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Smart Buildings Technology: Systems, IoT Uses and Risks

What a smart building is, the IoT systems it runs on, examples for offices and hotels, connected HVAC engineering and the risks to plan for.

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Andriy Shevchyk

Chief Business Development Officer

Chief Business Development Officer, with more than 15 years in IoT, embedded systems and AI, previously co-founder and CTO of an embedded and system-level software firm.

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The short answer

A smart building is a commercial building whose systems – heating, ventilation and air conditioning, lighting, access, parking, elevators and safety – are fitted with connected sensors and actuators and managed from a central building management system. The systems share data, automate routine adjustments without human intervention and give managers a dashboard of how the building performs. Existing buildings can be retrofitted; a smart building does not have to be newly built.

What a smart building is

Buildings are now expected to do more than provide space, keep people warm and look good. The definition of a smart building is still loose because the technology keeps evolving, but the core is stable: a commercial building fitted with smart sensors and devices connected to the internet.

Smart building
A commercial building whose systems are equipped with connected sensors and actuators, managed from a central platform and automated to run with little human intervention.

Those connected devices support monitoring, centralised control of heating, ventilation and air conditioning (HVAC), facilities management, smart parking, fire alarms and measurement of how the building performs.

Smart building vs smart home

A smart home automates routines for a household or an individual. Smart building technology serves commercial purposes and covers a wider range of applications. A commercial building, for example, tracks indicators of how the building is performing, analytics a home usually does not need.

What makes a building smart

Technologies used in smart buildings

A smart building does not have to be new. Older buildings can become smart by adopting the same technologies.

The main technologies in a smart building and what each contributes.
TechnologyRole in the buildingTypical uses
Internet of Things (IoT)The base layer: sensors, network connections and dashboards that automate processesLower energy use, smart lighting, air quality control, operations driven by sensor data
Artificial intelligence and machine learningLearns what normal operation looks like and personalises automation patternsPredictive maintenance: warnings about abnormal behaviour, malfunctions or breakage
Augmented realityOverlays guidance and virtual equipment on the real environmentSafe training on virtual equipment, indoor navigation for visitors and new staff
RoboticsTakes over tiring or hazardous physical workCarrying loads, cleaning and disinfection

IoT systems in offices and business centres

The principle of IoT is the same everywhere: connect a device to the network and automate a task. In offices it aims at lower energy consumption and a more comfortable, less distracting place to work.

  • HVAC management: holds the set temperature for the whole building and for sub-zones. If the area near a window is colder than expected, the system adjusts only that zone and spends only the energy needed there.
  • Air quality monitoring: sensors track the carbon dioxide level in a room and the system increases airflow when it rises, which matters most when a large group meets for several hours.
  • Lighting management: daylight sensors adjust artificial light to the daylight available, keeping the light level people need while saving energy.
  • Occupancy sensing: presence data shows whether space and resources are used well, and when integrated with other systems it switches off lights, ventilation or heating once nobody is using them.
  • Smart parking: sensors in the pavement, car counters and cameras help drivers find, or book, a free space faster, so they are less distracted while searching.
  • Smart elevators: an elevator that knows its cabin is full skips further stops, and reports faults to the maintenance team before people get stuck.

IoT systems in hotels

A smart hotel has a different purpose from a smart office. It aims at a better guest experience on one side and simpler management for administrators and staff on the other, with lower energy use over time.

  • Security and access: digital room keys live in a mobile app that can also lock the door remotely and control air conditioning or water temperature.
  • Smart rooms: connected lights, air and water temperature controllers, curtains, TV and digital menus let guests set the room up their way, and some systems remember the preferences for the next visit.
  • Self check-in: kiosks let guests check in when they want instead of queueing at reception, which stays available, and can also take requests such as extra towels or room service.
  • Asset tracking: NFC, QR codes or barcodes let staff monitor room inventory and stock, get re-order reminders and track disposals, food and beverages.

Engineering a connected HVAC system

HVAC is usually the largest single target in a smart building, because inefficient heating, ventilation and air conditioning wastes energy across every thermostat in an organisation. Connected HVAC saves energy through schedules and pre-cooling, and keeps working conditions right by controlling airflow, humidity and temperature. Building one is more than adding another smart thermostat.

A common architecture puts existing smart thermostats under a web platform that manages all devices remotely. The platform exchanges data with each thermostat through a hub, reacts to changes in the environment, and lets operators set schedules for a single group of thermostats, an organisation or a whole region.

  1. ThermostatMeasures temperature and runs the local schedule held in its firmware.
  2. HubRelays data and commands between the thermostats and the platform.
  3. Web platformCollects device data, detects inactive devices, overheating or downtime and raises alerts.
  4. OperatorSets schedules for groups, organisations or regions and responds to alerts.
Data path of a connected HVAC system from thermostat to operator.

What smart building systems bring

  • Longer service life, through better technology and maintenance
  • Resource efficiency: only the resources needed are used, which lowers energy costs
  • Lower emissions, because systems run on the minimum power required
  • Higher safety: fewer accidents caused by human error, and robots can take over dangerous tasks
  • Competitiveness, as tenants value comfort and digital services
  • A better fit for hybrid and flexible ways of using space

Risks of smart building technology and how to handle them

No system is foolproof, and a smart building is only as safe as its weakest link. These are the points to plan for from the start.

Risk checklist

  • Provide backups for vital functions, because smart devices depend entirely on electricity and the network
  • Add protection for devices that have no built-in security
  • Replace weak default passwords and use two-factor authentication where possible
  • Review security across every device and connection, not only the main systems
  • Avoid devices that no longer receive updates and security patches
  • Check compatibility before combining devices and solutions from different vendors
  • Plan hardware, software and network together so that they work as one system

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Where this shows up in our work

SolutionConnected Product Engineering: One System, Not Isolated PartsIf you are planning connected building systems, see how devices, connectivity, cloud and dashboards are engineered as one product.

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