By Michael Westerfield, Director of Product, Atrius, Acuity Brands, and Brent Lowe, Senior Product Manager, Acuity Brands — Innovations in building management technology are driving the global smart building market toward an expected growth of $568 billion by 2032. With this rapid expansion, the facility management industry is becoming even more strategic and critical to operations. As such, facility managers must continue to evolve their practices to meet new challenges and realize the many benefits of growth and interconnectedness.
We have identified five major shifts emerging in 2025 that will reshape and simplify building management. The facility management industry is maturing into a strategic cornerstone for operations, and these trends will showcase how the role will address cybersecurity, labor shortages, sustainability, compliance, and energy efficiency.
This graph shows how businesses can simplify and automate their energy data collection, analysis, and reporting. The Atrius solution centralizes energy data from various sources, enabling real-time monitoring and analysis of resource utilization. Source: Atrius. Click to enlarge.
Increased facility cybersecurity through collaboration with IT and digital partners
Cybercrime increased by 75% in 2024 and is expected to continue rising in 2025. Increasingly sophisticated cyber criminals are looking for any way to access the systems of corporations and infrastructure providers. Breaches can range from ransom attacks targeting corporate operations to more critical attempts to infiltrate payment and financial systems.
Facility managers working with IT to prioritize digital security will protect their operations. Implementing secure-by-design systems limits access by layering security measures, timely software updates, and isolating operational technology from broader networks. Keeping software up-to-date will be essential to combat these risks. This includes ensuring patches are up to date on all IoT edge devices and critical building infrastructure systems such as HVAC, lighting, access control systems, and other equipment that might not traditionally be considered inviting to hackers.
Labor gaps will lead to consolidation, outsourcing and technology adoption
While facilities management is vital, the industry is experiencing a significant labor challenge. This gap is expected to widen further as fewer young people enter the field, putting more pressure on the already strained workforce, which is retiring in large numbers.
Adopting smart energy initiatives to attract tenants
Managing energy resources wisely, whether turning to renewable sources or adopting technology that allocates energy to address real-time conditions, can also be a selling point for office spaces. Research shows that employees in green offices are 15% more productive, which has heightened the demand for eco-conscious workplaces. In addition to contributing to environmentally friendly goals, 69% of people prioritize working in greener environments, pushing the demand for organizations to seek more eco-friendly office spaces.
This graph demonstrates how businesses can start their journey to monitor emissions. This visualization emphasizes Atrius features that help track scope 1, 2, and 3 emissions which aids organizations in efforts to efficiently track and report their sustainability metrics. Source: Atrius. Click to enlarge
In response, building owners will continue investing in upgrades beyond traditional improvements. From innovative building technologies that enhance energy efficiency, like intelligent lighting, to renewable energy installations, such as solar panels, these features will help attract tenants to office spaces that are up for lease. These sustainable upgrades reduce the environmental footprint and create a more productive and attractive work environment. Office buildings that embrace energy-efficient systems and eco-friendly designs will become desirable for tenants seeking long-term, cost-effective solutions.
Navigating and complying with new regulations
2025 will bring many new climate regulations for buildings globally. While larger sustainability teams may have the resources to stay ahead of these requirements, smaller teams could struggle to balance operations while working to understand unclear regulatory demands. Surveys show that only 25% of organizations are ready for upcoming regulations and reporting.
Many building owners are navigating the uncertain landscape of upcoming regulations. Understanding and implementing strategies to meet compliance will take up more of the facilities and energy teams’ limited time. However, those who seek technological solutions that support energy reporting demands will be in a better position to handle any changes in the regulatory climate. Being proactive will allow teams to benefit from the efficiencies and lower costs of software designed to track and manage energy costs.
Preparing for the potential of rapidly increasing energy costs
The reality of digitalization drives the increasing need for global data centers worldwide. This surge draws increasing attention to their energy consumption and carbon impact, pressing the adoption of more sustainable solutions.
In response, facility managers are consolidating resources and increasingly outsourcing key functions to manage day-to-day operations effectively. However, despite these strategies, the gap in skilled labor combined with rising demand calls for rethinking traditional operations. Industry leaders recognize the importance of investing in comprehensive training programs to develop the next generation of professionals. Like many labor problems throughout history, people will need technology to help close the gap. Leaders in outsourced operations will embrace new technology to empower the few to do more.
The heightened energy usage has already prompted a shift towards innovations like hybrid cooling systems and AI-integrated infrastructure, which will continue to evolve in 2025. These advancements will take center stage as industry leaders recognize the critical need to align data center growth with sustainable energy practices.
As a result, building owners and facility managers may see their energy costs increase, and it will continue to be essential to maintain efficient operations through the use of traditional sustainability solutions as well as software solutions. As we move through 2025, cybersecurity, labor shortages, sustainability, increasing regulation, and the need to reduce energy consumption will be at the top of everyone’s priority list.
About the Authors
Michael Westerfield, Director of Product, Atrius, Acuity Brands: Mike is an experienced leader who delivers new products and solutions in the built environment. He enjoys engaging with customers and partners to solve unique challenges. His goals include improving building performance and occupant experiences in the spaces we work and live in. Mike studied Computer Engineering at NCSU in Raleigh NC. After earning his bachelor’s degree, he worked in the manufacturing field for electrical distribution, building automation, and data management organizations. He now works on the Product Management team at Acuity Brands.
Brent is an experienced product leader focused on partnering with end users to build great experiences that solve real problems in the built environment. He studied Computer Science at the College of William and Mary in Williamsburg, VA and spent time as a software engineer before transitioning to product. He has partnered with customers to produce solutions for maintenance management in manufacturing and mining, financial products, and building automation. He now works on the Product Management team at Acuity Brands.
