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Market Research Report : Facilities management services market in india 2014 - Sample
The document provides an overview of the facilities management services market in India. It finds that the market is slated to grow at a 1% CAGR from 2013 to 2018. Facilities management services can be categorized as hard services like mechanical and electrical maintenance or soft services like cleaning and security. The market is highly fragmented with many small, unorganized players. Key drivers of growth include the booming real estate sector, rising infrastructure development, and growth in retail and hospitality. Shortage of manpower and the large unorganized segment pose challenges to the industry. Trends include standardization, facilities management becoming a field of study, mechanization of services, and investments and M&A activity. The document outlines some of the major players
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Market Research Report : Facilities management services market in india 2014 - Sample
- 1. Insert Cover Imageusing Slide Master View Do not distort Facilities Management Services Market – India May 2014
- 2. 2FACILITIES MANAGEMENT SERVICESMARKET IN INDIA 2014.PPT Executive Summary Market Facilities management services is slated to grow at a1% CAGR over 2013-18e Facilities management services can be broadly classified into hard and soft services It is a highly fragmented industry with the unorganized segment accounting for majority of the sector Drivers & Challenges Competitive Landscape Drivers –Boom in real estate –Rise in infrastructural development –Growth in retail sector –Growth of hospitality sector –Improving healthcare scenario Challenges –Shortage of manpower –Large unorganized segment Trends Standardization of procedures Facilities management as a stream of study Mechanization of services Project management and general contracting services continuing to evolve Investments and M&A Activity in Facilities Management Sector Major Players Company 1 Company 2 Company 3 Company 4 Company 5 Company 6
- 3. 3 •Macro-Economic Indicators •Introduction •Market Overview •Typesof Contracts •Drivers & Challenges •Trends •Industry Association •Competitive Landscape •Strategic Recommendations •Appendix FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 4. 4 Economic Indicators (1/3) 11 12 13 14 15 b2 a2 Q1 d1 c1 b1 a1 Q4 c4 b4 a4 Q3 c3 b3 a3 Q2 d2 c2 INRtn 2013-142012-132011-122010-11 GDP at Factor Cost: Quarterly Inflation Rate: Monthly -2 -1 0 1 2 q Jul 2013 - Aug 2013 p % Nov 2013 - Dec 2013 t Oct 2013 - Nov 2013 s Sep 2013 - Oct 2013 r Aug 2013 - Sep 2013 FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 5. 5 Facilities management primarilyramifies into 2 major segments Facilities Management Services Hard Services Soft ServicesHard Services Soft Services p1 p2 p3 p4 p5 p6 p7 p8 p9 p10 z2 z1 FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 6. 6 Facilities management servicesmarket is poised for strong growth in the ensuing years Facilities Management Services Market Market Size and Growth • Facilities management services market in India has been growing steadily over the years and is set to witness significant momentum over the next five years • It is a highly fragmented industry with few organized players and mostly unorganized small operators • Facilities management business is largely unorganized in India and operates on low margins • Consolidation in this segment is slowly gaining momentum as players are growing their business by acquiring smaller firms • Facilities management services are primarily concentrated in and around metros with low penetration in Tier II and Tier III cities • There is an increasing demand for such services as emphasis on urban development and modernisation of office spaces is growing • Consistent economic growth has led to a booming real estate sector in India, which will drive the growth of this market in the near future 0 f INR bn 2016e g e 2017e 2018e c d 2015e b a 2013 2014e h i Unorganized Market Organized Market Market Segmentation (2013) FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 7. 7 SAMPLE … through thesefollowing types of contracts Entry Routes Description Examples Direct Sub- contracts of ISPs •Q1 •Q2 •Q3 S1,s2,s3 t1 t2 t3 t4 t5 t6 t7 t8 Facilities Management Services Market – Types of contracts (5/5) FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 8. 8 SAMPLE A closer lookreveals which type of contracts find the maximum takers Facilities Management Services – Contract Segmentation (2013) • Herein, the entire order for facilities management services is doled out as a complete package • In this case, service providers will have to look after the entire gamut of services ranging between hard services and soft services • In majority of cases, facilities management service providers need to battle it out with other players for the contracts of different buildings or infrastructure • These contracts are either doled out as a complete package of the entire services or broken down to small sub- parts and given to service providers • Each type has its own set of advantages and disadvantages which determines as to why a particular contract has a greater adoption rate over others • In this case, contract for rendition of facilities management services are given out as part-by- part or by sub-contracting • Herein, the total package is broken into sub-parts and given to different service providers as various contracts P A R T L Y I S P g1 g2 Integrated Service Providers Sub-contractors FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 9. 9 Drivers & Challenges– Summary Drivers Boom in real estate Rise in infrastructural development Growth in retail sector Growth of hospitality sector Improving healthcare scenario Challenges Shortage of manpower Large unorganized segment FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 10. 10 SAMPLEBoom in realestate (1/2) Facilities management business in India is rapidly growing on … • Consistent economic growth, along with increased share of the service sector, has led to a booming real estate sector in India • Strong growth in real estate sector has given immense potential to property management companies to provide integrated facilities management services • Many residential and commercial complexes are being constructed including offices, business centres, housing apartments, manufacturing units and other such facilities • This has led to a huge demand for facilities management services housekeeping, security, cleaning, electrical, mechanical and civil engineering services • Boom in real estate sector has spurred growth in the facilities management services market in India and will help it to develop further Impact The Indian real estate market size is slated to reach ~INR 9,540 bn by the end of 2020 Demand for real estate spaces is estimated to grow at a CAGR of -% during the period 2010-14 The foreign direct investment (FDI) in the sector is slated to touch INR - bn over the next 10 years from the current INR - bn Real Estate growth can be summed up with the following takeaways u1 Real Estate Contribution to GDP v1 Metros xxxxxx FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 11. 11 SAMPLEBoom in realestate (2/2) … account of the booming real estate sector Companies Project Description xx • xxxx xx • xxxx xx • xxx xx • xxx xx • xxx xx • xxx xx • xxx xx • xxx xx • xxx xx • xxx FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 12. 12 ` Standardization of procedures Facilitiesmanagement as a stream of study Mechanization of services Trends – Summary Key Trends Investments and M&A Activity in Facilities Management Sector Project management and general contracting services continuing to evolve FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 13. 13 SAMPLE In an effortto overcome manual shortcomings, players are focusing on mechanization of services • Facilities management services have witnessed the rise of mechanization in its offerings • Increasing number of companies have now started to include mechanized services in their services portfolio • One of the main reasons why mechanization has taken this sector by a storm is because manual services were loaded with faults and defects • Overcoming them and devising a fool proof solution led to the emergence of high adoption of mechanized versions of services by the major players Mechanization of services •text •text •text •text • There should be a right combination of man, machine and consumables • Chances of human error is minimized with the introduction of mechanization in the processes adopted by these players FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 14. 14 SAMPLE … sector, yetpresence of an industry body defines ... Membership •Membership of this national association results in opening up of various avenues in this field, both for amateurs as well as for experienced professionals •There are different types of memberships provided that professionals and organizations can choose from, depending on qualifications, experience and expertise Overview •Its list of Board of Directors include leading names from the Facilities management fraternity such as Mr Paddy Menon, Mr TN Rao, Mr Anand Krishnan, Mr Sujeet Oomen, Mr Madan Kumar, Mr RVS Reddy, Mr Sudheer Kumar N, Mr Debapriya Ojha, Mr Sarosh Vatcha and others •text •text Indian Facilities Management Association (2/3) FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 15. 15 •Macro-Economic Indicators •Introduction •Market Overview •Typesof Contracts •Drivers & Challenges •Trends •Industry Association •Competitive Landscape •Strategic Recommendations •Appendix FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 16. 16 SAMPLE Porter’s Five ForcesAnalysis Competitive Rivalry • text Bargaining Power of Suppliers • text Bargaining Power of Buyers • text Threat of Substitutes • text Threat of New Entrants • text Impact b Impact d Impact a Impact c Impact e FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 17. 17 SAMPLEKey Ratios ofTop 3 Companies – Operational Basis (FY 2012) (1/3) Competitive Benchmarking (1/4) Knight Frank India Pvt. Ltd. i4 i6 Dusters Total Solutions Services Pvt. Ltd. i1 i2 % i5 ISS Facility Services India Pvt. Ltd. i3 Net MarginOperating Margin • Dusters Total Solutions Services recorded operating margin of negative -%, lower than that of ISS Facilities Services which recorded operating margin of negative -% and lower than that of Knight Frank India which recorded operating margin of -% • Net margin for Dusters Total Solutions Services is -%, ISS Facilities Services recorded the highest net margin of -% and Knight Frank India recorded a net margin of -% FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 18. 18 SAMPLE Public: Domestic Company– Company 1 (1/4) Key People Products and Services Company Information Offices and Centres – India Corporate Address Tel No. Fax No. Website Year of Incorporation Ticker Symbol Stock Exchange Category Products/Services c1 p1 Name Designation Head Office FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 19. 19 SAMPLEFinancial Snapshot KeyRatios Financial Summary • The company incurred a net loss of INR - bn in FY 2013, as compared to net profit of INR - bn in FY 2012 • The company reported total income of INR - bn in FY 2013, registering a decrease of -% over FY 2012 • The company earned an operating margin of -% in FY 2013, a decrease of - percentage points over FY 2012 • The company reported debt to equity ratio of - in FY 2013, an increase of - % over FY 2012 Key Financial Performance Indicators Indicators Value (dd/mm/yyyy) Market Capitalization (INR mn) Total Enterprise Value (INR mn) EPS (INR) PE Ratio (Absolute) Particulars y-o-y change (2013-12) 2013 2012 2011 2010 Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets Cost Ratios Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales) Liquidity Ratios Current Ratio Cash Ratio Leverage Ratios Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved Decline Net Profit/LossTotal Income 0 2010 s1 t1 INR bnINR bn 2013 t4 s4 2012 s3 t3 2011 s2 t2 Public: Domestic Company – Company 1 (2/4) FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 20. 20 SAMPLEKey Business SegmentsKey Geographic Segments Business Highlights Description News Overview • Text • Text Certifications • Text 0% g1 2013 s1 0% 2013 f4 e4 2012 f3 e3 2011 f2 e2 2010 f1 e1 OverseasIndia Public: Domestic Company – Company 1 (3/4) FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 21. 21 SAMPLEPublic: Domestic Company– Company 1 (4/4) TO WS FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 22. 22 SAMPLEPrivate: Domestic Company– Company 2 (1/5) Key People Products and Services Company Information Offices and Centres – India Category Products/Services c2 p2 Name Designation Ahmedabad Corporate Address Tel No. Fax No. Website Year of Incorporation Head Office FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 23. 23 SAMPLEShareholders of theCompany Ownership Structure Name No. of Shares held Name 1 Name 2 Total 30% 70% Corporate Bodies Foreign holdings Private: Domestic Company – Company 2 (2/5) FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 24. 24 SAMPLEFinancial Snapshot KeyRatios Improved Decline Financial Summary • The company earned a net profit of INR - mn in FY 2013, as compared to net loss of INR - mn in FY 2012 • The company reported total income of INR - mn in FY 2013, registering an increase of -% over FY 2012 • The company earned an operating margin of -% in FY 2013, an increase of - percentage points over FY 2012 • The company reported debt to equity ratio of - in FY 2013, a decrease of -% over FY 2012 Net Profit/LossTotal Income 0 v3 u3 2011 2013 v4 u4 2012 INR mnINR mn v2 2010 u1 v1 u2 Private: Domestic Company – Company 2 (3/5) Particulars y-o-y change (2013-12) 2013 2012 2011 2010 Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets Cost Ratios Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales) Liquidity Ratios Current Ratio Cash Ratio Leverage Ratios Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 25. 25 SAMPLEBusiness Highlights Description News Overview •Text • Text Network • Text • Text Awards • Text • Text Private: Domestic Company – Company 2 (4/5) FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 26. 26 SAMPLE Private: Domestic Company– Company 2 – SWOT Analysis (5/5) TO WS FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT
- 27. 27 Thank you forthe attention About Netscribes, Inc. Netscribes, Inc. is a knowledge-consulting and solutions firm with clientele across the globe. The company’s expertise spans areas of investment & business research, business & corporate intelligence, content-management services, and knowledge-software services. At its core lies a true value proposition that draws upon a vast knowledge base. Netscribes, Inc. is a one-stop shop designed to fulfil clients’ profitability and growth objectives. Facilities Management Services Market – India report is part of Netscribes’ Retail and Services Series. For any queries or customized research requirements, contact us at: Disclaimer: This report is published for general information only. Although high standards have been used in the preparation, “Netscribes” is not responsible for any loss or damage arising from use of this document. This document is the sole property of Netscribes and prior permission is required for guidelines on reproduction. Phone: +91 22 4098 7600 E-Mail: info@netscribes.com FACILITIES MANAGEMENT SERVICES MARKET IN INDIA 2014.PPT