Environment Health & Safety Market Size, Share & Trends Analysis Report By Product (EHS Software), By Deployment Mode, By End-use (Chemicals & Petrochemicals), By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global environment health & safety market size was estimated at USD 46.62 billion in 2022 and is anticipated to expand at a compounded annual growth rate (CAGR) of 6.5% from 2023 to 2030. Rising public concerns regarding environmental issues over the past few years have resulted in the development of environmental protection laws, which is expected to drive market growth. Companies in the U.S., Canada, U.K., and Australia are required to comply with strict wastewater treatment and industrial waste disposals norms such as Toxics Release Inventory (TRI) in the U.S., National Pollutant Release Inventory (NPRI) in Canada, and National Pollutant Inventory (NPI) in Australia. The establishment of these stringent norms is projected to drive environment health & safety (EHS) market growth over the forecast period.

Many companies strive to conduct their operations with "Zero Incidents" or "Zero Harm" to people and the environment. Depending on how the organization defines it, this could mean zero incidents of harm to people or property, or even zero environmental effects. It may even imply that there have been no close calls or risky actions. The new standard for excellence in health and safety management is “Zero Incidents”. It enables companies to demonstrate their dedication to the welfare of their staff. These aforementioned factors are expected to drive the demand for EHS over the forecast period. For instance, Trane Technologies strives a safety-focused culture and works to achieve zero accidents and injuries across the whole organization.

Government agencies including the U.S. Environmental Protection Agency (EPA), Occupational Safety and Health Administration (OSHA), and the U.S. Department of Labor lay down the environmental, health, and safety norms and regulations. In the U.S., among of the major market participants are Jacobs, AECOM, Enablon, Tetra Tech, Inc., and VelocityEHS. These companies provide a wide range of EHS software and services, including ergonomics, engineering and construction, risk assessment, EHS software, and management consulting and compliance.

The high demand for environment health & safety (EHS) services in North America can also be attributed to the presence of a large number of oil & gas extraction industries in the region, which use environment health & safety (EHS) services to adhere to the regulations and ensure the health & safety of their employees. Oil & gas spills can affect the environment and aquatic habitat to a huge extent, due to which, the governments in the region has implemented stringent disposal and risk assessment norms on oil & gas industries. The growth of oil & gas industries in this region, especially in the U.S., is expected to augment the demand for EHS services in the North America.

Companies comply with the criteria set by environmental organizations like CERCLA and RCRA with the help of environment health and safety (EHS) services and software. The demand will be complemented with the growing social and political pressure on companies to operate sustainably by being aware of the harmful effects of pollution. For instance, the CGE Risk Management Solutions B.V., a supplier of risk management software that offers the industry-recognized BowTieXP solution, was acquired by Wolters Kluwer Legal & Regulatory in January 2020. The Environmental, Health & Safety and Operational Risk Management (EHS/ORM) software business of Wolters Kluwer, which already comprises Enablon and eVision incorporated CGE, and customers will be able to conduct more accountable, successful, and safe operations owing to the combined services' improved EHS, ORM, and risk performance.

The environment health & safety (EHS) market is characterized by extensive research for the development of solutions and software for more complex applications related to several end-use industries. However, the lack of awareness among market players, primarily in developing economies is expected to hamper the growth of environment health and safety market in the forecast period.

Product Insights

Environment health & safety (EHS) software product segment led the market and accounted for 3.6% of the global revenue share in 2022. EHS software providers offer custom software to clients to meet their unique requirements. EHS software is primarily used in chemicals, manufacturing, pharmaceuticals, and oil & gas industries, thereby driving market expansion in the coming years.

Environment health & safety (EHS) software offers a broad range of functionalities including audit & inspection, incident management, compliance management, management change, chemical management, performance metrics, risk analysis, training management, air emission measurement, water quality, ergonomics, safety meetings, and corrective actions. These aforementioned factors are expected to drive the demand for EHS software in the coming years. For instance, Health & Safety Institute, a pioneer in EHS software, training, and compliance solutions, acquired Donesafe in February 2020. Donesafe complements HSI's current workplace safety training, chemical management, and emergency care training products by encompassing health and safety, supplier management, quality management, and environmental activities.

The environment health & safety (EHS) service product segment is likely to expand at a CAGR of 6.4% in the forecast period. Environment health & safety (EHS)services is the largest product segment which includes services such as environment health & safety (EHS) compliance program development and implementation, environment health & safety (EHS) management information systems design, process safety evaluations and management, implementation and support, water quality, and environment health & safety (EHS) consulting services. For instance, environment health & safety (EHS) services assist mining companies by providing technical and regulatory advice and site auditing during exploration and drilling. Environment health & safety (EHS) service providers also assist clients by identifying and reporting the required improvements for a better output with less environmental impact.

Deployment Mode Insights

Cloud deployment mode segment accounted for 27.6% of the global revenue share in 2022. The cloud is anticipated to have become a widely favored delivery mechanism among big businesses and SMEs due to its low cost and simplicity of implementation. Owing to the low cost and round-the-clock support and maintenance offered by software suppliers, SMEs are more likely to use cloud-based solutions than on-premises ones.

Software that runs on the cloud is kept on a server owned by a different provider. The program and the data are both accessible online to end-users as SaaS and cloud-based software are closely related. For instance, the cloud software consists of Dropbox, Office 365, and Google Documents. The infrastructure is owned and maintained by the cloud software providers hosting data services. Due to the fact that audits and inspections may be carried out remotely rather than visiting each facility, this is very advantageous for EHS departments. Hence, the above-mentioned factors are projected to propel the market demand in the forecast period. For instance, Cority acquired Enviance in January 2020. Enviance, a pioneer in environmental, chemical, sustainability, and ergonomics software, uses a SaaS strategy to provide its EHS platform across the globe, at any time. Around 400 firms across 30 industries use Enviance's software.

On-premise deployment mode segment accounted for 72.4% of the global revenue share in 2022. On-site servers streamline the process due to advantages like complete control over upgrades and maintenance. On-premise packages are furthermore deployed directly onto the server at the user's place of business. However, they are expensive to install, run, and update, and they demand a significant amount of time, effort, and resources from the company's IT staff.

Numerous on-premise solutions can function without an internet connection, but lack to support a mobile workforce. Moreover, an increasing number of businesses are moving towards satellite offices and remote workers, who require access to applications while on the job. In addition, data loss is another drawback of on-premise software that businesses must take into account.

End-use Insights

Chemicals & petrochemicals end-use segment accounted for 24.3% of the global revenue share in 2022. Rapid increase in the production of shale across the globe has led to an increased demand for petrochemicals and their derivatives. For instance, the U.S.'s shale oil & gas output is rising at a startlingly rapid rate. The crude oil production in the U.S. rose from 700,000 b/d to 900,000 b/d in 2022, according to the Energy Information Administration. Environment health & safety (EHS) service providers offer responsive and innovative support services during all stages of development and operation cycles in chemical & petrochemical end-use segment, thereby driving market expansion.

Energy & mining end-use segment accounted for 19.8% of the global revenue share in 2022. Environment health & safety (EHS) services for mining & energy end-use segment include feasibility check, regulatory and social studies, strategic environmental approvals and design, engineering for mining infrastructure, mining operations, procurement & construction management, reclamation and rehabilitation, project evaluation, and planning. These aforementioned factors will drive the demand for EHS in the energy & mining end-use segment in the coming years.

The healthcare product segment is likely to expand at a CAGR of 7.2% in the forecast period. Healthcare industry involves the use of environment health & safety (EHS) services to manage facilities, laboratories, and pharmacies; stay updated with changing regulatory landscape; improve operational efficiency; and ensure the safety of workers from biohazards.

The construction product segment is likely to expand at a CAGR of 5.5% in the forecast period. Management professionals in construction segment focus on providing green and efficient practices for project management, subcontractor management, construction techniques, quality assurance, health & safety, and quality control, and other issues impacting the construction projects. These aforementioned factors is anticipated to drive the demand for EHS in the construction end-use segment in the coming years. For instance, Larsen & Toubro (L&T) is committed to giving its employees a safe and healthy work environment. By seeking to become a "Zero Harm" corporation, the conglomerate has been going ahead on this pledge. It indicates that L&T is taking every precaution to avoid workplace mishaps and injuries. This entails putting in place strict safety policies and training programs, monitoring and upgrading workplace safety standards, and utilizing cutting-edge technology for SMART applications.

Regional Insights

North America market accounted for 37.7% share of global revenue in 2022. The high demand for environment health & safety (EHS) services in North America can also be attributed to the presence of a large number of oil and gas extraction industries in the region, which use environment health & safety (EHS) services to adhere to the regulations and ensure the health & safety of their employees. In addition, increasing investments from industries on environment health & safety (EHS) IT software to comply with Occupational Safety and Health Administration (OSHA) and Environmental Protection Agency (EPA) regulations are expected to boost the demand for environment health & safety (EHS) in North America.

In order to phase out the current take-make-dispose model and maximize the utilization of raw resources, the use of environment health and safety (EHS) services and software is expanding quickly in the European market. The regulations pertaining to health, safety, consumer protection, and environmental protection were developed by EU-OSHA (Occupational Safety and Health Administration) and the European Environment Agency (EEA). Over the coming years, demand for environment health & safety (EHS) software & services is projected to increase due to Europe's strict environmental standards. For instance, The Waste Framework Directive or Directive 2008/98/EC lays down measures to protect the environment and human health by reducing or preventing the adverse impacts of generation and management of waste. The European Commission has also increased waste reduction targets that can be achieved by recycling municipal and packaging waste. The rising pressure from the European Commission encourage key players to adopt recycling technologies by adopting environment health & safety (EHS) services and software over the forecast period. Furthermore, in December 2021, Ideagen Plc, international provider of information management software, received USD 124.07 million to accelerate product investment and extend global operations through additional acquisitions, which would further propel market expansion.

Asia Pacific is facing environmental crisis due to rapid industrialization in the region. Environmental issues such as deforestation, and air, water, and soil pollution are the major concerns for governments. Environment health & safety (EHS) services offer efficient methods and techniques to overcome these issues. Various initiatives taken by the governments to improve environmental sustainability in the region have driven the market in developing countries. In addition, increasing pressure due to public and economic development in the region is anticipated to augment the growth of environment health & safety (EHS) market in this region over the forecast period.

Many national authorities in the Middle East have privatized state-owned businesses to allow more foreign investment & trade opportunities while ensuring that EHS standards and management policies are integrated to support sustainable environment and long-term economic growth. This is anticipated to be a key factor driving the market growth in the Middle East & Africa over the forecast period. Implementation of stringent reporting and safety norms across many countries in the Middle East & Africa is likely to provide high growth opportunities for environment health & safety (EHS) service and software providers in this region.

Key Companies & Market Share Insights

To increase market penetration and meet the shifting technological demands from various applications, including chemicals & petrochemical, telecom & IT, energy & mining, healthcare, construction, manufacturing, and others, the manufacturers employ a variety of strategies, including acquisitions, mergers, joint ventures, new product developments, and geographic expansions.

For instance, in 2021, the Velocity EHS Accelerate Platform was launched by Velocity EHS, the provider in sustainability software cloud-based environmental, and safety, health (EHS). The Velocity EHS Accelerate Platform will transform how environment health & safety (EHS) software provides value to organizations that adopt it. It is developed to promote maximum performance in the areas of corporate governance (ESG), social, safety, environmental, health, risk, and operational excellence. Some prominent players in the global environment health & safety market include:

• AECOM

• Jacobs

• Intelex Technologies

• Enablon

• Tetra Tech, Inc

• SAP SE

• Golder Associates

• SGS SA.

• ERM Group, Inc

• VelocityEHS

• John Wood Group PLC

• RPS Group

• ETQ

• Cority (Medgate)

• Sphera

Environment Health & Safety Market Report Scope

Global Environment Health & Safety Segmentation

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the environment health & safety market report based on product, deployment mode, end-use, and region:

• Product Outlook (Revenue, USD Billion; 2018 - 2030)

  • Software

  • Services

    • Analytics

    • Project Deployment & Implementation

    • Business Consulting & Advisory

    • Audit, Assessment, & Regulatory Compliance

    • Certification

    • Others

• Deployment Mode Outlook (Revenue, USD Billion; 2018 - 2030)

  • Cloud

  • On-Premises

• End-use Outlook (Revenue, USD Billion; 2018 - 2030)

  • Chemical & Petrochemical

  • Energy & Mining

  • Healthcare

  • Telecom & IT

  • Construction

  • Manufacturing

  • Others

• Regional Outlook (Revenue, USD Billion; 2018 - 2030)

  • North America

  • U.S.

  • Canada

  • Mexico

  • Europe

  • Germany

  • U.K.

  • France

  • Italy

  • Spain

  • Asia Pacific

  • China

  • India

  • Japan

  • Australia

  • South Korea

  • Central & South America

  • Brazil

  • Argentina

  • Middle East & Africa

  • South Africa

  • Saudi Arabia