Customer Centric FM: Oxymoron or Central to your Success ?

1. Customer Centric FM: Oxymoron or Central to your Success? May 2016

2. About the Presenter Paul A. Rogers; M.Bldg.Sci, Dip.Env.Mgt, Dip.En.Mgt, M.IPENZ, F.FMANZ M.IoD is the founder and Managing Director of the New Zealand based management consultancy firm Spire Consulting Ltd. Paul specialises in strategic procurement and supply chain optimisation, asset and facilities management, and organisational performance improvement. Based in Christchurch, New Zealand, Paul consults to a wide variety of clients from Qatar to Queenstown in the local and central government sector, health, infrastructure, petro-chem, utilities, manufacturing and commercial property environments. Paul has previously been a visiting lecturer on the MSc Facilities Management Programme at Hong Kong Poly University, and is a regular guest presenter at Canterbury University in the Commerce & Marketing dept. Paul, has over 30 years experience in asset & facilities management having worked for J.P.Morgan, Lloyds of London, Colliers Jardine and AMP Investments. Prior to forming Spire Consulting, Paul was National Manager – Facilities Management at Telecom New Zealand where he was responsible for the contract and performance management of New Zealand’s largest facilities management portfolio. Contact: Email: paul.rogers@spireconsulting.co.nz Tel:+64 (27) 4400 867. www.spireconsulting.co.nz

3. Abstract • In New Zealand, Facilities Management (FM) remains an emerging profession, often poorly defined, misunderstood yet responsible for the comfort, health and wellbeing of the organisations two largest, most valuable assets - building occupants and building structure. • Ask just about any CEO today what they believe the biggest challenge they have with their FM team and they will almost always answer – “the gap between what my business and customer wants and needs and the FM teams ability to translate these business needs, process the requirements and demonstrate the business value results that they could or should deliver”. • Until Facilities Managers [FMers] are fluent in the translating, processing and demonstrating customer centric skills for FM value that enables the organisation’s success – then the professions standing, influence and overall relevancy within the corporate hierarchy remains marginalised.

4. Compounded by our Status & Visibility

5. Context - Organisational Challenges: 1. The VUCA world. Volatility – Uncertainty – Complexity - Ambiguity 2. More for Less, Faster! 3. Cost Centre – or Value Adder? 4. FM: Enabler or Dis-enabler?

6. Context - Organisational Challenges: What I get to see….. • No tangible, measurable levels of FM service codified with explicit performance parameters, often leading to an inability to manage by fact, FM performance; • FM plan’s not calibrated or aligned with what the business needs and wants from its FM function; • FM seen only as a cost centre (to be minimised) and not a value or resource generator to optimised; • Traditional, unresponsive FM service delivery structures; • Expectation that the Facilities Manager is “provider of all things” to all people, faster for less!; • Often good doers and reactors – but average planners • Seen as un-commercial and often unable to communicate in any meaningful enterprise business discussion; and worst of all… • “Better off in the boiler room, out of sight – out of mind’!

7. Context - Organisational Challenges: FM enablement is driven by two factors: • Ability to be able to translate, process and demonstrate FM success in the current environment, to survive todays challenges; • Able to adapt those workplace strategies and processes to survive tomorrow’s challenges. Being simultaneously “tight” in executing and “loose” in adapting often creates tension and complexity.

8. Translating & Aligning Business Drivers into FM Actions & Plans Translator Role: Occurs when the organisation needs to translate the business needs into workplaces. This entails the identification of specific business needs and addressing the organisation strategies, policies, processes and guidelines. Processor Role: Deals with the operational work tasks and implements the workplace strategies. The main activity involves creating workplace solutions and maintaining the workplaces to support the changing business needs. Demonstrator Role: Defines the outcome of the workplace and measures that had been accomplished in supporting business. Measurable and identifiable results demonstrate the validity of facilities processes to the business.

9. Translation looks like… • Create a line of sight between the business strategy’s, goals and needs; • Create a simple ‘Plan on a Page’ (or similar) basic corporate performance framework even your FM team can understand; • Build in agility, responsiveness and nimble deployment AND planning practices within the FM organisation; and • Ensure clarity of purpose for everyone and allows you, your staff and management to manage by fact. • FM Organisational Structure [places the right capacity & capability in the right places to enable the business]

11. Processing looks like… • Service Levels codified into SLA [‘FM success looks like’] • Formal Agreements • Active Contract Control management • RACI Chart [articulates Roles & Responsibilities] • Space & layout plans • PD [Informs each team member of what is required, necessary capabilities and what success looks like] • Workflow [Process Maps] [Creates line of sight for all core end to end FM processes and how ICT enables & links] • Operating Procedures [Creates clarity of purpose of how & when we deliver services and to what service level]

12. Demonstrating looks like… • FM Performance Report [Tells us how well we have achieved our outcomes. Calibration of success]. • FM/AM Plan [Informs our renewal + replacement + maintenance approach to all our services]. • SaaS Tools. KANBAN Boards, Site Vitals, etc.

13. FM Enablement: Being comfortable with the Uncomfortable • Agility • Adapt • You don’t need to know everything – know what you don’t know – and know someone or somehow that can solve the challenges with, and for you. • Focus on your strengths & place yourself where your strengths deliver performance and results. Be agile enough to take all the information, assimilate it, and put your best judgment forward. But also be humble enough to recognize that you may have to adapt down the road and communicate, when you express the strategy, what you’re looking at. That way, if you have to come back and adapt, you’re not seen as changing your mind so much as adapting to the external environment

14. FM Enablement: Great facilities managers are able to execute in the present and adapt to the future. Enduring principles and models also address the challenge of being simultaneously excellent doers and thinkers. Executing FM processes and adapting appear to be irreconcilable opposites, and the empirical data suggests that most companies are destined to favour the former over the latter.

15. FM Enablement: The importance of FM authenticity • When it comes to being an FM authority it starts with content. • Strike a balance between confident and assertive, while helping clients realize ‘here are the risk factors’ • Be the trusted FM advisor - the safe pair of property hands • The more you convey that inner sense of integrity, that inner sense of authenticity, then your clients and colleagues will give you the benefit of the doubt that if they have to change, its not because they’ve changed their mind. Its driven by circumstances in the world that have changed their mind.

16. SUMMARY The ‘F’ in the FM is now a prerequisite – and a base line. More ‘M’ please. Organisations want planners AND deliverers. • Throughout the organisation, customers are seeking alignment of demonstrated capability, professionalism and experience from there (more agile) facilities professionals. • Successful FM professionals, within agile organisational models intuitively understand the demands of their customers and anticipate in advance, opportunities for continuously adding value to their customers bottom line. They translate – process and demonstrate. Everyday. • Create linkages with your customers so you become tightly bound so that you withstand the usual internal politics, market variables, staff changes, and other pitfalls and, continuously deliver enhanced value through collaborative service delivery processes that drive the organisations Total Cost of Ownership (TCO) down, and value up. BE DISTINCT – OR EXTINCT