New data reveals that the industry’s biggest challenges are budget constraints, understaffing and barriers to technology adoption, writes Kirsty Cogan, managing director of SFG20
A recent survey indicates that enhancing compliance and safety remains the foremost concern for facilities management professionals. Despite this priority, 14% of participants expressed they were unsure about their ability to meet building maintenance compliance requirements, and just 23% reported intentions to direct their largest investment boost toward compliance and safety initiatives.
SFG20, the industry standard for building maintenance, surveyed 190 professionals from various roles in the built environment sector to assess challenges and priorities regarding facility management. The survey reveals that while the industry faces significant pressure, professionals are focused on innovation and improvement, with clear priorities and strategies for 2025.
Compliance with regulations and ensuring safety as key priorities
The survey reveals that improving compliance and safety remains the top priority for facilities management professionals. A significant 77% of respondents reported compliance to be at least a moderate challenge, reflecting the ongoing issue of meeting complex regulatory requirements.
This emphasis on compliance and safety highlights the growing pressure on facilities to adhere to evolving health, safety and environmental standards. As regulations become more stringent, almost one in four organisations plan to invest in compliance to ensure consistent adherence.
Prioritising compliance and safety not only protects building occupants and staff but also mitigates legal and financial risks, reinforcing the critical role of proactive compliance management in modern facilities operations. Limited financial resources and cutting expenses
Budget constraints are currently the biggest challenge in the industry, as reported by 75% of respondents. At the same time, reducing operational costs is the second biggest priority for FM professionals. Rising energy costs, inflation and supply chain disruptions all make it increasingly difficult to deliver quality and cost-efficient services within tight budgets.
As organisations strive to meet compliance demands and implement essential safety measures, 40% report a budget decrease over the past year, with 13% citing a significant reduction. 69% of facilities management professionals have the same or less budget than the previous year.
Meanwhile, staffing shortages are widening the talent gap in facilities management, with 80% of professionals reporting their facility management teams are understaffed, and 24% stating they are significantly understaffed.
Asset management takes the lead in investment
Asset management and maintenance are the top investment priorities for FM professionals over the next three years as companies aim to address ageing infrastructure, improve efficiency and reduce breakdowns.
However, the survey reveals gaps in current practices, with 43% of respondents reporting asset registers are less than 75% accurate, and 34% either don’t update their registers or are unsure how often updates occur. This lack of clarity poses risks, as accurate asset data is crucial for informed decision-making.
Implementation of digital solutions
Digital transformation has become a core focus within the FM industry, as organisations seek to lever technology to improve efficiency, reduce operational costs and enhance compliance. 53% of respondents rated digital transformation as a “highly important” strategic priority for their organisation.
However, high costs remain a major obstacle to technology adoption in facilities management, with 33% stating it as their main barrier. Many facility management teams work under tight budget constraints, making large-scale investment in digital advancements a struggle.
Other challenges revealed were integration with existing systems (19%), a lack of internal expertise (16%) and a resistance to change within the organisation (17%).
To overcome these challenges, many organisations should explore phased implementation strategies, where digital tools are introduced incrementally to spread costs over time and reduce operational disruption.
Additionally, training programmes and change management initiatives are needed to upskill staff and create a culture of innovation, helping to ease resistance and build confidence in the digital transformation journey.
However, staff training and development are the least prioritised areas (6%) for budget increases in the next year.
Future of facilities management
As the facilities management industry evolves, improving the quality of asset data, achieving compliance and controlling costs will be the key priorities in 2025. The survey findings highlight the significant pressures faced by professionals in the sector but also show how they are driving change and innovation to address these challenges.
It’s encouraging to see the industry increasingly prioritising technology as a vital tool for achieving compliance and reducing operating costs. To overcome the significant challenges facing the sector, technology must play a central role.
Recognising this, SFG20 is incorporating technologies such as AI search and asset mapping into our software and developing API integrations to assist industry with FM systems connectivity. A great way to start is to build a technology roadmap that is aligned to your organisation’s objectives.
The full report can be found here.
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