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JLL India facility mgmt biz grows at average 60% annually

New Delhi: With growing facility managementbusiness in India, property consultant JLL India has clocked60 per cent average growth annually in the last 15 years andis managing 250 million sq ft of space for corporates andother clients.

JLL’s integrated facilities management (IFM) operationshave achieved double-digit growth in turnover and it expectssimilar growth going forward.

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

Of the total area under facility management, about 100million sq ft spaces are from corporate occupiers and the rest150 million sq ft pertains to shopping malls and common areasin housing projects.

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

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

Scope of work under facility management contracts includesengineering & maintenance, housekeeping, pest control, repairand maintenance, pay-rolling, vendor management and securityservices among others.

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

Asked about the revenue earnings, Sethi said: “In terms ofturnover, we have seen double digit growth year-on-year sincewe started operations in India, and will continue to grow at asimilar pace.”The company’s bulk of the business comes from MNCs with 60per cent share. Apart from MNCs, its client portfolio includesIT/ITeS firms, banking and financial services firms, pharmacompanies, manufacturing industries, malls and residentialcomplexes among others.

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

JLL India recently tied up with Manpower group and EMPIBusiness School to offer certificate programmes in facilitiesmanagement as there has been an increased demand forindustry-ready professionals.

On the overall market, Sethi said the size of organisedfacility management services industry is pegged at around USD7.6 billion, and has grown at 15-20 per cent over the last fewyears.

The key growth drivers have been the increased presence ofglobal industries in India, increased adoption of facilitymanagement outsourcing and growth of certain sectors likeretail, hospitality, industrial and healthcare, JLL said. PTIMJH ABKANU