UK food retailer brings outsourced FM services back in-house

August 2, 2002—UK food retailer, J Sainsbury, has radically changed its approach to facilities management. The company has brought sub-contracted FM services back under direct control, developed an in-house team and appointed a managing agent for some activities.

The change is expected to deliver both quality improvements and cost savings through exploiting Sainsbury’s buying power. The in-house FM team worked with consultancy Edifice (formerly Summit Support Services) on the definition and procurement of a new style of facilities managing agent contract.

Sainsbury’s head of facilities management and property services, Richard Gardiner, said: “By combining direct contracts, an in-house team and a managing agent with liaison and auditing responsibilities, we have chosen an innovative balance of responsibilities to meet our facilities management needs. In doing so we are now able to capitalize on the buying power of one of the largest retailers in the UK. Utilizing Edifice’s expertise, we are confident that both the contract and supplier selection process will deliver value to our business”.

The FM managing agent, believed to be Aqumen, will handle certain aspects of the direct contracts, including reception and help desk. Edifice identified all potential bidders; specified service requirements, ran the tender process and managed implementation.

MITIE Managed Services has been providing FM for Sainsburys headquarters portfolio since June 2000 and after working with the company on facilities solutions for the new Holborn headquarters was awarded a five-year facilities management contract, worth 30m.
—Richard Byatt
     Reprinted with permission; copyright 2002 i-FM

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