Royal London is the largest mutual life, pensions and investment company in the UK, with funds under management of £114 billion, 8.8 million policies in force and 3,637 employees.
Download Project Report HereRoyal London had procured Facilities Management (FM) services in a silo approach – essentially procuring services by local geography rather than within any estates plan. The future move of their headquarters created a realisation that there was a need to review the current model and create a facilities management solution that met today’s needs and was robust enough to match future company growth strategies.
As part of the 2019 commission, our brief was to generate a new Target Operating Model (TOM) for the Society. This included the need to assist with relocating their headquarters in Wilmslow to a new building on Alderley Park. The aim was to streamline the Royal London FM management solution and the service provision that supported it.
Our first approach was to review the current solution and capture, then evaluate, users’ FM requirements through interviews, questionnaires and workshops with the existing facilities managers and key stakeholders. We then reviewed the current market and models available that could deliver Royal London’s requirements going forward. Encompassing the Royal London values, the key outcomes required were value for money, innovation, effective and efficient service, compliance, alignment to industry and sector best practices and the in-house vs. outsourcing dynamic.
After completing the review, Litmus FM identified Royal London’s FM priorities, proposed several possible FM operating models and prepared information (operational, financial, legal, etc.) to support each model’s rationale, which assisted in our evaluation to select a preferred FM strategy.
Royal London endorsed our top recommendation and deployed a two-phased approach. The first was to re-align the Royal London FM Management structure. The second was to tender the FM services solutions to support the business.
Working with Royal London, we have created a robust management and service delivery model. The procurement exercise has generated a £1m annual reduction in cost (£5m within the five-year contract).
Litmus FM’s expertise and experience clearly showed the ability to tailor our FM service requirements carefully. They understood the needs and importance of the project and how to implement the most appropriate solution whilst generating real value for Royal London.
Group Sourcing & Supplier Manager, Royal London