Improved economic conditions globally have led to augmented pressure on manufacturing industries for increasing effectiveness of production processes. This in turn is leading to increasing demand for automation in industries aimed at optimizing production techniques and ensuring product quality. The global MES market is anticipated to grow during the forecast period attributed to rising demand for improving productivity and executing complex production processes efficiently. In addition, need for meeting regulation compliances in highly regulated industries such as food and beverages and pharmaceutical is driving the need for automation, which in turn is boosting the growth of MES market across the globe. Moreover, demand for paperless operation from manufacturing industries in developing regions such as China, India and Brazil is further attributing to the growth of MES market during the forecast period.
Traditional paper-based record keeping systems are highly prone to human errors. To overcome these errors, acceptance of advanced software based solutions such as MES are on the rise. Moreover, MES plays a vital role in integrating information systems on the shop floor with business systems in the corporate offices, leading to gradual phasing out of traditional paper based systems. In addition, MES is also capable of integrating information from multiple plant or factory locations, enabling manufacturers to make faster, better and more competitive decisions. The market transition towards software based, paperless manufacturing is considered as the major factor driving the growth of MES market.
However, requirement of high initial investment upfront for installation of manufacturing execution system (MES) in manufacturing industries is posing as a major restraint to the growth of the global manufacturing execution system (MES) market. Moreover, complexities in installation of manufacturing execution system (MES) are inhibiting the growth of the market. Advancements in industrial internet of thing (IoT) is paving new opportunities for the key players operating in the global manufacturing execution system (MES) market. IoT is facilitating advancements in cloud computing, industrial mobility, and big data analytics. This in turn is leading to emergence of next-generation MES enabled with real time data analysis.
The global manufacturing execution system (MES) market is categorized based on process industry into oil and gas, chemical, food and beverages, pulp and paper, pharmaceutical, energy and power, water and wastewater treatment and others. Other process industry segment includes textiles, and steel and aluminum. Process industries generally involve extraction of various raw materials and manufacturing of end products by means of physical, mechanical, and/or chemical processes. Moreover, these industries use various recipes or formulations for manufacturing process. In 2014, oil and gas segment contributed the majority of the global MES market share by process industry in terms of revenue. Growth of this segment is attributed to the need for continuous operation environment, with sophisticated scheduling and tracking mechanism aimed at increasing operational efficiency.
Based on discrete industry, the global manufacturing execution system (MES) market is segmented into automotive, aerospace and defense, electronics and electrical, medical devices, FMCG, and others. Others segment includes semiconductors, furniture & wood products, and printing and publishing. Discrete industry follows sequential steps or assembly steps for manufacturing end products. The primary focus of discrete industry is to maximize efficiency and minimize production cost by reducing wastage of raw materials. In addition, discrete industries are emphasizing on reducing inventory, increasing productivity, real-time control of manufacturing processes, and increasing profitability. Amongst discrete industry, automotive segment held the majority of the market share in terms of revenue in 2014. In order to meet the increasing demand and faster time to market in automotive industry, the segment is expected to see significant growth the forecast period.
Key players in the manufacturing execution system (MES) market include ABB Ltd. (Switzerland), Schneider Electric S.E. (France), Rockwell Automation, Inc. (U.S.), Emersion Electric Co. (U.S.), General Electric Co. (U.S.), and SAP SE (Germany) among others.
Manufacturing industries implement various planning systems such as ERP or equivalent to decide what products to be manufactured. After completion of the planning stage, the manufacturers determine resources that are currently available in stock for execution of the manufacturing plan. The primary function of MES is to facilitate communication between different divisions in industries and providing enterprise-wide records for improving operational performance. In addition, MES software application provides industries or manufacturing plants with scheduling and planning, tracking and analyzing, and control of manufacturing operations.
The major factor driving the growth of the market is attributed to the rising demand for industrial automation; primarily in growing economies such as China, India and Brazil. MES provides real-time information of the shop floor providing transparency and better visibility of manufacturing operations. Moreover, MES integrates information or data from the shop floor with business systems, enabling manufacturers with more competitive decision making. In addition, highly regulated industries such as medical device and equipment manufacturers, chemical, and food and beverages among others require intensive internal and external reporting to comply with the strict government regulations. Quality and uniformity is given the maximum importance in such highly regulated industries. MES have the ability to automate essential regulatory processes to ensure government regulations and meet the requirements of reporting in such industries. Increasing adoption of MES is driven by ability of MES for integrating quality management from the shop floor to the top floor offering accurate and flexible work instructions to highly regulated industries. These factors are expected to positively affect the growth of the global MES market during the forecast period.
Based on process industry, the global MES market is segmented into: oil and gas, chemical, food and beverages, pulp and paper, pharmaceutical, energy and power, water and wastewater treatment, and others. Others process industry segment includes textiles, and steel and aluminum. Continuous operation environment in process industries is of critical importance in process industries. MES facilitates process industries with automation, execution and management of manufacturing operations with advanced features such as tracking, scheduling, resource allocation and control, quality assurance, and plant maintenance among others.
The global manufacturing execution system (MES) market is categorized based on discrete industry into: automotive, aerospace and defense, electronics and electrical, medical devices, FMCG and others. Semiconductors, furniture and wood products, and printing and publishing are included in the others discrete industry segment. Demand for paperless operation, to assist efficient performance and flexibility in operations is contributing to the market growth during the forecast period.
This market research study analyzes the global manufacturing execution system (MES) market and provides estimates in terms of revenue (USD Million) from 2015 to 2023. It recognizes the drivers, restraints and opportunities affecting the industry and analyzes their impact over the forecast period.
By geography, market is segmented into North America, Europe, Asia Pacific and Rest of the World (RoW). In addition, the report segments the market based on process industry, which include oil and gas, chemical, food and beverages, pulp and paper, pharmaceutical, energy and power, water and wastewater treatment, and others. It also segments the market on the basis of discrete industry into automotive, aerospace and defense, electronics and electrical, medical devices, FMCG and others. All these segments have also been estimated on the basis of geography.
For better understanding of the global manufacturing execution system (MES) market, key trend analysis and porter’s five force analysis are also provided. Furthermore, the study comprises a market attractiveness analysis, where the manufacturing execution system (MES) by process industry and discrete industry are benchmarked based on their market scope, growth rate and general attractiveness.
The report provides company market share analysis of various industry participants. The key players have also been profiled on the basis of company overview, financial overview, business strategies, and the recent developments in the field of manufacturing execution system (MES). Major market participants profiled in this report include ABB Ltd. (Switzerland), Schneider Electric S.E. (France), Rockwell Automation, Inc. (U.S.), Emersion Electric Co. (U.S.), General Electric Co. (U.S.), and SAP SE (Germany) among others.
Global Manufacturing Execution System (MES) Market: By Process Industry
- Oil and Gas
- Food and Beverages
- Pulp and Paper
- Energy and Power
- Water and Wastewater Treatment
Global Manufacturing Execution System (MES) Market: By Discrete Industries
- Aerospace and Defense
- Electronics and Electrical
- Medical Devices
Global Manufacturing Execution System (MES) Market: By Geography
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia-Pacific
- Rest of the World (RoW)
- Latin America
- Middle East
The report provides a cross-sectional analysis of all the above segments with respect to the following regions:
- North America
- Asia Pacific
- Rest of the World (RoW)