Indonesia Facility Management

Indonesia Facility Management Market Research Report : Forecast (2022-2027)

By Type (Hard (Electromechanical Services, Plumbing Apparatus (Pumps, Sanitary Units, etc.), HVAC, District Cooling, Roads & Street Lighting System, Security Systems, Others (Energy Management, etc.)) Read more

  • Buildings, Construction, Metals & Mining
  • Nov 2021
  • 103
  • BM44036

Market Definition

Facility Management is a service that brings efficiency in managing a building or a facility with a professional discipline by focusing on delivering effective support services for the functionality, safety, and sustainability of buildings. The adoption of facility management has grown significantly in recent years. However, it is still in its developing phase across Indonesia. Facility Management includes several operations, including:

  • Lease management
  • Maintenance & operations
  • Energy Management
  • Occupancy & Space Management
  • Emergency Management
  • Business Continuity, etc. 

Market Insights

According to MarkNtel Advisors, the Indonesia Facility Management Market is projected to grow at a CAGR of around 9.60% during the forecast period, i.e., 2022-27. The market is driven primarily by the mounting need for energy efficiency to reduce Green House Gas (GHG) emissions and the dynamic trends in building designs from conventional to smart buildings. In addition, the growing number of facility management service providers that offer specialized services, coupled with the mounting government investments in sectors like transportation, construction, energy, etc., are other crucial aspects fueling the demand for facility management across Indonesia.

Report Coverage Details
Study Period Historical Data: 2017-20
Base Year: 2021
Forecast Period: 2022-27
CAGR 9.60%
Key Companies Profiled Atalian Global Services, Colliers Facility Management Services, ISS Facility Services Inc., JLL Inc., Leads Property Services Indonesia, Maple Leaf Services Indonesia, Shield-On Service Tbk PT, PT Spektra Solusindo, PT Sodexo Motivation Solutions Indonesia, CBRE Indonesia
Unit Denominations USD Million/Billion

 

Covid-19 had a Two-Fold Effect on the Indonesia Facility Management Market

  • With the Covid-19 pandemic in 2020, most industries across Indonesia witnessed severe effects, yet the Facility Management Market observed a two-fold effect. 
  • Initially, the market observed a sudden slowdown in its value chain owing to the imposition of lockdown & stringent movement restrictions to curb the dreadful virus spread. 
  • As a result, the entire delivery chain of facility management services got negatively influenced and observed significant financial losses.
  • However, with the increasing focus on sanitization, the market is anticipated to witness a rapid boost in the coming years.  
  • Besides, with the ease of norms, organizations that acquired Work-from-Home practices are gradually resuming their operations from the facilities. 
  • Consequently, it is creating a mounting need to explore new products & practices that address Covid-19 concerns like monitoring adherence to protocols & verifying health, and creating a safe work environment, thereby soaring the demand for facility management services.

Indonesia Facility Management Market Research Report : Forecast (2022-2027)

Market Segmentation

Based on the Type, the Indonesia Facility Management Market segments into:

  • Hard
  • Soft
  • Risk
  • Administration

Of them all, the demand for facility management for Hard Services is expected to witness rapid growth through 2027. It is because these services deal with physical assets like wiring, plumbing, elevators, lighting, heating, fire safety, building maintenance, etc., and are crucial for the safety & welfare of both employees & visitors.

In addition, the surge in the building & construction activities in Indonesia is one the most prominent reasons driving the demand for facility management for hard services. Besides, these services reduce daily roles & responsibilities and require minimal staff to organize the work atmosphere in buildings. Hence, owing to these factors, the market for Hard service type shall witness rapid growth in the coming years. 

Administration to Acquire a Significant Share of the Indonesia Facility Management Market during 2022-27

The significant demand for facility management for Administrative services is principally due to the growing prevalence of Corporate Real Estate (CRE) companies inclining toward the digitization of operations, coupled with the mounting attention on reopening facilities post the pandemic while ensuring health & safety. These companies are drawn toward preparing a well-structured plan implementing technologies & analytics like enhancing cyber security systems to yield improved results.

Furthermore, real estate companies improving their operational efficiency through occupancy & space management is another crucial aspect fueling the demand for facility management for administrative services, states MarkNtel Advisors in their research report, “Indonesia Facility Management Market Analysis, 2022.”

Market Dynamics:

Key Driver

The most prominent factor anticipated to drive the Indonesia Facility Management Market during 2022-27 is the mounting demand for energy efficiency & sustainability across organizations. This aspect would create remunerative opportunities for the market players in numerous ways like:

  • Integrating workplace management into core facility management services to optimize occupancy
  • Implementation of data analytics to reduce costs & enhance maintenance
  • Incorporation of technologies like real-time reporting through energy management services in facilities

Growth Restraints

  • Unawareness about the benefits & regulator contracts of facility management
  • Reluctance in adopting facility management across price-sensitive end-users
  • Socio-economic instability as the market is still developing 
  • Lack of skilled labor & their training

Key Questions Answered in the Market Research Report:

  1. What are the overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares) of the Indonesia Facility Management Market?
  2. What is the industry size, growth drivers, and challenges?
  3. What are the key innovations, opportunities, current & future trends, and regulations in the Indonesia Facility Management Market?
  4. Who are the key competitors, their key strengths & weaknesses, and how do they perform in the Indonesia Facility Management Market based on the competitive benchmarking matrix?
  5. What are the key results derived from surveys conducted during the Indonesia Facility Management Market study?

Frequently Asked Questions

A. The Indonesia Facility Management Market is projected to grow at a CAGR of around 9.60% during 2022-27.

A. Administrative Facility Management is expected to maintain significant market share during the forecast period and emerge as an area of opportunity for the leading players in the Indonesia Facility Management Market.

A. Rising demand for energy efficiency & sustainability by incorporating technologies like real-time updates across organizations is the most prominent factor likely to drive the Indonesia Facility Management Market during 2022-27 and generate lucrative growth opportunities for the leading players.

A. The growing need for facility management to explore new products & practices and, in turn, address Covid-19 concerns like protocols & verifying health, sanitization, etc., for a safe work environment is anticipated to fuel the demand for facility management services post the pandemic.

  1. Introduction
    1. Product Definition
    2. Research Process
    3. Market Segmentation
    4. Assumptions
  2. Executive Summary
  3. Expert Verbatim- What our Experts Say?
  4. Macroeconomic Outlook
  5. Impact of COVID-19 on Indonesia Facility Management Market
  6. Indonesia Facility Management Market Outlook, 2017-2027F
    1. Market Size & Analysis
      1. By Revenue
    2. Market Share & Analysis
      1. By Type
        1. Hard
        2. Soft
        3. Risk
        4. Administrative
      2. By Operation Model
        1. In-House
        2. Outsourced
      3. By Service Delivery
        1. Integrated
        2. Bundled
        3. Single Services
      4. By Enterprise Size
        1. Large Size Enterprises
        2. Small & Medium Size Enterprises
      5. By End-User
        1. Residential
        2. Government
        3. BFSI
        4. Corporates
        5. Healthcare
        6. Hospitality
        7. Others (Education, Retail, etc.)
      6. By Region
        1. North Sumatra
        2. West Java
        3. Central Java
        4. East Java
    3. By Company
      1. Revenue Shares
      2. Competition Characteristics
      3. Competitor Placement in MarkNtel Quadrant
  7. Indonesia Hard Facility Management Market Outlook, 2017-2027F
    1. Market Size & Analysis
      1. By Revenues
    2. Market Share & Analysis
      1. By Type
        1. District Cooling
        2. Building Management
        3. Plumbing Apparatus, Pumps, Sanitary units, etc.
        4. Electrical Installation
        5. Energy Management
        6. Air Conditioning System
        7. Roads & Street Lighting System
      2. By Operating Model
      3. By Service Delivery
      4. By End User
      5. By Enterprise Size
      6. By Region
  8. Indonesia Soft Facility Management Market Outlook, 2017-2027F
    1. Market Size & Analysis
      1. By Revenues
    2. Market Share & Analysis
      1. By Type
        1. Cleaning Services
        2. Catering
        3. Pest Control
        4. Landscaping
      2. By Operating Model
      3. By Service Delivery
      4. By End User
      5. By Enterprise Size
      6. By Region
  9. Indonesia Risk Facility Management Market Outlook, 2017-2027F
    1. Market Size & Analysis
      1. By Revenues
    2. Market Share & Analysis
      1. By Type
        1. Insurance Management
        2. Security
        3. Disaster Management
        4. Reserve/Sinking Fund
      2. By Operating Model
      3. By Service Delivery
      4. By End User
      5. By Enterprise Size
      6. By Region
  10. Indonesia Administrative Facility Management Market Outlook, 2017-2027F
    1. Market Size & Analysis
      1. By Revenues
    2. Market Share & Analysis
      1. By Type
        1. Mail Management
        2. Front Office Management
        3. Space Planning & Management
        4. Inventory Management
      2. By Operating Model
      3. By Service Delivery
      4. By End User
      5. By Enterprise Size
      6. By Region
  11. Indonesia Facility Management Market Key Strategic Imperatives for Success and Growth
  12. Indonesia Facility Management Market Trends & Insights
  13. Indonesia Facility Management Market Challenges & Restraints
  14. Indonesia Facility Management Market Dynamics
    1. Drivers
    2. Challenges
    3. Impact Analysis
  15. Indonesia Facility Management Services Market, Customer Buying Behavior
    1. Factors Influencing Customer’s Decision
    2. Priority Matrix of Customer’s Need
    3. Customer and Service Provider Proximity Analysis
  16. Indonesia Facility Management Market Winning Strategies
    1. Investment Scenario
    2. Hotspots
  17. Indonesia Facility Management Market Attractiveness Index
    1. By Type
    2. By Operating Model
    3. By End Users
    4. By Service Delivery
    5. By Enterprise Size
    6. By Region
  18. Indonesia Facility Management Market Porter’s Five Forces Analysis
  19. Indonesia Facility Management Market Pricing Analysis
  20. Competitive Outlook
    1. Competition Matrix
      1. Product Portfolio
      2. Target Markets
      3. Target End Users
      4. Research & Development
      5. Strategic Alliances
      6. Strategic Initiatives
    2. Company Profiles
      1. Atalian Global Services
      2. Colliers Facility Management Services
      3. ISS Facility Services Inc.
      4. JLL Inc.
      5. Leads Property Services Indonesia
      6. Maple Leaf Services Indonesia
      7. Shield-On Service Tbk PT
      8. PT Spektra Solusindo
      9. PT Sodexo Motivation Solutions Indonesia
      10. CBRE Indonesia
      11. Others
  21. Disclaimer
Indonesia Facility Management Market Segmentation