KPIs are important because they help us know whether our projects and investments are paying off. You will find many business owners don’t have a clear idea of why they’re investing money in the first place, so it can be hard to set KPIs with good results. The key is figuring out what metrics paint an accurate picture before deciding how you want them measured–and remember: if there’s no focal point, then your indicators won’t matter.
It is best to avoid ambiguity and define additional KPIs to drill down into specific processes or areas of monitoring in your company’s facilities. In other words, a general KPI is great, but it should never be the only KPI you use.
KPIs can pinpoint where you need more attention in your company. For example, if there is a problem with machinery and it’s not being fixed as quickly, then using a percentage KPI showing when preventive maintenance should take place against reactive ones can help highlight missed tasks or more significant traffic areas on equipment that may have gone unattended due lack interest by owners until they are too late.
KPIs lack value if you do not define a clear target. Target areas may be subject to other KPIs in the company, but it is best to set an achievable minimum for the KPI (gross energy consumption per square foot should never exceed 10%). Your actual targets will vary depending on seasonal changes or upgrades made with HVAC systems – choose wisely.
If you want to know if your facilities reduce their carbon footprint and achieve energy efficiency, take a look at these KPIs. All of them should reflect organizational goals; for example, reducing the workload on AC units during the afternoon will mean having an energy usage metric that reflects all HVAC systems’ day-to-day use versus just one morning or evening period time frame (e.g., six am-noon). The resulting percentage could tell us how well you’re doing with meeting those targets.
Gross facilities management KPIs are fundamental concepts in utilizing automation and efficiency monitoring in your company, reports Dean Kavrakov. This KPI is the result of dividing gross costs by the growing floor area. This will derive a value of cost-per-square-foot. Based on energy ratings and feedback from connected systems, energy efficiency can be more clearly defined by what areas are not being managed appropriately. For example, poor store layout may inhibit airflow and drive workload on the HVAC system in the back of your store higher than optimal. Thus, your energy consumption goes up when a simple change in layout might eliminate the issue.
Putting work off contributes to less operational efficiency and possible issues in the future. Thus, any deferred work should be automatically logged and tracked. In addition to identifying potential disconnects between information dissemination and correction of issues, this KPI can help keep your team on track with tasks that need to be completed, such as replacing HVAC air filters.
Automated systems can dramatically reduce inaccuracies in reports and overall operational efficiency. The IoT empowers preventative maintenance programs through facilities management KPIs. However, preventative maintenance inherently means someone or something must take a specific action to keep equipment from breaking down. This might include making minor repairs or controlling robots to make such repairs or perform routine maintenance as technology grows more complex.
KPIs are a great way to measure the success of your company or facilities management program. They can help you make sure all team members understand what needs to be completed for KPIs to reach target zones, and they don’t autonomous from managers telling them how things should go down anywhere. Businesses will benefit greatly by following these tips on creating efficient KPI programs.
ENTOUCH is the leader in energy management-as-a-service and smart building technology. Our integrated, cloud-based software and technology, combined with 24/7 advisory services, render a 360° view of any facility ecosystem, fueling real-time decisions that reduce energy consumption, improve operational efficiency and extend the useful life of critical equipment for multi-site businesses across North America. Our customers operate in fitness, healthcare, retail, financial services, restaurant, childcare, and other markets and include Group 1 Automotive, Office Depot, ALDO, KinderCare, 24 Hour Fitness, and Chuck E. Cheese.
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