1. FM Through the Shared Services Looking Glass
31 March 2017

2. Agenda Industry Trends International Case Study
Multi- Agency Considerations
Local FM Procurement Process
Questions

3. Industry Trends
Across Government Facilities Management Contract (AGFMA)- SA
Building Maintenance Contract (BMW)- WA
Consolidation in NSW Councils
Auckland City Council:
8 council’s combined
Currently procuring largest council contract in the southern hemisphere
UK Tri- Borough FM Contract

4. Tri Borough FM Contract
Austerity Measures
Sovereignty Guarantee
150M pounds FM contract
Substantial Savings
Framework Agreement

5. Key Benefits Optimised bid costs Economies of Scale
Stanardised SLA’s/ KPI’s
Performance Leveraging
Big Data
Responsible response to austerity pressures
Supports low council tax strategy

6. Key Enablers Standardised asset hierarchy Standardised SLA’s/ KPI’s
Sovereignty Guarantee
Critical Mass
Scalable Model

7. Key Enablers Robust Baselining Validated Property Lists
Validated Asset Registers
Building Condition Audits
Asbestos Registers

8. Key Enablers Forward Works Programmes Service Level Agreements
Competent Management Team
Output Specifications
Performance Mechanisms

9. Multi- Agency Considerations
Standardisation of Process
Similarity of Customer Requirements
Geographically Clustered Sites
Centralised Control
Financial Imperative
Compatibility of Systems
Readiness + -

10. Local FM Procurement Process
Peer Group Survey
Service Standards Development
Market Sounding
Data Pack Validation
Management Team Development

11. Local FM Procurement Process
Expressions of Interest (EOI)
Pro forma
Evaluation Matrix
Evaluation Report

12. Local FM Procurement Process
Invitation to Tender (ITT)
Form of Contract
Output Specification
Performance Mechanism (KPI’s)
Pricing Schedule
Evaluation Matrix
Evaluation Report

13. Market Sounding- Key Messages
Eleven respondents to market sounding
16 respondents to EOI process
Attractiveness rises with:
Contract length
Annual Value
Partnering Approach
TFM Contract Most Popular
RWL of $500 to $2,000 acceptable

14. Questions