The European Integrated Facilities
Management Services Markets
Frost & Sullivanwww.frost.com
Email: [email protected]
Interactive Analyst Briefing29 May 2002
Agenda
• Industrial Services At Frost & Sullivan
• I-FM Market Overview• Forecasts/National Trends• Market Challenges for I-FM Providers• Future Predictions• Conclusion• Forthcoming FM End-User Study• Questions and Answers
F&S Structure
R efrigeration MarketsAir C onditioningR esidentia l Boilers
H V A C
Lighting Equipm entBatteries Markets
L ig h tin g / B a tte ries
FM /I-FMIndustria l C EM
In d u s tria l S ervices
Build ing Autom ationSecurity
C on tro ls
F R O S T & S U L L IV A NB U IL D IN G TE C H N O L O G IE S U N IT
F&S Publications• Existing:• Contract Energy Management (CEM) #B004 Sept. 2001• Industrial Water Outsourcing #B081 March
2002• Integrated Facilities Management (I-FM) #3997 Sept. 2002• Industrial Waste Management Services #B005 Nov. 2002• Building Controls and Services #B061 May 2002
• Future Titles• End-User I-FM #B066 Aug. 2002• Technical FM - TBA• FM Service Procurement - TBA• White Collar FM - TBA• CEM End-User - TBA
FM Competitive Structure
Forecasts
National Trends
Integrated Facilities Management Services Market: Future Growth Trends by GeographicRegion, 2001-2007
Challenge 1-2 Years 3-4 Years 5-6 Years
United Kingdom High High Medium
Germany Medium Medium Medium
France Medium High High
Italy High High Medium
Scandinavia Medium Medium Medium
Benelux High High Medium
Alpine Medium Medium Medium
Rest-of-Europe Low Low Medium
Key: Low 0-5% annual growthMedium 5-10% annual growthHigh 10%+ annual growth
Source: Frost & Sullivan
Market Challenges for Integrated-FM Providers
The Future for Integrated FM in Europe
• Growth• Much depends on the UK• Globalisation will dictate development• Trade Union relationships will be of
paramount importance• Outsourcing will increase, but how much
of this will be integrated?• Local FM providers for local companies,
multinational providers for multinational companies
Summary conclusion
• I-FM is a market of unrivaled potential• Huge variation by country• Massive struggle for providers to
overcome the diverse cultural issues surrounding FM in Europe
• An increasingly competitive environment• Currently I-FM is in a difficult transition
stage in trying to move effectively from the theoretical ‘Total’ outsource model, to actual, workable solutions
FM End User Study
• Highlights– 150-200 Interviews– Identification of current outsourcing situation– Trends by Sector and by Nation– Includes UK, Germany, France, Italy,
Scandinavia and Benelux– Outline discrepancies– Identification of opportunities– Company ranking in terms of performance and
perception– Future trends and strategic analysis
Progress so far...
• 50 Interviews completed• Trends already becoming clear:
– Desire to outsource more services– Desire to increase the geographic scope of
contracts– Desire to minimise number of contracts, often
to just one– Low awareness of I-FM providers– Skepticism of I-FM providers ability– Feeling that I-FM market is being dishonest,
and is still ‘all hype, and little substance’
Questions and Answers