Case Study: LED lighting retrofits replacing fluorescents reduces maintenance costs and greenhouse gases.

Case Study: LED lighting retrofits replacing fluorescents reduces maintenance costs and greenhouse gases.

The Customer:

A manufacturer of electrical and print technology products with several manufacturing locations and strategically positioned distribution warehouses throughout the United States to service their various customer bases. The company offers graphic vinyl films, flexible substrates, print technology, and commercial and electrical signage products.

The Objective:

This manufacturer needed a solution to reduce energy costs while maintaining current light levels at an East coast manufacturing facility.

The Challenge:

Reviewing their existing lighting configuration and components (T12-Lamps, Magnetic Ballasts) we recognized that a traditional retrofit approach of replacing these outdated components with upgraded lamps and ballasts would best achieve a cost-effective improvement.

The Solution:

We offered a lighting retrofit program to replace the existing outdated 360 T12 fluorescent lamped-fixtures with new high-performance, long lasting, energy efficient T8 lamps and Electronic Ballasts. Our project management team executed this retrofit on time and within the budget without any disruptions to manufacturing schedules.

The Results:
  1. An immediate reduction of maintenance costs estimated at $7,000+ annually for the first 4-years due to both the products rated life (36,000 hrs.) and their multi-year
    warranty.
  2. An immediate reduction of energy usage by 53% AND an estimated $12,000+ annual utility cost savings based on the U.S. average retail price of electricity of $0.1032.
  3. An annual reduction of 34,286 lbs. of greenhouse gases emitted into the atmosphere (a fundamental cause of the greenhouse effect).

“The difference is stunning, both visually and financially. The fixtures make a big difference
in the work environment, and we’re extremely pleased with the end result”.

Interested in Learning More?

To learn more about lighting and general maintenance for your multi-site portfolio,
give Ferrandino & Son a call at:
866-571-4609
and ask to speak to someone in our Business Development Team.
You can also reach us at: sales@ferrandinoandson.com

Case Study: Capital Projects Cost-Plus Wins!

Case Study: Capital Projects Cost-Plus Wins!

Case Study Overview

A national REIT with thousands of properties anchored mostly by well-known grocery chains was looking to consolidate their capital expenditures with one company. Some of the outcomes they hoped to achieve included improved pricing, faster turnaround times from “scoped job” to completion, better communication channels with the partner doing the work and a completely upgraded validation process for when work is completed.

They needed a better way of handling their capital work.

Project Kickoff

After multiple meetings with different stakeholders to learn more about the needs of the program, Ferrandino & Son launched the program with a two day workshop, bringing in members of our own Capital Projects Team along with IT, Finance and Senior Leadership.

The client was represented with stakeholders from their Facility Department, Operations, Procurement, Accounting and Risk Management teams.

The goals of the workshop included the following:

  1. Identify the goals of each department and then to define the outcome that would be achieved if we delivered on those goals.
  2. Develop a project workflow that would be the guide for every capital initiative, regardless of scale or spend.
  3. Develop a plan to provide transparency and better budget certainly around the projects.
Project Challenges

The client was burdened with what they felt was an outdated model.  Each project was being managed by a local stakeholder, using unique vendor pools with different scopes, missed deadlines and a complete lack of transparency on the final product delivered.  The client needed guidance on how to manage the workflow.

Through the initial planning stages, we identified 3 critical steps:

Step #1: Planning: Identify each area for repair, how each bid should be broken down (areas of the site), and what the time frame is for the project. This would allow all vendors to quote the same scope of work.

Step #2: Communication: Work directly with the Property Managers to ensure each site had before and after pictures and the work was done to the full extent requested by the Property Manager.

Step #3: Budget: Using our Subject Matter Experts, we were able to negotiate the best price per project and ensure that all work would be completed to brand standards.

Ferrandino & Son’s Solutions

With multiple locations in different territories, it was important for Ferrandino & Son to create a plan that was easy for the client to understand and stay within their budget.

Ferrandino & Son first executed site walks at each property. Conversations with each Property Manager, validating areas to be covered, detailed breakdowns of the bids, defining strong time frames and reviewing photos were crucial to ensuring a detailed SOW would be supplied to each vendor to follow. This was all validated by the Property Managers.

After vendor submissions estimates were received, negotiations began with quotes being resubmitted and proposal drawn up for each Property Manager. Once approved by the Property Managers, Ferrandino & Son was able to offer complete oversight during the project.  Project updates and pictures were sent throughout the process to keep the Property Manager up-to-date. In addition, once each project was completed, pictures and completed punch lists were issued to the Property Mangers for final approval.

These new processes significantly improved the time each project took to complete with one point of contact to manage each project from beginning to end.

Summary

Communication was the key to completing this project and driving costs within the budget. The initial stages of reviewing each property with the Property Manager was crucial to ensuring each vendor was able to submit a proposal based on the same requirements.

In addition, this helped with further negotiations and receiving better prices for the work to be completed. The consolidation this REIT took with Ferrandino & Son helped reduce project completion by 30% and additional Cap Ex projects were able to be funneled into this program for Insurance Claims, Emergency Services, and Violations from Inspections resulting in a higher ROI for everybody.

The program ultimately landed on a cost-plus model that allowed both sides to remove the uncertainty around cost and allowed the relationship to move into more of a collaborative effort.

A win-win for everybody.

Interested in Learning More?

To learn more about Capital Projects and a Cost-Plus program for your multi-site portfolio,
give Ferrandino & Son a call at:
866-571-4609
and ask to speak to someone in our Business Development Team.
You can also reach us at: sales@ferrandinoandson.com

Case Study: LED Lighting Retrofit — Distribution Center

Case Study: LED Lighting Retrofit — Distribution Center

The Customer:

A premier kitchen and bath distributor twice named America’s “Wholesaler of the Year”. The company is responsible for supplying some of the most exclusive residences, opulent estates, hotels, landmarks, sports stadiums, hospitals, and universities in the Northeast.

The Objective:

This distributor needed a solution to reduce both energy and maintenance costs while improving current light levels at one of its largest Northeast distribution facilities.

The Challenge:

Review both their existing interior and exterior lighting configurations and components (Interior-T12-Lamps, Magnetic Ballasts: Exterior–HID/HPS Lamps, Magnetic Ballasts) to decipher a more cost effective solution. After review, we recognized that a traditional retrofit approach of replacing these outdated components with upgraded lamps and ballasts would not achieve the cost-effective improvement required.

The Solution:

We offered an LED retrofit installation program to replace the existing outdated 943 interior T12 fluorescent lamped-fixtures with new high-performance, long lasting, energy efficient LED Tubes, and the 33 exterior HID/HPS fixtures with new energy efficient LED fixtures. The Project Management Team executed this retrofit on time and on budget.

The Results:
  1.  An immediate reduction in maintenance costs estimated at $23,000 annually for the next 10 years due to both the products rated life (60,000 hrs.) and their multi-year warranty.
  2. An immediate reduction of energy usage by 68% AND an estimated $40,000+ annual utility cost savings based on the U.S. average retail price of electricity of $0.1032.
  3. An annual reduction of 303,000 lbs. of Greenhouse Gases emitted into the atmosphere.
  4. This installation qualified for the maximum $63,000 Energy Improvement and Extension Act 2008 (EPACT) tax deduction for capital improvements.

Interested in Learning More?

To learn more about lighting and general maintenance for your multi-site portfolio,
give Ferrandino & Son a call at:
866-571-4609
and ask to speak to someone in our Business Development Team.
You can also reach us at: sales@ferrandinoandson.com

Case Study: Lighting Retrofit for Company’s Workshop

Case Study: Lighting Retrofit for Company’s Workshop

Project Theme

A multi-site healthcare company had converted an old warehouse into their own version of a Think Tank.  Designed to allow both small and large groups to workshop issues, the space had become part of the fabric of the business. The challenge was when the space was converted, they didn’t replace their energy-deficient metal halides, causing not just an increased cost in energy use but also a working space that often appeared dim and uninviting. The goal was to bring in Ferrandino & Son to “workshop” their own solution on how best to bring their lighting up to a higher standard, providing the employees with the proper lighting they would need to maximize the work being done in the space.

Project Challenges

They were also having a maintenance issue due to bulbs burning out and gaps in the layout of the current fixtures.  Many fixtures lacked basic covers so there was also the risk of breakage and having employees exposed to damaging mercury. So it just wasn’t a product issue but also possibly a layout or design challenge.  In addition, they needed to determine the potential savings of going with a more energy efficient solution as the entire project would require the approval of the CFO.

Ferrandino & Son’s Solutions

Working with lighting manufacturers and our lighting distributors, we performed a lighting study.  The study was based on adequate lighting levels, quality of light, energy efficiencies, and reducing maintenance cost.  Once the study was completed we were able to select the proper fixture to provide optimum lighting for the space.  Using design software, we created a lighting layout based on the fixture specifications.  This layout identified the accurate spacing and height to deliver the needed lighting levels for the specific work spaces. We developed and a project plan with which included removal of the existing fixtures. Reworking of the existing electrical grid to supply power to the new fixture placement. Installation of fixtures and testing to confirm our design and placement met the required quality of light and light levels. We developed a project plan which included:

    • Removal of existing fixtures
    • Reworking the electrical grid to power the new fixtures
    • Installation of new fixtures
    • Testing to ensure the design and placement met the required quality standards for light and light levels

Outcomes

By choosing a high efficiency LED lighting fixture we were able to achieve all the requirements identified in the study.  The lighting design and fixtures provided the quality and level of lighting desired. Switching from the metal halide fixtures to the new LED technology we reduced energy consumption by 60%. The fixtures have a five year warranty and a 50,000 hour rated life which will reduce maintenance cost.  

Interested in Learning More?

To learn more about lighting and general maintenance for your multi-site portfolio, give Ferrandino & Son a call at: 866-571-4609 and ask to speak to someone in our Business Development Team. You can also reach us at: sales@ferrandinoandson.com

Case Study: Interior Lighting Preventative Maintenance Program

Case Study: Interior Lighting Preventative Maintenance Program

The Customer:

Small box retailer with thousands of mall locations.

The Objective:

This retailer needed an interior lighting maintenance program that would reduce their annual lighting and electrical maintenance costs.

The Challenge:

With more than 2,000 stores of varying sizes and multiple prototypes, we quickly recognized the need to capture individual site data to ensure the technician would have the proper materials on-hand when servicing a store. The ability to capture a consolidated picture of the different types of materials would allow us to offer alternate products and improved pricing through manufacturer’s purchasing agreements.

The Solution:

We offered a fixed fee lighting program and instituted a program to compile site lighting data on the first maintenance visit for every location. Technicians recorded and transmitted this information to our account management team, and site data was then entered into the work order management system. This system, designed to manage all customer programs, also serves as a database for customer site data. By analyzing this data our account management team was able to make recommendations to better service our customer and reduce their costs.

The Results:

  1. The first four months of the program saw an 87% reduction in the number of reactive service calls. This led to a 92% reduction in reactive repairs, of which, only 45% of this amount was used on the preventative program. This resulted in a dramatic savings in the first 4 months alone.
  2. An analysis of the compiled site data allowed us to recommend a new but less expensive ballast resulting in savings of $87.00 per unit for this specialty retailer. This will result in a 7 figure save over the term of the contract.

Additional Services:

  1. An in-store lighting manual created by our service management team facilitates accurate problem identification for store personnel when requesting a work order.
  2. We have assumed responsibility for managing the manufacturer’s warranty coverage on all ballasts.

Conclusion: 

The 4 month test drove the client to institute the program across their portfolio, resulting in a shift in how they viewed all of their maintenance spending. Today, they are testing out a handyman preventative maintenance program with talks of considering others in the next fiscal year.

Interested in Learning More?

To learn more about lighting and general maintenance for your multi-site portfolio, give Ferrandino & Son a call at: 866-571-4609 and ask to speak to someone in our Business Development Team. You can also reach us at: sales@ferrandinoandson.com

National Hotel Chain Implements Landscape Audit Program

National Hotel Chain Implements Landscape Audit Program

Project Theme

A national hotel chain was 6 months into a landscape contract that included 4 regional suppliers and 3 national suppliers. Initial feedback on services were inconsistent. Their own Hotel Managers were providing mixed reviews of how the program was going and the self-audits the suppliers were providing painted a picture of above average results.

With Operational Leadership pushing for improvement and Facilities needing some mechanism to capture and measure the results, the suggestion was pitched to approach an outside audit firm who could provide an independent analysis of their program.

Ferrandino & Son was approached for two reasons. First, they were familiar with the scope of work as they had participated in the RFP. While not awarded any of the portfolio during the bid because of their inability to meet the pricing goals, Ferrandino & Son was well-respected within the brand due to their approach during the RFP process.

Second, Ferrandino & Son has one of the largest field presences in the commercial landscape industry so their ability to provide “boots on the ground” across the entire hotel chains portfolio was something that could be leveraged.

The hope was that by initiating site audits through Ferrandino & Son, the national hotel chain could ensure the services they were paying for were getting completed and if there were performance issues, they could be identified quickly so as not to negatively impact the entire landscape program.

Project Challenges

The national hotel chain felt they had 4 challenges they needed to overcome to make an independent audit successful.

1. They needed an audit partner who had coverage across their entire portfolio, which at the time included properties in 41 states.

2. They required a digital survey tool that could capture inspections in real-time and offered some level of dashboard reporting where they could drill down into regions, districts, and ultimately to the property level.

3. They needed the ability to cross-reference the properties to their vendor assignments so that a custom scorecard could be built for each supplier partner.

4. Due to the current issues they were experiencing, they needed a partner who could ramp up quickly, so they didn’t lose the buy-in of their operational teams.

Ferrandino & Son’s Solutions

Ferrandino & Son implemented a 4 step process to ramp up and roll-out the program.

1. They customized the audit survey to the client’s scope of work, incorporating specific weighted values for those items deemed most critical to their stakeholders.

2. They conducted site walks in each of their 4 regions, bench-marking expectations and perceptions on existing properties to leverage the coaching and training that would occur with their Territory Managers when the audits began.

3. They built out a dashboard reporting system that would showcase the data in multiple formats, including by site, district, state, region, and even by supplier.

4. They helped build out the communication plan to the properties and suppliers in advance. This made people aware of the audits occurring, how the information would be shared, and what the goals were. The primary goal being to ensure a consistent, quality service across the entire hotel chain.

Outcomes

Over the first 6 months of the audit program, Ferrandino & Son performed 1,624 inspections, which amounted to a quarterly inspection for each property. The results were impactful.

1. Performance across the board was not as poor as the perception was at the time Ferrandino & Son was initiated.

2. The audit highlighted a discrepancy between the scope and what the hotels believed they should be receiving – something easily corrected through coaching and improved communication.

3. The audits highlighted a gap in chemicals being applied to scope and the full weekly services being performed.

4. While most suppliers graded well overall, one national supplier and one regional supplier did not score well and were moved into a probationary period with specific action plans developed to try to coach them up.

Lessons Learned

For the client, it called out their need to have improved program management on all service programs and how critical real data can be to help manage and make decisions in real-time. For Ferrandino & Son, it was a chance to tweak their own audit process, incorporating some new attributes that they can leverage in their future programs.

Fundamentally, the goals as outlined at inception were achieved and an even more strategic, long-term audit plan was designed. Ferrandino & Son was awarded the work for the term of the existing landscape contract and look forward to expanding their audit program into other service programs with this client.

Interested in Learning More?

To learn more about property maintenance or comprehensive landscape programs for your multi-site portfolio, give Ferrandino & Son a call at: 866-571-4609 and ask to speak to someone in our Business Development Team. You can also reach us at: sales@ferrandinoandson.com