Service Management International (SMI) will be London-based and comprises Mitie Group (UK), Sin&Stes (France) and Kluh Group (Germany).
The new group aims to capitalise on offering a single supplier solution in a fragmented market.
Juergen Kulka, 50, has been appointed the group's managing director. Kulka, an economist who was previously a managing director at Johnson Controls — both in the UK and other European countries — started work for SMI on 1 June.
SMI's three parent companies have a presence in eight countries. It was designed for pan-European contracts, as 'a single point of reference', Kulka said, because this is what multinationals want, and often find difficult to get.
'Our customers (from the three parent companies) pushed for it [collaboration]. There is a tendency to centralise outsourcing for multinationals because it provides transparency and cost savings,' he added. A single point of reference makes things easier for businesses and cuts complexity.
'The service industry lacks standardised controls and mechanisms and that is a concern,' he said. It is a concern that SMI aims to overcome.
It is talking to companies that are serviced by the three parent companies, he said. Contracts would be run from London , but regionally serviced across Europe by one of the parent companies.
Kulka said contracts were pending, but with negotiations at a sensitive stage was unable to release names. However, the clients are said to be mostly blue-chip companies. The first contract is due to be finalised 'within the next month or so,' he said.
News of the joint venture comes as Mitie Group announced that David Telling has relinquished some of his responsibilities due to health reasons, but will remain executive chairman. Ian Stewart, managing director of the Support Services Division has been appointed chief executive.
Source
The Facilities Business
