May 19, 2014

Loss making design and build service withdrawn by MITIE Group

by Mark Eltringham • Company news, Facilities management, News

Diversified facilities management services business Mitie has announced it is no longer to provide design and build services in the energy sector and will no longer provide mechanical and electrical (M&E) services. It has announced in its preliminary results for the year to March 2014 that the withdrawal of both operations will incur substantial losses – £25.4 million and £22.1 million respectively – so it will now concentrate more closely on its core and more lucrative facilities management markets instead where it sees the ‘potential for growth and [to] meet our margin targets’. While the firm reports that a number of design and build projects had experienced delays and cost overruns which led to substantial losses, results for the whole of MITIE group show pre-tax profit up 4.3 per cent to £113.3m with revenue up 8.2 per cent to £2.14 billion.

May 19, 2014

Poor office design costing firms in Gulf States dear, claims report

by Mark Eltringham • News, Workplace design

Companies in the Gulf States with poor office design are losing a significant amount of money each year because of an associated loss of productivity and other factors including ergonomics and health and safety. That is according to a new survey carried out by YouGov on behalf of the Index exhibition organisers and office furniture manufacturer HNI. The survey puts the cost of poorly designed workplaces at as much as $70,000 (Dh257,000) per year for a large business and more than $35,000 (Dh128,500) a year for a medium-sized company in the region, according to a new study. A total of 867 senior managers across the Gulf Cooperation Council (GCC) nations including the UAE, Saudi Arabia and Kuwait were surveyed to establish the leading cause of employee accidents within the workspace, as well as the major causes of occupational health issues.

May 19, 2014

Availability of commercial property in London lowest for six years

by Mark Eltringham • News, Property

According to a report from CoStar News, prepared by CBRE, the availability of commercial property in Central London continued a long term fall during April to 13.76m sq ft, the lowest level since June 2008. This caused the availability of offices in central London to fall to 6.2 per cent, significantly below the 10-year average of 7.6 per cent, the agent said. Demand remains strong according to the report with the volume of office space under offer in central London up by over 65 per cent since the end of last year to reach the highest level for 13 and a half years. Under offers are currently at 4.73m sq ft, their highest point since September 2000, when under offers stood at an all-time high of 5.92m sq ft. The report claims that there are a total of seven buildings across central London with more than 100,000 sq ft currently under offer, including 10 Fenchurch Avenue (above). More information here.

May 16, 2014

Facilities managers beaten to coveted place in boardroom by a piece of software

by Mark Eltringham • Facilities management, News, Technology

Machines and boardrooms don’t mix well

It has always been the ambition of facilities managers to take their place in the boardroom. Yet, after thirty years of trying, with only the occasional cursory glimpse of the C-Suite, it appears they have been beaten to it by a piece of software. A venture capital firm called Deep Knowledge Ventures has appointed a computer algorithm to its board of directors. This is either the shape of things to come or a gimmick*, but the software will have a vote on whether the speculators will invest in a particular business or not. The software, called Vital, won’t be making judgements on gut instinct but will take the non-visceral route of chewing through huge amounts of data before coming to a conclusion.

*It’s a gimmick.

May 16, 2014

Four million people in UK now work from home, claims TUC

by Mark Eltringham • Flexible working, News, Technology

Figures released today by the TUC to mark National Work from Home Day show that more than 4 million people now regularly work from home; a rise of more than 62,000 over the course of the last year. The number of people who say they usually work from home increased by 62,000 over the course of last year to reach more than four million for the first time. The findings are from a new TUC analysis published to mark national work from home day, organised by Work Wise UK. The TUC analysis of figures from the Office for National Statistics shows that the number of regular home-workers has risen by over a half a million since 2007 – an increase of more than 10 per cent. Millions of workers across the UK occasionally work from home too, says the TUC. More →

May 16, 2014

Employees’ time off increasingly squeezed by their job duties

by Sara Bean • Flexible working, News, Workplace

Flexible working may be perceived as more advantageous to employees than employers, but there’s new evidence that it encourages presenteeism rather than promoting a better work/life balance. The Glassdoor UK Annual Leave Survey has discovered that 44 per cent of employees undertake some work while on holiday; 18 per cent report that a colleague and 13 per cent their boss, have contacted them about work related matters while on leave. And that’s just those who take their allocated holiday time. The average UK employee uses just 77 per cent of his or her annual leave, and only half (50%) of UK employees take their full annual leave. Given that the average annual leave in the UK is approximately 28 days per year, this means that employees could be losing 6.5 days every 12 months. More →

May 16, 2014

UK one of the top global business destinations for sales growth and profitability

by Mark Eltringham • Furniture, News, Workplace design

Global manufacturing executives rank the UK as one of the top destinations for future sales growth and profitability, according to KPMG’s latest Global Manufacturing Outlook report published this week. This places the UK ahead of Germany, India and Japan and alongside China, beaten only by the US. The report also notes that the UK is leading the world in the growth of 3D printing. The survey of 460 executives representing business with an annual turnover in excess of $5 billion reveals that the UK is ranked third in terms of those countries in which global companies expect profit growth over the next two years. The focus on new technology and materials in the report reveals that 85 percent of UK manufacturers are already moving to 3D printing to reduce their product development life cycle, as British office furniture maker Senator did in prototyping its Ad-Lib range (pictured).

May 16, 2014

BCO office standards include guidance on provisions for cyclists for first time

by Sara Bean • Facilities management, Flexible working, News, Workplace design

The new edition to the British Council for Offices’ Guide to Specification, which provides guidance on industry standards for workplaces across the UK will contain guidance on provisions for cyclists for the first time. The new 2014 edition to the office standards guide due for publication later in the year, recommends one shower per ten cycle spaces and one cycle space per 100m2, reflecting the evolving face of travel to and from the office environment. Another significant change is to the recommended workplace density, which has been reviewed to take into account the ever more diverse way businesses are now using their workspaces; which includes the adoption of more flexible working patterns. The report states that: “Considering workplace density alone may overstate the demands placed on building infrastructure, or result in over provision if used as the basis for design.”

May 15, 2014

CBI: Strong business case for investing in health and wellbeing

by Sara Bean • Flexible working, News, Workplace

As we reported earlier this week, an employee wellness programme can be worth doing alone as an incentive and engagement tool. But for those employers who need some evidence of their impact on the bottom line comes a new CBI report, which shows the costs to employers who fail to address employee health and wellbeing. The direct costs of employee absence to the economy is estimated at over £14 billion per year and the average total cost to business for each absent employee is £975. These figures would be higher still if productivity lost due to presenteeism – staff attending work despite being unwell – was included as well. The new CBI report – Getting Better: Workplace health as a business issue – outlines exactly how businesses can improve the wellbeing of their staff and provides a practical support tool to support firms, based on the experience of CBI members. More →

May 15, 2014

Support for flexible working an increasing challenge for IT managers, claims survey

by Mark Eltringham • Flexible working, News, Technology

One of the greatest challenges currently facing IT managers is providing secure and robust technological infrastructure for flexible working, and it is set to become even greater as more and more firms adopt Cloud based working, according to a new report from technology specialists ControlCircle. The survey of 250 UK based CIOs, ‘IT Growth and Transformation’ found that over the next five years the increasing mobility of the workforce is going to present them with a range of increasingly important challenges, with IT leaders predicting that security (56 percent), cloud (46 percent) and mobility (41 percent) set to become the biggest challenges they face. The survey also revealed that nearly half (48 percent) of respondents experience hourly, daily and weekly technology availability issues and a fifth (21 percent) experience business downtime daily or hourly as a result.

May 14, 2014

HR and Facilities Management bodies to collaborate on future of workplace

by Sara Bean • Facilities management, News, Workplace

One of the main themes at the ThinkFM conference yesterday was the acknowledgement that facilities management and HR need to break down the silos that often exist between the two disciplines. This was the message of Chris Kane, CEO of BBC Commercial Properties, who explained that the British Institute of Facilities Management will be collaborating with the Chartered Institute of Personnel and Development on a number of projects to investigate how both communities of professionals are evolving and adapting to the changing workplace. It marked the end of a conference which began the day with a talk by Peter Cheese, the CEO of the CIPD, who remarked that both professions were in the business of getting the most of people in the working environment and why it is vital that those tasked with managing these key resources within organisations need to work together to maximise the value of its workforce. More →

May 14, 2014

Using a mobile phone while driving is now commonplace for UK managers, claims survey

by Mark Eltringham • Flexible working, Legal news, News

As if it weren’t perilous enough to be sitting on your backside for hours every day while trying to subsist on a diet of coffee and Ginsters’ pasties, new research from Regus UK has highlighted just how many British road warriors routinely work behind the wheel. The poll of 1,800 managers and business owners revealed that around three quarters of them routinely use their mobile phone while driving, both breaking the law and imperilling themselves and other road users in the process. Around two-fifths of respondents admit they have dialled into conference calls while driving and a fifth said they have held important business discussions, when either they or the person with whom they were talking was in apparent control of a ton of speeding hot metal.