Increase in Outsourced FM to Boost Industry Growth UAE FM Market to Expand at CAGR of 8.51 per cent Between 2016 and 2021
December 12, 2016 - Outsourcing in facilities management (FM) is continuously acquiring a wider traction thanks to the growing pattern amongst organisations across industries to decrease their expenses, while spurring their productivity, protecting their margins, and leveraging particular niche expertise. According to the forecast of Frost & Sullivan, the global outsourced FM industry will certainly deserve USD 1 trillion by 2025. Out of this overall revenue, various other research studies state that the share of packed and integrated solutions is anticipated to hit a remarkable 35-per cent mark. The popularity of outsourced FM comes as not a surprise as FM support normally reduces prices by approximately 20 percent.
Throughout the years, the GCC region has exhibited a significant rise sought after for outsourced FM operations, therefore additional growing the regional market's growth and development. This was recently explained by Imdaad, a leading provider of integrated centers monitoring solutions in the GCC, backed by a survey conducted by the British Institute of Facilities Administration on the Middle East's FM market. The survey results showed that 36 percent of the respondents would be exclusively outsourcing their FM services, while a significant 60 percent anticipate even more outsourcing of FM operations time to come.
Jamal Abdullah Lootah, Chief Executive Officer, Imdaad, claimed: "The public industry has offered its support to several advancements that show its dedication to promote innovation and sustainability, and has therefore cultivated stronger ties with the private sector. As a matter of fact, the UAE government introduced in February that most government tasks would be outsourced to the private sector - providing a major boost to regional and multinational company such as Imdaad. This is a positive state of mind that we are particular will drive development in the marketplace to ensure that the country satisfies its lasting objectives."
In the UAE, the FM industry is anticipated to climb at a compound annual growth rate of 8.51 percent between 2016 and 2021 due to the solid public-private partnerships in the nation. The development will be greatly driven by large projects developed in support of the country's National Agenda set in the UAE Vision 2021. Therefore the projects under Abu Dhabi's emirate-wide Vision 2030 and Dubai's Urban Growth Plan of attack 2020 are especially enormous and are set to further gas and enhance the local economic climates.
In modern times, the FM market has developed from an internal solution to a thriving industry that is expected to reach USD 394 billion by 2017, each a marketing research report by Global Industry Analysts, Inc. In a record entitled The Future of Facility Management, launched this July, it was noted that integrated facilities management(IFM) is until now the fastest growing section
