FM & Real Estate Knowhow

1. ISSN 1993-1980
Visible Change
Jane Fenwick has visited Unilever to see how the organisation and the HQ it has occupied
since the 1930's have changed to meet the demands of the 21st century workplace.
Page 7
ISSUE 7 - SEPTEMBER 2008 A EuroFM Publication
In Brief
Energy Monitoring of
Public Buildings
The Projectquot; Intelligent Energy for
Is a revolution
Managementquot; said Luciani.
Europequot; aims at gaining general
This is a first for Australia, and in
knowledge about energy characteristics of
fact, Luciani is the first graduate of the
buildings.
Page 4 degree; and one of only a handful in
about to take the world who hold such a
Real Estate and FM: qualification.
There is Plenty to Do
Associate professor at the time,
An interview with Prof. Hans de Jonge,
place in Facility
Craig Langston, a noted facility
Professor of Real Estate Management and
Development at the Faculty of management academic who currently
Architecture of Delft University of is the frofessor of construction and
Technology, about the relationship facilities management for the School
Management
between real estate and facility
of Sustainable Development at Bond
management.
University, was instrumental in the
Page 6
course design of Doctor of Facilities
Procurement?
Management at UTS, and the course
Transforming Corporate
provided the perfect environment to
Real Estate into a Strategic
study facility management
Function
procurement cycles.
Jim Blaschke, Vice President for corporate
By Dr. Paul Luciani quot;I remember sitting in Craig's office
markets at VFA Inc writes about
quot;Transforming Corporate Real Estate into explaining my hypothesis on
According to Dr. Paul Luciani, a overall delivery of the facility
a Strategic Functionquot;. degradation curves in cost and value
holder of a Doctorate in Facility management function over internal
Pages 8 & 9
over time. His initial reaction was that
Management at UTS and resources. However there were times
a simpler problem should be chosen!
researcher on the topic, it's when it seemed that these external
Small Facilities Grow Up But I was adamant that I wanted to
already started. resources were adding unwanted
(in Italy too) research this. To his credit, he
costs.
The latest IFMA Italia benchmarking Dr. Paul Luciani came to this supported the notion and he
study highlights the rapid growth of FM in quot;I remember signing off an FM IT
conclusion after years of research in supervised the development of the
Italy. consultant's invoice thinking, wow,
the way facility management hypothesis which was eventually
Page 12
this much money for not much return,
procurement cycles alter, in particular, accepted by the University,quot; said
we could do this better and cheaper
the interaction of cost and value with Luciani.
Is an Outsourced Service ourselves! I had to remind myself that What transpired after this was an
in-sourcing and outsourcing of facility
the Better Service Provider? about 18 months prior to this he was intense study on 148 organisations,
management in Australia.
Lisa Johannson reports if there are any credited with revolutionary with data collected going back 50
After five years of research
differences between in house and
management of the organisation's years in some instances.
undertaken at the University of
outsourced services in terms of percieved
communications infrastructure. What
quality and econimic outcome? quot;I remember running regression
Technology Sydney in the faculty of
Page 12 had changed? It was then that I started analysis on the final data set and not
Design Architecture and Building, he
to think that maybe it was the getting the expected results! I started
came to the conclusion that medium to
Research organisation that shifted away from worrying that my hypothesis may not
large size organisation's core business
the service provider, and not the other be exactly correct. So I rang Dr David
actually undertake micro shifts in their
FM Processes: Mapping
way around. Should the blame then Leifer, senior lecturer and coordinator
operating environments, which has the
the Path to Success
for increased cost in service delivery of the Facilities Management Program
effect of changing the optimal
This article investigates how existing FM be shifted from the suppliers to at the University of Sydney, Faculty of
environment in which facility services
Process can be further optimised.
something else, say the organisation Architecture for his advice. I sent him
should be delivered to achieve
Page 5
itself!quot; the graphed results hoping he could
maximum value and minimum costs.
That is when Luciani decided that shed some light on why the results
Education quot;Outsourcing thrives best under
he would seek to answer the question were not returning the expected
different operating environments than
A Strategy Model for of how to get the balance right trends.quot;
in-sourcing and vice versa,quot; claims
Facility Service Providers between insourcing and outsourcing of quot;Dr Leifer almost instantly
Luciani.
quot;Positioning in the Post recognised that I was using the wrong
FM delivery. His search for a suitable
Luciani had a feeling that this was
Bolkestein Directive Agequot; type of regression analysis and
avenue to research this question, lead
the case. After spending the last 13
Drs. A.J. Simons, Ir. A.M. de Zeeuw suggested that I use Polynomial
him to the University of Technology
years in various large organisations as
present a quot;Strategy Modelquot; for Facility
regression to the 5th or 6th order. He
Sydney. quot;After scanning the globe,
an operations manager, he observed
Service Providers examining the effects of
was right. Once plugged in, the data
UTS was the only institution willing to
that there were times when external
the Bolkestein Directive.
Pages 10 & 11 resources would definitely benefit the offer a Doctorate in Facility continues on page 2
1

2. Is a revolution about to take place in Facility cost cuttingquot; or quot;major restructuringquot; timely and relevant. Firstly, the quot;one
of the back office is now avoidable. size fits allquot; theory has been
Management Procurement? The solution is to address these comprehensively disproved. No
changes in the firm's core business longer can it be assumed that
continued from page 1
operating environment by adapting outsourcing alone will deliver
his suggestion and more importantly, I
set returned almost perfect trend lines support services delivery to suit. This sustainable facility management past a
am grateful that this sparked a long
supporting the hypothesis!quot; said means that the business is pulling the five year period.
lasting relationship, where he has
Luciani. support services, and not being pushed Secondly, great efficiency gains,
allowed me to progressively lecture on
Luciani was looking for slow and by them. This way a balance is never before realised in a sustainable
the findings of my thesis to his
gradual decline in value and increase achieved, and Luciani's research way, could be realised by firms if they
master's students. The feedback from
in cost, and so all his statistical shows that this equates to decrease turn their attention to how facility
the students has been very receptive.
methods were around a straight line costs and increased value for the firm. management procurement is
Many of the students claim to have
trend. What was happening however, An interesting parallel that can be delivered, rather than solely
known for some time that cycles
was a slightly erratic up and down drawn is the way in which firms now concentrating on what services were to
existed and that micro management of
curve trend that culminated at its peak structure their property services be delivered or how much these
external and internal resources
about every five years. This, he functions. There is clearly an services were to cost.
delivers optimal results in their
learned, was best discovered using increasing tendency toward a merging Luciani maintains however, that
working lives.quot; said Luciani.
polynomial regression analysis, as the of procurement, property, facility, and putting this research to practical use is
This news was also not surprising to
up and down cycles fitted the model operational management in the one
not as straight forward as one may
Luciani. In fact many organisations
better than a straight line method. function. Luciani believes this to be
think. Firstly, there are ten major
unknowingly are putting into practice
What this was indicating was that the result of firms recognising the
variables of the organisations core
the findings of his research as they
something was causing realised value importance of support services and the
business operating environment that
strive for survival as an entity in an
and cost from FM delivery to change way they are delivered and interact
must be quot;mappedquot;. Once mapped,
increasingly competitive global
over time in fairly regular 5 year with core business for the very
each support service commodity must
economy.
intervals. Fortunately, the response survival of the organisation itself.
be assessed to identify the extent of
Luciani believes that this corporate
rate from the data set was very good, The resurgence of the chief
external or internal control that is
devolution, in part, can be blamed on
and as such it was easy to identify the operating officer within corporate
currently utilised to deliver this
the ignorance of firms to their own
causes of these changes. It was in fact, management is another indicator that
support to the core business. Then, this
changes in core business operating organisations are recognising that
the organisation's operating
data is plotted on graphs to determine
healthy below gross margin results is
environment. These micro shifts alter
environment itself changing in almost
optimum alignment to the core
largely a result of efficient support
the way that support services actually
precisely the same pattern as the value
business requirements. Depending on
services delivery.
enhance or detract from the bottom
and costs. quot;This was the driver I had
the results, it's almost certain that re-
So the ramifications of these
line. He believes that attempts for
been searching for!quot; said Luciani.
findings could be considered both
corporate survival through quot;massive
quot;I am most grateful to Dr Leifer for continues on page 3
In summary
1. The blue line represents the optimum outsourcing level as dictated by the core business operating environment (which is mapped by the system)
2. The green line is the actual amount of outsourcing currently taking place (you will note that there is misalignment. The green line should follow the blue line to
ensure maximum efficiency)
3. The red line is the predicted optimum amount of outsourcing for the future (in this case it is coming down)
4. The yellow line is the change in current outsourcing levels required to align to the predicted optimum outsourcing levels required in the future.
NOTE: You will note that there is a curve here roughly taking place over a five year period. That is, from minimum outsourcing to maximum outsourcing over a five
year period required to follow the core business operating environment.
NOTE: Once realignment has taken place, the system will report in real time so micro shifts in outsourcing levels can take place to maintain alignment without the
need for large scale changes. This will significantly reduce costs such as re-engineering, redundancies, contract termination penalties, low quality of support services,
etc. The five year cycle will still take place, but without the need for large case re-organisation.
2

3. Is a revolution about to take place in Facility purchase order creation, to end to end business staff. With everything being
commodity management lifecycle derived from the finance system, it has
Management Procurement? systems. given us a natural platform from
One interesting development,
continued from page 2 which to produce results. One which is
however, is the move towards life long familiar to senior executives!
alignment of service delivery will be Examples of this prearrangement vendor partnerships enveloped within Dubbed the 'program office' the
required. would be in the development of the systems. Increasingly these
system will also be used as an
Luciani believes that it is only at flexible contracts, allowing firms to systems are moving towards
executive dashboard that will report
this point, once realignment has been reduce or increase the scope of partnerships with vendors that allow
on changes in the firms operating
achieved, that the benefits of external management as required and scope increases and reductions to suit
predictive modelling come into play. in advance. It is this quot;closing the gapquot; environment that affect support
the client organisation without the
quot;Once we know the optimum amount of service delivery and core business services the most. quot;We are tapping
need to change vendors.
of external resources required to needs that saves money, claims into the 'heart beat' of our firm to
This could be further evidence that
achieve maximum value for support Luciani. ensure we stay in-line with it,quot; stated
not only are firms realising the
services, then we can predict with a Furthermore, he maintains that due Luciani.
importance of micro shifts in the way
certain degree of confidence what to the complex nature of the formulas services are delivered, but that these Stated in balanced scorecard terms,
changes in these external resource necessary to predict these shifts, the shifts could be best managed via this means that all the decisions made
levels will be required to 'follow' use of technology seems like the intuitive and holistic quot;systemsquot;. It from the system would be based on
changes in the firms core business logical solution to effectively deliver won't be too long, claims Luciani, lead indicators; namely, those
operationsquot;. these benefits to large organisations. where these systems will evolve into indicators that impact (in real time) on
This will allow practitioners and It's interesting to observe the the type of predictive modelling
business performance right now,
managers to quot;arrangequot; circumstances evolution of strategic procurement and discussed in this article.
rather than having to rely on historical
in advance to accommodate these procure to pay solutions. These Understanding this, Luciani is
information such as the monthly
inevitable changes in core business. systems have evolved from basic currently developing a system-based
report. Luciani sees an FM
model for direct application at his
procurement future revolutionised
workplace, Ernst & Young. quot;We are
through the application of this
currently focusing on below gross
modelling - a revolution that has well
margin costs and are confident that our
and truly already started.
system will identify large gaps in our
support services delivery methods
Dr Paul Luciani Graduated from
which will allow us to make the
the University of Technology
necessary changes to reduce costsquot;.
Sydney on the 6th May 2008 with
One problem they faced was
a Doctor of Facility Management.
ensuring the data feeds were
He holds a Masters Degree from
consistent and did not require human
the University of New South
intervention that would bias results.
Wales in Business & Technology,
quot;We quickly realised that it was the
accompanied by two associate
organisation's finance system which
Diplomas in Building Sciences.
held both consistency and statistical
He has been instrumental in
integrity. So we translated the original
restructuring support services
variables to 'talk' with the native
delivery for W.D & H.O Wills,
language of the firm's finance system.
Westpac Bank, Allianz Insurance,
This gave us huge benefits. Firstly,
David Jones, and is currently the
reports could be run monthly, weekly,
Oceania Area Property &
or even daily in real time! Secondly, Procurement Director of Ernst &
there was no requirement to 'consult' Young Australia.
with either support services or core
Dr. Paul Luciani
3

4. Energy Monitoring
of Public Buildings
The project quot;Intelligent Energy projects with the goal of creating
a coordinated system for
for Europequot; aims at gaining
monitoring on national and
general knowledge about energy
European level
characteristics of buildings.
Creating a platform for realization
G
The absence of information for the
of efficient and effective
actual condition of the building about
programs for increasing the
the energy performance of the objects
energy performance of buildings
is an impediment to launch the most
Creating a software instrument for
G
effective measures for reduction of
practical analysis of the collected
energy consumption in the buildings.
data.
The complete title of the project
The expected results from the
DATAMINE is quot;Monitoring of energy
project are a good prerequisite for
characteristic of new and already
forming a harmonized system for
existing buildings using the data from
monitoring of buildings on local,
their energy certificationquot;. It is part of
national and European level. The data
the program quot;Intelligent Energy for
to be analyzed is divided in several
Europequot; and aims to increase the
categories - general information,
general knowledge about the energy
characteristics of the buildings'
characteristics of buildings, using the
insulations, the installations etc. The
information from the process of their
specific characteristics such as energy
energy inquire and certification.
consumption, heat conductivity etc.,
DATAMINE starts in the beginning
assessed by calculation or testing in the
of 2006 and continues three years. 12
process of energy audit, can be utilized
EU country members participate in the
in the database. The resulting analysis EU requires that the member states issue Energy monitoring certificates of the buildings
project. The Energy agency of Sofia -
is to be carried out mainly with the help located on the union's territory.
SOFENA is the Bulgarian
of an Analysis Tool, which is set up on
representative. DATAMINE has a monitoring methods, estimation of the agency. SOFENA is collaborating and
the basis of Excel.
specific commitment with the Energy energy indicators, estimation of the being supported by the state,
The national project, which is
Performance of Buildings Directive, buildings condition, calculation and particularly by the National Agency for
realized by the agency SOFENA, is
which defines the necessity of emitting estimation of the green benefits, Energy Efficiency, the municipal
aiming to collect, analyze and monitor
certificates for the energy performance analysis of the energy saving measures authorities and others.
the energy characteristics of public
of buildings in the EU. The experience
in buildings - by effectiveness, type, It is expected 12 models to be
buildings in Bulgaria - schools,
shows that the directive is not yet
popularity, price etc. The fundamental fulfilled for collection of data and
kindergartens, social homes, offices
apprehended and adopted in some
prerequisites for obtaining good results monitoring of buildings participating in
etc.
countries members. Bulgaria has
are connected with the functioning the project.
The range and the specific goals of
significant advance with the energy
legislation on energy efficiency, the big The estimated results from the
the Bulgarian model are connected
efficiency law and the adjoining orders.
potential for conducting energy audits project are a good prerequisite for
with an estimation of the energy
12 models are foreseen to be
and monitoring of buildings in the forming a harmonized system for
performance of as many public
fulfilled for data collection and
country, as well as the best practices, monitoring of buildings on the local,
buildings in Bulgaria as possible,
monitoring in the countries that
analysis of the certification and know-how, experience and ideas of the national and European level.
participate in the project. Every process
for data collection and analysis will be
Energy monitoring process
tested in small scale in every country.
Every model will have its own
structure and specific features of the
used certificates, data collection
methods and the aims of the
Construction data
monitoring. Thus every participant in
the project will represent his
certification activities, as well as the
key participants in the process. The
unified scheme of the project for all
participants is given.
Data collection
Some of the expected results from
the project are associated with:
Setting up of a general
G
harmonized European structure
for data gathering and evaluation
of the energy performance of the
buildings
Comparison of the methods for
G
data gathering and monitoring
schemes
Monitoring and evaluation: Databases setup Building certification
Extracting conclusions from the
G
building stock details
specific experience from different
4

5. RE SE A R C H
FM Processes: as there was an insufficient number of They view FM as an intermediary
FM reference process models available between internal requirements and
which are generic and reusable between market conditions. Their work has
organisations. Therefore, Redlein and studied the barriers to and benefits of
Mapping the Path to Fleischmann developed a series of FM FM implementation and is developing
Reference process models which serve an IT solution called FM Assist which
to accelerate BPR activity within the guides users through the entire FM
Success sector. They were derived and implementation process by supporting
developed from extensive case study decision processes. Currently their
research in Austria and Germany and are findings suggest FM implementation
By Andrew Fleming, University of Salford aligned to GEFMA 100-2 standards. The involves many different groups and that
processes are focussed at the operational it is often not perceived as an essential
Rising energy prices and resource scarcity are just two of many level and are primarily building related.
function. They also suggest that FM is
contributory factors that are placing increasing pressure on Currently Redlein and Giller (2008) are
often implemented without an
organisations throughout the world to become more efficient and focussing on the importance of internal
understanding of what it is supporting.
control systems in organisations.
effective. Organisational minds are focussed on the question how
Application of FM Processes
Another method of process
can we do what we do better?
The SPICE FM framework
optimisation has been demonstrated by
two objectives - to identify opportunities
In answering this question, developed in the UK enables FM
Wiesinger (2006) through the
for research collaboration and to inform
organisations must fully understand organisations to continuously monitor
application of the process chain
the development of a European standard
what they do, when they do it, who they and improve their performance by
approach (based on system theory and
for FM processes.
do it with and for what reason. To help providing a method for assessing
cybernetics principles) which is a
FM process work has been identified
with this understanding many facilities management (FM) process
process orientated development of an
at academic centres in Germany,
organisations model their processes to integrated FM system that enables 'as is' capabilities. It has been tested in a series
Sweden, Netherlands, Austria,
gain a current snapshot of how their process analysis by studying the flow of of case studies to ensure that its outputs
Switzerland and the United Kingdom
people, tools and procedures are FM processes through an organisational are appropriate to the facilities
and encompasses a broad range of FM
configured and interact. Once these unit and its supply chain. The process management sector and of real value to
process initiatives that consider process
process snapshots have been developed chain considers processes that are useful organisations. The SPICE FM work has
development, innovation, mapping,
organisations should be equipped to which directly create customer value, been applied to the health sector.
implementation, application, assessment
understand how their primary and supporting which support the useful Also in the health care sector
and optimisation. These initiatives all
secondary processes are enacted and processes and blind processes that Lennerts et al (2008) assembled a
aim to help organisations do what they
what improvements if any are required. detract from what is trying to be number of partners to study primary and
do better!
FM organisations and departments achieved. This holistic view is beneficial secondary processes in healthcare
are well positioned to interface at this FM Development Processes as often it is only the outcome of support settings to see where optimisations
point to further support these Atkin and Bjork (2008) in Sweden processes that is considered important as could be made. By using mind maps,
organisations, as according to CEN the have taken a strategic perspective the support process provider is deemed
focus groups and case studies they
European Committee for towards FM Processes and have to be responsible for its process.
developed 'as is' processes and then they
Standardisation, 'FM is the integration developed a five stage process: Wiesinger suggests that 'increasing
analysed a number of these in detail to
of processes within an organisation to Formulating FM strategy; Analysing competition is causing firms to focus on
see how they could be optimised.
maintain and develop the agreed requirements; Developing solutions; core processes and is also causing them
Processes have been field tested and
services which support and improve the Implementing solutions; Monitoring to adopt tools and methods to remain
evaluated in terms of interaction with
effectiveness of its primary activities'. service provision. They stress that all of competitive.' This approach may serve
the core process as well as determining
Therefore, it is important that the actors within the process should as a basis for facilities management
cost and quality factors. Finally work by
processes are modelled in a standardised have a shared understanding and that the agreements and control of performance.
Yusof (2008) seeks to understand the
way. To this end, work is currently process they present portrays FM as a FM Innovation Processes
application of facilities management
ongoing under the umbrella of CEN to set of activities that combine to satisfy Innovativeness is an important
processes in higher education
business needs and shows how process
develop, through agreement, basic terms success factor in modern organisations
institutions in the UK focusing on
models can provoke discussion and and the work of Mudrak et al (2005) in
and definitions for a family of FM
maintenance and operations in
study and provide owners and managers the Netherlands has concentrated on
standards, one of which is focussing on
supporting the overall aims and
of facilities with a means by which they innovation processes and the
FM processes, which are seen as a key
objectives of the organisation.
can define decision-making and innovativeness of FM organisations. In
to delivering innovative services to the
determine improvements to their current house FM departments and FM main
highest levels of excellence in the Summary
procedures and practices. An IDEF 0 contractors were studied to consider
developing market in Europe. The work These contrasting initiatives use a
model accompanies the work to enable how they are innovative. The work
is referencing existing ISO process process approach to improve
its application to real life cases. adapted a well established process of
management standards to ensure organisational understanding and as
Developmental work is being carried innovation to gauge how innovative the
synergies between the developing FM they become more developed and their
out by Fleming et al, (2008) to create a firms were. The innovation process
Process standard and legacy application to the FM sector matures,
high-level protocol for generic facilities comprised five stages from how they
organisational processes. increased organisational performance
management processes to enable manage innovation to how they
Organisations with a well defined should be enjoyed. Finally, it is worth
organisations to manage activities and implement it whilst also considering
management process can potentially remembering that when developing
the phases of the ongoing programme to external linkages, strategy and
improve short term and long term processes they should be tailored to and
achieve business and strategic organisational context. The work found
decision making, stakeholder accepted by those who use them, be
objectives. The work draws from earlier that the sampled organisations were
management, consistency in delivery,
thoroughly tested and useable.
work in the manufacturing and lacking in innovation management
organisational coordination and
construction sectors. Sigg (2007) capabilities, however, the contractor
continuous improvement. With benefits Further information can be found
describes Swiss work to create an organisations were more innovative than
such as these there is considerable within the EuroFM Monograph,
overall process-based model for the in house ones.
interest in process modelling and Facilities Management Processes,
commissioning facilities services.
improvement and EURO FM FM Implementation Processes edited by Prof. K. Alexander.
commissioned research to identify and FM Optimisation Processes May et al (2008) suggest that in order Andrew Fleming, University of
review work in this field that is being Previous to work by Redlein and to survive, private and public sector Salford, School of the Built
carried out in EuroFM member Fleischmann (2007) it was difficult to organisations need to improve their core Environment, Salford. UK.
organisations and other related research undertake business process competencies and that FM must be a.j.fleming@salford.ac.uk
institutions in Europe. This work had reengineering (BPR) in the FM Sector integrated into core business strategy.
5

6. Real Estate and FM: demolished. This will often involve
office premises at the lower end of the
market. When there is a surplus of
office space, tenants will generally
There is Plenty to do! move to better accommodation at a
limited additional cost. If you look at
the potential for redevelopment, it has
By Koos Groenewoud CFM been seen time and again that the
mono-functionality of an area is a
An interview with Prof. Hans de Jonge, Professor of Real Estate socially oriented approach, we in major problem. At Delft we have been
Europe are more of a role model for
Management and Development at the Faculty of Architecture of carrying out research for more than
the U.S. The field of Corporate Real ten years into the transformation of
Delft University of Technology, about the relationship between real
Estate Management, which I brought office buildings, and there are a lot
estate and facility management. He believes that FM needs to be
over to Europe in the early 90s and more possibilities than we are
professionalized further in order for it to come into its own in
expanded in Delft, is more advanced currently using. I believe that urban
various fields. This will require an increase in knowledge about the
over there.quot; planning should be much more
relationship between productivity and working environment.
The Brink Group does not focus concerned with the development of
Combining two worlds
In addition to being Professor of specifically on FM; De Jonge explains high-quality urban space than with the
De Jonge combines teaching with a
Real Estate Management and why this is the case: quot;The definition actual functions of the buildings. This
job in the business world; he has clear
Development at the Faculty of of FM that I subscribe to is: 'the will also mean that you are less
reasons for this: quot;Working on new
Architecture of Delft University of integrated management of housing, affected by the cycle of 'boom and
issues in networks of different
Technology, since 1997 Prof. Hans de services and resources'. According to bust' in the office space market.
specialists, exchanging international
Jonge has been Chairman of the that definition, housing is part of the Unfortunately, the players in the real
experiences and working with
Board at the Brink Group. This field. FM has primarily the character estate market are often neatly
students - I've always found it to be
organization is active in the field of of a general management discipline organized into different market
particularly inspiring. It keeps you
management, consultancy and and thus, in my opinion, belongs in segments, and introducing more
sharp. But at the same time I'm too
automation for the building, housing general management courses. In the integrated approaches is often
impatient to work in a university full-
and real estate sector. De Jonge says: areas in which the Brink Group is problematic. Nonetheless, there are
time. In the business world I like the
quot;I trained as an architect at Delft active, the focus is more on housing enormous opportunities.quot;
dynamism of the market and the need
University of Technology and have management than on the management Finally, we asked Prof. De Jonge
to make decisions in unclear
always been interested in science of services and resources. In order to what developments we can expect in
situations based on incomplete
combined with practical applications. have proper housing management you the facilities field: quot;We have just been
information. The tension between
I chose architecture because I thought need to have an understanding of the through a period in which there was a
these two worlds gives me a lot of
it was a pretty broad field of study strategic, tactical and operational great emphasis in FM on cost
energy.quot;
that integrated both 'hard and soft' aspects of housing. The relationship reduction. It seemed almost as if the
De Jonge also teaches in the USA.
areas of science. During my studies I between organization and building(s) main contribution of FM consisted in
He is of the opinion that there are
worked abroad a lot and also for a plays a key role in this, and a whole reducing facility costs. Now we have
several differences there between the
large firm of architects in Rotterdam. range of technical issues needs to be entered a new period of economic
fields of Real Estate and Housing:
After that, I was asked to set up a considered. In my view, the strategic growth combined with the ageing and
quot;Thanks to the scale of organizations and financial impact of real estate and
contract research team at Delft shrinking of the workforce, resulting
and the size of the country, there is a housing decisions is many times
University of Technology to carry out in increasing pressure on the labour
degree of professionalism at the greater than those relating to
research and consultancy for public market. We will see that providing
highest level that you find much less resources and services, which are
and private clients. Following that, I good facilities can make a distinctive
often here in the Netherlands. The real more at a tactical or operational level.
acted in various executive functions difference in the labour market. The
estate market is seen predominantly The choice to focus on housing rather
within the Dutch Government added value of FM will once again
from the supply side, and buildings than the whole range of FM activities
Buildings Agency, which was come into its own in several areas.
are mainly considered as investment is connected with our firm's market
undergoing a major transition from This requires increased
products. You are very much aware profile.quot;
building services to housing services professionalization, which includes
there of the dominance of the private
at that time. In 1991, I was asked to an increase in knowledge about the
Office space market
market. On the other hand, for real
set up a new, more commercially relationship between productivity and
The office space market is growing.
estate development with a more
oriented course in Delft. From that working environment. This is
New offices and office parks are
moment on, I've always combined precisely the area in which the Centre
being built while vacancy rates are
working in higher education with for People & Buildings is active.
still high. What does De Jonge think
There are also market segments in
working in the business world. That about that, but also about the office
which additional professionalization
course experienced tremendous market in general? quot;A way of thinking
is both possible and necessary. For
growth and is still going strong under that involves clearly delimited market
instance, the healthcare sector is one
the name Real Estate & Housing. segments fits in perfectly with the
of the last sectors in society to feel the
There have been new initiatives in principle of the separation of
impact of market forces. There is
recent years, such as the creation of functions, which has dominated urban
plenty to do.quot;
two centres: the Centre for People & development for decades. But the
Buildings (www.cfpb.nl) and the essence of urban development now is
Koos Groenewoud CFM is a
Centre for Process Innovation in to have a mix of functions. Because of
member of the FMI editorial team
Building and Construction the unpredictability of future demand
and the founder of the AAA (Triple
(www.cpibc.nl). Seven years ago, in and the fact that are no longer that
A) Total Facility Management
conjunction with Erasmus University many functions that cause an
network organization. He is
and the Rotterdam Development unacceptable nuisance, flexibility and
recently appointed to Facility
Agency, we set up a new postgraduate a mix of functions are possible and
Manager at DELTA NV, the multi-
Master's programme (Master City indeed necessary. Surplus office space utility company.
Prof. Hans de Jonge must now be redeveloped or
Developer).quot;
6

7. Visible Change
By Jane Fenwick
Few global organisations can claim such a strong association with a
building. Jane Fenwick visits Unilever to see how the organisation
and the HQ it has occupied since the 1930's have changed to meet the
demands of the 21st century workplace.
Sculpture in atrium.
carpets' - part floors at levels five and security desk, workspace is
through to eight 'floating' in the atrium generous, as is access to natural light,
and linked by a spiral stairway. These informal meeting space and views
'flying carpets' serve to link the office across London. The main meeting
spaces and provide informal meeting facilities are located at the top of the
space. Glass floored walkways across building together with the staff
the space provide ghostly footprints as restaurant and café, executive dining
people walk from one side to the other. and a roof garden all affording views
'Transparency' was identified as key along the Thames.
objective in developing its new The refurbishment was also an
100VE Side Final workplace. During the consultation opportunity to incorporate 21st century
process it was discovered that feeling environmental ideals. Refurbished to
About 150 million times a day leased back on a 20 year head lease
connected to the business was directly British Council for Offices
someone somewhere chooses a with an option for a further 20 year
linked to the visibility of those who specification throughout, 100VE
Unilever product. Unilever's food extension. By leasing three floors of
lead it. To achieve improved achieved a BREEAM excellent rating.
products range includes the Knorr the eight of the refurbished building,
'transparency', senior executives and Unilever's Service Delivery Manager,
brand, Bertolli pasta sauces and Unilever occupies only the
the boardroom are situated within the Johan Vanlook, expects that the
dressings, Walls and Ben & Jerry's ice accommodation it needs but retains
workspace on the sixth floor and not operational rating after the first year of
creams and Lipton and Brooke Bond one floor for future expansion if
tucked away on the top floor as had occupation will be as good. So far
teas, while its cleaning products needed.
been the case previously. Elsewhere, 100VE has achieved a 25 per cent
include brands such as Cif, Comfort, The company moved out in
the use of natural light and glass has reduction in carbon emissions over the
Domestos and Persil. September 2004 to offices at No 5
been maximised, and bold branding old building.
What is unusual in such a fast Tudor Street on an adjacent site part
panels create a vibrant open plan Vanlook, who reports to the Vice
changing and market sensitive occupied by JP Morgan. This
workspace. President Human Resources for the
business, is that Unilever is still temporary move was convenient and a
Corporate Centre, oversees the FM
Public cafe
located in its original HQ built in the valuable transition for staff to test out
operation at 100VE and another 55,000
Unusually in corporate offices,
1930's when the company was formed. open plan styles of working and the
sq ft on a short lease at nearby Ludgate
particularly in these days of heightened
Over the past 70 years, the building at better use of meeting spaces which
Hill accommodating 170 people IT and
security, the ground floor of 100VE is
100 Embankment has become a were planned for the new building.
finance staff. From later this year he
open to the public from 7am - 8pm on
Thames-side landmark on the north Many lessons were learned here that
will also become the Facilities
weekdays and there is a public café
end of Blackfriars Bridge. Home to were taken into 100VE.
Business Partner for Unilever's Global
area with wi-fi installed. This offers
Unilever's global HQ, '100VE'- as it is The company also took the
Leadership Academy in Surrey
not only a unique opportunity to view
now called - has undergone a opportunity to undertake some
comprising four acres with a golf
a modern corporate office beyond the
transformation behind its listed façade restructuring and the UK and Dutch
course and residential facilities. He is
front door, but also is an ideal respite
and art deco entrance to bring the boards amalgamated with key
also the 'landlord' for the tenants at
from the roar of traffic the Victoria
workplace into 21st century. executives located in 100VE. By the
Embankment. Beyond the reception continues on page 8
100VE last had a major refit in the time the company moved back in last
1970s and since then both workplace year, the building interior was
design and philosophy -and the unrecognisable. Architects Kohn
company - have moved on. Pedersen Fox Associations had
Recognising that a cellular office reconfigured the floor plates to create a
environment was unsuitable for a central atrium that gives an impressive
growing global business, Unilever 'wow' factor on entering but also
faced the choice of relocating to provides transparency and links
another site in London or beyond, or between the floors. Rising through the
undertaking a major refurbishment of eight floors of the building, the atrium
the existing building. Unilever chose space is dominated by Conrad
the latter in part to retain this strong Shawcross's Space Trumpet, a massive
link with its historic home. sculpture suspended overhead that
Maintaining this link was important makes a small rotation on two planes
not just for sentimental reasons but daily taking over 60 days to complete a
also to retain its City on London full cycle.
location. A sale and leaseback deal saw Looking up, visitors also see the
the building sold to Sloane Capital and novel and visually interesting 'flying FM Team in atrium.
7