I think the biggest mistake building managers make is choosing an elevator provider based solely on the monthly maintenance fee. Let me explain why.
When I first started handling our building's service contracts back in 2020, I assumed all the major providers—KONE, Otis, Schindler, ThyssenKrupp—were essentially interchangeable. You pay your monthly fee, they show up for inspections, and the elevators run. What I learned over three years and a few very stressful tenant complaints is that the efficiency of the service model matters more than the price on the contract.
My initial approach was completely wrong
I used to think that the lowest quote was the smartest choice for our budget. We're a mid-sized property management firm—about 400 employees across three buildings—and my job is to manage all purchasing, roughly $1.2 million annually across 12 vendor categories. Elevator maintenance was just another line item to me. So when a smaller local provider offered a rate 15% below KONE's quote, I jumped.
The way I see it now? That decision cost us more than the savings in the first year alone. (Put another way: we saved $3,200 on the contract and lost about $8,000 in emergency call-outs and lost rental income from a stuck elevator.)
Why efficiency became my priority
Argument 1: Response time isn't just a metric—it's a revenue driver. When a passenger elevator goes down in a commercial building, tenants get annoyed. When it's down for 48 hours, they start talking about lease breaks. Our local provider promised 'same-day service.' In reality, that meant they'd call back within 24 hours, and a technician would arrive within 48. The automated process eliminated the data entry errors we used to have—but in this case, the lack of automation created delays. KONE's system (we switched back in 2023) has a digital dispatch that cut our average downtime from 14 hours to under 4. Oh, and their technician showed up with the right parts the first time. That matters.
Argument 2: The hidden cost of 'flexible' contracts. Our old provider was 'flexible'—meaning they'd negotiate on price if we pushed, but the invoice itemization was a nightmare. I spent about 6 hours monthly reconciling charges. Finance kept rejecting expense reports for 'unspecified service fees.' (Which, honestly, felt like a penalty for choosing a budget option.) When I consolidated our maintenance contracts in 2024, I switched to KONE specifically because their online portal gave me a clear audit trail. That alone saved our accounting team about 3 hours per month.
Argument 3 (the counter-intuitive one): Efficiency isn't just about cost—it's about tenant perception. I'd argue that the true value of a major provider like KONE isn't the technology itself, but the predictability it creates. Tenants don't complain when the elevator works. They complain when it breaks. And the difference between 'we'll fix it tomorrow' and 'a technician is on-site in 90 minutes' is the difference between a renewal and a notice to vacate. In my experience, that's worth a premium.
Here's what I think the counter-argument is—and why I disagree
Some people will say: 'But a local provider knows your building better. They're more personal.' And I get that. Our old provider knew every quirk of our 2015 KONE elevators. (Should mention: we'd been with them for 8 years before 2020.) The problem was that knowledge didn't translate into faster fixes—they still needed to order parts from regional depots. KONE, by contrast, had the specifications and parts availability already mapped out in their system.
Another objection: 'Modernization isn't always the answer.' True. But efficiency processes—like digital monitoring, predictive maintenance, and automated dispatch—don't require a full modernization. That's a misunderstanding I had too. I thought you had to rip out the entire elevator. Actually, KONE's connected service can be layered on existing equipment. In one of our older buildings (a 1998 installation), we added remote monitoring without touching the cab interior. Call volume dropped 30% in six months.
What I'd do differently
If you're managing elevators for a mid-sized building portfolio—and especially if you report to both operations and finance like I do—my advice is this: Don't optimize for the monthly fee. Optimize for uptime. Get a provider with a digital dispatch, real-time parts tracking, and clear invoicing. The initial premium (which for us was about 12% over the low bid) paid for itself in reduced tenant complaints and fewer accounting headaches.
Based on publicly available information, as of early 2025, major elevator providers like KONE have invested heavily in digital maintenance platforms. Verify current service offerings directly—pricing and contracts vary by building size and location.
