Facility Management KPIs: A Guide to Better Decision-Making
Updated March 2, 2023.
Facility management KPIs (Key Performance Indicators) are primarily used to track the performance of a facility, just like your office space. These KPIs range from space utilization, cost efficiency, and safety compliance to employee satisfaction and equipment maintenance.
By tracking these indicators, you can identify potential areas of improvement in your office space, make better decisions, and plan for the future.
3 Aspects to Consider When Choosing KPIs
When deciding on which KPIs to manage, you should consider the following factors to ensure your choices best suit your business objectives.
1. Facility Costs
Facility costs aren't comprised of a single parameter—they can include real estate costs, utility costs, security costs, operational costs, and more. Knowing how much money your office is spending on each category helps you identify areas that require improvement so you can save costs or rearrange your office space for a more efficient layout.
For example, if you pay $10,000 per month for your office space of 1,500 square feet, then every square foot costs you $6.67. But if your space utilization is only 70% (i.e. 1050 square feet), then you're paying $9.52 per square foot.
■ Use these space utilization metrics to further reduce your facility costs
2. Employee Productivity and Satisfaction
Employee productivity and satisfaction are important KPIs to consider to ensure better decision-making. If your facility management doesn't provide your employees with the right resources that boost their performance, morale can suffer. This can lower productivity in the long run, especially in the case of hybrid work models.
Unfortunately, there's no single metric that can determine employee satisfaction or productivity because these also depend on external factors like workplace culture and social environment. However, one feasible solution is tracking the complaints protocol.
■ Boost employee happiness with a flexible workspace
Maintenance is an important facility management KPI to consider because it can significantly impact employee productivity. Not monitoring different types of maintenance like preventative maintenance or reactive emergency repairs can lead to costly setbacks because lengthy and frequent fixes can leave employees without vital resources.
Fortunately, there are solutions to keep facility maintenance within your means, like hot desking or efficient scheduling models. There are also formulas you can use to measure this KPI, such as Total Facility Management Cost (TFM).
Using this formula, you can strategically monitor your facility to ensure maintenance doesn't hamper efficiency in any way.
How Automated Systems Can Make This Easier
Using automated systems such as POC's space management software can make facility management KPIs much easier to manage. With this software, you can:
- Visualize the layout of your facility: This will facilitate your decision-making process in terms of seating allocations and other important design aspects.
- Boost employee satisfaction and productivity: You'll be able to ensure your employees have the best possible working environment to perform well in their roles.
- Monitor specific areas within your facility: This will show you exactly where your resources are allocated and point to areas that require modifications.
- Improve your facility management efficiency: The app's real-time tracking capabilities can help you identify usage patterns more easily and determine which resources are actually used the most and when.
Make Informed Decisions With Facility Management KPIs
Facility management KPIs are essential for ensuring the optimal performance of your organization. By carefully selecting the right KPIs to track, you can make better-informed decisions and foster employee productivity and satisfaction.
What's more, implementing efficient monitoring and management systems like POC's space management software can further streamline your decision-making process. Combining the right KPIs with the software's real-time tracking capabilities and easy-to-use interface will ensure you can save costs, monitor your budget, and provide your employees with an optimal working environment with ease.
■ Ready to write your facility management report? Follow these guidelines