This article is available in several languages:

CEO Building Products at Siemens Smart Infrastructure
My in-depth professional experience in automation markets embraces product, solution, services and software businesses. Likewise, it is my passion to drive innovation…
23 October 2023

Overcome lurking: The urgent plea to accelerate the digital and sustainable transformation of buildings 

The energy crisis and climate change are on everyone’s lips – two major global challenges that are not only driving topics in the private sphere, but also for companies. These developments are particularly relevant for the buildings sector. The reason: Buildings consume 40% of the world’s energy and cause 42% of all CO2 emissions This makes it all the more urgent to retrofit traditional, existing buildings of any size – the same applies to new buildings – so they become smarter and autonomous and thus are able to contribute to decarbonization.  

Today’s buildings: Environmental impact and potential 

Technological solutions are already available and paving the way toward smart buildings. According to industry experts, smart and digital building solutions have the potential to deliver considerable cost and energy savings of at least 30%. We at Siemens believe the untapped potential for optimizing and future-proofing buildings through retrofitting and upgrades is significantly larger than that, possibly as high as 60% – depending on their type and setting. I believe it is therefore crucial for building owners to understand that their buildings need to become future-proof as quickly as possible. Not least due to the fact that the global floor area is expected to double in the next 35 years. Requirements for flexibility and sustainability are decisive factors, in addition to the constant balancing of tenants’ and owners’ expectations. With directives and regulations – such as the EPBD in the EU or the Inflation Reduction Act in the USA – we have seen that politics is providing guidance and incentives for the construction of or transformation towards smarter and more sustainable buildings. 

Available technology is paving the way: Three critical solutions  

Fortunately, a broad suite of solutions is available for making buildings intelligent in terms of automation, energy efficiency, safety, and comfort whose effects can be seen in day-to-day operations. Concrete examples include consideration of weather forecasts to minimize energy use; cooling of rooms only when they are occupied; and automatic shutdown of pumps when icing is detected to avoid damage to the hydraulic system. Digitalization is the key that unlocks these and many other functionalities that are made possible with IoT devices, edge computing, and cloud services: 

  • IoT solutions include sensors, valves, damper actuators, presence detectors, thermostats, etc. equipped with smart functions allowing them to communicate via the Internet Protocol for preventive maintenance or to facilitate optimization of energy efficiency and other KPIs.  
  • Edge computing consists of advanced data processing services (e.g., Artificial Intelligence, Machine Learning) deployed on-site for low latency and fast response time, as well as reliable operation of critical building automation applications. Just imagine, for example, how a breakdown of connectivity could affect key elements such as HVAC systems, intrusion detection, or lab automation if they depend on the Internet for uninterrupted service.  
  • Cloud-based applications and services can collect and analyze large amounts of data via a remote and distributed computing infrastructure that provides massive computing power to manage and optimize entire fleets of buildings. 

Insights gained from the acquisition, exchange, and amalgamation of formerly siloed data can be used to optimize performance and maintenance, including via remote services. This includes data generated by the building itself in areas like automation, HVAC, fire protection, or security, as well as from external sources – again, think of weather forecasts, or predictions for an expected number of visitors. These three technology levers must also ultimately work together to make AI fully usable in smart buildings, as AI-supported solutions offer a broad range of advantages in building management. 

Advancing to autonomous buildings  

When we consider the real world, however, we see that today 80% of commercial floor area is in buildings that are not equipped with any smart technology, leaving operators to carry out assignments by hand and on location. Also, most of the data that can be derived from buildings is currently not used at all. That makes it more laborious to reduce system failures, disruptions, and downtime, improve system performance, and increase the lifetime of building systems. Happily, all these tasks can be automated – not only to become more energy-efficient and sustainable, but also to maintain or even increase their value. Three steps are crucial: 

  • The building should be equipped with sensors and automation systems. Isolated building systems are connected and networked to overcome silo systems and enable remote monitoring and diagnostics. 
  • This allows proactive and preventive measures for Fault Detection and Diagnostics (FDD) to be defined and implemented. 
  • The implementation of predictive management, via Machine Learning algorithms that enable autonomous actions. The deep analysis that such predictive services perform can further optimize system performance.  

In a truly autonomous building, workflows are integrated, and failures can be predicted early using advanced analytics. 

Keeping building data safe and secure 

Issues such as cybersecurity and data protection, as well as data storage and processing must be ensured at all times. This is why the systems used must meet the leading standards in cybersecurity and data protection and need to be operated and maintained accordingly. In addition, technologies should offer a certain degree of flexibility, as regulations can vary from region to region. There are also different options for data storage and processing – on-site data storage, cloud solutions, cloud services and edge computing as hybrid solution. All of them ultimately under the credo of data security. 

Raising efficiency, preserving value  

If humanity is to prevent global climate change and the energy crisis from reaching catastrophic levels, we all need to act now and get out of the lurking position. I am convinced that digitalization is indispensable for sustaining the viability of our natural habitat on this planet. It is also key to making the built environment future-ready and protecting real estate investments. After all, building owners will face a substantial value loss over the coming decades if they don’t upgrade their assets to meet the latest efficiency standards. But why are so few buildings autonomous? Companies often have to deal with challenges such as lack of scalability, high effort and cost of integration, and frequent lack of compatibility between single solutions. However, the technological solutions are already out there and can work hand in hand: IoT, edge computing and cloud-based applications and services are the means to success. We at Siemens are able to offer the right technology for buildings of any size. With those three key technologies we can support companies in ensuring the success of the digital transformation. Siemens Xcelerator addresses exactly this – an open digital business platform designed to accelerate digital transformation and value creation for organizations of all sizes in industry, buildings, grids, and mobility. And Siemens solutions, like Building X, as well as IoT and edge computing offerings make this transformation easier and affordable for all and lower the entry barriers to smart technology that can help building owners preserve the value of their assets over the coming decades by meeting the standards of the future. Let’s act now! 

Join the conversation!

    This article is available in:

    Want to read it in your language?

    Auto-translate it into:

    CEO Building Products at Siemens Smart Infrastructure
    My in-depth professional experience in automation markets embraces product, solution, services and software businesses. Likewise, it is my passion to drive innovation…

    Related Tags