!nkFM conference in Nottingham, followed by our April board meeting last week, ideaction in Brisbane, The Facilities Show and Euro FM in Vienna. Registrations are also now open for our popular Members’ Day and AGM to be held at the British Library on 30 June. In between all these events I have further engagements in Essex, Berkshire, Manchester, Leeds and Ireland – so there really is a lot going on. For many people, FM World is one of the significant benefits of BIFM membership but don’t forget all the events that occur at which you receive free entry in many cases or discounted at almost all of the others, and if we aren’t doing something you’d like to see then let us know. I am nine months in to the role now and it is interesting to look back at what has happened in that time. Looking at the head office team we have been joined by some great talent who are already bringing benefit to the members. At board level we have been joined by Liz Kentish and soon to be joined by Ashley Rogers, both will bring their own experience to the table. Education moves from strength to strength and in addition, financial performance has remained strong giving us a sustainable platform for the future. Being your chairman is a great experience and I look forward to continuing to serve you and drive the BIFM forward over the next 15 months.
“WHILE I SINCERELY HOPE NO-ONE READING WILL FACE A NATURAL DISASTER SUCH AS THOSE MENTIONED ABOVE, THERE IS NO HARM IN PLANNING, PRODUCING, REHEARSING AND TESTING”
FM WORLD |21 APRIL 2011 |35
BIFM NEWS BIFM.ORG.UK
Caroline Plane: BIFM member scoops four awards
BIFM supports show
The BIFM are event supporters at the Public Procurement Show, 15-16 June at ExCeL in London. Procurement professionals are under significant pressure to find new ways of managing costs and delivering cashable savings. The Public Procurement Show will provide you and your colleagues with the latest thinking, a chance to meet new and existing suppliers and to hear developments shaping public sector procurement today. At the show you can: ● Meet innovative suppliers showcasing cost effective workplace solutions ● Listen to the most influential figures in public sector procurement in the Procurement Talks, including John Bowen, chair of the BIFM Procurement Special Interest Group ● Gain inspiration from examples of outstanding procurement in the best practice seminars ● Develop new skills in the Procurement Skills Workshops. Sessions include the latest thinking on outsourcing, collaboration and managing contractual disputes ● Learn more about procurement law and how it will shape the future of public sector in the Legal Theatre. i For more information and to register free today, go to publicprocurementshow.com
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M A NAG I N G R E LO C AT I O N , F IT-OU T & MOVE
BIFM rising star scoops awards BIFM member Caroline Plane BA (Hons) MScFM, consultant with Larch Consulting, has scooped a range of awards following the successful completion of her Masters degree in Facilities Management at the College of Estate Management (CEM). Plane, who is in year two of her MSc course won the BIFM prize for Outstanding Performance over the Two Years of the Course, and the CEM prize for Outstanding Performance in the Coursework at year two, has been honoured further by being awarded the Hays FM Prize for Best Dissertation at Part 3 of the MSc in Facilities Management as well as winning a RICS South East Student Award for outstanding work on the MSc. Plane said: “I am overjoyed and overwhelmed. I was determined throughout the course to do my best, but genuinely never expected to receive such accolades. I am passionate about FM and have thoroughly enjoyed undertaking my studies at CEM. Plane is currently working on a range of consultancy projects with Larch Consulting working under the guidance of managing director, Lucy Jeynes, MA Cantab, MBIFM, and director of consulting Michael Cant BA.Arch, MBA, MRICs. Lucy Jeynes said: “Caroline is an excellent consultant, and has worked hard to study for her Masters while tackling a demanding workload. Everyone in the Larch team is tremendously proud of her.”
our organisation has decided to relocate and you have a key role. How do you view this prospect? With a sinking feeling? Or do you see it as an exciting opportunity? There is no question that relocation represents a major commitment by any organisation. And it is always a huge challenge to the FM who is asked to make it happen. But whatever the corporate circumstances, BIFM Training’s two-day training programme in this area titled Managing Relocation, Fit-Out & Move will be of immense value to those who attend. The course material has recently been completely overhauled and includes all relevant statutory obligations including CDM Regulations. It describes the whole relocation process including the following key elements: ● Developing and documenting an understanding of the organisation’s requirements – the Project Brief ● Setting up project teams – internal and external ● Carrying out space planning – including assessment of corporate space needs ● Identifying new building space requirements ● Finding, acquiring and fitting out the new building ● Preparing individual department layouts ● Preparing budgets ● Preparing project programmes ● And finally – the actual move The course is presented by our trainer Robert Fernandez who has considerable experience of carrying out relocation projects in both public and private sectors. It comprises a lively series of presentations with many opportunities for questions and answers. Presentations are followed by workshops which enable delegates to put into practice what has just been covered. During the workshops delegates work together in small teams and are given assistance and advice by the presenter, and after each exercise we review the work of each team. The workshops build on each other using a case study approach that gives delegates a real sense of achievement throughout the course. Course feedback indicates that delegates find it immensely enjoyable and they learn a lot through the combination of presentations reinforced by the realistic workshop exercises.
i Managing Relocation, Fit-Out & Move takes place on 7-8 June, London. For a detailed programme with learning objectives call 0207 404 4440, email info@ bifm-training.com or visit www.bifm-training.com
Call Adam Potter on 020 7880 8543 or email firstname.lastname@example.org For full media information take a look at www.fm-world.co.uk/mediapack
FM innovations ▼OCS announces sports grant for British swimming champion
▲Going up in the world - zero carbon solar pv powers Dimplex offices Dimplex is now generating zero-carbon electricity at its Southampton headquarters, thanks to an installation of its own solar photovoltaic modules. The array on the southwest-facing roof of Dimplex’s headquarters is around twice the size of a typical domestic installation, with 16 modules covering 27m2, to give a total output of 3.68kW(peak). It took just two days to complete the installation at the end of August and so far the system has generated 1007kWh of electricity. The Dimplex modules are now providing income for each kWh that’s generated, thanks to the Feed-in Tariff (FiT). This allows businesses to take advantage of a generation tariff of up to 41.3p per kWh for locally-generated electricity. For more information call Dimplex on 0845 601 5111 or email email@example.com.
British swimming champion, 19 year old Ellen (Ellie) Gandy recently had her success in the British Gas Swimming Championships in Manchester - 2 podium ﬁrst places in the 100m and 200m butterﬂy - capped by being awarded an OCS Sports Grant to support her two year campaign and schedule leading up to the 2012 Olympics. At the Championships, Ellen not only retained her titles but recorded a time of just 0.02 outside the current fastest world time. OCS aims to support outstanding young athletes and contribute to the overall vision for the future of British sport. John Clark of OCS commented: “Ellie’s training campaign presents funding difficulties which ﬁt into the OCS Young Sports Person grant scheme for exceptional performance and we are delighted to be able to support her total commitment.”
▲New Freedor swings into action Freedor is the world’s ﬁrst wireless, electrically powered free-swing door closer. Installed at the top of a ﬁre door and allowing the door to swing freely, Freedor allows ﬁre doors to be held open at any angle, automatically closing them when the ﬁre alarm sounds. Freedor is simple, neat and unobtrusive, and it’s easy to install in new buildings and retroﬁt. Freedor listens for a ﬁre alarm that exceeds 65dBA, verifying the alarm over a 14 second period, before releasing the ﬁre door to prevent the spread of ﬁre and smoke around the building. For product information Fireco Ltd. 0845 241 7474 e: sales@ﬁrecoltd.com w: www.ﬁrecoltd.com
▼GVS Assist and Coffeetech: “The perfect blend”
▲Memco Supplies Door Safety Systems and Elevator Displays to over 200 of Delhi Metro’s Elevators Memco and its sister company TL Jones have teamed up to supply 185 Pana40+ 3D elevator door safety systems and 600 dot matrix elevator displays to the Delhi Metro in India. The systems will be installed in over 200 elevators supplied to Delhi Metro by Kone and Johnson Lifts. Memco’s Pana40+ 3D system incorporates two independent detection systems: the ﬁrst is a light curtain of infra-red beams criss-crossing the elevator car’s doors; the second is a 3D proximity detection system in the landing zone. For further news stories about Memco and to subscribe to the company’s RSS news feed please visit the Memco News Blog at http://halmapr.com/ news/memco/ . Tel: +44 (0)1628 540 161 / firstname.lastname@example.org www.memco.co.uk
Drink equipment service giant GVS Assist and leading espresso and premium coffee equipment maintenance specialist - Coffeetech, are joining forces in a move described by Coffeetech’s Managing Director, Duncan Gaffney, as “highly strategic”. Founded by Deryck and Duncan Gaffney in 1992, Coffeetech has grown to be a major player in the supply and maintenance of espresso machines to the food service sector. It boasts a list of blue-chip clients including Gondola Holdings (owners of Pizza Express, Zizi, Ask), Co-op, BB’s, Coffee Republic, Slug and Lettuce and numerous others high street names. ‘The deal gives us a major leg up in terms of scale’, Duncan said. ‘The synergies between us are exceptional and combining the technical infrastructure of two highly complementary operations creates something of a ‘dream team’ for existing and new customers alike. For starters, the enlarged business will employ more ﬁeld based technicians than any other UK supplier - from day one. This alone is certain to deliver signiﬁcant competitive advantages going forward.’ For any further information please contact Charlie Price, Marketing Executive for the GVS Group on: 01342 840 416 or email email@example.com
▲ MMB moves to broaden FSI’s Room Booking appeal FSI (FM Solutions) Room Booking capability is launched as a stand-alone, cloud computing application through sister company MMB Software. MMB Software Limited, the sister company of CAFM specialist FSI (FM Solutions), has launched a new, web-hosted product called Room Management System (RMS - www.mmb-rms.com). RMS is a stand-alone solution for the booking and comprehensive management of rooms and associated services (equipment, catering, visitor ID badges etc) for meetings and events, for ‘hot desk’ spaces to work at, or vehicle parking spaces. RMS already has a proven track record with a bluechip-heavy customer base using it within FSI’s large-scale, enterprise FM software solutions. MMB has launched an RMS website: www.mmb-rms. com
FM WORLD |21 APRIL 2011 |37
FM Tech Spec 210411.indd 40
FM PEOPLE MOVERS & SHAKERS
NAME: Alan Cork JOB TITLE: Operations director ORGANISATION: Ansbacher & Co JOB DESCRIPTION: Currently running a high quality multitenanted building of about 55,000 sq ft in London Bridge.
What attracted you to your current job? Management of facilities management was outsourced previously and, through an ex-colleague who worked here, I suggested that perhaps I could do it better. They gave me a chance and 13 years later I am still here. There are clear conflicts of interest when you give away the management of your contracts to a company that is incentivised to make as much profit as possible from you.
some fantastic mentors. The best people are those that support you when you want to challenge the old ways of doing things.
How did you get into facilities management and what attracted you to the industry? I completed an apprenticeship in engineering diagnostics but never felt totally comfortable on the shop floor. I literally walked the streets of London looking for a job and the hard work paid off with a job in admininistration for a small publishing company in Ludgate Hill. That was (gulp) 30 years ago. Two years later I found myself in an upcoming firm of chartered accountants and the rollercoaster took off, without me being properly strapped in!
Any interesting tales to tell? I used to manage a building with a large fountain at the front. To avoid algae growing in it we used a biocide additive. One day the engineer overdosed it and the entire street was covered in bubbles. We also had a tramp that liked washing his socks in it.
How do you think facilities management has changed in the last five years? The rise of the big FM companies and the drive to bring down costs has actually brought FM to the attention of government and company directors.
If I wasn’t in facilities management, I’d probably be… a record producer. Actually there are lot of transferable skills. It’s still not too late...
If you could change one thing about the industry, what would it be? The salaries. For what we save organisations the general salary levels do not reflect this.
What single piece of advice would you give to a young facilities manager starting out? Ask as many questions as you can to as many people as you can and listen. There are lots of people out there that love to pass on their knowledge.
My top perk at work is… Funnily enough, my bosses, past and present. I have often been fortunate to work with very professional people in the world of finance and this makes the working environment very satisfying. I have had
If you could give away one of your responsibilities to an unsuspecting colleague, what would it be? I’ve been in this particular job 13 years. I did all that a long time ago!
Ingenuity welcome here
38| 21 APRIL 2011| FM WORLD
People and jobs.indd 61
Call Norman Cook on 020 7324 2755 or email firstname.lastname@example.org For full media information take a look at www.fm-world.co.uk/mediapack
Building better futures property recruitment
National Operations Director Midlands – c.£65k + car + bonus Working for a niche services company and responsible for managing and developing the total FM provision for an enviable client base, monitoring a £multi-million P&L and ensuring the successful delivery of all operations. You must have a track record in delivering FM services.Ref: KN/62766
Contact Katie Noble on 0161 834 8666 or at email@example.com
Senior Property Manager
Senior Facilities Manager Yorkshire – £50-£55k + car + bonus + beneﬁts Managing a diverse site and responsible for managing TFM through contractors and staﬀ and ensuring compliance and optimum performance. Technical qualiﬁcations and TFM experience are essential, ideally within a PFI/ PPP environment, along with good commercial acumen. Ref: KN/62723 Contact Katie Noble on 0161 834 8666 or at firstname.lastname@example.org
Technical Services Manager
Technical Services Manager Midlands – c.£32k + package Work for a reputable service provider on one of their leading contracts and responsible for mobilising and managing all the maintenance provision for a portfolio of properties. A technical qualiﬁcation is essential along with knowledge of PFI/PPP. Ref: KN/62722
Contact Katie Noble on 0161 834 8666 or at email@example.com
Manchester with NW travel – c.£33k + car
Yorkshire – c.£40k + car allowance
North West – c.£45k + car + package
Join this leading property company as a Senior FM professional. You will manage and develop a portfolio of properties with responsibility for total FM delivery and contract management. Service charge budget and multi-site building management experience is essential. Ref: AK/62789
Contract management of multi-site schools PFI with commercial responsibility for improvements and audits and ongoing budget control. Previous experience of PFI contracts is essential with ideally QS or similar commercial background. Ref: AK/62732
Account Manager with operational and commercial responsibility for directing performance of all facility services including FOH, cleaning, catering, technical services, project management, H&S and budget control. You must have a TFM background, strong customer service skills and ideally NEBOSH Ref: AK/62762
Contact Amanda Kontzle on 0161 834 8666 or at firstname.lastname@example.org
Contact Amanda Kontzle on 0161 834 8666 or at email@example.com
Contact Amanda Kontzle on 0161 834 8666 or at firstname.lastname@example.org
Senior FM Consultant
Senior Account Manager
Account Director EMEA
London – £45-55k + beneﬁts
London – £50-60k
London - EMEA – £80k + package
Seeking a broad operational FM consultant with experience of implementing FM strategy, management of Hard FM services and excellent understanding of the interaction between FM services and the operational impact and eﬃciency of the core business. Ref: CORE/62683
Senior Account Manager required with TFM background, FM ﬁnance, Key building customer contacts, who will be responsible for commercial accountability for planning, organising and directing all facility services. 5+ years of general management experience in the service sector Ref: CORE/62527
Our Client is seeking an Account Director with EMEA experience. Responsible for the operational delivery and strategic development globally of the Integrated Facility Management. TFM and lead the new Business Development process on a number of accounts that are of strategic importance to my client. Ref: CORE/62742
Contact Claire O’Reilly on 020 7845 5770 or at email@example.com
Contact Claire O’Reilly on 020 7845 5770 or at firstname.lastname@example.org
Contact Claire O’Reilly on 020 7845 5770 or at email@example.com
Judd Farris acts as an employment agency for permanent or ﬁxed-term contract roles and an employment business for temporary roles.
FM WORLD |21 APRIL 2011 |39
FM New appoints 210411.indd 39
Hard Services Contract Manager, Huddersfield, cÂŁ45,000
H&S Compliance Manager (rail), London, ÂŁ55,000 to ÂŁ65,000 plus benefits
This is an exciting opportunity for an experienced Technical Facilities Manager, ideally with a surveying background, to manage the dayto-day running of a multi-site PFI education contract. With solid commercial experience you must be able to demonstrate a sound understanding of contracts, life cycle planning and payment/ deduction mechanisms. You will lead, motivate and develop an inhouse team to enable the contract to carry out its business activities in a safe, comfortable, productive and cost effective environment. Candidates must have an eye for detail and offer the necessary technical expertise to deliver the highest quality of service to the client. CVs to firstname.lastname@example.org
A client in the rail sector is recruiting a Health and Safety Manager to manage H&S, Risk and Compliance to legislation during design, construction and mobilization of operations. Experience of managing H&S in a rail construction project environment and minimum of (S) NVQ level 3 (or equivalent) qualification is essential. CVs to russell@ c22.co.uk
Assistant FM, Docklands, ÂŁ26,000 plus benefits An FM Services provider requires an IOSH qualified Assistant Facilities Manager to help with service delivery on corporate account in the Docklands. CVs to email@example.com
Business Development Manager, National, ÂŁnegotiable + bonus and benefits A medium sized, expanding FM services provider is recruiting a BDM to deliver new Total Facilities Management Contracts. Candidates must be familiar with the FM market and have a good knowledge of Hard / M&E and Soft FM services. Experience of the entire sales process including cold calling, pre-quals, bidding, presentation of tenders and closing of sales is desirable. CVs to firstname.lastname@example.org
Leeds 0113 242 8055 London 020 7630 5144
providing quality people
Catch22 HPH.indd 1
Deliver excellence. Contract Manager
Building Services Engineer (1 Vacancy) Warrington based ÂŁ31,600 - ÂŁ47,400 ScottishPower, part of the Iberdrola Group, is a leading supplier in the UK gas and power markets. We currently require a Building Services Engineer to ensure the delivery of ScottishPower building maintenance and major programmes across all of our locations. Based in Warrington, with frequent UK wide travel, you will be responsible for ensuring that all ScottishPower assets are maintained to the appropriate levels. With experience in Health and Safety and Environmental Governance, youâ€™ll be expected to carry out full technical audits of building maintenance providers as well as managing the day to day delivery of projects through outsourced service partners, ensuring that best value is achieved at all times. As a skilled negotiator and conďŹ dent communicator, youâ€™ll be comfortable presenting complex information to all levels. Ideally, youâ€™ll be educated to degree level in an M&E discipline and be CIBSE and NEBOSH accredited, or able to demonstrate equivalent experience in a building services role. UK wide travel means that a full driving licence is essential for this role. Participation in the Standby roster is also required. To ďŹ nd out more or to apply, please visit scottishpower.jobs and search our vacancy page for IRC15612.
ÂŁ40k + ÂŁ5k car allowance + benefits Based Manchester â€˘ Ref: CONTRACT MGR Leading a small team of four and a wider contract staff of 30, youâ€™ll deliver hard and soft facilities management for our Greater Manchester Police Force contract. Youâ€™ll need signficant experience in all aspects of facilities management â€“ particularly technical.
Maintenance Manager ÂŁ32k + benefits Based Middlesbrough â€˘ Ref: MAIN MGR With an HND (or equivalent) or other relevant engineering discipline, youâ€™ll apply your solid experience of hard FM to our Roseberry Park contract â€“ a brand new mental health facility in Middlesbrough. For more information, please see our listings on the jobs pages of www.fm-world.co.uk Closing date: 11 May 2011. www.laing.com
40|â€‚21 APRIL 2011|â€‚FM WORLD
FM New appoints 210411.indd 40
Facilities Management The University is one of the UK’s top 20 research-led universities, and in its drive to support research excellence and enhance the ‘Student Experience’ is re-structuring the Facilities Maintenance team to improve service levels and enhance its service capability in support of a newly created oneFM Helpdesk. We aim to recruit a number of well-motivated individuals to help deliver the step change in the performance that we are seeking.
Facilities Services Manager
Engineering Maintenance Manager
An experienced Facilities Services Manager is required to lead, direct and manage the School’s Facilities Services Team and the delivery of all facility related services across the school site.
£36,862 - £46,696 pa You will lead a team of Mechanical and Electrical Technicians in providing a customer-focused comprehensive maintenance service for all aspects of the operation and maintenance of the building services and engineering infrastructure of the University, to agreed performance standards, through efficient control and deployment of both direct and contract labour, by optimising processes and working practices, and by developing human resources to maximise performance. Educated to degree level (or equivalent professional experience) and having corporate membership of a relevant professional institution, you will have a successful track record of consistently delivering high levels of customer satisfaction and have extensive engineering maintenance management experience in a large complex organisation. Job Ref: A-574807/FMW
The successful applicant will hold a facility related professional quali¿cation and will have experience of working at a senior level in either the private or public sector. Application by school application form only (no c.v.’s). Application forms and a job description for this post are available on the school website, www.leicestergrammar.org.uk or from the school (0116 259 1900). Applications should be returned to The Business Director, Leicester Grammar School, London Road, Leics LE8 9FL by 23 May 2011. Interview date: 9 June 2011
Facilities Engineer (Specialist Contracts/Minor Works)
Leicester Grammar School is committed to safe-guarding the welfare of children. Appointment will be subject to a satisfactory Criminal Records Bureau check.
£30,870 - £35,789 pa You will be responsible for the specification, procurement and management of specialist engineering maintenance contracts, 12/4/11 12:51:49 such as those relating to lifts and refrigeration equipment, and for the delivery of mechanical and electrical minor maintenance works and projects, using Consultants and Contractors appointed under the University’s Framework Agreements. You will have a strong customer focus, with a good working knowledge of M&E systems, plus demonstrable contract and project management experience, and be qualified to HNC level or higher in a relevant technical discipline. Job Ref: A-574809/FMW
Leicester Grammar.QPV.indd 1
Project Engineer (M&E) £30,870 - £35,789 pa Working as part of the in-house Design Group, you will have considerable experience of designing and procuring both mechanical and electrical building services, ideally with a strong bias towards successful project management of new mechanical installations in complex and highly serviced environments, such as research laboratories. You will have the ability to establish effective working relationships with a wide range of stakeholders and be able to foster a culture of project delivery excellence. Additionally, you will co-ordinate the work of the University’s Framework Consultants and Contractors in ensuring that all projects are completed within the agreed budgets and timescales, and that they meet the initial design brief objectives. You should preferably be educated to degree level (or equivalent professional experience) in a relevant engineering discipline and a corporate member of a professional institution. Job Ref: A-574808/FMW
Advertising your products and services in FM World will keep your business moving forward but don’t just take our word for it ... ‘Judd Farris has advertised a number of nationwide opportunities on the new FM World Jobs website and we have found the response to be of an extremely high caliber. The roles advertised have been at various diﬀerent levels from junior to senior management and we have noted an excellent response to all with applicants coming from diverse and varied backgrounds.’ Katie Noble Associate Director - Judd Farris
Closing date for all posts: 20 May 2011 For full details, or to request an application pack, visit www.liv.ac.uk/working/job_vacancies/ or e-mail email@example.com please quote job ref in all enquiries. For advertising opportunities call Norman Cook on 020 7324 2755 or email firstname.lastname@example.org
COMMITTED TO DIVERSITY AND EQUALITY OF OPPORTUNITY
FM WORLD |21 APRIL 2011 |41 RECRTestimonial QP.indd 1
FM New appoints 210411.indd 41
FINAL WORD FELICITY MESSING
LET’S GET THIS PARTY STARTED So in case you’ve been on Planet Neptune, wedding fever has well and truly gripped (strangled?) the nation. Grannies up and down the country have nabbed Kate and Wills paraphernalia, housewives have baked their cupcakes. Over here on planet FM we’re puzzled as to why so many FMs are, well, quite frankly so sour. Our recent FM 100 poll revealed a meagre six per cent of respondents are going to decorate their offices for the royal wedding. The same level of enthusiasm has reached another group of joysuckers In Yorkshire. Kirklees Council has prevented people hiring its halls from offering their own refreshments. The council blamed “food and hygiene and health and safety reasons.” But they’re not the only council to impose this ban. There goes the end of royal love heart laden cupcakes then. How often do we as a nation have a chance to celebrate the union of two young adults, the beating of two hearts as one? Why wouldn’t anyone want to indulge in a good ‘ole knees up? Has romance had its day in the UK?
DON’T LET THE BED BUGS BITE If, like me, you missed National Napping Day (on 14 March – make a diary note for next year) don’t despair, you can catch up at a new facility just opened in the City of London. Called PodTime, and located near to Bank tube station, you can hire a sleeping pod by the half hour and have a power nap during a hectic schedule. Judging from the publicity photos, the pods look a little lightweight to me compared to the ‘all singing, all dancing’ Japanese versions, and soundproofing would appear non-existent as ear plugs are provided as part of the service. One City worker interviewed in local BBC news coverage thought they would come in handy after a ‘skinfull’. Just imagine the din from ten
or so multi-stacked snoring drunks sleeping off a liquid lunch. I also wonder if there is a dress code – or maybe an undress code? The facility may seem attractive to the better heeled City tramp, and I guess there must be a certain standard of deportment required to gain entry. It seems that daytime napping may be catching on. MetroNap sleep pods, which look like something out of a Sci-Fi film, are available at a number of City health clubs, and other walk-in napping centres appear to be available in New York and Tokyo. Is this yet another service that will come into the remit of the facilities manager? I suggest you start working on the risk assessment now.
ROYAL WEDDING CATERING: IN NUMBERS 21 staff 2 receptions 19 rooms
Afternoon catering: 600 Evening (close friends and family): 300
IN THE NEXT ISSUE OUT 5 MAY
A LOOK INSIDE THE FM AT THE SCOTTISH PARLIAMENT /// TENANT SATISFACTION SURVEYS /// SECURITY REVIEWS /// CRC UPDATE/// PREVIEW OF THE FACILITIES SHOW /// NEWS FROM THE IRISH PROPERTY AND FACILITY MANAGEMENT ASSOCIATION /// AIR DISTRIBUTION /// PLUS ALL THE LATEST NEWS, BUSINESS NEWS, ANALYSIS AND COMMENT
42| 21 APRIL 2011| FM WORLD
EE Y FR TR EN
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