As hybrid banking, mobile payments, and digital experiences become a central part of the overall financial services picture, more operational dollars are flowing from physical branches to digital systems. Now companies face new challenges like how to control energy-hungry data storage/processing costs, recalibrate workforce needs, and rethink the role and sustainability impacts of facilities. As portions of branch portfolios get sold off, businesses need fresh ways to manage buildings with an eye on long-term value.

The digital banking era is here to stay – but in-person banking is still relevant, and US banks are opening more net new branches for the first time in a decade. More than ever, these providing buildings must not only be safe and comfortable – they must look and feel like this is a brand worthy of one’s time and business.

Today’s consumers and businesses want to see accountability from those who manage their money and investments. Whether it’s aligning with customer values or strengthening public trust, banks and financial services organizations are recognizing a need to make socially responsible choices about where they lend. Many are also working to meet rising interest in green banking, using innovative financing to support clean energy projects.

From cybersecurity to credit risk, financial institutions are well-versed in managing risk – and the impacts of climate change are pushing that muscle to all new heights. Extreme weather disrupting operations and declining asset values in vulnerable areas don’t just affect financial models; they extend to real-world assets. For example, in mergers and acquisitions, expanding or shrinking real estate portfolios now brings up vulnerabilities for properties in high-risk areas or locations where compliance costs need to be considered.

Local branches comprise 60–90% of a bank's overall energy consumption. In addition, energy costs make up about one-third of a local branch's overall operational costs. Energy efficiency improvements, low-cost clean energy, and other solutions can tie directly to OpEx savings that streamline the bottom line.

Banking processes and technology opportunities are changing fast – and legacy systems, hardware, and physical infrastructure are just not equipped to meet the demands of modern banking, let alone deliver premium human experiences. Many financial services companies are under pressure to sustainably and safely recycle or upcycle older equipment, manage physical and facilities footprint, and skill-up their workforce – while demonstrating sound money management.