According to the report by Market Research Future (MRFR), the global facility management market is slated to expand at a moderate CAGR of over 13% during the forecast period of 2016-2022.
Drivers and Restraints
Market Drivers: The growing demand for efficient facility management services owing to the changing work culture in organizations is one of the significant factors driving the global facility management market. Disposition towards the deployment of cloud-based services and the growing trend of subcontracting facility management services is driving the growth of global facility management market. Increasing collaboration of regional facility management service providers with global players is creating new opportunities for the facility management market on a global level. The rise of industrialization and the emergence of the cloud-based facility for management purposes is driving the growth of the global facility management market. The increasing focus on building assets and space management systems by organizations, rising number of commercial real estate properties, growing demand for decreased operational cost in order to increase the focus and investment towards the core services of the companies are some of the significant factors that are resulting the global facility management market to drive in the forecast period. The development of various sectors such as healthcare, manufacturing, IT and telecom, educational, manufacturing, government, real estate, and others, is increasing the expansion of the global facility management market over the review period.
Highly decreed traditional practices and the lack of awareness are expected to hamper the growth of the global facility management market. The growing number of disorganised market players in the global facility management market, high labor cost, growing price competition and lack of expert workforce are some of the major factors hampering the growth of the global facility management market.
The global facility management market is segmented on the basis of deployment, services, and end-users. Based on the services, the facility management market is segmented into inventory management, project management, maintenance management, operation management and others. On the basis of the deployment, the facility management market is bifurcated into the cloud and on-premise. On the basis of end-users, the global market is segmented into education, healthcare, manufacturing, retail, BFSI, real estate, Government, IT & telecom and others.
Geographically, the global facility management market, is analyzed in North America, Asia-Pacific (APAC), Europe, and Middle East and Africa. The global facility management market is poised to be led by North America due to the high employment of advanced technology by the manufacturing and IT sector in this region. The increasing demand for support and maintenance services for plant maintenance and fabrication by manufacturing industries is fueling the facility management market in the European region. The changing work environment and the increasing number of outsourcing companies are causing the expansion of facility management market in the Asia-Pacific region. The growing demand for cloud-based services by education and other sectors is estimated to drive the market of facility management in this region.
Some of the major players in the facility management market are Oracle Corporation (U.S.), SAP SE (Germany), IBM Corporation (U.S.), EMCOR Group, Inc. (U.S.), FM System, Inc. (U.S.), Aramark Corporation (U.S.), CA Technologies, Inc. (U.S.), Interserve Plc. (UK), Accruent, LLC (U.S.), Trimble, Inc. (U.S.) and others.
The global facility management market has a highly competitive scenario. Therefore, the market players are increasing their investments towards research and development projects, and marketing activities to maintain their position in the market over the review period. Furthermore, there is an expected rise in mergers, strategic business partnerships, acquisitions, and joint ventures, to uphold the competitive nature of the market in the foreseeable future.