fmp event - how a facilities team can effectively evolve and support the goals of an organization -...

Michael Roper EMEA Vice President ,Global Facilities Management

THE PEOPLE DIMENSION – How a Facilities team can effectively evolve and support the goals of an organization

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SAP Today

~74,497SAP Employees worldwide

>120Nationalities

25Industry Solutions

>293,000+Customers

190Countries

11,700+Partner Companies worldwide

Our customers include • 87% of the Forbes Global 2000

companies• 98% of the 100 most valued brands• 100% of the Dow Jones top scoringsustainability companies

Our customers produce• 78% of the world’s food• 82% of the world’s medical devices• 74% of the world’s transaction revenuetouches an SAP system


SAP KEY FINANCIAL INDICATORS, 5 YEAR VIEW

(*) Total revenue & Operating margin as a percentage (IFRS)

2010 2011 2012 2013 2014

0%10%20%30%40%

20.8% 34.3%24.9% 26.6%

24.7%

TOTAL MARGIN

2010 2011 2012 2013 2014

810121416

12.46 14.2316.22

16.8217.58

TOTAL REVENUE (€Bn)


GFM Organization comprises Corporate Real Estate & operational Facility Management

GLOBAL FACILITY MANAGEMENT

REAL ESTATE MANAGEMENT

Location Strategy & Management City Strategies (tactical planning & operational

execution) Real Estate Sustainability Providing Data Center space

FACILITY MANAGEMENT

Operation of Facilities Operational Real Estate Management FM Sustainability FM Data Center Operation Energy Engagement


SAP's Global Facility Management (as of September 2015)

370 HCGFM Employees worldwide

> 80 Nationalities

70/220/410Countries/Locations/Buildings

>1.520.000 sqmOffice Spaces served

~ 583m Euro/aOperational Expenditure (Opex)

~ 169m Euro/aCapital Expenditure (Capex)

GERMANY Space: 542,000 sqmBuildings: 100Opex: 102m Euro

APJ Space: 315,000 sqmBuildings: 80Opex: 117m Euro

ARIBA Global FM Space: 30,000 sqmBuildings: 15Opex: 21m Euro

AMERICAS Space: 360,000 sqmBuildings: 110Opex: 167m Euro

EMEA Space: 270,000 sqmBuildings: 120Opex: 141m Euro

Concur< 1000 sqm (1)

Concur~ 32.000 sqm (21)

Concur~ 8.500sqm (6)

Concur~ 9.500 sqm (9)

Concur+ ~4.200 HC

+ ~50,000 sqm

1) OPEX FC9 values on local expenses @FC9 rate; excluding Hybris and Concur2) CAPEX FC9 values @FC9 rate; including Data Center; excluding Hybris and Concur

Global DC spend Opex: 38m Euro


The EMEA Facilities department pre evolution

When taking over the region in 2010 I was concerned about the low EEI mark for the region and reviewed possible reasons for this situation. My findings were as follows:-

Little sense of GFM EMEA as a community

A variety of different management styles deployed – no consistency on management vision and techniques

Very little employee development -Some very good people in the organization but they were under utilized or not so well career developed

Little celebration of successes

Very little cross boarder collaboration

Little sharing of best practises

Many requests for information from a variety of sources with no explanation of why the data was needed

Poor communications

A management team that were in silo mentality in their way of working

No sense of fun in the way we work

Employee Engagement

index well b

elow SAP

average at 7

0%


It starts with the leader

• My role was far too focused on real estate with around 80% of time spent on that one area alone

• I needed to balance the role to incorporate more time on employee development, FM EMEA community development, setting strategy, engaging more and listening to my customers

• I needed to create an environment where innovation could flourish and best practises are shared

• I NEEDED TO EMPOWER THE TEAM


The jigsaw challenge – GFM EMEA

• Many pieces needed

• Pieces need to be in the right place

• Some pieces are more important than others but all are needed

• It is never finished, some pieces need changing or reinventing

• The viewer has to understand the jigsaw and how it is put together


Strategy setting

• Design thinking workshops to analyse what we do and what do we need to focus onto make a real difference

• Take the 40 or so initiatives and focus on 4-6 that we can do really well

• Agree action plans on those key initiatives and drive change throughout the year

• Celebrate success and share best practises

• Take corrective actions when you see challenges and adapt


Key areas focused on Celebrate Success and build a sense of GFM EMEA communityThere were quite a number of measures in this area including:- The setting up of a quarterly GFM EMEA Newsletter – again a cross geography team were

formed to do this and we tried to make it a ‘for the people by the people’ type of newsletter . So together with success stories we also included fun bits and insights into GFM people in the region.

We made sure success contents are a heavy inclusion in regional and sub region updates We collated and publicised feedback from satisfied clients We ran extensive service level surveys throughout the region in order to quantify and gauge

progress and then made sure we publicised results We focused on people or teams when best practises were recognized and publicised We shared a lot of regional information deep down into the organization. Budget and forecast

performance became a much wider focus area rather than the preserve of the management team

“It is amazing what you can accomplish if you do not care who gets the credit.” Harry S. Truman


Key areas focused on

Introduction of cross boarder collaboration We set up a number of teams pulled from across Europe to work on specific projects. Example 1 -The formation of a Security management coordinator group which where we nominated a person from each Sub Region

to be act as security coordinator for their geography. This was in addition to their existing role – the team is matrix managed by the EMEA Head of Security. The team meets regularly and discusses and reviews common topics and ideas. This initiative has fostered teamwork and developed the individuals

Example 2 - Is a group we formed from all Geographies to analyse our EEI results and report back to the management team on what we are doing well and what we could improve. This was introduced in 2012 and we got some very good feedback. It also has allowed an employee voice into how we run things in the region

Communications improvement A number of measures are already highlighted under celebrating success and building a sense of GFM community. However,

additional to mention:- We spent a lot more time sharing GFM and GFM EMEA key objectives and topics throughout the region. The idea was to have

common alignment but also to make sure everyone understood how their roles fitted into the regional objectives We stopped communications of ‘we need this by this deadline’ and changed them to ‘ we need this information for these reasons

and this is how it will benefit us longer term by this deadline’ Myself and my management team invested more time into general update communications and reviews for the region and sub

region



We developed people

As a management team we identified rising talent in the organization , particularly T3 and actively encourage development. This included using some of that talent in other areas and geographies such as Project delivery to

broaden their skill sets and give them exposure to other geographies We encouraged professional education development on FM courses and diplomas – a number of

graduations in last few months We formed cross boarder teams on certain projects as highlighted earlier in order to stretch

experience and develop skill sets We improved objective setting and measuring to get a more aligned and targeted development We encouraged best practise sharing to develop and share knowledge We started to create mentoring within region

“Leaders don’t create followers, they create more leaders.” — Tom Peters



Empowerment Empowerment became a pillar of our strategy. Responsibility in many areas such as forecasting, budgeting, business case compilation etc. was passed further down into the field. We became very much more open on financial performance and other key challenges in the region. We actively grew many employees experience in order to facilitate even more empowerment within the region We focused on local FMs building strong relationships with CFOs and MDs so that they are positioned in very much more of a

strategic level rather than pure operational

Breaking the silosThis was an important mind set change for the whole team.

We now look at many topics and challenges as an EMEA region not just on a Sub regional level

We share information and data which in the past was kept on a regional or EMEA level

We network within the region when common or unusual challenges are encountered

We try to drive a more solution focus approach to our clients referencing where solutions have worked in other parts of the region and GFM worldwide



Introduce some fun into our way of working Given some of the pressures of work it important that we can at times have a sense of fun or

humour to provide some release of pressure

This is very much personality driven but I do sense the management team and their sub region teams can enjoy the odd joke and humour when appropriate at times

You do n’t stop laughing because you grow old. You grow old because you stop laughing – Mark Reynolds


So is it working for our clients?

‘However beautiful the strategy, you should occasionally look at the results’

– Winston Churchill Validate in your 121s with senior and line managers, have your team do the same Surveys and plenty of them ‘Design think’ solutions with your clients Could we do it better? Be prepared to evolve or shift emphasis based on those ongoing validations If you do need to change bring the whole Facilities team along on the reason for

change and how it will improve matters


…………..and the future???


What do Facilities do?

They are the people that keep the lights on

and air conditioning working

They sort out the security badges,

cleaning , catering etc.

They are the people that provide the world class infrastructure and real

estate strategy to enable our business to be

successful


GFM it will be a continuing journey

GFM formed GFM current state GFM future state

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FOUNDATIONS Business partnering BEHAVIOURS

Need to listen Solutions focused

Find common groundWhat is our value proposition?

Be a strategist

Pursue world class operational excellence

Focus the team on the principles of effective partnering

Celebrate success

Foster innovation


THANK YOU