Facilities Recruitment Management

UK FM market reaches £115bn peak Source: FM World 18-01-08

The UK facilities management market, including in-house, contracted-out service and total facilities management, increased by four per cent to £115 billion in 2007, according to the latest industry report. The figure is in line with annual growth figures over the past five years - since 2002, the market has increased by 18 per cent.

According to the latest UK Facilities Management Market Research Report, the levels have been boosted by increased levels of PPP and PFI projects and the continuing trend to outsource non-core activities.

By 2012, the potential UK market for facilities management is projected to reach £129.9 billion, the report said. This will include £10.5 billion worth of total FM deals, equivalent to a 19 per cent real term increase. However, the proportional importance of the sector is likely to remain at eight per cent of the entire UK FM market.

The contracted out sector will reach £79 billion by 2012, a growth of 16 per cent. This will reflect companies’ continuing focus on reducing costs and acquiring specialist expertise, that they would otherwise be unable to attain. According to the research, the service sectors which are expected to show the strongest growth potential over the next five years include building fabric maintenance, telecommunications FM services (in particular call centres), environment management (due to increased regulation) and property management.

In contrast, the internal FM sector is expected to increase by just seven per cent over the next four years, to reach £40.6 billion.

Hochtief wins schools energy deal Source: FM World 16-01-08

Hochtief Energy Management has won a new contract to reduce energy costs at seven schools in Bremen. Over the next ten years, the company will reduce costs by £241,173 per year. This will be achieved through upgrading boiler units, integrating building automation systems into the facilities. In addition, the firm will centrally monitor, control and document energy operations for heating and ventilation systems.

As well as the financial savings, the schools CO2 emissions will be cut by 1,400 metric tons each year. In total, the firm achieves savings of almost 150,000 tons of CO2 every year. The German-based company said that this was equivalent to 4,000 flights between Hamburg and Munich.

Mitie's Hale stands down Source: FM World 15-01-08

Colin Hale has stood down as a main board director of Mitie Group. Hale joined the group in April 1998 and was appointed to the board in August 2001. A group statement said that Hale had made a significant contribution to the group’s business.

The firm has not yet named a replacement for him.

Erinaceous to sell insurance arm? Source: IFM News 14-01-08

Erinaceous, the embattled 'one stop property services shop', is widely tipped to be looking at selling its insurance business as a part of a recovery strategy. In a market statement released today (14 January), Erinaceous said its Board is looking at 'the optimal way to reduce the group’s unsustainable debt levels'.

The statement added that insurance is a highly profitable business for the company and the newly appointed management team sees 'significant opportunities' for developing the business further. No doubt in part for that reason Erinaceous has had a number of approaches from would-be buyers, and the Board concedes it is now considering sale as an option.

Melizan moves up the ladder at Interserve Source: IFM News 11-01-08

Interserve has appointed two new executive directors to its Board. Bruce Melizan, who joined in 2003 to run the PFI Investments division and subsequently played a key role in the integration of MacLellan in 2006 as MD of Interserve FM, moves up to the top table.

Joining him is Steven Dance who arrived at Interserve from ERICO in 2004 to take over leadership of the Equipment Services division. Lord Blackwell, Chairman, said: "These appointments will allow the group to benefit further from their abilities."

NB Entrust has appointed Richard Wilson as its first Managing Director Source: IFM News 11-01-08

NB Entrust is a joint venture between NB Real Estate and The Asset Factor. It was formed as a property operator to integrate management and service delivery in multi-let buildings where there are common services delivered under a service charge.

Wilson (left) joins from Kier Managed Services where he was MD. He will be responsible for 260 staff who manage over 20m sq ft of mixed commercial space and over £80m of service charge expenditure.
NB Entrust has a complement of 25 facilities managers located around the country. Its customer support centre receives over 3,500 calls per month. It also operates a dedicated training team called the NB Entrust Foundation which trains not only its own staff but also its service partners'.

Wilson commented: "I am delighted to be joining such a progressive and innovative company. The track record of both NB Real Estate and the team at The Asset Factor will drive a massive change in the property management industry.

"Delivering customer service into the property industry will be hugely challenging as landlords are just starting to understand the value of good service to their investment portfolios," he added.