Adapting facilities to fluctuating demand

How can we adapt our facilities to fluctuating demand?

A practical guide

At a time when markets, working methods and user needs are subject to constant change, it is crucial for companies to design their buildings and facilities flexibly and with foresight. Fluctuating demand can have an impact on space requirements, energy consumption, equipment or usage profiles. The answer to this is modern, data-supported facility management (FM), which is not only reactive but also strategically proactive. In the following, we show how facilities can be adapted to fluctuating demand - based on specialist literature and current studies.

a) Understand the need

The basis of any adaptation strategy is an in-depth understanding of actual demand. Who uses which space when - and why? A comprehensive demand analysis is based on data such as occupancy rates, user behavior, productivity figures and seasonal fluctuations.

Practical example: According to a CBRE study (2021), office space is only 60% occupied on average - mainly due to hybrid working models. Sensor technology and the evaluation of historical data can make such usage patterns visible and reduce or reallocate space [CBRE, 2021].

b) Consider facility management at an early stage

FM is often only integrated during operations - a mistake. This is because those who take FM into account during planning, construction and strategy development can incorporate requirements from the perspective of later use: modular expansion, scalable spaces, flexible furniture concepts.

According to IFMA (International Facility Management Association), the early integration of FM not only reduces operating costs by up to 15 %, but also enables better performance in terms of space utilization and energy efficiency [IFMA, 2022].

c) Think broadly

It's not just short-term requirements that count. The strategic FM perspective includes megatrends such as urbanization, mobility change, demographic change and ESG criteria. Buildings must be designed in such a way that they will still meet the requirements in ten years' time.

According to McKinsey (2023 ), leading companies use so-called "scenario planning tools" to be prepared for various future scenarios - e.g. through multifunctional spaces or mobile infrastructure [McKinsey, 2023].

d) Take into account the where

Demand fluctuates not only over time - but also spatially. Location decisions must be made with flexibility in mind: How easily can I adapt personnel, supply or infrastructure? Which locations can be scaled up or down?

In its Global Flex Space Report (2022) [JLL, 2022], real estate service provider JLL points out that companies can achieve up to 30 % greater agility in the event of changes in demand by using distributed, smaller spaces in several locations.

e) Plan for short-term fluctuations

Daily or seasonal workloads - for example due to events, vacation periods or external order fluctuations - require a "breathing" building concept. Mobile partition walls, desk sharing or rooms that can be rented at short notice are practical solutions.

In its guide to flexibilization, IWFM UK (Institute of Workplace and Facilities Management) recommends covering short-term peaks in demand with modular services or on-demand space - in cooperation with co-working or event space providers [IWFM, 2023].

f) Use the technology

Digital tools and IoT solutions enable predictive control and real-time response. Sensors record room occupancy, air quality and energy consumption. AI systems predict changes in use. CAFM systems (Computer Aided Facility Management) provide a reliable basis for decision-making.

Example: According to Verdantix (2023 ), the use of smart building automation increases energy efficiency by up to 20 % and reduces vacancy times through intelligently controlled room releases [Verdantix, 2023].

g) Always be one step ahead of the times

Reactive measures are no longer enough today. Companies that respond successfully to fluctuations in demand develop proactive facility management: regular analyses, early warning systems, agile planning. Scenario planning, flexible budgets and dynamic service provider contracts create scope for rapid adjustments.

According to Gartner (2024 ), leading companies are increasingly relying on predictive maintenance and capacity planning in order to react faster and more resiliently to competition [Gartner, 2024].

Conclusion

Adapting facilities to fluctuating demand is not a one-off project, but a continuous process. Those who understand demand patterns, use technology and think ahead strategically not only ensure operational reliability and efficiency, but also make their organization resilient and fit for the future.

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List of sources

[1] CBRE, 2021: The Future of the Office.
https://www.cbre.com/insights/reports/the-future-of-the-office-2021

[2] IFMA, 2022: Operations and Maintenance Benchmarks.
https://www.ifma.org

[3] McKinsey, 2023: Resilient Real Estate: Preparing for Disruption
https://www.mckinsey.com/industries/real-estate/our-insights/resilient-real-estate

[4] JLL, 2022: The Growth of Flex Space.
https://www.us.jll.com/en/trends-and-insights/research/the-growth-of-flex-space

[5] IWFM, 2023: Flexible Workplace Strategies.
https://www.iwfm.org.uk/resource/flexible-workplace-strategies.html

[6] Verdantix, 2023: Smart Building Technology Benchmark.
https://www.verdantix.com/report/smart-building-technology-benchmark-2023

[7] Gartner, 2024: Top Strategic Predictions For Facility Services.
https://www.gartner.com/en/articles/top-strategic-predictions-2024

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