Smart buildings have come a long way, adding technology to help manage staffing, collect valuable data, and increase operational efficiency. From simple sensors to AI and automation, are you making the most out of your smart building?
Do the math
Figuring out whether your smart building is worth the investment starts with compiling the costs. Consider all initial outlay including hardware, software, licensing, installation, upgraded internet, increased servers, constructions costs, and any other set up expenses.
Next, look at your operational costs and what you are paying regularly for the technology, taking into account the expected lifespan of your systems. Consider any ongoing licensing, support, and maintenance or upgrades of the technology as part of your analysis. Keep in mind that these costs will likely increase as the technology ages, so adding a 10 to 20 per cent increase on these values can help you account for additional costs down the line.
Finally, measuring the benefits and weighing them against the costs is going to help you get a sense of your ROI. Saving money operationally on labour, inventory replacement, security, and increased efficiency are factors to consider. In addition, increased property value and higher rent rates, would also count towards the benefits for your business.
Weighing the financial pros and cons of your smart technology can help you identify opportunities to improve your operations and streamline your processes.
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Factor in staff and customers
The math is important but so are your staff and customers. Does the technology make it easier on your team and lighten their workload? Does it attract potential top talent? These factors matter as your staff is the heart of your business and employee retention can save you a lot of money in turnover and training, as well as increasing productivity. Consult your team to see how smart technology helps them get the job done faster, easier, or better.
Similarly, have your customers noticed improved service? Does the technology allow you to stand out from the competition and offer something unique to your customers? If your smart building is a draw for visitors and customers, that offers significant value for your investment.
As smart technology continues to evolve and grow, it’s important to weigh the cost against the value to determine whether the investment is right for your business.
