Milestone Governance Report - Stage Gate 3

HVAC Services

← Back to Stage Gate 1 & 2

Ernie Jur

Global Lead - HVAC / Water Treatment / Plumbing

Ernie.Jur@cbre.com

Paul Rushton

Global Strategic Sourcing Manager

Paul.Rushton1@cbre.com

Supplier Selection Tool

Category Strategy / Vision 

Strategic Objectives

  • Identify further upside for existing S&P providers, analyze qualified top spend suppliers for S&P opportunities,  - continue to drive the spend towards the PEP program
  • As part of an initial category strategy identify opportunities for supplier consolidation and leverage the scale 4x4 coverage of our preferred supplier contracts to deliver optimum services 
  • Eliminate pricing risk by offering more innovative solutions and agreements to our clients - with a range of best-in-class service offerings (i.e. predictive maintenance, capital replacement opportunities for more efficient systems etc)
  • Continue to build out the category calculator and pricing tools to support more informed buying decisions with validated contract pricing and regional user testing

Stakeholders Engagement 

Category Spend

$557M
$41M
$152M
AMER
APAC
EMEA

Total Spend

$750 M

Non-PEP Supplier Opportunities

Global opportunities to drive spend towards PEP participants. Requires further procurement activity

Non- PEP
Top 5
71%
20%
10%
4%
65%
50%
EMEA
AMERS
APAC
62%
4% - 20%
Non - PEP spend globally
Top 5 Non - PEP suppliers account
for this much category spend
$53M
$530k
=
Top 15 suppliers (5x region)
Partnership Fees (Assumes 1%)
EMEA
1.  Barrier Air Con - $3M
2. Crystal Air - $1.4M
3. Plant Heating Systems - $1M
4. Technigroep NV - $990K
5. Kratschmayer Luft Waerme Klima- $870K
1.  Service Logic - $11.5M
2. Rogers Mechanical -$7.6M
3. Diversified Thermal - $6.5M
4. Key Mechanical - $6.2M
5. The Brandt Co - $5.2M
AMERS
APAC
1. Capital Air Con - $4.7M
2. Stulz - $1.5M *
3. Daikin - $1M *
4. Trane - $620K *
5. Elite Air Con - $480K

*Hover over geolocation to reveal suppliers by country 

Suppliers Interactive Map

4x4 Coverage - Current

Supplier Selection Tool
HVAC Calculator
HVAC Playbook

HVAC Category Resources

4x4 Coverage  -  Future Roadmap

2024
Identify Opportunities 

  • HVAC Digital Playbook development and roll-out
  • Tool development & rollout:
     - Supplier Selection Tool
     - Category Calculator
  • Gap Identification on 4x4 coverage
  • Development of initial Category Strategy

2025
Implementation

  • 4x4 coverage gaps addressed (suppliers/pricing/contracting)
  • Establishment and collaboration with in-country category community team to support ongoing SPD supplier analysis, selection/refinement & category strategy (MSA/LCA)
  • Implementation of cost savings opportunities

2026
Embed

  • Ongoing implementation of HVAC Services category strategies/workstreams

Stage Gate 3 Objectives 

4x4 Coverage
Digital Playbook
Category Calculator