Upstream - The Newsletter of Incentive FM Group

From Jeremy's point of view

BIFM Industry Award
I think the highlight of our financial year so far and since our last newsletter in the summer must be our BIFM award for our work at Covent Garden in London for Capco plc, indeed it’s our cover story for this issue of Upstream. We have entered these independently judged awards for many years and in the case of the start up team at Incentive, we even had several attempts previously when running Select FM for OCS Group in the 1990s – this is our first win, and it is understandably sweet. Great credit goes to our site team under the leadership of our General Manager, Tina Dallorzo and her predecessor, another long term IFM team member, Victoria Bradley. The head office support team including Wernard Kruger in accounts and Associate Director Bruce Mc Donnell in operations also have been a big factor in winning this award.

Market Overview
In our last issue I noted the effect of ‘Market turbulence’ and the ‘lag’ of the economic doldrums are starting to affect the contract services and facilities management sector with a noticeable slow down in activity in the first quarter of 2010. Sadly I observe that this has continued and whilst we have traded quite well, it has been a less buoyant period than last year and whilst I always like to think we are immune from market pressure and behaviour, sadly we are not. Buyers are exploiting the desperation in the market and many contractors are bidding in a manner more reminiscent of pilots caring for their own lives in the attack on Pearl Harbour!

Our Strength and Strategy
I note above how harsh the commercial conditions are in the contract services and wider FM industry, indeed the well publicised collapse of some big (albeit construction sector related) service and maintenance companies including Connaught, ROK, Chard and others does indeed confirm that we are in the thick of it.

When reporting on our record results to 31st March 2010, I noted that much of our strength is in our diversity and our lack of reliance on one service area or indeed one business sector. I continue to believe this is the case. We have a good mix of facilities management, multi service, cleaning and consultancy business with a growing portfolio of maintenance and catering clients. These clients are from both public and private sectors, varying industries and a good spread of our companies, divisions and brands – that is diversification and spreading our risk.

Going forward we are interested in acquisition opportunities such as the very successful Quality Assured Services acquisition in 2009, our interest unsurprisingly will be in areas where we are either under represented or perhaps not active in at all.

Parties
In keeping with our work hard play hard philosophy – we have organised several events throughout the year which from the outside in perhaps just look like excessive fun – and whilst they are, they are also a means of keeping close to our staff, our customers, our contacts and above all our friends who have and continue to support us in so many ways. Ultimately we really do want to be the company of choice, not just to work for but also to do business with.

CSR and Fundraising
We have engaged with a very wide cross section of our staff and customers to raise a great deal of money this year for Help for Heroes. Next year as Bill reports in his CSR section, we have picked a new charity and we have sought the views of all our staff around the country in trying to make this selection. I believe we are on the right track with our ambitions here, many of which of course mean coming back to the usual suspects for help and support!

Fantastic staff, great development and excellent results
I continue to back our philosophy of recruiting the very best we can, motivating and developing them and allowing them to deliver above our customers expectation. I also believe this is displayed more overtly when I see the best our competition has to offer – generally stodgy, uninspired and unconvincing.

The clients and potential clients who can see through this will continue to back us and our sound business model – of that I am confident.


Jeremy Waud, Managing Director