Category: Connexus Magazine

Address technical and soft skills to create the most effective workforce.

Most people don’t start out planning a career in facilities management. They often come to it after working in a trade industry, starting out in a restaurant or retail facility, or even from other departments to take advantage of greater opportunities. For this reason, training employees to develop the varied skills needed in facilities management is a critical role for successful FM operations.

“The type of people in FM departments is very different today than years ago,” said Phil Donahue, Facilities Manager for Staples, Inc. “We used to hire people who retired from the trades, but it is more of a help desk environment today, which requires different skills.”

Differences in age also require a thoughtful approach to training, said David Magill, SVP of Program Management at Ferrandino & Son. “We don’t train people differently, but we know younger employees who may only have a few years’ experience are more fluent with technology and comfortable with communicating via email, and tenured employees are more comfortable with verbal communication.” The ideal training strategy is to combine the strengths of both groups, so each can handle electronic as well as verbal communication – and understand when each is required.

Staples’ FM department’s training program for new employees includes training on the work order system, and then on-the-job training with the support of designated veteran employees, explained Donahue. “Our people handle calls about everything from landscaping to HVAC issues, so it is difficult to develop a formal program to cover everything. New employees shadow an experienced employee while they learn the work order system, and then they partner with someone who can answer questions and provide guidance as they begin handling calls.”

Because everyone has different skills and different skills gaps, training is more personalized rather than prescriptive, Donahue said. “Some of our people have been here a long time and had to learn how to navigate Excel, while others picked up on it quickly,” he said. In-house software-based training programs and remote training via webinars are also available to employees who want to learn more about topics such as customer service tips, organization skills or communications strategies.

Not all training has to be formal, Donahue pointed out. “At monthly staff meetings, we discuss topics that help people improve the way they do their job, but we also discuss ‘aha’ moments to share stories about how we’ve diffused tension with an unhappy store manager, or solved a difficult problem,” he said. “Everyone handles so many different types of situations. This sharing helps the group learn how to handle something if they should encounter it.”

At Ferrandino & Son, training is a priority, as evidenced by the hiring of a full-time, in-house training manager three years ago. “The training manager provides ongoing training and education to all our employees as well as supplier employees,” Magill said. “Every new employee completes a two-week onboarding program during which they learn the work order system, company organization and communications strategies for customer service.”

There are also trade-specific breakout sessions led by in-house subject matter experts (SMEs). These in-house SMEs also serve as ongoing teachers and troubleshooters for the company, Magill said. “For example, our plumbing SME is a master plumber with more than 30 years of experience.” These SMEs not only share information during new employee sessions, but also consult with employees when they encounter unusual or difficult-to-solve problems.

New employees receive refresher courses throughout the year, and there are opportunities for management and product-specific training as well, Magill said. “We offer our training to vendors – onboarding to teach them the work order and reporting system and the invoice process.” The benefit of training vendors, especially customer-specific training for new vendors, is increased understanding of service expectations, scope of work and fewer issues throughout the relationship, he explained.

Strengthening 
“soft skills” critical

While understanding the technical aspects of an FM position – work order system, supplier management program, basic knowledge about different trades – is important, the most difficult skills to develop in an employee are considered “soft skills.” The ability to communicate with customers, assume responsibility for getting the job done, juggle multiple tasks at one time, and effectively solve problems may come naturally to some people, but few excel in all areas without ongoing education.

Technical knowledge of different trades is not necessary, Scott Reyes, CEO of Envoy Facilities Management said. He typically hires former retail and restaurant employees who don’t understand how things get fixed, but they do understand the retail and restaurant business, so they understand how a non-working HVAC system or oven affects business.

Emotional intelligence is one of the most important skills needed in employees, Reyes said. “They need to be empathic and understand they are not here to fix things, but they are here to help people,” he explained. Ongoing education that helps employees learn how to express empathy and how to relate to customers as they help solve their problems is important, he added.

“Problem solving at all levels is also a critical skill,” Reyes said. “We teach employees how to actively listen to customers, how to use structured questions to get at the root of a problem, and how to evaluate options to address the issue.” With the fast pace of most FM departments or FM providers, the ability of every employee to make decisions and solve problems on their own ensures speedier resolution of customer problems, he pointed out. “If employees have to constantly bounce ideas off co-workers it takes longer to help customers.”

The FM of today and the future will also need to be a strong negotiator, Reyes said. “This isn’t about negotiating a contract. This is about the day-to-day negotiations that are part of our job.” For example, what tactics can be used to persuade the HVAC repair supplier to go to my customer’s site next? An FM employee who cannot negotiate and persuade is highly ineffective. Negotiation skills will increase in importance as the deficit in skilled labor continues to grow and FMs must compete for time and attention to their clients, he added.

Reyes’ company has invested in LinkedIn Learning as the foundation for ongoing employee education. “We have a series of courses all employees must take, but after those are completed, employees can take other courses that will help them develop skills for the job,” he explained. Envoy employees have 30 minutes every week during their workday to take a LinkedIn course. The ongoing, weekly expectation that employees will take time to focus on skill development creates a habit of ongoing learning, he added. “Employees can also access LinkedIn for courses not related to their jobs on their personal time.”

“We have had some people take video-editing and photography courses.”

Another creative way to promote learning and discussion of how to improve communications and relationships with customers and vendors, is the company book club. “We meet every Thursday for 30 minutes before work to talk about the book. We read one chapter each week,” Reyes explained. “We buy the book for everyone in the company, but participation in the Thursday meeting is voluntary. Participation is usually about 50 percent of the company.” Books read have included “Extreme Ownership: How U.S. Navy SEALs Lead and Win” and “Linchpin.” Topics include leadership, relationship building, perseverance, decision-making and problem-solving.

As technology increases in importance to the FM’s job, there will always be a need to offer robust training on systems, applications and devices used to improve the FM department’s ability to meet customer needs, but Reyes also pointed to the importance of training to retain FM employees of the future.

“We need to make sure our training programs develop the mental and emotional toughness FMs need today and in the future,” Reyes said. “Younger folks find it easy to give up and change jobs if the work is too stressful.” A focus on continuous learning helps employees handle tough situations, accept constructive feedback and develop professionally results in a more confident employee who is more likely to stay with the company, he said.

Be sure a training and education program results in employees taking action in their jobs – making decisions, finding solutions, seeking help when needed on technical issues but not overthinking things, Reyes suggested. Learning can be a form of procrastination as people try to learn everything they think they need to know before tackling the job, he said. Make it clear that everyone learns from “wins” and “mistakes.” He added, “Design a training program so that everyone knows: Here’s what we learned, now let’s apply these lessons.”

By: Sheryl S. Jackson

Tips and insights from Sarah Sladek, CEO of XYZ University

If you haven’t started adjusting your leadership tactics to fit millennial workers, you’re already behind the curve. In 2016, millennials officially became the majority in the American workforce, with more than one in three American workers between the ages of 18 and 34, according to a Pew Research Center analysis of U.S. Census Bureau data.

Millennials are bringing an entirely different set of values and expectations to the office, which are posing some unique challenges for employers. For one, these young workers rarely stay in one position for very long. In fact, 66 percent of millennials expect to leave their current positions by 2020, and only 16 percent of millennials see themselves with their current employers a decade from now, according to The Deloitte Millennial Survey.

Of course, these are just a few figures pulled from an avalanche of studies and statistics available about this generation. “I think there’s a certain amount of millennial fatigue that’s out there,” said Sarah L. Sladek, best-selling author, speaker and CEO of XYZ University. “Many people think the millennial focus is way overblown. But there’s a reason why millennials are the largest generation globally, the largest generation in history, and the largest percentage of our workforce. This should be reason enough to pay attention to the demographic that’s now influencing everything from business decisions to consumer spending.”

Sladek founded XYZ University in 2002 when she was 30 years old. What started as a one-woman-show has grown into the leading consulting firm on Generations X, Y and Z. Over the years, her team has studied demographics, economics and pop culture, conducted industry and workforce research, and helped hundreds of organizations better understand the millennial generation.

So, why is it so important for business managers to take time to research and understand millennials? “The leaders who don’t take the time to understand and be in relationship with younger generations are missing out on key information and relationships essential to moving their organizations forward,” Sladek warned.

A Different Breed

Millennials are extremely different from prior generations, which is why managers cannot use old-fashioned leadership tactics with these employees.

“They are the first generation to be raised using technology and the first in over 70 years to come of age during a recession,” Sladek pointed out. “They were raised by the wealthiest generation in history, yet they are currently the most debt-ridden generation in history.”

She adds that millennials were the first generation of children rewarded for participation and not achievement. They were also the first to experience “school shut down” drills in the shadow of terrorism and school shootings. “Millennials have been shaped in radically different ways in a radically different world,” she emphasized.

For Millennials, It’s Personal

Sladek explains that millennials experienced a rocky transition from college to career thanks to the recession. “As a result, they are desperately seeking opportunities to further their careers,” she added. “Millennials will quickly disengage if they feel there is no room for growth or limited opportunities to learn or lead.”

However, the recession also taught millennials another tough lesson: Hard work doesn’t always pay off. “They watched parents and relatives lose their jobs and their savings,” Sladek remarked.

To further complicate matters, this generation does not view work as a destination with defined hours. “This tech-raised workforce doesn’t ‘shut off’ work the minute they leave the office, so to them, work really is part of their lives,” she explained. “It’s personal. They don’t just want a job – they want to feel valued and challenged and have close relationships with their co-workers.”

So, what’s her advice to floundering managers? “If you’re struggling to manage them, ask them to give the management team feedback or put them on a management track,” she suggested. “Your organization has to find a way to stay relevant and engaging to the future workforce – and we’re not going backward. Change will continue to happen. The sooner you listen and adapt to the needs and interests of the changing workforce, the better.”

By: Amy Bell

The HOW-TO on setting up your own mentorship or apprenticeship program

For companies trying to address the skills gap, do in-house training options work? Retail Store Maintenance spoke to two companies that have explored mentorships and apprenticeships with great results.

When Justin Shannon was hired as Maintenance Coordinator at The Fresh Market, Inc., he was charged with developing an in-house mentorship program, which operates 180 stores. Based in North Carolina, his schedule now includes travelling to work one-on-one with regional maintenance coordinator mentees in other cities.

“It starts out heavy the first few weeks, with a lot of hands-on training. Then they’re more on their own. I’ll spend a week with them once a month for more in-depth training on paperwork and project work,” he said.

Besides bringing new employees up to speed quickly, the program lets mentees make suggestions and discuss their own approaches to daily tasks and problem solving. “I might learn a better way, a faster way to do something from them, so it works both ways,” he said. “You’re a mentor, but any time you’re interacting with a person, you’re learning something, if you’re doing it right.”

And the mentees like the process. “The training I received was informative and productive. It was hands-on and well organized,” said Teri Newman, one of the Regional Maintenance Coordinators who has gone through the program.

“Justin had it structured and well organized; the time and up-front prep work Justin had done made a big difference in the quality of the training,” said another mentee, Andre Mailliez. “The fact that Justin was doing the job currently allowed him to be the subject matter expert and make it very relatable to your situation.”

While Shannon himself was being trained, he kept a notebook to keep track of details. “My boss noticed that and said, ‘That’s a great idea; Is that something we could standardize for your position?’ So my notebook turned into the training manual,” he said. “It started out as a quarter-inch binder and now it’s about two inches thick – a couple of hundred pages.”

The manual is constantly being updated with new information, including feedback from the mentees. Beginning with such simple material as a daily schedule template and vendor contacts, it eventually evolved into “step-by-step instructions for everyday tasks and detailed descriptions on troubleshooting the equipment we have,” Shannon said, noting that “the book pays for itself and the time it took me to make it.”

In fact, since implementing the mentorship program, “we have been able to drastically reduce our maintenance spend. We prevent work orders from happening by providing the source troubleshooting; by reviewing quotes and invoices, we’re reducing costs,” he said. “The store managers were responsible for sourcing their own vendors, calling their own vendors – they were responsible for their own budget. Now we’re taking that out of their hands.”

His top advice? “Be open to who you’re training. Everybody’s different, so something that works for you might not work for somebody else.”

Mentorship is one approach; in the technical trades, a second option is a formal apprenticeship. This is the route chosen by CMS Mechanical Services, which manages facilities asset management and HVAC/R services for numerous large and small retailers across the country.

Although most apprenticeship programs are federally accredited, some are not. “We are in the process of getting our program set up though the Federal Department of Labor,” said CMS Vice-President David Grzech.

“Manual labor has become less popular with younger people entering the workforce in HVAC, probably even more so. CMS Mechanical has been really lucky in that the skills gap that has impacted so many other trades, has not affected us,” Grzech said. “You have a large number of people retiring and only a small number coming in.”

“At CMS Mechanical, we’re able to use the variety of skills we have in our multi-skilled workforce in training apprentices on all aspects of HVAC/R,” Grzech said. CMS Mechanical’s Apprenticeship Program provides high school students and trade-school graduates the opportunity to determine if a career in HVAC/R is right for them as an alternative to the traditional college route where students can amass huge debt. “The candidates we look for need to have the right attitude and aptitude to be selected in the program,” he added. “These young workers see the value in getting no-cost training while they earn their pay. We also have internal employees who started at CMS as maintenance technicians or other positions that are looking to advance their career in HVAC/R through the Apprenticeship Program.”

A year into the program, most candidates are thriving. “The opportunity of a lifetime” is what Apprentice Graduate Daniel Flohr called the program. “It took hours of hard work, but it is something I would do all over again. It gave me the skills and the knowledge to succeed in the HVAC/R industry. It is also a skill no one can take away from you. This past year was just the beginning for me in what it means to me to be a technician. In addition to the Apprenticeship Program, there will be another two years of advanced training and goals to meet.”

“The Apprenticeship Program is awesome. I wish I could have trained like this,” said trainer Mikkel Moon. “To learn from a book while applying it in the field really helps speed up the learning curve on a daily basis.”

Grzech says anyone establishing an apprenticeship needs to consider several necessary criteria, including top-down commitment from all levels of the business and, of course, the cost. “You have to have the financial resources and a reasonable amount of time.”

Apart from the other advantages, “I get personal satisfaction,” Grzech said. “It’s a good way to go out there and get people into a decent paying job without a huge investment.”

“It’s personally very nice to know that you helped develop somebody and helped further that person’s career,” Shannon said. “It’s a good feeling.”

By: Sarah B. Hood

Men and women who have served their country offer skills their civilian counterparts can’t match, making them an excellent fit for the fast-paced, demanding environment of facilities management.

“When you hire a veteran, you hire somebody who is highly trained and easily trainable and who has leadership capabilities,” said Brian Foster of the Paint Folks, a PRSM member. Foster, a veteran himself, now chairs PRSM’s Military/Veteran Hiring Partnership Program Committee.

Service veterans can perform under pressure and are accustomed to working on a team. They’re able to think outside the box to develop creative solutions, but at the same time they understand the importance of following directions. “If you tell a veteran, ‘We need this and this and this, and it needs to be done this way all the time,’ they will do it,” Foster added.

Veterans have a great deal of integrity and self-responsibility; they commit and take pride in themselves, their work and their team.

Foster explained that the U.S. military helps young people develop skills and assume levels of responsibility people outside the service may not gain for many years.

“The military takes an 18-year-old fresh out of high school, or a 22-year-old fresh out of college, puts them through six to eight weeks of military basic training, and sends them to a technical school that lasts from 30 days to a year to teach them their career field. Then, in some cases, you have a 24-year-old flying a multi-million-dollar jet or an 18-year-old who is responsible for making sure a ship or a submarine is running. It’s an enormous responsibility, but they are trained for it,” he said. “Where else are you going to see that? You don’t see a company hiring a high school kid and putting them in charge of a multimillion-dollar operation.”

Many companies today look for employees with college degrees, but veterans have real-world experience with responsibility that no college degree can replace, Foster added.

Hiring disabled veterans

Companies in the facilities maintenance industry shouldn’t overlook another valuable resource – veterans who have been disabled during their service.

SourceAmerica has more than 1,200 partners nationwide providing products and services that help people with severe disabilities, including disabled veterans, find work. It contracts with federal government agencies and commercial and retail sectors for jobs in everything from facilities maintenance and administrative services to call centers, IT services and supply chain management. SourceAmerica is the prime facilities maintenance contractor for public works at Ft. Knox. One of its non-profit agency subcontractors there performs general facilities maintenance repairs for plumbing, electrical, mechanical, buildings and structures and roads and grounds work.

Approximately 20 to 25 percent of people SourceAmerica and their nonprofit agencies are able to assist are disabled veterans, said Todd Bennett, former director of FM Operations at Ft. Knox, now working in regional operations in the FM program for the organization. “When we’re out recruiting, we look first for veterans and for people who are just coming out of the service.”

The organization works with the disabled individuals to assess their capabilities and then find the right placements for them. While an individual who has lost an arm may not be a good person to handle service orders, they might be an excellent fit for a call center position or a data analytics task where it’s all desk work. “These are people who are dedicated and who want to work,” Bennett added.

The majority of former service members who work with Source America usually start as a government contractor at first. But the goal is to have them graduate into private sector employment. Employers can help with this effort. For example, at Ft. Knox, Source America established an approved Department of Labor apprenticeship program that helps the person with a disability gain additional skills. “Two of our people in the program were disabled; they graduated and are now working in the public sector, getting paid competitive wages,” Bennett said.

Finding job candidates

The PRSM Task Force has been looking for ways to make it easier for people who have completed or will soon complete their military service to find jobs within the industry. They are working with the team redesigning the PRSM website to develop a section dedicated to helping veterans find jobs with retailers and suppliers. Through this special section of the PRSM website, veterans will be able to respond to job openings posted by PRSM members and will be able to post their resumes as well.

The Task Force is also working to identify organizations that help veterans find jobs so that they can spread the word about the PRSM job site for service veterans. It’s a big task, however, because the committee members are finding in addition to the larger organizations like SourceAmerica, Wounded Warriors or Hire a Hero, there are many local organizations who take on this task in their own communities.

Bennett suggested any company that would like to hire more veterans can start by seeking assistance from the local veterans’ organizations. If there are military bases in their area, the companies can contact the out-processing office the base provides for those leaving the service. Businesses may be able to post job openings with these offices and participate in job fairs they hold.

Bennett also noted the government does offer some tax incentives to companies who hire disabled veterans, such as the Work Opportunity Tax Credit (WOTC). Grants and funding are also available for employers and non-profit agencies who want to develop an apprenticeship program through SourceAmerica or one of its non-profit agencies.

Companies may seek to hire veterans because they want to honor their service and their commitment. “The veterans gave to their country, and it’s a way for employers to give back to them,’ Bennett said.

But facilities management companies and other businesses should also realize they’re gaining much more, Foster said. “When they’re hiring a veteran, they’re hiring someone who is a genuine leader and who will be a great benefit to their company.”

By: Mary Lou Jay

The skills gap is a real and costly issue that impacts virtually every PRSM retailer and supplier. A shortage or lack of skilled employees drives up labor costs, which drives up retail costs. There are simply not enough skilled workers available. While long-term solutions are being developed, PRSM Education programs help bridge the gap.

“If a PRSM member company has employees who need training, PRSM is a great place to start,” said Kip Eads, VP of Professional Development at PRSM. “PRSM can provide the training your employees need to get started in their FM career, or to take it to a whole new level through our RFMP (Retail Facilities Management Professional) program.”

Members have access to a wealth of online resources that can bridge the knowledge gap, whether it is for your organization or for yourself. PRSM’s goal is to provide committed, dedicated retail facility maintenance professionals with basic technical trade knowledge that is valuable in the marketplace.

Retail Facilities 101 is just one of the programs offered to educate members. The program includes a comprehensive curriculum of specific and practical trade classes focused specifically on the multi-site retail facilities environment and taught by subject matter experts.

The 10 topics include basic lighting maintenance, HVAC, electrical, plumbing and much more. This program was created for FM professionals who need to increase basic knowledge in a specific trade, individuals transitioning into the FM profession, or young professionals entering the field. At the end of the course, individuals complete an evaluation and receive the Retail Facilities 101 Certificate.

“This is a great program for anyone who is not familiar with the trades to help them become more effective in their careers. Retail Facilities 101 is even beneficial for other departments who work with facilities managers. It helps them understand the industry, terms, and basic concepts.” Eads said.

PRSM’s flagship training course is the RFMP Study Program. It is a comprehensive program that covers essential concepts required of a professional in retail facilities management. A series of eight classes provides more in-depth industry education and helps individuals prepare for the RFMP exam. Those who successfully complete the exam receive the RFMP designation.

The RFMP designation is held by leading retail facility management professionals, and was created to elevate industry standards and enhance individual performance. RFMP candidates can immediately use knowledge gained in the classes in their daily work.

“The Retail Facilities 101 courses provides foundational trades training, while the RFMP study program elevates that knowledge to showcase facilities management and the trades our members manage,” Eads said. “This program prepares you to be a well-rounded facilities manager, and adding the designation to your expertise shows you as one of the respected leaders in the retail FM industry.”

Also available to members are live and on-demand webinars that explore a wide variety of topics. There are nearly 150 on-demand webinars presented by subject matter experts with years of knowledge and expertise. Webinars range from implementing green solutions, to disaster recovery, to interacting with workers within supplier companies.

In addition to the educational programs, PRSM also provides a variety of resources to help close the gap further.

Benchmarking reports offer an objective resource of information and data that can be used to validate your own data. They can also be used to compare your business practices to other, similar organizations with facilities management functions. Reports range from snapshots to in-depth analyses of industry KPIs and aggregated data, all of which is secure, valid, confidential and trustworthy.

Reviewing Best Practices is one of the best ways to learn about solutions and how they can be implemented successfully. PRSM creates an annual Best Practice Book written by working FM professionals who want to share their experiences and lessons learned. With more than 300 topics available, these papers are great tools to educate and inform you about what other industry professionals are doing along with their successes and failures. The topics are available for individual download, or can be downloaded as a full book.

PRSM White Papers provide solutions to common FM issues and challenges, and are written by experienced industry consultants and professionals. These comprehensive reports cover everything from managing supplier relations to snow and ice management and are available to download from PRSM.com. White Papers are great resources for not only younger professionals, but experienced ones as well.

Other PRSM resources include tools and templates designed to simplify your day-to-day tasks, trends reports which monitor current or future trends in the FM industry, and the X-Change forum where PRSM members can ask questions and receive answers from other members about industry-related topics.

Regardless of where you are in your career in the facilities management industry, PRSM has the tools you need to bridge the gap and succeed. For more information about the different educational programs and resources PRSM offers, visit prsm.com.

By: Kendall Carlson 

Achieving Zero-Energy in Retail Spaces

The retail sector is the second-highest energy consumer among U.S. commercial buildings, responsible for 25 percent of energy used despite representing only 16 percent of commercial floorspace.

This represents a significant energy and cost-savings opportunity for retail owners, operators and tenants. Market conditions for zero energy are ideal: there are numerous cost-effective opportunities for energy efficiency in retail stores and prices for renewable energy have plummeted. The cost of solar now averages 10-12 cents per kWh, in line with the average electricity rate.

Some retailers are pursuing this opportunity aggressively, pairing energy efficiency measures with onsite renewable energy to approach or achieve zero energy.

Zero Energy and DOE’s Better Buildings Alliance (BBA) offers technical assistance and peer networking for commercial building energy professionals. Through BBA, retailers can participate in Technology Research Teams and share best practices for reducing energy use in specific building systems, including HVAC, lighting, and energy management. The Renewables team helps partners make informed wind solar and storage decisions with resources like the On-Site Energy Storage Decision Guide. For more information on ZEBs and how BBA supports retail partners, visit the Better Buildings Solution Center, where Alliance partners share their best practices.

Retail pharmacy giant and Better Buildings partner Walgreens combined several energy-efficiency and renewable-energy measures in the development of its first zero-energy designed store in Evanston, Illinois. It features LED lighting, ultra-high-efficiency refrigeration, solar panels, geothermal heat pumps, wind turbines and more. Walgreens plans to use lessons learned at this store in the design and construction of efficiency programs across its portfolio. For example, Walgreens began retrofitting exterior lighting with LEDs in 2017 and incorporated LED fixtures in new store design criteria.

Regency Centers, national shopping center operator and Better Buildings partner, has implemented a solar power purchasing agreement, or PPA, at several locations. Regency installs and maintains a solar array on the shopping center rooftop, offering tenants the option to purchase up to 80 percent of their historical energy use from the array. By selling power to the tenant, Regency recoups its investment in the system. Keli Tiffany, Director of Utilities at Nordstrom, a Regency tenant, says the arrangement is a smart investment decision for them as well, since including solar in their energy portfolio provides insulation from fluctuating utility rates. The solar purchases also reduce Nordstrom’s impact on the environment.

In Spring 2018, the Better Buildings Financing Navigator will debut new financing products tailored for renewables projects. As the retail market evolves, keeping a trim profile is more important than ever. Moving towards zero energy can increase NOI and make a cleaner, leaner business.    

 

1 U.S. Energy Information Administration Commercial Buildings Energy Consumption Survey (CBECS) https://www.eia.gov/consumption/commercial/

2 Lazard’s Levelized Cost of Energy Analysis https://www.lazard.com/media/438038/levelized-cost-of-energy-v100.pdf

Alison Berry is a sustainability consultant at JDM Associates supporting the U.S. Department of Energy’s Better Buildings Initiative.

Image from the U.S. Department of Energy Wind Turbine at Walgreen’s Evanston Store

Will retailers soon add the title of Energy Advocate to their name? The answer may increasingly be yes.

An ever-growing number of cities and corporations are looking at their building portfolios as key pathways to boost bottom-line cost savings. They also want to improve the health of their employees, contribute to reaching sustainability goals, and positively impact their company brands. One such venue through which retail sustainability managers, energy managers, facility managers, and more can become involved is the City Energy Project (CEP). CEP is a national initiative that works  with 20 U.S. cities to catalyze energy efficiency improvements in public and private buildings. A joint initiative of the Natural Resources Defense Council and the Institute for Market Transformation, CEP is designed to break down traditional barriers to efficiency investments. CEP works to improve access to supporting data, eliminate incentive misalignments, and increase the availability for needed capital.

Participating CEP cities work to create and deploy custom efficiency strategies that drive energy improvements in the local real estate market. These policies and programs offer many opportunities for PRSM members to engage locally on energy- and water-efficiency initiatives and contribute to the development of national best practices. PRSM members are encouraged to engage with relevant cities on the energy- and water-efficiency initiatives under way. Involvement can range from participating in challenge programs or advising on local policies and better understanding how to meet compliance requirements. Using local financing options to invest in energy efficiency efforts and attending local trainings on new technologies and techniques to reduce energy use. For example, under the CEP, San Jose hosted a workshop last month to discuss zero net energy strategies for existing buildings. For more information on this specific training, visit www.newbuildings.org/existing-building-workshops.

The CEP looks forward to exploring ways PRSM and its members can engage with the project and its participating cities to unlock continual savings. In the interim, to learn more about the program and the individual cities involved, visit 
www.cityenergyproject.org.  

CEP is a national initiative that works with 20 U.S. cities to catalyze energy efficiency improvements in public and private buildings.

PRSM members are encouraged to engage with relevant cities on the energy- and water-efficiency initiatives 
under way.

Tips on making the best HVAC decisions

When it comes to the cost of doing business, heating, ventilation and air conditioning (HVAC) ranks high on the scale. It’s a specialized area, and one that’s in constant flux as innovations like LED lighting and the phase-out of R-22 refrigerant changes the landscape. For retailers, building relationships with trusted suppliers is a critical way to control expenses and make sure costly systems are being properly maintained.

How does one evaluate a prospective supplier? Ron Prager, COO of Brinco Mechanical Management Services, Inc., said the supplier’s references are still vital. The retailer has to “understand who these references are and actually take time to speak with them.”

Shirley Culman, Vice President of Facilities for Burlington Stores, said “the most important thing for me to understand about a supplier is how they plan to strategically manage a program.” It’s not enough to be reactive; decisions about whether to repair or replace equipment should be part of an overall plan. “A supplier needs to understand the organizational structure and objectives of the retailer and how they can best support the facilities manager,” she said.

When evaluating vendor performance, it can be difficult for the retailer to evaluate how well the HVAC units are being cared for. “One big-box retailer has their facility managers visit each site every year. Among other things, they also review the quality of HVAC maintenance,” Prager said.

When reviewing the cost of maintenance and repair, Prager cautions that comparisons used in benchmarking against other retailers must be weighted based on several variables such as use of EMS systems, set points, and equipment age and hours of operation, as these can have a major effect on R&M costs. “One key performance indicator for management of repair cost is cost avoidance,” he said.

“The difference between the initial quoted repair cost and the amount the retailer pays on the final invoice demonstrates due diligence,” Prager said. “In a relationship where the vendor is providing essential emergency service, it is imperative both parties understand the retailer’s expectations and the vendor’s ability to fully meet those expectations. We are partnering to provide a comfortable environment for shoppers and store associates, and to minimize system failures.”

When considering unit replacement, multiple expenses must be evaluated to estimate anticipated cost savings. Culman looks at energy costs from the preceding year (taking seasonal variations into account) and repair spend over a three- to five-year period, compared to the projected spend with new equipment.

When a retailer is considering a Net Zero Energy location, (where the site produces as much energy as it consumes), “we need to understand our own company’s energy objectives versus the cost of various energy saving options,” Culman said. “We need to be cautious about jumping onto new technology bandwagons.”

“This truly is a marriage,” she said, “so if you can develop a good professional rapport and chemistry with a vendor, it is very beneficial to your company, to your stores and I think to the vendor as well.”  

Ron Prager

Shirley Culman

Top five considerations when buying or replacing HVAC equipment:

1. Lease term and planned use changes.

2. Building condition and current energy needs. (“The structure should be evaluated by a Licensed Professional Engineer,” said Prager.)

3. Condition of the equipment at a site in relation to the balance of your fleet, as well as store performance.

4. Future contingencies. Better access to equipment can lower future maintenance costs. Build in redundancy to prevent total system failure. (“Should the current system be replaced like-for-like or re-engineered to a different system?” Culman asked.)

5. Internal and external stakeholders: energy or sustainability group, design team, construction team (and of course the landlord.)

By: Sarah B. Hood

Despite recent declines in the U.S. retail industry, Canada is seeing growth in the sector, with retail companies continuing to expand their footprint across the Canadian market. As rapidly changing customer expectations continue to evolve, FMs are faced with challenges in the ever-changing retail environment. At PRSM’s Canada East and Canada West conferences, attendees learned how to confront those challenges head on.

PRSM members from across Canada packed the Canada West conference in Vancouver and Canada East conference in Toronto. Both mornings kicked off with Bill Yanek, PRSM CEO, welcoming attendees and opening the general session.

“PRSM efforts across Canada continue to grow, as do our two seminal events Canada East and West,” said Bill Yanek, CEO of PRSM.

Keynote speaker and facilitator Jennifer Spear got attendees to think faster, lead smarter and act now with her presentation about leading through change. She emphasized the importance of creating opportunity in the face of uncertainty, and how to act swiftly and effectively to innovate without fear. Attendees laughed at the improv-based challenges, and learned how to problem solve in the process.

“This was a great opportunity to connect with new and existing partners, with interactive speaker Jennifer Spear encouraging us to work together through the changes in our industry,” said Annabelle Martensen, Facilities Specialist at Saje Natural Wellness.

Other attendees raved about Spear’s presentation as well. “PRSM Canada guided us to lead through change unscripted,” said Barry Crystal, Vice President, Retail Construction and Maintenance Division at Direct Construction Company Limited. “Jennifer Spear was an excellent keynote speaker and facilitator that actively engaged everyone in attendance.”

During the networking luncheon, attendees listened to award-winning guest speaker, Mandy Rennehan, Blue Collar CEO and Founder of Freshco, as she dove deep into the issues surrounding the skills gap.

Rennehan discussed how not only is the skills gap impacting the retail facilities management industry, but Canada as a whole. She highlighted initiatives taken to narrow the skills gap, as she inspired and mobilized PRSM members to help reverse the trend.

Attendees also participated in PRSM’s fan favorite Retail Quick Connect session, where retailers and suppliers networked in a “speed dating” type of setting. Conversations and connections continued throughout the closing reception.

After two successful conferences, PRSM members and staff are already excited for future PRSM Canada events, especially Yanek. “Whether East or West, PRSM Canada is ending 2017 on a high note.” 

By: Kendall Carlson

David Acquaviva

Divisional Vice President, Procurement, Sears Holdings Corporation

How long have you worked in facilities management?

I’ve been with Sears Holdings Corporation for 29 years and in Procurement for just under 12 years where one of my responsibilities is the facilities portfolio. This includes facilities management and procurement for all Sears Holdings Corporation brands such as Sears, Kmart, Sears Home Services, Sears Automotive and Innovel.

Why were you interested in FM as a career?

The portfolio allows me the opportunity to see tangible and immediate results. It irritates my wife when we go shopping. While she is shopping, I am looking at who made the shopping carts or what type of flooring is used or the logos on the housekeeper’s uniforms. This is why Procurement with a FM portfolio as a basis is exciting. It allows for the ability to acquire the best ideas from the marketplace/physical locations and apply those applications to your individual portfolio of stores. 

What is the most interesting FM task you have been asked to do?

From a procurement standpoint, the contractual elements are the most interesting aspect of the job. Depending on the business climate of the respective retailers, the goal may be consolidation or diversification of the supplier base in a particular portfolio. I enjoy the challenge of negotiating and finding a solution that works well for people on both sides of the table.

What are the main benefits you get from being a PRSM member?

Interaction and education. On the interaction side, you don’t realize how many suppliers that you collaborate with until you’ve been in PRSM a couple of years. It’s amazing how many suppliers in the group are now suppliers for Sears Holdings Corporation. The other side is education. Every time I go to a PRSM event, I walk away smarter. 

What PRSM committees have you served on?

I have been in the Sourcing Committee for several years. This year, I am a member and previously I have also held the position of the Retail Chair.

What advice would you give to someone entering the FM industry?

Be ready for 10 different things in a 10-hour day. Whatever you plan that morning, plan on it changing. You have to be willing to jump around here, there and everywhere. Also, the relationship between procurement and facility management is key. Neither one can live “in a bubble” and both teams need to collaborate on a daily basis.

What do you see as the biggest challenges to the retail FM industry and why?

Systems integration appears to be a large challenge. Many new products are being introduced to the marketplace and the IoT (Internet of Things) allows the retailers to become more educated on the day to day actives that were overlooked in the past. The challenge is to integrate these systems into our current infrastructure.

Kaitlyn Gibson

Owner, Fusion Mechanical Services, LLC

How long have you worked in Facility Management?

I’ve been working on the service provider side of facilities management for about 10 years. It all started with an opportunity to intern in the accounting department at an HVAC/R company while attending college. I had a great boss and mentor who fostered my professional growth by allowing me to be involved in many parts of the business. 

Why were you interested in FM?

My father owned his own business building and repairing residential houses, so I was surrounded by various trades throughout my childhood. Once I was introduced to Commercial HVAC during my college internship I knew I wanted it to be my focus.

What are the main benefits you get from being a PRSM member?

I’ve found that the biggest benefit of being a PRSM member has been the networking. I’ve had many opportunities at the PRSM conferences and local PRSM events to network with current and potential customers as well as other vendors. The relationships I’ve built at PRSM have led to great business opportunities and allowed me to grow professionally from the knowledge and insight of other service providers. 

What advice would you give to someone entering the FM industry?

Get involved. Learn from customers, vendors and industry veterans who’ve been working in facilities or in the trades. Remain engaged. Stay on top of latest trends and changes taking place in our industry. 

What do you see as the biggest challenges to the FM industry and why?

The biggest challenge facing our industry is the workforce shortage. As the workforce is aging and retiring, less young people are becoming involved in the trades. I recently attended a HVAC course at a local technical school and there were only eight students in the class. As a business owner thinking about future hiring that was concerning. It will be imperative to promote careers in the trades to grow class sizes at the technical schools. It is also important to foster the development of junior technicians in order to replace and expand the current workforce.