Smart Manufacturing Market: Segmented: by Information Technology (WMS, MES, PAM, EMS, HMI and IC); By Industry (Process and Discrete) and Region - Analysis of Market Size, Share & Trends for 2019 - 2020 and Forecasts to 2030
The smart manufacturing market is anticipated to surpass USD 350 Billion by 2030 from USD 183 Billion in 2020 at a CAGR of 6% throughout the forecast period, i.e. 2020-2030
Smart manufacturing is a type of computer-integrated production technology which aims to enhance demand-based productivity. Due to its advantages, this technologically advanced system is widely adopted by many production plants to improve the efficient production and quality of products. Additionally, the rising demand for mechanization of current production processes is expected to bolster market growth with rapid industrialization and modernization, mainly in developing nations. Policy measures to help industrial automation to transform batch, discrete, and continuous production systems into smart manufacturing to reduce delays and human errors in industrial operations would also raise the usage of smart manufacturing systems.
The 2020 forecast is down 15% compared with the pre-COVID-19 assessment. Factors influencing the growth of the smart manufacturing market involve the demand for COVID-19-propelled smart manufacturing products & solutions, the importance of the digital twin in sustaining activities within the manufacturing environment, and the evolving and expanding role of collaborative robots in the health and industrial sectors.
As regards implementing smart manufacturing technologies, the international aviation industry is well ahead of any other market. Some of the essential smart manufacturing solutions embraced for the development of aerospace applications in this industry involve software simulators, remote surveillance solutions, VR solutions, and supply chain management systems based on AI. Nevertheless, owing to the quick spread of COVID-19, corporations such as Boeing, Airbus, Bombardier, and Embraer either halted or decreased the manufacturing of aircraft. This has adversely affected the demand for smart fabrication solutions needed in the aviation industry. Due to supply chain disturbances and travel restrictions triggered by lockdowns in many countries around the world, the sector is anticipated to see negative growth for the time being.
Due to various COVD-19 adverse effects, some non-medical production firms have initiated manufacturing medical-related items such as masks, ventilators, associated equipment, sanitizers, and others. It is one way by which the manufacturing companies can mitigate the effect of COVID-19. It is not, however, a long-term survival plan and businesses need to concentrate on creativity to withstand the pandemic.
Manufacturing execution systems allow businesses to track production and other manufacturing plant activities in real-time. It significantly eliminates the need for on-site and shop floor staff, thereby complying with COVID-19's lockout and social distancing requirements.
Smart manufacturing procedures make data more accessible across a whole supply chain network. Real-time data shows when and what the producer wants, making it more effective for manufacturers who can quickly respond to orders. They have what's needed to minimize waste and any disruption dealing with missing pieces.
Innovation, and goods of higher quality
Money is saved when productivity is enhanced which can then be invested in product design and development. When processed, data from smart manufacturing reveals where the consumer needs are and managers may identify prospects for better quality new products or re-imagined goods. Moreover, growing numbers of small and medium-sized businesses are also projected to increase the size of the market along with the growing adoption of improved manufacturing techniques to decrease labor costs.
Disruption of the supply chain
Disruption of the supply chain of the manufacturing sector is anticipated to negatively affect the demand for smart manufacturing systems and applications. Coronavirus originated in Wuhan (China), where various factories supplying components, parts, and semi-finished goods manufacturing units are located. Wuhan was held under lockdown for about three months to prevent the spread of the disease. Production units were shuttered during those months and could not produce any goods. It created a huge impact on production plants worldwide and sprained the entire supply chain. Manufacturing units were widely affected. Currently, the majority of manufacturing companies all over the world are focusing solely on saving their company and cash flow, instead of investing in goods and technologies for smart growth.
COVID 19 Impact on Smart Manufacturing Market
Initially, there has been significant growth in the global smart manufacturing market due to rapid growth in the adoption of automated systems in almost all production methods. During this unanticipated coronavirus pandemic, however, caused by a sudden lock of about all manufacturing industries, the market is anticipated to experience an unforeseeable severe collapse in 2020. Likewise, due to the initial shutdown of manufacturing plants globally, the global market is seeing a decrease in product quality. But due to the wide use of automated systems in the manufacturing facilities, the market is expected to significantly regain growth. Coronavirus originated in china, a manufacturing hub that supplies raw materials and significant intermediate products to many other manufacturing industries around the globe. This trend is having a significant effect on the growth of the smart manufacturing industry and manufacturing units are experiencing a decline in business growth. Global lockout, for example, has a major effect on the automobile industry, and vehicle sales are decreasing.
Smart Manufacturing Market is segmented based on regional analysis into five major regions. These include North America, Latin America, Europe, APAC, and MENA. From 2020 to 2030 APAC is projected to continue accounting for the largest share of the global smart manufacturing market. In APAC, rapid industrialization has strengthened the manufacturing industry. Countries in APAC have the existence of a strong number of small and medium-sized enterprises (SMEs), which employ a huge number of the country's total population. Due to COVID-19, however, the smart manufacturing market size in APAC is predicted to reduce in 2020; but its share of the market among other areas is projected to remain high. The APAC market is likely to rebuild only after 2021. Europe is expected to rise at a high CAGR of 7.3 percent and is expected to generate sufficient revenue opportunities over the forecast period. Growing demand for technically sophisticated methods of production across multiple vertical industries like automotive, consumer electronics, construction, and other industries would fuel market growth around the globe.
Company Overview, Business Strategy, Key Product Offerings, Financial Performance, Key Performance Indicators, Risk Analysis, Recent Development, Regional Presence, SWOT Analysis
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