FUNCTIONAL SAFETY MARKET ANALYSIS

Market Challenges And Opportunities

Global Functional Safety Market Drivers:

Rise in standards for industrial safety to boost growth of market

Due to the introduction of rigorous approaches in different international and regional standards of industrial safety, the over lifecycle of safety of a systems has been enhanced as compared to the use of best engineering design practices that were used in the past. Thus, industrial safety standards are increasingly being implemented within industries. Moreover, rise in number of hazardous areas, and frequency of accidents in these areas has also contributed to increased demand for functional safety. Thus, rise in standards for industrial safety is expected to propel growth of the global functional safety market over the forecast period.

Growing adoption of functional safety systems in several industries to drive the market pace

The use of functional safety systems and a datacentric approach offers needed functionalities enabling automatic prevention of hazardous failures and control in instances of such occurrences in various industries. These systems also offer facilities that cannot be mimicked by humans. The number of enterprises increasingly depend on such electronic, electrical, and programmable electronic safety-related systems for protecting the environment, people, and physical assets in different industries. Thus, the adoption of functional safety systems is increasing, which in turn is expected to boost growth of the market.

Global Functional Safety Market Opportunities:

Increasing growth of services market is expected to create several growth opportunities in the global functional safety market over the forecast period. Due to rise in adoption of safety instrumented systems (SIS) that are produced by manufacturing companies and increasing demand for functional safety in the chemical and oil & gas industries, the services market relate to functional safety is witnessing strong growth. This in turn is offering various business opportunities in the market.

Growing number of work related injuries is creating demand for functional safety systems, which is anticipated to offer various business opportunities in the global functional safety market over the forecast period. For instance, as per the Coherent Market Insights, 1.3 million workers suffered work-related injuries or illnesses; over 72,702 employee suffered non-fatal injuries, and more than 144 workers died due to work related incidences. Thus, these factors are increasing demand for functional safety systems, which in will support growth of the market.

Global Functional Safety Market Restraints:

Rise in complexity along with high initial and maintenance costs to impede market growth

The demand for functional safety systems is increasing across the globe; however, the rise in complexity coupled with high cost of maintenance and high cost of initial setup dissuades enterprises from adopting these systems, which in turn is expected to hinder growth of the global functional safety market over the forecast period. The cost of functional safety systems is high due to the strong and efficient software and hardware of the system. This also includes higher capital expenditure for investing in hardware such as safety controllers/modules/relays, safety sensors, emergency stop devices and more. Along with this, the hardware devices need timely upgrades as the need for addressing performance concerns is increasing. Thus, these factors are expected to hamper growth of the market. However, growing focus of market players on developing cost effective solutions is likely to support the market growth in the near future.

Lack of awareness and complexity of global standards to restrain the market pace

The lack of awareness regarding benefits of using functional safety systems is a major restraining factor in the market. Workforce from developing countries working in factories and plants lack awareness regarding the availability of safety devices that can safeguard the labor and the machinery. Most of the manufacturers in these regions do not appoint safety experts who can provide insights about the use of necessary safety devices in every process or machine. Thus, this factor is likely to impact adoption of functional safety systems, which in turn is expected to propel growth of the global functional safety market over the forecast period.