Facility Management (FM) encompasses multiple disciplines that promote the functionality, comfort, safety, and efficiency of the human-built environment by integrating people, place, processes, and technology.
The global facility management market is estimated to be $1.2T in 2021, reaching $1.7T by 2028 and growing at a CAGR of 5%. The North American facility management market is expected to grow by $122.9B from 2021–2025 at a CAGR of around 9%.
The Latin American facility management industry is growing at a considerable rate due to growing investment in infrastructure. APAC is expected to show significant growth due to the presence of multiple participants in countries such as India and China.
Established key participants are focusing on partnering up with local service providers to offer their services to end users and expand their geographic presence.
Hard Facility Management trends:
- Climate change will lead to increased demand for HVAC equipment
- Globalization and increasing cross-border expansion strategies will result in a greater focus on asset management
- Growth in energy consumption will drive the demand for energy management solutions
Soft Facility Management trends:
- Focus will be on tackling increasing e-waste due to shortened life cycle of electronic products
- Recent emergence of disinfectant cleaning as a result of the pandemic
- Emphasis on adoption of technology in catering services to improve customer experience and reduce time spent waiting for food
Overall market trends:
- Growth in outsourcing: Outsourcing accounts for more than 50% of the total facilities management market in several regions, including the Middle East, Europe, and North America.
- Integrated Facility Management: Most companies are looking to integrate facility management and related services to streamline management and improve performance.
- Augmented Reality (AR): Several technology companies are currently focused on developing end-to-end AR solutions that have a huge potential to transform facility management.
- Advent of robots: Companies in Asia and Europe are leading the adoption of robotics for services such as cleaning and security.