Environmental, Health, and Safety Systems

The Environmental, Health, and Safety (EHS) Systems Emerging Market Analysis delivers current market size information plus a five-year market and industry forecast. 

Environmental, Health, and Safety: Transforming from Reactive to Proactive

Environmental, health, and safety systems are software that captures, analyzes, manages, and reports environmental, health and safety risks for the purpose of minimizing operational risk. This powerful software is found in a variety of applications in all manufacturing industries as well as other entities such as governments responsible for the safety and health of its constituents and ecosystem.

The EHS systems market is experiencing a digital transformation driven by the shift from reactive safety and compliance outcomes to proactive risk management. This market has tremendous opportunities with rapid growth driven by replacement of systems utilizing outdated software architectures to modern architectures designed to leverage disparate data types and apply analytics to achieve better visibility into operational risk in real-time.

In addition, this shift from lagging to leading indicators of performance, the unique capabilities of EHS systems enable novel applications driven by cross-industry movements, including digitalization, Industrial Internet of Things, and Industry 4.0.  Furthermore, the advances in data quality, software processing, and ease of use continue to increase the value proposition for end users.

Environmental, Health, and Safety Systems Strategic Issues 

In addition to providing a five-year market forecast, the EHS systems market analysis provides quantitative current market data and addresses key strategic issues as follow.

This market analysis reveals a digital transformation underway in the EHS systems domain. The regulatory shift in reporting requirements from lagging indicators of past performance to leading indicators as better predictors of future performance created an opportunity for organizations to think differently. IT/OT convergence is also having an impact as organizations seek a view of overall risk through the integration of EHS activities into production. Transformation is also evidenced in the M&A activity in the market as suppliers look to create single platforms for enterprise-wide interoperability and visibility into EHS activities.

Platforms enable EHS software to reside in a unified suite of applications that will enable the shift to automated data capture for real-time visibility and the application of analytics to EHS data for predictive purposes. This is also changing the supplier landscape as evidenced in the market consolidation that continues to transpire as suppliers seek to develop single solution platforms. Despite the more than 30 mergers and acquisitions that transpired between 2015 – 2018, our research indicates no clear EHS system market leader indicating the market will remain extremely competitive in the analysis period.  

Compliance continues to be the primary driver for EHS systems market growth. Reporting requirements vary by industry and location on a broad spectrum of reporting criteria from local to federal levels. The market analysis addresses the ability that Industrial IoT technologies and modern software architectures can facilitate compliance.  

On January 1, 2020, the top priorities for EHS professionals were opioid abuse and workplace violence.  Fast forward a few months and the shift in priorities has been dramatic as a new hazard has emerged–COVID-19. The immediate need to keep employees and the evolving workplace environment safe is expected to have a positive impact on the EHS systems market and are taken into account with our best estimates for growth in different industries.