Survey: Outsourcing of facilities management continues to increase
New York City — The outsourcing of real estate and facilities management (REFM) activities is expected to expected to hold steady or increase, according to the inaugural KPMG 2011 global real estate and facilities management outsourcing pulse survey. Among the buyers of REFM services, 50% said they plan to increase outsourcing over the next one to two quarters. Longer term, over the next 12 months, 44% of buyers plan to increase their REFM outsourcing
“Although some organizations are considering outsourcing REFM services for the first time, others that are already outsourcing are looking for opportunities to outsource more sites and services, as well as consolidate or restructure their current contracts to realize additional savings,” said Ron Walker, principal and REFM sector leader in KPMG’s Shared Services and Outsourcing Advisory group.
Reduction of operating costs was identified as the as the top driver of REFM outsourcing, both by buyers (70%) of REFM services and of service providers (75%). The second most common driver cited by buyers (41%) was improvement of the performance of REFM processes.
Among companies outsourcing REFM activities, the most commonly outsourced area was workplace services, which includes janitorial, cafeteria, and amenities services. The second most frequently REFM outsourced area was facilities (HVAC, electrical, mechanical, building repair).
Retail vet Andy Giancamilli retiring as CEO of Katz Group
Toronto — Katz Group Canada has announced the retirement of industry veteran Andy Giancamilli as CEO, effective Feb. 2, 2012. Katz is Canada’s largest integrated pharmacy network, operating more than 1,800 chain, franchise and independent pharmacies,
Giancamilli will remain in an advisory role until May 2012. He will be succeeded by Frank Scorpiniti, who joined the company in April as COO.
Giancamilli came to Katz after serving as executive VP at Canadian Tire. Prior to that, he was president and COO of Kmart.
Union representing SoCal supermarket workers takes step toward strike
Los Angeles — The union representing many of the 62,000 workers at Ralphs, Vons and Albertsons supermarkets in Southern California has issued a required 72-hour notice of its plan to cancel its extended contract, Reuters reported. The move that could pave the way for a strike.
The union and the grocery store companies are deadlocked over healthcare coverage. Employees, who have been without a contract since it expired in March, have given the union the go-ahead to call a strike if an acceptable deal for a new contract cannot be reached. The union said grocery workers will begin final strike preparations following the 72-hour notice to cancel the contract.