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I N F O R M I N G FA C I L I T I E S M A N A G E M E N T P R O F E S S I O N A L S

fm-world.co.uk / October 2017

TA ST E R E D I T I O N

RETAIL Balancing cost control and the perfect customer experience HEALTHCARE Technology and Naylor Review set to change FM landscape MANUFACTURING Principles of lean management underpin service requirement

OUT OF OFFICE

Corporate environments have their own demands – but what is influencing FM provision in retail, healthcare and manufacturing?


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OC TOBER 2017

CONTENTS COM M UNI TY

2 2 PE R SPE C T IV E S The four most interesting and insightful opinions on FM this month 2 5 A BIT A BOU T YOU Anabas’s Johnpaul Pearson on swapping engineering for FM KNOW LE DGE

26 THINK TA NK As work becomes more collaborative are social enterprises the way ahead? ANA LYS I S

28 OC TOBE R @ BIF M The people and projects currently informing BIFM activity

7 P RO D U C TIVITY K IL LE RS A survey reveals that half of British offices are ‘not fit for purpose’ 8 SO CI AL G R ACE S Will other FM operators follow Cordant into the social enterprise model?

3 2 C A LL S TO AC T ION The events, surveys and discussions that deserve your attention

35 BOXING CLEVER Bringme storage units offer an answer to workplace deliveries 36 MENTOR POWER Are the benefits of mentoring really understood by those in FM? 3 8 PR E D IC TING FA IL U R E Cognitive computing helps FMs manage preventative maintenance

10 H O M ES P US H OUT BUS IN E S S London faces a potential loss of 13 million square feet of office stock

40 A COR ROSIV E C R I S I S Maintaining optimum conditions to stop water systems corroding

12 LESSO NS FROM GRE N FE LL The government has announced a green paper to study social housing issues

42 YOU R NE X T F M RO L E Actions to consider when applying for posts and planning for interviews

13 NEWS MAK E RS The stories proving most popular with FM World’s online visitors this month

43 DATA M A NAGE M E N T The long-term integrity and usability of stored business information

FM World’s in-depth analysis section 48 STRIKING A BARGAIN In retail, the need to cut costs runs parallel to the need to provide a first-class customer experience. We report on the trends in FM provision in this most sensitive of sectors.

54 TAKING THE PULSE Although a lot of the medicine practised in healthcare facilities may be cutting-edge, much of the NHS still runs on antiquated systems in old buildings. That has to change.

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52 KEEN ON LEAN Increasingly, factories that operate LEAN processes will OC TO B E R ’ S be adversely affected it their TO P I C FM provision does not follow OUT OF OFFICE – FM BEYOND THE the same LEAN approach CORPORATE providers are learning toBadapt. W W W. I F M .O RG .U KENVIRONMENT / F M WJ O I N

October 2017

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INSIDE 07 08 10 12 13

Half of British offices ‘not fit for purpose’ Is social enterprise on the rise? Office-to-home conversions push out business Making high-rise living safe Newsmakers: The month’s other top stories in short

FRONT DESK THE MO N TH’ S MOST I MP O RTA N T F M STO RI E S

PRODUCTIVITY KILLERS The report points to five key areas that organisations should focus on.

Offices are routinely presenting barriers to daily work that affect everything from how proud people are to be there, to how much they actually enjoy working there. The features that have the biggest impact on employees’ ability to work productively are ‘space between work settings’, ‘dividers’ and ‘noise levels’.

WO RKP LAC E ST U DY

HALF OF BRITISH OFFICES ‘NOT FIT FOR PURPOSE’ W O R D S : H ER P R EE T K AU R G R E WA L

PHOTOGRAPHY: ALAMY

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indings from a global report by Leesman, a corporate workplace assessor, based on the evaluation results from more than 250,000 employees across 2,200-plus workplaces in 67 countries show that 43 per cent of employees globally think their workplace does not aid productivity. In the UK that figure jumps to 46 per cent. Therefore, in line with ONS employment figures, for more than 1.3 million UK workers the office is simply not good enough. Dr Peggie Rothe PhD, who led the research said: “Great organisations build a business framework that enable their employees to do their best work. And the workplace is integral in this

equation. Offices are assets – tools in talent management strategies, gears in product innovation, instruments in brand development and organisational performance. The central findings of this study should concentrate attentions on how workplace strategies can support business competitiveness, not by cost mitigation but through increasing employee engagement.” Tim Oldman, Leesman’s CEO, added: “We still see far too many workplaces that are simply not fit for purpose and that represents a huge missed opportunity for business leaders. We hope that the key central findings can help more organisations create better, more productive environments.”

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October 2017

The most demanding generation: millennials repeatedly show themselves to have the simplest workloads and thus the narrowest set of requirements. Attention should instead be directed at those in the 35 to 44 age band because these employees consistently record the lowest satisfaction scores – but typically have more complex roles. The winner of the open-plan versus private office debate: the research reveals that both open-plan and cellular solutions can be equally good and bad. Across 2,200-plus workplaces surveyed, employees in the highest-performing locations will almost certainly be in an open-plan setting – so demonising this way of working is not necessarily the way forward. Workplace transformation projects are not always transformative: with the vast capital sums invested in refurbishment and relocation fit-out projects, leadership teams would be forgiven for expecting them to deliver significant operational benefit. But evidence shows this not always to be the case. On the workplace + Behaviour = Effectiveness equation: based on Leesman’s research across 11,336 employees in 40 ‘activity-based’ workplaces (where employees can select a series of different spaces that best supports the particular activity being undertaken at any one time), these employees will rarely work in an activitybased way. So employees don’t just change working W Wthe W. B I F M .Ohabits RG .UofKa/ lifetime F M WJ O I N because employers tell them to.

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F RO NT D E S K A N A LY S I S

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G R E N F E L L R E P ORT

MAKING HIGH-RISE LIVING SAFE W O R D S : H ER P R EE T K AU R G R E WA L

The review will cooperate fully with the public inquiry, and Dame Judith will review her recommendations in the light of the inquiry’s findings. Last month, Javid, speaking at the National Housing Federation’s conference in Birmingham, announced that there would be a green paper on social housing. He said it would be a “wide-ranging, top-tobottom review” of issues facing

the social housing sector. Javid explained that the green paper would consider what things have gone wrong, and why, and “most importantly – how to fix them”. Following the fire at Grenfell Tower, it will consider safety issues as well as the overall quality of social homes, service management and tenants’ rights. “It will cover what can be done to ensure their

complaints are taken seriously and dealt with properly, and make sure tenants have clear, timely avenues to seek redress when things do go wrong.” It is set to look at wider issues of place, community and the local economy, questioning how social landlords can help to create places that people want to live in and what role social housing policy can play in building safe and integrated communities. Sir Martin Moore-Bick’s public inquiry into the Grenfell fire, which officially opened last month, said it would not include social housing in its probe into the tragedy, according to the terms of reference published in the summer. Responses should be submitted by 13 October to: BuildingRegulationsand FireSafetyReview@communities. gsi.gov.uk

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PHOTOGRAPHY: GETTY

our months on from the fatal fire at Grenfell Tower, the government has published the call for evidence for the independent review of building regulations and fire safety following the Grenfell Tower fire. The review is being led by Dame Judith Hackitt. It will examine building and fire safety regulations and related compliance and enforcement. The focus will be on multi-occupancy, high-rise residential buildings. Its purpose is to make recommendations to ensure “we have a sufficiently robust regulatory system for the future and to provide further assurance to residents that the complete system is working to ensure the buildings they live in are safe and remain so”. The review will report to both communities secretary Sajid Javid and home secretary Amber Rudd. An interim report will be submitted in autumn 2017 and a final report submitted in spring 2018.

W W W. B I F M .O RG .U K / F M WJ O I N

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V I E W P O I NT PERSPECTIVES

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FM – it’s no accident

You scratch my back...

PHOENIX LAVIN is design and construction interface manager at Programmed FM in New Zealand

NICK FOX is head of estates operations at Serco

ccidental – in general, an unplanned, unexpected, and undesigned (not purposefully caused) event that occurs suddenly and causes (1) injury or loss, (2) a decrease in value of the resources, or (3) an increase in liabilities I recently attended an FM conference where the term accidental or chance in relation to choosing a career in FM was being used. Almost all the speakers using these terms have had careers in architecture, economics, property management or engineering. It was as if they were apologising for leaving their field of expertise to join facilities management, an industry that does not have a clear pathway from high school to the boardroom. FM is set to be the ultimate champion of disruptive innovation in the workforce. While other business are disrupted via technology, FM with its multiply entry points has the distinct advantage in a future requiring flexibility. We can poach outstanding candidates, leaders, innovators from a host of industries and take advantage of the investment other professions have had in the start of their career.

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route for orders may go via someone who again may or may not know they exist. So FMs on the shop floor are left to fend for themselves and unless they have the skills, time and templates, often left to provide a service bound by KPIs, but with no ability to manage their supply chain effectively. Can FM really add contract management to our role? In any contract the FM team needs the ability to call the shots on their supply chain when the time is needed otherwise they will be penalised for service deficiencies. Contracts should not be awarded based on value or service criticality. Any scenario that needs subcontractor support should be bound by a contract. I’ve not worked on a contract yet that hasn’t penalised me for failing to respond in a arrangements are covered certain time frame and then by a formal contract, not complete a job in a certain just purchase orders. time frame. So why aren’t What typically happens is we being more savvy with that there are high-level our supply chain and merely framework agreements in relying on the ethos of ‘You place that are rarely useful, scratch my back and I’ll and there to create a cost scratch yours’? framework as opposed to a How much time must we service delivery framework. waste chasing subcontractors In some cases the FM won’t simple contract even know that they exist and W W W. B I F Mwhen .O RGa .U K/FM WJ O I Nwith clauses can prevent all of this? even if they do, the approval uring my time in FM, I’ve found that we rely on our subcontractors as much as they rely on us. This reliance is built up from trust, previous quality service delivery, site knowledge and relationships, not formal contracts (written contracts, not purchase order agreements, which rarely explore performance and response clauses). In some cases a formal contract in whatever form exists and this helps drive performance, but I would love to understand what percentage of service

In turn, their experience helps sharpens our industry needs, meaning we are not restrained by a legacy of education, history and tradition and so remain nimble in a changing world. Our diversity means that it is possible to move within

“FM IS SET TO BE THE ULTIMATE CHAMPION OF DISRUPTIVE INNOVATION” our industry. So not only will we attract people into our profession, but they can change their focus and jobs without leaving the profession completely. This means that we can retain and gain – driving issues in the employment of millennials. So here is why none of us are ‘accidents’. The moment we cross-referenced our skills set against an application for a position in FM, we made a choice to move to a position that allowed us to capitalise on those skills. Our platform to success is our previous experience and our ability to transfer those skills into a profession where no two days are the same.

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“WHY AREN’T WE BEING MORE SAVVY WITH OUR SUPPLY CHAIN?”

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October 2017


V I E W P O I NT

T H E T H I N K TA N K

CHRIS WESTON

S O C I AL E NT E RP RISE S

WIDER CONCERNS THAN THE BOTTOM LINE

THE SOCIAL CONTRACT

Social enterprises can consider wider outcomes than commercial organisations that have very specific contractual obligations. FM companies are often constrained in what and how they can deliver by the contracts they work to – wider concerns such as social improvement, energy efficiency, etc, are out of bounds, or classed as secondary ‘luxuries’. FM touches so many aspects of the services delivered to a community that I can see social enterprise being an innovative and useful model in this area. There are good examples of social enterprises that work. Auriga has customers across the commercial landscape that value their ability to work with disadvantaged customers. Social enterprises have their best chance of working in FM with organisations that have a genuine interest in wider outcomes. Where FM can help keep people warm, safe and dry in their homes and communities this can have a beneficial effect on social services, NHS, etc . These links are understood but hard to measure and work into a commercial arrangement.

Cordant Group has unveiled plans to adopt the status of a social enterprise. With studies showing that the world of work is becoming more collaborative, and that millennials seek a greater sense of purpose from their jobs, is Cordant onto something? We asked whether its move could see more FM service businesses embracing the social enterprise model

CHRIS WESTON, technology adviser at Chainmaker Consulting Ltd

MARTIN PICK ARD

THE SOCIAL ENTERPRISE MODEL IS PERFECT FOR FM

Our sector contains thousands of small businesses, cleaning companies, caterers, and maintenance firms. We employ millions of workers, many of them in basic service roles, and well-managed facilities operations do tackle social problems, improve people’s life chances and support communities. More than 70,000 social enterprises operate in the UK, many of them are from our sector. We have seen several as finalists for the BIFM Impact on Society Award, and I keep coming across them in my work as an FM consultant. It’s highly unlikely that our big public corporations would convert into social enterprises, but even they are increasingly reinvesting profits into community benefit. The success of this movement depends on FMs supporting social enterprises and to encourage their corporate supply chain to engage with them and to maintain their CSR investment. There is a small but growing trend for specifying this in procurement exercises and weighting in the favour of such good citizenship – an action I wholeheartedly support.

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MARTIN PICKARD, FM consultant fm-world.co.uk

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INSIDE

36 38 40 42 43

Making the most of mentoring Prevention is better than cure A corrosive crisis Ready for your next FM role? How to future-proof corporate data

KNOW HOW THE L A AT ATE TES ST T L E A RN R N I NG NG A ND ND B BE E ST S T P RAC R AC T TII C CE E

STORAGE

BOXING CLEVER

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et’s face it, getting things delivered from online retailers to the office has become much more of a problem for facilities staff in our time-poor, internet enabled age. Put simply, code to unlock the box it’s hugely convenient and retrieve their parcel. for employees to use the Convenient for workers, office as a de facto post minimal FM overhead. office. Not so convenient Each user has a unique for FMs, though, and digital key to ensure many companies have that parcels arrive in the gone as far as to ban the hands of the employee practice because of the who ordered them. No costs involved. one has to interrupt their So, how best to allow work to collect or sign this convenience for for parcels at reception, staff without invoking couriers can go directly excessive labour cost? to the box number given One answer is the them and tradesmen storage solution offered from shoe menders and by Bringme, producers ironing service can use of the BringMe Box the service. It’s certainly storage units. These hugely convenient for solve the problem by busy employees, and a leaving it to employees useful alternative to a themselves to access potentially productivityand manage deliveries squelching personal via a smartphone app. delivery ban. Units Couriers deliver to a come in ten or twenty designated box number box options. in a centrally located www.bringme.com unit, recipients use a QR W W W. B I F M .O RG .U K / F M WJ O I N

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FAC I LITATE F M I N R E TA I L

In retail, the need to cut costs runs parallel to the need to provide a ďŹ rst-class customer experience. Bill Dolworth reports on FM service trends in this most sensitive of sectors

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FAC I LITATE

F M I N R E TA I L

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he retail environment is sensitive like no other. If the experience of the consumer, the shopper, is poor, then it hits sales and sales hit revenue and performance and everyone suffers. If someone asked you for three trends in retail FM, you might be excused for misquoting Tony Blair and answer: customer, customer and customer. It is why retail FM is a tough market. Contract award announcements give a sense of how tense some of the negotiations will have been. Certain words and phrases repeat: efficiency, customer focus, streamline operations, reduce costs. But the diversity of the services demanded by landlords and tenant retailers and the scope of their facilities make the sector difficult to pin down too. At one end retail is defined easily by the high street and major supermarkets. At the other it is bookmakers, cinema complexes and shopping centres – often with very different tenants from fashion boutiques and large department stores to restaurants and coffee shops. The common denominators are heavy footfall, long opening hours, a mix of behind-the-scenes building services systems and a constant need for security and cleaning. Plus, one more: the need to save money. It is the elephant in the corner of every shopping location. Paul Crilly, managing director of Not Just Cleaning sums up the position. “As physical retail focuses on the consumer experience this places an emphasis on support service resources, the quality of resources and the support they receive. It is the biggest challenge faced right now in large-scale retail FM, but better partnerships and more collaborations may well solve this.”

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FAC I LITATE

F M I N H E A LT H C A R E

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FAC I LITATE

F M I N H E A LT H C A R E

Although a lot of the medicine practised in UK hospitals may be cutting edge much of the NHS still runs on antiquated paper-led systems in old buildings. That has to change, says Nick Martindale

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s the NHS prepares to turn 70 next year it is under significant pressure, which threatens to fundamentally alter the provision of healthcare as envisaged by Aneurin Bevan. It is also in the middle of a period of significant change, as outlined in this year’s Five Year Forward View; one that will ultimately see more local delivery of services using new models such as the sustainability and transformation partnerships, with the aim of easing pressure on hospitals themselves. This, too, is having an impact on FM, both in how it delivers core services and in the kinds of areas it can influence in the health sector, and associated facilities. In the hospital space, the Carter Report, produced in 2015, remains extremely relevant, says Craig Smith, head of corporate affairs at ISS, with its vision of delivering £5 billion worth of savings, with £1 billion of that coming from FM. “He’s looking for 2-3 per cent efficiency savings year on year, which if you take that to 2021 is a 10-15 per cent real-time reduction,” W W W. B I F M .O RG .U K / F M WJ O I N says Smith. “We’re almost getting to the stage in some places where

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FM World 06 October 2017