EAM-FSM market grew 12.3 per cent in 2012, study finds
April 8, 2013 by Manufacturing AUTOMATION
The Enterprise Asset Management (EAM) and Field Service Management (FSM) market achieved strong growth in 2012, which is expected to continue in the future though at a lower rate, according to a study by ARC advisory group.
The market had exceptional growth in 2012 of 12.3 per cent mainly due to the C-suite’s focus on operational performance to achieve cost savings, and pent-up demand from the recession. The EAM/FSM market is expected to grow from $ 2.7 billion in 2012 to $3.8 billion in 2017—a compound annual growth rate (CAGR) of 7.2 per cent.
“With the improving economy but revenue growth still a challenge, executives turned to operational performance to reduce costs and improve profitability,” said Ralph Rio, the principal author of ARC’s “Enterprise Asset Management and Field Service Management Global Market Research Study,” in a statement. Organizations need a modern EAM/FSM system for the visibility to achieve the key goals for maintenance: uptime, asset longevity, cost control, and safety. These goals directly affect C-suite objectives in the P&L statement and balance sheet for revenue, cash conservation, profitability, and risk management.”
Some regions will grow more quickly due to macro-economic trends. Africa, Brazil, China, India, and Russia, though having a smaller base, will have the most rapid growth. The Americas, having the largest regional market, will also show strength. The industries that are expected to be particularly strong include automotive, electric power, food & beverage, transportation, machinery manufacturing, oil & gas, and pharmaceutical. Augmented with the acceptance of mobility and cloud computing, field service applications achieved double-digit growth that is expected to continue. Those industries dependent on government funding will experience weak growth.