Coop in facility management agreement with Coor
Effective today, nationwide Swedish food retailer Coop has signed an agreement with Coor Service Management AB to provide facility management services at 350 stores in Sweden, and at Coop’s office in Solna, Stockholm.
This is a five-year deal involving FM services such as cleaning, waste management and security, as well as technical services, with annual value of some SEK 150 m.
Coop currently has agreements with about 2,000 providers in this segment. The deal with Coor means Coop will sharply reduce its supplier base, and gain harmonized working methods. The agreement also involves the start-up of a central customer service facility for fault reporting and managing the support service requirements of stores and its office.
“This deal brings us a resource-efficient solution to support and technical services for stores and at our office, bringing us yearly cost savings of tens of millions of Swedish kronor. It also frees up time for our staff in stores to focus more on giving our customers the best service possible,” commented Johnny Capor, Interim President and CEO of KF (the Swedish Co-operative Society) and Coop, its retail arm.
With assistance from KF Fastigheter AB, Coop Inköp & Kategori AB conducted its tender process during the first half-year 2013. Apart from cost and time savings, this deal also brings Coop very good control over its FM support and technical services, which become compliant with Coop’s Code of Conduct as Coor Service Management AB assumes responsibility for them.
“We’re delighted to start up this new partnership with Coop and are looking forward to our mission of taking on responsibility for coordinating, leading and streamlining services for its stores and office,” responded Ulf Wretskog, President of Coor Service Management Sweden.
The agreement becomes effective on 15 January 2014, and is being implemented during 2014 as existing agreements in this segment expire.