To say that the enterprise asset management market is booming is an understatement. The global value of EAM was $5 billion in 2021, and it will grow at 16.7% between now and 2030 — even in a challenging economic climate. The supply chain pressures of the last three years have only emphasized the importance of EAM. Companies like Asset Infinity have come to the fore because they use the cloud to create modular, platform-sized offerings.
The cloud is one of the most influential factors for modern EAM; along with this, here are the other vital predictions to note for 2023:
1. Technologies to keep up with inflation
The economic downswing, inflation, and a looming recession will impact EAM and supply chains. During the pandemic, enterprises learned not to depend wholly on outsourcing and offshore suppliers for procurement. In 2023, I predict enterprises will strengthen their control and support insourcing deliveries and supply through EAM technology. Fortunately, automation enabled by IoT sensors will make it easier.
2. A focus on energy efficiency
As conversations around climate change gather momentum, companies must rely less on traditional gas guzzlers. Instead, there will be opportunities to use IoT and AI for route optimization to prevent any waste of energy. 2023 will also gradually shift to more sustainable energy sources like electricity and solar. This trend will also cover buildings and facility management so that computerized maintenance management systems (CMMS) can identify and address inefficiencies.
3. Formalizing EAM even in small to mid-sized enterprises
Several organizations were unprepared for the pandemic, lacking either sound EAM procedures or the resources and personnel to support them. Hybrid work makes asset management more challenging; I believe now is the time to get executive support for EAM and implement the necessary governance and support formations. In 2023, there will be a massive push to build or enhance your organization’s asset capabilities to ensure that the proper management and administration procedures are in place.
4. Better real-time data collection capabilities
This trend is on the availability of real-time data. The pace of information generation and assimilation within an organization has a massive impact on all operations, including EAM. For example, people must know where their assets are — What is their status? How readily are they available? By optimizing asset planning and minimizing loss, damage, and over-storage of equipment, all of this data can create opportunities for cost reduction. Therefore, EAM systems that offer real-time data collection may substantially impact the daily operations of an organization.
5. Advances in indoor positioning systems (IPS)
An indoor positioning system (IPS) is a collection of devices used to find persons or objects when GPS and other satellite-based technologies cannot or fail to offer sufficient precision. It could provide tremendous benefits when the bulk of business assets and data sources are situated inside, wherein GPS and cellular-based navigation are ineffective. IPS consists of installations with strategically placed relays and beacons, utilizing lights, radio waves, magnetic fields, audio signals, and behaviour analysis. In 2023, IPS use will become more commonplace and integrated with EAM.
6. Predictive maintenance as a mission-critical technology
Outages and downtime impair your capacity to manage assets correctly and raise the probability of environmental concerns and emergency repairs. These occurrences may be costly, resulting in increased labour expenses and output deficits. Equipment failure may also result in catastrophic breakdowns or safety issues, putting workers at risk. In 2023, companies trying to recover from the pandemic’s impact cannot afford such losses. Consequently, they will focus on implementing predictive maintenance and prescriptive analytics. But, again, this needs the foundation of a robust, data-driven EAM platform.
7. Revenue uptick was driven by 5G
As 5G enters the market, expectations are for it to become the fulcrum of a new data-driven ecosystem encompassing several industries. With 5G’s capacity to link everyone and everything, industrial plants and all major sectors employing enterprise asset management solutions benefit from this new connected ecosystem. For instance, the responsiveness to maintenance, as well as asset management demands, will improve. In addition, it will affect sales statistics and become a crucial growth factor for the organization. In India, 5G is already available in 50 cities and counting — so the future is not very far away!
8. Mobile EAM is the norm, not a nice-to-have
The EAM software must be mobile enabled to increase workplace efficiency and increase accessibility. Mobile capabilities allow teams to do more in less time. In addition, as teams in specific locations continue social distancing measures in 2023, EAMs with mobile capabilities will assist them in remaining secure. It is also necessary for hybrid work, which is now the standard. There is no need for office overcrowding with remote access; technicians may monitor activity from anywhere.
Those were my eight predictions for enterprise asset management on the road ahead. Check Asset Infinity’s latest EAM resources for insights on planning asset management in the new year. You can also email me at Arvind@am-pmassociates.com to share your thoughts, ideas, and feedback!