3 Facilities Budget Tricks to Know for 2017
With just a few weeks left in 2016, workplace leaders like you are undoubtedly already looking ahead and putting the finishing touches on your plan for the new year. And if you’re like most facilities leaders, saving money is at the tip-top of your list of priorities for 2017.
In addition to keeping the C-Suite happy, you know cutting costs will help you redistribute your budget to other areas that will help improve the overall health and efficiency of the workforce — like technology.
To help you in your mission, we’ve outlined three key strategies you can’t do without in the new year.
1. Increasing Employee Engagement/Satisfaction
As competition for highly skilled talent rises, organizations are making increased employee engagement and satisfaction a major focus in 2017.
According to Forbes, employees today stay at a company for an average 4.6 years, regardless of their age. And given it costs as much as 40 percent of an annual employee’s salary to replace them, high turnover can hurt your bottom line.
Conversely, if employees are engaged and satisfied, the benefits to the employer grow exponentially. Engaged employees positively influence others, are more productive, are more comfortable staying in their role and offer positive suggestions to improve your company. In fact, businesses in the top quartile of employee engagement outperformed those in the bottom quartile by 22% in profitability, according to Gallup’s metanalysis..
In other words, it pays to give your personnel a little more attention, and to invest time in identifying their expectations when they commit to your organization.
2. Reducing Real Estate Expenses Through Space Optimization
Wasted office space is a significant problem for organizations — especially as the workforce becomes more mobile. In fact, an empty workstation can cost employers more than $7,000 annually per employee. Additionally, poor space optimization can negatively impact your organization’s work culture, causing employee satisfaction to drop significantly.
To improve your space optimization, you’ll need to assess office space occupancy and office space utilization. And while this sounds like a major headache, with the right tool it’s a piece of cake. Space management software allows you to visualize floor plans and calculate future needs so your budget can have more breathing room.
3. Reducing Energy Waste Through IoT Integrations
Are pipes leaking in your building? Is your HVAC system working properly? Are employees forgetting to flip off the lights when they leave for the afternoon? As a facilities leader, you know how quickly these small inefficiencies can add up.
Instead, imagine a system in which you can turn off lights, check the status of your HVAC systems and be notified of pipe leaks from your mobile device. The Internet of Things (IoT) is a reality that is helping workplace leaders like you run their facilities much more efficiently and save plenty of money.
Reducing energy waste is arguably one of the greatest benefits of using IoT integrations. The American Society for Quality found that manufacturers who digitized their processes had an 82% increase in efficiency, 49% fewer product defects, and a 45% increase in customer satisfaction. Additionally, companies can track data from IoT integration in real time.
Considering the traditional approach to energy tracking comes from a utility bill delivered two weeks after the end of each month, being able to access daily reports on your organization’s energy consumption can significantly improve your bottom line.
Implementing these three strategies for 2017 can have a major impact on your efficiency and spending throughout the year. Start off the new year by focusing on employee engagement, space management and implementing IoT, and you’ll reap the benefits with a more satisfied workforce, a more efficient facility overall and a healthy boost in your organization’s capacity to save money.