Incorporating EM with FM

Sougata Nandi, founder and CEO of 3e Advisory and 3e Apps, on how an energy management (EM) programme can help reduce FM costs

- Sougata Nandi

Facility management (FM) and energy management (EM) are two sides of the same coin as the influence of one is directly proportional to the results of the other. However, each requires its own specialized skillset that rarely exists in the same technical personnel. There is evidence to support that proper maintenance regimes reduce energy costs and a comprehensive energy management programme helps reduce FM costs. The divergence between FM and EM starts when the former is dictated by “building operation for zero complaints”, while the latter “builds operation for optimal energy cost”.

Typical FM contracts are governed by KPIs and SLAs designed to ensure a smooth occupancy experience in a building. It explains the polarised focus on quick response times to complaints and PPMs to minimise breakdowns. And rightly so, since a building owner’s financial model is influenced by lease revenues rather than by the FM and EM costs. Thus, ensuring occupant comfort (qualified generally by “zero complaints”) takes precedence over high FM and EM costs.