PUBLISHER: The Business Research Company | PRODUCT CODE: 1546498
PUBLISHER: The Business Research Company | PRODUCT CODE: 1546498
Hard services facilities management involves the maintenance and management of physical assets within a built environment. It includes services such as HVAC (Heating, Ventilation, and Air Conditioning) maintenance, plumbing, electrical systems management, and building fabric upkeep. These services ensure that a facility's infrastructure operates effectively, supporting the overall functionality and safety of the premises.
The main types of hard services facility management include mechanical, electrical, plumbing (MEP), HVAC maintenance, and enterprise asset management. Mechanical services in facility management involve maintaining and repairing equipment such as boilers, pumps, and HVAC systems that rely on mechanical components. These services ensure mechanical systems operate efficiently to support the facility's functionality and comfort. Various service types can be outsourced or handled in-house, and they are utilized by various industry verticals such as healthcare, government, education, military and defense, real estate, and others.
The hard services facility management market research report is one of a series of new reports from The Business Research Company that provides hard services facility management market statistics, including hard services facility management industry global market size, regional shares, competitors with a hard services facility management market share, detailed hard services facility management market segments, market trends and opportunities, and any further data you may need to thrive in the hard services facility management industry. This hard services facility management market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The hard services facility management market size has grown strongly in recent years. It will grow from $609.12 billion in 2023 to $644.31 billion in 2024 at a compound annual growth rate (CAGR) of 5.8%. The growth during the historic period can be attributed to the expansion of multinational corporations, a focus on workplace safety, aging infrastructure, increasing demand for customized and responsive services, and regulatory changes.
The hard services facility management market size is expected to see strong growth in the next few years. It will grow to $810.73 billion in 2028 at a compound annual growth rate (CAGR) of 5.9%. The growth in the forecast period can be attributed to an increasing focus on green buildings, remote work trends, smart building technologies, heightened focus on cybersecurity, urbanization, and infrastructure development. Major trends during this period include a shift towards data-driven decision-making, increased reliance on outsourced facility management services, agile work environments, enhanced maintenance strategies, and the adoption of predictive maintenance.
The rapidly expanding hospitality sector is expected to drive the growth of the hard services facility management market. The hospitality sector includes businesses and services related to accommodation, food and beverage, entertainment, travel, and tourism. This industry's growth is fueled by increasing globalization, rising disposable incomes, and growing demand for travel and leisure experiences. In the hospitality sector, hard services facility management ensures the efficient operation and maintenance of essential infrastructure such as plumbing, HVAC systems, and electrical systems, enhancing guest comfort and safety. For instance, a report by the American Hotel and Lodging Association published in January 2023 revealed that U.S. hotel demand improved by 11.1% from 2021 to 2022. In 2022, U.S. hotels saw significant occupancy gains, reaching 62.7%, a 9% increase over 2021. Consequently, the growing hospitality sector is boosting the hard services facility management market.
Major companies in the hard services facility management market are developing innovative services, such as digital platforms, to enhance operational efficiency, improve predictive maintenance, and provide real-time monitoring and analytics. A digital platform is an integrated software solution for managing, monitoring, and maintaining a building's physical assets. For instance, in September 2023, Johnson Controls International PLC, an Ireland-based building technology company, launched a new OpenBlue service called Ensuring Security Device Performance. This service helps customers enhance building safety, manage risk, and maximize the value of their security technology investments. It combines Johnson Controls' OpenBlue suite of connected solutions with the ability to monitor and manage security devices across vendors, providing remote support services and insights from skilled engineers, along with integrated zero-trust cybersecurity protection. The service aims to proactively maintain and update customers' security systems to ensure they remain operational, compliant, and secure from cyber threats.
In March 2023, Apleona Group GmbH, a Germany-based real estate and facility services company, merged with Gegenbauer Group to strengthen its position in facility management. This transaction will bolster Apleona's role as an integrated facility management provider to industrial companies, financial institutions, and institutional real estate investors, particularly in the field of soft services. Gegenbauer Group is a Germany-based company specializing in hard service facility management.
Major companies operating in the hard services facility management market are Siemens AG, Vinci SA, Bouygues SA, Veolia Environnement, Compass Group, CBRE Group Inc., Johnson Controls International plc., Sodexo Group, Jones Lang LaSalle Incorporated, G4S plc, Aramark, Jacobs Solutions Inc., Skanska Group, AECOM, EMCOR Group Inc., Cushman & Wakefield, Balfour Beatty plc, ABM Industries Incorporated, KBR Inc., Serco Group plc, Mitie Group plc, Capita plc, Carillion Alawi LLC, ENGIE Services, ISS Facility Services
Asia Pacific was the largest region in the hard services facility management market in 2023. The regions covered in the hard services facility management market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the hard services facility management market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The hard services facility management market includes revenues earned by entities from providing services such as plumbing services, fire safety systems, elevator and escalator maintenance, and ground maintenance. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Hard Services Facility Management Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on hard services facility management market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for hard services facility management ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The hard services facility management market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of COVID-19 on supply chains and consumption patterns.