How AI is transforming the facilities management industry

By David de Santiago, Group AI & Digital Services Director at OCS.

  • Wednesday, 27th November 2024 Posted 1 week ago in by Phil Alsop

Artificial intelligence (AI) is reshaping the facilities management (FM) industry at breakneck pace. Once stereotyped as a highly traditional industry, FM companies are turning their attention to advanced technologies to create smarter, efficient, and more sustainable built environments. This shift is happening on a global level; according to a Gartner report, 70% of facilities managers have already elevated digital transformation to a core strategic position. From integrating generative AI language models to implementing multi-agent systems, FM is moving away from manual, reactive practices and becoming a leader in transformative technologies.

While many large FM companies have already adopted tech-first strategies, the future belongs to those that can harness these technologies to benefit their workforce, customers, and the environments they manage. Innovations such as smart buildings, satellite technology, and digital twinning are not only transforming service delivery but also positioning FM as an exciting space for IT, technology, and AI professionals.

AI application in FM

FM companies traditionally deliver a wide range of services categorised into "soft services" and "hard services." Soft services, such as cleaning, catering, and security, focus on making buildings safer and more comfortable for people, while hard services, such as HVAC, plumbing, and maintenance, focus on a building’s physical infrastructure. Historically, these areas have operated in silos, each with distinct methodologies and goals. However, technology is now blurring the lines between soft and hard services. With the integration of IoT sensors, computer vision, and AI-powered platforms, the synergies between these two domains are becoming increasingly apparent. For example, environmental monitoring technologies that track air quality (a hard service) can now directly impact safety and comfort (a soft service). This convergence is influencing FM providers to rethink the value they deliver to customers by offering holistic, integrated solutions that enhance the lifecycle of the building while simultaneously improving user experience.

Multi-agent systems

Generative AI has quickly become mainstream, with many people treating it like the next version of the internet. Yet a significant challenge for FM companies is leveraging this technology to enhance job roles, workplaces, and the broader industry. The concept of multi-agent AI systems—where large language models collaborate with smaller, domain-specific AIs—addresses this challenge by providing nuanced, contextual solutions. In FM, this shift is enabling the adoption of innovative service models that are commonplace in the tech industry. For instance, the emergence of the "Facility Success Manager" role, powered by AI, exemplifies how FM is borrowing from technology-driven industries. Armed with insights from IoT sensors, historical data, and real-time analytics, a Facility Success Manager can contextualise information and provide tailored recommendations for a building’s unique needs. This role goes beyond predictive maintenance to encompass personalised services, such as optimising energy consumption while improving occupant comfort, thereby reimagining the relationship between technology and human oversight.

Satellite technology

Advancements in satellite technology are also bringing new perspectives to FM—both figuratively and literally. High-resolution satellite imagery combined with AI-driven analysis has enabled FM companies to detect heat loss, monitor infrastructure projects, and map building usage with exceptional accuracy. However, the potential of this approach extends beyond satellites alone. The convergence of various technologies, such as near-infrared imaging, IoT sensors, blockchain, and hyperspectral cameras, is revolutionising how FM services are delivered. For example, motion-detecting IoT sensors integrated with computer vision can optimise workspace utilisation and predict traffic patterns within buildings. Blockchain technology ensures tamper-proof data logs, enhancing transparency and trust in critical areas like compliance. These developments enable FM companies to evolve into strategic consultants for building functionality, offering data-driven insights that extend far beyond the traditional scope of hard and soft services.

A striking example of this convergence is the transformation of security systems. Cameras, traditionally used for surveillance, are now capable of doubling as retail shelf analytics tools, providing valuable insights into stock levels and customer behaviour. Similarly, hyperspectral imaging, once reserved for industrial use, can detect microplastics in water systems, advancing sustainability efforts. These innovations highlight how FM companies are redefining their role, not just as service providers but as pioneers of integrated, technology-driven solutions that enhance the value and functionality of built environments.

Blockchain and augmented reality

The potential of AI extends even further as it intersects with emerging technologies like blockchain and augmented reality (AR). Blockchain is increasingly being used to streamline FM contracts and ensure transparency in procurement processes. For instance, blockchain technology can authenticate energy credits traded under sustainability initiatives, while AI analyses consumption patterns to recommend improvements. Augmented reality, on the other hand, is transforming how FM teams approach maintenance and training. By overlaying building schematics onto physical spaces, AR allows technicians to troubleshoot issues remotely, reducing downtime and improving efficiency. Extended reality (XR) is also gaining traction as a tool for immersive facility tours and workforce training, helping FM professionals upskill in real time.

Looking ahead 

As AI adoption accelerates, the FM industry is poised to evolve dramatically over the next five to ten years. Proactive asset management, powered by predictive analytics, will become the norm, enabling FM teams to address potential issues before they arise. Digital twins will play a pivotal role in this shift, allowing FM companies to simulate the impact of environmental changes on building performance and recommend preventive measures. Fully automated workspaces, equipped with IoT sensors and AI integration, will adapt in real time to occupant needs, optimising everything from lighting to catering operations. Beyond this, FM companies are expanding their service scope to encompass areas like employee well-being and workplace productivity, measuring and enhancing factors such as stress levels, collaboration patterns, and satisfaction through AI-driven insights.

An example of this future is already taking shape through pilot projects. Leading FM companies are exploring AR-driven live maintenance guidance combined with AI diagnostics to enhance repair accuracy. Another use case is the application of hyperspectral imaging being used to detect environmental contaminants in real time, contributing to safer and more sustainable buildings. These initiatives illustrate how FM companies are transitioning from reactive service providers to proactive innovators, fundamentally changing how built environments are managed and interacted with.

While these advancements are transformative, they also raise important questions about responsible AI deployment and workforce readiness. AI is not about replacing jobs; it is about augmentation. The role of technology is to empower the workforce, equipping them with tools to perform their roles more effectively. For example, a Facility Success Manager enhanced by AI can manage more complex systems while maintaining a human-centric approach to building management. Economic data underscores this potential: McKinsey Global estimates that AI could create up to 50 million new jobs by 2030, emphasising the importance of continuous learning and adaptation. Ethical considerations, particularly around data privacy and emotional AI, also demand attention as FM companies embrace these technologies. Frameworks such as the European Union’s AI Act provide essential guidelines for ensuring responsible development and deployment.

Looking ahead, it is clear that AI will continue to redefine FM. The convergence of digital twinning, multi-agent paradigms, and emerging technologies will reshape how built environments are managed, moving the industry toward a future marked by adaptability, innovation, and sustainability. FM companies that approach this transformation with both ambition and responsibility will not only thrive but also set new benchmarks for excellence in service delivery. As the AI revolution unfolds, the potential to create smarter, more sustainable built environments is boundless. For FM, this is not just an evolution—it is a reinvention.

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