The Continental Automated Buiding Association defines a smart building as “an intelligent space that will transform efficiency, comfort and safety for people and assets.” Implicit in this definition is the assumption that smart buildings also make a change in the profit picture for companies that invest in the enabling technology. But these changes may take time, and may come with human costs. Real estate professionals say there are a number of reasons enterprises may hesitate to invest in smart building technologies.
1. They need data to make the business case. Connected sensors can help companies cut energy bills and track assets, but managers need data on current patterns in order to make the business case. Often this data is not available. For example, a company may be paying to keep climate control systems and lighting on all night long in part of a building, but if management doesn’t know this is happening it can be hard to make a case for smart lighting or connected cooling systems. Ironically, these systems are the ideal way to capture this data, but until they are in place smart building technology can seem like an expensive leap of faith.
2. Smart buildings can cut jobs. Smart infrastructure may not require as many service or maintenance calls as it did before it was connected. Eventually this can eliminate the need for some of the technicians who service the infrastructure. Companies that sell and service in-building equipment may not be motivated to connect it to the internet if doing so could reduce their headcount or profitability.
3. Companies are confused about connectivity. Cellular, Wi-Fi, Bluetooth, and low power wide-area networks are just some of the options companies have for wireless connectivity and most enterprises are also thinking about how a wireless solution will integrate with their existing wireline connectivity. Companies are hesitant to invest in a solution if they are unsure about how it will interoperate with other systems and about whether it can scale as new options to connect assets and equipment develop.
