As summer vacation season approaches, hoteliers must strike a careful balance. Travel demand is projected to rise, but so are operating costs—particularly for energy and labor, which remain the two biggest expenses in the operational budget.
Though HVAC automation technology offers promising solutions to help hoteliers save on these costs, the journey to ROI can feel complex. Staff is already stretched thin, and owners and operators justifiably have many questions about new tech: Who will manage it? How much time will it take? Will it actually deliver the promised time savings and ROI?
This is especially true for select service hotels (currently the largest and fastest-growing segment), which are known for their lean operations. While automation can reduce costs, it must do so without adding complexity, maintenance, or new skill requirements for staff.
In this environment, where maintaining service quality with fewer hands on deck is essential, technology can be a vital solution. For example, when automating tasks like check-ins, energy management, housekeeping logistics, and guest communications, it frees up staff for more direct, face-to-face guest service. However, the catch is in the implementation.
Measurable Energy Savings, Tangible Results
Energy management systems (EMS) have emerged as one high-impact investment that can deliver value and a rapid and measurable ROI. By using a best practice approach to EMS through a combination of occupancy detection, door events, and check-in/check-out from a networked Property Management System (PMS), a single property can reduce the heating/cooling runtime of its HVAC units up to 35%.
That can mean energy savings of up to 900 kWh per room per year, which translates to actual dollar savings of at least $160 per room annually. Of course, regional differences in the cost of electricity, weather conditions, and occupancy rates can amplify the savings.
Cutting through Complexity to Lower Costs
In the past, the cost of thermostat networking, new equipment, and maintaining the system presented a challenge for hotel staff and operators. Older EMS solutions often required installing a dedicated network, an on-premises server, and training staff on how to keep the network and servers running, as well as resolve any issues. This time commitment for an overly complex or poorly maintained system could cut into the guest room energy savings by nearly 50%. Not to mention, these tasks take staff away from guest-facing service and require skills and knowledge that hospitality staff may not have, nor want to learn.
Fortunately, newer EMS solutions include Wi-Fi thermostats to leverage the existing networking and cloud connectivity that eliminate the need for new infrastructure equipment on-premises. This makes adding a networked EMS solution and integrating it with the PMS for check-in/check-out management, much less expensive, easier to self-install and simpler to manage.
The cloud connectivity means the devices can be easily accessed remotely for management and troubleshooting over secure networks. This also enables above-property visibility, allowing owners and operators to monitor the systems across a portfolio of hotels, coordinate with local staff on resolving issues, and know when maintenance is needed and resolved.
By eliminating separate networks, extra equipment, and complex IT configurations, these newer HVAC automation systems require less capital and resources to purchase, install, and maintain. This ultimately lowers the total cost of ownership of the system while also achieving superior energy savings that will accelerate the payback.
HVAC Automation technology that delivers long-term value
Strategic investment in automation technologies that directly address the highest operational costs and greatest inefficiencies can streamline operations.
But in order to maximize ROI, this demands a “right-sized” energy management system that’s tailored to meet your property’s requirements and balances energy savings with expected staff resource demand. For example, connecting the EMS to the PMS for check-in/check-out events significantly boosts ROI by maximizing savings during days a room goes unrented, allowing quick temperature recovery upon the next guest check-in and ensuring guest comfort with zero staff involvement.
The bottom line is that a simple, cost-effective solution that is easy to install and easy to manage will deliver much faster ROI than even the most advanced hardwired systems.
Merging innovation and the human touch
While automated technology is key to overcoming high energy costs and staff shortages, hoteliers must navigate this transition cautiously. The balance between adopting technology to drive efficiency and maintaining a human touch in hospitality remains delicate.
Focusing on strategic HVAC automation investments that offer low-cost, no-hassle installation, minimal hands-on management, and negligible complexity allows hotel owners and operators to leverage automation for long-term success without sacrificing service. By addressing the two biggest line items in the budget–labor and energy–EMS solutions safeguard against ever-rising energy costs, deliver a solid ROI, and enable staff to focus on providing an enriched guest experience.
If you’re heading to HITEC in Indianapolis this year, our team would be happy to answer any questions you have about finding the right automation solution for your property. In fact, we just announced our new energy management solution to help properties drive cost efficiency while advancing sustainability initiatives. Book a meeting or stop by booth #3006 to learn more.
Jeff Johns is Global VP of EMS Business Development for Nomadix, an ASSA ABLOY company. Johns has over 20 years of experience in hospitality technology and providing consultative design for energy management systems for guest room automation for hospitality, casino, and other markets. He’s responsible for the Nomadix EMS Solution and works closely with Engineering and IT partners to specify product requirements and configurations for a select channel of strategic partners.
This article originally appeared on Today’s Hotelier.