Collaboration in CRE/FM – Another view

David WrightDirector of Property, Facilities and ProcurementFebruary 2016 London

Quick Introduction to David Wright

• Represented ‘The Occupier’ for over 30 years as ‘in house’ resource• UK Property Manager for Canada Life Insurance Company• UK & EMEA Facilities & Real Estate Director at EDS• Corporate Real Estate Director EMEA for Dell Corporation• Consultant Director at Corporate Property Advisers (now EC Harris)

• O2• Amazon• Formula 1 industry• Rolls Royce• Interserve Business Services• Royal Sun Alliance• Omani RE investor in UK property• SIS and BBC to Salford• Shortlist Media & Crane Communications Inc• Thales Defence

• DX Network Services Limited (now DX Group PLC - since February ‘14) 2

Quick Introduction to DX

WHO ARE DX...

4

One of the UK’s leading mail, parcels and logistics end to end network operators.

We specialise in the next day delivery of time sensitive, mission critical, high value and items requiring 2 man delivery for B2B and B2C Customers.

Deliver approximately 170 million items every year from mail to parcels and 2-Man deliveries.

Established in 1975, during the Post Office strikes!

VC funded since 2006

Acquired Nightfreight 2012

Floated on February 27, 2014 at £200M

OUR NETWORK

5,200 staff

Collection and Delivery fleet of over 2,500 vehicles, 350 nightly trunk routes

Distribution centres across the UK, operating from over 80 main locations

Distribution hubs in Northampton, Nuneaton, Warrington and Willenhall, plus other regional hubs.

4,000+ UK ‘high street’ Exchanges

UK & Ireland daily

5

The Market and the DX Challenge

• 2014 = 18 billion items delivered in UK

• 2012 = £13 billion market value (= £0.70 per item!)

• Letters continue to decline by about 4% annually• DXE = 70% of our volume• Impact on our Exchange estate and service• Opportunities for our Exchange estate!

• Parcel volumes continue to grow (faster than letters decline!)• DX acquisition of Nightfreight Limited in 2012

• Key success factor for DX is network and site consolidation

• Key success factor for David Wright is network and site consolidation!6

Investing in New Capability and Infrastructure

7

Investment in property including canopies & new sites

Investment in technology and efficiency……

Investment in carousel & cages …..

Investment in new trucks & trailers.Investment in the new DX

Central Hub Facility

Collaboration

8

Emotional history of the CRE & FM Industry

1980’s – FM Invented itself, Premises, Estates and Property became Corporate Real Estate

1990’s – CRE ignored FM then redefined it and separated it;

2000’s – Defending it, joining it, protecting it, being it!

2010’s – Second generation of professional CRE/FMs coming through, better education programmes, chosen career paths, attracting others to it from other professions, greater recognition, contribution and value, higher salaries and corporate standing - up to a level

SAME OLD QUESTIONS IN CRE IN 2016:

Does CRE/FM deserve to be higher up the value chain?

Can CRE/FM improve it’s internal credibility?

Can CRE/FM make it to the Board Room?

Can CRE/FM have greater influence at corporate level?

Can we use CRE/FM to drive corporate change?

Can we promote CRE/FM within your company?

Can we raise the profile of CRE/FM in an organisation?

Can CRE/FM functions influence capital projects?

Can CRE/FM teams add value by working as part of a wider team?

Work and Stuff. The Opportunity For Collaboration

11

PropertyFacilitiesProcurementLegalHRITOperationsSecuity/ComplianceFinanceExec

So what do we need to do?

Do it differently, be different, act and talk differently and certainly, think differently

Have a corporate and holistic approach - to raise our game beyond ‘the deal’

Reinvention of CRE/FM to facilitate Collaboration through workplace, workspace, facilities, amenities and infrastructure

Be collaborative in everything we do, don’t be combative and don’t be protective – give, don’t take

Include, rather than exclude - everyone

Finally, for CRE/FM Service Providers …

• The F word. Try not to use it!

• Be Creative

• Find the important things that are difficult for us to do. And do them better, cheaper and quicker than us

• Create a ‘route of least resistance’ in using you and your services for everything we do

• Take the long term view – on everything

• Make us look good. That’s not a joke

13

My Best Tip To Finish

Don’t just be a Property Manager

14

or you’ll only ever be, just a Property

Manager

Thank You

15