Digital technologies are disrupting real estate markets, threatening to take people out of malls and commercial buildings in favour of digital marketplaces and shared virtual workplaces. Assets, of all types, are being used in new collaborative ways, to maximize utility and minimize costs. The Collaborative Economy, which has seen the rapid adoption of shared (and soon autonomous) vehicles, shared offices, shared products and services supported by shared tools and systems, is hitting traditional real estate business models.
Business processes that once supported long-term leases and paper transactions, are now contending with “on-demand” real estate (like co-working spaces and pop-up retail stores), where services are negotiated, provisioned and terminated to meet the immediate needs of customers. Invoices delivered weeks after the fact by service providers no longer meet the timeliness requirements for these new models.
Responsive real estate services start with responsive building service partners, supported by real-time, end-to-end (request to invoice) operational processes. In most real estate operations, this means bringing your mechanical, electrical, security, automation, janitorial, landscape (and other) service providers, as partners, into a unified, collaborative and integrated services delivery platform.
More efficient operational processes ripple through the partner ecosystem to reduce operational costs and create a more responsive customer experience. In a recent case study with an HVAC service provider, (over 2,300 work orders completed) we found a 17 percent reduction in labor hours per work order, with a corresponding increase in work orders completed per day.
While customers saw an average labour saving of about $100 per invoice, the contractor actually increased billable hours, lowered overhead and administration costs, and was able (on average) to get to the next job an hour faster! As a result, the service contractor provided lower costs and better service to their customer (and ultimately their customer’s occupants/tenants). Additional savings accrue to the end customer with digital delivery of service and financial records eliminating data re-entry for financial and asset management.
BuiltSpace provides a digital services delivery platform that is transforming the delivery of real estate services to