Case Study: BPP

BPP achieves significant
efficiencies in FM
spend with Cloudfm

With its controlled processes, real-time visibility and dependable data, the market-leading true partnershipapproach of Cloudfm’s facilities management solutionhas resulted in substantial cost savings for BPP – and all while improving service and estate quality.

Background

A global leader in education, BPP is a private education group specialising in law, business, finance, accountancy, banking, chiropractic, dentistry, nursing, psychology and healthcare. It educates more than 80,000 learners a year, works with in excess of 7,000 businesses, and delivers its education programmes to learners from over 170 countries across the world.

With such a large volume of students and businesses visiting a variety of UK premises every day, BPP requires its estate to be maintained to the highest possible standard. This not only ensures safe and comfortable surroundings for all but supports customer attraction and retention through the provision of an optimal learning environment.

With this in mind, the BPP estates team looked to review their existing TFM contract, which wasn’t delivering the level of service and efficiency that customers and other stakeholders expected. The priority was to employ a hard FM provider capable of delivering on service level expectations whilst simultaneously providing greater control and visibility over quality and costs.

The Solution

 

The decision-making process to select a hard FM provider was a simple one. BPP had previously worked with Cloudfm Consulting on a number of high-level technical projects which achieved significant efficiencies and improvements to the overall estate. During those projects, BPP found Cloudfm’s level of expertise, technical knowledge and industry-leading processes to be invaluable and they were convinced that the organisation could deliver a superlative FM programme which would ensure the highest levels of quality and safety across the estate.

BPP signed a three-year contract deal with Cloudfm in 2016 to manage and deliver all hard services across its estate of 19 buildings, spread from the South Coast to North West England.

Cloudfm’s robust infrastructure provides BPP with a fully automated and completely transparent end-to-end management process. This means that from the point at which an issue is raised to it being acknowledged, quoted for, an engineer scheduled, and invoice paid, the data cannot be edited in any way, once it is entered into the system. This removes the possibility of human error or massaging of the figures. An engineer’s time on site is also measured by the minute, ensuring BPP that it only pays for the value delivered.

BPP is also able to achieve complete governance and quality assurance through Cloudfm’s visible and controlled processes. 100% of tasks, quotes, costs and certificates are expertly verified,resulting in reduced cost, reduced risk and increased quality across the estate.

 

“We’re delighted with the efficiencies that we’ve already achieved since working with Cloudfm. Not only have we experienced major improvements in quality and service delivery, but we have considerably reduced FM expenditure across our estate.

Our average job value has been reduced by a quarter, which equates to an annual saving of £77,000 – a massive amount that we can now redirect to other projects which benefit our students.”

Mark Griffiths, Director of Group Operations, BPP

MAIN OUTCOMES

25%

reduction in Average Job Value (AJV): a saving of£137 per job on average, which equates to a saving of £77k per annum


12%

reduction in the value of invoices, compared to the originally quoted value


£160k

saving achieved, over three years, through Building Care Tasks being completed during planned visits


29%

reduction in reactive job volume since the contract started

Cutting FM costs

Cloudfm has significantly reduced the FM expenditure of BPP’s estate, with the value of invoices being, on average, 12% lower than the original quoted value of the works. This has been achieved through the implementation of financially transparent processes, facilitated by Cloudfm’s benchmarking and certification audit teams. No other FM provider enforces audits of supply chain payment requests to ensure 100% fair payment. For each invoice raised, Cloudfm cross checks it against initial quote, time on site and materials used, prior to payment.

The figure of a 12% saving on quoted works is notable enough, but there’s another key statistic that’s even more worthy of highlighting. The Average Job Value (AJV) has been reduced by 25% – this important figure is the truest measure of FM expenditure value possible. By factoring in all jobs, covering both Planned Preventative and Reactive Maintenance, even including quoted works and snagging, AJV offers a much clearer picture of the cost involved in keeping an estate compliant and running smoothly.

Optimum quality assured

Cloudfm employs a forensic approach to the compliance audit process, whereby every certificate is checked rather than just a sample percentage. This rigorous approach ensures the accuracy of data and enables Cloudfm to make the right decisions based on the right information. With this trustworthy data at hand, BPP can always be sure of its compliance status quo, something that its incumbent provider struggled to report accurately. With optimum compliance achieved, BPP has significantly reduced its risk, increased student comfort and safety, and improved the quality of its entire estate.

Preventative maintenance

Every month, Cloudfm sends a dedicated engineer to BPP’s estate on a Planned Monthly Visit (PMV) to perform preventative maintenance – completing minor repairs and ensuring other tasks have been completed properly. This proactive approach has led to a 29% reduction in reactive job volume over three years, due to the reduced occurrence of failures during operation. In particular, the maintenance of air conditioning, doors and the checking of water hygiene on a monthly basis has contributed to the reduction in reactive spend.

As part of the PMV, engineers will also complete odd jobs. Over the course of a month, BPP will bundle its non- urgent tasks together for the engineer to complete on the monthly visit.

This has proven to be extremely efficient, and by simply bundling these jobs together rather than raising them as reactive tasks, BPP has achieved a £160k saving over three years.