One company’s facilities management business grows 60% annually!

With growing facility management business in India, property consultant JLL India has clocked 60 per cent average growth annually in the last 15 years and is managing 250 million sq ft of space for corporates and other clients.

JLL’s integrated facilities management (IFM) operations have achieved double-digit growth in turnover and it expects similar growth going forward.

“JLL India’s facility management operations have grown from managing 1,50,000 sq ft under management in 2001 to 250 million sq ft in 2015, at an average growth rate of 59 per cent year-on-year,” JLL (West Asia) MD – Integrated Facilities Management Sandeep Sethi told PTI.

Of the total area under facility management, about 100 million sq ft spaces are from corporate occupiers and the rest 150 million sq ft pertains to shopping malls and common areas in housing projects.

Asked about some major clients, Sethi said IBM is JLL’s client in India with about 13 million sq ft under management.

The company provides facility management services in 136 locations across the country. It has tied up with strategic partners for providing services to its clients.

Scope of work under facility management contracts includes engineering & maintenance, housekeeping, pest control, repair and maintenance, pay-rolling, vendor management and security services among others.

“We have more than 6,500 people who are directly employed in the facility management business. We indirectly provide employment for over 60,000 contracted staff across India,” he said, adding that the company soon plans to hire over 500 employees for further growth.

Asked about the revenue earnings, Sethi said: “In terms of turnover, we have seen double digit growth year-on-year since we started operations in India, and will continue to grow at a similar pace.”

The company’s bulk of the business comes from MNCs with 60 per cent share. Apart from MNCs, its client portfolio includes IT/ITeS firms, banking and financial services firms, pharma companies, manufacturing industries, malls and residential complexes among others.

Stating that clients now seek 5-star facilities, Sethi said: “We are shifting our mindset from facilities management to hotel management”.

JLL India recently tied up with Manpower group and EMPI Business School to offer certificate programmes in facilities management as there has been an increased demand for industry-ready professionals.

On the overall market, Sethi said the size of organised facility management services industry is pegged at around $7.6 billion, and has grown at 15-20 per cent over the last few years.

The key growth drivers have been the increased presence of global industries in India, increased adoption of facility management outsourcing and growth of certain sectors like retail, hospitality, industrial and healthcare, JLL said.

Article sourced

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