Facility Management in the Middle
East, Opportunities and Challenges
Dr. Mohamed El Agroudy
PhD, CCT, PMP, RMP, TRC, MCIArb, M.ASCE
Presenter Bio
• Dr. Mohamed El Agroudy is a Certified Corporate Trainer (CCT), a
Project Management Professional (PMP), a Risk Management
Professional (RMP), a Transnational Referral Certified (TRC), a
Member of the Chartered Institute of Arbitrators (MCIArb) and a
member of the American Society of Civil Engineers (ASCE).
• Has got his BSc in civil/construction engineering, a Masters in
contracts and a PhD in contracts and risk management.
• Part-time Lecturer of Project/Contracts/Risk Management at the
American University in Cairo, Egypt.
• Previously, Chairman of Misr for Services & Maintenance, MSM.
• A project management consultant for mega projects in the Middle
East.
• keynote speaker in many conferences.
• Member of Project Management Institute (PMI), International
Facility Management Association (IFMA)
• Certified trainer, Middle East Facility Management Association
(MEFMA).
Workshop Agenda
1. Facility Management (FM) in the Middle East
(overview).
2. Challenges in FM Market.
3. Facing the challenges.
4. FM opportunities.
5. Way forward and transformation.
Middle East, Opportunities & Challenges
1. FM Overview
What is FM?
• Organizational function which integrates people, place
and process within the built environment with the purpose
of improving the quality of life of people and the
productivity of the core business (ISO 41011).
www.iso.org
• Facility management (FM) is a profession that
encompasses multiple disciplines to ensure functionality,
comfort, safety and efficiency of the built environment by
integrating people, place, process and technology.
www.ifma.org
• Integration of processes within an organization to
maintain and develop the agreed services which support
and improve the effectiveness of its primary activities.
www.eurofm.org
• Facilities Management (FM) is an "organizational function
which integrates people, place and process within the
Built Environment with the purpose of improving the
quality of life of people and the productivity of the core
business. www.globalfm.org
• Organizational function which integrates people, place
and process within the built environment with the purpose
of improving the quality of life of people and the
productivity of the core business. www.iwfm.org.uk
• Facilities Management is the integration of processes
within an organization to maintain and develop the agreed
services which support and improve the effectiveness of
its primary activities. www.mefma.org
What is FM?
Why Using FM?
• Effective facilities management, is vital to the success of organizations:
• On corporate/strategic level, it contributes to the delivery of strategic and core
business objectives.
• On a day-to day level, it provides a safe and efficient working environment,
which is essential to the performance of any business (whatever its size or
scope).
• Excellent facilities management can:
• Deliver effective management of an organization's assets.
• Enhance the skills of people within the FM sector and provide identifiable and
meaningful career options.
• Enable new working styles and processes – vital in this technology-driven age.
• Enhance and project an organization's identity and image.
• Deliver business continuity and workforce protection in an era of varying threats.
Evolution of FM over time
Mckinsey & Company, Oct. 2019
Integrated/Total FM
Fire
Functionality
checks,
Detector service
Water
SmartMeters,
Use / Flow Sensing
HVAC
Fans,Variable Air Volume,
Air Quality
Elevators
Maintenance,
Performance
Access/Security
Badge in,
Cameras,Integration
Perimeter,Doors,
Floors,Occupancy
Lighting
Occupancy
Sensing
24/7 Monitoring
Condition Monitoring,Parking Lot
Utilization
Energy
SmartMeters,
Demand response
FM Associations/Organizations
GFM, Global Facility Management
www.globalfm.org
BIFM, British Institute of Facilities Management
www.bifm.org.uk
IWFM, Institute of Workplace & Facilities Management
www.iwfm.org.uk
Euro FM, European Facility ManagementNetwork
www.eurofm.org
FM Associations/Organizations
FMA, Facility Management Association of Australia
www.fma.com.au
SAFMA, South African Facilities Management Association
www.safma.co.za
FMANZ, New Zeeland Facilities ManagementAssociation
www.fmanz.org
MEFMA, Middle East Facility Management Association
www.mefma.org
FM Organizations/Credentials
IFMA, International Facility Management Association
www.ifma.org
Credentials:
www.ifma.org/professional-development/credentials/facility-management-professional-fmp
www.ifma.org/professional-development/credentials/certified-facility-manager-cfm
www.ifma.org/professional-development/credentials/sustainability-facility-professional-sfp
Sample FM Companies
2. FM Challenges
FM Challenges
• Lack of awareness of FM importance.
• Tendency to use simple manpower supply rather
than FM solutions.
• Late involvement of FM in different project phases.
• Missing standard legislative and regulating laws.
• Lack of pricing and business models.
• Lack of documentations like (AS-Built) drawings.
• Unavailability of skilled and FM specialized
manpower.
• Economic depression due to COVID-19 and/or
other crisis
3. Facing Challenges
Lack of Awareness
• Lack of awareness of FM importance.
– Existing organizations: MEFMA, …?
Collaborate with other organization like IFMA,
…?
– Establish FM interest groups (FMCC model)
– FM awareness & activities
– Conferences
– Workshops
– Training
Tendency to Use Simple Manpower
• Tendency to use simple manpower supply
rather than FM solutions.
– Demonstrate the importance of integrated
services/total facility management
– Illustrate the advantages of dealing with a
single point of contact
– Potential cost savings due to bigger value of
work (Outsourcing is not always more
expensive choice)
Maximize Outsourcing Percentage
• Outsourcing is an indicator for applying FM.
Outsourcing Vs Spend on FM, (CREDO Report-2015)
Apply Integrated/Total Facility Management
• Integrated Facility Management.
Engage Stakeholders Early
• Late involvement of FM in different project
phases.
– Encouraging different stakeholders
engagement in early project phases
– FM service provider’s experience would be
emerged in defining materials’ specifications
in preparation of tendering for construction
phase (Ex: Durability of cables or lightning
units, …etc.)
Early involvement
• Early involvement of FM in different project phases.
Develop Required Legislations/Laws
• Missing standard legislative and regulating
laws.
– Developing enforcing laws that require
specialized FM companies in different facility
types
– Emphasizing FM as a major category in
contractor classification systems
– Applying incentives to organizations (Public &
private) that apply FM and sustainability
principles (Tax reduction, extra credits, …etc.,)
– Developing standard contracts for FM services
• Developing standards & legislative laws.
Develop Required Legislations/Laws
Participant Poll # 1
Do you think that developing enforcement
laws would help to enhance the application
of FM?
Develop Business Model
• Lack of pricing and business models.
– Standardize and unify basis of pricing (would
be by square meter or other common market
parameters)
– Prepare square meter rates for different types
of facilities ( Real estate, commercial,
administrative, hotel, industrial, educational,
health, sports, …etc.)
Develop Business Model
• Lack of pricing and business models.
Maintain Required Documentations
• Lack of documentations like (AS-Built)
drawings.
– Stating, contractually, As-Built as a major
requirement in commissioning phase of any
project
– Finalizing As-Built and all other documents as
early as possible for different stages
– Paying great attention to project document
control system and archives and making sure
it is updated regularly
Maintain Required Documentations
• Documentation of (AS-Built) drawings/documents.
Train/Build Capacity
• Unavailability of skilled and FM specialized
manpower. (FM companies are investing
in HR).
– Recruitments
– Job description
– Qualifying institutes
– Pre/On-job training
– Salaries structure
Train/Build Capacity
• Skilled and FM specialized manpower.
Adapt/Build Resilience
• Recover the economic depression/build resilience.
4. FM Opportunities
Growing Industry
• FM growing industry in the region. Example: Saudi Market
accounts for around 55% of GCC FM Industry Market (CREDO Report, 2015)
Growing Industry
• FM growing industry in the region.
The Grand Museum, Cairo, Egypt
Growing Industry
• FM growing industry in the region.
King Abdullah Financial District, Riyadh, Saudi Arabia
Growing Industry
• FM growing industry in the region.
EXPO 2020, Dubai, UAE
Increased Demand
• Increased demand for FM professionals. Example: Search
in LinkedIn jobs for Facilities Manager showed the following
vacancies:
– UAE 334
– Saudi Arabia 124
– Qatar 81
– Kuwait 40
– Egypt 23
Elaborated FM Role in different Phases
• Elaborated and increased contribution of FM in
design, construction and commissioning phases.
Elaborated FM Role in different Phases
• Contribution of FM in different project phases.
Potential Savings
• Potential savings due to the application of green solutions.
Potential Savings
Solar Panels
Potential Savings
Potential Savings
Grey water Recycling
Potential Savings
Grey Water Recycling
15,000 liters collected from cooling units and recycled for irrigating landscape
Participant Poll # 2
Do you think that cost saving would be a
major reason to enhance the application of
FM?
5. Future Trends & Transformation
Trends Egypt/Saudi Arabia(Global FM Market Report 2018)
Trends Kuwait/Oman (Global FM Market Report 2018)
FM Professionals: Be Optimistic
Thanks for your attention
Questions?
Dr. Mohamed El Agroudy
PhD, CCT, PMP, RMP, TRC, MCIArb, M.ASCE
magroudy@aucegypt.edu

م.34-مبادرة #تواصل _تطوير- د.محمد العجرودي -- إدارة المرافق في الشرق الأوسط..الفرص والتحديات

  • 2.
    Facility Management inthe Middle East, Opportunities and Challenges Dr. Mohamed El Agroudy PhD, CCT, PMP, RMP, TRC, MCIArb, M.ASCE
  • 3.
    Presenter Bio • Dr.Mohamed El Agroudy is a Certified Corporate Trainer (CCT), a Project Management Professional (PMP), a Risk Management Professional (RMP), a Transnational Referral Certified (TRC), a Member of the Chartered Institute of Arbitrators (MCIArb) and a member of the American Society of Civil Engineers (ASCE). • Has got his BSc in civil/construction engineering, a Masters in contracts and a PhD in contracts and risk management. • Part-time Lecturer of Project/Contracts/Risk Management at the American University in Cairo, Egypt. • Previously, Chairman of Misr for Services & Maintenance, MSM. • A project management consultant for mega projects in the Middle East. • keynote speaker in many conferences. • Member of Project Management Institute (PMI), International Facility Management Association (IFMA) • Certified trainer, Middle East Facility Management Association (MEFMA).
  • 4.
    Workshop Agenda 1. FacilityManagement (FM) in the Middle East (overview). 2. Challenges in FM Market. 3. Facing the challenges. 4. FM opportunities. 5. Way forward and transformation.
  • 5.
  • 6.
  • 7.
    What is FM? •Organizational function which integrates people, place and process within the built environment with the purpose of improving the quality of life of people and the productivity of the core business (ISO 41011). www.iso.org • Facility management (FM) is a profession that encompasses multiple disciplines to ensure functionality, comfort, safety and efficiency of the built environment by integrating people, place, process and technology. www.ifma.org • Integration of processes within an organization to maintain and develop the agreed services which support and improve the effectiveness of its primary activities. www.eurofm.org
  • 8.
    • Facilities Management(FM) is an "organizational function which integrates people, place and process within the Built Environment with the purpose of improving the quality of life of people and the productivity of the core business. www.globalfm.org • Organizational function which integrates people, place and process within the built environment with the purpose of improving the quality of life of people and the productivity of the core business. www.iwfm.org.uk • Facilities Management is the integration of processes within an organization to maintain and develop the agreed services which support and improve the effectiveness of its primary activities. www.mefma.org What is FM?
  • 9.
    Why Using FM? •Effective facilities management, is vital to the success of organizations: • On corporate/strategic level, it contributes to the delivery of strategic and core business objectives. • On a day-to day level, it provides a safe and efficient working environment, which is essential to the performance of any business (whatever its size or scope). • Excellent facilities management can: • Deliver effective management of an organization's assets. • Enhance the skills of people within the FM sector and provide identifiable and meaningful career options. • Enable new working styles and processes – vital in this technology-driven age. • Enhance and project an organization's identity and image. • Deliver business continuity and workforce protection in an era of varying threats.
  • 10.
    Evolution of FMover time Mckinsey & Company, Oct. 2019
  • 11.
    Integrated/Total FM Fire Functionality checks, Detector service Water SmartMeters, Use/ Flow Sensing HVAC Fans,Variable Air Volume, Air Quality Elevators Maintenance, Performance Access/Security Badge in, Cameras,Integration Perimeter,Doors, Floors,Occupancy Lighting Occupancy Sensing 24/7 Monitoring Condition Monitoring,Parking Lot Utilization Energy SmartMeters, Demand response
  • 12.
    FM Associations/Organizations GFM, GlobalFacility Management www.globalfm.org BIFM, British Institute of Facilities Management www.bifm.org.uk IWFM, Institute of Workplace & Facilities Management www.iwfm.org.uk Euro FM, European Facility ManagementNetwork www.eurofm.org
  • 13.
    FM Associations/Organizations FMA, FacilityManagement Association of Australia www.fma.com.au SAFMA, South African Facilities Management Association www.safma.co.za FMANZ, New Zeeland Facilities ManagementAssociation www.fmanz.org MEFMA, Middle East Facility Management Association www.mefma.org
  • 14.
    FM Organizations/Credentials IFMA, InternationalFacility Management Association www.ifma.org Credentials: www.ifma.org/professional-development/credentials/facility-management-professional-fmp www.ifma.org/professional-development/credentials/certified-facility-manager-cfm www.ifma.org/professional-development/credentials/sustainability-facility-professional-sfp
  • 15.
  • 16.
  • 17.
    FM Challenges • Lackof awareness of FM importance. • Tendency to use simple manpower supply rather than FM solutions. • Late involvement of FM in different project phases. • Missing standard legislative and regulating laws. • Lack of pricing and business models. • Lack of documentations like (AS-Built) drawings. • Unavailability of skilled and FM specialized manpower. • Economic depression due to COVID-19 and/or other crisis
  • 18.
  • 19.
    Lack of Awareness •Lack of awareness of FM importance. – Existing organizations: MEFMA, …? Collaborate with other organization like IFMA, …? – Establish FM interest groups (FMCC model) – FM awareness & activities – Conferences – Workshops – Training
  • 20.
    Tendency to UseSimple Manpower • Tendency to use simple manpower supply rather than FM solutions. – Demonstrate the importance of integrated services/total facility management – Illustrate the advantages of dealing with a single point of contact – Potential cost savings due to bigger value of work (Outsourcing is not always more expensive choice)
  • 21.
    Maximize Outsourcing Percentage •Outsourcing is an indicator for applying FM. Outsourcing Vs Spend on FM, (CREDO Report-2015)
  • 22.
    Apply Integrated/Total FacilityManagement • Integrated Facility Management.
  • 23.
    Engage Stakeholders Early •Late involvement of FM in different project phases. – Encouraging different stakeholders engagement in early project phases – FM service provider’s experience would be emerged in defining materials’ specifications in preparation of tendering for construction phase (Ex: Durability of cables or lightning units, …etc.)
  • 24.
    Early involvement • Earlyinvolvement of FM in different project phases.
  • 25.
    Develop Required Legislations/Laws •Missing standard legislative and regulating laws. – Developing enforcing laws that require specialized FM companies in different facility types – Emphasizing FM as a major category in contractor classification systems – Applying incentives to organizations (Public & private) that apply FM and sustainability principles (Tax reduction, extra credits, …etc.,) – Developing standard contracts for FM services
  • 26.
    • Developing standards& legislative laws. Develop Required Legislations/Laws
  • 27.
    Participant Poll #1 Do you think that developing enforcement laws would help to enhance the application of FM?
  • 28.
    Develop Business Model •Lack of pricing and business models. – Standardize and unify basis of pricing (would be by square meter or other common market parameters) – Prepare square meter rates for different types of facilities ( Real estate, commercial, administrative, hotel, industrial, educational, health, sports, …etc.)
  • 29.
    Develop Business Model •Lack of pricing and business models.
  • 30.
    Maintain Required Documentations •Lack of documentations like (AS-Built) drawings. – Stating, contractually, As-Built as a major requirement in commissioning phase of any project – Finalizing As-Built and all other documents as early as possible for different stages – Paying great attention to project document control system and archives and making sure it is updated regularly
  • 31.
    Maintain Required Documentations •Documentation of (AS-Built) drawings/documents.
  • 32.
    Train/Build Capacity • Unavailabilityof skilled and FM specialized manpower. (FM companies are investing in HR). – Recruitments – Job description – Qualifying institutes – Pre/On-job training – Salaries structure
  • 33.
    Train/Build Capacity • Skilledand FM specialized manpower.
  • 34.
    Adapt/Build Resilience • Recoverthe economic depression/build resilience.
  • 35.
  • 36.
    Growing Industry • FMgrowing industry in the region. Example: Saudi Market accounts for around 55% of GCC FM Industry Market (CREDO Report, 2015)
  • 37.
    Growing Industry • FMgrowing industry in the region. The Grand Museum, Cairo, Egypt
  • 38.
    Growing Industry • FMgrowing industry in the region. King Abdullah Financial District, Riyadh, Saudi Arabia
  • 39.
    Growing Industry • FMgrowing industry in the region. EXPO 2020, Dubai, UAE
  • 40.
    Increased Demand • Increaseddemand for FM professionals. Example: Search in LinkedIn jobs for Facilities Manager showed the following vacancies: – UAE 334 – Saudi Arabia 124 – Qatar 81 – Kuwait 40 – Egypt 23
  • 41.
    Elaborated FM Rolein different Phases • Elaborated and increased contribution of FM in design, construction and commissioning phases.
  • 42.
    Elaborated FM Rolein different Phases • Contribution of FM in different project phases.
  • 43.
    Potential Savings • Potentialsavings due to the application of green solutions.
  • 44.
  • 45.
  • 46.
  • 47.
  • 48.
    15,000 liters collectedfrom cooling units and recycled for irrigating landscape
  • 49.
    Participant Poll #2 Do you think that cost saving would be a major reason to enhance the application of FM?
  • 50.
    5. Future Trends& Transformation
  • 51.
    Trends Egypt/Saudi Arabia(GlobalFM Market Report 2018)
  • 52.
    Trends Kuwait/Oman (GlobalFM Market Report 2018)
  • 53.
  • 54.
    Thanks for yourattention Questions? Dr. Mohamed El Agroudy PhD, CCT, PMP, RMP, TRC, MCIArb, M.ASCE magroudy@aucegypt.edu