Enterprise asset management (EAM) solutions help organizations optimize the performance and life span of physical assets through their entire lifecycle. These solutions ensure effective and lower cost planning, operation, maintenance and disposal of physical assets.
EAM solutions assist organizations in inventory management, predictive maintenance and asset lifecycle cost management. They help optimize resource utilization and lower operating costs through improved asset uptime and lifespan. With growing need to optimize resource utilization amid increased asset investments, demand for EAM solutions is on the rise. EAM software integrates with other operational systems to streamline asset-related workflows and provide a single source of asset data. This improves overall equipment effectiveness, reduces unplanned downtimes and lowers maintenance costs.
The Global Enterprise Asset Management Market is estimated to be valued at US$ 6.2 Billion in 2024 and is expected to exhibit a CAGR of 5.9% over the forecast period 2024-2030
Key Takeaways
Key players operating in the enterprise asset management are IBM, SAP, Oracle, Infor, ABB, IFS, Maintenance Connection, AVEVA, Aptean and Mainsaver.
The growing need for predictive maintenance of complex assets and improved asset performance is a key factor driving Enterprise Asset Management Market Growth adoption. Companies are increasingly leveraging real-time asset performance data from IoT sensors to schedule preventive maintenance and avoid unexpected failures.
Technological advancements like AI, machine learning, predictive analytics and mobile applications are extending the capabilities of EAM solutions. Integration of these technologies helps gain additional insights into asset health and take proactive actions to reduce downtime. Use of AR/VR for remote asset inspections and training is another emerging trend.
Market Trends
The rising popularity of cloud-based Enterprise Asset Management Market Size and Trends is opening up opportunities for wider adoption amongst small and medium enterprises due to scalability and lower upfront costs. The transition to cloud is helping organizations move from rigid on-premise legacy systems.
The increasing adoption of IoT sensors and real-time performance monitoring tools enable condition-based and predictive maintenance of complex assets. The use of advanced analytics on real-time asset data helps gain insights into asset health and take prescriptive actions to reduce maintenance costs and prolong asset life.
Market Opportunities
Integration of EAM solutions with AI/ML technologies can help take predictive maintenance capabilities to the next level by analyzing vast volumes of asset data to forecast failures. This will drive further preventive maintenance use cases.
The growing focus on sustainability is increasing the need for end-to-end tracking of asset carbon footprint and optimization of resource consumption. EAM vendors can introduce Carbon Management solutions integrated with their existing EAM offerings.
Impact of COVID-19 on Enterprise Asset Management Market Growth
The COVID-19 pandemic has significantly impacted the growth of the global enterprise asset management market. During the lockdowns imposed across several countries, industrial production and supply chains were largely disrupted. This reduced the demand for asset management solutions from various end-use industries like oil and gas, healthcare, transportation, etc. that aim to optimize asset utilization and performance.
However, with work from home becoming a new norm, the need for digitalizing asset lifecycle management processes increased. Many organizations accelerated their digital transformation initiatives and adopted cloud-based EAM solutions to enable their asset-intensive operations remotely. This transition provided opportunities for EAM vendors to engage with clients online and help modernize their infrastructure management. With industries resuming operations gradually post lockdowns, the demand is recovering as well. Going forward, the market is expected to witness higher investments in cloud and mobility solutions that offer flexibility and remote asset visibility. Analytics capabilities within EAM systems will also see enhanced adoption to gain insights into asset health and prioritize maintenance tasks.
Geographical Regions with High Enterprise Asset Management Market Value
Currently, North America dominates the global EAM market in terms of value, owing to early technology adoption and presence of major vendors in the US and Canada. The asset-intensive process industry sectors like oil & gas, utilities, transportation are major contributors to the regional market revenue. Europe holds the second largest market share because of stringent compliance and quality directives enforced by governing bodies across industries. Developing regions like Asia Pacific and Latin America are experiencing faster growth led by increasing investments in industrial infrastructure and digital transformation initiatives of local enterprises.
Fastest Growing Regional Market for Enterprise Asset Management
The Asia Pacific region is poised to be the fastest growing market for enterprise asset management globally during the forecast period. This is attributed to rapid industrialization and economic development taking place across countries like China, India, Indonesia, Vietnam, etc. Modernization of aging assets, growing complexity of industrial operations, and uptake of predictive maintenance strategies are driving the need for integrated EAM solutions. Additionally, promoting self-reliance through initiatives like ‘Make in India’ is generating opportunities for asset-intensive sectors to invest and expand regionally. With global EAM vendors increasingly targeting Asia through partnerships, the APAC EAM market is expected to scale new heights in the coming years.
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Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)