THE ESSENCE OF FACILITY MANAGEMENT ON PROPERTY DEVELOPMENT

THE ESSENCE OF FACILITY MANAGEMENT ON PROPERTY DEVELOPMENT

CHAPTER ONE

1. INTRODUCTION

1.1       BACKGROUND OF STUDY

It is a broad knowledge that one of the feature of facility management which distinguishes it from other forms of investment portfolio, is a serious requirement of management in recent times this peculiar management function has continuously undergo tremendous  transformation brought about by the agglomeration of estate and massive involvement in property by a number of land dealers, agencies and financial institutions

Facility management is an act of intermediation between owners and occupies on issues affecting the parties arising from ownership and occupation of buildings. It is a conscious process of guiding and tailoring an investment in land in to profitable venture. Its main concern is the optimization of the owner’s investment Scarrttet (1995). The practice is however, prone to a lot of problems which are capable of preventing or at best reducing the chances of realizing anticipated investment objectives. In other words, the achievement or success of the art of nursing and directing maximum return is a function of how well a property manager is able to effectively prevent and \or overcome seeming obstacles in the course of the discharge of its duties. As different from commodity, the deliverable in facility management is service. The property manager advises the client concerning the general client policy regarding cooperation and compensation and as to the best and appropriate choice of tenants for the building.

Several schools of thought have defined Management in different ways but no single definition is accepted as superior and final. According to (Officha, Onuemesi, & . Akanwa, 2012)  In their work the problem and prospect of open space management in Nigeria view Management as concerned with efficiency in the conversion of opportunity and resources into wealth. It is a vital aspect of realization of set of goals and objectives of any organization, institution or government especially in the case of those in charge of development of open spaces and it is the motive of the park planning process for the effectiveness of the recreational area.

Akpala (1992) in (Officha, Onuemesi, & . Akanwa, 2012), Confirms that management refers to people and also the process by which people do things. However, it is observed that inadequate recreational opportunity could be made productive with good administration, but that the best result could not be achieved without it. Allsopp (1979) in (Officha, Onuemesi, & . Akanwa, 2012), define management as the selection of goals and the planning, procurement, organization, coordination and control of the necessary resources for achievement. It is concerned with the dynamite of circumstance and activity as it is generally motivated by the need to economize in the use of resource and the time in activating predetermined objectives.

(Ngene, 1990), in his study state that good management demands that the needs, aspiration and the interest of people to be served should be taken into consideration.Planning is for people and recreation must be built around the desires and interest of people for effective participation on the park users.

(Butler t. , 1940), opined that management should extend to the relationship between employers and the employees in, order; to accomplish their set purpose. They must be one in mind and purpose. Poor relationship result in lack of enthusiasm on work, indifference in a half heated effort and labor unrest. These result in failure to understand the motives that makes man work, such as their hopes, ambitions and prejudices. Furthermore, design and management are related.(Hussain, 2009) Defines facility management as the process by which an organization ensures that its building system and services support core operation and processes as well as contribute to achieving its strategic objectives in changing condition.

The widen view of facility management has become increasingly important with today’s changes in organizational structures, corporate styles, technological development, environmental issues and employment pattern.

Thus facility management is far beyond looking after building and its facilities.                 (Olufem,i. D. durodola; Caleb, A. Ayedun; and Akinjare, O. Adedoyin, 2012) in their work the beneficial application of facility management in hotel organizations in south-western Nigeria their major findings are from customers’ perspective, national stock of hotels worthy of presentation ranked first, followed by improved patronage of hotels, the quality services while neat environment ranked seventeenth. There is perfect correlation between the views of organizations and facilities managers but no correlation between the views of either the organizations or facilities managers and the customers using Spearman’s Correlation Coefficient analysis. It is also noteworthy to state that this independence of opinion reflects the general tendency of egoistic predilection in Nigeria. However, none of these benefits can be disregarded as they are directly or indirectly supported by literature such as Aakers (1984), Bevan (1991), Ahmad (1998), Barrett (2000), Brackertz & Kenly (2002) and Alexander (2003).

(Hussain, 2009) Defines facility management as the process by which an organization ensures that its building system and services support core operation and processes as well as contribute to achieving its strategic objectives in changing condition.

As (Awosika, 1982) observed, the availability, adequacy and maintenance of facilities and equipment are necessary conditions for running a good and meaningful program in sports and related fields.

(Ojeme, 2009), While commenting on the state of sports facilities in Nigerian Universities, stressed that, sports facilities in Nigerian Universities are rickety, perhaps with the very insignificant exception of Ahmadu Bello University, University of Port Harcourt, University of Lagos and University of Benin. The University budget in a year cannot even lift a single sport to a meaningful level and when applied to the multi-NUGA sports programs it amounts to nothing added. He further opined that the Nigerian University system is a lame duck, unable to make any significant impact in the nation’s quest for sports excellence. Contributing further on the place of the provision and maintenance of sport facilities for effective sports programme delivery, Mgbor and Anyanjor, (Mgbor & Anyanjo, 2005); and (OJeme, 2005), all emphasized on the relevance of the presence, adequacy, supply and maintenance of equipment and facilities to the smooth operations of any sports and fitness programs.

From the above scenario, it may not be out of place for anyone to postulate that there may be impediments towards the realization of this thrust placed on Nigerian Universities. This study therefore is an attempt to assess the management of recreational facilities in Nigeria public spaces especially in Abuja with a view to proffering suitable solutions.

The practice has advanced in many of the developed countries but still at its elementary stages in Africa and other developing economies. Efforts are still being made to construct a boundary for the activities or functions executed through the office of Facilities Management professionals (Ogbeifun, 2011).

1.2       STATEMENT OF PROBLEM

One of the most common problems of maintenance is the aspect of time from which it has been as defined probability that an item will be restored to specified conditions within a given period of time when maintenance action is performed in accordance with prescribed procedure and resources (victor, 2004). Facility which despite adequate maintenance, become obsolete as a result of changing needs demands, standard of living or technology. It is obvious that a greater part of our building and other physical facility are in danger of deteriorating below the point of economic repairs as a result of lack of management. Proper management whether recreational or otherwise is center around some key objective. The proper management of these facilities will surely fulfill the purpose of these facilities. Facilities management (FM) is based on the premises that the efficiency of any organization is linked to the physical environment in which it operates and that the environment can be improved to increase efficiency (Grimshaw and Keeffe, 1993). Furthermore the lack of a clear maintenance policy as to what maintenance needs or priorities are and also lack of funds as the root cause of maintenance works; Nicky M Nzioki (2002). Difficulty of defining standard of maintenance to be reached in relation to dynamic changes in the society, difficulty in implementing maintenance due to lack of pressure and inadequate information for effective formal planning. Although they may have been properly designed and well-built originally, the recreational facilities worn out from use .in some cases, decay may have been hastened because of lack of maintenance or neglect as such the primary aim and objectives have not been achieved because of poor maintenance by the owner(s) right from the initial stage of these facilities and as a result of these, the impact of recreational activities on the people have been drastically low (Ihenacho, Ikpeme, & Saba, 2003). World literature emphasize that there were number of research done by scholars on this scenario in different point of views. But there is a huge research gap in research regarding  the essence of facility management on property development, a research gaps worthy of research has emerged, providing some potentialstudyareas.

1.3       AIM AND OBJECTIVES

This project is aimed at examining the essence of facility management on property development in Ibadan Metropolis town. While the specific objectives are as follows:

1. To review the concept of facility management and maintenance service.
2. To examine the facility management approach in the study area.
3. To identify the problems associated with the management of property in Ibadan.
4. To suggest method of solving these identified problems towards achieving better management techniques.

1.4       RESEARCH QUESTION

1. What is the concept of facility management and maintenances service?
2. What is the facility management approach in the study area?
3. What are the problems associated with the management of property?
4. What are the ways of solving these identified problems towards achieving better management techniques?

1.5       SIGNIFICANCE OF THE STUDY

The finding of this study will be of benefit to the following:

Student in estate management and valuation, investors and researcher alike. It will also serve as a frame work for efficient property management, thus enhancing adequate return on the  investment.

1.6       SCOPE OF THE STUDY

To make a meaningful approach and critical analysis of work of the nature, one has to put in to consideration, the area of coverage. Which the research would cover thereafter, this research is based on the problems and prospects of managing multi-tenanted commercial properties with particular reference to some shopping complex in Ibadan Metropolis.

1.7       LIMITATION OF THE STUDY

Expectedly, this work met some hindrance during the stage of visit. This may include:

1. Inadequate finance for gathering information from one place to another.
2. Inadequate information might be given which may not help to proceed on the research work.
3. Lack of corporation from the questionnaires respondents. Some may not collect questionnaires some may collect but made incomplete filling.

1.8       DEFINITION OF OPRETIONAL TERMS

1. Facilities management (FM) is a multidisciplinary or Trans disciplinary profession drawing on theories and principles of engineering, architecture, design, accounting, finance, management, and behavioral science. These disciplines each have a rich history of theory, research, and practice (Teichoz, 2004).
2. Management: is the system of directing, organizing and controlling of available human skills and financial resources to achieve a stated goal.
3. Property: in relation to real estate, property is legal entity denoting the character and quality of right that an individual has or possess in a property to claim ownership of it.

1.9       BACKGROUND OF THE STUDY AREA

Ibadan, (pronounced as E- baa- dawn) the present capital of Oyo State, is the third most populous state in Nigeria after Lagos and Kano with 3.5 million dwellers. In the 1960s, Ibadan was known to be the largest city in Africa after Cairo (Egypt) and Johannesburg in South Africa. The Yoruba people are the main inhabitant of this popular city, Ibadan, which was formally called Eba Odan (the city at the edge of a Savannah) at the point of its creation. Ibadan, located in the south-western part of Nigeria served as the home for trade, commerce and fashion in the 60s and 70s making Lagos a perfect rival. Ibadan was also the centre for administration of the Western region during the colonial era.

Prior to about 1550 A.D. the kingdoms were apparently inhabited by “homogeneous” ethic groups which had a paramount rulers Oba (king). The seat of the potentate was the capital city which was the religious, political, administrative an economic centre of the kingdom of the ethic group.

The ruling dynasty of most, if not all of these kingdoms traced their origin to Ile-Ife and their descent directly or indirectly to Oduduwa. The account of the foundation of these kingdoms revealed that their founders left Ile-Ife at different times and for slightly different reasons rather than by common decision taken in normal circumstances according to tradition.

Therefore, cities established in those days were crucial to the development of the ancient urban empires in Yorubaland as they were Mesopotamia, India, Egypt, China, Central Andes and Mesoamerica. The urban empires became knowledge based societies where information and the conscious regular and systematic collection of data became an integrated part of maintaining controls.

Yoruba city concept in the Golden Age which came to an end in 1793 after the death of Alaafin Aole, was the royal capital established by the kings. As there was only one Oba (king) in the kingdom, his seat was the only city in the kingdom. Only the seat of the king was designated city which is the largest. Other small settlement called.

In the 19th century, Yoruba land was characterized by insecurity. The intra-Yoruba war (1825-1893) and the military Jihad originating from Sokoto Sultanate, which spread from the north to the south of Nigeria, provoked huge movement of people from the north to the south of Yoruba land and from the countryside to the walled cities. Thus, many old cities disappeared (Old-Oyo, Owu) whereas a new generation of fortified towns came into being (New Oyo, Abeokuta, Ibadan).

Ibadan was created in 1829 as a war camp for warriors coming from Oyo, Ife and Ijebu. A forest site and several ranges of hills, varying in elevation from 160 to 275 metres offered strategic defense opportunities. Moreover, its location at the fringe of the forest promoted its emergence as a marketing centre for traders and goods from both the forest and grassland areas. Ibadan thus began as a military state and remained so until the last decade of the 19^th century. The city-state also succeeded in building a large empire from the 1860s to the 1890s and extended over much of northern and eastern Yoruba land. It was appropriately nicknamed idi Ibon, “but of a gun”, because of its unique military character. The economy of Ibadan primarily rested on agriculture (yam, maize, vegetables….), manufacture (mainly weapons, smithery, cloth and ceramics industry) and trade (slaves, palm oil, yam, kola for export, Shea- butter, salt, horses, and weapons from outside).

The colonial period reinforced the position of the city in the Yoruba urban network.

After a small boom in rubber business (1901-1913), cocoa became the main produce of the region and attracted European and Levantine firms, as well as southern and northern traders from Lagos, Ijebu-ode and Kano among other. Their activities covered both the import of manufactured articles and the export of local agriculture produce, notably cocoa, palm oil, palm kernels, rubber, hides, and skin (Mabogunje, 1968: 195). The railway to the North reached Ibadan in 1901 and all road traffic from Lagos to the North converge in Ibadan. The city became a major point of bulk trade. Its central location and accessibility from the capital city of Lagos were major considerations in the choice of Ibadan as the headquarters of the Western Provinces (1939), which became the Western Region of Nigeria in 1952.

Physical Characteristics

The major things considered under physical characteristics of Ibadan are, geographical

location, climatic condition, vegetation, land use and location of economic activities.

 Geographical Location

Ibadan, one of the fastest growing cities in Nigeria (see plate 2.1 and 2.2) is located in Oyo State in the south-west geo-political zone of Nigeria. The State is bounded on the North by Kwara State, on the south by Ogun State, on the west by the sister state of Osun, and on the West by the neighboring Republic of Benin. (see figure 3.1).

The city of Ibadan is located approximately on longitude 3051 East of the Greenwich Meridian and latitude 70231 North of the Equator at a distance some 145kilometres worth east of Lagos. Ibadan is directly connected to many towns in Nigeria, as its rural hinterland by a system of roads, railways and air routes. The physical setting of the city consists of ridges of hills that run approximately in northwest – southeast direction. The largest of these ridges lies in the central part of the city and contains such peaks as Mapo, Mokola and Aremo. These hills range in elevation from 160 to 275 metres above sea level and thus afford the visitor a panoramic view of the city.

Climatic Condition

The average temperature of Ibadan is 27 C, with a range of 4 C; the mean annual rainfall is above 1,505mm while the relative humidity is between 60% and 80%. (Source; Oyo State Statistical Year Book).

Vegetation

According to O.A. Iwena (2000), the vegetation, of Ibadan is rainforest. It has tall trees exist in different heights; they form canopies i.e. lower, middle and upper layers; it has numerous heterogeneous species of trees like Iroko, Obeche and Mahogany.

Land use and Location of Economic Activities

The administrative and commercial importance of Ibadan has resulted in land being a key investment, an asset and a status symbol for the population. This has been evident in the frequency of and disputes in the city due to multiple ownerships. Although land  ownership is theoretically vested in the government through a land use decree, land is still very much private owned by families and lineages. Beside, multiple ownerships, land disputes also arise from non-compliance by people building houses in contravention to building codes and regulation.

The total land area of the eleven Local Governments of the Ibadan metropolitan area is

3.123km² out of which about 15% falls in Urban Ibadan while the remaining 85% is in Rural Ibadan. Ibadan North Local Government has the largest land area among the urban Local Governments with 145.58km² while Ibadan North West is the smallest with 31.38km². The second largest local government in Urban Ibadan is Ibadan South West with 124,55km² this represents about 4% of the total land of the City and about one quarter of Urban Ibadan.

For the rural Local Governments, Ido has the largest land area with 865.49km² representing 27.71% of the total land of the City and 32.54% of the total rural land area. This is followed by Ona Ara Local Government with 277. 10km² while Egbeda Local Government has the least land area of 136.83km.

Scio-Economic Characteristics

Economic base and Occupation Structure

The economy of Ibadan primarily rested on agriculture (yam, maize, vegetables….), manufacture (mainly weapons, smithery, cloth and ceramics industry) and trade (slaves, palm oil, yam, kola for export, shea butter, salt, horses, weapons from outside).After the rubber boom their activities covered both the import of manufactured articles and the export of local agriculture produce, notably cocoa, palm oil, palm kernels, rubber, hides, and skin (Mabogunje, 1968: 195).

Population Growth

The growth of the population of Ibadan has also been equally remarkable. From a war camp consisting in 1829 of a motley collection of soldiers, the population rose from the estimated 100,000 in 1851 to 175,000 in 1911. Between 1911 and 1921 it increased at about 3.1percent per annum to 238,075. The rate of increase between 1921 and 1931 was

0.5percent per annum while it was only 0.8percent per annum for the period between  931 and 1952 when the population rose from 387,133 to 459,196. In 1952, the less city was counted and it was 286,252. From then on, the population of Ibadan metropolitan area increased at a growth rate of 3.95percent per annum from 1952 and 1963 when the population rose to 1,258,625. The population rose to 1,829.300 in 1999 at a growth rate of 1.65% from 1963 and increased to 1,338,659 in 2006 at a growth rate of 2.35%. However, the population growth is gradually shifting to the less city with a growth rate of 4.7% per annum between 1991 and 2006 according to the provisional census figure released by the National Population Commission (2006).