Practically Speaking about Retail FM

May marks Electrical Safety Month as a reminder to many of us who need to improve safety practices when working in close proximity to switch panels, wiring and other hazardous devices.  The Electrical Safety Foundation International, ESFI, this month is offering a comprehensive collection of new and updated fact sheets, safety tips, templates and tools you can use to promote electrical safety, including the prevention of injuries due to arc flashes.

An arc flash is a sudden release of electrical energy experienced when electrical current leaves the intended path and travels through the air from one conductor to another.  According to the ESFI, “While great advances are being made to improve equipment design and thereby reduce the number of arc flash incidences, there is still much to be done. Each year, 2,000 workers are admitted to burn centers for treatment of severe arc flash burns.” 

At PRSM2013 National Conference, Chris Kaiser, Business Development Manager for WESCO Distribution, educated attendees on the origins of arc flashes, which can be spontaneous and can result from dust, dropping tools, accidental contact, condensation, material failure, corrosion or faulty installation.

One of the most helpful things store employees can do to prevent arc flash is to report all incidents of exposed wiring, damaged outlets, or frayed power cords. Replacing these hazards will help to eliminate dangerous situations where arc flash can occur.

Kaiser reminds everyone, “Electrical safety awareness involves more than just a single training session or the presence of personal protective equipment in a facility. Avoiding the dangers associated with arc flash and shock hazards require conscious decisions and commitments to completing work safely. Arc flash analyses and yearly training sessions are just some of the first steps in establishing a culture committed to electrical safety.”

During PRSM2013 National Conference Greg Fasullo of EnTouch Controls shared the latest trends with me on cloud-based Energy Management Systems. Here is a recap. 

Retail facilities management teams are facing dramatic changes to the way they manage their stores. According to PRSM Association’s recent Trends Report, “the pace of change and innovation within the industry continues at a rapid pace.”

One challenge has been providing advanced services in a system that is sized and priced for use throughout the retail industry. Now, with cloud computing, Energy Management Systems (EMS) are available with costs that start at about $1,000 and require no additional IT systems.

A cloud-based EMS can monitor real-time energy usage and continually monitor systems for performance issues. Systems include wireless sensors and power monitors located in a facility with a controller that can be monitored and adjusted onsite or remotely through a web interface.

A side benefit is that these systems can alert facility managers to abnormal power consumption by HVAC and other systems that could signal an impending failure.

Even with the massive change, one thing is constant – customer comfort is still critical.  A cloud-based EMS can help maintain store comfort while lowering costs and allowing for remote monitoring and control.

Share your experiences with the EMS system used to manage your store environments.

COMMENTS:

I am curious to know if the "cloud" infrastructure eliminates the issue of accessibility without compromising security? EMS systems are invaluable but can be inhibited by an organizations fear of access to their intellectual property. Providing a third party service provider access to your VPN or Virtual Private Network you enable monitoring and controlling of systems remotely which is a huge cost savings, however, the potential threat to an organizations information technology usually wins. Also, to my knowledge the organizations local area network is key to the success of cloud systems. I must say that EMS systems are the cherry on top. I adored the ability to monitor 75 retail grocery stores at 115K SQ FT average with refrigeration galore remotely on an Easter Sunday! Virtual elimination of unnecessary overtime service - Yay.

- Accessibility VS Security

I would like to know if the cloud based infrastructure eliminates the security risk inherent with systems which require VPN Virtual Private Network access for remote access?? If a third party service provider has the ability to access your EMS system remotely, they can determine first hand the priority of a system fault and potentially bypass a failed component to keep you up and running. As an employee on call with a large retail grocery chain; I had access to monitor 75 locations at 115K sq. ft. avg. Having the ability to determine the severity of a refrigeration system failure on an Easter Sunday is invaluable. My organization would not provide our third party service providers remote (VPN) access to our EMS system due to concerns about the security of our intellectual property. This eliminated the potential cost savings from remote resolution, reduction of service calls, and potential for elimination of overtime calls through temporary bypass/programming modifications.

- Accessibility VS Security

Interesting, but would have to look at total cost with all the wireless components. Also getting IT's buy-in might be a challenge!

-Kevin Napper

A cloud-based energy management system can provide a way to generate and keep detailed trend and history data and reports without having to purchase/create IT infrastructure in-house to save that data. This can be an extremely economical vehicle to get "eyes" on the building systems, even very small offices/tenant spaces (that previously couldn't afford a system).

Most important, as Brian initially mentioned, is "automatic alerts". Having your energy management system contact you to let you know when something is "abnormal" gets you into corrective action before it turns into a real problem.
But, as Kevin stated, most IT departments are extremely wary of anything connected to their networks, especially if there's a need to communicate out on the web. And for the customer/user, a secure network system is vitally important.
Most cloud-based energy management systems have evolved with very restricted and secure communication, and getting the proper protocol information to the IT department is the 1st step to getting their buy-in.

-Bob Rodriguez

I have serviced HVACR for over 40 years and 18 of those years with Caldor Stores (a New England based discount store operation.) We used an energy management system to control lighting, HVAC operation etc... for all our 250+ stores.
EMS systems work great as long as your mechanical systems are working great.

For some reason and I don't know why other than there may be a few dollars saved some retail companies decide to not change their air filter as often as they normally did, or they will go to using a fiberglass (cheaper 30 day) filter instead of the pleated or polyester type which have a larger filter service.
Granted any filter does not remove ALL dirt particles and what it doesn't remove has the ability to go through to the coil, fan, ducts and into the store, office, bathrooms and break areas everywhere the space is conditioned.
Over a period of time this dust and dirt build up starts to cause lower air flow and now your problems start to begin. Expensive repairs are beginning to start.
restrictions cause different operating refrigerant pressures. When the pressure increases, the compressor works harder and pulls more amperage which now cost more to operate and starts to reduce the life expectancy of the system. EMS is not going to see this problem until the temperatures raise to a point where the system is not cooling or heating properly and a service call is then placed for them to check it.
I have seen this first hand what happens when cost cuts are needed. Caldor decided to do the same thing. Initally we were changing the filters every 2 months (6 times a annually) then someone had the idea to cut the filter change to 4 times a year (again to save money.) Then the following year we went to 3 times annually (still saving more money.) It took time (approx 3 years) going from 6 filter changes to 3 changes but the problems were starting to show on the maintenance side with more repairs needed. We had steady service issues and EMS was keeping very busy with calls.
After going to three filter changes it got to the point where somone had suggested a tech vacuum the filters instead of changing them in order to skip a year and save more money.
Let me tell you one of your cheapest investments for energy savings is changing the air filters more often, and inspecting the equipment more often. It is going to cost but in the long run retail is going to save some operating expense.

Clean air keeps dust and dirt from building up on clothes racks, return grilles, dirt on the ceilings around supply registers and ceiling tiles and the entire interior of the store.

GOOD MAINTENANCE IS THE KEY TO ENERGY SAVINGS ALONG WITH MONITORING THE MECHANICALS.

-Arthur Cocchiaro

I couldn't agree with Arthur more!. Proper maintenance of equipment is vital.
An EMS properly monitoring the equipment and actually doing something with that information is the key.
An EMS can monitor Filter condition (pressure difference), but if no one looks at that information or does anything with it, it's a waste.
We have great technology available with EMS, but it needs to be actually used and intelligently.

-Bob Rodriguez

Statistics show many store robberies occur before 10 a.m., in some cases by former employees entering after the alarm is disarmed. “Employees are extremely vulnerable in situations like this, which in many cases can easily be prevented by adopting a process to rekey locks immediately after separation or when a lost key occurs,” says Jack Sink of Security Solutions.  Sink is a security expert quoted in the current issue of PRSM Magazine.

Delaying a re-key job is risky business, according to the consensus of commentary in the current Magazine’s article “Keys in the Wild.” According to experts, some retailers may delay rekeying locks for a week or longer, after an employee departs, especially if the process requires a site visit by a locksmith.  A best practice, they say, is to rekey immediately. But perhaps more importantly, the entire lock system should be based on keys that are not able to be duplicated.

Most keys can be easily duplicated using readily available key blanks. “Don’t be fooled into a false sense of security because your key has “Cannot Duplicate” stamped on it,” says Dave Lutz of Cornell Door Systems. “Only keys protected by a strong manufacturer’s patent control the distribution of keys, and aftermarket key blanks, to protect against mechanical duplication.”

One national chain store retailer, with petite box stores in most major metropolitan centers, spoke to PRSM Magazine about its recent deployment of a master keyed system, utilizing locksmith resources to manage the rekeying after key holder turnover.

“For our store size we went with a top-of-the line system, backed up by an extensive control process. There is no way to duplicate our keys, we tightly control keys we issue, cylinder recycling and protocol mandates a complete rekey immediately upon notice of a missing key,” the Retail FM said.

Next time we’ll talk about the future of lock and key technology, with the introduction of advanced access control systems. Want to be included in the next discussion, share your thoughts below. 

Tax season is here and with it another round of talks on how best to categorize spending over the last year. One discussion in particular, on a PRSM X-Change discussion forum, focused on upgrades that prolong the life of a major piece of equipment and whether or not they can be categorized as “capital expenses.”

Many view replacing an HVAC coil as a capital expense, because of the extra, added value the upgrade provides to the unit (extension of the life of the asset). Replacing a coil can be costly (usually in the thousands of dollars, depending on the size of the unit), but can significantly extend the life of a unit, up to five, or even ten years, in some cases.

However, some disagree with this line of thinking, stating that coil replacement is more along the lines of routine maintenance, as you are replacing a component of a capital asset rather than an entire asset than can be depreciated.  Although the coil would indeed extend the life of the asset, the coil is only one component.   All of the components in the HVAC unit would be included in a capital definition in that scenario, which would typically not bear up to scrutiny, so goes the argument.

From the discussion on X-Change, it seems that one of the prime drivers in the capital vs. expense debate is a company’s policies, which, as seen from the discussion, are highly variable.  Some companies have a higher threshold than others on what can be considered a capital expense and others believe their company should only count new assets as capital expenses.

If you did not get a chance to post on X-Change, please tell us below in the comments section what you think about this discussion. Do you believe replacements, such as HVAC coils, should be counted as a capital expense?

NRF’s Big Show didn’t disappoint attendees with information on how, and in some cases why, the omni-shopper continues to transform the retail industry. And judging from the types of vendors on the exhibit hall floor, there is a huge supporting cast of characters churning on the data, gathering and analysis.

Although there doesn’t appear to be much buzz from Facilities Managers on how the industry is being revolutionized, speakers at the show (which drew more than 25,000 retailers from around the globe) repeatedly emphasized the importance of the store in the evolving strategy.

Tom Belk, CEO of retail department store Belk, speaking in New York to NRF audiences, outlined his company’s multi-prong strategy to use new technology to retain customers, along with multi-million dollar investments in branding and service excellence. However, Belk stressed the single greatest area of spend is taking place at the store level, for expansions and upgrades.

Other experts expounded on the ongoing value of the in-store experience. For instance, David Kepron, of Retail (r)Evolution, lauded Apple’s ability to attract more than 72 million people through its doors in the last quarter of 2012. Basically every person in the U.S. went to an Apple store last year, Kepron says “… because they help you solve problems on how you connect to the world and other people.”

“Stores, Kepron says, will never go away because they will remain as the conduit that embodies the connection between the brand and you and the people. The store is the place where it all connects. In stores, people are connecting to other people, asking for information to help them to make decisions. The store as a social connection place is more important than ever.”

“Stores provide memories and connections to people, things you can’t put in a shopping bag. These memories are right-brain experiences and are very powerful motivators. In a world where we have so much,” Kepron stresses, “we want something meaningful, a connection. Stores give us that. Retailers give us that.”

So, for all the hype around smart phones and online shopping, it seems success is still achieved by making sure the customers’ in-store experience continues to meet with expectations. This means facilities departments will need to remain intact and evolve to deliver the brand’s promise. And, of course, you’re still being relied upon to make it all happen, in the store.

Greetings FMs! Looking back over the growth in our resource offerings throughout 2012, we’ve covered a good bit of territory together, keeping up with ever-changing trends in retail facilities management.

For instance, with your guidance and support in 2012, PRSM Association developed and launched more than a dozen new resources, focusing on a wide variety of topics. Resources included the HVAC Benchmarking Report, the Sustainability Resource Center, toolkits on lighting, disaster planning and management, and building automation systems, along with white papers on snow and ice management, sourcing and KPI applications. Together, we greatly expanded our offerings in hopes of providing you with the tools needed to grow as facilities management professionals.

With the wide open possibilities of 2013 right out front of us we are now working on a number of projects scheduled for completion in the coming months.

For instance, the Sustainability Resource Center will be expanding, with upcoming releases on green cleaning, water and energy efficiency, outdoor site maintenance, and indoor environmental quality.

The 2013 Best Practices Book is also underway, as well as data gathering for two new Benchmarking reports, the first of which cover janitorial services.

We hope the output from 2012 helped increase the value you bring to your organization and the value that PRSM brings to you. Going forward, in 2013, we hope to advance that mission by addressing your hot-button issues. Please post your thoughts on topics you would like to see expanded or developed. There are many opportunities to get involved with PRSM Association, your feedback and direction is the starting point.

Happy New Year!

As I sit in the Phoenix airport at the conclusion of the ICSC RetailGreen Conference, I am reflecting on the whole question of who cares most about sustainable retail environments.  I am also pondering who within retail is in the best position to make a significant sea change towards “greening” retail. 

My conclusion is that it takes a village.  Everyone has skin in the game…developers, landlords, vendors, and especially retailers at all levels (architecture, construction, sourcing, real estate and facilities). Some of these groups outside of the retailer are more willing than others to be players.  But, at the end of the day, the ultimate responsibility falls on the retailer to drive the change. Not only is retail the initial financial source, but the brand has the most to gain.  Consequently, facilities maintenance is most responsible for making it stick. 

While facilities management is the end point in the design, build and open phases, it is a valued team player that should be at the table to ensure the sustainability initiatives are maintained for the life of the store.  During one of the ICSC sessions, a retailer panelist who oversees corporate sustainability was asked where the push comes from to be a sustainable brand.  While he acknowledged that it has to have support from the top, he was quick to add it is engrained in the corporate culture at all levels, including the store associates who are the touch point for the customer.  In short, everyone has skin in the game. 

After the conference, I am coming away feeling very proud of the part PRSM plays in helping retail FMs to be key players in creating and maintaining sustainable retail environments. Our Sustainability Initiative offers members the peer and industry resources, information and education they can tap to be true contributors to a green store environment. Of all the people in the chain, FMs are the only ones that have the vendor resources, decision making authority, and sometimes the passion to maintain a sustainable store. So, retail FMs, stand tall and wield your authority wisely for the benefit of greening retail. 

When it comes to grabbing a bite research shows consumers are more likely than ever to dine as they shop for packaged goods, clothing and gasoline.

According to the recently released U.K. Retail Foodservice Consumer Trend Report, convenience and affordability are key factors driving consumers to increase their consumption of retail-prepared foods. The Report guides retailers in key areas:

Understand retail foodservice consumption behavior: Examine patronage, sourcing, day-part (eating patterns), dining party. Retail foodservice locations include:

• Traditional supermarkets
• High-street retailers
• Convenience stores
• Cash and carry stores
• Garden centers

Explore purchase and traffic drivers: Determine how quality, health, convenience, value, service, ambiance and more influence the retail foodservice decision.

Support menu and product development: Identify the retail foods and beverages your typical consumers purchase for breakfast, lunch, dinner and snacks.

Discover how retail foodservice competes with restaurants: Learn how consumers compare limited- and full service restaurants and retail foodservice locations.

PRSM Member Kevin Herrmann, Manager Maintenance at The Fresh Market, Inc., agrees the trend is expanding as retailers experiment with hybrid models.  Guiding other FMs who are leaping into foodservice, Kevin says, “The move will require FMs to be more focused on the changes in equipment and building services to support the ready-to-eat environment.”

For instance: the required extra-prep and hand wash facilities, the additional grease-in-the-waste plumbing system, and the additional maintenance and care for the cooking equipment; required exhaust hoods if producing grease laden air in the cooking process, are a couple of things that immediately come to mind.”

“Also, initial construction costs, as well as the ongoing maintenance costs, need to be considered in the fiscal evaluation of adding this line.  That being said, it is a very profitable segment and can drive increases in sales volume without increasing square footage.”

According to Fare Magazine, which focuses on helping foodservice operators explore opportunities in traditional retail segments, these trends are worth watching:

Redefining “Health”

Consumers are beginning to ask for more healthful meal options away from home—but they’re also changing what “healthy” means to them. Natural, wholesome, organic, local and fresh attributes are considerably more important than low-fat, sodium-free or other traditional healthful-food labels.

Day-Parts Get Fuzzy

The second-fastest-growing day-part of the past two years has been snacking— proof that consumers are moving further away from three square meals a day. Late-morning, late-afternoon and late-night snacking are all changing the way foodservice operators tackle the day.

The Other Hybrid

Is it a restaurant? A c-store? A grocer? Mixed retail-foodservice concepts are changing the way we categorize operations. C-store/restaurant hybrids are helping college campuses in particular compete with off-campus options and cater to a wider variety of customers on a daily basis, with a mix of grab-and-go, made-to-order and convenience items under one roof.

C-Stores at a Crossroads

Torn between promises of strong margins and the investment required to succeed, c-store retailers are learning they must go all-in in order to win at foodservice. Along with that comes an extra hurdle: Most consumers still don’t think of c-stores as a mealtime option, making share of mind just as important as share of stomach.

As all retailers challenge the norm, options to include foodservice can very well increase foot-traffic and prolong the time customers spend in the store.   

We all know the saying, “Tell me who your friends are and I’ll tell you…” and to some extent that couldn’t hold more true anywhere than in the world of retail and its supporting cast in facilities management.  For years now most retail companies have had sustainability metrics they’ve been trying to hit on an annual basis, the time was certain to come when attention would be turned to measuring the impact of facilities management and its ongoing procurement of goods and services.     

 Across retail FM procurement captures a diverse mix of products, materials, appliances, equipment and/or services.  Each category type often has its own measurement, benchmark, certification, standard or label to verify its sustainable performance or attributes.  At the outset it’s difficult to determine which certifications, standards, benchmarks, and percentages to endorse.  Herein lies the biggest challenge in developing a comprehensive Environmental Procurement Policy – each team will be required to research the environmental label types and/or quantitative metrics used by the vendor to validate the environmental impact of their item. For retailers with strong vendor relationships, a simple task would be to ask your vendor partner to supply you with a list of the environmental labels that are relevant to their product line and/or service and also request if they’d be willing to go through some form of verification process.

For example, when specifying paper products such as toilet paper and napkins, the requirements may be as follows:  

"All paper products must meet the following requirements:

- at the very minimum, 25% of contents must be made of recycled content.

- the balance of the non-recycled contents must come from SFC- or FSC-verified sources.”

As you can see, the environmental expectations not only require a recycled content percentage, but also require the non-recycled paper content to be from sustainably managed forests - meaning the content adheres to a third-party certification system.

PRSM association’s new Retail facilities Green Procurement Resource Guide is a 9-page instructional report, with links to more than 30 additional resources, all designed to educate the retail facilities manager on challenges and best practices on the topic.  Sample case study, policy drafts and scorecards, etc. from PRSM Retail Members are compiled into this first-ever offering for the Retail FM. 

Follow this link to download this latest component to the Sustainability Resource Center.

Tell your story (comment below) on how green procurement has improved your bottom line or relationships.  Have a best practice relating to green procurement?  Submit it for the 2013 Best Practices Book here.