W O R K P L A C E F U T U R E S THE CRYSTAL February 12 th, 2012 Coffee Break FMA Spring Golf Day – Goodwood Golf Course – 30 th May 2013 To book your place see Dave Hurrell – Only a few places remain Costs per fourball is £600 + vat, Cost per single player is £150 + vat.

© Copyright 2012 Occupiers Journal Limited. All rights reserved. 12 th February 2013 Johnny Dunford; Global Commercial Director Paul Carder; Global Managing Director Occupiers Journal Limited; Workplace Futures 2013#WF13 Tuesday 12 th February With thanks to RICS Research: Raising the Bar: Enhancing the Strategic Role of Facilities Management

© Copyright 2012 Occupiers Journal Limited. All rights reserved. RICS Research Reports research/research-reports/ research/research-reports/ Who are we? Paul Carder Founder/Managing Director Editor, Work&Place Hong Kong / UK Johnny Dunford Global Commercial Director, London, UK

© Copyright 2012 Occupiers Journal Limited. All rights reserved. RICS & OJL – a global perspective =

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Findings from 30+ executive interviews and almost 400 ‘end user’ survey responses Outline the core issues of the ongoing global study Ask for your engagement! Plus, to increase awareness of RICS Research Reports research/research-reports/ research/research-reports/ Raising the Bar (RTB) – “strategic” FM

© Copyright 2012 Occupiers Journal Limited. All rights reserved. An Occupier/“End User” Survey n = 357 The Survey: Occupiers / end-users only

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Industry sectors – a good spread The Survey:

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Corporate HQ – globally representative The Survey:

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Is FM “strategic”? On balance, is FM strategic? How does the head of FM allocate his/her time? vs. What does it mean to be “strategic”?

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Context: FM in a Spider’s Web Critical Links with: the CEO/COO SBU’s Finance IT HR CRE Service Providers

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Raising the Bar? Where is the bar set now?

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Where Does FM Report? The Survey:

© Copyright 2012 Occupiers Journal Limited. All rights reserved. # of employees vs. FM reporting line

© Copyright 2012 Occupiers Journal Limited. All rights reserved. How Well-Aligned is FM with….? The Survey:

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Achieving Alignment The Survey:

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Michael Porter: “What is Strategy?” Generating a competitive advantage means: 1.Building a unique and valuable position in the marketplace; 2.Choosing what not to do; and 3.Creating “fit” among a company’s activities * Michael Porter, “What is Strategy?” Harvard Business Review, Nov-Dec 1996.

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Alignment with other functions is high Facilities design and strategy makes a meaningful difference to the business  brand image  leveraging people (productivity)  attracting and retaining talent  saving money  enhancing sustainability The Head of FM spends 50%+ of his/her time on business strategy and planning “Strategic” FM: some hypotheses

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Cause & Effect (e.g. service-value chain) Satisfaction Employees Productivity & output quality Service quality Capability Service value Loyalty SatisfactionLoyalty Revenue growth Profitability Operating strategy and service delivery system Service concept Business results Customers internalexternal Workplace design Job design / decision-making latitude Selection and development Rewards and recognition Information and communication Adequate ‘tools’ to servce customers Quality and productivity improvements yield higher service quality and lower cost Attractive value Service designed & delivered to meet customer needs Lifetime value Retention Repeat business Referral

© Copyright 2012 Occupiers Journal Limited. All rights reserved. Recommendations Think Strategically Act Strategically Rebuild the FM organization – and its role in the business Outsource as much as possible (maybe?) Study ‘cause & effect’ (e.g., service-value) Teach the business how to ask for FM support

© Copyright 2012 Occupiers Journal Limited. All rights reserved. The research question, now (RTB II) What do facilities leaders have to do differently to make FM a more valued strategic resource?

© Copyright 2012 Occupiers Journal Limited. All rights reserved. 2012: Early highlights presented at CoreNet Global London Summit Panel discussion at IFMA World Workplace, San Antonio (2 nd Nov.) RICS Research launch of ‘RTB’ report (2 nd Nov.) 2013: Hold additional research workshops – N. America(San Francisco, NYC, Toronto) – S. America(Sao Paulo) – Europe(Brussels, Frankfurt, Amsterdam, Zurich, Madrid, London) – Middle East(Dubai, Abu Dhabi ) – India(New Delhi) - possible Mumbai & Bangalore – Africa(Johannesburg) – possible Cape Town – Asia(Hong Kong, Singapore, Beijing, Shanghai) – possible Tokyo – Australia(Sydney, Melbourne) Pt.2 report (June) Progress / Next Steps

© Copyright 2012 Occupiers Journal Limited. All rights reserved. For Further Information RICS research: Website: Blog: Twitter: Linkedin:search Groups for Occupiers Journal or ‘OJ’ James P. Ware, PhD Global Research Director Occupiers Journal Limited Berkeley, California Paul Carder Founder / Managing Director Occupiers Journal Limited Cambridge, UK Johnny Dunford Global Commercial Director RICS London, UK