Smart buildings and homes and the “Internet of Things” (IoT) have dominated headlines in recent years as an emphasis on energy efficiency, productivity and sustainability have remained a focus of global governments and corporations.
DuckerFrontier has been tracking these developments for years, and in 2020 we see significant trends impacting the building industry, suppliers to the industry, and all companies that interact with smart technology. Below we provide four key trends for executives to watch to win in 2020.
1. Virtual BAS (Building Automation System): Newer smart building technology will continue to replace obsolete conventional BAS systems at the fraction of the cost. These new technologies will drastically improve energy efficiency.
2. Operational Technology Focus (OT): OT represents hardware and software that detects or causes a change through the direct monitoring and/or control of physical devices, processes and events in the enterprise. This is called “the edge” and is the place where inexpensive wireless devices can bring much needed visibility into a building. Examples include monitoring HVAC equipment, pumps, meters, pipe temperatures, etc.
3. Workspace/Workforce Management (The 3-30-300 Rule): The “3-30-300” Rule is often used in reference to the estimated annual amount a company pays per square foot in terms of total occupancy costs for energy costs, real estate costs, and workforce costs. $3 for utilities, $30 for rent and $300 for their employee costs (salaries, benefits, etc.). As a result, leveraging smart building technology to reduce costs in this arena are too prominent to ignore, making management of space a big trend for 2020.
4. Subject Matter Experts (SMEs): SMEs have the most leverage in the Smart Building Market because they are positioned to take advantage of the benefits of IoT by offering real solutions with their knowledge. There is no doubt SMEs are the future and have the most experience in troubleshooting problems that arise in the MEP – mechanical, electrical and plumbing engineering – sector. This trend will become especially visible in 2020. Using expertise and knowledge to create practical solutions is the key to a successful future. SMEs will remain very influential in the blooming IoT industry.
DuckerFrontier’s Industrials team is at the forefront of key trends impacting the industry. Our goal is to help clients deliver growth solutions to support critical business decisions and growth strategies. How can we help you deliver better outcomes for your business? Contact us to connect with a team member.