Market Definition
Facility Management services refer to multiple disciplines for the safety, sustainability, & operational efficiency of a facility. The vast variety of services that are secondary for organizations such as cleaning, catering, building & energy management, fitment & repair of electrical installations, etc., come into this category. The Facility Management services help the organization to avail specialized services from the FM services providers for secondary work as well as reduce the constraints pertinent to keeping an in-house team for every service required.
Market Insights
The UAE Integrated Facility Management Market is projected to grow at a CAGR of around 13.57% during the forecast period, i.e., 2022-27. UAE has emerged as one of the most dynamic markets for Integrated Facility Management in the Middle East during the historical period since the country is considered the regional financial hub. The growing efforts by the UAE government to diversify its economy away from conventional oil exports to service sectors have strongly contributed to the growth of the UAE Integrated Facility Management Market.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2017-20 |
| Base Year: 2021 | |
| Forecast Period: 2022-27 | |
| CAGR (2022-2027) | 13.57% |
| Key Companies Profiled | EMRILL Services LLC, Imdaad L.L.C., Farnek Services LLC, EFS Facilities Management Services, COFELY BESIX Integrated Facility Management (IFM), Khidmah LLC, Al Shirawi Facilities Management LLC, Interserve, Etisalat Facilities Management L.L.C., Enova Integrated Facility Management (IFM) Services LLC) |
| Unit Denominations | USD Million/Billion |
In 2020, the Covid-19 pandemic significantly increased the demand for soft services, such as cleaning & sanitization, across various buildings & facilities in the UAE, which positively impacted the market growth. Rapidly increasing developments in the country, such as the construction of high-rise buildings, luxurious residential villas, expansion of corporate offices, leveraging the tourism sector, etc., have created the thrust for Facility Management services across the UAE.
Additionally, the country’s sustainable development objective by the means of green & smart buildings has intensified the market of UAE Facility Management. Consequently, the customer demand for smart buildings has driven the need for facility management services, such as cloud-based enterprise management systems, or integrated building automation systems.
However, with the increasing number of competitors offering diverse & niche services, the rate of outsourcing facility management services in the UAE is rapidly surging, & of all countries in the GCC region, it was the highest in 2020. With the rising focus of organizations on core businesses & offering a better quality of services, they have shifted toward outsourcing facility management services, which, in turn, would positively impact the overall growth of the UAE Integrated Facility Management Market during the forecast period.
Impact of Covid-19 on the UAE Integrated Facility Management Market
In 2020, the UAE Integrated Facility Management Market experienced a slowdown due to the Covid-19 pandemic. Several construction projects & events, including Dubai Expo 2020, were delayed until 2021. Facility management service providers were exploring new opportunities for remote working. Moreover, the lockdown imposed by the UAE government to curb the virus spread amidst the pandemic caused delayed payments and the unavailability of workers. Real estate, commercial & manufacturing sectors, etc., were running at minimal efficiencies due to stringent government restrictions. Hence, all these factors severely hampered the Integrated Facility Management Market in the UAE.
However, the demand for cleaning services was high since facility management service providers started building capabilities to avoid infection at client sites and assisted in creating a safe work environment to deal with the pandemic. It started with cleaning, sanitization, & disinfection services that witnessed the highest demand amidst the crisis to prevent the risk of the contagious disease. Moreover, the same trend is likely to be followed in the coming years, owing to the mounting inclination of citizens toward good hygiene practices.
