Smart planning

As buildings become smarter, workforce strategies must keep pace, says Vinay Singh, Workforce Transformation Leader for Professional and Business Services at PwC UK

Buildings are becoming more intelligent, more connected and more data driven. Sensors, automation and analytics are now embedded in everyday operations, designed to deliver safer estates, lower energy use and predictive maintenance.

However, for FM and the wider built environment, workforce strategy hasn’t evolved at the same speed as the assets it supports, a disconnect that is becoming one of the most material risks facing the sector.

Demand for services remains strong, while client expectations continue to rise, not just around outcomes but around transparency and technology-enabled delivery. Facilities management is still working on thin margins and costs remain predominantly headcount led, yet across service providers, it’s difficult to see much change from traditional operating models. Innovation often stems from providers finding ways to extract value from existing assets, for example, repurposing night-time security infrastructure for daytime health and safety use.

With persistent labour shortages, tighter immigration policies and rising costs, workforce strategy is a critical lever for addressing these challenges.

What I increasingly hear from leadership teams is not an ambition to do more with less, but a recognition that they must do more with the same. Scaling corporate and management layers alongside every contract win is neither affordable nor sustainable.

The organisations navigating this well are rethinking how growth is achieved, using technology to reduce the marginal cost of expansion and to protect narrow margins.

FIXING FRAGMENTED FOUNDATIONS

Before AI, automation or smart workflows can deliver value, organisations need to address a more fundamental challenge – fragmented core systems.

Across the sector, it’s common to see disjointed platforms across business units such as HR, finance and workforce planning. The impact is felt on the ground, and most acutely by operational leaders. Account managers and supervisors spend a disproportionate amount of time manually collating data, reconciling timesheets and stitching together payroll and billing processes.

Modernising these foundations isn’t glamorous, but it is transformative and it is necessary. Integrated, digitised back office processes free up management time, reduce errors and provide the operational insight that leaders require.

This fragmentation extends into financial decision-making. In many organisations, Capital and Operating Expenditure budgets are still managed in isolation. Teams are simply not having the right conversations at the right times. The result? Missed opportunities – especially around building energy efficiency, where investment can often deliver operational savings within short payback periods. Only once you fix the plumbing, does more advanced capability start to pay off.

INTELLIGENCE MUST BE EMBEDDED, NOT BOLTED ON

There is no shortage of experimentation with AI across the sector. But the biggest returns aren’t coming from isolated use cases or standalone tools. The real shift happens when intelligence is embedded into the service delivery model itself, not just layered on top.

That means orchestration that works across systems and agents rather than alongside them – connecting HR, operations, finance, health & safety and client delivery into a seamless and productive workflow.

One major UK facilities business is taking this approach across its 17,000-strong frontline workforce, modernising HR and payroll on a single platform to support both employee experience and long-term growth. The outcome is a frictionless experience in areas like onboarding new clients and mobilising teams with the right skills and certifications.

However, leaders are aware that regulation can limit how far these efficiencies go. Planned Preventative Maintenance, (PPM) for example, is still largely time-based, meaning predictive approaches are often additive rather than substitutive.

ONE WORKFORCE, MULTIPLE NEEDS

Another challenge is the assumption that every employee experiences work in the same way. A more effective approach starts by recognising distinct workforce needs and segmenting accordingly.

Frontline workers prioritise accuracy, safety and reliability, from the clear designation of shifts to the correct approach to compliance. For them, simplicity matters more than sophisticated interfaces.

But the same isn’t true for account managers, operational directors and supervisors. These individuals manage client relationships and translate strategy into delivery. Retaining and upskilling them is fundamental for futureproofing.

Alongside that, ongoing workforce pressures can’t be ignored. Churn across the sector remains high so creating a reason for people to stay is critical not just for retention, but for enabling sustainable, organic growth.

WHY THIS MATTERS

This is a fragmented industry facing consolidation, increased scrutiny and rising client expectations. To keep up with the pace of change, many organisations are looking to demonstrate scalability, resilience and operational maturity.

The real winners will be those who effectively rethink their workforce, embed intelligence and integrate their approach.

Smart buildings are already setting the pace. Whether the sector can fully capitalise on that opportunity will depend on whether workforce strategy evolves just as quickly. Because in the next phase of growth, it won’t be the smartest buildings that win; it will be the smartest workforces behind them.