Operational Excellence

Cut Reactive Maintenance Costs & Delight Clients with Connected CaFM: A Guide for IFM Leaders

Is reactive maintenance draining your real estate profits and frustrating tenants? Look no further. This article explains how Connected Computer-Aided Facility Management (CaFM) empowers IFM leaders with a streamlined, cost-effective approach to maintenance using data-driven solutions.

Is reactive maintenance draining your budget and frustrating clients? You're not alone.

A survey on reactive management in facilities shows that a staggering 66% of facilities managers spend over half their time on reactive issues, leading to hidden costs, operational headaches, and unhappy clients.

This struggle is particularly greater for IFM leaders in the UK, the Middle East, and Western Europe, a region with IFM market growth of 36.5% and projected to grow at a promising CAGR of 8.8%. Juggling multiple clients with diverse needs, outdated systems, and unexpected breakdowns can feel like an endless game of whack-a-mole.

But there's a way to break free and turn reactive maintenance into a proactive powerhouse.

Enter Connected Computer-Aided Facility Management (CaFM)- Your secret weapon to slashing reactive maintenance costs, boosting efficiency, and exceeding client expectations.

The true cost of reactive maintenance: Beyond just overtime

Reactive repairs are more than just a minor inconvenience; they're a financial black hole.

Reactive maintenance is risky and expensive, a study suggests that reactive maintenance can be up to 10 times more costly for businesses than performing routine maintenance.

These costs stem from multiple factors as listed in the table below:

Impact of unexpected equipment breakdowns

Details

Emergency labor

Overtime pay for technicians scrambling to fix unexpected breakdowns.


Expedited parts

Paying premium prices for rush delivery of replacement components.


Production downtime

Lost revenue and productivity due to equipment failures and risking missed deadlines.

Client dissatisfaction

Strained relationships and potential contract losses due to unmet SLAs.

Let's paint a picture: a scorching summer heatwave knocks out a building's HVAC system. Tenants are left sweltering, tempers flare, and productivity plummets. To top it off, you're shelling out thousands for emergency repairs.

The consequences? Violated Service Level Agreements (SLAs), a tarnished reputation, lost accounts, and a significant financial strain.

This scenario is all too real for many IFMs still relying on outdated, reactive maintenance practices and are further burdened by legacy systems that often lack data integration and automation capabilities.

Tired of reactive maintenance? 

Learn how Facilio's Connected CaFM can streamline your operations and reduce costs.

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How  legacy systems inflate reactive maintenance costs

Many IFM providers still rely on legacy Computer-Aided Facility Management (CaFM) software, old ERP systems or even manual processes. These systems struggle to handle the fast-paced, complex demands of reactive maintenance, leading to unnecessary expenses and operational inefficiencies. Here's how:

These systems often struggle with

  • Scalability,
  • Integration, and
  • Flexibility

This hinders their ability to deliver efficient services to clients.

They often lack the speed, agility, and real-time visibility needed to thrive in today's fast-paced FM landscape.

As service providers, it's imperative to recognize these constraints and transition to modern solutions that enhance operational efficiency, improve client satisfaction, and maintain the competitive edge in the market.

Legacy systems struggle to handle the complexities of reactive maintenance, resulting in several challenges:

  • Manual processes that cost you time and money

Paper-based work orders, manual data entry, and limited communication tools create inefficiencies that eat away valuable time that technicians and IFM service providers could spend addressing urgent repairs and serving clients.

  • Lack of real-time visibility into technician schedules and inventory:

Legacy systems often lack real-time data on technician availability, spare parts inventory, and the status of ongoing repairs  Without knowing who is available and what parts are in stock, IFMs struggle to dispatch technicians promptly. This results in longer wait times for tenants and increased client dissatisfaction, affecting revenue in the long run.

  • Increased operational costs due to emergency parts orders and additional workforce:

Emergency reactive maintenance repairs often demand for expedited parts shipping and additional labor, further increasing costs. This can include premium shipping fees, overtime pay for technicians, and potential rush orders for parts, ultimately eroding your profit margins and impacting your ability to offer competitive pricing.

  • Inefficient work order management and communication:

Manual work orders in legacy systems are a major bottleneck for efficiency and slow things down for IFM providers. Technicians waste time on details, mistakes, and approvals, leading to delayed repairs and frustrated clients. This inefficiency also hinders proactive maintenance efforts, increasing the likelihood of expensive future breakdowns.

Read this blog to learn why you should upgrade from legacy CaFM.

Transforming reactive maintenance with a Connected CMMS approach

A shift towards a more connected, data-driven approach is essential to overcome the inevitable challenges of reactive maintenance. IFM service providers are increasingly turning to Connected CaFM (Computer-Aided Facility Management) platforms that provide a comprehensive solution to streamline and enhance maintenance operations.

A Connected CaFM platform centralizes all maintenance-related operations into a single, unified system that allows for

  • Centralized operations: All maintenance data, work orders, and communication are housed in a single, centralized location.
  • Automated workflows: Automated work order creation, routing, and escalation ensure a faster response to reactive maintenance requests.
  • Visibility and control: Real-time data on technician schedules, inventory levels, and equipment health allows for better decision-making and improved control over reactive maintenance activities.

Check out this blog to learn the difference between reactive maintenance and preventive maintenance.

Here's a simple chart illustrating a typical reactive maintenance workflow without a Connected CaFM:

This image depicts a flow chart that shows a reactive maintenance process without a central system. Tenants report issues, work orders are manually created, technicians are assigned, repairs are completed, and data is entered manually into separate systems.
Reactive maintenance workflow without a Connected CaFM

This workflow is slow, inefficient, and prone to errors. A Connected CMMS automates these steps, simplifying the process.

Real-time example scenarios illustrating current reactive maintenance challenges:

  • A tenant in a high-rise office building experiences a sudden air conditioning failure during a heatwave.
  • The property manager struggles to find a work order form and manually submits a reactive maintenance request.
  • The request gets lost in a queue of other urgent repairs.
  • By the time a technician is dispatched, the tenants are already experiencing discomfort.
  • The lack of readily available parts extends the repair time, causing further disruption.

This scenario highlights the inefficiencies and potential negative consequences of reactive maintenance managed with legacy systems.

Facilio automates the cumbersome steps outlined above, streamlining the process and eliminating the inefficiencies highlighted. Here’s how the scenario shifts when connected CaFM is in the scene:

  • The tenant submits a service request through a mobile app, directly to the IFM provider's Connected CaFM platform.
  • Based on the service request, a work order is automatically created and prioritized based on urgency, and then assigned to the most qualified technician with the necessary skills and parts.
  • The tenant receives a notification with the technician's ETA and is kept informed throughout the process.
  • The technician arrives quickly, equipped with the necessary parts, and resolves the issue.

By leveraging a Connected CaFM platform like Facilio, IFM providers can deliver a faster, more efficient service that optimizes maintenance costs and minimizes tenant disruption.

Check out this blog to learn all about Connected CaFM and its benefits.

How a Connected CaFM reduces reactive maintenance costs

A Connected CaFM acts as a centralized platform, enabling IFM providers to seamlessly manage various aspects of facility operations, including reactive and preventive maintenance, asset tracking, work order management, and inventory control.

By integrating with other building systems and data sources, a connected CaFM empowers IFM providers with real-time insights into asset performance and operational status.This enables proactive decision-making and optimized resource allocation, minimizing the impact of unexpected breakdowns.

Facilio’s integration of  IoT, AI, and machine learning, further enhances its ability to predict and prevent issues, reducing the frequency and severity of reactive maintenance events.

With Facilio, IFM providers can access real-time insights, automate workflows, and ensure optimal asset performance, all from a single, intuitive interface.

Here's how Facilio's Connected CaFM empowers IFM providers to slash reactive maintenance costs significantly: :

Automated maintenance workflows:

Connected CaFM automatically generates a work order based on the tenant's request. The system gathers relevant information, including the location, issue description, and priority level, eliminating the need for manual data entry and reducing potential errors. This process can save up to 30 minutes per work order compared to a manual system.

The intelligent routing system assigns the work order to the most qualified technician based on their skill set, availability, and location. This ensures a faster response time and minimizes unnecessary travel, potentially saving 1-2 hours per technician compared to manual dispatch.

Proactive maintenance powered by real-time asset monitoring:

Collect real-time data from sensors and building management systems, and continuously monitor asset health and identify potential issues before they escalate. This early detection allows for proactive maintenance and prevents expensive emergency breakdowns.

Further, proactive maintenance reduces asset downtime, and extends the life of your equipment. Connected CaFM also optimizes maintenance schedules based on real-time data, ensuring that maintenance is performed at the most strategic times, minimizing disruptions, and ensuring your assets stay in peak condition.

Enhanced communication and 360° portfolio visibility:  :

Imagine having a single, comprehensive platform where every stakeholder involved in reactive maintenance has access to real-time information and can communicate seamlessly. That's the power of Connected CaFM.

It centralizes all data related to your facility portfolio, from assets to maintenance activities, tenant requests, and vendor performance, eliminating the need for multiple platforms, spreadsheets, emails, and phone calls.

This unified approach eliminates the silos of data and communication, allowing for faster response times and optimized resource allocation.

Improve client experience with our CaFM platform.

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Evaluating CaFM vendors: The key to successful facility management and sustainability

When choosing a CaFM, it's crucial to thoroughly evaluate the vendor's longevity, industry experience, implementation process, and support services.

The CaFM vendor's profile and products are just as important as the software itself. Investing time in researching and asking key questions about the CaFM vendor reduces the risk of choosing a solution that doesn't fully meet the organization's needs.

For example, Facilio's reputation in the market, its history of customer satisfaction, and its track record in delivering robust facility management solutions can provide valuable insights into what you can expect from their services.

A case in point is DWTC One Central, an award-winning commercial development in Dubai. By leveraging Facilio's IoT solution for centralized property management, DWTC One Central aims to achieve the UAE's ‘Net Zero by 2050’ vision.

Facilio's solution enables real-time monitoring of energy consumption, compliance with regulations, and optimization of building operations, leading to improved efficiency and reduced penalties.

The implementation of Facilio's end-to-end digital transformation solution resulted in fast-tracking the journey to net zero operations, improved equipment performance, and the discovery of 8% energy wastage within 3 weeks.

This infographic highlights Facilio's impact on DWTC One Central. Facilio integration resulted in a 15% reduction in escalations, 8% energy savings within 4 weeks, and a projected annual savings potential of 500,000 AED, alongside improved chilled water management
Facilio's solution to DWTC One Central

This demonstrates the tangible benefits of choosing a CaFM vendor with a proven track record in sustainability and operational excellence.

To know more, read how DWTC One Central achieved sustainability with Facilio.

Transitioning to a Connected CaFM: A smoother path to efficient maintenance operations

Investa, a leading Australian property group, found themselves— like many property groups, struggled with siloed, paper-based systems. This made managing their vast portfolio inefficient and hindered their ability to centrally address tenant needs, prompting a search for a better solution.

They followed a clear process that ensured they chose the right tool for their needs:

1. Identify O&M scope

Investa first assessed their existing operations and identified areas that needed improvement. They chose to focus on digitizing and automating tasks.

2. Identify CaFM needs

Investa then identified their specific needs for a CaFM tool. They wanted a tool that would improve tenant satisfaction by unifying tenant information, service requests, and work orders.

3. Always stand firm on non-negotiables

Investa made sure not to compromise on integrating their new CaFM tool with their existing property management software, Yardi.

4. Prioritize user experience

Investa knew that user-friendliness was important because they had a large number of technicians to train. Facilio’s easy-to-use interface made it a good choice.

Investa's successful transition to Facilio's CaFM platform offers a valuable case study for any property group facing similar challenges. See how Investa transformed their operations with Facilio.

This transition has improved their operational efficiency, reduced costs, and improved tenant satisfaction. Hopefully, Investa’s journey will also guide you in picking a future-proof solution!

Say goodbye to paperwork and reactive maintenance headaches. With Facilio's CaFM platform, you can take the first step towards a more efficient and tenant-friendly future.

Tired of routine maintenance?

Switch to Facilio and modernize your facility management.