Are We Finally Seeing Data-Driven FM Coming to Fruition?

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• Are We Finally Seeing Data-Driven FM Coming to Fruition?

26 February 2025 | Updated 27 February 2025

Getting genuine value from data has historically been tough, but is the FM sector now putting data front and centre​?

David Leslie, Head of Strategy & Client Success at Datore, examines his assertion that FM has been slow to investment in data infrastructure and what’s changed. David has 15 years of experience in technology and 10 in data and analytics. David heads up strategy and client success for Datore, an AaaS provider focussed on the FM space.

 

Picture: a photograph of David Leslie. Image Credit: Datore

 

Extracting genuine value from data isn’t easy. Historically, it’s also been an incredibly costly endeavour. This high financial barrier meant that data and analytics investments were often justified only when they had a clear & measurable impact on the bottom line. Sales departments led the charge, followed by marketing, sales operations, revenue operations, and finance. Facilities Management (FM), however, was often left out in the cold.

FM departments, perceived as “back office” functions, rarely interacted with data teams, let alone received their support. This oversight trickled down through the industry. FM service providers and even FM software vendors underestimated the power of data, despite FM being inherently data-rich. Occasionally, we’d hear leaders touting the elusive “single pane of glass” solution, but did it ever truly come to fruition? I certainly haven’t seen it.

 

Why the Delay in FM’s Data Adoption?

 

Several factors contributed:

 

1. Perceived Cost vs. Benefit: The significant investment in data infrastructure and talent seemed unjustifiable for FM, especially when immediate returns weren’t evident.
2. Cultural Barriers: FM has traditionally been viewed as a support function, not a strategic one. This mindset hindered the push for data-driven initiatives.
3. Technological Hurdles: Legacy systems and fragmented data sources made integration and analysis daunting tasks.

 

What’s Changed?

 

A few pivotal shifts have occurred:

• Cost-Effective Solutions: The emergence of AaaS models has lowered the financial barriers, and given access to full data teams at a fraction of the previous cost, allowing FM teams and FM organisations to access advanced analytics and game-changing insights without hefty upfront investments.
• Demonstrated Success: Industries that have embraced data-driven strategies showcase tangible benefits, inspiring FM to follow suit.
• Client Expectations: Today’s clients demand transparency, efficiency, and data-backed results, pushing FM providers to adapt.
• Technological Advancements: As well as a dramatic fall in the price of analytics software and supporting infrastructure, we’re also seeing hardware such as IOT sensors becoming commonplace.
• A post-COVID world: The FM landscape changed forever between 2020 and 2023. Flexible and hybrid working models have pushed many organisations to significantly reduce their office space which has demanded a new, smarter approach to FM.

 

How Does Data Help FM Providers Stand Out?

 

Intelligent data use offers several advantages:

• Operational Efficiency: By analysing data, providers can optimise resource allocation, predict maintenance needs, and reduce downtime – all having huge effects on both costs and relationships.
• Enhanced Service Delivery: Data insights enable personalised services and new transparent way to run the relationship leading to improved client satisfaction.
• Competitive Differentiation: Providers leveraging data can offer unique value propositions, setting themselves apart in a crowded market. Organisations leveraging data as their differentiator are winning more contracts and retaining more clients.

 

So, back to the question, is genuinely data-driven FM achievable? From the conversations I’m having each week, it feels like data is finally getting the credit it deserves within the FM sector and becoming central to organisations 5/10 year strategies.

While challenges remain, the trajectory is promising. With continued investment in technology, a huge cultural shift towards viewing FM as a strategic partner, and the adoption of data-centric models through a new-wave of digital first technologies and software, a fully data-driven FM landscape is getting closer every day.

Picture: a graphic showing two people cleaning an office, with spray bottles, cloths and a hand-held steam cleaner. The image has an icon of a lightbulb and a bar chart on the left hand side. Image Credit: Datore

Article written by David Leslie | Published 26 February 2025

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