Hazel Bedson, Marketing Director at SWG, speaks with FMJ to discover how FMs are using technology. This information is extracted from our FM Technology Trends Survey 2024.
Like so many other industries, facilities management is having to react and adapt to significant socio-economic trends. From the boom in hybrid working and its implications for workplace strategy to the net-zero commitments and the need to decarbonise the built environment, the role of the facilities manager feels increasingly complex.
Against this backdrop is an ongoing digital transformation and the potential for it to make organisations both smarter and more efficient. But it can be tricky to know how far facilities management is on this particular journey and where it might be ultimately heading. The range of technologies at their disposal is growing all the time, including long-established software such as CAFM and ‘newer’ solutions such as building information modelling (BIM).
Each year for the last 12, Service Works Global has sought to learn more about how facilities practitioners are using technology through an industry survey. In March 2024, we partnered with FMJ and surveyed respondents on several key issues, such as their views on AI, other smart technology such as IoT sensors, BIM and digital twins, and the challenges they face in applying many of these solutions. This research has allowed us to identify many of the current trends and create a clearer picture of how technology is shaping the delivery of FM services.
Is FM ready for the AI revolution?
AI has dominated the headlines since the launch of the generative AI tool ChatGPT in 2022. Historically, a substantial amount of fear has surrounded the technology for its threat in replacing human workers, but views are changing. As the Royal Institution of Chartered Surveyors wrote earlier this year: “While AI may reshape certain aspects of the jobs, the focus should be on augmenting human expertise rather than replacing it entirely. By equipping oneself with AI skills, facilities managers can not only adapt to the changing environment but also mentor and guide the next generation, ensuring that the integration of AI enhances rather than diminishes the profession.”
The potential of AI lies in its ability to automate processes as well as crunch large datasets to improve decision-making and solve complex problems. In theory, AI could support FM professionals in maintenance, space management, compliance, energy efficiency, stakeholder relations, workflow automation, and more. There are several examples where AI is already making a difference. Planned preventative maintenance schedules can be made more accurate and efficient using AI-powered software to keep track of when an asset was last checked and when it should be next serviced to avoid costly downtime, while AI can assess occupancy data to identify peak hours of building use and then schedule more disruptive maintenance activities for quieter periods.
Still, our survey findings revealed a notable gap between theory and practice. Only 17 percent of respondents said they are currently using AI, while just 12 percent said they plan to use it in the next 12 months. Interestingly, our research showed that despite the hype, meaningful applications are some way off for many – 39 percent claimed they have no immediate plans to use it, and a further 20 percent admitted that it is not on their radar at all.
This gap may be explained by the FM industry’s sluggish adoption of technology generally. According to the survey, more than one in three respondents (38 percent) are still tracking areas such as asset performance with paper documents, while nearly half (45 percent) continue to rely on manual reviews of service performance.
Predicting the future
So, if AI itself isn’t going to make that big an impact over the next 12 months, which technology will? When our survey respondents were asked this question, the most popular answer was Internet of Things sensor technology. More than one in three respondents (38 percent) reported that they already use IoT sensors across their estate, while just under one in four (17 percent) plan to implement the technology in the next year.
Equipping assets, rooms, and desks with sensors allows facilities managers to monitor and measure all sorts of crucial metrics, from asset performance and environmental conditions to occupancy and footfall. Live sensor data can inform decision-making on the fly, especially important as real estate strategy must become more fluid and responsive to change, while that data can be fed into analytics platforms to identify historical patterns that help facilities managers paint a longer-term picture of their needs.
Our survey findings backed up these assertions, with respondents seeing value in sensors to aid both the management of infrastructure and people. More than two in three cited ‘tracking/improving asset performance,’ followed closely by tracking energy usage and output (65 percent). Still, FM practitioners recognised significant value for sensors in tracking the occupancy and movement of people around the building (50 percent) and monitoring environmental conditions such as weather and temperature (20 percent).
Digitising the building lifecycle
Having predictive power is also crucial from a building lifecycle perspective. Digitising buildings allows facilities managers to keep a more detailed and accurate record of the total cost of ownership of their assets. Meanwhile, it ensures more seamless collaboration between different stakeholders throughout that lifecycle, creating buildings that work more effectively for their occupants.
Although our research showed that facilities managers see benefits in digitising their building, the adoption of technologies that make it possible remains relatively low. The gap between perception and application of BIM is a great example. Using information derived from digital representations of the physical and functional components of a building, BIM can be used to support strategic decision-making for the entire building lifecycle, providing visibility of lifecycle data, from design to operation and decommission. Nearly two-thirds of respondents (61 percent) agreed that BIM and other building lifecycle software would be valuable for digitising all building information and asset data, yet more than two-thirds are either not currently using the technology (30 percent) or have no immediate plans to use it (37 percent).
Likewise, just 6 percent reported that they currently have a full digital BIM model, while 36 percent said they had digitised parts of their estate and assets but not all. Surprisingly, 33 percent reported that they have no immediate plans to digitise. As was the case with AI, these findings suggest that FM practitioners understand the theoretical benefits BIM provides but few are currently exploiting the technology.
Actioning ESG
ESG is still high on the corporate agenda. Gartner’s annual CEO survey revealed that 67 percent of business leaders view sustainability as a key growth opportunity in 2024.
The built environment contributes around 40 percent of total global carbon emissions, meaning facilities management has a central role to play in reducing emissions and contributing to broader ESG goals. Our survey revealed that 78 percent agreed with this sentiment. Meanwhile, 93 percent said they actively monitor their estate’s energy consumption, and 84 percent have set defined goals around improving their carbon footprint.
Monitoring energy consumption and setting defined goals are impossible without the right data, increasingly derived from technology platforms such as CAFM and BIM models. The key starting point for every FM team is creating a baseline for energy consumption. This enables any function to then develop a coordinated programme of asset replacement and repair, control and automation, operational efficiencies, renewable energy sourcing and generation, behavioural change, and continuous optimisation.
Data also enables organisations to report more accurately, which is key to achieving set goals, meeting standards, and adhering to compliance. However, the research revealed another notable gap in this respect, with nearly half of respondents (46 percent) reporting that providing supporting evidence or data to prove compliance standards is a challenge. This finding is compounded by the fact that 41 percent cited the time/effort it takes to complete compliance reporting and more than a third (36 percent) cited a lack of centralised software and digital data to maintain compliance as challenges.
Looking ahead
Facilities management is in the middle of a huge transformation driven by advancements in technology. The integration of IoT, AI, and predictive analytics is revolutionising how facilities are managed, enabling more efficient, cost-effective, and sustainable operations.
More than anything, what our 2024 survey has shown is that there are still some meaningful gaps when it comes to how facilities managers perceive the various technologies in the market and their ability to utilise them. As a result, the onus is increasingly on FM practitioners, both in-house and within service providers, to stay on top of technological trends while adapting to leverage their benefits. Those who proactively adopt and integrate technology into their operations will be well-positioned to lead in a rapidly evolving industry, driving greater efficiency, sustainability, and value in the built environment.