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The winners and losers from 2010 CRC CASE STUDY:

Cut energy costs while boosting efficiency

Cafod’s new London HQ boasts impressive sustainability credentials

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THE NEW LIGHTING INNOVATION 10 year lifespan, lasting up to 40,000 hours and no maintenance required Consumes up to 80% less energy than incandescent bulbs Reaches full brightness on full power up Sturdy design built to withstand shock and vibration




Visit or contact for more information. FMW. 1

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7 | Snow risk to buildings

8 | Christmas lights

16 | Cafod




6 A review calls for more information on low-carbon buildings 7 Snowfall could pose structural risk to buildings, this winter 8 Christmas lights bring festive cheer to London’s Regent Street 9 FM 100 poll: will you allow staff to deck the halls at Christmas? 10 Business news: Private sector confidence takes a knock ahead of spending cuts in 2011 12 Eleanor Wilkinson explains what made 2010 a big year for M&As 13 Report: the growing use of public-private artnerships in Canada partnerships

14 Diary of a facilities manager: David Walker’s regular look at the daily challenges he faces in his working life 15 Five minutes with Greg Mace, managing director of Portico 42 Felicity Messing


32 | BIFM news


Cafod: Cathy Hayward finds out how the international Catholic charity’s sustainable new home incorporates a ‘Live Simply’ ethos


Annual review: Business analyst Graeme Davies looks back at the year’s winners and losers and forward to public and private sector FM in 2011


Multi-tenanted buildings: a major refurbishment at a flagship Regent’s Street store balanced the needs of the occupants and successfully cut costs

26 Legal: BS11000 28 Technical: changes to gas oil fuel regulations 29 How to: encourage good hand hygiene 30 Careers: recruiting and retaining executive talent 31 Insight: market intelligence

REGULARS REG 32 36 38 39

BI BIFM news Diary of events Di People & jobs Pe Ap Appointments


Joining forces Eleanor Wilkinson on M&As in 2010

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

visit FM World Jobs – the best place to find FM career opportunities online

COVER IMAGE: John Reynolds

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visit FM WORLD |9 DECEMBER 2010 |03

2/12/10 17:19:29

Qubiqa Shelving Solutions The experts in storage for Offices, Libraries, Archives, Museums, Hospitals and Record Offices

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

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

BIFM cutting edge NEW 186x123.indd 1 4| 9 DECEMBER 2010| FM WORLD

FMW. 4

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

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

T: 0845 058 1358 E:

2/8/10 12:19:58

30/11/10 12:10:04

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



ADVERTISING AND MARKETING recruitment sales: 020 7880 6245 display sales: 020 7880 8543 email: display sales executives: Adam Potter (020 7880 8543) and John Nahar (020 7880 6230) ⁄ recruitment sales executive: Stephen Fontana PRODUCTION production manager: Jane Easterman production executive: Aysha Miah PUBLISHING publishing director: Cathy Hayward Forward features lists and media pack available at SUBSCRIPTIONS BIFM members with FM World subscription or delivery queries should call the BIFM’s membership department on 0845 0581358 FM World is sent to all members of the British Institute of Facilities Management and is available on subscription to non-members. Annual subscription rates are UK £110, rest of world £130. To subscribe call 020 8950 9117 or email – alternatively, you can subscribe online at To order the BIFM good practice guides or the FM World Buyers’ Guide to FM Services call Natalie Li on 020 7880 6229. EDITORIAL ADVISORY BOARD Simon Ball, business development manager, Interserve ⁄Jason Choy, director, Persus⁄ Ismena Clout, energy consultant, powerPerfector ⁄ Nick Cook, managing director, Haywards ⁄ Rob Greenfield, director for health, safety, environmental and quality, Sodexo ⁄ Anne Lennox Martin, FM consultant ⁄ Peter McLennan, joint course director, MSc Facility Environment and Management, University College London ⁄ Lionel Prodgers, principal, Agents4FM ⁄ Chris Stoddart, general manager, Heron Tower ⁄ Jeremy Waud, managing director, Incentive FM ⁄ Jane Wiggins, freelance lecturer and FM author ⁄ Chris Wood, senior associate at Advanced Workplace Associates

Average net circulation 11, 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


British Institute of Facilities Management Number One Building, The Causeway, Bishop’s Stortford, Hertfordshire CM23 2ER

isted companies may have to post detailed assessments of potential risks to their businesses, particularly in the environmental and social arena, at the start of their annual reports, under plans being developed by the government. Last month, business minister Ed Davey discussed the issue with major corporates and lobby groups together with unions and regulators. The idea is to enable the front bit of the annual report to allow a company to tell its own story in its own way and to be more forward-looking about business risks, rather than the traditional chairman’s report which tends to be a review of the past year (and a dry one at that). The groups involved have cautiously welcomed the plans, so long as no further regulation is involved. The suggestion is all part of the government’s plan to introduce more stringent reporting on companies’ environmental and social impact. As the facilities team is (or certainly should be) the guardian of an organisation’s environmental bearing, this means a much greater role for FM departments – both in terms of contributing to the report and also the potential to encourage organisations to adopt further environmental plans to enable them to shout about their successes in this area (especially the ones that have saved money). It could also allow listed firms to invest in environmental technologies with a longer payback if they could explain in detail and up front the reasons for doing so – I was struck by how charity Cafod (pages 16-19) chose a property and FM strategy based on long-term ROI because they are a charity compared to the short-termism adopted by many businesses with keen-eyed shareholders. While this is potentially great news, it is by no means a guaranteed route to the top. As a sector we are almost too obsessed about getting a seat in the boardroom, or at least representation at the top table. It was interesting that John Crawshaw, the BIFM’s first director, talking in the last issue, said that a seat on the board had been the main focus for the FM sector back in the early 1990s. In many ways we haven’t progressed much. But we’re not alone. Talk to almost any other sector or business function: law, accountancy, journalism, banking, social work, HR, purchasing to name a few and they all feel they have an image problem and/or are not well represented in businesses. We must forget about accessing the key to the executive washroom and concentrate on doing what we do well; that’s the way to get noticed. This is your last FM World for 2010; we’re taking a break over the Christmas season and hope that you’ll get a chance to have some time off too. The next issue will hit your desks on 13 January 2011 and will contain your FREE copy of the annual FM World Buyers’ Guide to FM Services, the who’s who to the facilities management sector. Your last FM World Daily, the e-newsletter which goes out every day at 11am, will arrive in your inbox on 23 December (if you’re not one of the more than 6,000 people who receive this for FREE every day, sign up at and the first one of the new year will be on 4 January. Merry Christmas and a prosperous new year to all FM World readers and BIFM members. FM



Tel: 0845 0581356 email: web:

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2/12/10 13:59:13


More low-carbon information needed The government should commission research to understand how the market values low-carbon buildings and also how to boost energy efficiencies of all structures. This includes applying “more rigorous requirements” for lowcarbon standards for fit-outs and refurbishments, according to a review of how the construction industry can aid Britain’s drive towards a low-carbon economy. The review, from the LowCarbon Construction Innovation and Growth team, led by the government’s chief construction adviser Paul Morrell, also said more information is needed on how incentives influence the decisions made by developers and tenants to build lower carbon buildings and use them more efficiently. The government should “address barriers to district heating networks by requiring public sector buildings to act as anchor loads, and encourage the private sector to do the same,” Morell added. Industry also needs a “comparator” tool which allows companies to accurately measure the lifecycle cost of different methods of construction. The report said Energy Performance Certificates should be displayed at the point of marketing for non-domestic buildings in order to maximise their influence. The BIFM said it welcomed the final report’s recommendations including practical steps to clarify responsibilities, promote integration, raise compliance levels and improve the sector’s understanding of how 06| 9 DECEMBER 2010| FM WORLD

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buildings perform in use. “The report identifies the lack of collaborative integration of the supply chain. It also criticises the



Low-carb: Scottish Natural Heritage HQ

‘silo-based habits of the industry’s institutions’,” the spokesperson added. “We look forward to a positive response from government to the IGT report’s recommendations.” Bsria, too, welcomed the report, especially joining the roles of design, construction and operation and “creating a new culture of measurement and learning by the construction team of the buildings that they create”. Bsria said it agreed that “government and industry should routinely embed the principles of soft landings into their contracts and processes, so that a building is not regarded as complete until it performs in accordance with its design criteria”. A copy of the full report can be found on the website of the Department for Business, Innovation and Skills.



Heavy snow could pose risk to buildings

Government unveils all on expenditure DAVID ARMINAS

The government has laid bare its spending on everything from hotel accommodation and mobile phones to office furniture, consultants and property management. Deloitte topped the list as the highest paid consultancy, receiving £11.7m, followed by PA Consulting at £11m and KPMG that got £9.5m.Also, Whitehall spent more than £80m on public relations and advertising. The spending information has been published by the government for the first time and covers around £80bn of individual transactions made by Whitehall departments and agencies. The information is available directly by

clicking on the government’s data website. More than £3m was spent on hotel accommodation, including the Equalities and Human Rights Commission handing over £7,305 at the four-star Metropole hotel in Wales, the Daily Telegraph noted. Mobile phones and calls cost £2.4m over the five months between May 12 and September 30. The Guardian noted that a private finance initiative deal costs the Treasury and Her Majesty’s

Revenue and Customs “£17m to stay in their own building, and that’s just since the election”. Payments to Exchequer Partnerships, the consortium that renovated the Treasury building across from Westminster palace in London, make up the lion’s share of Treasury expenditure. “That expenditure, along with HM Revenue & Customs’ controversial deal with the property company Mapeley and an IT contract with Aspire, grabs the attention,” The Guardian noted.

“The spending information has been published by the government for the first time and covers around £80bn of individual transactions made”

2/12/10 16:33:58



The effects of heavy and repeated snow fall could pose a severe risk of structural damage to property if proper maintenance isn’t carried out, experts have warned. Insurer Aviva has issued another property maintenance warning, this time focusing on the dangers of

repeated snow fall which can create immense pressure on roofs. For those parts of the country not yet hit by heavy snow this winter, the group advises FMs to check the state of roofs, looking for signs that they be under stress. “A deflection of the roof or cracking, or twisting in the joists, beams and girders could indicate a problem,” said Alastair Smith, property risk manager at Aviva. Property managers should be especially aware of the risk of ice forming in gutters and drainpipes which blocks them and prevents water from draining away from the roof. “Also, when heavy snow melts during the day, it can flow under roof tiles and refreeze at night. After several melting-freezing cycles tiles may be displaced, and water may enter the roof space, damaging insulation and ceilings.”

£1bn savings plan The public sector could save £1bn through energy efficiency, according to the Carbon Trust. The Carbon Trust has called on more schools, hospitals, police and fire services, local authorities and central government organisations to cut spending and increase energy efficiency by joining its carbon management programmes. Proposed projects could save public sector organisations 46m tonnes of carbon emissions over the course of their lifetime, or the equivalent of London’s carbon footprint in one year, The Carbon Trust said. Richard Rugg, head of public sector at The Carbon Trust said that, with cost cutting at the top of all public sector organisations’ agendas, actively managing energy and carbon must form an essential part of efficiency strategies for 2011. “We want to see more organisations stepping forward to take up the challenge - from the smallest local councils to the biggest NHS trusts,” Rugg said.


Carlisle store fined for low temps



The owners of a women’s fashion store in Carlisle city centre were fined £2,000 plus costs because temperatures fell below the legal minimum. Staff at the bargain women’s’ clothing chain Internacionale outlet, which has now closed, had to work with the main doors open on freezing January and February days earlier this year, a report in the News & Star newspaper said. City officials were alerted by an anonymous phone call complaining about the working conditions, Clare Liddle, prosecuting for the city council, said in magistrates court. Health and safety inspectors visited the shop in January to take temperature measurements. At one point, temperature in the shop

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dipped to 7.6C, well below the legal minimum of 16C. They revisited the shop in February and March, but found temperatures still below the legal minimum. The company pleaded guilty to breaching the regulation governing workplace temperatures.

But Anna Hart, representing the company, said Internacionale – which took health and safety responsibilities seriously -- had a policy of keeping doors open, even in winter, to encourage customers to enter. She also said it was felt the heating system at the shop was not worth repairing because Internacionale’s time at the premises was coming to an end. Passing sentence, magistrates noted that the company had put financial considerations ahead of the need to spend money on keeping its staff properly warm. During the first week of December, the coldest parts of the country were Aberfeldy at -16 degrees Celsius, Braemar at -15 and Finnart at -14. Truro was one of the warmest parts of the country at 5 degrees Celsius.

Dutch FMs cut costs Dutch facility managers are looking at 10.5 per cent cost reductions in the near future, a new survey from the Netherlands suggests. More than 60 per cent of Dutch FMs will be seeking the 10 per cent cuts, according to the survey from the national Dutch FM association Facility Management Nederland and Twynstra Gudde Consultants. The survey also found that 77 per cent of FMs select facility service providers based on price, 49 per cent based on professionalism and 29 per cent based on reliability.

Defra plants 1m trees Defra has launched a new campaign to plant a million extra trees in England over the next four years. The Big Tree Plant is the first government tree planting campaign since the 1970s and will plant trees in urban areas that need them most. In recent years the rate of trees being planted annually in urban and semi-urban areas across the country has declined. The Big Tree Plant supports groups and organisations to establish projects to plant and care for trees. Groups that are interested may apply for grant funding at http:// thebigtreeplant/funding.html

Postage VAT kicks in VAT will be introduced on selected postal services from January 31st 2011. Most Royal Mail customers will be unaffected by this change, since most services will stay exempt from VAT, like First and Second Class stamped and franked mail and standard parcels. Mail solutions company Neopost has provided a guide to all the products that will be eligible for VAT from the end of next month. Visit www.neopost. to find out more.

More protests planned Following days of student protest on UK university campuses last month, which saw more than 50,000 demonstrate on the streets and arrange sit ins in university buildings, the National Union of Students has announced a further day of lobbying on December 9th, to coincide with the government’s vote on plans to raise university tuition fees. FM WORLD |9 DECEMBER 2010 |07

2/12/10 15:38:30




Royal Palaces get a green makeover London’s royal palaces will receive a green makeover in a new scheme to cut carbon emissions and energy costs. The scheme will see 11,000 rolls of insulation installed in three sites Hampton Court Palace, the 16th century Queen’s House at Tower of London and the early 19th century Orangery at Kensington Palace, which is expected to cut £130,000 from the palaces’ gas bills and reduce carbon emissions by 850 tonnes over the lifetime of the insulation. Hampton Court Palace, the 16th century residence of King Henry VIII, will be the focus for almost 80 per cent of the work with more than 3,500 square meters of the palace, being insulated. The insulation will be installed by British Gas and insulation company Rockwell. Michael Day, chief executive of Historic Royal Palaces, said: “These great palaces have stood the test of time over hundreds of years. Today we must make sure they are suitable for a new low carbon future.”

Homeworking cuts wasted commuting time More home working has helped cut the average daily commute time to a 10-year low of 47 minutes and 48 seconds, the union TUC said. Using figures from the Labour Force Survey, the TUC has calculated that £339m worth of working time is spent travelling to and from work every day. The average time spent commuting to and from work increased each year from 1998 to 2006, reaching a record 52 minutes and 36 seconds in 2006. But since 2006, average commute times have decreased every year by four minutes and 48 seconds. It stood at 47 minutes and 48 seconds in 2008, the latest year that times are available and the lowest level since records began 10 years ago. “The TUC believes that the growth in home working has been one of the reasons for the fall in commute times,” a union statement said. “Between 2006 and 2008, the number of people working from home increased by 291,000, accounting for more than half of employment growth during this period.” “After years of increasing journey times, it’s great to see that the number of hours spent commuting to work is finally falling,” TUC General Secretary Brendan Barber said.


Narnia lights London’s Christmas shoppers Town and city centres throughout the UK are enjoying the festive glow of Christmas light displays, but none are more spectacular than those in Regent Street, in London’s West End. The display, which this year features characters from the latest Narnia film The Voyage of the Dawn Treader, took eight days to install by Christmas light and marquee provider Piggotts. The display uses over a million LED lights. Tens of thousands of people gathered to watch the cast of The Voyage of the Dawn Treader press the button last month, marking the official start of the Christmas shopping period in the UK. The team from Piggots have also installed Christmas lights throughout other parts of the West End over the past month, including the lights in Oxford Street, Swallow Street and Spitalfields. Piggotts, which is part of the Crown Group, has been designing and producing bespoke displays in Regent Street for more than 100 years and work throughout the year to develop concepts for the display. Nick McLaren, MD of Piggotts, said: “We are proud to have been a part of the Christmas celebrations in London for over a century.”


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Pub fined for exposing staff to asbestos A UK pub operator has been fined after three electricians and two plumbers were exposed to asbestos during refurbishment works at a Darlington pub. Mitchells & Butlers Retail Ltd was refurbishing the vacant White Horse pub on Harrowgate Hill in Darlington, when the construction workers were potentially exposed to deadly asbestos fibres. An HSE investigation found that the company had commissioned a survey to check for asbestos in June 2007, but it was restricted to only those areas where the proposed refurbishment works were to be carried out. The refurbishment plans were then changed before work started, including work in the kitchen area which hadn’t been included in the original survey. The ceiling tiles in the kitchen contained asbestos which meant that when the workers drilled into them with power tools, dust and debris covered their faces and clothing, potentially exposing them to asbestos fibres. “Everyone who owns or operates commercial premises built prior to 2000 must ensure that a suitable and sufficient assessment for asbestos has been carried out prior to any construction work,” said HSE inspector Victoria Wise. “In addition construction and maintenance workers should have asbestos awareness training so that they can recognise that some materials may contain asbestos and know what action to take.”

2/12/10 15:33:52

Yes, no limit 27%


Not at all 9%

WE ASKED 100 FMS… Will you allow staff to put up Christmas decorations in the office in some form this year? More than one out of four FMs will allow staff to put up decorations with “no limits” this Christmas, the latest poll shows. FM World asked where the limits and allowances lie as far as festive decorations. In particular, “will you allow staff to put up Christmas decorations in the office in some form this year?”. “With over 100 separate buildings to look after we would be hard pushed to stop them,” explained one respondent.” “However, we have an expectation that people will

not do anything too stupid, or excessive, and we do offer support for electrical queries etc. We also provide a central procurement route for the purchase and recycling of Christmas trees and ensure that we provide some central displays for all to enjoy.” For some FMs, to decorate or not to decorate is, simply, not the question for them. “We have no say in it,” a respondent said. “Senior management allows them to do as they wish. All FM does is provide staff with catering if they want it.”

Yes, with supervision 64% Apart from that 27 per cent of most-liberal of FMs, a further 64 per cent of respondents said they will allow office decorations but under the facilities department supervision. “Only company-planned decorations in designated areas” are to be enjoyed, said a respondent who places themself in the “yesbut” permission category.

Just under 10 per cent will be putting their foot down and disallowing all decorations, and with good reason. “My HM Revenue & Customs client years ago used to love to put up ‘Xmas decs’ on the ceiling. They invariably set off the intruder alarm and cost us at least one of Association of Chief Police Officer’s ‘three strikes and you’re out’ for wasted police time.”

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2/12/10 15:34:08



Confidence wavers in UK private sector GRAEME DAVIES

Much of the recent focus in the FM sector has been on the future for those operators who serve the public sector with an avalanche of spending cuts heading our way next year, but what of the prospects for FMs who serve the private sector? After the surge in the UK economy during the middle months of 2010 the outlook for the first half of 2011 is suddenly looking a little less rosy. The Office for Budget Responsibility recently warned that the UK economy faces a “sluggish” outlook with recovery likely to be slower than from previous recessions. Its growth forecast for 2011 was cut from 2.3 per cent to 2.1 per cent after faster than expected growth in 2010 and the chairman of the Office for Budget Responsibility, Robert Chote, warned that there is “less comfort” about the chances of the UK slipping back into recession than there was just a few months ago. One key theme going into 2011 is the health of consumer spending. So far it appears as though the UK consumer will continue spending in the run up to Christmas, partly driven by the impending rise in VAT in January, but after that the outlook is more uncertain, indeed the most recent survey of consumer confidence showed it to be deteriorating with particular concern among consumers over their prospects for the coming 12 months. One key area of consumer spending is on entertainment, 10| 9 DECEMBER 2010| FM WORLD

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and in particular eating out and in recent months it appears that UK consumers have continued to treat themselves. The Coffer Peach Tracker survey, which amalgamates the sales of large restaurant and pub chains such as Whitbread and Punch Taverns, has held up well of late. September like for like sales were 1 per cent ahead of last year and overall sales were 2.3 per cent better. But is this sustainable? As spending cuts begin to bite next year and the housing market

continues to head south, consumer sentiment is likely to be sorely tested and the most recent Confederation of British Industry survey of the UK’s service sector, which includes the pubs and restaurants, showed confidence among service sector operators was also beginning to come under pressure. We already hear of stories of local pubs closing down at a steady rate as consumers increasingly drink more cheaply at home, but can the food-led chains, and the FM companies that increasingly serve them, continue to prosper? Huge chains such as Mitchells & Butlers, Whitbread and Punch Taverns have homogenised our high streets with chain outlets offering value food and drink options and this trend has called for increasing efficiency across estates, which can be satisfied by the FM providers. But one operator

in particular, Punch Taverns, could be on the brink of reversing its business model. Punch is a creation of corporate financiers who loaded up on acquisitions using cheap debt but were caught out when the credit crunch hit. Now recently appointed chief executive Ian Dyson is rumoured to be considering a radical plan to offload around 5,500 pubs that are leased to independent landlords in a bid to ease its £3.1bn debt burden which cost the company £333m in finance charges alone last year. Mr Dyson appears to be attempting to clear the decks at Punch to give the company a better chance of surviving in the long term, whether this is a tactical move ahead of an expected slowdown in trading remains to be seen. Graeme Davies writes for Investors Chronicle

Latest start-ups

NEW BUSINESS Contract caterer COMPASS GROUP UK & Ireland has awarded a major sevenyear distribution contract to Brakes to start in 2012. Brakes will deliver more over £300m worth of goods every year to 5,500 Compass sites across the UK. SERCO GROUP has signed a £200m contract with Hertfordshire County Council to deliver a myriad of backoffice. Under the contract, services will also be offered to other public sector bodies in the area including Hertfordshire’s ten district councils. INTEGRAL UK and the Jockey Club will extend Integral’s planned preventative maintenance contract for four courses to all 14 of the club’s racecourses. The

three-year coverage begins in February and includes Aintree, Newmarket, Epsom Downs, Cheltenham, Sandown Park, Kempton Park and Haydock Park. Formula One group McLaren and ISS GROUP have announced a three-year contract that includes support services for the F1 maker’s hi-tech headquarters in Woking, Surrey. COFELY has won a five-year contract with Knight Frank for a range of support services to 30 St Mary Axe in the City. Services include M&E maintenance and fabric works for the “Gherkin”, the popular name for the office tower that has a floor area of nearly 48,000 square metres. It was opened in 2004

and at 180m high it is the second tallest building in London. Cleaning provider EMPRISE SERVICES has renewed its contract for services to Waitrose Supermarkets, to begin next February. Waitrose and Emprise have worked together for 45 years. MOUCHEL has signed a contract with Bournemouth Borough Council to deliver a range of support services in a deal that will save up to 40 per cent of the council’s budget over 10 years. BALFOUR BEATTY has reached financial close on the Derby City Building Schools for the Future project. The group will carry out all construction and facilities management for the project that will deliver a new secondary school and the refurbishment of another. Chemical group BASF has appointed FACEO FM to provide FM services at its western Europe sites. Faceo will provide building maintenance, cleaning, security, catering, reception, print and copy, archive, landscaping and fleet management services.

2/12/10 17:06:26

Positive: Mitie chief executive Ruby McGregorSmith

Double digit growth for Mitie Mitie revenue jumped nearly 15 per cent to £918.7m, followed closely by a 13 per cent rise in operating profit before other items to £48.4m. Operating profit margins remained stable at 5.3 per cent, according to Mitie’s half-year results to 30 September, 2010. Basic earnings per share before other items increased by 7.6 per cent to 9.9p per share (2009: 9.2p per share). Revenue visibility of the business “is excellent”, at 95 per cent for the current year (2009:


93 per cent), and 62 per cent for 2011/12 (2009: 58 per cent). Mitie said it continues to see a change from single-service to multi-service or full FM outsourcing as clients seek innovation and operational efficiency from suppliers. FM revenue grew organically by 3.3 per cent and for technical FM by 11 per cent. Both divisions “continue to secure a large number of new contracts and experience very high levels of tender opportunities.” “Overall, market conditions

Punch to sell and cut debt

in the medium term remain positive for outsourcing,” chief executive Ruby McGregorSmith said. But Mitie’s property and asset management divisions “are still experiencing challenging market conditions in their more cyclical, construction-related markets”. Underlying organic revenues declined by 5.7 per cent in property management and 17.9 per cent in asset management. Integration of, and synergies from, acquisitions Dalkia FM and EPS are on track.

Punch Taverns is considering selling off around 6,000 pubs in an effort to cut its £3.1bn debt. Chief executive Ian Dyson may hand the group’s tenanted estate — pubs it owns but leases to independent landlords – to the group’s bondholders. Punch could then focus on the 800 directly managed pubs, including the Chef & Brewer chain. Last year Punch Taverns moved into its purpose-built £8m head office in Burton-on-Trent.

Profits down at Atkins Revenue and profits fell at design and engineering group Atkins over the past six months. Operating profits fell by 0.4 per cent to £48m and revenue fell 5.3 per cent to £664m. The group said the results were good, given the challenging economic environment. However, the company cut around 300 of its more than 15,600 staff in the past six months.

Kier buys Beco for £2.43m

Compass reveals revenue growth Compass has reported a strong year, with 3.2 per cent revenue growth - a stronger than expected result, the group said. Underlying operating profit reached £1bn, while group pre-tax profits reached £913m, up from £773m in 2009. Revenues for UK and Ireland hit £1.8bn, with “progressive improvement” in organic revenue trends, moving from a 5.7 per cent decline in the first half of the year to a 1 per cent decline in the second half. The group said that the improvement had been driven by a slight rise in new business wins and an improvement in retention rates. New wins in the business and industry sector include a contract to cater for 10,000 Virgin Media staff at 17 locations and a contract with

10-12 FM Business.indd 11

the Bank of England to provide staff catering, executive dining and hospitality. The group said that it continued to focus on driving labour cost efficiencies, reducing overall costs significantly. Other new contracts in the healthcare, education and sports sectors include contracts with the Homerton hospital in London and Rugby school and an extension to the contract with the ExCel London sector to service the exhibition, retail and hospitality areas. Compass chairman Sir Roy Gardner said that the group was well placed to exploit business opportunities in the food and support services markets. “Support services is becoming a new engine of growth. Our relentless focus on operating

efficiency should enable us to continue to reinvest in the business, while delivering steady margin expansion,” he added. Compass Group: Year Ended 30 September 2010 Revenue Reported

£14,468m £13,444m

Organic growth

7.6% 3.2%

Total operating profit Underlying








Operating margin Underlying






Profit before tax Underlying







18.1% 19.0%

Basic earnings per share Underlying









Free cash flow £744m

Source: Compass Group, Annual Results, Year Ended 30 September 2010

Kier has bought renewable energy business Beco from Nigel Brunton-Reed, Hilary White and Finance South West Growth Fund for £2.43m. Beco designs and installs renewable energy sources, principally using photovoltaic technology. Beco, set up in Totnes, Devon, in 1980, will become the delivery arm of Kier Group’s new business unit, Kier Energy Innovations.

Rok bought by Balfour Balfour Beatty has acquired “certain segments” of Rok’s business in affordable housing and general construction for £7m. Of the £7m, £4m has been paid in cash and the balance of £3m will be paid as contracts transfer. The operations could add around £100m a year to the group’s revenue. The acquired businesses will be integrated into Mansell, Balfour’s regional construction business. FM WORLD |9 DECEMBER 2010 |11

2/12/10 17:06:40


The vast majority of M&A activity proved to be domestic, says Eleanor Wilkinson (pictured below)

Why 2010 was a strong year for M&A activity ELEANOR WILKINSON

This year has been another remarkable resilient year for mergers and acquisitions within the FM sector. While the steady consolidation of smaller players has continued, larger transactions have been few and far between, reflecting the limited funding available and the caution an uncertain market brings. And, of course, there have been some spectacularly distressing situations, namely the decision to take Spice private and most recently the collapse of Rok. Private equity houses have continued to deploy capital within the FM market, attracted by visibility of earnings from contracted revenues, the expectations of growth through increased outsourcing and the opportunity to scale-up or exit through market consolidation. However, most of the deals with private equity involvement have either been led by existing ‘platforms’ or have been initial management buy-outs (MBOs) with the intention of future bolt-on acquisitions. Some of the most active houses have included Sovereign Capital (backers of 8 Solutions, Euro Environmental Group, Sypol/Alcumus and Kinetics), LDC (United House, Apollo, Matrix Energy Solutions and Emprise), and HIG (Europa). The start of the year saw a number of social housing transactions including bolt-on acquisitions for Keepmoat and 12| 9 DECEMBER 2010| FM WORLD

10-12 FM Business.indd 12

Apollo and the MBO of United House. Unsurprisingly, with the sudden demise of Connaught and Rok, transactions involving profitable companies in this subsector have been on-hold while the carcasses of contracts are picked over, the true effects of the recent spending review are better known and some dust has settled. For the volume of M&A transactions, the most active sub-sector throughout 2010 has been security. The range of acquisitions of security companies has been immense, from specialist catering company Compass, keen to broaden its integrated services offering, acquiring VSG for £64m to Churchill Contract Services – mopping up a couple of companies out of administration. Big boys, Rentokil and OCS have also made acquisitions in the security sub-sector this year, Knightsbridge Guarding for £7m and Legion Group for £13m respectively. The vast majority of mergers and acquisitions this year have been domestic with overseas buyers staying away despite the pricing opportunities that a weak sterling could have offered them. This is a reflection of the global nature of the economic downturn as well as the modest size of the potential targets not being sufficient to justify the risk and expense of a cross-border transaction. The exception to this rule was, once again in the security sector with

Swedish company, Securitas AB acquiring both Nikaro and the UK operations of Reliance. 2010 has also seen historically active, quoted UK groups return tentatively to transactions. Once a serial acquirer, Kier Group has been absent from the M&A market for a number of years but ade acquisitions in in 2010 made the waste and renewable tors. Similarly, energy sectors. ade two T Clarke made mechanicall services ns for £11.6m acquisitions and £6.2m respectively. n to dealTheir return uld reflect a making could view that pricing ed to has returned llycommerciallyevels attractive levels likely and are unlikely rther to drop further in the sub-y sectors they ted are interested in. If this iss the case wee ee may well see ity more activity ed from quoted groups in 2011, y potentially with some ques larger cheques ten. being written. rs have Acquirers en always been interested in the rgin and higher margin nicallymore technicallychallengingg M&E arena and this was as 10 as it will true for 2010 1. Newer hot be for 2011. lude energy sectors include nt services and management compliancee specialists. On y front it was no the energy at Mitie followed surprise that ars’ acquisition up last years’ of Dalkia by acquiring land) or Dalkia (Ireland) that privatee equity

have got in on the action by backing the MBOs of McKinnon & Clarke and Matrix Energy Solutions. Turning to compliance, Aim-listed company Green Compliance has emerged as a serial acquirer of small businesses. In 2010 it made seven acquisitions covering water treatment, pest control, health & safety and fire safety. We wait to see if this rate of over two transactions a month can be maintained in 2011. Expectations for 2011 are that the volume of M&A transactions will see a gradual improvement, being fuelled by opportunistic acquisitions (particularly in the first half of the year) as some companies struggle with working capital and also by small strategic bolt-ons to strengthen the acquirers’ geographic reach or breadth of service offering. Later in 2011 we expect some larger targets to come to the market, particularly those which have had private equity backers for a number of years and for whom the pressure on investors to show an exit and attractive returns is ever increasing.

Eleanor Wilkinson is director at Livingstone Partners LLP

2/12/10 17:15:36



GOING PRIVATE PAYS DIVIDENDS Canada is embracing PPPs, and outgrowing the UK as a result, CCPPP delegates are told


ANNIE GALES Director, Service Works Group

The impressive infrastructure in Toronto sprawls out for miles and as Canada’s economic capital, this cosmopolitan and ethnically diverse city provided an ideal backdrop for the annual CCPPP (Canadian Council for PublicPrivate Partnerships) conference – attended by almost 1,000 delegates and a complete sell out. During the recent global recession, Canada was fortunate enough to remain relatively unscathed, despite this, it has an infrastructure deficit similar to that in the UK; with both a requirement for new infrastructure and the need to manage aging assets where the existing infrastructure has been allowed to deteriorate in order to save costs. Instead,Canada has really embraced the PPP model. Poised to outgrow the UK in this field, it can demonstrate considerable expertise and innovation, both domestically and internationally, with more than 150 projects completed or in procurement. Nearly all provinces have adopted the model, including in Alberta, where the economy is debt-free. At the conference Alberta Schools Alternative Procurement (ASAP I) won the Gold Award for Infrastructure. It delivered 18 schools two years faster than by a conventional process, with

FM 13_CCCPP AC.indd 017

30-year savings of $97m. The schools have innovative facilities and are constructed using eco-friendly materials in order to provide life cycle value and energy efficiency. They have a monthly fixed-price contract for facility services, offering lower typical operating costs for the schools.

Best practice Significant work is being carried out in Canada around PPP design, research, innovation and best practice to meet the needs of both present and future users. One presentation highlighted how offices in the healthcare sector are in an open-plan configuration to control space and therefore costs, to foster an environment in which medical and healthcare professionals share information and best practice. Another example is an openplan operating theatre (‘barn theatre’) where up to four procedures can be conducted simultaneously, sharing facilities and separated by room dividers. Benefits include improved teamwork, shared medical

expertise, zero infections and significant cost savings.

Future proofing Lessons learned from PPP projects were also discussed. It was widely agreed that because the life of a PPP project is long, there may be influences that change expectations along the way (eg, environmental groups), but it was important not to be pulled off course to accommodate new requirements. A ‘vehicle’ responsible for the delivery of the project must act as a steward, actively resisting change. However, it is also important that some of the initial design elements are indicative only, because technology can change in a short space of time. The public sector should look to the private sector for innovation, to ensure that the infrastructure is not functionally obsolete before it’s physically obsolete. Future proofing contracts was very topical too. Agreements must be flexible enough to accommodate change (eg, change of use of a building) otherwise long-term PPPs can be an


encumbrance rather than a source of innovation. Canadian PPPs have come a long way. Lifecycle expectations are now incorporated into contracts and often include commercial incentives to balance short and long-term needs.

Canadian attitudes Surveys reveal that public support of PPPs in Canada is at an all-time high. Two-thirds of Canadians support their use to deliver critical infrastructure. And the country’s youth are the strongest supporters, with 74 per cent indicating positive support. Canadians have learned from the mistakes made in the UK by incorporating flexibility into their contracts. In addition, all projects have a protection clause to accommodate political change (in case, for example, a new government discontinues PPPs).

Conclusion What makes a successful PPP? The message at the conference was clear. Public interest is paramount, value for money must be demonstrable, accountability must be maintained and innovation and transparency are critical to the success of a project. Now that Canada has learned from the UK, how can we learn from the Canadians? FM A longer version of this article is available on FM WORLD |9 DECEMBER 2010 |13

2/12/10 14:00:05



David Walker is facilities project manager at Northumbrian Water


n this last column of the year, why I the choice of a closed protocol fire system is making it difficult to source spare parts, though having a single supplier has its benefits. Of course, open systems have a lot to recommend them too The fire system at our old head office is closed protocol and it has caused me plenty of problems when trying to order the parts I require as part of the company’s refurbishment scheme. This might be a good time to outline what closed and open protocol systems are, and the advantages and disadvantages of having them. Typically, a fire system works by having all its components connected together to form a robust infrastructure managed

from a central control panel. There are two types of protocol: open and closed. Open refers to a system where manufacturers disclose all technical details of their communication protocols enabling other manufacturers to produce compatible components. Closed refers to a system where a single manufacturer produces all parts that require the same protocol, does not disclose information about the

system and restricts software access to approved installers and engineers. We have a closed system, so we have a single company that maintains, supplies and upgrades all the components. One benefit is that all the parts are of a unified design and so they work together without difficulty. You also have only the manufacturer’s engineer working on the system. One major problem though, is that you are totally dependant on a single manufacturer for spare parts and access. They have a captive market, which can, at times, lead to poor customer service and slow responses. With an open system you are free to choose who you would like to supply and work on the system. However, compatibility of the parts may be a problem – and fixing those

problems could prove both expensive and time-consuming. Of course, there is no right or wrong decision when choosing your system. The key is working out which one is the best long-term investment in terms of ease of maintenance, ongoing support and overall cost. There are advantages and disadvantages to both. The main areas you need to consider are component compatibility and maintenance, customer service and ongoing costs, both now and well into the future. Finally, this is my last column for 2010, though I will be continuing to scribe in 2011 and so I look forward to another year. But to all of the regular readers, may I take this opportunity to wish you and your families a very Happy Christmas and New Year. FM

BEST OF THE FM BOOKS Cathy Hayward reviews the latest facilities management publications Workplace Law Handbook edited by Alex Davies ISBN 978 1 905766 88 8 554 pages RRP: £59.99 Employment tribunal statistics are still on the rise, and trends suggest that more and more employees (and ex-employees) are willing to take their grievances to court. New legislation coming in over the 14| 9 DECEMBER 2010| FM WORLD

FM Opinion AC.indd 16

next 12 months will mean greater uncertainty for those employers unsure of the changes, and the rise in industrial action in tough times can only spell trouble for the unprepared. With all this in mind, new from the specialist advisor to the BIFM on employment law is the Workplace Law Handbook 2011. The tenth addition of the bestselling title is essential reading for any facilities professional grappling with the reams of legislation affecting our profession.

Facilities Manager’s Desk Reference by Jane Wiggins ISBN 978 1 4051 8661 2 540 pages RRP: £39.99 Already receiving rave reviews on Amazon, the Facilities Manager’s Desk Reference is a seriously good handbook for the practising facilities manager who has day-today queries to be answered, but also the FM student wanting to

get to grips with a subject which is well known for its acronyms and complex terms, and directors in firms which don’t have a practising FM but need to be kept abreast of their legal and best-practice responsibilities. Divided into 38 major sections covering key topics including outsourcing, financial management, project management, space management, legislation and fire safety, the book is invaluable source of highly relevant, practical information.

2/12/10 10:56:47

You can follow us at and cathy_fm_world facebook/fmworldmagazine





NAME: Greg Mace JOB TITLE: managing director COMPANY: Portico

I am sailing...

David Arminas/news editor at FM World We here on the editorial side of your magazine often hear FMs we interview say, “No two days are the same”. The statement is usually meant to show that the person loves their job, that they bounce out of bed in the morning rarin’ to go and wouldn’t have it any other way. Sure, every job has a down side, some more than others. Even so, this is also part of the – wait for it – rich tapestry of facilities management. However, just how bad does a bad day have to be before you question why you took the job in the first place? How bad is bad for an FM on a cruise ship? Well, check out this clip on YouTube to find out:


I spent years working for Hilton, Connaught and the Dorchester so when I became an FM at Merrill Lynch, I wanted to create a Dorchester in the City. But I couldn’t find an outsourced reception provider to match the five-star hotel standard and my hotel contacts didn’t want to work for an outsourced caterer. That’s when the idea for Portico was born: a specialist front of house provider with five-star-hotel staff. The best compliment I’ve had was from a major financial services client’s HR manager who said she wouldn’t have known the front of house staff were outsourced.

Valuable comms

Richard Steel/Security manager at BAT I am forced to accept it but we are rapidly approaching Christmas and what would I like from Santa? How about a magical blackberry, one that automatically deletes the emails received from suppliers and companies pitching a myriad of products and services that are not wanted or needed. A machine that deletes emails sent from individuals with the aim of covering the part of their bodies usually used for sitting on. Oh what joy that wondrous little machine would bring. Valuable communications, relevant information is such a joy!


Use your environment to influence

John Bowen/chair of BIFM’s Procurement Sig In facilities management we pride ourselves on our buildings and how we run them, and I think that we have been early adopters and champions of sustainable and environmental issues. But are we doing enough? In terms of what we can do in our own right we probably are close to it, but how much are we influencing the people that we look after? Whether we are an in house or outsourced FM service provider we are unlikely to be able to bring about significant sustainable changes on our own, but there are ways that we can collaborate with others to influence and be influenced by them. The key to this is, to use the word in its original meaning, our environment.

FM Opinion AC.indd 17

When you talk to a facilities manager who has a background in hotels, you have a common aim and a common language: customer service. Concierge is an overused word. It is much more than a chap in tails who buys theatre tickets. It could be a receptionist who dashes into the street with an umbrella to hail a taxi, or pops across to Pret because a client wants a specific sandwich. Forget about titles, it’s about service. Property management firms recognise the value of top front-of-house services. When you have an asset like an expensive building to fill, you need to look at ways to differentiate it from the other empty space on the market. Look at what Tower 42 has achieved. Three years ago, the big law and accountancy firms wouldn’t have outsourced their front of house. But times are tough and many are looking again at that decision. The minimum wage and the London Living Wage are of no concern to us. Our front of house staff earn considerably more than that level. If you want to deliver a superior service, it’s a false economy not to pay good wages. FM WORLD |9 DECEMBER 2010 |15

2/12/10 10:57:26



International charity Cafod’s new London headquarters is built around a vision of sustainable simplicity. Cathy Hayward samples Fairtrade coffee in meeting rooms that used to be PlayStations

SIMPLY CAFOD hen your organisation’s mission is to Live Simply, it places peculiar pressures on the FM function. But Quentin Padgett has applied that principle in helping Cafod (Catholic Agency For Overseas Development) to create its London headquarters, in his role as facilities manager for the charity. The new facility, Romero House in Lambeth, a five-storey, 33,000 sq ft building, was built on an old car park site owned by nearby St George’s Cathedral. The building minimises its impact on the environment by producing around 20 per cent of the energy it uses, saving about £6,000 a year. The majority of its waste is recycled

W Photography: John Reynolds 16| 9 DECEMBER 2010| FM WORLD

16-19 CAFOD AC.indd 18

and Padgett has set up systems such as Follow-You printing where staff have to enter a PIN to get their print-outs. Much of its furniture is from recycled products too: the chairs in the break-out areas are recycled PlayStations, recycled yoghurt pots make up the kitchen units, recycled coffee cups the kitchen surfaces and the meeting rooms chairs are made from recycled seat belts. The comfy sofas in the canteen area come from the previous office and have simply been re-covered. With an eye on Cafod’s overseas responsibilities, Fairtrade tea, coffee and sugar are standard in the kitchen, together with eco-friendly cleaning products. Many of the locations Cafod works in globally

2/12/10 15:15:45


The top floor Pavilion (left) offers views over London and a place to read, eat and relax

are adversely affected by climate change; the charity was determined not to make anything worse, says Padgett.

Community spirit There is an undeniable sense of community at Romero House, (named after Oscar Romero, the archbishop of El Salvador who was shot dead while saying mass having spoken out against the country’s oppressive regime). Living simply means sharing what you have with others – in this case, creating open-plan work environments which make it easier to interact and share knowledge and ideas. The only people in enclosed offices are the video editing team, for noise reasons.

16-19 CAFOD AC.indd 19

Break-out areas and refreshments on split levels encourage people to meet colleagues from other teams. The Pavilion on the top floor, which boasts views over London, is a place to relax, eat lunch, talk to colleagues and browse the small library where staff can borrow books on everything from Catholic social teaching to travel guides and self development.

Get on your bikes The Live Simply philosophy also focuses on how people get to the building. At the old premises Padgett, who was FM at the Labour Party before joining Cafod seven years ago, developed a successful bike storage facility. It followed a staff audit which revealed that 5 per cent of the organisation’s carbon footprint could be attributed to staff’s commuting habits. “We’d set ourselves a target of reducing our carbon footprint by 2.5 per cent each year and realised that supporting more sustainable travel options for our staff would help this.”

Twenty bike racks were installed (replacing four parking spaces), and the number of staff who cycled to work doubled to 22 per cent. Staff were also encouraged to walk, which also resulted in an increase (to 7 per cent). In the new building there are no parking facilities (except two for disabled badge holders) as the building is in the congestion charge zone but there is space for 50 bikes (plus shower and changing facilities) and the building is very close to Lambeth North tube station.

Quentin Padgett, facilities manager at Cafod

Material needs The building itself is wedge shaped, cleverly fitted into a difficult site – another example of living simply. Standing opposite, it’s hard not to make the comparison between Cafod’s green roof and that of the Peabody Trust’s head office next door which is covered in air handling equipment (all Cafod’s heat generating equipment is in the basement because it derives its heat from the ground). FM WORLD |9 DECEMBER 2010 |17

2/12/10 15:17:40


The outside of Romero House is clad in a number of materials: untreated sweet chestnut, London stock brick, concrete, zinc and tiling, which represent a diversity echoed inside, with brick, concrete, wooden floors, galvanised steel and carpet all making an appearance. There is a generous amount of meeting space inside, from 10 two-person meeting rooms (often used as quiet spaces for one person to work) to nine rooms holding between four and 20 people. The organisation also shares the 10,000 sq ft conference space next door – Amigo Hall – with the cathedral, which means it spends very little on meeting space. The site was owned by the Diocese of Southwark, and the sale allowed St George’s to transform the Amigo Hall from a run-down church hall to a modern conference space. As you’d expect in a religious organisation, there are quiet spaces. A fourth floor room is a quiet space to pray and reflect. Mass is celebrated every Wednesday morning in the Founders’ Room (which seats 12) and is said twice a day on weekdays in the cathedral next door. 18| 9 DECEMBER 2010| FM WORLD

16-19 CAFOD AC.indd Sec1:20

An on-site library stocks books on Catholic social teaching, available to staff

The terrace, which stretches around the building and offers stunning views of the London skyline, is a quiet space in winter for staff to take phone calls but a buzzing social area in the summer. Romero House is a world away from the charity’s previous premises which it had worked from for 28 years. The 270 staff were spread across three sites in Brixton, London, in a mixture of stock including a Victorian terraced building and a 1950s build with a 1980s extension – in space which was originally designed for 130. “They were challenging buildings,” says Padgett. “A third of the estate was listed and tricky to manage. All the services in two of them had

come to the end of their life and we wanted to work in a more openplan environment. The quality of the space was very low and disabled access was difficult.”

Long-term planning The charity, which owned the Brixton premises, looked at various options for offices. Director Chris Bain, discovered that the Catholic St George’s Cathedral was looking to sell its adjacent site because its income as a car park had fallen since the congestion charge was introduced. “Selling to Cafod meant that the church retained a link with the site,” says Padgett. The land was purchased in early 2008 and Cafod tendered the

work to four architects, eventually choosing Black Architecture because of its sustainable design and credentials. “We wanted a sustainable building and one we could stay in for a long time,” says Padgett. “We were long-term in our costings which allowed us to choose very sustainable systems with a long payback.” A team comprising Padgett and the HR and finance directors was set up, together with an internal staff group of 20 move champions, with the support of assistant FM Byron Jackson. They worked to cut filing by roughly a half in advance of the move and talked through the cultural change implications of working open plan.

2/12/10 15:20:15


“The building minimises its impact on the environment by producing 20 per cent of the energy it uses, saving around £6,000 per year”



of Romero House’s energy is produced internally saving Cafod about £6,000 a year

22% The building was handed over to Cafod in March this year and the move itself took place over two weekends in May. The servers which support international offices were up and running within three hours. Staff moved in on 10 May and the site was officially opened by Archbishop Vincent Nicholls on 15 July. The new building has the same running costs as the previous premises, but at a much higher quality of provision and lower environmental impact. “We didn’t want to appear as if we’d spent too much, or to look like a flash corporate building. We aimed to create an environment for staff and visitors that would enable them to perform at their best.”

16-19 CAFOD AC.indd Sec1:21

of Cafod’s staff now cycle to work after 20 bikes racks replaced four parking spaces


The amount of staff now choosing to walk to work

CAFOD: A GREENER WAY OF OFFICE LIFE omero House is heated and cooled by highly efficient energy pumps connected to eight boreholes dug 125m into the earth. The atrium and office windows maximise daylight, reducing the need for artificial lighting (which takes advantage of movement sensors in certain areas), while roller blinds and the external louvres control glare and shield the building. A natural green sedum roof increases biodiversity by encouraging plants and insects to make it their home, and rainwater collected from the roof is used for toilet flushing. Aerated taps and low water-use fittings mean less water is used overall. The roof-mounted solar panels generate 3,500kWh per year, saving the equivalent of two tonnes of C02. A solar hot water heater provides all hot water. It is double glazed throughout with self-cleaning glass, which Padgett, admits “still needs cleaning, just not as much”. The concrete’s thermal mass stores energy from the ground source system at night to offset the heating or cooling loads the next day. The windows open using winders, supplying fresh air during autumn, spring and summer. During the winter, air is supplied by floor grilles which means staff don’t have to open windows. Trench heaters deliver heat through the floor to offices. The building temperature is kept at around 22-23° throughout the year but rose to 26° over the summer when external temperature hit 32° – still an impressive feat. Padgett is making some tweaks to the layout to further improve air flow. On one floor the storage units are too high which means that air isn’t circulating properly. There are recycling bins in the kitchen and office areas, which recycle flatpacked cardboard, paper, envelopes, plastic bottles, empty aerosols, tin cans and glass jars. In each break-out area there are small green-lidded bins for compostable waste (tea bags, coffee grounds, fruit skins and cores and vegetable peelings). All of this has helped Romero House achieve a Breeam ‘Excellent’ rating.



2/12/10 14:14:26


he past twelve months has been a tumultuous, memorable year for the FM sector. A year in which we saw a change of government, the advent of coalition politics and the announcement of the most farreaching spending cuts for decades, cuts that will change the way we do business with government. We also saw recovery from recession, with a storming second quarter performance from the wider economy as the private sector regained some of its battered confidence. But during the second half of the year companies such as Connaught and Rok went to the wall, their businesses unable to cope with reverse market conditions. The year began with a period of relative calm though even before May’s general election, Labour’s final budget confirmed a significant reduction in public spending in a bid to wrestle down the country’s huge budget deficit. For the FM sector though, the prospect of vast swathes of public sector work being outsourced to more efficient private sector operators began to resemble a long-term opportunity rather than a threat. The only imponderable was who the real winners and losers would be.


2010: WHO WINS?

Post-May landscape

As the year draws to a close, we look back on a difficult year for the economy and forward to the deep spending cuts that will affect FM providers in 2011. Who will benefit from the public sector fallout?

The coalition acted quickly on entering office. Cabinet secretary Francis Maude was immediately tasked with slashing the cost of the government’s procurement. Maude called in the 19 biggest suppliers to government, including those with FM divisions such as Serco and Capita, and won £800m of concessions. He has moved on to the next tier of government suppliers, 34 companies including Mitie and Carillion, and began negotiating similar concessions. The move caused one of the most memorable boobs by a major

FM company in recent years when Serco wrote to all its suppliers demanding a 2.5 per cent rebate on their bills. The letter implied that non-compliance could jeopardise future relations. Serco’s reputation, and share price, took a knock, while Maude publicly admonished the company. It promptly retracted its demands. The UK economy enjoyed a significant fillip in the second quarter of the year, partly on initiatives which began some months before by the previous


Review AC.indd 20

government, partly due to the weakness of sterling and partly due to a pick up in the global economy. But the effect was only temporary as growth began to abate a little in the third quarter – and threatens to slow to a crawl in 2011. The private sector gained some confidence from the lurch out of recession and major construction projects such as London’s Leadenhall (the ‘cheese grater’) and Fenchurch (‘walkie talkie’)

2/12/10 11:03:46

WINNERS £3.35bn


12% in the six months to September

£211m £102m G4S





Other companies which have continued to perform through the downturn include Mitie,which recently reported profit growth of




2. 5 % £100,000 The amount Rok senior management spent on company shares just weeks before the banks withdrew funding

When Serco contacted all its suppliers this year demanding a 2.5% rebate on all bills, the company drew government criticism

Review AC.indd 21


2/12/10 11:03:53


25% A recent survey by the National Specialist Contractors Council showed a fall in confidence in Q3 2010, with just 25 per cent of respondents expecting an increase in workload

office developments broke ground. It suggests that we could see the private commercial sector pick up some of the slack created by public spending cuts. But the confidence of the property elite in London is not a proxy for the wider economy.

Prospects for 2011 The FM sector remains in a state of flux in terms of expectations for public sector work. Some companies have picked up increased contracts but on lower margins, which is trickling down to the second and third tier suppliers on ever tighter margins. FM companies are finding similar issues with their private sector work where competition is fierce and customers are looking for increasingly good value for their money. With the economy set for anaemic growth at best once the spending cuts kick in at the end of the current fiscal year in April, 2011 could turn out to be even tougher than 2010 as the FM sector battles to find a new equilibrium after many years of strong market conditions. 22| 9 DECEMBER 2010| FM WORLD

Review AC.indd 22

Those who can provide a wide range of services in multiple locations and with the balance sheets to absorb significant mobilisation costs could grab huge amounts of business over the next five years as the government increasingly withdraws from direct delivery of public services before it faces the electorate again in May 2015. By then, huge chunks of the government apparatus could be run by the private sector, indeed some local authorities are considering tendering out almost all their services to the private sector and becoming, in effect ‘virtual’ councils, such is the pressure on their budgets. The coming year is likely to be almost as dramatic for the FM sector as the one just drawing to a close. Of course we now know the extent of the pain to come in terms of public sector job losses but until the knives are properly drawn we won’t know how it really affects the psyche of the nation. In the FM sector, the bigger players are likely to dominate, given their ability to supply what the government wants, on the scale

it requires. But we could also see a great deal of consolidation among the smaller and mid-sized players in the sector as they seek to bulk up to grab a slice of what could be a very lucrative pie over the next few years.

The winners The bigger players are rapidly emerging as the winners of 2010, despite the red faces at Serco. Although the government wants to give the little guy as much of an opportunity as the big boys, and is encouraging the establishment of co-operatives to deliver some services, the reality is that some contracts can only be fulfilled by the bigger providers. Indeed, figures which came out in November detailing all government expenditure since the coalition took over in May, illustrated who the short-term winners had been – and indicated who the longer term beneficiaries are likely to be. Capita received £3.35bn from the government, around £3bn of which was payment into the teachers’ pension scheme it administers. Nonetheless, it was joined by property services outfit Telereal Trillium which had been paid £570m, Serco, £211m and G4S, £102m. These are all business with the depth and breadth to supply services on both public and private sector fronts, and they are likely to continue to benefit. But even the dominant players have been more subdued in their recent outlook statements. Capita has described slowing revenue growth of late, despite a bid pipeline of £4.4bn. Serco’s November trading update was more bullish, detailing an order book of £16.7bn globally and a bid pipeline of £28bn. Other companies which have continued to perform through the downturn include Mitie, which recently reported profit growth of 12 per cent in the six months to September, and Mears Group, both

of whom have taken advantage of goodwill among their shareholders to go out and do deals, the classic strategy of buying up struggling rivals from a position of strength during a downturn in the hope of emerging as one of the bigger players when the economy bounces back.

The losers Obviously Connaught and Rok spring to mind when one considers the biggest failures of 2010. Both suffered rapid and spectacular falls from grace which took even their management teams by surprise. In fact, Rok’s senior managers splashed out almost £100,000 on shares between them just weeks before its banks pulled the plug. Both went under despite holding decent contracts and order books – goodbye to the staple method of judging a company’s health in the sector. But it appears that in their haste to build such order books and in the face of such stiff competition they may have cut their margins too slim to survive – a failing that may threaten other operators in the sector. Below the upper tier, suppliers to, and smaller competitors of, the larger players are finding themselves increasingly squeezed. A recent survey by the National Specialist Contractors Council, showed a marked fall in confidence in the third quarter of the year, with just 25 per cent of respondents expecting an increase in workloads in the final quarter and little confidence of an improvement in the early months of 2011. With margins coming under pressure from above and work possibly drying up, 2011 is going to be a trying time for the smaller operators in the sector. FM Graeme Davies writes for Investors Chronicle

2/12/10 11:03:59

Advertisement feature

UK Gutter Maintenance Paul and Kathy Blair, husband and wife and co-owners of UK Gutter Maintenance Ltd were delighted when the opportunity presented itself in the Spring of 2008 to form their own specialist gutter cleaning company and have never looked back since. Despite the economic doom and gloom theirs is a true success story. Between them the couple have over forty years experience working within specialised service industries, over ten of which have been dedicated to gutter cleaning activities. Both Paul and Kathy have a passionate belief in what their company stands for and a refreshingly uncomplicated common sense approach to managing their business. Their work ethic is based on teamwork and by placing a greater reliance and responsibility on those who work with them they have succeeded in achieving a consistently high and personal level of service that they believe is unrivalled in the industry. Kathy Blair Managing Director says “in an industry where the end product invariably cannot be seen it is of paramount importance that clients have confidence in the company they choose to employ. We instil that confidence and trust by focusing on all aspects of our performance. With our teams’ combined and varied knowledge we have a unique understanding and empathy with what our clients expect from us and are committed to meeting those expectations by ensuring that all jobs are done properly and to the complete satisfaction of our customers”. Placing utmost importance on Health and Safety the couple chose to appoint a Health and Safety Manager, Mr Martin Young whose sole responsibility is to ensure that all works are undertaken in a safe manner. Martin has had a long and varied career, primarily within the engineering sector and five years ago took the decision to obtain a NEBOSH qualification and focus on Health and Safety. Martin’s particular expertise lies in working at height and he has proven to be an invaluable asset to the company.

A flexible and complete service Kathy Blair states “The structure and flexibility of UK Gutter Maintenance means that we are able to work throughout the country in just about any location, at relatively short notice.

FMW. UKG resize Sept10.indd 11

We also offer an emergency call-out service for our national clients and work for several national help desks on a call-out basis.. This is proving to be an invaluable service and as far as we are aware UK Gutter Maintenance Ltd is the only company in the UK offering this type of service on such a major scale. ‘We have formed two key partnerships. One with Eurosafe Solutions, which enables us to offer substantial cost savings by having safety wire systems tested at the same time as carrying out gutter cleaning work. The other is with West Siphonics. Working with this siphonic roof drainage specialist, we can now offer siphonic system repairs, refurbishments and alterations and arrange the installation of a full system. ‘We not only offer an additional roofing service, we are also proud to be the sole UK suppliers of the revolutionary leaf free gutter guard system, which can be installed on both commercial and household properties alike. This gives us the distinct commercial advantage of being able to offer a truly complete package.’

Wherever possible, should there be any minor defects found these are carried out before leaving the site. Paul Blair states that “our clients acknowledge that this procedure is very effective and the provision of photographs is the only way that they can actually see that the work has been carried out. Unfortunately in our industry there are too many people that do not do the work they have been brought in to do. There have been many occasions when we have surveyed a job only to find that the company last employed to do the gutter clean or repair work had not done it properly, if at all”. UK Gutter Maintenance Ltd has a reputation for honesty and trustworthiness and an ever growing and loyal client list with household names such as Interserve FM, FES FM, Facilities Services Group, The Wolseley Group, ATS Euromaster, Carpetright, Topps Tiles and The Open University to name but a few. Kathy says “we are in the enviable position of clients actually wanting UK Gutter Maintenance Ltd to work for them. We have never been busier and for Paul and I owning our own company and being in control of our own destiny is the best thing that could have happened to us. Our business has been built on client relationships and our motivation and success lies in the fact that we personally know the majority of people we work for and for whom we deliver a high level of service which represents value for money, professionally, efficiently and safely”.

Services – Overview All teams are supplied with liveried 16.5 m boom vans as a standard piece of access equipment and are fully equipped with specialist safety equipment, particularly for undertaking works on fragile roofs or where skylights are present. Additional equipment is resourced to suit each individual task and the appropriate team members are deployed to deliver a bespoke service to clients’ individual requirements. Communication is seen as key to the company’s ongoing success and clients are kept fully informed of progress before, during and upon completion of works. Before and after digital photographs of all works are always provided together with reports upon on any major defects found or areas of concern.

• Major planned preventative maintenance (PPM) gutter cleaning contracts

• Fast reliable call-outs for national help desks • Gutter maintenance and repair works • Siphonic system repairs and installations • Roof and sky light repairs/replacements • Re-testing of safety wire systems • Installation of leaf free gutter guards For further information please contact us on Tel: 01748 835454 or visit our web-site:

30/11/10 24/8/10 13:44:12 09:57:56


MAINTAIN YOUR COOL Carrying out refurbishments in occupied buildings may seem challenging but one flagship property in Regent Street managed to successfully cut costs and increase efficiency n 2007, a major refurbishment strategy commenced at a flagship building in Regent Street, London. The typical Edwardian West End property has a floor area in the region of 38,000 sq ft and different commercial classifications of use, with retail premises on the ground floor and basement and six floors of commercial office space above. The retail part is home to a high-end luxury womenswear and menswear retail brand. The office floors are multi-tenanted and are home to some internationally known businesses, and therefore have a mixture of different business needs.


within the office and retail store environments. This in turn created concern from tenants regarding service charge levels. The original appraisal of the site, which took place on a summer’s day, immediately revealed that the heating was operating at the same time as the cooling. Further investigation showed that the major plant items, such as chillers, boilers, lifts and air treatment plant were in a dilapidated state. The standard of maintenance was also poor and this contributed to the high number of contractor call outs. From the frequency of call outs it was clear that a rationalisation of the maintenance and maintenance contract was needed.


The challenge The site’s fixed building services were in a dilapidated state and were operating extremely inefficiently. The performance of the heating and cooling systems serving the building was such that heating and cooling often operated simultaneously. Both would often break down when needed most because the systems were being operated for long hours and in seasons when they were not needed. The result of this inefficiency was an increase in utility costs and discomfort


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2/12/10 14:11:49


A strategic plan of works was implemented while maintaining full occupation and rental income in order to rectify the problems that were causing erratic internal temperatures and tenant dissatisfaction. Undertaking refurbishments in existing buildings is challenging but not impossible. Inevitably there will be some disruption to tenants while key items of plant, such as cooling or heating equipment, are replaced. The trick is to plan to replace heating and cooling when it isn’t needed – so replace the boilers in summer and the chillers in winter. Disruption will then be minimised and, as long as tenants are kept informed and the replacement programme is planned and managed effectively, the desired end result can be achieved.

Action taken

PHASE 1 PLANT APPRAISAL AND SCHEDULED CAPITAL WORKS PROGRAMME An assessment of the life expectancy of items of fixed building services was undertaken and a scheduled capital works programme prepared. The creation of this programme in turn led to the development of a plan of action covering a period of five to seven years, with a focus on the items

posing the most risk of failure to the operation of the building. This allowed a forward replacement budget to be developed and enabled capital spend to be understood and planned carefully. Failure to undertake such a robust assessment of plant life and an accurate forward replacement capital works plan can lead to plant being replaced in the wrong sequence and unexpected and unplanned costs for the landlord.

anticipated for a building of this type – in fact, costs had doubled since the services were installed. A detailed analysis of the way the building was operating in relation to the business needs of the tenants was undertaken. The outcome was the implementation of a strategy that allowed the plant to operate and meet the tenant’s business needs and which, together with the rectification of HVAC faults, made running cost savings.



With the capital works programme plan in place, the costs incurred and the service charges made by the maintenance contractor were analysed. Examples of dozens of contractor call-outs each week were found, dealing with a variety of faults, such as the heating and cooling not working – normally at a time when the tenants needed it most. The maintenance contract was clearly not benefiting either the tenants or the building owner. A new M&E maintenance contract was prepared with a view to limiting costs incurred by the service charge. This contract was underpinned by a process of continual review of the maintenance contractor’s performance against key performance indicators. Within the first 12 months after implementation of the new maintenance contract, contractor call-outs dropped by 95 per cent.

All tenant business operations were maintained while the refurbishment and replacement of the boilers, pumps, chillers, lifts and HVAC controls took place.

PHASE 3 BUILDING OPERATING COST ANALYSIS The dilapidated state of the building created a 24/7 operation mentality, simultaneous heating and cooling, causing inefficiencies, such as unnecessary use of electricity and gas. The lack of a control strategy was causing operating costs to be higher than would normally be

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PHASE 5 ONGOING PERFORMANCE In a multi-tenanted building, the goalposts frequently move. Management of churn and change and the verification of tenants’ licence to alter submissions are key to ensuring that the building’s functionality is not diminished. The refurbishment work allowed the building to be bought in to line with relevant legislative and regulatory compliance, for example F Gas regulations for chillers and

the Disability Discrimination Act. The majority of recent legislation and regulations affecting fixed building services facilitate improvements in energy efficiency. In addition to legislative and regulatory compliance, manufacturers’ research and development over the past 15 years has seen energy efficiency improvements in plant such as chillers and boilers, thus the replacement plant items selected had much better efficiencies.

The results The building as a whole is now set for operation for the next 25 years. And all the projects described were undertaken without loss of rental revenue. Running costs (gas and electricity) have been halved and maintenance contractor call-outs dropped by 95 per cent. At the time of going to print the building was put under offer thus the name of the building has been removed to protect the interests of the vendor. This situation quite accurately represents the typical unknowns that often unexpectedly come into play when working with existing buildings. After all, existing commercial buildings are primarily someone’s high value investment. FM Glenn Massey is an associate at Hoare Lea


undertake a robust building services condition survey and report prepare a costed forward replacement matrix ● Do maximise the life of existing plant ● Do ensure maintenance contractor’s contracts are appropriate for the building ● Do keep tenants informed of the plan ● Do establish a starting point (baseline) to enable the magnitude of improvement to be assessed when the project is complete ● Do install sub metering as part of refurbishments ● Don’t rush ahead with short term fixes that don’t complement an over-arching replacement plan ● Don’t replace plant that is not life expired ● Don’t believe salesmen selling the next best thing since ‘sliced bread’. Suggest a test and verification first. ● Do


2/12/10 14:12:05



David E Hawkins is operations director at PSL and architect of BS 11000

T HE L AU N CH O F BS 1 1 0 0 0

s austerity measures bite we need A innovation and alternative business models in FM. The new BS 11000 will harness collaboration across public and private sectors For many, the concept of collaboration conflicts with traditional management thinking. But let’s be frank: business as usual will not deliver for anyone any more. The time is right, then,for the publication of the landmark British Standard (BS) 11000 Collaborative Business Relationships. It is the first national standard in the world to address collaborative business relationships. It is not a one-size solution, but rather a framework that can be scaled and adapted to meet business needs. It was formally launched in the House of Lords on 7 December and represents the work of a pan-industry group based on that of Partnership Sourcing Limited, part of the British Standards Institutes Associate Consultancy Programme. A breakthrough standard Relationship management and collaborative working has been with us for many years under various guises such as partnering, alliances and consortiums. Yet today it is more pertinent than ever to look at how these approaches can be more effectively integrated to create value and build sustainable relationships. BS 11000 is a breakthrough standard, not just for BSI, but for the whole of industry, indeed, the Ministry of Defence (MoD) has already committed to 26 | 9 DECEMBER 2010 | FM WORLD

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adopting it. It began as an eightstage approach to successful business collaboration in the public and private sectors, and has expanded its scope to address a wider audience, including small and medium-sized enterprises. BS 11000 highlights key elements for success. It provides a common lifecycle route map for ease of integration and a measurable platform to monitor progress. Its publication is a foundation for developing sustainable relationships. Measurable assessment Collaborative approaches have been shown to deliver a wide range of benefits, enhancing competitiveness and performance, for example, improvements in cost, time, resource and risk management,and incremental business value and innovation. Partners working with BS 11000 will share knowledge, skills and resources that will help them meet mutually defined objectives and provide new levels of value creation. BS 11000 does not enforce a single rigid approach but has been focused on providing a framework that can complement existing approaches. It recognises that every relationship has its own unique considerations. For those organisations with well-established processes, the framework provides a common language that can aid implementation and engagement.

For those starting out on the journey it creates a roadmap for development. The BSI certification programme, launched in April 2009, establishes a measurable independent assessment for internal benchmarking of continuous improvement and people development, together with independent validated pan-industry recognition of an organisation’s collaborative capability in the marketplace. It creates a robust framework for the public and private sectors to provide a neutral platform for establishing effective collaborative programmes for mutual benefit. Its core value is commonality of language and application between delivery partners leading to improved/better integration. Acting as a bridge between cultures it reduces confusion, give participants confidence and provides a common foundation and language. Benchmarking capability The standard provides a basis for benchmarking the collaborative capability of organisations both internally and externally through BSI independent assessment which will enhance partner evaluation and selection and establish market differentiation. It brings a consistent yet flexible approach that provides a foundation for efficiency and repeatability across programmes and an increased opportunity to focus on developing value. It will also aid the development of capability at working level. The standard creates a measure to promote customer confidence and a focus for more effective

joint risk management, both in the challenges of specific programmes and collaborative working. It reduces the likelihood of misunderstandings, a mismatch of objectives, constrains hidden agendas and reduces the probability of conflict. It establishes a consistent and structured approach to facilitating a focus on integration of collaborative working within operational procedures, processes and systems. Thus it creates a platform for more effective governance, speeding the development, and establishes a baseline to support resource development and training to increase collaborative capability to enhance skills and interchange abilities of personnel. Meeting the challenge In short, BS 11000 is a standard framework that will promote better engagement and effectiveness through strengthened business processes, while improving risk management, enhancing dispute resolution and providing a basis for skills development. Most importantly the standard will improve the potential for sustainable relationships that deliver value. The challenge for the FM community then, is to embrace the austere economic demands that lie ahead – and create innovative solutions to meet those demands. FM i


An executive briefing on BS 11000 and collaborative working for facilities managers, sponsored by Emcor, will be published with FM World next month

2/12/10 15:23:34


Court report



Non contractual employees such as secondees or agency workers may now be covered by the Acquired Rights Directive (the directive) from which Tupe is derived. The directive seeks to protect employees’ rights on the transfer of an undertaking. It has been implemented in the UK by the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE). It was thought that Tupe could only apply to employees actually employed by the transferor (regulation 4 of Tupe states that the automatic transfer of rights will only arise in connection with “any person employed by the transferor”). However, the European Court of Justice (ECJ) in Albron Catering BV v FNV Bondgenoten and another, decided that the directive can apply to “non contractual employees”. The Heineken group employs its staff through a service company, Heineken Nederlands Beheer BV (HNB). HNB performed the function of central employer which assigned its staff to various operating companies in the Heineken group. The claimant, Mr Roest, was employed by HNB and assigned to Heineken Nederland BV, a company that provided catering services to employees in the Heineken group. In 2005, Heineken’s catering services were

transferred to an outside company, Albron Catering BV (Albron). Roest and his colleagues were taken on by Albron, but Albron failed to pay them a salary increase which had previously been agreed with HNB. Roest claimed that his employment had transferred automatically under Dutch laws implementing the directive and, thus, Albron was legally obliged to honour the salary increase. The Dutch Court of Appeal stayed the proceedings and referred the matter to the ECJ, which made the following observations. The prerequisite for protection under Article 3(1) of the directive was a contract of employment or an employment relationship. The latter points away from a requirement that there must be a contractual link with the transferor. There was nothing in the directive to say that, where there was more than one employer, the contractual employer must take precedence over the employer with whom employees have an employment relationship. Accordingly, the ECJ ruled that, when the business of a company within a group is transferred to an undertaking outside that group, that company should be regarded as the transferor in respect of employees who were permanently assigned to it, even if those employees are technically employed by another company in the group.

Unlike the directive, regulation 4 of Tupe does not deal with the possibility of a non-contractual employment relationship, but a tribunal could read words into Tupe to give proper effect to the directive. The directive has direct effect, which means that an individual employee can bypass the Tupe regulations and bring a claim against a public body based on the directive itself. Public sector employees would not need to rely on a tribunal interpreting the Tupe regulations to give effect to the ECJ’s decision; they could rely on the wording of the directive itself. It remains to be seen whether UK courts or tribunals would read the Tupe regulations to give effect to the ECJ’s decision. Either way, public sector employees can rely on the wording of the directive itself and are, therefore, more likely to come within this extension to the directive’s scope. Time will tell how this will be applied by the UK courts. In the meantime, both public and private sector employers should, where staff are being transferred from a host organisation to another, be alive to the possibility of this application of Tupe and the directive. FM Tim Woodward is a partner at Bevan Brittan LLP

Asbestos work nets fine A contractor to Norwich City Council was handed the maximum fine over health and safety breaches concerning asbestos removal. East Anglian Construction, a subsidiary of Peter Colby Commercials, was fined £30,000 after it pleaded guilty to six charges of breaching the Control of Asbestos Regulations 2006. Norwich City Council was also awarded its full costs of £10,203, a statement by the council said.

Company fined for risks A construction company has been sentenced after the lives of up to 30 workers were put at risk at two new waterfront apartment blocks in Liverpool. The Health and Safety Executive prosecuted Retro Future 2000 Ltd following a visit to the construction site on Kings Dock in the city centre on 29 April 2010, which revealed major safety concerns. The company was fined £7,000 and ordered to pay costs of £1,981 on 25 November 2010.

New rules come into force New rules on the classification, labelling, packaging and notification of chemical substances has come into force. From 1 December, within one month of placing a chemical on the market, any company involved in their manufacture or import will need to notify the European Chemical Agency for their inclusion in the new Classification and Labelling Inventory. Phased in over a five-year period, the legislation will apply to chemical substances from December and to chemical mixtures from 1 June 2015. ECHA has published a guide to the inventory.

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

FM 9 Dec Legal AC.indd 33


2/12/10 11:01:32



Richard Massara is sales manager at Separ UK


he EU standard for gas oil will change on 1 January 2011. But what does that mean for facilities managers and the safe running of a building’s generators?


frequently. Also, you might need to investigate lubricity enhancers.

3. Shorter shelf life Where mineral fuels are within specification for 8–18 months, pure biodiesel is much shorter at 8–12 weeks. The mix of fuel will extend this, but a shorter life is certain. Bio blends are less stable than mineral fuels and should not be kept long term. If untended, the new EN590 fuel should be turned over every 12 months.

4. Increased water

From 1 January 2011, the EU standard EN590 is changing. By that date, gas oil and similar middle distillate fuels including fuel oil, road diesel and the like, must have an extremely low sulphur content and a 7 per cent biodiesel blend, sometimes called B7 or 7 per cent FAME (fatty acid methyl esters). Bio diesel is the more commercially friendly term. EN590 now means that 10ppm sulphur gas oil is simply dyed and marked road diesel. Unless you are completely sure, assume that all new supply gas oil will have biodiesel in it.


Why do it? The EU has instigated this change to make gas oil more environmentally friendly, to use less carbon during the fuel’s life-cycle and to comply with the Renewable Energy and Fuel Quality Directives.

28| 9 DECEMBER 2010 | FM WORLD

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Facilities managers need to be a little more aware of their fuel, its life expectancy, its health and why they need to manage it. There are seven issues to look out for.

1. Reduced power Biodiesel in this form is a little less potent than traditional mineral diesel. So unless your engine has been specifically tuned for the fuel, your engine/ generator will have to work a little harder to achieve the same power output; this may lead to higher fuel consumption. The additional carbon usage should be offset by the biodiesel content.

2. Less lubricant Lower sulphur means potentially higher engine wear and more frequent oil services, so you will need to service your system more

FAME is ‘hygroscopic’ – it absorbs water from the atmosphere or its surroundings. In fact, it can absorb up to 1,500ppm, where 200ppm is the maximum allowed. High water content increases the acidity of the fuel, so your seals and gaskets will start to be eaten away – we have seen them turn into a toffee-like substance. Worse is the damage water can do to the engine itself. Modern common rail engines have pressures of 3,000 bar plus; it is not possible to compress water to the same level as fuel which results in injector wear (poor efficiency), or injector destruction (engine failure).

5. Bacterial infection Bacteria live in water but really like biodiesel as a food source. Microbial growth leads to a build-up of biomass and sludge and even more water as a by-product. Bacteria feed on the fuel’s hydrocarbons and compresses the remainder into a sludge that will block pipes, filters and engines. This will stop a generator from firing and could leave you in the dark. Biodiesel blended fuels must be treated carefully. Biocides

and similar additives accelerate oxidisation and should only be used under strict instruction. You should never pump a fuel that has both biocide and water in it for fear of dissolving the water content.

6. Greater waxing Biodiesel waxes at a higher temperature than mineral diesel. Build-up of fatty acids and the fuel’s degradation over time can mean that the fuel will form a substance not too dissimilar to lard. Once again this is not only a danger to the engine but to the pipework, filters, pumps and anything else in your fuel line.

7. Incompatible metals Certain metals (copper, brass) should be avoided as they can catalyse fuel degradation.

Can you handle it? It is not all doom and gloom. Planned maintenance every three-six months is key. Monitor your tanks, check for water content and bacterial infection, ensure you are turning over the fuel on a regular basis and that you have sufficient filtration protection. If you find an issue, investigate how to clean contaminated fuel without risking your environmental policy or your budget. EN590 is not a step too far. The good news is that most fuel is recoverable. EN590’s green credentials make it an important step forward, but its susceptibility to infection means it has to be carefully managed. With a little planning and effort you can ensure that the new EN590 fuel regulation change goes unnoticed by everyone – other than you. FM

2/12/10 15:24:38



Mike Burton is managing director of Albany Hygiene Facilities


n outbreak of infection in your A company isn’t just inconvenient, it has serious financial implications and can shut down your building. Protect your staff and your company by implementing a simple infection control plan and encouraging good hand hygiene An office is the ideal environment for bacteria, germs and microbes. People often work in close proximity to each other in confined areas where bacteria and germs spread fast, and viruses can survive on your hands for several hours. Winter brings new and serious infections that make staff ill. This is why it is so important to make sure you control infection in your office. You can reduce or even prevent staff absences by implementing the following simple steps.


Be aware

Make it a priority to inform your staff about the importance of hand hygiene in reducing infection. Let them know when they should be cleaning their hands. It’s not just after using the bathroom. It should be every time they blow their nose, sneeze or cough, before and after eating and cooking, whenever hands are dirty, and before and after using shared equipment. Produce materials encouraging hand hygiene and offering advice to employees. It is also important to sustain the awareness of hand hygiene in your offices.


equipped, clean and hygienic. You can’t expect staff to maintain healthy hand hygiene habits if the facilities are not up to scratch. You can do an internal inspection or employ a hygiene company to do a professional review of your facilities. A survey and consultation will identify the most effective solutions for your washroom hygiene needs.


Use dispeners

There is a broad range of soap dispensers available, including the ultimate in hygiene – automatic no-touch dispensers. Some have anti-microbial agents within the makeup of the soap dispenser itself. This prevents bacteria from living on its surface. Anti-bacterial soaps further aid infection control. If you have soap dispensers that are easy to use and maintain, chances are your staff will be more likely to wash their hands. Ask yourself the following questions when buying soap dispensers: ● Are the units easy to fill? ● Do they have a clear inspection window to check consumable levels? ● Do they have a non-drip nozzle to control consumption levels?

Do a survey Make sure your washrooms are well

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Ensuring that the consumable dose is the minimum required for

effective hand washing prevents wastage.


Wash well

Don’t just splash. Giving your hands a quick rinse is not enough. Often people just apply a little soap and rinse. For effective hand hygiene it is important that the whole of your hands are thoroughly cleaned. To kill off germs you need to wash your hands with antibacterial soap for at least 15 seconds. It’s not long but it can make a difference. Make sure your hands have been carefully washed to prevent the spread of infection. It really is as easy as that.


Dry properly

Germs spread even faster when hands are wet or damp, so make sure employees dry their hands properly – something that is often overlooked. According to Dr Ron Cutler, a leading UK microbiologist from Queen Mary University, London, “the act of drying your hands limits the spread of bacteria, as bacteria breed on wet hands. “We carried out some research in partnership with the Albany Healthy Schools programme, which identified that the longer you dried your hands, the fewer bacteria remained.” When choosing a hand drying system for your facilities, make sure you get unbiased advice.

Ask yourself: are my company’s priorities? Hygiene is obviously important but you may also want to choose the most cost-effective solution, or consider the impact on your ● What

company’s carbon footprint. Also, how easy is the system to maintain? There’s a lot of choice, from cotton and paper towels to air dryers. In the coming months an independent report will be published based on Dr Cutler’s research. The report examines each hand drying method offers an unbiased view on the advantages and disadvantages of each system.



Hand sanitisers should not replace hand washing but rather act as an extra precaution to prevent infection. They are not a cleaning agent and will not remove dirt, but they do act quickly on contact with the hands, killing many different types of bacteria. In fact, hand sanitisers have been credited with reducing the number of illnesses in office environments. Hand sanitisers should be at all entrances to the building and in all common areas. This will encourage both employees and visitors to use the hand sanitiser on entering and exiting the building.


Keep it clean

The office is the perfect environment for microbes. To put it in perspective, the average work desk has 21,000 germs per square inch: a terrifying thought that highlights just how important it is to keep offices clean. Offices have germ hotspots too. These need particular attention, and include: door handles, light switches, phones, keyboards, kettles and microwaves. FM FM WORLD |9 DECEMBER 2010 |29

2/12/10 11:02:47



Duncan Carter is managing director of Macallam, an executive level recruitment and career consultancy and specialist in facilities management


s the FM sector emerges from recession Duncan Carter reflects on how companies can recruit and retain the best executive talent for the job


Rather than cutting back on talent development in a downturn, the best companies are learning to focus on developing leaders who will not only survive and thrive in the current downturn, but will be well positioned to grow as the economy improves. And the FM sector is no different. Until recently, FM had a poor record at developing executive talent. Companies must start valuing leaders who can achieve results through others; holding senior managers accountable for commitments; having a formal process for identifying individuals for leadership roles and aligning talent management to a clear business strategy.

Chief executives, responding to PricewaterhouseCoopers’ most recent annual global survey, said it is important to achieve a viable balance between short-term survival and building for longterm success. They cited access to, and retention of, key talent the single most important issue in sustaining success. Meanwhile, companies with stronger leadership development have up to 7 per cent higher profits than competitors and 85 per cent of the 20 top performing companies hold their leaders accountable for developing talent. However, within facilities management, middle managers seeking to progress often lack the basic tools to demonstrate their credentials. More crucially, they lack a personal development programme that will help them achieve their career goals. They simply don’t understand what their superiors are looking for as part of their wider talent management programme. It is a widely held view in facilities management that the next swathe of middle and senior management talent will have to 30| 9 DECEMBER 2010| FM WORLD

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be recruited from outside the industry – it just doesn’t attract enough graduates. Historically, the trend has been to promote good engineers and hands-on operational individuals into management roles – with widely mixed results. Part of the problem stems from the FM sector’s obsession with basic operational and technical abilities rather than wider strategic and leadership competencies.

Raising awareness To attract the best people, FM needs to raise its brand awareness and provide structured career paths into strategic roles. In some cases, FM has been seen as a smaller side show to larger civil or construction companies. As a result talented graduates prefer to seek out positions in the parent business. However, a number of successful FM companies have recognised the need to identify and nurture talent through the ranks. For instance, Interserve FM has developed its Leadership Edge programme to further the careers

of its top 40 managers, and some of its competitors have similar systems. It’s a step in the right direction, but talent acquisition needs to start lower down - apprentices and graduates should be given the experience and opportunity to progress quickly. If this happens, within 10 years a new breed of facilities manager will emerge, driving forward one of the fastest growing global industries.

Being proactive There must be a cultural shift in how FM manages and nurtures its talent. Graduate recruitment is ripe for development, but this will require FM companies to be more proactive in their recruitment policies and ensure that the right brand messages are being communicated to the audience. Senior managers must be more open to change and innovation, and embrace the fact that sometimes an engineer with many years’ experience may not be the answer. Recently Macallam carried out a ‘dipstick’ survey of several senior executives working in FM to gauge their thoughts on how to get to the top in their profession. In general most agreed the

reality is that not everyone can be the chief executive. However, people of all levels can rise through the ranks when they demonstrate that they are comfortable as leaders and can show good people skills. Steve Thomas, former Interserve HR director, noted: “As someone who has come from outside the FM sector, I have been surprised how far behind the sector is in offering opportunities for managerial development – for instance, by offering established qualifications which demonstrate a level or professional ability and competence.” Mike Fellowes, recently of Babcock Infrastructure, said ambitious managers need to display their leadership qualities: “You have to show that you’re committed to making a difference – you need to walk the talk. Be realistic about the challenges and the obstacles you will need to overcome and the resources you will need to get you there.” FM i The Guide to Careers in Facilities Management, an annual publication, sponsored by Reliance is out now. Visit guide-to-careers-in-facilitiesmanagement-2011/ to download or call 020 7880 6229 for a hard copy

HOW TO GET AHEAD IN FM So, you’re looking to progress your career in FM. What qualities should you be nurturing and displaying? There are three simple rules: ● Show leadership and develop your people skills ● Don’t get bogged down in operational matters. Instead, make sure you understand the bigger commercial and strategic aims of your company ● Be consistent in your delivery – your staff will thank your for it, your superiors will applaud you for it, and the client will be happy. All these principles apply to other industry sectors as well, it’s just that FM has not yet caught up with them yet. This means that the opportunities are huge for those who are willing to embrace them.

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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.




National minimum wage

There were 27,500 fires recorded in buildings other than dwellings in 2008 – 11 per cent less (3,500 fires) than the previous year according to the latest fire statistics. This follows consecutive falls between 2003 and 2007 and follows the general downward trend since 1995.

Central London: Prime Headline Rents: 2001 to 2010 Q3

Category of worker

Hourly rate from 1 Oct 2010

Aged 22 and above


Aged 18 to 21 inclusive


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



Accommodation offset: the daily rate of the accommodation offset is £4.61 (£32.27 p/w) for each day accommodation is provided. •London Living Wage: £7.85 per hour (from 9 June 2010) •Glasgow Living Wage £7 per hour •Oxford Living Wage £7 (£7.10 ph for council employees) •Manchester £6.74 for directly employed council staff •The Welsh Assembly recently agreed a living wage of £6.70 per hour for its employees • £7.60 is the national living wage recommended by the Joseph Rowntree Foundation

Dwellings Private garages and sheds Retail distribution Restaurant, cafes, pubs etc Other industrial premises Hotels, hostels etc Education Hospitals Leisure and cultural premises Agricultural premises Unspecified buildings Construction premises

4 9.6 5.8 3.7 2.6 1.8 1.6 1.4 1.4 1.4 0.8 0.2 0.1

Over half of fires in other buildings were started accidentally (around 60%compared to over 80% of those in dwellings). The main cause of accidental fires in other buildings was faulty appliances and leads, followed by misuse of equipment or appliances; faulty fuel supplies; careless handling of fire or hot substances; and placing articles too close to heat. In 2008, 21 people died (15 less than 2007) and 1,200 injuries (8% less than 2007) were sustained in buildings other than dwellings – representing around 5 per cent of all fire deaths and 10 per cent of non-fatal


29 Nov 25 Oct 27 Sept 30 August 30 Nov 09 1 Dec 08 119.21p/ltr 117.74p/ltr 115.39p/ltr 114.98p/ltr 108.79p/ltr 91.47p/ltr UNLEADED

123.20p/ltr 121.17p/ltr 118.11p/ltr DIESEL

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109.99p/ltr 106.56p/ltr

Fuel Duty on unleaded petrol and diesel rose by 1p to 58.19ppl on 1 October 2010; VAT on fuel is 17.5% Source: DECC

£120 £100 £80 £60 £40

LOCATION OF FIRES (IN THOUSANDS) Aged under 18 (but above compulsory school age)

£ Per sq ft

£20 £0 Sep 01 Sep 02 Sep 03 Sep 04 Sep 05 Sep 06 Sep 07 Sep 08 Sep 09 Sep 10 WEST ENDCITY DOCKLANDS

Limited good quality supply of office and retail space led to further prime rental growth over the third quarter of 2010 according to the latest On Point report from Jones Lang LaSalle. Prime headline rents increased 5% in the City from £50.00 per sq ft to £52.50 per sq ft. The year to date growth is 17%. The West End saw rental growth for the second consecutive quarter, increasing 3% from £85.00 per sq ft; also recording year to date growth of 17% to £87.50 per sq ft. Prime rents in the Docklands remained unchanged at £37.50 per sq ft. Assuming a 10-year term, rent-free periods in the City hardened from 27 to 24 months, but remained at 18 months in the West End. Over the year to date, prime net effective rents have increased by 24% in both the City and the West End. The report anticipates that City rents will reach £55.00 per sq ft by year end, and continue to grow until 2013 where growth may be slowed due to speculative developments coming online. Source: Jones Lang LaSalle ECONOMY

Business Insolvencies: There has been a drop of 13.4% in the number of businesses going bust, compared to the same period in 2009 and a 7.4% drop for quarter 3 compared to quarter 2 2010 according to the Quarter 3 Equifax Business Failures Report. This sustains the pattern of year-on-year falls in business failures for each quarter of 2010. The number of failures – 6,646 in the quarter – also brings the level of business insolvency closer to that experienced in late 2007 and early 2008 when the credit crunch first took hold of the economy. However it’s got a bit of a way to go to reach the levels achieved during the boom years of 2004/2005/2006 when numbers were around 5,500 each quarter. The best performing region was Scotland with a 33.1% year-on-year drop; while the West Midlands was the best quarter 3 to quarter 2 performance, down 15.7% Source: FM WORLD |9 DECEMBER 2010 |31

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Gathering: Stakeholders from across Europe met in European parliament


A historic hearing in Europe Facilities management was at the heart of Europe recently, as more than 50 people gathered in the European Parliament for presentations and discussions coordinated by EuroFM. Richard Byatt, corporate and public affairs director from the BIFM also attended the event, which was sponsored by MEPs Frieda Brepoels (Flanders) and Wim van de Camp (Netherlands), and brought together stakeholders from across Europe. Brepoels underlined the historic nature of the occasion by suggesting it was possibly the first time facilities management had been discussed formally within the European Parliament. She said she was keen to understand what FM could offer in terms of efficiency and sustainability.


FM in Europe Vice-chairman of EuroFM Fred Kloet delivered a comprehensive introduction to FM and its benefits for Europe, covering definitions, the development of the discipline and the market response, European markets, the FM’s role, the EuroFM network, energy efficiency, use of space, sustainability, productivity and mobility. Bart Huybrechts, deputy chief of staff on Administrative Affairs within the Flemish Government, spoke about the Flemish experience of FM, admitting it has been hard to integrate FM into processes and procedures. However, government should set a good example, he argued and as FM becomes more complex and more integrated we will need standards for measuring both space and costs. Further presentations followed


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KEEP IN TOUCH » Network with BIFM @ » Twitter @BIFM_UK » LinkedIn » facebook

from Jos Duchamps, EuroFM and Maitane Olabarria Uzquiano from CEN. A lively discussion followed with contributions from business leaders and trade representatives as well as academics and professional association spokespeople. Kloet argued that the drive for FM standards came from the industry, not the EU Commission. “The EU will not achieve its own goals without FM,” concluded David Martinez, chair of EuroFM’s practice network group. MEMBERSHIP

BIFM assessment fees lower The BIFM will start the new year by encouraging members to invest in their professional development to ensure they receive the recognition they deserve. To support the newly launched Step up your Membership programme, the institute has announced a reduction in assessment fees for assessed grades of membership by up to 41 per cent

for 2011. “The BIFM is here to advance the profession, and supporting our members in their careers is at the heart of what we do,” said Sarah Hunnable, head of services at the BIFM. To support the upgrade process BIFM has launched the Step up your Membership programme – a free, weekly support programme designed to guide members through the upgrade process for up to an hour each week. “Over the coming year our members will also see a difference in the way we support them through our CPD offering, and through a range of new services that we will be announcing throughout 2011. The purpose of all of these activities is to encourage all of our members to make 2011 their year to invest in themselves. For this reason, we have also been able to discount our assessment fees, as we recognise the financial pressures that some members face and we wanted to enable our members to go through the upgrade process.” Hunnable continued, “The BIFM has a level of membership to support those operating at all

levels of facilities management and its related disciplines. Therefore, to reflect this, we will also be re-launching our Member get Member recruitment campaign as we want to encourage our more senior members to support more junior colleagues by encouraging them to join BIFM. We want to demonstrate to those new to the profession how they can start to use the institute as a costeffective way to support and guide their individual professional development at every stage of their career.” Although member assessment fees are dramatically reducing, the annual BIFM subscription fee will increase in line with inflation at 3.5 per cent from 1 January 2011. Using member grade as an example the annual fee will rise from £158 to £164 – which equates to just 11.5p a week. Full details will be included in renewal notices.Members currently who do not pay by direct debit can offset the 3.5 per cent increase by switching to this form of payment, receiving 5 per cent discount. i Visit stepupyourmembership to find out more about how to upgrade and to sign up free of charge to Step up your Membership. The membership team can be contacted on 0845 058 1358 or can be emailed on

2/12/10 13:57:09

Please send your news items to or call 0845 058 1356


Legal case round up for 2010 More than 50 BIFM Fellows gathered at Allen & Overy for the annual round-up of legal cases. The interactive seminar entitled The Proof of the Pudding is in the Evidence saw senior associate Akhil Markanday and associate Hayley Harris examining five cases and decisions from the courts this year. As many companies reduce staff numbers and property requirements, all kinds of legal issues have arisen including the exercise of break options, service of the requisite notices to terminate tenancies, dilapidations claims as well as the negotiation of new terms/contracts for fit-out on new premises. Harris urged FMs to think about keeping a record of emails/ correspondence they send. “If you do get to trial do not underestimate the importance of aural evidence,” she warned. Steven Cook, BIFM Fellows committee member, thanked guests for a “thought-provoking” seminar. KEY DATES 2011 Make sure you get these key dates into your new diaries: ● BIFM Conference, Nottingham, 5-6 April ● The FM & Property Directors Event 2011, Wales, 6-7 April ● Facilities Show, Birmingham, 17-19 May ● EuroFM Conference, Vienna, 23-25 May ● BIFM AGM, June 30 (location tbc) ● World FM Day, 23 June ● BIFM Awards Gala Dinner, 10 October ● Total Workplace Management Exhibition, London, 11-12 October ● Ifma’s World Workplace, Arizona, 26-28 October

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Ian Fielder is CEO at the BIFM


very organisation takes time to take stock of the previous year and as we reach year end, the BIFM is no different. The ravages of the year has been apparent in facilities management and we have a lost a few of the well established providers in the market. However, this has been balanced by many clients in facilities management reviewing and re-specifying their services and creating significant opportunities for the supply side of the industry. These periods of economic constraint always lead to innovative approaches and an opportunity for new entrants to establish themselves often offering niche services that help fill the gap in an ever changing landscape. At the institute we managed to complete the conversion from our outdated examinations to the newly established qualifications on the Qualification Credit Framework (QCF) at levels four, five and six. We have also renewed our relationship with the Institute of Leadership and Management (ILM) to continue their delivery of the Level 3 qualification with its crucial link to apprenticeships in facilities management. We are also delighted with our relationship with existing and new tuition providers who have helped put the new qualification firmly on the career map. We also introduced the new membership grade of CBIFM (certified facilities manager) which correlates with the Level Six qualification and we have worked hard to build this membership category as it is essential for those who wish to upgrade their membership to the Fellow Grade. The introduction of our social media network together with the growing array of expanding social interaction opportunities including Twitter, Facebook, blogs and LinkedIn sites has expanded our communication across the membership spectrum. The number of regional and special interest group events is testament to the high levels of activity among the members and we have seen no drop of in attendance at our CPD and networking events. The regional conferences in London and Ireland delivered excellent programmes and we are confident that there will more events like this as the economy recovers. We managed to deliver an innovative conference in London and attendance at the two main exhibitions in Birmingham and London proved as popular as ever. The awards and gala dinner in October was a sell out event as well as the highest standard of entries we have seen to date. All of this activity has helped us raise our profile particular in national and European government circles where we have been consulted in a wide range of built environment topics as well as being recognised for our work in creating new best practices guides, including a recent piece of work on internships. Each department at head office has been diligent in not only delivering membership services but have been enthusiastic about creating new member benefits. As CEO I recognise that none of the above can be delivered without the dedicated band of both staff and volunteers and I thank you for making 2010 another good year in the calendar of the BIFM.




2/12/10 11:05:59



BIFM learning: Qualifications on the up

O U R F O C U S F O R 2011


The BIFM step up on learning The government has recently set out its blueprint for returning the economy to sustainable growth, extending social inclusion and mobility and building the Big Society. Underpinning every aspect of this purpose is the improvement of skills. As a nation we are considered weak in the vital intermediate and technical skills that are increasingly more important as jobs become more highly skilled and technology changes. The UK is 15 per cent less productive than France, Germany and the US according to a recent Office of National Statistics report. The coalition’s ambition is for the UK to have a world class skills base that provides a consistent source of competitive advantage. It also recognises that businesses and individuals must be enabled to transform the performance of the nation as a whole.


Impact on FM So what does this mean for the FM sector? And how is the BIFM supporting employers and staff to stay ahead of the game? December 2010 marks the end of a year when the qualifications landscape has been transformed and a new suite of vocational FM qualifications delivered to the marketplace. Available from operational to strategic level (4/5/6 in the new Qualifications and Credit Framework), the BIFM qualifications have been designed by leading FM employers and offer a flexible, unitised approach


BIFM news.indd 38

to learning and assessment. All assessment is work based and can be linked to live business projects and activities. This means that staff and employers both see a real time, tangible benefit and return on investment. The BIFM is active in developing a network of recognised centres offering programmes to prepare learners for the new qualifications. There are currently seven centres, offering a range of delivery models, including face-to-face and distance learning. More centres are targeted to come on stream in 2011, widening access to programmes and supporting learners across the regions. Nearly 200 learners are now registered on the qualifications at levels 4/5/6 since their launch in March this year. The stepping stone approach of offering qualifications of different sizes at each level had already proved very popular and in October the BIFM added a level 5 Award and a level 6 Award and Certificate to its suite of accredited qualifications. Although learners have up to two years to complete a programme, it is possible to achieve success in a much shorter timescale and the BIFM is delighted to have awarded the first three level 4 Awards in October. This is an important milestone and we will be profiling achievers in a future edition. Supporting employers and staff to develop and invest in professional skills to gain personal recognition and business advantage is crucial to the success of our sector and the national economy. i If you would like to know more about the BIFM qualifications, visit careerdevelopment or contact a member of the professional standards and education team at

ave you considered your own personal employment campaign for next year? Job security for many will remain a key concern as we proceed into 2011, and many of you will be focused on safeguarding your careers. It’s good to see that bookings have been flying in, and already we have been scheduling extra dates for 2011 to cope with the demand. Next year we also re-launch our Executive Programme, designed to help place facilities management on the strategic agenda and give directorlevel FMs influence at the highest level. In the last issue we mentioned that we were developing a stronger foothold in the qualifications market. We offer specialist qualifications in areas such as health and safety and leadership and management, in addition to dedicated FM qualifications that provide a recognised pathway throughout your career. Next year we will be offering a greater variety, helping you to enrich your CV at all stages of your career. Our international training ventures are also set for sustained growth and development. We’ve expanded our programmes in the Middle East in particular this year, and will continue to introduce new topics in 2011. We will be reviewing our longer-term strategy for overseas training in line with the BIFM’s international strategy, and we will work closely with them to support their specific goals. Already for 2011 we have a number of public courses lined up with IIR Middle East and DMG. And in terms of in-house training, we are about to complete a week-long programme of technical M&E training for a client in Africa, which is again a new departure for us and we hope to offer that to other clients in 2011. Lastly, we are also looking to build up our capabilities in remote coaching and learning to complement face-to-face training, which will add value to programmes both in the UK and internationally.


A last note This year our usual charity donation in place of sending company Christmas cards goes to the Cystic Fibrosis Trust, in support of one of our longest serving employees, Lucinda Howe, whose nine-year-old son suffers from the condition. May we also take this opportunity to wish you all a Merry Christmas and a very Happy New Year, and we look forward to seeing you in 2011. i For information on our range of courses, qualifications and learning and development services visit our website, call us on 020 7404 4440 or email

2/12/10 13:57:28


Call John Nahar on 020 7880 6230 or email For full media information take a look at

FM innovations ▼ Lloyds Football Club Charity Event Supports Re-Branding Of Sutton Maintenance Ltd

▲JS Air curtains olympic heat JS Air Curtains has supplied eight Rund air curtains for the new concourse entrances at the Olympic rail links at Stratford and Ebbsfleet International stations. Two entrances at both stations had identical air curtain systems installed, each consisting of two 1.5m Rund air curtains joined by a 2.7m nonfunctioning dummy section. The air curtain systems were installed by M&E contractors, Eurolec Services Ltd, and specified by Morgan Sindall Professional Services. Peter Capron, Architect at Morgan Sindall, commented, “This high profile project in the shadows of the Olympic Village demanded air curtains that would complement our entrance façade design. The Rund model from JS Air Curtains fulfilled these requirements not only with the form, but also with the functionality.” For Sales contact: Mike Verney, Sales Director,. Tel: 01903 858656. Fax: 01903 850345. Email:

The recent annual charity dinner of the Lloyds Football Club, attended by around one thousands guests and members of the Insurance industry, was sponsored by Sutton Maintenance Ltd. Using the prestigious star studded event, held at the London Marriott Hotel in Grosvenor Square on Thursday 18th November, to launch the re-branding of the organisation, which will now trade as Sutton Group FM; providing a new level of service delivery to its existing and new clients. Whilst in the presence of, Guest Of Honour, David Ginola, of Newcastle Utd FC, Tottenham Hotspur FC and France legend; along with Sky Sports’ Chris Kamara and star Comedian, Bobby Davro, Sutton Group FM’s new Managing Director, Colin Merryweather (pictured with David Ginola) explained, ‘we felt that this was an excellent platform on which to launch the re-branding of the organisation’ The event raised tens of thousands of pounds for the Sparks children’s charity through its ticket sales, silent auction of various sporting memorabilia and other prestigious items such as holidays in the Caribbean and dinner with David Ginola

▲Sadolin Ultra - Delivering All Weather Wood Protection For The Long Term At Glasgow’s Helix Building Sadolin Ultra has been specified to deliver long lasting protection from the extremes of the Scottish climate, whilst maintaining the natural qualities of the wood at the Helix Building in Glasgow. Offering a high performance formulation, Sadolin Ultra features advanced UV-Active technology, containing UV light absorbers that deliver extra protection in areas prone to high sun exposure and harsh weather conditions. The woodstain provides up to seven years of lasting protection against any wearing weather – and incorporates a new alkyd-based formulation that requires less solvent to deliver performance – providing a sustainable approach with superior flexibility and good penetration into the wood. For further information contact 0844 7708 998, email or visit

▼Vivreau’s new model: Mini Bottler - Maxi Benefits

▲Condeco launches ground breaking event management application Condeco, the leading provider of space booking and utilisation software, has extended its award winning workplace management suite with the launch of a groundbreaking new event management application. Condeco Event Management is a powerful technology solution that helps venue owners to manage all aspects of room and event bookings for customers and visitors. Uniquely it offers a combination of both hardware and software that not only allows everybody to see details of bookings but also provides venue owners with the ability to generate invoices, maximise revenue and minimise administrative costs and develop new strategies and opportunities. For further information and images, please contact Mark Eltringham at Front Marketing Communications on 07970902115 or

Vivreau’s water systems minimise costs and carbon footprint. Now we’ve minimised our best-selling V3 Bottler (Table Water Bottling System) to create the Mini Bottler. Don’t need the high volume capacity of the V3? Space constraints? Our new Mini Bottler is the perfect solution affording the same cost and environmental benefits as the V3 while still enabling clients to serve water in Vivreau’s highly desirable Designer Bottle. Its great looks are matched by its maxi benefits: • Minimises costs • Minimises carbon footprint • Eliminates need for refrigerated storage space • Eliminates glass and plastic packaging waste •

▲ A Cool Result for GVS Assist Glaxo SmithKline has rationalised its approach to the maintenance of its 35,000 assorted cold drinks display units byawarding a single contract to supplier GVS Assist. Stefan Searle, Glaxo SmithKline’s Equipment Team Manager, said ‘I floated the suggestion that we should consider a similar solution in respect of display coolers to the one we’d developed for vending. GVS Assist were the incumbent in a vending capacity and we were used to working with the company at close quarters; I didn’t hear a bad word about GVS Assist. ‘We were able to whittle it down to three very quickly’, Stefan says. ‘We were offering a big contract and there were few companies out there with a central procurement function for the pretender agreement or for managing the process going forward.’ Telephone: 0845 5040 466 Email: FM WORLD |9 DECEMBER 2010 |35

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FM DIARY NATIONAL BIFM EVENTS December 9 BIFM International Sig & Steelcase Join Steelcase and leading trends forecaster ScarletOpus for a unique insight into the design trends of 2011. Venue: Steelcase WorkLife, 77-79 Farringdon Road, London Contact: To register for this event, rsvp to Faye Ellis at fellis@steelcase. com 15 December WiFM forum – An Inspector Calls What powers do inspectors have? Can the police force entry into your premises – without a warrant or permission from the Landlord? If a Fire Safety Inspector calls – do you have to let them in and what powers to they have over the continued operation of your business? Can a HSE Inspector enter your premises and what can they ask of you once inside? These and many other questions will be addressed at the forthcoming forum event. Venue: Bank of America – Merrill Lynch, 5 Canada Square, London Contact: Christine.jones@ 15 December BIFM Workplace Sig Christmas 2010 event: Changing Expectations of the Next Generation and Future Workplace Technologies Venue: National Design Centre, 61 Aldwych, London Contact: To confirm your place email 23 February 2011 WiFM forum Venue: Central London Contact: Liz Kentish, coach@ or call 07717 787077 5-6 April 2011 Th!nkFM conference A skills sharing and networking hub designed for FM practitioners at every level. Venue: The East Midlands Conference Centre in Nottingham Contact: Simon Bamford on 07740 775764 or email simon@thinkfm. com 10 October BIFM Awards 2011 Venue: Grosvenor House Hotel Contact: Sandra Light on 0141 639 6192 or email

SCOTTISH REGION 26th May 2011 Scottish Region golf event 00| 30 SEPTEMBER 2010| FM WORLD 36| 9 DECEMBER 2010| FM WORLD

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Send details of your event to or call 020 7880 6229

Venue: Renfrew Golf Club Contact: The cost will be £60 and further information on the event can be obtained by emailing bill. or call 01977 598914

Albert Square for a mug of Gluwein. Venue: Davis Langdon, 4th Floor, Cloister House, Manchester Contact: stephen.roots@, 07872 829743 SOUTH WEST REGION

HOME COUNTIES REGION 10 December BIFM Home Counties Tea and Biscuits event at Royal Berks Fire and Rescue Training BIFM members attending this meeting will be offered a short tour of the facilities, and a 20 minute presentation on the courses available to business and individuals who can now be certified in their own right. Venue: Royal Berkshire Fire and Rescue Training, Learning and Development Centre, Whitley Wood Road, Reading, RG2 8FS Contact: Steve.Jones@kinnarps. or call 07525100052

19 January 2011 Skittles evening An opportunity to show off your skills on the skittle alley while networking (drinking & eating) with your comtempories. Venue: The Lygon Arms, Feckenham, Redditch, Worcs Contact: or call 07595 413086 15 July 2011 South West Region 2011 Golf Day Venue: Orchardleigh Golf Club Frome Contact: gareth.andrews@monteray. or call 07855 962500 FELLOWS

25 January 2011 FM Clinic - Quiz the FM Experts This informative and collaborative evening is intended to provide a forum where you can ask industry specialists those questions and pose scenarios that come up in your everyday FM life, as well as sharing your own experiences to develop solutions for enhancing your workplace. Venue: Autodesk, 1 Meadow Gate Avenue, Farnborough, Hampshire Contact: jane.m.wiggins@ or call 07799 033341 FM Clinic - Quiz the FM Experts This informative and collaborative evening, is intended to provide a forum where you can ask industry specialists those questions and pose scenarios that come up in your everyday FM life, as well as sharing your own experiences to develop solutions for enhancing your workplace. Venue: Autodesk, 1 Meadow Gate Avenue, Farnborough, Hampshire GU14 6FG Contact: jane.m.wiggins@ or call 07799 033341 NORTH REGION 9 December North-west networking and Christmas market social Why not join fellow FMs in debating the current issues and make new contacts in our network event. After the meeting, there will be a visit to the German Christmas market on

20 January Fellows’ site visit event Venue: To be confirmed Contact: joannalloyddavies@ quoting your BIFM membership number, full name, company details and full contact details - the information will then be provided

24-26 January Hospitality 2011 NEC Birmingham Hospitality delivers a comprehensive trading and information platform where exhibitors and visitors from across the UK can meet in a businessfocused environment, across food and drink, catering equipment, interiors, exteriors & tableware, careers and technology. As the economy recovers there’s no better event to source new ideas - all conveniently located at the this event at NEC Birmingham. Venue: NEC Birmingham Contact: Visit www.hospitalityshow. to register 10 February 2011 Workplace Futures 2011: Commoditisation vs Service Solution – which future? The annual conference sponsored by the FMA this year takes a strictly non-sales look at FM service models and asks: how do clients choose the right one and how do service companies ensure they live up to promises and expectations? This is a unique opportunity to get involved in shaping the future of FM. Venue: Churchill War Rooms, London Contact: David Emanuel on 020 8922 7491

INDUSTRY EVENTS 19 January 2011 FM-Exchange: Sustainability in the FM Supply Chain This January event will focus on sustainability and contract reinvestment in the FM supply chain. Paul Francis and Michael Pitt are chartered surveyors with many years of industry and research experience between them. They are both engaged with FM and sustainability work with RICS and currently work together on several applied research projects at the Ministry of Defence, Whitehall. Based on their work for MoD, this presentation will address practical measures that can be adopted to enable the FM supply chain to work more effectively and sustainably, while identifying and introducing new ways of working. Venue: Wilkins Lower Refectory, UCL, Euston Contact: Please register by emailing 24-25 January 2011 The 28th Facilities Management Forum Venue: Radisson Blu Hotel, London Stansted Contact: Hayley Wheaton at

20-21 April 2011 The National FM & Property Event Facilities managers are facing the prospect of an uncertain economy. The FM & Property Event offers intelligence and strategic information for managing in a crisis using carefully researched industry speakers and leading solution providers. Venue: The Celtic Manor, Wales Contact: leighhussain@ or call 01633 290 951/ 07977 561 553 17-19 May 2011 The Facilities Show Organised in association with the BIFM, this is the ideal place to meet thousands of leading professionals. Venue: NEC Birmingham Contact: for full details 11-12 October 2011 Total Workplace Management Organised in association with the BIFM, Total Workplace Management is the UK’s leading London based facilities management event. Venue: London Olympia Contact: Fergus Bird on 020 7921 8660

2/12/10 11:07:38

would like to wish all of our readers a

Merry Christmas and Happy New Year

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Have your finger on the pulse of FM Get to the heart of facilities management by joining the BIFM today. Be at the very heart of your profession by joining the BIFM. It’s the one body that has something for everybody in the business. We offer the most prestigious training, development and recognition for facilities managers.

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We provide a fantastic range of benefits, services, and offers for all our members. We enable you to network with your peers and share ideas at a whole range of national, regional and local events.

We keep you totally in the know through FM World magazine, our continuously updated website and networking groups. We even give you a chance to influence your profession personally by getting involved and giving FM a better future. If you want to put your heart and soul into FM, talk to us.

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THE JOB What attracted you to the job? Making a difference to workplace health and safety. MSS offered me the chance to help develop a first class consultancy business by providing a professional and value for money service to customers. My top perk at work is… The flexibility to work from home.

NAME: Bryan Richards JOB TITLE: Senior health and safety consultant ORGANISATION: MSS H&S JOB DESCRIPTION: Working with new and existing customers with regards to all aspects of health and safety including legislative monitoring, risk assessment, auditing and training solutions.

How did you get into health and safety and what attracted you to the industry? From being an environmental health professional in the Royal Navy, it was a natural progression into H&S consultancy in the commercial sector. What’s been your career high-points to date? Saving lives as a Navy Ships medic and taking action that averted a gas release that could have killed several sailors. I also received a high level military commendation for work to improve the Navy’s H&S management and accident reporting systems. If you could change one thing about the industry what would it be? Improve the communication of accurate and sensible health and safety information as poor communication and misinformation is the root cause of accidents and over-zealous H&S. If I wasn’t in H&S management, I’d probably be…studying Architecture at Manchester University,


MOVE Changing jobs? Tell us about your new role and responsibilities. Contact Natalie Li


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Bailey Maintenance has appointed Jon Lucas (pictured) to the newlycreated position of strategic accounts director. Lucas has more than 25 years’ experience in the maintenance sector, and plans to expand the business and ensure it stays at the forefront of customer care. Pascal Mittermaier (pictured) has joined Lend Lease as sustainability director, EMEA. He will be responsible for driving its sustainability

but went to join the Royal Marines instead and ended up in the Royal Navy. I was very close to becoming a helicopter pilot, but chose environmental health instead! How do you think H&S management has changed in the last five years? From a client perspective, I think there is now a more sensible approach to managing risk. There haven’t been any significant changes in H&S legislation, but companies are now being provided with more sensible advice. And how will it change in the next five years? Lord Young’s investigation and report on the H&S ‘burden’ on industry will be a key factor. If there is a radical change, there could be an interesting move towards lower-risk companies taking on more responsibility to self regulate with respect to H&S risk management. What single piece of advice would you give to a young facilities manager starting out? That health and safety is about health and safety. Focus on your primary activities of facilities management and then carry out these activities in a responsible and sensible way. Follow this philosophy and you will be complying with most of the H&S legal requirements by default. Don’t get bogged down in all the H&S legislation – let your H&S manager or consultant take that burden away from you.

strategy across the region. Mittermaier joins from global healthcare company Roche. Carl Buckingham has joined Willmott Dixon’s support services division as head of energy and sustainability, and David Adams has also joined the company as head of retrofit.

Bill Toner, the former chief executive of Aramark UK (pictured), is to join Hampshire-based Host Contract Management as non-executive chairman with immediate effect.

Mitie has appointed Michael Taylor as the new managing director of its waste and environment business. Taylor has been operations director at the group’s waste and environment business since 2006.

Interserve has announced Keith Ludeman will join the board as a non-executive director with effect from January 1st 2011.

The Brakes Group has appointed Stefan Barden as UK chief executive officer. Barden joins from Northern Foods which he joined as chief executive officer, in February 2006.

Sam Heckford has moved from EC Harris, Dubai, where he was senior FM consultant to head of real estate at Dubai Bank.

2/12/10 13:58:08

Call Stephen Fontana on 020 7324 2787 or email For full media information take a look at




















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Call Stephen Fontana on 020 7324 2787 or email For full media information take a look at

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FM New appoints 9.12 Sec1:40



2/12/10 15:42:53


Call Stephen Fontana on 020 7324 2787 or email For full media information take a look Facilities Manager, West Yorkshire, cÂŁ45,000 at


Engineering & Estates Manager

With an engineering degree and a background in Facilities or Project Management this exciting opportunity involves the management and development of services at a large HuddersďŹ eld site. Key responsibilities include leading the facilities team, ensuring health and safety compliance, negotiating and managing contracts and contributing to the medium and long term facilities strategies of the business. CVs to

Tunbridge Wells â&#x20AC;˘ ÂŁ30-35k

Operations/Asset Manager, Saudi Arabia, cÂŁ60,000++ with exe bonus, accommodation, ďŹ&#x201A;ights etc A large heavy industry ďŹ rm require an Ops Manager to manage all infrastructure assets and facilities at a purpose built, industrial â&#x20AC;&#x2DC;cityâ&#x20AC;&#x2122; / mega project in western KSA. Duties include taking handover of housing stock from construction ďŹ rm, mobilization and measurement of FM contractors and management of asset life cycle maintenance programme. Construction/M&E related Engineering degree is essential with extensive experience of working in asset management, developing systems and improving building performance. CVs to

Spire Tunbridge Wells Hospital is currently looking for a full-time highly motivated and flexible individual to lead our Engineering Team.

Client Programme Manager, Saudi Arabia, cÂŁ60,000++ with exe bonus, accommodation, ďŹ&#x201A;ights etc

You will need to have a strong customer focus as well as an electrical background. Experience in Estates Management is also desirable. You should also be willing to learn new skills and gain relevant specialist qualifications.

The successful candidate will manage an engineering and maintenance department and will be responsible for the planned, preventative and emergency maintenance of hospital grounds, building fabric, engineering infrastructure and all equipment.

Working for one of KSAâ&#x20AC;&#x2122;s largest mining and manufacturing companies the CPM will take control of all technical matters relating to the design, construction/ refurb of infrastructure facilities at a remote mega project. A construction related engineering degree and vast experience of project and contractor management is essential. CVs to

To apply please visit our website, click on the job section and search for reference number 521453 under Advanced Search or call us on 01892 740047 for more information.

Control of Works Advisor, Reading, up to ÂŁ30,000 Our client a large and successful service provider requires a works advisor to implement the new Control of Work arrangements, review work scope and risk assessments/method statements to determine appropriate controls and ensure safe system of work adopted and provide training on Control of Work process and induction to contractors. CVs to

To apply, click on the Job section of our website and search for the reference number under Advanced Search. To find out more about opportunities at Spire, please visit our website. All roles are subject to enhanced level disclosure from the Criminal Records Bureau.

providing quality people

Catch22 9.12 1

Leeds 0113 242 8055 London 020 7630 5144

Exclusive. Recycled newspapers are used to make race track surfaces. 2/12/10 11:23:34

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SCROOGE IS IN THE BUILDING To All Employees From Management Subject: Office conduct during the Christmas season


Running aluminum foil through the paper shredder to make tinsel is discouraged.


Playing Jingle Bells on the push-button phone is forbidden (it runs up an incredible long distance bill).


Work requests are not to be filed under “Bah humbug.”


Company cars are not to be used to go over the river and through the woods to Grandma’s house.


In spite of all this, staff are encouraged to have a Happy Holiday.

A HOME FROM HOME It seems that Lucy Kellaway from the Financial Times created a minor stir in a feature for the BBC website when she complained about the growing trend of office workers bringing activities into the office that are best left at home – primed by a colleague habitually eating breakfast at the desk. I’ve commented before on the antisocial odorous by-product of food in the office ranging from burgers to curries, but it seems that objections go way beyond the smell colleagues create. As Lucy puts it: “Over the past decade there has been a steady onward march of objects, activities and emotions from hearth to cubicle, so there is now almost nothing left that belongs entirely at home.” “People these days turn up in sweatpants, take a shower, clean their teeth and apply make-up when they get to work. Offices double as wardrobes and

laundry rooms with damp towels, spare clothes and shoes strewn carelessly around the place. Grooming complete, workers present themselves at their desks, where they are greeted by stuffed toys, rugs, bunches of flowers and, of course, photographs of children and pets.” She even claimed that sex, drugs and rock’n’roll were part of office life too. That evidently challenged readers of the website who posted things that she missed. One reader knits at the office during her lunch break. Another boasts that a colleague just did their entire Christmas shopping on the net, while eating their lunch at the desk. The best, though, is the reader from Manchester, who informs us that his company has a pyjama party at the office this coming Friday to celebrate the company’s third anniversary

WHO’S THE BANE OF SANTA’S LIFE? The elf and safety officer. Catherine Tate

Why is Christmas just like another day at the office? You end up doing all the work and the fat guy in the suit gets all the credit...




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Follow the best FM career path Take the fast track with the BIFM today. Whatever your position in facilities management, joining the BIFM can send your career in the right direction. Our extensive targeted training and recognised professional qualifications can give you a clear path through to the top of your profession. As well as qualifications, our dedicated BIFM Training division offers over 40 different interactive short training courses. You also get Good Practice Guides and updates on key FM issues in our fortnightly FM World magazine. BIFM is a recognised Awarding Body and sets the national standards for FM competencies. As a member, you also get the chance to learn through the BIFM’s extensive local, regional and international network of expertise and events. So why not follow in the footsteps of our 12,000 plus existing members and join today?

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Something to Shout About All courses are held in London unless otherwise stated

February 1-3 The Professional FM 2 [Intermediate] 2 Disaster Recovery & Business Continuity 8-10 The Professional FM 1 [Intermediate) 8 The Tender Process 9 Contract Management 10 Negotiating to Win 14-18 NEBOSH General Certificate in Occupational Health & Safety [WEEK 1] 15-17 Understanding FM Foundation - [optional] ILM Level 3 Award in FM 22-24 Understanding FM Foundation - [optional] ILM Level 3 Award in FM 23 Financial Management 1 - The Essentials 0207 404 4440

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FM World 2010-12-09  

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FM World 2010-12-09