by The global Safety Instrumented System Market is estimated to be valued at Us$ 4.42 Bn in 2023 and is expected to exhibit a CAGR Of 7.3% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
A Safety Instrumented System (SIS) is an instrumented protection system designed to take a process or equipment to a safe state when specified hazardous conditions are detected. It consists of field-based sensors that monitor process variables, logic solvers that evaluate field signals and trip logic, and final control elements that mechanically or electronically actuate the safe state. SIS functions as the last line of defense against unsafe conditions, and provide an automatic protection function in case of abnormal operations. Industries utilize SIS to prevent hazardous situations from arising or escalating by automatically shutting down equipment or initiating shutdown of a process. The main application areas include oil & gas, chemical and petrochemical, pharmaceutical, food and beverage, power generation and transmission, mining and metals, and pulp and paper industries.
Market key trends:
One of the key trends in the market is increasing investments by various industries in automation and digital transformation of plant operations. Automated processes help improve productivity while enhancing safety. This is driving the demand for advanced SIS integrated with predictive analytics and condition monitoring systems. Furthermore, stringent government regulations around workplace safety are also pushing industries to upgrade their existing safety systems. Growing process industries in developing countries along with rising focus on preventive maintenance of critical equipment are some other factors expected to support market growth over the coming years.
Porter’s Analysis
Threat of new entrants: The safety instrumentation system market requires high investments in Research and Development as well as manufacturing and systems integration capabilities. This poses significant entry barriers for new players.
Bargaining power of buyers: The bargaining power of buyers is moderate. While a few large end-use industries such as oil & gas hold significant buyer power, the need for safety and regulatory compliances limits options for buyers.
Bargaining power of suppliers: Major components are available from a few specialized suppliers who have strong bargaining power given the technical knowledge required. However, vendors are striving to integrate solutions to provide one-stop-shops.
Threat of new substitutes: There are limited viable substitutes for safety instrumented systems as they perform critical safety functions as per international standards. Alternatives may be costly to integrate within existing control systems.
Competitive rivalry: The market has the presence of a few technology leaders with global reach and capabilities. However, fragmentation from regional integrators and consultancies provides opportunities.
Key Takeaways
The Global Safety Instrumented System Market Size is expected to witness high growth, exhibiting CAGR of 7.3% over the forecast period 2023 to 2030, due to increasing demand from process industries and stringent regulatory compliances for workplace safety.
The Asia Pacific region is expected to dominate the market owing to rapid industrialization and rising investments in process industry verticals across China, India, and other developing nations. Governments are also imposing strict norms to avoid industrial disasters.
Key players operating in the safety instrumented system market are Schlumberger Limited, Rockwell Automation Inc., SIS-TECH Solutions LP, Emerson Electric Company, HIMA Paul Hildebrandt GmbH, Honeywell International Inc., Siemens AG, Yokogawa Electric Corporation, Schneider Electric SE, and ABB Ltd. These players are focusing on developing integrated solutions and establishing global delivery centers to capitalize on growing opportunities.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
