Businesses are in fierce competition to maintain viability and increase asset value. Executives analyze all of the data related to marketing, sales, and service to sustain their edge. Just as important to increasing profits, though, is keeping costs down. This is where the challenge of energy management come into play: a study by the American Council for an Energy Efficient Economy found commercial buildings could save up to $60 billion collectively just by increasing energy efficiency by 1-4%.
Many factors are important in maintaining a profitable business, but many businesses find themselves struggling to create energy efficiency. What makes energy efficiency so difficult for some businesses to achieve? Here are the top challenges to achieving energy efficiency in commercial buildings and how to overcome them.
Download the Definitive Guide to Increasing Energy Efficiency to explore more challenges facing the industry.
With over 90% of buildings running inefficiently, it is no surprise that the average commercial building wastes 30% of the energy it consumes, according to ENERGY STAR. Most of this waste is due to reduced building performance over time, known as drift. The additional costs and repairs caused by faulty construction and malfunctioning equipment only add to the waste of resources and bring down the bottom line.
In addition to building inefficiency, HVAC can also be a common cause of waste. It accounts for 40% of energy use in a commercial building, yet only recently have companies considered making HVAC systems more efficiently designed.
These considerations in energy efficiency are easy for large companies to miss and end up costing significantly. Energy reduction is essential, but many businesses do not realize the most efficient ways they can measure, reduce cost and achieve energy efficiency.
Having a data-driven approach allows you to understand where the inefficiencies are in your building. According to a recent Verdantix survey of 100 real estate investors found that improving real estate and operations data management practices is a high priority for 41% of respondents and a medium priority for 47%. Without the right data, though, businesses cannot improve their efficiency.
It is impossible to manage something you know nothing about. This is why managers and corporate leaders know to analyze data around the metrics that matter for their profits. Without the proper energy-assessment, companies stand to waste money trying to achieve energy efficiency. In order to properly assess energy efficiency, companies need to be able to assess how much energy their equipment is using.
In addition, they need to monitor usage, analyze performance, and detect and diagnose any issues that affect energy efficiency. This way, they can know exactly where they are, what their goals should be, and the most efficient way to accomplish them.
Businesses are progressively aligning sustainability to their core business strategy. They know that it can give them a competitive advantage to reduce energy usage and lower carbon emissions. It can create a positive working environment and a great corporate image, which are necessary for company growth.
In order to reach these goals, though, they must manage energy more efficiently. Companies need actionable data to back up their commitment to sustainability.
Although most businesses can see how energy efficiency improves profits and business, they either lack the staff to monitor energy usage, or they don’t know where to start. Many companies lack the data and analytics that they need to collect and interpret real-time data on their energy usage. This data is essential for giving companies awareness into what steps specifically need to be taken for their business to achieve efficiency. It can take substantial manpower and training in order to collect and analyze this data for each specific building.
However, many companies lack the staffing required in order to properly monitor and optimize their energy usage. Furthermore, staff may be untrained and not knowledgeable about the intricacies of energy efficiency.
Energy usage is not the same for each business. The pitfalls, buildings, equipment malfunctions, and energy-consuming systems are unique to each corporation. Analyzing and understanding each buildings unique needs takes significant staff training and know-how. However, it can become burdensome to have an onsite site staff dedicated to analyzing and improving energy efficiency. Cloud-based systems allow corporations to have the benefits of specialized energy assessment and efficiency for their buildings without dedicating and training an entire team to it.
A real-time cloud-based analytics platform offers corporations the data and expertise needed to measure and achieve their energy efficiency goals. With analytics and remote energy monitoring, businesses can receive the actionable data they need to cut costs. Entic offers the expertise and information businesses can use for energy management.
A building assessment is needed to give businesses an idea of their unique energy needs. This is accomplished by analyzing utility bills and mechanical and equipment information. The information is then used to compile an energy plant schematic (much like a building’s DNA), which highlights where additional sensors may be required to gather the best data view of operations. From there, the wireless sensors are installed that communicate with the cloud and your data will immediately inform the system.
After the sensors are calibrated, the energy performance can be examined to ensure systems are operating to the designed specification. Areas of waste are easily identified and treated with prescriptions.
Energy management does not need to be a guessing game. Without the right information, corporations often find their energy efficiency goals fall flat, or worse, end up costing more than they save. Get the data you need and start increasing your profits. Contact us today to see how to stop wasting money and start saving energy.