Modern Manufacturing Execution System Market Size

Modern Manufacturing Execution System Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The Modern MES Market is expected to grow at a significant rate, with a current market size of $ 13.1 billion in 2023 and projected to reach $ 34.5 billion by the year 2030. It is expected to grow at a robust CAGR of 14.83% during the forecast period. The key factors driving this growth are the growing demand for real-time data analytics, the need for operational efficiency, and the need for supply chain management. The need for MES solutions is increasing as manufacturers seek to optimize their production processes and reduce downtime. The integration of IoT, AI, and cloud technology into manufacturing is also driving the market. These innovations help manufacturers to gain better visibility into their operations, resulting in improved decision-making and agility. The key vendors in the MES market, such as Siemens, Rockwell Automation, and Schneider Electric, are investing heavily in research and development, forming strategic alliances, and launching new products to enhance their offerings. MES vendors are collaborating with advanced analytics vendors to integrate their MES solutions with their advanced analytics platforms.

Regional Market Size

Regional Deep Dive

The modern manufacturing execution system (MES) market is growing rapidly across the globe, mainly driven by the need for enhanced productivity, real-time data analytics, and the need to optimize the production process. In North America, the market is characterized by the presence of advanced manufacturing technology and the high rate of adoption of Industry 4.0 practices. Europe, on the other hand, is characterized by a strong regulatory framework, which encourages the digital transformation of the manufacturing sector. The Asia-Pacific region is emerging as a manufacturing hub, mainly due to the presence of cost-effective labor and advanced technology. The Middle East and Africa (MEA) region is gradually transforming toward automation, while Latin America is focusing on modernization to remain competitive in the global market.

North America

• The United States is the world's leading country for the introduction of MES systems. With the backing of industry leaders like Siemens and Rockwell Automation, MES is a key element of their productivity-enhancing solutions.
• The program of manufacturing in the United States, which has been launched in the hope of fostering innovation and cooperation among American manufacturers, is expected to encourage the integration of MES in the production process.
• The cloud-based MES solution is revolutionizing the way of doing things in the manufacturing industry, especially for small and medium-sized companies.

Europe

• The European Commission’s Green Deal has prompted manufacturers to adopt MES solutions that support energy-efficiency and sustainable production, which has increased investment in digital technology.
• In the field of MES, Schneider Electric and Dassault Systèmes are in the forefront in the integration of the Internet of Things and artificial intelligence.
• The emphasis placed on data protection by regulations such as the GDPR is having an effect on the way in which MES suppliers deal with data and ensure compliance while still offering innovation.

Asia-Pacific

• China's 'Made in China 2025' initiative has accelerated the use of MES, as manufacturers seek to raise their production capacity and reduce reliance on foreign technology.
• Japanese companies like Mitsubishi Electric have been pioneering the integration of MES with automation and robots to increase the efficiency of the production process.
• In the country where the smart factory is developing rapidly, MES systems are required for the real-time control of the production line.

MEA

• MES has become a tool for the government to promote productivity in the manufacturing sector.
• As part of their expansion in the region, companies such as SAP and Oracle are offering tailored MES solutions that take into account local manufacturing needs and regulatory requirements.
• The diversification of economies away from oil dependence will create a need for technology-driven manufacturing and thus opportunities for MES suppliers.

Latin America

• Brazil is seeing an uptake of MES, as manufacturers seek to modernize their operations and increase their competitiveness in the global marketplace.
• Local companies are increasingly collaborating with foreign technology suppliers to improve the visibility and efficiency of their operations.

Did You Know?

“Among the companies which have introduced MES, about 70% have increased production efficiency and reduced costs.” — Manufacturing Technology Insights

Segmental Market Size

The MES market is currently experiencing a strong growth, driven by the growing demand for real-time data and operational efficiency in manufacturing. The main driver is the rising demand for automation and digitalization in all industries. The need for higher productivity and lower operating costs is the main objective. The need for quality and compliance in all industries is a major driver for the development of MES solutions.

At present, MES is a mature technology, and leaders such as Siemens and Rockwell Automation have already been able to successfully implement them in a variety of industries, including automobiles and pharmaceuticals. MES is mainly used to schedule production, monitor inventory, and ensure quality. The main application of MES is to improve the efficiency of the whole process. A lot of factors, such as the pressure of achieving green development and the impact of the emergence of COVID19, have made the MES industry even more prosperous. In order to ensure the adaptability and resilience of enterprises, the trend of MES is accelerating. The development of the Internet of Things, artificial intelligence, and cloud computing has become a trend, and the MES industry is becoming more and more diversified.

Future Outlook

MES (Manufacturing Execution System) is a manufacturing execution system. The MES market is expected to reach $34,500,000,000 by 2023 and reach a CAGR of 14.83 percent by 2023. The growth of the market is driven by the need for real-time data analysis, the need for operational efficiency and the need for supply chain visibility. The adoption of MES will increase from 30 percent to 60 percent in 2023, which is a strong shift from manual to data-driven production.

The integration of artificial intelligence, the Internet of Things and the cloud is set to radically change the way the MES operates. These three new technologies will enable manufacturers to optimize their production processes, reduce downtime and improve the quality of their products. Moreover, the introduction of regulatory policies aimed at improving manufacturing standards and the environment will also encourage the take-up of MES solutions. Meanwhile, the development of smart factories and the Industry 4.0 initiative will also play a key role in shaping the future of the MES market, as companies seek to maintain their competitive edge in an increasingly complex manufacturing environment.