June 14, 2024
Software Testing and QA Services Market
Ict

Enterprise Asset Management Market Enables Optimal Asset Utilization of Organizations

Enterprise Asset Management (EAM) entails managing the complete life cycle of physical assets of an organization right from procurement to maintenance and disposal. EAM systems help optimize asset performance, lower maintenance costs and enable efficient coordination between various asset-related functions. With assets forming a major share of capital expenditure and operational costs of industries, EAM solutions help companies extract better returns from existing infrastructure and improve overall equipment effectiveness. Many organizations now rely on EAM for inventory control, scheduled maintenance, warranty management, performance monitoring and compliance. Condition-based monitoring solutions integrated with EAM provide real-time equipment health data enabling predictive maintenance and minimizing unscheduled downtime.

The global Enterprise Asset Management Market is estimated to be valued at US$ 5.2 billion  in 2023 and is expected to exhibit a CAGR of 7.5% over the forecast period 2023-2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the key trends witnessed in the Enterprise Asset Management market is the increasing adoption of cloud-based EAM solutions. Traditional on-premise EAM systems require high upfront capital expenditure and ongoing maintenance costs. Cloud deployment of EAM provides multiple advantages like low upfront costs, easy scalability, anytime access from any device and automatic software updates. This has resulted in more organizations opting for software-as-a-service models for EAM. Cloud EAM vendors are also enhancing offerings with capabilities like integration with IoT, mobility, analytics and augmented reality to deliver a comprehensive digital asset management experience. Transition towards cloud and use of digital technologies is expected to drive faster adoption of EAM worldwide and help unlock greater value from physical assets.

Porter’s Analysis
Threat of new entrants: The threat of new entrants in the enterprise asset management market is moderate as the market requires high capital investments. However, ease of starting a business may attract new players.
Bargaining power of buyers: Buyers have moderate bargaining power in this market due to the availability of several asset management system providers. Buyers can opt for various pricing plans as per their businesses needs.
Bargaining power of suppliers: A few technology companies dominate the supply market. Also, the availability of alternative suppliers provides moderate bargaining power to buyers.
Threat of new substitutes: There are few alternatives available for enterprise asset management software. However, substitutes such as cloud-based asset management solutions may limit the threat from substitutes.
Competitive rivalry: The market has the presence of few global players leading to high competitive rivalry between them. Market players focus on new product launches and innovations to gain a competitive edge.

Key Takeaways
The Global Enterprise Asset Management Market Size is expected to witness high growth. The growing need to improve asset lifecycle management and optimize operational costs has boosted the demand for EAM solutions.

Regional analysis:

North America dominates the global enterprise asset management market due to advanced infrastructure and early technology adoption. Europe follows North America in terms of market share due to growing manufacturing and energy sectors. The presence of emerging economies and increasing investments in asset-intensive industries are driving the Asia Pacific market.

Key players:

Key players operating in the Enterprise Asset Management market are IBM, SAP, Oracle, Infor, ABB, IPS, Maintenance Connection, AVEVA, Aptean, and Assetic. These players are focusing on portfolio expansion and partnerships with technology providers to enhance their product offerings.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it