• From boiler room to boardroom: The $3 trillion facilities management (FM) industry has emerged as a critical strategic function that deeply impacts employee and occupant experience, business continuity and enterprise resilience.

• A cost imperative amid economic volatility: Cost efficiency dominates FM priorities, with 84% of leaders identifying escalating operating costs and budget constraints as their top concern. Streamlining supply chains and an increasing reliance on strategic partnerships drive cost savings, while data and technology are being used to enhance automation and workflow efficiencies.

• Human-centric FM drives value beyond buildings: Occupant wellbeing and workplace safety ranks second on the priority list, underscoring the critical role FM plays in creating high-performing workspaces. A successful FM operation should develop a safety-first culture, balance efficiency with human experience goals, and incorporate occupant satisfaction and engagement metrics.

• Artificial Intelligence (AI) adoption is underway to transform the FM industry: 28% of organizations have embedded AI solutions in their FM operations — rising to 46% for large organizations (100,000+ employees) — with many advancing from initial pilots to scale across multiple function areas and facilities. The continued acceleration of AI adoption will present a pivotal opportunity for industry transformation, addressing the growing talent gap by augmenting human capabilities and productivity.

In an environment marked by economic headwinds and technological acceleration, FM has emerged as a critical strategic function that extends far beyond traditional building operations — deeply impacting occupant wellbeing and performance, as well as overall business health. As organizations navigate geopolitical volatility and evolving workforce expectations, the need for more intelligent, data-powered FM has never been more essential.

This year’s JLL Global State of Facilities Management Report draws upon insights from 248 organizations with headquarters in more than 20 countries, spanning a diverse range of industry sectors and real estate portfolios. The research highlights six key themes on how leading organizations are addressing their FM challenges through strategic outsourcing and emerging technologies, with a dual focus on cost-cutting and creating exceptional workplace experiences. 

Operational reliability remains the foundation of effective FM. Business continuity preparedness for mission-critical environments such as data centers, laboratories, hospitals and public infrastructure — where a single operational failure can cascade into high-impact events — is the foremost risk management priority. In addition, forward-thinking FM leaders are:

• Incorporating proactive risk strategies that align with the organization’s core challenges and long-term growth objectives.
• Building business continuity frameworks that address the full range of interconnected risks, such as workforce contingency planning, cybersecurity protections for smart building systems and IoT infrastructure, energy supply reliability, as well as climate event adaptability and preparedness.

A holistic framework will help create a resilient enterprise and elevate the role of FM from a functional service to a strategic business partner.

While nearly one-third of organizations (32%) plan to increase their FM software investment in the coming year, the share marks a decline from prior years (39% in 2024 and 42% in 2023), as organizations face greater uncertainty in capital planning and take a more cautious approach amid broad economic volatility.

Meanwhile, AI adoption is rapidly transforming CRE technology. According to JLL’s Global Real Estate Technology Survey, 92% of organizations have piloted AI tools in select CRE use cases or plan to start this year — up significantly from 61% in 2024 and under 5% in 2023. While AI adoption often begins with other CRE functions such as data standardization and portfolio optimization, it has shown meaningful advancement within FM. To deliver on the promise of AI:
 

• Prioritize AI investments in high-impact areas such as performance metrics tracking, predictive maintenance and work order management to deliver faster operational returns.
• Address integration complexities with legacy systems while establishing robust data quality standards and governance frameworks to ensure AI future readiness and deployment success.