Organizations worldwide are fighting to combat and gain a competitive edge with one another. The role of FM systems has only doubled due to the advent of challenges in the real estate sector. These challenges are a threat to enterprises that are not in alignment with facilities management (FM) technology.
Let us delve deeper into the problems, top use cases, and advantages of building automation systems (BAS) in corporate real estate (CRE) sector. Let us also learn the steps of digital transformation from a traditional facility to a smarter building system. Furthermore, learn how smart FM technology drives you towards corporate success.
Top Challenges Facing Organizations: How to Overcome Them
Corporate real estate management is filled with a range of problems! It starts with something as simple as manual data management and disjointed processes or systems. There are silos in data computing across facilities, enhancing the need for a centralized repository for asset management.
Did you know that in the US in the year 2022, the commercial real estate market size reached $1.2 trillion?
Post-COVID-19 pandemic, the commercial real estate market size is in the stage of recovery. Additionally, the total investment in commercial real estate fell by a whopping 17% in 2022. Controversial to that, the US commercial real estate industry market size was ranked 1st in the real estate, rental, and leasing industry. It is also estimated that the Global commercial real estate market is expected to reach 3.6% by 2023.
A survey by IBIS World stated that the market size was also considered the 5th largest in the US in 2022.
The journey towards a digitally transformed facility starts with addressing the key challenges that affect organizations. Data silos, fragmentation of building systems, and lack of integration with digital solutions tend to hinder facility operations.
There are not one but several hurdles flooding the CRE market! Read more on the headwinds hitting the CRE sector.
A strategic approach to real estate management alongside FM systems can help automate building processes. How do businesses achieve their real estate strategy without stumbling with these challenges?
Read more on smart facility management and its importance here!
The Problem Statement of Commercial Buildings Without FM Systems
Facility maintenance revolves around maintaining the assets and infrastructure of the physical space. The condition maintenance of the corporate sector equally contributes to the optimal condition of the assets. Maintenance management strategies have to be implemented to ensure the proper functioning, safety, and longevity of all resources in the facility.
According to The US Bureau of Labor Statistics, globally, there are around 1.3 million general maintenance workers! Out of which 3,20,000 of them are employed in the real estate sector!
How does a huge facility try and manage all these assets and resources flowing in and out of the facility? A facility maintenance system would certainly do the trick for you.
Did you know that 80% of these CMMS maintenance management users do not use all the functions of the software they purchase? To add to the issue, several assets fail due to unplanned downtime, the cost of which is estimated to be around $50 billion/year!
So, to what does these data point to? Let me explain further…
Consider an example of room maintenance where a specific company/consultant was employed to assist with smart building management. It is crucial for transforming the facility into a fully functional and automated building system.
The management consultant may suggest changes that are expected to create room for additional expenses with several critical equipment sensors and advanced supporting IoT devices. After spending several thousands on these technologies, it is expected to receive an immediate return on investment (ROI).
Does it happen? No! It depends on several other factors:
- How well-trained and aware are the maintenance staff in using these complex assets and devices? What is the level of expertise in following these smart building solutions digital systems, software, and apps?
- How are they receiving the alerts for maintenance management? What method does the information flow follow from one person to another?
- Are all the existing systems seamlessly integrating with the new smart building solution?
How do you navigate amidst the problems to achieve corporate success? What if I told you that you can avert all those key challenges and obstacles with just swift movement in the right direction?
Furthermore, the business operations of your commercial buildings can be automated with the right project management team. With access to customized templates, simplified integration, and seamless amalgamation of all digital systems, your business will be running on wheels in no time!
Confused about tailor-made IWMS software solutions in the US market? You are only 5 steps away from creating a Digitally Transformed Building System! Read more to know how.
What are the 5 Steps to Transforming your Commercial Buildings with FM Technology?
Digitally transforming your facility is not a quick process. It is a procedure that must be molded and shaped with time and technology. One must also ensure the FM system integrates with existing systems seamlessly without creating more disparity with one another. The FM system must be the bridge that connects devices and users in a single frame.
1. The stage of assessment and setting objectives
Identify the pain points, goals, objectives, and inefficiencies in the current facility management process that the business is following. Ask questions to stabilize the approach with FM technology head-on!
- Why do you need a IWMS maintenance management system?
- What are the challenges that your facility needs to overcome?
- What is the financial status of the company and what is the target ROI that you are seeking to achieve?
- What are the goals that you are focused on achieving?
The end goals may include energy management, space optimization, maintenance management, inventory and warehouse management, water management, indoor air quality IAQ management, etc.
This also means a collaborative approach with digital systems in alignment with FM technology.
2. Evaluating and selecting the right technology
Once the goals are clear and set as per business objectives, now focus on the FM technology that helps achieve them. With evolving technological changes, keep in mind the integration of legacy systems and their upgradation.
Be mindful of disparate systems creating data silos. Make sure your strategy encompasses and holds the intention to retain most of the non-digital and digital systems, which in turn decreases the ROI for the organization.
3. Data integration and collection
Corporate real estate will naturally house numerous assets and devices in a facility. With multiple facilities and digital solutions, it is crucial to ensure the cohesion of data sources like maintenance records, occupancy data, previous history, IoT sensors, etc.
Once the data flow is set between users and the organization, it is time to be concerned about comprehensively viewing the data for usage.
4. Feature optimization and enhancement
Utilize the features of FM technology for accurately tracking and facilitating mindful asset and space management. Implement strategies of predictive maintenance by imbibing sensors to predict and forecast maintenance needs. Analyzing data also ensures the prevention of unplanned downtime of assets.
Automate your business by automating assets and their functions. This can include HVAC, lighting, the implication of digital twin technology, occupancy monitoring, energy management, remote monitoring, mobile access, real-time access to data, etc.
To enhance the workplace experience of the employees, ascertain integrating with features like way-finding, immediate alert sender, lucid user interface, smart controls like parking lights and sensors, etc.
From an insight shared by Deloitte, they mentioned saving $5 million in their annual maintenance costs across all these plants. This was feasible due to the implication of digital systems and smart building solutions like enterprise resource planning (ERP) systems, production systems, computerized maintenance management systems (CMMS), critical equipment sensors, etc.
5. Data analytics and reports
Gather feedback from the users and stakeholders on the implemented FM technology and digital system and create room for continuous improvements. Address the pain points of the digital systems that are shrinking the performance of the company.
Corporate real estate can flourish by thoroughly evaluating the data and monitoring it to enhance the performance of the resources in the facility. Generate comprehensive reports to scrutinize and address the concerns hindering the overall performance of the facility. Finally, track trends and patterns to refine the technology to suit the unique business needs.
Secure your real estate portfolio with a IWMS software system. Talk to our experts to get a tailored solution for your business!
How Can We Help Ace Corporate Real Estate Portfolio with Sclera's FM Technology?
Sclera's FM technology emerges as a solution to cater for the various needs of the corporate real estate sector. The intuitive interface is designed with robust features that help address the key challenges and the pain points of each corporate real estate portfolio.
How "smart" can your commercial buildings be?
Click here to create "smarter" buildings with Sclera's FM tech.
From STRATEGY CREATION to EXECUTION, and RESULTS the digital system is designed to assist you in the hassle-free management of facilities.
Here is how Sclera can help businesses in digital transformation:
- centralized data management
- scheduled maintenance of resources
- real-time data and status management
- compliance management to meet regulatory risks
- customized user interface as per user-persona
- custom-made digital solution across sectors
- alignment with FM technology
- insights on resources and space optimization
- reduction in expenses and elevation in employee performance
- experience handling corporate real estate portfolios
To sum it up,
There is no denying the challenges of corporate real estate management. Thanks to facilities management playing a major role in smart building technology to handle the enterprise management sector.
FM technology empowers organizations in informed decision-making leading to an impactful bottom line and dynamic business success.
