The Facility Management Market

By Ritu Grover, CEO, THE GLOBAL HELPDESK (TGH)

Ritu Grover, CEO, THE GLOBAL HELPDESK (TGH)

Headquartered in Delhi, THE GLOBAL HELPDESK (TGH) provides concierge supported employee loyalty and customized business hospitality services. This renowned entity is delivering customized programs that reinforce company business goals while responding personally and flexibly to individual customer’s needs

Facility management (FM) is a management discipline concerned with the integration of processes within an organization to maintain and develop agreed services which support and improve the effectiveness of its primary activities/workforce. The served organizations can be Corporate, Government & Public Sector, Health Care, Manufacturing, Residential and Education Institutions, Retail, Commercial & Others (Food, Sport and many more)
 
The term ‘Facility’ means something that is built, installed or established to serve a purpose, which, in general, is every ‘Tangible asset that supports an organization’. FM Services can be categorized into Hard Services (Plumbing and Air Conditioning, Maintenance, Fire Protection Systems, Mechanical and Electrical Maintenance & Others) and Soft Services (Cleaning, Laundry, Catering, Waste Management, Security, Others Administrative Services)

As per the ‘Facility Management Services Market in India 2016-2020’ report published by Research and Markets, The FM services market in India is predicted to grow at a CAGR of 17.19 percent during the forecast period, owing to the developments in end-user industries and the need for a safe, comfortable, and professionally-maintained work environment. The presence of global and Indian MNCs across end-users further drives the FM services segment in India.

Indian FM Market started off slowly and reluctantly in 2000s, however, the growing positive effects of FM on company’s productivity and work efficiency has led to wider acceptance of the FM concept in Indian corporate industry. India has witnessed robust growth in the services sector in the past two decade. 
This swiftly growing services sector has created a huge potential for FM services. According to aforementioned report, demand from growing IT/ITES/BPO sector will be a key driver for market growth in India. India, the country is the world's largest IT industry, accounting for approximately 65% of the global IT market and is expected to grow at a rate of 12-13 percent during FY2016-2017. Various hard services and soft services are required in most of the offices, resulting in a bright future for the FM services market. It is projected that by 2020, Office space for the IT/ ITES industry would be expanded.
 
According to the another report published by marketsandmarkets.com in September 2016, globally the facility management market size in India is estimated to grow from USD 28.90 Billion in 2016 to USD 56.67 Billion by 2021, at a Compound Annual Growth Rate (CAGR) of 14.42 percent from 2016 to 2021. Major growth drivers of the market include the rapid adoption of cloud-based platforms, increased regulatory compliance needs, and rapidly changing work culture. By 2017, India’s labor force would exceed the total population in 1971 by 45 million. Researchers have indicated that Indian labor force is likely to exceed China by 2025. The country will have a huge challenge in generating employment opportunities for the increasing labor force. FM today has become an excellent career opportunity for the new generation to get trained and paid well for the job. FM offers job to everyone, even if the person is from different fields like engineering, customer service, sales team etc. Facility managers are very good at consulting, mentoring and managing because of their experience.

As per the latest industry estimate the market size for the Facility management services is close to 8,000 Crores and has an employment potential of 5 Million People. So we can say that FM is a fantastic career path in the Indian corporate and hospitality sector. FM helps in enhancing the digital framework of corporate. The processes and technologies in place help improve the way an employee works. Facility Managers look for opportunities to optimize offices’ workspace, enhance mobility, and reduce costs. Besides they also address issues such as layout, lighting and office furniture to create a more productive atmosphere. The Facility Management industry is also looking towards technologies to improve its efficiencies. It’s easy to-use software gives advanced notice to receptionists about upcoming visitors thereby uniting the office workflow with your reception personnel, so everyone is on the same page. From optimized print management to call monitoring to IT and AV services, FM has the knowledge and the experience to help ensure that you have the technology you need, when and where you need it. Applying big data analytics to the way your facilities operate can lead to uncovering new ROI and added value. Not only can smart buildings help the corporate’ bottom line, but they are also important for the planet’s environmental health. FM can help corporate’ meet sustainability mandates and show you ways to conserve energy and resources.

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