Report Overview

Australia Facility Management Market – Industry Trends & Forecast Report, 2029

Australia facility management market size was estimated at USD 340 million in 2022. During the forecast period between 2023 and 2029, the size of Australia facility management market is projected to grow at a CAGR of 12% reaching a value of USD 840 million by 2029. The major growth factors for the Australia facility management market include increasing adoption of outsourcing services by businesses to enhance operational efficiency, rising focus on cost optimization and asset utilization, growing demand for integrated facility management solutions, and the need to comply with stringent regulations and sustainability standards. Technological advancements, such as the Internet of Things (IoT) and Artificial Intelligence (AI) in facility management, are also playing a pivotal role in driving market expansion. Further, the booming commercial sector, rapid urbanization, and infrastructure development are fueling the demand for comprehensive facility management services across Australia.

Australia Facility Management Market - Overview

Facility management is a comprehensive discipline that encompasses the efficient management and maintenance of physical spaces, infrastructure, and services within organizations. Its primary focus is on optimizing the functionality, safety, and productivity of facilities while ensuring cost-effectiveness. Facility managers coordinate a wide range of tasks, such as building maintenance, security, cleaning, space planning, and vendor management. The objective is to create a conducive environment for employees, customers, and visitors while extending the lifespan of assets. By streamlining operations and enhancing occupant satisfaction, Facility Management plays a vital role in supporting the overall success of businesses and institutions.

Growth Drivers

Sustainable Infrastructure Boom

In recent years, Australia has experienced a surge in demand for sustainable infrastructure projects, driven by the government's emphasis on environmental conservation and energy efficiency. This burgeoning green movement has become a significant growth driver for the facility management market in the country. As businesses and institutions increasingly prioritize eco-friendly practices, facility management companies are capitalizing on opportunities to offer innovative, energy-efficient solutions that reduce carbon footprints while optimizing operational costs. The shift toward sustainable infrastructure not only boosts the facility management market's revenue but also fosters long-term partnerships with environmentally conscious clients, ensuring steady growth in the sector.

Restraints

Workforce Shortage

In recent years, the Australia facility management market has experienced remarkable growth, fueled by increasing demand for outsourced services across various industries. However, the industry now faces a significant challenge in the form of a severe workforce shortage. The expanding market has outpaced the availability of skilled professionals, leading to operational constraints and potential service quality issues. To tackle this restraint, companies are focusing on upskilling existing staff and implementing advanced technologies like automation and IoT to optimize efficiency. Collaboration with educational institutions and government initiatives is also being explored to bridge the skills gap and sustain the market's growth trajectory.

Impact of COVID-19 on Australia Facility Management Market

The COVID-19 pandemic significantly affected Australia facility management market. As the virus spread, businesses and organizations implemented strict safety measures, leading to a decreased demand for facility management services. Lockdowns and restrictions disrupted facility operations, causing closures and reduced footfall in commercial spaces. Many companies shifted to remote work, affecting the need for on-site facility management. However, there was an increased emphasis on hygiene and sanitation services to prevent virus transmission. Overall, the market experienced fluctuations and adaptations to the new normal, with digital solutions and flexible service offerings gaining prominence amidst the challenging conditions.

Australia Facility Management Market

Segmental Coverage

Australia Facility Management Market – By Component

Based on component, Australia facility management market is bifurcated into Solutions and Services. The solution segment is further divided into IWMS, BIM, Facility Operations & Security Management, Facility Environment Management, and Facility Property Management segments. The services segment is further segmented into Professional Services and Managed Services segments. The solution segment comprising the IWMS segment is the largest contributor to the Australia facility management market. Solutions include advanced technologies, software, and hardware geared toward optimizing processes and enhancing efficiency. This plays a crucial role in meeting the growing demands of the facility management industry in Australia, contributing significantly to its overall growth and development.

Australia Facility Management Market – By Deployment Mode

By deployment Mode, Australia facility management market is split into Cloud and On-Premises segments. These segments represent distinct approaches to managing facilities in the country. The cloud segment involves utilizing cloud-based solutions and services for facility management, enabling greater flexibility, scalability, and accessibility. On the other hand, the on-premises segment involves deploying facility management solutions within the physical infrastructure of the organization. As the market continues to evolve, businesses in Australia have the option to choose between these segments based on their specific needs, budget constraints, and technological preferences.

Australia Facility Management Market – By Organization size

By organization size, Australia facility management market is divided into Large Enterprises and Small & Medium-sized Enterprises (SMEs) segments. The Large Enterprises segment holds the highest significance and market share. These companies, due to their size and scale, have extensive facility management needs and are likely to invest more in professional services, infrastructure, and technology to efficiently manage their facilities. Thus, the large enterprises segment represents the largest portion of the facility management market in Australia.

Australia Facility Management Market – By End User

By end user, Australia facility management market is divided into Residential, Commercial, and Industrial segments. The commercial segment is the largest, encompassing a broad range of businesses, offices, and establishments. This sector involves managing facilities like office buildings, retail spaces, hotels, and other commercial properties. As Australia's economy thrives, the demand for efficient facility management services in the commercial sector has significantly increased, making it the most substantial segment in the market.

Competitive Landscape

Major players in the Australia facility management market include CBRE Group, Ventia Services Group, ISS Australia, Sodexo Facilities Management Services, JLL Limited, Cushman and Wakefield, Serco Facilities Management, Vinci Facilities Limited, Compass Group Inc., and Apleona GmbH. To expand their market share, these companies are also focusing on investing in innovations, collaborations, and expansions.

Scope of the Report

By Component

• • Solution

1. IWMS

2. BIM

3. Facility Operations & Security Management

4. Facility Environment Management

5. Facility Property Management

   • Services

6. Professional Services

7. Managed Services

By Deployment Mode

• • Cloud

  • On-Premises

By Organization Size

• • Large Enterprises

  • Small & Medium-sized Enterprises (SMEs)

By End User

• • Residential

  • Commercial

  • Industrial

1. Research Framework
   1. Research Objective
   2. Resin Deployment Mode Overview
   3. Market Segmentation
2. Executive Summary
3. Australia Facility Management Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Growing emphasis on outsourcing non-core operations
         2. Steady growth in the commercial real estate sector
      2. Restraints
         1. Lack of managerial awareness and standardization
      3.  Opportunities
         1. Strong emphasis on green practices and safety awareness
         2. Growth in the trend of outsourcing facility management operations
      4. Challenges
         1. Integration of facility management with legacy ERP system
   3.  Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Australia Facility Management Market Overview
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Component
         1. Solution
            1. IWMS
            2. BIM
            3. Facility Operations and Security Management
            4. Facility Environment Management
            5. Facility Property Management
         2. Services
            1. Professional Services
            2. Managed Services
      2. By Deployment Mode
         1. Cloud
         2. On-Premises
      3. By Organization Size
         1. Large Enterprises
         2. Small and Medium-sized Enterprises (SMEs)
      4. By End User
         1. Residential
         2. Commercial
         3. Industrial
5. Competitive Landscape
   1. List of Key Players and Their Range
   2. Australia Facility Management Company Market Share Analysis, 2022
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Development (Merger, Acquisition, Partnership)
6. Impact of Covid-19 on Australia Facility Management Market Industry
7. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook, SWOT Analysis)
   1. CBRE Group
   2. Ventia Services Group
   3. ISS Australia
   4. Sodexo Facilities Management Services
   5. JLL Limited
   6. Cushman and Wakefield
   7. Serco Facilities management
   8. Vinci Facilities Limited
   9. Compass Group Inc.
   10. Apleona GmbH
   11. Other prominent players
8. Key Strategic Recommendations
9. Research Methodology
   1. Qualitative Research
      1. Primary & Secondary Research
   2. Quantitative Research
   3. Market Breakdown & Data Triangulation
      1. Secondary Research
      2. Primary Research
   4. Breakdown of Primary Research Respondents
   5. Assumption & Limitation

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       Australia Facility Management Segmentation                             

Figure 2       Australia Facility Management Market Value Chain Analysis        

Figure 3       Company Market Share Analysis, 2022                            

Figure 4       Australia Facility Management Market Size, By Value (USD Million), 2019–2029

Figure 5       Australia Facility Management Market Share, By Component, By Value, 2019–2029

Figure 6       Australia Facility Management Market Share, By Deployment Mode, By Value, 2019–2029                              

Figure 7       Australia Facility Management Market Share, By Organization Size, By Value, 2019–2029

Figure 8       Australia Facility Management Market Share, By End User, By Value, 2019–2029

List of Tables      

Table 1        Australia Facility Management Market Share, By Component, By Value, 2019–2029

Table 2    Australia Facility Management Market Share, By Deployment Mode, By Value, 2019–2029                              

Table 3        Australia Facility Management Market Share, By Organization Size, By Value, 2019–2029

Table 4        Australia Facility Management Market Share, By End User, By Value, 2019–2029

Table 5        CBRE Group Company Overview

Table 6        CBRE Group Financial Overview

Table 7        Ventia Services Group Company Overview

Table 8        Ventia Services Group Financial Overview

Table 9        ISS Australia Company Overview

Table 10      ISS Australia Financial Overview

Table 11      Sodexo Facilities Management Services Company Overview

Table 12      Sodexo Facilities Management Services Financial Overview

Table 13      JLL Limited Company Overview

Table 14      JLL Limited Financial Overview

Table 15      Cushman and Wakefield Company Overview

Table 16      Cushman and Wakefield Financial Overview

Table 17      Serco Facilities Management Company Overview

Table 18      Serco Facilities Management Financial Overview

Table 19      Vinci Facilities Limited Company Overview

Table 20      Vinci Facilities Limited Financial Overview

Table 21      Compass Group Inc. Company Overview

Table 22      Compass Group Inc. Financial Overview

Table 23      Apleona GmbH Company Overview

Table 24      Apleona GmbH Financial Overview