The Facility Management Industry in 2025: Challenges, Trends, and Innovation

The facility management industry is at a turning point. As labor shortages, rising workloads, and outdated systems strain frontline teams, organizations are seeking smarter, more efficient ways to manage maintenance operations. With the global facility management market projected to reach $3.14 trillion by 2030, digital transformation is no longer optional—it’s essential.

This report explores key challenges faced by facility managers, including excessive time spent on administrative tasks, gaps in training, and the growing role of AI-powered copilots in improving efficiency.

Through a survey of 40 facility and maintenance leaders, we uncover how teams are navigating these challenges, where they are losing the most time, and what innovations they believe will reshape the industry.

State of Facility Management: Key Insights & Trends

Facility and maintenance leaders spend excessive time on manual tasks, leading to inefficiencies, frustration, and workforce challenges. Our survey of 40 industry professionals reveals several pressing trends:

🔹 80% of facility managers lose 4+ hours per week searching for maintenance records, manuals, and work orders.
🔹 65% believe AI-powered copilots could significantly reduce workload and improve efficiency.
🔹 40% say inefficient documentation and software slow them down the most.
🔹 75% report that training gaps in new hires lead to errors, rework, and delays.
🔹 50% of leaders are actively looking for digital transformation solutions, but legacy systems remain a barrier.

As staffing shortages persist and operational pressures grow, facility teams urgently need AI-driven tools and process automation to streamline workflows and reduce inefficiencies. This report dives deeper into these pain points and explores how technology is shaping the future of facility management.

Global Facility Management Market to Reach $2.15 Trillion by 2033

The global facility management (FM) market is projected to grow to $2.15 trillion by 2033, driven by technological advancements, rising operational complexities, and increasing demand for efficient building management solutions. The shift toward automation, AI-driven decision-making, and IoT-enabled maintenance systems is transforming how organizations manage their facilities.

📌 Key Growth Drivers:

🔹 AI & Automation in Maintenance: Adoption of AI-powered copilots, predictive analytics, and automated work order management is reducing downtime and improving efficiency.

🔹 Smart Buildings & IoT Integration: The rise of sensor-based asset tracking, predictive maintenance, and real-time facility monitoring is streamlining operations.

🔹 Rising Demand for Energy-Efficient Solutions: With climate regulations tightening, facility managers are increasingly investing in sustainability-driven technologies to cut energy costs.

🔹 Workforce Challenges & Labor Shortages: The growing skills gap in facility management is pushing organizations to embrace AI-driven support tools that reduce reliance on manual processes.

"Facility management is no longer just about fixing broken equipment—it’s about proactive, data-driven decision-making," said Jason Bethke a senior analyst with KPMG. "Companies that integrate AI and automation into their maintenance workflows will see significant gains in efficiency and cost savings."

📌 Regional Market Insights

• North America leads the market, with growing investments in smart building technologies and AI-driven facility management software.

• Europe & Asia-Pacific are experiencing rapid growth due to urbanization, infrastructure modernization, and sustainability initiatives.

• Emerging Markets in Latin America and the Middle East are accelerating investments in cloud-based FM solutions to enhance asset management and compliance tracking.

📌 What This Means for Facility Managers

As the market expands, organizations must shift from reactive to proactive maintenance strategies. The integration of AI copilots, predictive maintenance, and real-time data analytics will be key differentiators in optimizing facility operations.

Survey Analysis: The Reality of Facility Management Challenges

Facility and maintenance teams are losing valuable hours each week on administrative burdens—searching for manuals, tracking work orders, and compensating for training gaps. This inefficiency is increasing stress, reducing productivity, and driving workforce burnout.

Our survey of 40 facility leaders uncovers the most time-consuming challenges and explores how AI-powered solutions can change the game.

Section 1: Time Spent Referring to Technical Documents & Manuals

🔹 The Problem:
Facility teams rely on equipment manuals, safety guidelines, and troubleshooting guides to keep operations running. But when critical documents are scattered, outdated, or buried in PDFs, maintenance teams waste valuable time.

🔹 Key Insights:

• 82% of facility managers spend 30+ minutes per shift searching for the right documentation.

• 45% struggle to find the correct version of technical manuals.

• 60% believe an AI-driven assistant that retrieves documents instantly would significantly improve response time.

"When a machine breaks down, I don’t have time to scroll through 100 pages of a PDF. I need answers instantly." – Facilities Manager, RSM Manufacturing Plant

Section 2: Time Spent Searching for Work Orders, POs, and Historical Records

🔹 The Problem:
A facility’s history lives in work orders, purchase orders, and maintenance logs—but when these records are buried in emails, spreadsheets, or outdated software, teams waste hours tracking them down.

🔹 Key Insights:

• 80% of facility managers lose 4+ hours per week searching for past work orders and purchase orders.

• 55% frequently call or email multiple colleagues just to locate the right document.

• 68% say an AI-powered assistant that fetches work history on demand would be a game-changer.

"I need to know who worked on a machine last and what was done. Instead, I’m digging through spreadsheets for 20 minutes." – Maintenance Supervisor, Manipal Healthcare

Section 3: Training Gaps and the Need for On-Demand Knowledge Support

🔹 The Problem:
New hires struggle to get up to speed because much of the industry's expertise is locked in the minds of senior employees. With experienced workers retiring and formal training lacking, errors and inefficiencies are increasing.

🔹 Key Insights:

• 75% say training gaps lead to frequent errors, rework, and delays.

• 40% report that most knowledge transfer happens informally through verbal guidance.

• 72% believe an AI-powered assistant that answers real-time operational questions would make training more efficient.

"Our senior guys are leaving, and new hires are left figuring things out alone. We need a knowledge system that actually helps them." – Operations Director, Commercial Facility

Section 4: The Rise of AI & Digital Assistants in Maintenance Management

🔹 The Problem:
AI-powered copilots are emerging as a practical solution to automate work orders, answer maintenance questions instantly, and provide predictive insights—reducing downtime and improving efficiency.

🔹 Key Insights:

• 65% believe AI-powered assistants could dramatically reduce workload and improve decision-making.

• 48% want a system that interprets work orders, suggests fixes, and surfaces related issues automatically.

• 58% say AI tools could enhance safety by ensuring quick access to SOPs and compliance checklists.

"If I could just ask, ‘What’s the failure rate on this machine in the last 6 months?’ and get an instant answer, I wouldn’t need to dig through reports." – Facilities Engineer, STT Data Center

Section 5: Legacy Systems as a Barrier to Efficiency

🔹 The Problem:
Many facility teams are stuck with outdated, manual, or disconnected software that slows down productivity and blocks innovation.

🔹 Key Insights:

• 50% of facility managers are actively looking for digital transformation solutions.

• 42% say legacy software is the biggest barrier to adopting modern facility management tools.

• 35% cite leadership resistance as a key obstacle, despite proven efficiency gains with new technology.

"I was overwhelmed by paperwork and stress. Our outdated CMMS was not only unhelpful but was slowing us down at a critical moment.."– Facilities Director, Bayern University Campus

From Challenges to Innovation: The Road Ahead

In 2025, the facility and maintenance management sector stands at a pivotal juncture. Our comprehensive survey highlights the pressing challenges faced by industry leaders, from excessive time spent on administrative tasks to significant training gaps and the limitations of legacy systems. These obstacles not only hinder operational efficiency but also contribute to workforce burnout and increased turnover.

However, the path forward is illuminated by the promise of technological advancements. The integration of AI-powered assistants and digital solutions offers a tangible means to streamline operations, reduce manual burdens, and foster a more proactive maintenance culture. Embracing these innovations is not merely an option but a necessity for organizations aiming to thrive in this evolving landscape.

As the global facility management market is projected to reach $3.14 trillion by 2030, the impetus to adopt forward-thinking strategies has never been more critical. Organizations that prioritize digital transformation, invest in employee training, and move away from outdated systems will be best positioned to navigate the challenges ahead and capitalize on emerging opportunities.

In conclusion, the future of facility and maintenance management hinges on a commitment to innovation and adaptability. By addressing current inefficiencies and embracing technological advancements, organizations can ensure sustained success and resilience in the years to come.