Industrial Services Opportunities in the European Electric Drives Market

Transcription

1 Industrial Services Opportunities in the European Electric Drives Market Focus on Mobility and Energy Efficiency Bolsters Demand for Advanced Services 9AAC-17 March 2015

2 Contents Section Slide Number Executive Summary 3 Scope and Definition 6 Market Boons and Banes 10 Implications of Industrie 4.0 on Electric Drives Services Market 14 Industrial Services in the Electric Drives Market Revenue Forecasts 19 Trends and Outlook 27 Competitive Analysis 34 Customer Perspective 40 The Last Word 44 Appendix 47 The Frost & Sullivan Story 49 9AAC-17 2

3 Market Engineering Measurements Industrial Services in the Electric Drives Market: Market Engineering Measurements, Europe, 2013 Market Stage Market Revenue Market Size for Last Year of Study Period Growth $ M $ M (2013) (2018) Base Year Market Growth Rate Compound Annual Growth Rate % % ( ) Decreasing Stable Increasing Note: All figures are rounded. The base year is AAC-17 4

4 Key Findings The market for electric drives services in Europe was an estimated $ billion in 2013 and is expected to witness growth of a % CAGR from 2013 to Restricted oil and gas activity, coupled with decreased investments in new projects, is expected to lead to market growth over the forecast period. Increasing awareness among end users about the benefits of leveraging the complete service spectrum that is available to them will likely provide new opportunities for growth. Mature product markets in Western Europe are expected to drive growth of the services market while Russia and Eastern Europe are likely to become new growth platforms in the long term. Restricted CAPEX is likely to delay investment in new products and thereby increase demand for services over the forecast period. 9AAC-17 5

5 Research Scope End User Segmentation Oil and Gas Chemicals and Petrochemicals Food and Beverage Water and Wastewater Pharmaceuticals Metals and Mining Power Generation Research Metrics Geographic coverage Europe (EU27) including Russia Study period Base year 2013 Forecast period Monetary unit Conversion rate US Dollars 1.00 = $ Service Type Installation and commissioning Training Engineering and consulting Maintenance Spare parts and consumables Repairs Advanced services Extensions, upgrades, and retrofits Replacement services End-of-life services Pulp and Paper Marine *Others Regional Segmentation Germany France United Kingdom (UK) Italy Scandinavia Russia Rest of Europe Note: *Others includes companies involved in the manufacture and processing of products such as cement, rubber and plastics, and textiles. 9AAC-17 7

6 Services Definition Installation and Commissioning comprise of all services that are provided when a product is first procured for use, from installing the product on-site to fine tuning and test running the equipment to ensure the client s requirements are met. Training comprises workshops and sessions used as a platform to assist customers in understanding how a product works. Training customers how to properly install and operate equipment helps them leverage all of a product s features to gain maximum benefits when incorporated into their process. Engineering and Consulting include activities during the design phase of a new project or an existing brownfield installation. This includes identifying client needs and formulating an effective project design through a comprehensive analysis of the technical, commercial, and resource requirements essential to meet the client s specifications. Maintenance involves all activities completed on a periodic basis that enable equipment to sustain highefficiency performance. This includes preventive maintenance (service done on a periodic basis to avoid equipment breakdown) and predictive maintenance (to analyze and predict when breakdown is most likely to occur and perform maintenance suitably), remote and on-site condition monitoring (statistical and conditionbased technologies to detect failure), life cycle assessment, inspection, and diagnostics. Spare Parts and Consumables include replacing a part of the equipment (that is interchangeable) instead of the entire equipment when failure occurs. For example, in a motor, breakdown may occur due to a component failure such as a bearing. In such cases, it may be adequate to replace just the bearings rather than replacing the entire motor. The cost of procuring spares and consumables is attributed to this service type. 9AAC-17 8

7 Services Definition (continued) Repairs include providing engineering services after equipment failure such as material upgrades and modifications in order to increase reliability of automation equipment. For example, electric motor and generator repair services include rewinding for electrical performance improvements and mechanical modifications to enclosures, brackets, shafts, seals, and bearings. Advanced Services are value-added services offered over and above the conventional repair and maintenance services. These services include asset optimization, process safety, environmental compliance, system performance, energy efficiency, maintenance management and cyber security among others that are likely to assist equipment in the critical industries such as oil and gas and power generation. Extensions, Upgrades, and Retrofits comprise hardware and software updates/upgrades that help to extend an asset s life cycle. Extension of life for automation equipment can include improving the aspect of a product (energy efficiency) for use in the same application or retrofitting the product for use in completely new applications within the facility. Replacement Services include the complete replacement of a product such as a motor or pump when it stops working to a customer s satisfaction. The product can be active (a working motor that is not compliant with an energy regulation) or inactive (a pump that has reached the end of its life cycle). End-of-life Services include guidance for the recovery and recycling of materials contained in industrial automation equipment when the equipment no longer satisfies the initial user s needs and is classified as obsolete. These services may also involve removal and disposal of the industrial automation equipment in line with the environmental regulations enforced within a region/country. 9AAC-17 9