IBM Smarter Buildings: Detailed Overview

© 2012 IBM Corporation

Smarter BuildingsA smarter way to manage real estate and facilities

Presentation forSlideShare 2012


Agenda

Introductions Overview of client: present, pains, requirements Smarter buildings overview

• Drivers• Who should care?• Real estate management challenges• What are smarter buildings?

What IBM offers Smarter buildings benefits Why IBM? Next steps: call to action


It’s time for change

1http://www.decc.gov.uk/en/content/cms/news/aes_2011/aes_2011.aspx2http://www.good.is/post/better-buildings-initiative-and-innovation-cluster-announced-by-president-obama/

1http://www.decc.gov.uk/en/content/cms/news/aes_2011/aes_2011.aspx2http://www.good.is/post/better-buildings-initiative-and-innovation-cluster-announced-by-president-obama/

It is clear that there is an immediate requirement to significantly and urgently change the way buildings are managed. It is clear that there is an immediate requirement to significantly and urgently change the way buildings are managed.

Businesses need to “…prepare for this century, not the last. Turning the oldest building stock in Europe into the most improved, with a nationwide commitment to energy efficiency”. UK Secretary of State for Energy & Climate Change, 2011 Annual Energy Statement 1

“Efficiency means less costly waste”President Obama at the “Better Buildings Initiative” launch which aims to make US commercial buildings 20% more efficient. The purported impact of the initiative is a reduction US companies’ energy bills by about $40 billion 2


Smarter buildings – who should care? Companies with:

• more than 100 buildings in their portfolio• over 1 million sq. ft. of real estate• environmental reduction targets• OpEx & CapEx reduction targets• ambitions for growth & innovation


Customer building and real estate challenges

Real estate & facilities functions NOW have an opportunity to drive strategic business value

Properties operating as silos of systems and data

Too many business processes require manual intervention

Difficult to identify true full cost of operating a property

Low space utilisation

Disparate building management systems

Rich data is often unexploited in pursuit of business efficiency

Variation in employee experience across locations

Need to improve employee productivity

Loss of corporate knowledge to 3rd parties

Hidden costs of building operations

Increasing operational burden of legislation

Customer scrutiny of sustainability performance


Evolution of a smarter building – where are you?

Gain greater controlover your facilities data,systems, people and processes.

Build more effectivenessinto your operations acrossthe lifecycle of facilitiesassets.

Achieve a smarterbuildings strategy togenerate higher returnson facilities assets.

Maturity

Val

ue

Increased productivity Improved compliance Historical analysis Reduced cost

Improved decision-making Mitigated risk Real-time analytics Increased return on investments

Automated real-time response Predictive analytics Institutionalized controls Increased return on assets


What are smarter buildings?

Smarter buildings are well managed, integrated physical and digital infrastructures that provide optimal occupancy services in a reliable, cost effective, and sustainable manner.


Complex, inter-related

data sets provide new

insightsEnables

collection of large data

sets

Transform current

practices

Deliver and maintain best

practice, efficiency and cost reduction

Smarter buildings require continuous improvement

ReportsReports

InstrumentationInstrumentation


IBM solutions for smarter buildings enable energy, operations and space efficiency


Environmental and energy management to achieve sustainability goals

IBM has emerged as a leader in carbon and energy management software based on its advanced capabilities and solid market momentum.David Metcalfe, Chief Executive Officer, Verdantix

Featured IBM solutions: IBM TRIRIGA Energy Optimization; IBM TRIRIGA Real Estate Environmental Sustainability ManagerFeatured IBM solutions: IBM TRIRIGA Energy Optimization; IBM TRIRIGA Real Estate Environmental Sustainability Manager


IBM’s Strategic Facility Planning is just that. Strategic.Michael Bell, former Research Vice President at Gartner, Inc.

Facilities management to increase utilization of facility assets

Featured IBM solutions: IBM TRIRIGA Facilities ManagerFeatured IBM solutions: IBM TRIRIGA Facilities Manager


IBM software will help implement our NexGen IT vision and give USAF a data-driven approach to manage its real property and physical assets, as well as help us predict issues before they impact service and safety.Chief Information Officer, U.S. Air Force

Facilities maintenance to extend the life of critical assets

Featured IBM solutions: IBM TRIRIGA Workplace Operations Manager; IBM Maximo Asset ManagementFeatured IBM solutions: IBM TRIRIGA Workplace Operations Manager; IBM Maximo Asset Management


[IBM] provides strategic decision-making tools, rather than just tactical applications, and it hits on all of the top priorities that executives need to accelerate and deliver cost-effective capital programs.Global Director, European Manufacturer

Capital project management to generate highest return on invested capital

Featured IBM solutions: IBM TRIRIGA Capital Project ManagerFeatured IBM solutions: IBM TRIRIGA Capital Project Manager


IBM has been among the earliest to focus on and develop functionality for the impending FASB/IASB accounting change.Rob Schafer, Research Director, Gartner

Real estate management to build more effectiveness into real estate operations

Featured IBM solutions: IBM TRIRIGA Real Estate ManagerFeatured IBM solutions: IBM TRIRIGA Real Estate Manager


IBM smarter buildings case studies & benefits


Why IBM for smarter buildings?


Dedicated to:

Solutions comprised of coalition member capabilities and competencies integrated with IBM capabilities in easy to use and deploy solutions

Showcases which significantly reduce the use of energy and GHG emissions in public and private enterprise organizations

Awareness and demand for coalition member solutions

Valuable outcomes and collaborative solutions to market

Green SigmaTM Coalition

Trademarks are the property of their respective owners

The Green Sigma™ Coalition


Ready to embrace change, strategically manage and optimize your real estate portfolio?

Do you want to drive down your real estate portfolio costs? Do you want to know which are most efficient and highly utilized buildings? Do you want to know when your buildings are underperforming?

If so, our next steps are:

1) Decide on a focus area, could be number of buildings or IBM capabilities2) Deploy the solution – reap the rewards

Next steps


Thank You Smarter Buildings: a smarter way to manage real estate and facilities

For more info visit:ibm.com/smarterbuildings


BACKUP


Magic Quadrant for Integrated Workplace Management Systems by Rob Schafer May 31, 2012

© Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

Gartner has recognized IBM as a leader in the Magic Quadrant for Integrated Workplace Management Systems

This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report is available upon request from IBM.


\

Asset, Work Order MgmntAsset, Work Order MgmntAggregation,

WarehousingAggregation, Warehousing

Event Management

Event Management

Energy & Operational

Analytics

Energy & Operational

AnalyticsBusiness AnalyticsBusiness Analytics

Energy and Environment Sustainability

Energy and Environment Sustainability

Capital Project Management

Capital Project Management

Space Management and

Optimization

Space Management and

OptimizationPortfolio

ManagementPortfolio

Management

Building Management SystemsBuilding Management Systems

Fire HVACElevators SecurityLightingMeters

Dashboard w/ Reports Dashboard w/ Reports

GovernanceGovernance ReportingReporting StrategyStrategy ModellingModellingContent Management

Content Management

Smarter

Inter-connected

Instrumented

Intelligent

Dom

ain

- sp

ecifi

cD

omai

n -

spec

ific

Ent

erpr

ise

- w

ide

Ent

erpr

ise

- w

ide

Architectural view of smart building software

Water


Real EstateReal Estate

FacilityFacility

SustainabilitySustainability

ProjectsProjects

OperationsOperations

Identifies Hidden CostsIdentifies Hidden Costs

Key MetricsKey Metrics

SavingsSavings

• Inefficient and high-cost properties• Un-exercised option rights• Lease overpayments

• Inefficient and high-cost properties• Un-exercised option rights• Lease overpayments

• Reduce spend on space• Reduce space needs via consolidation• Increase utilisation

• Reduce spend on space• Reduce space needs via consolidation• Increase utilisation

• Eliminate project delays• Reduce schedule over-runs• Reduce budget over-runs• Improve on-time delivery

• Eliminate project delays• Reduce schedule over-runs• Reduce budget over-runs• Improve on-time delivery

• Reduce facility down-time• Improve facility performance• Improve service delivery• Increase client satisfaction

• Reduce facility down-time• Improve facility performance• Improve service delivery• Increase client satisfaction

• Reduce facility energy use• Reduce carbon emissions• Identify environmental projects

• Reduce facility energy use• Reduce carbon emissions• Identify environmental projects

• RE utilisation• Vacancy rate• Abnormal changes• Timing opportunities

• RE utilisation• Vacancy rate• Abnormal changes• Timing opportunities

• Total occupancy costs• Space per employee• Vacancy rate / density

• Total occupancy costs• Space per employee• Vacancy rate / density

• Project cycle time• Resource allocation• Project pipeline• Project variances

• Project cycle time• Resource allocation• Project pipeline• Project variances

• Cost of operations• Customer satisfaction• Manpower imbalances• Warranty entitlements

• Cost of operations• Customer satisfaction• Manpower imbalances• Warranty entitlements

• Total energy use / unit area• Total emissions / unit area• Emissions (carbon) intensity / unit area

• Total energy use / unit area• Total emissions / unit area• Emissions (carbon) intensity / unit area

Reduce Real Estate costs by 10%Reduce Real Estate costs by 10%

Reduce Facility costs by 15%Reduce Facility costs by 15%

Reduce Project costs by 5%Reduce Project costs by 5%

Reduce Maintenance costs by 8%Reduce Maintenance costs by 8%

Reduce Energy costs by 20+%Reduce Energy costs by 20+%

Energy OperationsEnergy Operations

• Continuous performance monitoring• Reduce maintenance costs• Reduce energy usage

• Continuous performance monitoring• Reduce maintenance costs• Reduce energy usage

•Real time equipment performance •Maintenance cost / unit area• Energy use /unit area

•Real time equipment performance •Maintenance cost / unit area• Energy use /unit area

Increase Maintenance efficiency by 50+%

Increase Maintenance efficiency by 50+%

Smarter buildings benefits

IBM Smarter Buildings: Detailed Overview

Business

ibm corporation

ibm tririga facilities

smarter buildings benefits

facilities management

way buildings

buildings strategy

smarter buildingsa smarter

energy management software