Facilities Management Handbook

1 Facilities Management HANDBOOKThis page intentionally left blankFACILITIES Management HANDBOOKFOURTH EDITIONFRANK BOOTYAMSTERDAM BOSTON HEIDELBERG LONDON NEW YORK OXFORD PARIS SAN DIEGO SAN FRANCISCO SINGAPORE TOKYO Butterworth-Heinemann is an imprint of Elsevier The world of Facilities Management has changed dramatically over the past 20 years. From relatively humble beginnings, the role of Facilities manager now encompasses a wide range of complex and challenging roles, often across entire Elsevier Facilities Management Handbook gives a complete overview of these roles, demonstrating that Facilities managers really are the stewards of the built environment. This highly practical book, now in its fourth edition, provides all the relevant legal compliance, strategic policies and best practice information needed to ensure the safe, effi cient and cost-effective running of any Facilities function, and comes complete with checklists and sources of further information, offering easy-to-fi nd practical advice plus key chapters on the increasingly important subjects of risk Management and business continuity wide range of subjects covered in the Facilities Management Handbook includes.

2 Health and safety law for Facilities managers the law regarding employed, contract and casual workers property law for Facilities managers fi nancial Management transport policies outsourcing business continuity IT and communications workplace Facilities and space planning access and security maintenance and risk up-to-date, thorough and comprehensive Handbook will be your guide for the changing times LimitedLinacre HouseJordan Hill, Oxford OX2 8DP, is an imprint of ElsevierLinacre House, Jordan Hill, Oxford OX2 8DP, UK30 Corporate Drive, Suite 400, Burlington, MA 01803, USAF irst edition 2009 Copyright 2009, Frank Booty. Published by Elsevier Ltd. All rights reservedThe right of Frank Booty to be identifi ed as the author of this work has beenasserted in accordance with the Copyright, Designs and Patents Act 1988No part of this publication may be reproduced, stored in a retrieval systemor transmitted in any form or by any means electronic, mechanical, photocopying,recording or otherwise without the prior written permission of the publisherPermissions may be sought directly from Elsevier s Science & Technology RightsDepartment in Oxford, UK: phone (+44) (0) 1865 843830; fax (+44) (0) 1865 853333.

3 Email: Alternatively you can submit your request online byvisiting the Elsevier web site at , and selectingObtaining permission to use Elsevier materialNoticeNo responsibility is assumed by the publisher for any injury and/or damage to personsor property as a matter of products liability, negligence or otherwise, or from any useor operation of any methods, products, instructions or ideas contained in the materialherein. Because of rapid advances in the medical sciences, in particular, independentverifi cation of diagnoses and drug dosages should be madeBritish Library Cataloguing in Publication DataA catalogue record for this book is available from the British LibraryLibrary of Congress Cataloging-in-Publication DataA catalog record for this book is availabe from the Library of CongressISBN: 978-0-7506-8977-9 For information on all Butterworth-Heinemann publicationsvisit our web site at and bound in Great Britain09 10 10 9 8 7 6 5 4 3 2 1 This page intentionally left blankForeword xixAbout the Authors xxIntroduction xxiPart 1 Complying with the LawCHAPTER 1 Complying with Safety, Health, Fire and Environment LawEnforcement 4 The Health and Safety Commission and the Health and Safety Executive 4 Regulations 4 The Health and Safety at Work etc.

4 Act 1974 5 The Corporate Manslaughter and Corporate Homicide Act 2007 6 Leading Health and Safety at Work 8A successful health and safety policy 9 Primary regulations relating to health and safety 10 Risk Assessment 20 Spotting hazards 20 Who may be harmed? 20 Controlling the risks 21 Recording the fi ndings 21 Reviewing and revising 21 Suitable and suffi cient 21 Criminal Sanctions 22 Civil compensation 23 Promoting Occupational Health 24 Avoiding back pain 24 preventing work-related upper limb disorders 25 Asbestos-related diseases 29 Reducing noise 33 Legionellosis 35 Accidents and incidents 38 Improving well-being 39 violence 53 ContentsvTowards a Safe workplace 54 preventing slips and trips 54 Equipment 55 Vehicles (other than motor vehicles used on public roads)

5 56 Flexible Working 57 Homeworking 57 Hotdesking 57 Laptops 58 Homeworkers checklist 58 Driving 59 Mobile phones 60 Lone working 60 Construction Work and Building Management 61 Key health and safety issues in respect of construction activity 61 Construction (Design and Management ) Regulations 2007 (CDM) 61 The preconstruction information pack 66 The construction phase health and safety plan 69 The health and safety fi le 69 Design risk assessments 70 Managing refurbishment works 70 Building Management 71 Structure and access 71 Cleaning windows 72 Using ladders 72 Permit to work procedures/safe systems of work 74 The Building Regulations 75 Maintenance and repair 76 Managing contractors 76 Legal duty to contractors 78 Working at a height 80 Confi ned spaces 82 Control of Vibration at Work Regulations 2005 82 Fire Safety 83 Fire risk assessment 84 Means of escape 88vi ContentsFire notices 90 Fire equipment 90 Staff responsibilities 91 Competency in fi re safety 91 Disability Discrimination 92 The Disability Discrimination Act 1995 (DDA) 92 Catering Facilities 95 The Food Safety Act 1990 95 The Food Premises Registration Regulations 1991 (amended) 97 The Food Hygiene (England)

6 Regulations 2006 97 Hazard analysis critical control point 99 Food safety: good practice standards 101 The Food Labelling Regulations 1996 103 The Weights and Measures Act 1985 103 Health and safety in catering units 103 Licensing 104 Environmental Protection and Liability 105 Climate Change Levy 105 Waste Management 106 Producer Responsibility Obligations (Packaging Waste) Regulations 1997 106 Waste Electrical and Electronic Equipment (WEEE) Regulations 108 Site Waste Management Plans Regulations 2008 109 Pollution 109 Statutory nuisances 110 Corporate Social Responsibility 112 Supply Chain Management 113 CHAPTER 2 Complying with the Law on Staff, Casual and Contract WorkersFlexible Working for Employees 114 Reforms 114 Flexible working right of request 114 The 48-hour week 116 Rest periods 116 Annual leave 117 Nightworkers 117 Contents viiExceptions to the regulations 117 road transport workers 119 Enforcement 119 Part-Time Workers 119 Comparable full-timers 119 Pro rata principle 120 Justifi cation 120 Remedies 120 Regulatory guidance 121 Leave for Parents and Carers 121 Maternity leave 121 Paternity leave 122 Adoption leave 122 Parental leave 122 Time off for dependants 123 Contract and Casual Workers 123 Fixed term contracts 123 Agency workers 124 Transfer of Undertakings

7 (Protection of Employment) Regulations (TUPE) 125 Overview of the TUPE Regulations 126 Relevant transfers 126 Service provision changes 127 Exceptions 128 Transfers within public administrations 129 Employee Consultation 129 Other consultation rights 130 European Works Council 130 Redundancies and transfers 131 Selection for redundancy 132 Disability Discrimination 132 Reasonable adjustments 133 Public access 134 Building alterations 135 Complaints and compensation 136 Contract workers 137 Disability Rights Commission (now Equality and Human Rights Commission) 137viii ContentsUnfair Dismissal 138 Automatic unfair dismissal 138 Disciplinary and Grievance Hearings 139 workplace Surveillance 140 Why monitor? 141 RIP to privacy? 141 Laws on privacy 142 Personal data code 143 Practical considerations 143 Email and Internet use policies 144 Minimum Wage 144 New Employment/Contract Legislation 145 CHAPTER 3 Complying with Property LawAcquisition and Disposal 146 How is property owned?

8 146 Professional advisers: who does what? 147 Buying property 148 Costs involved 149 Acquisition for own use 150 Business Leases 151 Parties 152 Premises let 152 Fixtures and fi ttings 152 Rights granted 152 Exceptions and reservations 152 Term 152 Security of tenure 153 Rent 154 Rates and taxes 154 Interest 155 Dealings 155 Use 155 Alterations 155 Repairs 156 New buildings 156 Old buildings 156 Breach of repairing obligations 156 Rights of access 157 Contents ixInsurance 157 Service charges 157

9 Options to terminate 159 Landlord s remedies for tenant breaches 159 Planning 160 The law 160 When is planning permission required? 161 Understanding planning requirements 163 Applying for planning permission 164 The planning application decision 165 Obligations 167 Appeals 167 When is planning permission not needed? 168 What if planning law is not complied with? 170 Environmental Matters 173 The law 173 What is contaminated land? 173 Who is liable?: The polluter pays principle 174 Reducing liability for clean-up 174 Occupiers liability 174 Case study 175 Knowing your Portfolio and Managing Costs 178 Key knowledge requirements 179 Real Estate Valuation 179 The regulatory framework 180 Procuring valuations 180 The purpose of the valuation 181 Valuations for acquisition/disposal 181 Valuations for incorporation within fi nancial statements 183 Valuation approach 185 Negotiating lease terms 186 Part 2 Managing Your Business EffectivelyCHAPTER 4 Financial ManagementBackground economics 189 Universal principles 189 The signifi cance of Facilities Management costs 190x ContentsSystems technology and fi nancial Management 191 Best Practice Financial Management 192 Budgetary control 192 Cost centres 193 Zero-based budgeting 194 Data 194 Change Management 197 Procurement 198 Private

10 Investment and Partnership 201 The PPP process 202 Life-cycle cost models 204 Payment mechanisms 204 Benchmarking Facilities Costs 205 Why benchmark? 205 Internal and external benchmarking 208 The process of benchmarking 208 Whole-life Economics and Financial Analysis 214 Whole-life costs 215 Techniques for fi nancial analysis 215 Applying the techniques 219 Property Costs 220 Rent 220 Rates 220 Service charges 221 Building insurance 222 Sustainable property 224 Principles of Facilities Finance 224 Taxation 225 Capital and revenue expenditure 225 Depreciation 226 Capital allowances 226 CHAPTER 5 Risk ManagementThree Phases of Risk Management 228 Risk analysis 228 Risk assessment 228 Risk mitigation 229 Risk Management in Business 229 Different types of risk 229 Contents xiDeveloping a Risk Management Strategy 231 Where to turn for help 231 Prioritising risk 231 Outsourcing risk 232 Risk Planning and