Enterprise Asset Management (EAM) Market size is set to surpass USD 7 billion by 2027, according to a new research report by Global Market Insights Inc.
Increasing adoption of AI, analytics, and IoT platforms to gain a 360-degree view of devices & assets across business areas is likely to boost the EAM industry demand. The IoT platform helps businesses to monitor and procure data from remote sites. This data is helpful when integrated with asset management systems as it helps in inferring insightful information. The solution also helps businesses to manage their assets, eliminating overheads due to compliance.
Growing usage of inventory management solutions to control & improve the supply chain
The inventory management segment is expected to grow at above 5% CAGR through 2027 owing to increasing acceptance to control & improve the supply chain across various industry verticals. The software helps industries to track inventory costs throughout the manufacturing & sales processes, monitor stock levels, and track profits. The integration of enterprise asset management solutions with inventory management improves procurement and management by analyzing material demand.
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Rising demand for cloud-based solutions to reduce the cost of ownership
The cloud deployment model held over 30% of the EAM market share in 2020 impelled by an increase in the usage of cloud services to reduce the cost of ownership across various industries. Cloud-based deployment helps enterprises to manage their business operations during the pandemic and allows users to work remotely & execute day-to-day operations. This flexibility in business operations is one of the major factors fueling the market growth.
Increasing adoption of enterprise asset management solutions and services across SMEs
The SME segment is poised to showcase significant growth, reaching nearly USD 3 billion in revenues by 2027 led by growing demand for cloud-based enterprise asset management solutions, which accelerate resource utilization. It also helps SMEs to achieve efficiency in the business process and cut costs optimally. These strong capabilities of enterprise asset management solutions and services are anticipated to create more opportunities.
Browse key industry insights spread across 330 pages with 500 market data tables and 40 figures & charts from the report, “Enterprise Asset Management (EAM) Market Size By Component (Solution [Asset Lifecycle Management, Predictive Maintenance, Work Order Management, Labor Management, Facility Management, Inventory Management], Service [Professional Service, Managed Service]), By Deployment Model (On-premise, Cloud), By Enterprise Size (Large Enterprises, SMEs), By Application (Linear Assets, Asset MRO, Non-Linear Assets, Field Service Management), By End-user (Energy & Utilities, Manufacturing, IT & Telecom, Healthcare, Oil & Gas, Transportation and Logistics, Government & Public Sector), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2021 – 2027”, in detail along with the table of contents:
Growing need to improve equipment performance and reduce downtime spurring EAM market revenue
MRO applications are forecast to register about 10% gains through 2027 driven by an increasing need to improve equipment performance and reduce downtime. MRO solutions help businesses to treat individual components of an operation as separate entities and eliminate the frequency of unplanned downtime.
To mitigate supply chain inefficiencies across the manufacturing sector
The manufacturing industry captured around 25% of the enterprise asset management market in 2020 on account of the emergence of Industry 4.0 and the acceptance of new technologies including IoT, AI, big data & machine learning. This technology integrated with enterprise asset management helps manufacturers to have transparency in the supply chain operations, assist businesses in understanding every facet of the extraction & production cycle, and adopt a preventive maintenance approach.
Strong presence of EAM vendors across North America
North America enterprise asset management market is set to generate more than USD 2 billion revenue by 2023. Growth is attributed to the strong presence and expertise in EAM solutions & services. Leading companies are focusing on collaborations to strengthen their market position. For instance, in January 2021, IBM signed a partnership agreement with Atos to accelerate digital transformation in enterprises with AI and RedHat Open Shift technologies. This collaboration helped the company to offer asset life cycle management solutions and MRO optimization solutions to various end-users.
Focus on acquisition by key EAM players
Industry participants are focusing on acquisition initiatives to address the growing EAM market demand. For instance, in 2020, CGI Inc. acquired Sunflower Systems, an asset management company, to expand its offerings in both the public and private sectors. This acquisition helped the company to strengthen its asset management portfolio and generate a new revenue stream.
Some of the key players operating in the enterprise asset management market are ABB Ltd., Aptean, AssetInfinity, Asset Panda, LLC, AssetWorks, LLC, AVEVA Group Plc, CGI Group Inc., Cheqroom NV, eMaint (Fluke Corporation), Ezmaintain.com, EZOfficeInventory, Fleetio (Rarestep, Inc.), IBM Corporation, IFS AB, Infor, Intelligent Process Solutions (IPS), KloudGin, Inc., Maintenance Connection Inc., Oracle Corporation, Ramco Systems Ltd., RCS Tech LLP, SAP SE, Ultimo Software Solutions BV, and UpKeep Technologies, Inc.