Johnson Controls wins management, infrastructure contract from Novartis

Seven-year agreement for Novartis' Basel headquarters

Johnson Controls Integrated Facilities Management division (Atlanta) has agreed to provide Novartis (Basel, Switzerland) with integrated facility management and infrastructure services. The contracts, valued at $115 million over their term, will be signed in November 2000, subject to due diligence.

Johnson Controls will support four Novartis sites across their Basel headquarters and will standardize facility management service delivery across ten million square feet of facilities that includes manufacturing, research and development, and administrative operations in support of Novartis' healthcare business. Technical maintenance services and maintenance process automation will be delivered across all manufacturing equipment and scientific testing equipment. Johnson Controls will also provide infrastructure support services covering the full spectrum of facility management from mailroom and reprographics to security, fire services, and emergency service management.

Key drivers in the agreement included Johnson Controls' experience in providing integrated facility management support to pharmaceutical industry leaders and its expertise in supporting portfolios that must operate within the parameters of the Food and Drug Administration accreditation process. Johnson has committed to deliver guaranteed savings to Novartis and plans to hire every Novartis employee affected by the agreement. As many as one thousand Novartis staff, based in Basel, could wind up working for Johnson Controls.

Milwaukee, Wisconsin-based Johnson Controls, which manages more than one billion square feet of facilities worldwide, enjoyed 1999 sales of $16.1 billion.

Edited by Angelo DePalma
Managing Editor, Pharmaceutical Online and Drug Discovery Online
Email: adepalma@vertical.net