ISS And Spacewell Partnership Signals The Digitization Of Facilities Management Is Gaining Momentum

On January 15, 2020, smart building software vendor Spacewell announced it will extend and expand its partnership with ISS. Facilities management services provider ISS will continue to deploy the Spacewell IWMS platform to dispatch labour, provide work orders to staff and track performance against SLAs. In addition, ISS will offer Spacewell’s COBUNDU workplace mobile apps to its customers globally providing them space booking functionality. This deal follows other high-profile partnerships that ISS has formed in the technology space with vendors including T-Systems and IBM; while Spacewell is also partnering with Cushman & Wakefield.

ISS’s spate of technology partnerships flags that the digitization of the facilities management sector is finally gathering pace. Over the past few years large services firms have been adopting new generations of IoT-enabled technologies and mobile-based solutions to drive more efficiency. Mitie launched the ‘Connected Workspace’ proposition to deliver its services more effectively through remote monitoring and leveraging data analysis. Sodexo launched the business unit ‘Wx’ to offer space monitoring and workplace design services based on analytical approaches. Vinci Facilities is exploring how 3D building scans from NavVis can help engineers become more efficient.

Which digital initiatives will gain the most traction in the facilities services sector in 2020? In an industry that has been slow to digitize, there are ample opportunities for services firms to apply technology. But there have also been lots of false starts; services firms struggled to bring energy management technologies into contracts back in 2015 and have lacked the funds to make substantive commitments. We anticipate the next wave of digitization will focus on smartening up labour through software and remote management technology that reduces engineer site visits. Labour efficiency is a significant potential win for this sector as staff costs can account for up to 75% of revenue.

To gain a detailed analysis of the technologies that will gain the most traction in the facilities services sector over the next three years, read our report ‘Market Overview: Digitizing Facilities Management Services’.