Facility Management Market to Reach Valuation of USD 83.6 Billion by 2028 - Increased Adoption of Cloud-Based Solutions to Drive the Market Growth

From the period of 2022 to 2028, the Global Facility Management Market is expected to reach USD 83.6 Billion in terms of revenue, growing at a Compound Annual Growth Rate (CAGR) of 12.00%.

The market's growth is now being driven by the developing trend of digitalization, as well as the increasing adoption of the Internet of Things (IoT) and cloud-based software. Managers have been able to lessen their reliance on human resources and enhance operational efficiencies by utilizing new technology such as cloud computing and augmented reality (AR) for building management. In addition, the emergence of Integrated Facility Management (IFM) is a growth-promoting element. IFM increases productivity by consolidating all office-related duties under a single management team and streamlining repetitious operations. FM services are also used to manage home-based, on-the-go, after-hours, and after-hours personnel, as well as outsourced services, while ensuring that all necessary tools are available for maximum efficiency.

These technologies are also utilized to establish a safe working environment, lower energy expenses, and track assets. Furthermore, the market is expected to grow due to the implementation of favorable government policies fostering infrastructure automation, as well as the increasing acceptance of the software-as-a-service (SaaS) deployment model. The Facility Management Market is growing because to the increased focus of governments in numerous countries on infrastructure development, particularly in the construction of railways, ports, airports, and other infrastructure. Governments in both developing and developed countries are also investing in the tourism business, as well as other industries. These tourism investments are assisting in the construction of new infrastructure, which will help the Facility Management Market flourish

Key Highlights from the Report

• The market is divided into On-premises and Cloud deployment modes. During the anticipated period, the on-premises category is expected to increase at the fastest rate. On-premises deployment allows for offline data analytics and greater system and data control. On-premises solutions are typically used by organizations that can afford to maintain dedicated services and IT professionals for maintenance and support.

• BFSI, IT and Telecom, Government and Public Administration, Healthcare, Education, Retail, Energy and Utilities, Manufacturing, Construction and Real Estate, and Other Verticals [media and entertainment, transportation and logistics, and hospitality] are the market's vertical segments. During the anticipated period, the banking, financial services, and insurance (BFSI) category is expected to increase at the fastest rate. The Banking, Financial Services, and Insurance (BFSI) industry is growing due to numerous Facility Management solutions such as IWMS and CMMS, which will help manage various processes such as assets management, space management, and maintenance management.

• Asia Pacific is the fastest regional segment in terms of growth. Due to the presence of numerous organized and unorganized players in countries such as India and China, Asia Pacific held the largest market share. Furthermore, established key players are focusing on collaborating with local players to provide their services to end users and expand their geographical presence. Furthermore, the country's market is being influenced by the rapid adoption of innovative technologies such as the Internet of Things (loT) evolutions and business strategies. The Facility Management Market in India is being driven by the country's rapid population growth. The increasing modernization and urbanization are also promoting market growth. The growing demand for office modernization and service streamlining is accelerating industry growth.

Market Dynamics:

Increased Use of Cloud-Based Solutions

Cloud-based solutions can be classified as subscription-based or on-demand. Furthermore, the FM industry offers a flexible solution for an organisation that is simple to implement and requires little maintenance. The rise in IoT applications, increased internet penetration, and surge in smart device adoption are driving up demand for cloud-based solutions around the world. One of the issues with current practices in the various domains of Facility Management is that each facility is managed by its stakeholder in isolation from the management of other similar facilities. Sensor-based bridge infrastructures and smart machinery are managed by a cloud-based platform. It has two applications, one of which is the proposed cloud-based platform, which is intended to support/manage a diverse set of smart facilities. This contributes to the growth of the Facility Management industry.

Changes in Organizational Culture and Working Methods

Globalization is hastening the evolution of organizational culture. Businesses are diversifying their operations and work cultures. Technological advancement and innovation have an impact on workplace culture. Work-from-home opportunities, flexible scheduling, and authority decentralization are driving organizational culture and work style. Furthermore, this culture is made up of shared beliefs and values that are established by leaders and then communicated and reinforced through various channels, ultimately shaping employee perceptions, behaviors, and understanding. The context for everything an enterprise does is established by its organizational culture.

North America is expected to become the largest market in 2021, with a share of 37.10 %. North America is expected to hold the largest share of the Facility Management Market. Some of the major factors that help North American companies gain a competitive advantage over their competitors are the presence of economically and technologically advanced countries such as the United States and Canada, as well as the adoption of new and emerging technologies and market players' strong financial positions. Since this region is made up of developed countries with well-established infrastructure, Facility Management systems are in great demand. Early adopters in the BFSI and IT & telecom industries, for example, are expected to contribute significant market share.