Integrated Workplace Management System (IWMS) Market Size, Share & Trends Analysis Report By Component (Solution, Services), By Deployment (On-premise, Cloud), By Organization Size (Large Enterprises, Small & Medium Enterprises (SMEs)), By Industry Vertical (Manufacturing, IT & telecom, Real Estate and Construction, Healthcare, Retail, BFSI, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2022-2030

Market Overview

The global integrated workplace management system market size was valued at USD 2990 million in 2021 and is projected to reach an expected value of USD 8000 million by 2030, registering a CAGR of 13.1% during the forecast period (2022 – 2030).

One of the newest approaches to handling workplace facilities management obligations is the integrated workplace management system (IWMS). It is a software platform that assists facility managers, corporate real estate experts, and other office executives with crucial tasks necessary to keep their buildings operational and engage their staff effectively. It primarily includes functionalities like asset & maintenance management, sustainability & energy management, real estate & lease management, facilities & space management, capital project management, and management of assets & leases.

The market for integrated workplace management systems is expanding primarily due to the rise in workflow automation solutions adoption by real estate businesses and governments' increased focus on energy management. Corporate social responsibility (CSR) is also increasing globally, fostering market expansion. However, the lack of knowledge of IWMS systems and the shortage of qualified people are predicted to impede market expansion. On the other hand, the following years are anticipated to bring about significant changes in the development of the IWMS market by incorporating cutting-edge technologies like IoT and AI.

Market Dynamics

Market Drivers

Rise in Implementation of Workflow Automation Solutions by Real Estate Enterprises

Real estate businesses must manage a variety of processes because they are dynamic. These processes include managing multiple projects, following various locations, maintaining up-to-date inventories, selling property, locating tenants, and enlisting investors for new developments, among many others. Real-time tracking of resources, suppliers, goods, and transactions inside the commercial operation is made possible through workflow automation. This makes it possible for organizations to concentrate on their primary goals. The market is being driven by real-estate companies especially adopting integrated workflow management solutions. Automation in this sector improves communication and eases the administrative burden on real estate firms. Utilizing an integrated web interface, real estate services can handle workflow automation. Monitoring the status of ongoing projects, agreement renewals, property constructions, property details, communications, papers, and all other related operations are consolidated. Additionally, integrated software can gather loan-related documentation, subcontractor agreements, licenses, sale deeds, and other documents. The integrated workplace management systems market share is expanding due to the rising demand for reliable analytics for real estate and capital planning.

Increase in Emphasis on Energy Management by Governments

Organizations are now required to develop and maintain their company operations to limit and control the production of dangerous gases as a result of an increase in government laws on energy, waste management, and carbon footprints. For example, the Energy Policy Act of 1992, passed by the federal government of the United States, focuses on energy reduction and outlines best practices for putting conservation measures into action.

There are presently four states in the U.S. with a voluntary Energy Efficiency Resource Standard (EERS) and 22 states with a required EERS (non-binding). EERS is a tool to promote more effective electricity generation, transmission, and usage, as well as natural gas in some instances. Furthermore, on May 27, 2007, the Government of India developed the Energy Conservation Building Code (ECBC) for new commercial structures. For new commercial buildings with a connected load of 100kW or contract demand of 120 KVA and above, ECBC establishes minimal energy criteria. Such national government initiatives for energy management are helping the IWMS market expand since it provides the capability for managing energy and sustainability. Similarly, governments use rules to compel companies to cut their carbon emissions. The integrated workplace management system aids in calculating the emissions produced by companies and creates a plan to enhance both the environment's and companies' long-term sustainability.

Market Restraint

The Absence of a Skilled Workforce

The demand for integrated workplace management systems is increasing continuously; however, lacking a skilled workforce is hampering the market's growth. In addition, IWMS is witnessing a shortage of qualified professionals, owing to a lack of knowledge regarding advanced technologies. The large IWMS projects have several sites spread across several nations, which makes implementation difficult for lack of experience. IWMS projects are in charge of keeping track of and resolving the problems brought on by various cultures, languages, particular laws, and regional business norms. Lack of experience at the management and senior levels has made it difficult for organizations to identify the alignment between regulatory objectives and corporate goals. This also prevents corporations from realizing the need to have skilled facility managers.

Market Opportunities

The Emergence of IoT and AI Technologies

Growing demand for organizational integration is enabled by technologies like IoT, advanced analytics, cutting-edge new sensors, mobility, SaaS, and new development environments. As a result, the adoption of IWMS throughout businesses is being impacted. Social media connections through the IWMS platform affect project cooperation and space use. IWMS can support sensor, meter, and smartphone data from machines and devices, enabling operations, choices, and facility automation. IWMS is already connected with the real estate financial modeling (REFM) business process and is pre-configured for business use, in contrast to traditional analytic tools. This solution can provide predictive, real-time, and more recent presence and cognitive analytics.

One of the most promising areas is emerging technology, like IoT. The adoption of IoT will considerably simplify operations as data can be automatically captured through sensors, which can be analyzed for maintenance operations at maximum efficiency. IoT will also reduce the pressure on workplace management tools, such as computerized maintenance management systems (CMMS), and help get accurate results in minimum time. IoT is still in the emerging stage but holds vast growth potential in the future. Hence, as the market of IoT progresses, it will impact the demand for IWMS solutions.

Regional Analysis

Region-wise, the globally integrated workplace management system market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

North America was the highest revenue contributor and is estimated to grow at a CAGR of 11.3%. North America has always been a cutting-edge and competitive region for every technology. The region continues to have one of the highest rates of technological innovation adoption. Currently, the U.S. holds the highest share in the integrated workplace management system market due to an increase in developments in smart building projects in the U.S. As a result, space management, asset, maintenance management, and real estate and lease management are now all handled by IWMS solutions. IWMS solutions are needed in this region due to recent developments and setups in the real estate and infrastructure sectors. It is anticipated that North America will continue to dominate the IWMS industry in the years to come.

Europe is the second largest region. It is estimated to reach an expected USD 1995 million by 2030, registering a CAGR of 13.1%. Europe has been an early adopter of the integrated workplace management system. Predictive maintenance has emerged as a vital element of modern business operations, especially in the manufacturing and automobile industries in the region. The integrated workplace management system is a growing market in Europe and continues to gain significant investment and attention from European organizations. Several European companies are increasingly adopting integrated workplace management systems, as the insights generated by the integrated workplace management system can offer them remunerative business opportunities. Western and Northern European markets are the key adopters of Big Data services, owing to many regional enterprises. Moreover, the shortage of the IT-skilled workforce is stimulating the outsourcing of integrated workplace management system services, which drives the market's growth.

Asia-Pacific is the third largest region. Asia-Pacific countries are lucrative for integrated workplace management system solutions and service vendors. This is accredited to the existence of major developing economies and a large customer base for many industries. The Asia-Pacific region is anticipated to witness the highest growth rate during the forecast period. Moreover, several start-ups and well-established companies in the Asia-Pacific region are opting for integrated workplace management systems for maximum utilization of resources and space in their business solutions, which fuels the market's growth.

Segmental Analysis

The global integrated workplace management system market is segmented on component, deployment, enterprise size, industry vertical, and region. 

By Components Overview

Based on components, the global integrated workplace management system market is divided into solutions and services. The solution segment is further categorized into real estate and lease management, capital project management, asset & maintenance management, space and facilities management, sustainability and energy management, and others. The solution segment was the highest contributor to the market and is estimated to grow at a CAGR of 20.1% during the forecast period. IWMS can offer organizations the to improve energy consumption by 10%, reduce facility maintenance costs by 14%, improve facility usage efficiency by 42%, improve workspace management by up to 40%, and reduce enterprise asset lifecycle costs by up to 30%. The need for substantial savings in CAPEX and OPEX and increased workplace productivity is mainly driving the growth of IWMS solutions. Additionally, the combination of IoT and AI is quickening the transition from software-driven to service-centered automation, which has the added advantage of improving an organization's return on assets. This is also anticipated to accelerate market expansion.

The services segment is the second largest. Over the past few years, a rise has been witnessed in the adoption of services among end users, as it ensures the effective functioning of software and platforms throughout the process. Furthermore, the surge in demand for cloud-based integrated workplace management system services is expected to provide lucrative opportunities for market growth during the forecast period. Moreover, training and consulting services are projected to witness remarkable growth in the market soon. Training and consulting services play a vital role in conveying adequate knowledge to employees about the functioning of the solution. This is expected to provide lucrative opportunities for the integrated workplace management system services market growth.

By Deployment Overview

Depending on deployment, the global integrated workplace management system market is segregated into cloud and on-premises. The on-premise segment was the highest contributor to the market and is estimated to grow at a CAGR of 9.9% during the forecast period. The on-premise integrated workplace management system is highly adopted in government or banking sectors where these restrictions are critical. As analytics often deals with high-value information, many companies stay on-premise due to concerns over information security and privacy in the cloud, which is opportunistic for the market.

The cloud segment is the second largest. The integrated workplace management systems market demand is anticipated to increase due to the rapid uptake of cloud computing across numerous industrial verticals. This is explained by the capacity of integrated workplace management systems to meet high availability needs by distributing compute resources across one or more regions.

By Enterprise Size Overview

 According to enterprise size, the global integrated workplace management system market is fragmented into large enterprises and small & medium enterprises. The large enterprise segment was the highest contributor to the market and is estimated to grow at a CAGR of 11.5% during the forecast period. Large enterprises have significant data analytics investments that help them implement advanced technologies into infrastructure to increase their overall productivity and efficiency. This, in turn, has fueled the adoption of integrated workplace management systems in large enterprises.  

By Industry Vertical Overview

As per industry vertical, the globally integrated workplace management system market is differentiated into manufacturing, IT & telecom, healthcare, real estate and construction, retail, BFSI, and others. The manufacturing segment was the highest contributor to the market and is estimated to grow at a CAGR of 10.7% during the forecast period. The need for data-driven facility and asset management, tracking, and analytics on facility utilization, density, vacancy rates, and chargebacks further fuel the growth of this market.  

Recent Developments

• July 2022 - Oracle Database Service for Microsoft Azure is now generally accessible, according to an announcement made by Oracle Corp. and Microsoft Corp. Customers of Microsoft Azure may directly quickly provision, access, and monitor enterprise-grade Oracle Database services in Oracle Cloud Infrastructure (OCI) with a familiar user interface thanks to this new offering. 
• August 2022 - To increase the capacity and capabilities for the company's database and application workloads operating in Oracle Cloud, Oracle and AT&T have renewed their strategic partnership. The new five-year agreement will expand upon the Oracle Fusion Cloud Enterprise Resource Planning (ERP), Oracle Fusion Cloud Customer Experience (CX), Oracle Cloud Infrastructure, and other Oracle Cloud services that AT&T currently uses.