Learn More About Facility Management Software
What is Facility Management Software?
Facility management software helps companies manage the lifecycle of industrial buildings such as warehouses, distribution centers, manufacturing locations, oil refineries, or processing plants. This type of software provides workflows to identify and monitor all the facilities used by a company. It also assists maintenance teams in defining and implementing inspections and repairs to maintain each location in good condition.
Unlike generic maintenance management software such as computerized maintenance management systems (CMMS) and enterprise asset management (EAM) software, a facility management system focuses exclusively on facilities maintenance. This type of software should not be confused with property management software specific to the real estate industry.
What Types of Facility Management Software Exist?
Facility management software can be categorized based on how it's sold, deployed, and used.
Standalone or part of EAM
Many EAM and CMMS software solutions include features for facility management, but there are also systems designed specifically for this.
Cloud or on-premises
While most facility management solutions are cloud-based, some legacy systems are hosted on the customer's premises. In some cases, facility management software can be deployed both on-premises and as a software as a service (SaaS) model.
Agnostic or industry specific
Most facility management solutions provide features for multiple industries, but some systems focus on only one sector, such as retail, manufacturing, or healthcare.
What are the Common Features of Facility Management Software?
The following are some core features of facility management software which help companies optimize the use of their facilities:
Asset management: As opposed to CMMS and EAM software, which focus on fixed assets, facility management software focuses on building and built structures that a company can use to perform operations. Each building has several systems embedded in its structure, such as ventilation, air conditioning, and electric.
Work order management: Facility maintenance requires operations such as inspections and repairs, managed using work orders. Work orders define what type of activity should be performed, how, and by whom. Technicians get orders assigned to them based on their qualifications and availability. Managers schedule and monitor the progress of all orders by a team, location, or employee.
Cost and spend tracking: Facility management software helps users track maintenance costs such as the time spent by technicians on various operations and the cost of the spare parts and consumables required to maintain facilities. A few examples are industrial lighting equipment or construction materials needed to repair buildings.
Procurement and vendor management: Facility managers work with suppliers of parts and accessories and sometimes outsource some maintenance operations to other companies. It is therefore critical for them to find reliable and affordable vendors that provide high-quality products and services.
Analytics: Metrics and analytics help facility managers monitor the efficiency of the maintenance activities and track their costs. Facility management software can also use data captured by sensors and meters across multiple locations.
What are the Benefits of Facility Management Software?
Using software to manage facilities has multiple benefits, the most important being:
Maintenance costs reduction: Using a software to plan maintenance operations can improve resource allocation and employee productivity, translating into cost reductions. Some cost savings include reduced response time for service requests and increased facility uptime.
Improve operations: Maintaining facilities can be a daunting task, especially when companies own multiple locations scattered around the country or even the globe. Functionality like inventory management and maintenance scheduling makes it easier for facility managers to plan and manage operations.
Optimize facility performance: Facility management software can reduce downtime and disruptions in facilities, which leads to better performance and increased productivity. For instance, a warehouse that cannot be used at full capacity harms the ability of the company to ship and receive products quickly.
Who Uses Facility Management Software?
Facilities managers: Fixed assets managers rely on facility management data to identify potential issues and proactively schedule maintenance. Managers use this type of software to create and implement a maintenance program, which defines maintenance schedules and work order processes.
Technicians: The maintenance team members perform operations such as inspections and repairs to prevent or fix issues related to facilities. A few examples are replacing HVAC components or consolidating the structure of the building.
Capital project managers: Investing in new facilities can be very costly, and companies need to make sure that they maximize their investment. Since building a facility is a capital project, the project managers need to ensure that the building is used at optimal capacity.
What are the Alternatives to Facility Management Software?
Alternatives to facility management software can replace this type of software, either partially or completely:
CMMS: While CMMS focuses mainly on fixed assets such as industrial equipment, this type of software often includes features for facility management. CMMS usually focuses on small and medium companies that need to manage fewer facilities with a low level of complexity. For instance, a small warehouse is much easier to maintain than a distribution center, and CMMS can be a good option for the former but not for the latter.
Enterprise asset management (EAM) software: EAM provides advanced features for asset and facility management, which are geared towards complex industries such as oil and gas, mining, chemicals, and pharmaceuticals.
Software Related to Facility Management Software
Related solutions that can be used together with facility management software include:
Asset tracking software: Asset tracking refers to small tools used to maintain facilities, such as mobile devices, or cleaning and disinfecting equipment. Companies operating multiple facilities may use hundreds of tools for maintenance, which is why it's crucial to integrate with asset tracking software.
Asset performance management software: This software helps companies optimize the use of any type of asset, from equipment and heavy machinery to industrial facilities and warehouses. While facility management software includes analytics to track performance, asset performance management software uses machine learning to provide advanced insights and forecasting.
Retail space planning software: Retail space management, also known as planogram software, helps retailers optimize physical stores and their components, such as shelves and racks. Since facility management does not always include planogram features, retailers may need to use retail space planning solutions.
IWMS: Integrated workplace management systems (IWMS) streamline and automate maintenance activities for office spaces. Since facilities usually include offices for administrative personnel, IWMS and facility management software need to be used together.
Challenges with Facility Management Software
Software solutions can come with their own set of challenges.
Old technology: The efficiency of facility management software can be hammered by old technology used by buyers. For instance, the lack of intelligent sensors makes it impossible to identify issues such as tailgating. Also, legacy enterprise software isn't always user friendly and does not provide real-time data.
Integration: Facility management software needs to integrate with multiple types of software, such as accounting, ERP systems, field service management, or CMMS and EAM software.
Which Companies Should Buy Facility Management Software?
Any company that owns or manages facilities can benefit from using this type of software, but facility management software is mostly beneficial to the following types of companies:
Manufacturers: Most manufacturers have at least one production location, which usually includes a warehouse used to store raw materials and finished products.
Retailers: Retail companies need to manage two major types of facilities—stores and warehouses. While stores usually have a warehouse, retailers can have facilities scattered across multiple locations in multiple countries.
Logistics companies: Since warehousing is a critical part of supply chain management, logistics companies need to ensure that all their locations are optimized to help with the storage, shipping, and receiving of goods.
Service providers: Many companies that own facilities opt to outsource maintenance to specialized service providers. These services companies use facility management software to maintain locations on behalf of their customers.
How to Buy Facility Management Software
Requirements Gathering (RFI/RFP) for Facility Management Software
A good requirements list should include all the functionality needed by the buyer to manage facilities efficiently. Requirements need to be detailed enough to cover the specific needs of the buyers and not too generic. For instance, maintenance cost tracking is too vague and should clarify which types of costs the buyer needs to track and how.
Compare Facility Management Products
Create a long list
A long list should include all solutions that provide facility management functionality, either as a standalone product or as part of a more extensive system. Buyers that do not need to manage fixed assets should focus exclusively on software for facility management.
Create a short list
A shortlist can be created by eliminating products from the long list using high-level criteria such as the delivery model. Buyers who only want a cloud solution should exclude products that need to be hosted on their promises. Industry-specific functionality can also be used to eliminate products. For instance, a retailer should consider only products that provide features for their industry and exclude solutions that include generic functionality.
Conduct demos
Demos should follow a predefined script that simulates the maintenance processes of the buyer. To ensure that the demo results can be compared objectively, buyers should use the same script for all vendors shortlisted. Also, the selection team members attending the demos should rate each criteria using a consistent system.
Finally, the critical functionality should have higher importance than generic requirements. For instance, space planning is essential for retailers, while integration with accounting is not mandatory. It is also essential to evaluate how intuitive the software is, which KPIs and analytics it provides, and how it can be used on mobile devices.
Selection of Facility Management Software
Choose a selection team
The selection team includes at least one executive, such as the chief operations officer, who is usually the project's main sponsor. This means that they are in charge of defining the scope of the selection project, obtaining and managing the budget required for the acquisition, and monitoring the progress of all selection stages.
Negotiation
Negotiating with vendors can be difficult, especially when they provide similar software. In this case, the main differentiators between vendors are the price of the software and their ability to support the buyers during and after the implementation. When choosing between solutions with similar functionality and pricing, factors like customer support can be the deciding factor.
Final decision
The final decision should consider all the factors mentioned above but give a higher priority to the requirements that matter most for the buyer. For example, a retailer should focus more on functionality for space planning, while wholesalers are more concerned about managing dozens or hundreds of warehouses and distribution centers.
What Does Facility Management Software Cost?
License pricing can vary depending on the delivery model. Perpetual licenses are required for on-premises software, while cloud or SaaS solutions are sold as a subscription model. Perpetual licenses are more expensive but don't need to be renewed, and subscriptions are more affordable, but their cumulative cost can be substantial in the long run. Other costs are related to professional services such as implementation or business process reengineering. While basic customer support is usually included, buyers typically need to pay more for 24/7 or global support.
Return on Investment (ROI)
Buyers can track the ROI of the software by comparing its costs and benefits. Since the initial cost of the software can be significant and benefits aren't realized immediately, it may take one to three years for the software to generate a positive ROI.
Implementation of Facility Management Software
How is Facility Management Software Implemented?
Implementing a facility management solution should start with a discovery process to ensure that the vendor clearly understands what features are needed in which location. While this process is straightforward when the buyer has fewer locations, it gets much more complicated when the company uses multiple facilities.
Who is Responsible for Facility Management Software Implementation?
The selection team is usually in charge of the implementation process since they already have a pretty good idea of what the company needs and how the new software can help. While simple implementations can be done internally, complex deployments require the involvement of vendors or its partners, external consultants, or project managers.
What Does the Implementation Process Look Like for Facility Management Software?
Facility management software implementation can vary significantly based on the number and type of facilities. A phased approach is recommended for multiple locations, while complex industrial facilities require a project management team and a clearly defined schedule.
When Should You Implement Facility Management Software?
For new facilities, the implementation of the software should be done before the company starts using the buildings. New facilities are rare, and most of the time, software needs to be deployed in existing locations, which usually have some kind of software or a mix of solutions for maintenance. In this case, facility management should be implemented when facilities are either closed for maintenance or during the idlest season.
Facility Management Software Trends
IoT and digital twins
New technologies such as the internet of things can be used to connect facilities, making it easier to monitor multiple locations in real time.
