There’s a lot of buzz around the Internet of things (IoT). After all, interconnected technologies can turn the A/C on and off based on occupancy, instantly locate available conference rooms, even have your cup of coffee prepared – just the way you like it – and waiting the moment you enter the break room.

But is all this technology truly smart? What kind of return on investment (ROI) will it deliver?

“For over 30 years, Baker Group has been assessing and implementing strategies that make building occupants more comfortable, healthier, happier and more productive,” says Jarod Stockel, P.E., Automation Business Unit Leader. “We know that great client ROI is achieved when we help increase employee productivity.”

Stockel talks a lot about building strategies that dramatically increase efficiency: “We’re not talking about energy; we’re talking about the efficiency of occupants. Are we implementing strategies that enhance critical thinking skills, attention and focus? What are the temperatures, light levels, CO2 levels and automated technologies that contribute to a better, more effective workforce?”

Turning Conventional Thinking on Its Head
Daryld Karloff, Executive Vice President of Baker Group’s Building Services, says that Baker Group is committed to doing the right thing for clients – always. “We don’t want technology for technology’s sake. We recommend the technology that makes sense for the specific organization, building and employees.”

For instance, energy-reduction strategies are good, but they won’t likely deliver the highest possible return on investment for building owners. Consider this:

“On average, only 1 percent of a company’s expenses relate to utility costs. Another 9 percent is for hard costs, such as rent and facility upgrades. The remaining 90 percent of daily expenses are in payroll,” Karloff stresses. “While energy is easy to measure, it’s a relatively small expense.”

To drive this point home, Karloff offers a little math:
      If, in an average 100,000-sq.-ft. office building, salary costs are over $30 million per year, and

      Employees work an average of 1,920 hours in the year,

      Then your total payroll cost is over $15,000/hour or $260/minute. This is over $4.30/second!

Implementing just one smart technology – such has having elevators cued and waiting for participants at the end of a meeting – could save eight employees 15 seconds each – per meeting!  

“The financial gains received from that single technology will increase exponentially over time. Imagine the impact of multiple smart technologies improving the productivity and performance of your greatest investment – your employees,” Karloff says.

Stockel adds, “There is so much opportunity for businesses to benefit from smart buildings customized to their needs and their workforce. This savings fall directly to the bottom line.”  

Nine Ways to Make Your Building Smarter
Baker Group works with clients to analyze building systems and space utilization, to integrate the right productivity-boosting design and technologies. In future issues of Baker Group Insights, we’ll examine these nine improvement opportunities:

1. Lighting
2. Ventilation systems
3. Air quality
4. Thermal health
5. Moisture
6. Water quality
7. Noise
8. Safety & security
9. Space Utilization

Your other building stuff? We can do that too. To learn more about using your building to enhance employee productivity, please call us at 855.262.4000.