Introduction
Decarbonizing building stock and building operations has emerged as a pivotal arena for change. Facility managers (FMs) stand at the forefront of this transformation, wielding the potential to significantly impact carbon reduction strategies within the built environment. This report illuminates facility managers’ integral role in steering the built environment toward a sustainable future, analyzing current decarbonization efforts and the operational shifts necessary to meet global climate goals. The introduction is divided into the following sections:
Results at a Glance summarizes the study's findings, offering quick insights into the progress and challenges of decarbonization within facility management.
The Background for the Study section delves into the reasons behind this research and the urgency of decarbonization in the built environment.
Key Messages highlight the pivotal themes and actionable insights from the data.
In What Matters Most & Is the Industry Acting, we examine the priorities that have surfaced in the industry's decarbonization efforts and assess the extent to which these priorities are being translated into action.
Lastly, The Future Facility Manager section projects the competencies, responsibilities and innovative practices that will define the facility manager's role in the journey toward a decarbonized future.
Results at a Glance
- Decarbonizing building stock and its operation is of great importance worldwide. Motives, degrees of fulfillment and hurdles vary greatly internationally. Europe and Asia are further along than North America.
- In the built environment, decarbonization targets cannot be achieved without facility management. Owners are dependent on FM to achieve climate targets. Above all, they lack specialist knowledge.
- ESG (environmental, social and governance) could fail, especially in Asia and the USA, unless adequate financial resources are brought to bear.
- The biggest hurdle for ESG in FM is the shortage of skilled workers, especially in Europe. Presumably, the problem is primarily a political one.
- ESG & FM: Strategic climate protection expertise, technical know-how and proximity to buildings are seen as an excellent opportunity for an expanded job profile in FM and for new business opportunities.
Background for the Study
The facility management (FM) industry is transforming due to increasing environmental, social and governance (ESG) requirements and growing calls to decarbonize building stock and operations. To capture these changing requirements, the International Facility Management Association (IFMA) and Technische Universität Darmstadt, supported by the German Association for Facility Management (GEFMA), launched a global study that ran from April to October 2023. The study was designed to shed light on the evolving expectations placed on facility managers, the current state of decarbonization efforts within the industry, the resources available to facility managers and anticipated changes in the facility management profession.
Building decarbonization describes methods to reduce “human-made greenhouse gas (GHG) emissions related to buildings.” The decarbonization challenge covers a building's life cycle, including design, construction, operation, occupancy and end of life. Whole of life cycle emissions include operational carbon — the amount of carbon emitted during the operation of a building, including energy and water use — and embodied carbon — the amount of carbon emitted from the extraction of raw materials for the building through to the end of the building's end of life, including refrigerant emissions. Energy use, construction, methane and refrigerants are the primary sources of GHG emissions in the built environment.1
The building sector is critical in global efforts to slow and limit climate change impacts. The built environment contributes to approximately 40% of greenhouse gas emissions. With 75% of emissions arising from building operations, facility managers (FMs) are pivotal in driving decarbonization efforts.2 The exact role that FMs will play will vary by region as FMs face different hurdles, apply different management models and are subject to different regulatory frameworks. This report outlines the key challenges and opportunities in building decarbonization tailored for FM professionals.
1, 2ASHRAE (2023) What is building decarbonization? ASHRAE Task Force for Building Decarbonization. https://www.ashrae.org/about/tfbd-what-is-building-decarbonization
Residential and nonresidential buildings are responsible for around 40% of global greenhouse gas emissions. The building sector is crucial and must be considered when fighting climate change.
Decarbonization is paramount in building operations: up to 75% of the building sector‘s CO2 emissions are produced by building operations.
Different ways of achieving objectives: differing hurdles, management models and regulations worldwide mean that facility managers are affected differently in the global comparison.
Therefore, this study examines the impact of ESG on the facility management industry and the role of facility management in the decarbonization of the building stock.
Methodology & Overall Respondent Demographics
- The study targeted approximately 4,700 senior facility management professionals with leadership roles to understand changes to FM operations.
- 327 senior FMs, predominantly working in-house for core organizations, participated in the survey.
- Close to 60% are based in North America, followed by Europe with 19%, and Asia Pacific with 17%.
- These FM professionals are responsible for managing multiple office buildings that are, on average, at least 21 years old, regionally dispersed and owned by their organizations (For in-depth statistics, see Respondents’ Professional Background).
- The report presents several questions concerning the degree of agreement, which were asked on 7-point Likert scales. The proportion of responses that agree (5 = tend to agree, 6 = agree, and 7 = strongly agree) are shown as an aggregate percentage for easier understanding.
Key Messages
#1
Decarbonizing existing buildings and building operations is highly relevant worldwide. However, the intensity of the importance and the reasons for this relevance differ. The market primarily drives facility management in North America, while legal obligations in Asia and Europe drive it.
#2
Organizations need help decarbonizing their building stock and operations. They lack the in-house expertise to implement the ambitious goals, which can only be achieved through increased cooperation with professional external partners.
#3
Facility management has a vital role in decarbonizing the building stock and operations. Currently, respondents perceive that they are the drivers of this transformation because without facility management targets cannot be achieved.
#4
Facility management is ready to tackle the decarbonization of building stock and operations and has recognized the determinants of decarbonization. However, facility managers seemingly lack the necessary resources to leverage this potential.
#5
Decarbonizing existing buildings and building operations is at risk of failing due to a lack of the necessary financial resources.
#6
Respondents believe they have expertise in implementing decarbonization in building stock and operations. Owners and corporations rely on their knowledge to decarbonize their properties — proof of the industry's dependence on facility management to achieve climate targets.
#7
The shortage of skilled workers is accompanied by a considerable risk that the decarbonization of existing buildings and building operations will fail due to a lack of facility managers to implement the identified strategies. For policymakers, this is a crucial problem that needs to be solved to achieve climate targets.
#8
Facility managers see significant opportunities in digitizing buildings and management to achieve the set decarbonization goals. This digitization must be given priority, possibly due to presumed efficiency advantages, also considering the lack of employees (key message #7).
#9
The facility management industry has the potential to expand the scope of operations. They benefit from their proximity to buildings and operations, which enables them to exploit existing dependencies and further increase clients' reliance on their data and technical expertise.
What Matters Most & Is the Industry Acting
Percentage of respondents who think following resource-related activity is important v. performing task
THINK RESOURCE-RELATED ACTIVITY IS IMPORTANT
ACTUALLY, PERFORMING ACTIVITY
Percentage of respondents who think following process-related activity is important v. performing task
THINK PROCESS-RELATED ACTIVITY IS IMPORTANT
ACTUALLY, PERFORMING ACTIVITY
Percentage of respondents who think following data-related activity is important v. performing task
THINK DATA-RELATED ACTIVITY IS IMPORTANT
The Future Facility Manager
Facility management will likely transform into a role that balances traditional functions with a strong emphasis on sustainability and data-driven decision making.
FM professionals must adapt to new technologies to play a vital role in driving the sustainability agenda within organizations. While there are regional differences in the composition of future FM job tasks (see below), the following presents an overview of what an FM role could look like toward 2030:
Class FM functions | Data-related tasks Assistance of organizations in implementing parts of the strategic decarbonization goals Advisory role concerning decarbonization at the operational level | Other
North America = 130 | Asia Pacific = 43 | Europe = 53
Classic FM Functions: This will likely remain the core of the FM role, involving maintenance, operations and administrative tasks required to manage buildings and services effectively. FM professionals will continue to oversee the day-to-day running of facilities to ensure they are safe, secure and well-maintained.
Data-related Tasks: As technology advances, FM roles will increasingly involve managing and analyzing data. FM professionals will use data analytics to predict maintenance needs, optimize building performance and reduce costs. They'll need to be proficient with data management systems and able to translate data insights into actionable strategies.
Advisory Role Concerning Decarbonization at the Operational Level: FM experts will advise on reducing carbon footprints within the operational aspects of facilities. This could involve optimizing energy use, implementing renewable energy solutions, and ensuring materials and processes are environmentally friendly.
Assistance of Organizations in Implementing Parts of Strategic Decarbonization Goals: FM professionals will play a strategic role in helping organizations meet broader decarbonization targets. This might include overseeing retrofit projects to improve energy efficiency, sourcing sustainable materials and integrating green technology into facilities.
Other Tasks: This category could encompass a range of responsibilities, from managing smart building technologies to ensuring compliance with evolving health and safety regulations. FM experts might also be involved in space management, leveraging flexible workspaces and enhancing employee well-being through the physical work environment.
The Future Facility Manager
Facility management will likely transform into a role that balances traditional functions with a strong emphasis on sustainability and data-driven decision making.
FM professionals must adapt to new technologies to play a vital role in driving the sustainability agenda within organizations. While there are regional differences in the composition of future FM job tasks (see below), the following presents an overview of what an FM role could look like toward 2030:
Class FM functions | Data-related tasks Assistance of organizations in implementing parts of the strategic decarbonization goals Advisory role concerning decarbonization at the operational level | Other
North America = 130 | Asia Pacific = 43 | Europe = 53
Classic FM Functions: This will likely remain the core of the FM role, involving maintenance, operations and administrative tasks required to manage buildings and services effectively. FM professionals will continue to oversee the day-to-day running of facilities to ensure they are safe, secure and well-maintained.
Data-related Tasks: As technology advances, FM roles will increasingly involve managing and analyzing data. FM professionals will use data analytics to predict maintenance needs, optimize building performance and reduce costs. They'll need to be proficient with data management systems and able to translate data insights into actionable strategies.
Advisory Role Concerning Decarbonization at the Operational Level: FM experts will advise on reducing carbon footprints within the operational aspects of facilities. This could involve optimizing energy use, implementing renewable energy solutions, and ensuring materials and processes are environmentally friendly.
Assistance of Organizations in Implementing Parts of Strategic Decarbonization Goals: FM professionals will play a strategic role in helping organizations meet broader decarbonization targets. This might include overseeing retrofit projects to improve energy efficiency, sourcing sustainable materials and integrating green technology into facilities.
Other Tasks: This category could encompass a range of responsibilities, from managing smart building technologies to ensuring compliance with evolving health and safety regulations. FM experts might also be involved in space management, leveraging flexible workspaces and enhancing employee well-being through the physical work environment.
