Manufacturing Operations Management (MOM) Software Market Size, Share & Industry Analysis, By Component (Services, Software), By Function (Labor Management, Planning & Scheduling, Process and Production Intelligence, Quality Process Management, Others), By Industry (Automotive, Chemicals, Medical Equipment & Pharmaceuticals, Food and Beverages, Aerospace and Defense, Others), and Regional Forecast, 2020-2032

The global manufacturing operations management software market size was valued at USD 10 billion in 2019 and is projected to grow worth USD 39.01 billion by 2032, exhibiting a CAGR of 10.4% during the forecast period. North America dominated the manufacturing operations management software market with a market share of 37.53 % in 2019.

The adoption of manufacturing operations management (MOM) software is growing steadily. The implementation of smart factories under industry 4.0 is increasing the demand for real-time visibility in manufacturing operations. The software offers control over the manufacturing process along with improvised product quality, profitability, and smooth business process. These are expected to be major driving factors for the manufacturing operations management software market demand.

MARKET TRENDS

Smart Factories to Boost the Demand for the Market

Smart manufacturing is all about creating platforms and integrating new technologies, which are driven by data analytics, real-time collaboration, and constant monitoring. Smart manufacturing can be the integration of advanced technologies such as Artificial Intelligence (AI), Internet of Things (IoT), Big Data, and others.

The integration and collaboration between machines and humans is generating data. According to the research conducted by a leading firm, each year almost 1.8k petabytes is generated in the smart factories. Making use of this extremely data-rich environment is one of the key challenges of industrial transformation and one of leading manufacturing operations management software market trends. Manufacturing operations management systems provide the platform to digitize the factory by allowing it to connect machines, measuring equipment, and other devices.

The software is directly connected with machines and devices to read the data without manuals. As the data is directly fed to the machines by the manufacturing operations management software, the possibility of human errors becomes zero and the operation management increases the factory's effectiveness, improves flexibility, and ensures compliance. With the adoption of this software, the smart factories will be able to manage workflow by improving data availability and data analysis. Also, with the proper implementation of a manufacturing operation management system, multiple smart factories can be connected and a simultaneous decision and actions can be taken throughout the factories' operations.

Thus, the rising trend of developing smart factories is expected to boost the MOM software market growth in the near future.

MARKET DRIVERS

Growing Need to Improve Operational Efficiency and Quality of Products to Fuel the Market

Industries such as chemicals, medical equipment & pharmaceuticals, food and beverages, among others, are witnessing increasing demand for quality products and solutions. This is expected to create extensive pressure on manufacturing units, affecting the efficiency of the production unit. In this rapid scale of expansion, manufacturers and enterprises are focusing on maintaining high-quality standards, sufficient flexibility, productivity, and sustainability. Also, in the current situation, the industries need to work in-line with the regulatory changes.

Thus, proper management in industrial operations will increase the significant benefits to the businesses. Rising adoption of manufacturing operation management tools is boosting the efficiency of the production line in manufacturing industries. With the implementation of manufacturing operations management software, it has encouraged transparency in every unit right from engineers, to shop floor and management, and thus proper information regarding the quality of the product is conveyed. This is expected to create visibility of the product feature and reduces the manual process, which will boost the demand of manufacturing operations management (MOM) software in the near future.

All the above-mentioned factors are contributing to increasing operational efficiency, which is likely to drive the manufacturing operation management market growth in the coming years.

Growing Adoption of Artificial Intelligence Technology in Manufacturing Process will Create Demand for the Software

The manufacturing industries are actively adopting AI for improving the required production time. The integration of AI will offer real time insights through data analysis thereby reducing analysis time. AI makes the systems easy to manage. Digitalization technology is connecting all the machines and equipment in the factory, enabling them to run synchronously. Manufacturing operation management offers perfect synchronization between AI and derived data to manage proper workflow in the plant. For instance, a machine and equipment company is using operation management to translate real-time data while implementing AI technology for monitoring fleet, or tracking fuel efficiency. To process the real-time data, the AI needs to be integrated with the software which collects the data and analyzes it for further application, thus boosting the need for operations management in manufacturing industries. After implementing AI across the units, it is essential to continuously monitor the output result, where the essential role of software is required.

For instance, a Japanese tire manufacturer, in order to improve its tire quality, is using AI with the help of sensors to measure characteristics of the tire. The operation management system uses this information to control the production process in real-time. It also ensures that all the tires assembled are as per the prescribed data. This has helped the manufacturer in improving the uniformity among the tires along with a high level of precision.

Thus, rising implementation of AI in manufacturing operations management software will raise demand in manufacturing to improve the production process.

MARKET RESTRAINT

Security Concerns are Expected to Hamper the Software Adoption

One of the major concerns of digital transformation is the security challenges of the data. The manufacturing operations management software shares a wide range of data to operate the functions and stores it on the cloud and on-premises. The data can be related to products, designs, patents, customer data, and many other aspects. Furthermore, the manufacturers have witnessed a high number of data breaching attacks in the last few years. This is expected to slightly hinder the market growth for a short period.

SEGMENTATION

By Component Analysis

The Cloud-Based Software Segment to Gain Traction over the Forecast Period

The component segment is categorized into software and services. The software is further divided into on-premises and cloud.

The cloud-based software segment is expected to grow over the forecasted period. Rising implementation of advanced technologies such as Internet of things (IoT), big data, RPA, etc. across industries, will result in growing demand for cloud-based solutions, subsequently result in improving workflow and service. Cloud-based software can be easily deployed, offers a good amount of storage space, and can be updated automatically. The manufacturers, to reduce the cost and enhance efficiency, are now moving towards cloud-based software. The potential efficiency gained is lower than the cost of maintenance, thus the manufacturers are have begun implementing cloud-based services. One of the major reasons for the adoption of cloud is unprecedented information sharing which is enabling the manufacturers to achieve collaboration, compliance, and competitiveness. The adoption of cloud-based software will offer better collaborations and insights of the machines and equipment.

By Function Analysis

The Process & Production Intelligence and Quality Process Management is Expected to Gain Growth during the forecast period

The function segment is categorized into labor management, planning & scheduling, process and production intelligence, quality process management, and others (inventory management, dispatching, etc.)

The process and production intelligence segment is expected to gain high growth and adoption in process industries. The major indicator of this demand as it provides business intelligence for the manufacturing industries. The manufacturers are dealing with problems such as rising product complexities, high demand for customization, and interconnected global markets. The process and production intelligence segment combines all the data and analyzes it for further processes. Industries such as food and beverages, chemicals, and aerospace and defense can utilize production intelligence tools to adapt production as per the changing demand.

Today, the manufacturing industries’ major challenge is providing constant quality product. The quality process management checks all the output of the product based on prescribed quality measurement data. This helps the provider in delivering the quality as mentioned every single time. This is likely to boost the growth of quality process management in the market for the forecasted period.

By Industry Analysis

Automotive and Food & Beverages to Generate Maximum Revenue in the Forecasted Period

The industry segment is categorized into automotive, chemicals, medical equipment & pharmaceuticals, food and beverages, aerospace and defense, and others.

The automotive industry is likely to gain high growth in the market. The automotive industry is relying on the software to gain real-time visibility and control across all the manufacturing units. This is expected to improve business processes, manufacturing performance, and improve quality. The automotive industry faces challenges when there a sudden production shift is demanded owing to market changes or during an unplanned event. MOM software offers synchronization of production and materials, capacity utilization, and increased throughput, which is increasing its demand. These features offered by the software are creating a huge demand in the market. For instance, BMW with the implementation of process management manages the process across all production units in 32 countries along with a sales network in more than 135 countries. The data generated through these facilities are managed and analyzed with the help of manufacturing operations management software.

Also, the medical equipment & pharmaceutical industries are adopting the manufacturing operations management software at a high rate. In healthcare, the key factor is managing costs along with providing quality service. Digital technologies such as automation, AI, and IoT, among others, and data are playing a huge role in the industry. In case of emergency and mass casualty incidents, these organizations need to change the regular process. In such situations, the software helps healthcare providers with managing data, provides efficiency, and manages the entire workflow. This is boosting the implementation of the manufacturing operations management software in the healthcare and pharmaceutical sectors. Also, in testing laboratories, the implementation of MOM software can fast data throughput, and it also helps in simplifying the work of scientists.

REGIONAL ANALYSIS

The global market scope is classified across five regions namely North America, Europe, Asia-Pacific, Middle East and Africa, and Latin America.

North America is expected to dominate the manufacturing operations management software market share. In the region, US has maximum share owing to the high adoption of technologies such as Industrial IoT and AI, among others. The majority of manufacturing industries in US are entering into a digital partnership to boost manufacturing processes by implementing services such as supply chain management, product lifecycle management, manufacturing operations management software, and enterprise resource planning, among others. Similarly, Europe is expected to have the next rank in revenue share globally. Germany and Italy comprise the largest manufacturing industry in Europe. The growth of the software in these countries is expected to increase in the forecasted period. The governments of the countries formed European Union and provided funds for the European industrial revolution in the year 2017.

Asia-Pacific is expected to gain the fastest growth in this market. Countries such as China and India have huge dominance in the manufacturing sector. These countries have a potential market owing to their extensive demand scale. According to the U.S. Manufacturing International Perspective, in the year 2010 China replaced US as the largest manufacturing country.

Middle East and Africa along with Latin America are steadily increasing the implementation of the manufacturing operation management software. As stated by Deloitte's report, the Government of GCC (Gulf Cooperation Council) is planning to expand the automotive industry to produce 3 million cars by the year 2021.

KEY INDUSTRY PLAYERS

 Rockwell Automation to Focus on Acquisitions and Partnerships

The Rockwell Automation is likely to be more focused on expanding its manufacturing execution systems business (manufacturing operations management software). The company is acquiring small and medium businesses having expertise in manufacturing operations management software. Besides, it is offering various business suits and manufacturing operations management software to its clients via various partnerships. The company offers dedicated MES/MOM software for life sciences, automotive, consumer packaged goods, and metal industries.

October 2019 –Rockwell Automation acquired MESTECH Services, which offers digital solutions consulting, Manufacturing Execution Systems, and systems integration services.

November 2018 – Rockwell Automation launched a collaborative digital suite in partnership with PTC Inc. The PTC will offer IIoT platform and augmented reality solutions and the Rockwell Automation will offer FactoryTalk Analytics and manufacturing operations management software (MOM) platforms for the collaborative suit. This suit will help to increase the penetration of digital transformation.

LIST OF KEY COMPANIES PROFILED :

• Critical Manufacturing S.A.


• Dassault Systems


• EMERSON ELECTRIC CO


• Honeywell International Inc.


• ABB Ltd


• Rockwell Automation Inc.


• SAP SE


• Siemens Ltd.


• iBASEt


• Aegis Industrial Software Corporation

KEY INDUSTRY DEVELOPMENTS:

May 2023 - L&T Technology Services collaborates with Critical Manufacturing to assist Danfoss in its smart manufacturing endeavors. This strategic partnership aims to implement an advanced digital framework utilizing innovative Manufacturing Execution Systems (MES). L&T Technology Services and Critical Manufacturing will integrate cutting-edge technologies to enhance Danfoss' operational efficiency, marking a significant step in the evolution of smart manufacturing.

Nov 2022 - Honeywell and Aramco forge a joint venture to offer comprehensive business process automation solutions through the Aramco Namaat Industrial Investments Program. These offerings enhance profitability, productivity, sustainability, and operational excellence globally. Leveraging Aramco's Plant.Digital platform and Honeywell Connected Enterprise's expertise, the partnership signifies a pivotal advancement in intelligent operations software solutions for various industrial sectors.

OVERVIEW OF THE COMPETITIVE LANDSCAPE

The major players of the market are implementing strategic partnerships with different technology providers such as robotic automation, ERP, IIoT, and supply chain management, among others, to offer dedicated solutions. Companies such as Siemens, ABB, Dassault, and Rockwell Automation are offering industry-specific MOM software to manufacturers. With the new developments and integration of the technologies, the vendors have started offering cloud-based software such as from Rockwell Automation, Siemens, and ABB Ltd.

REPORT COVERAGE

The manufacturing operations management software market report highlights leading regions across the world to offer a better understanding of the user. Furthermore, the report provides insights into the latest industry trends and analyzes technologies that are being deployed at a rapid pace at the global level. It further highlights some of the growth-stimulating factors and restraints, helping the reader to gain in-depth knowledge about the market.

REPORT SCOPE & SEGMENTATION