Chapter 9
Using Technology to Manage Your Facilities in a Smarter Way*
10 High-Impact Moves to Reduce Total Cost of Occupancy
5 Minute Read
Increase efficiency and operational reliability while reducing carbon and lowering cost with connected building automation, Internet of Things, AI and advanced analytics.
The rise of hybrid work is reducing office occupancy, which in turn is reducing the required levels of facilities services. Service adjustments should match real space utilization.
Resourcing of security, janitorial, building engineering, site landscape and certain aspects of HVAC can all be calibrated to match space utilization. Use of badge-swipe data and Wi-Fi/network connection data can verify occupancy levels for setting Service Level Agreements (SLAs).
Incorporation of sensors takes analytics and diagnostics to the next level. Corporate Real Estate & Facilities (CRE&F) leaders can use sensors to gain access to real-time data and insights that enable dynamic resourcing models, optimize workplace and facilities services and help clients achieve their sustainability and operating efficiency goals.
How to Begin?
In order to proactively align SLAs and occupancy levels, work with facility managers and procurement to determine:
- Baseline service levels, suppliers, annual spend and building control options
- Effects of scope fluctuation on rates and resourcing
Prior to implementing SLA changes, CRE&F teams, along with their site-level Facility Managers, should communicate openly with Line-of-Business (LOB) site-level leaders regarding acceptable adjustments, especially for any changes that are enterprise client-facing.
Programmatically installing sensors can support everything from SLA alignment to carbon reduction to vendor labor reductions.
Before embarking on a sensor program, a fundamental step is to prioritize the type of occupancy measurement that is most valuable. Considerations (by location) should include size of facility, business function, age and remaining lease term.
Why Now?
Using this optimization approach can reduce building services and resourcing by 15% or more at large campuses and offset inflationary pressures within energy and labor markets.
High-Impact Examples:
- CBRE worked with a Financial Services client to identify pockets of vacancy across multiple floors and business units and then installed deck-level sensors that resulted in heatmaps to pinpoint underutilized space. The assigned business units relinquished the underutilized capacity, resulting in a $3 million per annum savings in a major Asia-Pacific market.
- A CBRE Tech, Media & Telecommunications client is leveraging occupancy sensor data from across its campus buildings to assign activity-based work areas for mobile teams that are frequently on the move. The resulting adjustments allow workplace- experience services and facilities management resources to shift to where mobile teams are located.
* Updated strategies and lessons learned since publication of the 2022 report.
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