How do you see the facility management industry in Saudi evolving? What major changes have you seen over the last 5 years?

The Saudi FM industry is experiencing a period of exceptional growth, with the market projected to surpass $30 billion within the next two years. This rapid expansion is fueled by several key factors, including Vision 2030 initiatives, increased outsourcing of facility services, and a growing demand for integrated facility management solutions.

Until a couple of years ago, single-service providers captured over 45% of the total outsourcing market, primarily offering soft services. But the demand for hard services has been on the rise, and with the growing focus on sustainability, clients now desire integrated service providers, which can manage all their property aspects and improve efficiency at a holistic level. But for integrated facility management (IFM) firms to compete in an increasingly competitive market, technology will become the key differentiator to win more business and expand faster. 

Saudi Arabia is now home to ambitious smart city projects such as NEOM. What opportunities do these projects provide FM service providers in the region? How can technology aid their growth?

Mega projects like NEOM present a golden opportunity for IFM service providers to redefine the industry. These projects demand innovative solutions that can manage complex, interconnected systems efficiently. Moreover, they expect lightning-fast response times, exceptional service quality, minimal equipment failures and downtime, a more connected and engaging user experience, and greater profitability through reduced energy consumption and operational costs.

The problem is that most IFM firms are relying on legacy point solutions that simply can't keep up with these evolved expectations. The outdated systems currently in place cannot seamlessly connect with other tools, limiting the potential for creating efficient, integrated workflows across in-house and contracted teams. They also don't provide the advanced analytics and real-time visibility needed to proactively identify and address issues before they escalate, optimize resource allocation, and make data-driven decisions that improve tenant satisfaction and retention.

What is needed is a reimagined approach to facility management that brings in complete control and visibility to the practice. Switching to a scalable enterprise-ready CaFM will allow IFM firms to control operations across service lines from one place, get to market faster with new products or services and fasten deployments. It will allow them to maintain superior levels of service delivery, thus paving the way for winning large and prestigious projects in the region.

Can you give some examples of how you have worked with clients in Saudi to help them scale faster?

We recently partnered with Musanadah, a leading full-service facilities management provider based in Saudi Arabia. They faced challenges with data silos, inefficient work order management, and previously faced difficulty scaling operations. By implementing Facilio's Connected CaFM platform, Musanadah achieved a 90% success rate in meeting service level agreements (SLAs), streamlined work order prioritization, and optimized labor allocation. Our cloud-based platform provided them with a centralized view of their assets, work orders, and maintenance schedules. This resulted in reduced costs, improved efficiency, and the ability to scale operations effectively.

Some other IFM firms we work with are CIT Group and Alfanar Group in Saudi Arabia, and Berkeley Services Group, Quality FM in the UAE.

What factors influence operational efficiencies within these FM firms? How do they impact business growth?

Operational efficiency is driven by a combination of factors, including technology adoption, skilled workforce, standardized processes, and data-driven insights. By streamlining workflows, optimizing resource utilization, and leveraging predictive analytics, FM firms can significantly enhance productivity and reduce costs. This, in turn, frees up resources for growth initiatives, such as expanding service offerings or entering new markets.

Is there a winning formula for balancing growth and customer retention using technology?

Absolutely. Technology can be a powerful tool for achieving this balance. By delivering exceptional customer experiences through digital channels and leveraging data to personalize service offerings, FM firms can build strong customer relationships. At the same time, automation and AI can optimize operations, allowing for focused growth initiatives. It's essential to strike the right balance between investing in technology for customer satisfaction and using it to drive business expansion.

How do IFMs go about tracking ROI using their CaFM solutions?

There is huge unrealised potential for technology such as cloud-based Connected CaFM solutions to make a direct impact on business success. It can happen in multiple ways: there is potential to cut operational costs in half, shorter time to value with quick deployments and scalability built in.

KPIs such as energy consumption, maintenance costs, and asset lifecycle management can be easily measured. By establishing clear benchmarks and using advanced analytics, IFMs can quantify the impact of their CaFM investments on operational efficiency and financial performance.

What are the plans for Facilio’s expansion in Saudi?

We are committed to supporting Saudi Arabia's Vision 2030 by building stronger partnerships in the region. Our goal is to empower IFM service providers with the technology they need to deliver services benchmarked to international standards. We see significant growth opportunities in sectors such as education, healthcare and commercial offices, and we are excited to contribute to the nation's progress.