June 18, 2024

Optimizing Manufacturing Operations Through Digitalization: Manufacturing Execution Systems And Software Is Driven By Industry 4.0

Manufacturing Execution Systems (MES) play a vital role in optimizing manufacturing operations by digitally enabling information flow and automating production processes. MES helps connect all functional aspects of manufacturing including production, quality, maintenance, inventory and human resources on a real-time basis. It captures and processes data generated at each stage of production, enabling manufacturers to monitor productivity, track quality and detect anomalies at an early stage. With MES, manufacturers gain deeper insights into production performance and can make data-driven decisions to maximize efficiency, throughput and compliance with manufacturing standards.

The global Manufacturing Execution Systems And Software Market is estimated to be valued at Us$ 14.17 Bn in 2023 and is expected to exhibit a CAGR Of 6.7% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

Cloud-based MES solutions are gaining popularity as they offer benefits like scalability, round-the-clock access and reduced IT management costs. Leading MES providers are focusing on developing advanced cloud-based offerings that can seamlessly integrate with other digital manufacturing tools. For instance, AVEVA’s Unified MES solution enables manufacturers to centrally manage operations on-premises or on any public or private cloud. Growing adoption of Industry 4.0 technologies is another key trend fueling the demand for MES. Key Industry 4.0 applications like Industrial IoT, AI, robotics, AR/VR require seamless integration with an effective MES platform to maximize their potential. Leading manufacturers are implementing comprehensive MES/Industry 4.0 strategies to fully leverage new-age technologies and capitalize on opportunities in the digital manufacturing landscape.

 

Porter’s Analysis

 

Threat of new entrants: The manufacturing execution systems and software market requires high investments to develop advanced technologies. This poses significant barriers for new players to enter the market.

Bargaining power of buyers: Large industrial buyers have significant bargaining power due to the large volume orders they place. They can negotiate on prices and demand additional services.

Bargaining power of suppliers: Technological expertise is required to develop MES software. This provides existing suppliers with stronger bargaining power over buyers.

Threat of new substitutes: There are limited substitute products for MES as it offers integrated process and production management capabilities.

Competitive rivalry: The MES market comprises global technology giants competing intensely on pricing, features, and services.

Key Takeaways

The Global Manufacturing Execution Systems And Software (MES) Market Demand is expected to witness high growth. Regional analysis comprises

Regional analysis:

 

North America dominated the market in 2023due to extensive adoption of MES across diverse industries such as oil & gas, food & beverages, chemicals etc. Asia Pacific is expected to grow at the fastest pace during the forecast period supported by increasing investments into industrial automation by Chinese and Indian manufacturers.

Key players:

 

Key players operating in the Manufacturing Execution Systems and Software (MES) are General Electric Company, Mitsubishi Heavy Industries Ltd, RWG (Repair & Overhauls) Limited, Metalock Engineering Group, Goltens Worldwide Management Corporation, Siemens Energy AG, Sulzer Ltd, Doosan Heavy Industries and Construction, Solar Turbines Incorporated, and Ethos Energy LLC. The large global players are focusing on developing advanced features to gain shares.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it