GIA announces the release of a comprehensive global report on Facilities Management markets. World Facilities Management (FM) market is forecast to reach US$394.69 billion by the year 2017. As the world economy navigates its way through recession and towards recovery, market growth will be led not just by cost-effective solutions, but rising demand for value-creation and productivity. Medium to long-term growth will be driven by resurgence in FM outsourcing, especially in Asia, and Middle East and Africa. Further, sustainable development and appropriate energy, water and waste management will be important trend setters in the foreseeable future.
San Jose, CA (PRWEB) March 28, 2012
Follow us on LinkedIn – As companies modernize their business environment, driven by the need to remain competitive, and retain critical survival capabilities in a fast changing marketplace, their commitment to take up facilities management services reaches new levels. The tough economic conditions have additionally reinforced the need to restructure businesses in a cost-effective, yet compelling way. Facilities management, also referred to as facility management, accounts for about 30-35% of the total organizational expenditure. As facilities management operations is heavily dependent on overall corporate health, and public sector spending, the recent economic recession took a heavy toll on the world facilities management industry. Demand for facilities management dwindled as companies placed outsourcing plans on the backburner, renegotiating existing contracts at lower prices and postponement of contract extensions, and renewals.
Medium to long-term growth will be driven by resurgence in FM outsourcing, especially in Asia, and Middle East and Africa. As companies step into a post-recession period, the mode of operation in the corporate world changes to ‘doing-more-with-less-resources' As the world economy navigates its way through recession and towards recovery, organizations will still retain their appetite for cost effective solutions, but will however demand more value-creating productivity. Shifting priorities among limited budgetary constraints will make it critical for market participants to follow spending patterns to understand areas where companies will be spending their precious funds. Against this backdrop, facilities management stands poised for post recession boom. Companies that will consume the most cloud services are expected to be those operating in the IT, telecom, financial services and industrial sectors.
Cost reduction continues to be the main motivational factor behind the rapid growth in facilities management by major companies. These enterprises prefer to outsource all or at least a non-core activity to more cost-effective service provider. Buffeted with escalating cost reduction pressures, facilities managers are finding new ways to improve efficiencies. Within an organization, facilities management costs are second only to costs of handling human resources. Hence, efficient facilities management could save millions of dollars to enterprises annually. In addition, facilities management enables the company to focus on its core areas of business, thus offering savings not only in terms of cost, but also valuable time and resources.
Traditionally, the environmental impacts of building construction industry are associated with energy consumption, energy efficiency, atmospheric emissions as well as resource efficiency. The concept of Sustainable Development has emerged to become a vital government policy, and appropriate energy, and water and waste management will continue to remain important issues in foreseeable future. As a result, sustainable building practices are emerging as a major trend in the industry, an area in which FM sector can make a difference. In commercial and residential buildings, the use of FM services helps achieve sustainability in multiple areas, for example, energy saving, construction and exploitation HQE (environmental high-quality) of the office buildings, and quality of water and air. Growing awareness of green building products and procedures/practices in the building and construction among homebuyers, and homebuilders is helping prop up demand patterns for FM services.
The United States and Europe represent two dominant facilities management markets, garnering a substantial share of the worldwide revenues, as stated by the new market research report on Facilities Management. Led by advances in China, and India, the Asia-Pacific region is forecast to emerge as the world's fastest growing market for facilities management at a CAGR of about 6.0% through 2017. Countries in Asia-Pacific such as India have developed expertise in handling both hard (ex: building fabric) and soft facilities (ex: cleaning, mailroom, and security) and in accordance with International Quality standards.
With the facilities management landscape increasingly attracting players from all corners of the industry ecosystem, competition in the marketplace is heating up like never before. The market is currently a hunting ground for companies such as, Aramark, Johnson Controls Inc., and EMCOR Group. Other key players profiled in the report include ABM Industries Incorporated, Amey Plc, Balfour Beatty Workplace Limited, Ecovert FM, Europa, Interserve PLC, Sodexo, UGL Limited and VINCI Facilities among several others.
The research report titled “Facilities Management: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive industry overview, impact of recession, market trends, key growth drivers, recent industry activity, and profiles of major/niche global market participants. The report provides annual service revenue estimates and projections for the years 2009 through 2017 in value (US$) terms for geographic markets including, US, Canada, Japan, Europe, Asia-Pacific and Rest of World. The study also provides historic data for an insight into market evolution over the period 2003 through 2008.
For more details about this comprehensive market research report, please visit –
http://www.strategyr.com/Facilities_Management_Market_Report.asp
About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.
Global Industry Analysts, Inc.
Telephone: 408-528-9966
Fax: 408-528-9977
Email: press(at)StrategyR(dot)com
Web Site: http://www.StrategyR.com/
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