From a refined form of domestic service to a data-driven management discipline: facility management is on the cusp of a new era. Jöri Engel, Head of Corporate Real Estate at Swisscom, explains why outsourcing starts with a blank sheet of paper, how sustainability will soon become the norm, and which new technologies will transform the sector in the future.
How has facility management changed in recent years?
The industry has become much more professional. Today we talk about facility management, not just facility services. The focus is on data-driven processes and better collaboration with management. In the past, it was often just about execution; now, conceptual and strategic skills are also in demand. That’s why it’s crucial to incorporate management tasks more heavily into the outsourcing strategy.
And what role will outsourcing play by 2030?
In the coming years, the degree of outsourcing in management positions will continue to rise. In the past, the client handled the strategic and conceptual work themselves. Today, companies are increasingly handing these tasks over to external partners. This shift means that FM providers must increasingly develop new skills and profiles. In addition, consistent outsourcing of “non-core tasks” allows for an even stronger focus on the company’s core business.
How important are sustainability and environmental responsibility when outsourcing facility management services?
ESG is central today and will soon be just as much a given as cleaning and janitorial services in an FM provider’s service portfolio. Sustainability is becoming a must. However, ESG is unthinkable without reliable data. Without data, there are no valid insights, and without those, no effective measures. Therefore, extensive expertise is needed to interpret this data and derive concrete measures. These three elements must work together consistently, whether through the client itself or through the outsourcing partner. Companies must ensure that their FM partners are capable of collecting and analyzing ESG data and deriving effective strategies from it. Sustainability is not just a trend, but a decisive factor in FM outsourcing.
What technological developments and trends do you foresee in facility management over the next five to ten years?
Technology will not only automate processes but also improve decision-making through predictive analytics. Smart buildings that optimize themselves and IoT-enabled systems will further increase efficiency and sustainability. AI and bots will play a major role in this. They’ll take over repetitive tasks and assist with error detection and implementing corrective measures. However, our data must be properly maintained to use AI efficiently - and we’re not quite there yet. Another trend is long-term contracts with service providers. After all, creating something together requires perseverance, commitment, and a genuine partnership.
“Sustainability is a must, not an option.”
Jöri Engel, Head of Corporate Real Estate at Swisscom
What challenges and risks should companies consider when outsourcing facility management services?
Companies must be fully committed to outsourcing and understand the “why” behind it. Cultural fit is crucial. A high degree of outsourcing can slow the pace of innovation if the partner does not have a high level of in-house production. It’s also important that clients have the necessary knowledge to always stay one step ahead of the provider.
What strategic recommendations would you give to companies looking to outsource their facility management?
Start with a blank sheet of paper and envision what the future should look like. Assess your own capabilities and ensure that you can steer and monitor the plan you’ve outlined. The client should set the direction - not the provider, and certainly not the consultant.
What expectations do you have of an FM partner?
Cultural change must be supported internally. The provider should be viewed as an equal partner who helps the client achieve shared goals. It’s advantageous if the provider handles a high degree of in-house production. I also expect an FM partner to proactively introduce innovations and support us in continuously improving. The collaboration should be characterized by trust, openness, and a shared understanding of quality and service.
Portrait
Jöri Engel heads up Corporate Real Estate Management at Swisscom, which manages around 1,000 buildings across Switzerland with a total floor area of over one million square metres. From project development, through construction project management, letting and leasing, to building operations, the division is responsible for the entire life cycle of the properties in use.
