As the world moves closer to the end of 2022, the Integrated Facilities Management sector continues to thrive. The IFM market was valued at $95.7 Billion in 2020 and is projected to reach $161.4 Billion by 2028, growing at a CAGR (Compound Annual Growth Rate) of 7.21% from 2021 to 2028.
Here, we take a look at the key technologies and market trends shaping the Integrated Facilities Management market:
The IoT (perhaps more commonly known as the Internet of Things) is the collection and exchange of data between physical devices connected via internet protocol. Simply put, it refers to connecting ‘things’ (machinery, sensors etc) to the internet. The core benefit of IoT is its ability to collect data, digitise it, and act on it.
There are currently 14.4 billion devices, worldwide, connected to the internet; and that number is sure to continue to grow with technological demands. Facilities managers use IoT data to build effective resource-optimisation strategies, improve processes and enhance productivity.
We’re not far from living in a world where everything is connected. This new "smart infrastructure" will need to be equipped with asset and facility management tools capable of dealing with the scale and life cycle of dispersed, yet connected, physical assets.
The Metaverse is on its way and will use artificial intelligence (AI), virtual reality, and augmented reality to bridge the gap between the virtual and the physical.
For facilities managers, using AI to monitor physical assets and gather data makes it easier to predict the proper lifecycle of capital investments before their performance is affected, or before the asset fails. Having this type of data allows facilities management teams to prevent and address possible issues before they become problems.
The definition of big data is data that contains greater variety, arriving in increasing volumes and with more momentum.
Big data is an essential part of managing commercial facilities’ energy consumption and building conditions. By using big data with an intelligent analytics platform, that data can become actionable and Facilities managers are able to track efficiency, maintenance and operational business goals with ease. Facilities managers can use real-time, actionable insights to optimise operations in prioritised performance areas, ensuring optimal equipment operation, effective sensor monitoring, and useful fault detection.
Building information modelling (BIM) software maps a physical asset throughout its functional lifecycle, from design and construction to ongoing maintenance. BIM standards are continually progressing here in the UK, and globally and with each advancement, architects and facilities managers are able to plan more innovative buildings from the ground up and take a more proactive approach to repairs.
BIM offers massive opportunities for radically improving collaboration and communication for facility managers. Its popularity in the sector is largely attributed to the fact that facilities managers have the complete visual model of facilities, physical assets, and infrastructure; and, as a result, they have the ability to harness the power of these tools for project management, delivery, and data accessibility.
The idea of operational efficiency is to cut costs, increase production, and influence your bottom line by analysing the ratio of inputs (production costs) with outputs (revenue.) Your operational efficiency ratio indicates your company’s ability to produce a higher revenue without increasing costs.
Businesses are continuously looking to develop better ways to improve conditions within their business spaces and environments, while managing better and with fewer resources. Whilst this is the premise of facilities management, the requirements are higher than ever; which is driving the need for an integrated approach.
The rise of hybrid and flexible office working sparked by the pandemic have largely influenced the growth of the IFM market. Research by real estate consultancy CBRE shows that, even after the pandemic, 87% of large companies are sticking to a hybrid work strategy, with employees working remotely at least part of the time.
For facilities managers, that entails some serious thinking: how much office space is really needed, how can that space be managed smartly, and which technologies and apps support the hybrid work strategy? There is also the consideration of maintaining employees' health and wellbeing in hybrid working models; in terms of both mental and physical health (for example, preventing the spread of viruses).
The need for facilities managers has become an increasing requirement for businesses considering hybrid or flexible working models, largely contributing to the growth of the FM market as a whole.
One growing industry bequeaths another. Awareness keeps growing that we must turn the tide to save our planet, and there is growing responsibility for the built environment to do its bit. To make this immense challenge a success, new regulations are put in place constantly and businesses are growing wiser to the requirement for them to reduce their carbon footprint. In turn, the demand for facilities managers to help them do this is increasing.
The Skills Gap
The future is rife for facilities managers, yet there is still an immediate concern with the talent short market we currently find ourselves in, with the age profile of facilities professionals a particular area of unease. The FM workforce has a significantly higher proportion of employees aged over 55 (26%, compared with a 17% national average) and a lower proportion of employees aged between 16 and 24 (8% compared with 13% in the UK as a whole). What this means is that there will be a large proportion of retiring professionals in the coming years, and a lack of new cohorts to replace them.
However, more is being done to drive interest in facilities management as a career choice for the next generation. Will it be enough? We look at the latest on talent shortages in this blog.
Looking for FM talent?
Our specialist recruitment team operates across the UK and are ready to connect you with a wide range of FM professionals at all skill and experience levels. For a confidential chat about your talent needs, contact PRS on 0207 553 5660 or email firstname.lastname@example.org.