How Poor Facilities Management is Silently Costing IT Buildings in India Up to 25% of OPEX

In the age of smart buildings and digital infrastructure, many IT campuses in India are still grappling with outdated or fragmented Facilities Management (FM) systems. While the impact may not be immediately visible, the cost is quietly eroding operational efficiency, tenant satisfaction, and asset value.

The Hidden Cost of Poor FM Practices

A growing body of global research (from IFMA, CBRE, and McKinsey) shows that organizations lose between 10% to 25% of operational expenditure (OPEX) due to inefficient facilities management. In the Indian context—especially within large IT parks and commercial complexes—this translates to crores of rupees annually.

Loss Area	Estimated Impact	Common Causes in Indian IT Buildings
Energy Inefficiency	10–15% of energy bills	Unoptimized AHU operation, poor zoning, lack of real-time monitoring
Unplanned Maintenance	5–10% of maintenance cost	Reactive fixes, missing AMC follow-ups, asset neglect
Shortened Asset Lifecycle	10–20% reduction in asset life	No digital tracking, skipped preventive maintenance
Downtime & Productivity Loss	2–5% of man-hours	Delayed complaint resolution, poor coordination between vendors
Compliance Penalties	1–3% of total risk exposure	Fire NOC lapses, EHS non-conformance, audit delays
Inefficiency in Workforce	5–8% in HR cost	Manual logs, duplicate entries, lack of role clarity
Tenant Churn & Brand Dilution	Long-term reputational risk	Subpar service experience, poor air quality, cleanliness complaints

Why IT Buildings Are More Vulnerable

Modern IT parks in India (spanning 1 to 10 million sq.ft.) operate with:

- Thousands of assets (AHUs, DGs, fire systems, elevators)

- 50–100 vendors for hard and soft services

- Thousands of occupants expecting seamless service.

Without a centralized, tech-enabled FM platform, these setups rely on spreadsheets, siloed systems, or vendor-owned portals—leading to

:- Lack of accountability

- No real-time visibility

- Delayed audits and escalations

- Missed SLAs and increased tenant complaints

How to Fix This: Smart IFM Practices

Forward-thinking developers and FM firms are moving towards:

- Digital Work Order & Asset Tracking Systems

- AI-based Audit & Compliance Dashboards

- Energy Analytics & Optimization Engines

- QR-based Housekeeping & Visitor Logs

- Better Asset and status board visualizations

-On demand eLearning videos for facilities, maintenance routines

These tools not only reduce loss but unlock:

✅ Uptime improvements

✅ Energy savings up to 25%

✅ Faster response times

✅ Better vendor accountability

✅ ESG and regulatory readiness

✅ Better employee productivity

Final Word

In a hyper-competitive real estate market, efficient FM is not just about saving costs—it’s about delivering a great experience, protecting your brand, and future-proofing your assets. If you’re still running your FM on paper, Excel, or disconnected systems—it’s time to stop the silent leak and switch to an intelligent, integrated FM solution.