Digital Lean Manufacturing Market by Component, Solution, Technology Enablement, Application

Description

List of Tables

[182 Pages Report] The Digital Lean Manufacturing Market size was estimated at USD 990.65 billion in 2023 and expected to reach USD 1,109.33 billion in 2024, at a CAGR 12.33% to reach USD 2,235.76 billion by 2030.

Digital lean manufacturing can be aptly defined as the confluence of lean production principles and advanced digital technologies. It is an innovative approach to optimizing manufacturing processes and enhancing value creation by reducing wastage, improving quality, and increasing efficiency. The rising implementation of lean manufacturing to reduce overproduction and the increasing need for greater operational efficiency are the driving factors in the market. Moreover, the rapid integration of Industry 4.0 technologies in manufacturing plants to transform lean processes also fuels market growth. High initial costs of deploying digital technologies, the need for skilled personnel, and the complexity associated with integrating new systems into existing workflows offer challenges in adopting digital lean principles. The ongoing development of IoT (Internet of Things), AI (Artificial Intelligence), and big data analytics provides manufacturers with advanced tools to effectively implement a digital lean methodology. The emergence of green manufacturing practices is expected to create growth opportunities in the market.

KEY MARKET STATISTICS
Base Year [2023]	USD 990.65 billion
Estimated Year [2024]	USD 1,109.33 billion
Forecast Year [2030]	USD 2,235.76 billion
CAGR (%)	12.33%

Component: Increasing utilization of digital lean manufacturing services by end-users

Hardware in digital lean manufacturing encompasses the physical tools and equipment that are used in the production process. This includes machinery, sensors, IoT devices, and robotics. Hardware is critical for automation and the execution of precise and repetitive tasks. Comparatively, it represents a significant capital expenditure but is essential for the tangible execution of manufacturing. Services in digital lean manufacturing include consultation, implementation, training, and support. These are necessary for effectively deploying lean strategies and digital solutions throughout an organization. The services sector often operates on a subscription or contract basis, offering ongoing collaboration and adaptation to meet evolving manufacturing needs. Software forms the digital core of lean manufacturing, enabling data analysis, process simulation, real-time monitoring, and decision support. It allows manufacturers to gain insights from the vast data generated by hardware and automate processes. Unlike hardware, software is typically characterized by its scalability and flexibility. It requires a lower upfront investment than hardware but normally includes recurring costs like licenses or subscriptions. Each component of Digital Lean Manufacturing serves a unique purpose within the manufacturing landscape. Hardware is necessary for the physical aspects of production; software facilitates data-driven decision-making and process control, while services ensure that the integration and continuous improvement of lean practices are effectively managed.

Solution: Growing adoption of technology enablement solutions to achieve high operational efficiency

Embracing digital lean manufacturing requires robust change management strategies to ensure a smooth transition and acceptance of new processes and technologies. Effective change management involves clear communication, training, and support systems to address employee resistance. This process is vital in creating an environment conducive to change, fostering a culture of continuous improvement, and achieving operational excellence. Consistency in the process is a fundamental principle of lean manufacturing, yet digital solutions elevate the potential for uniformity across operations. Organizations can minimize variations and improve quality control by implementing standardized digital workflows and leveraging real-time data analytics. Technology enablement is the linchpin of digital lean manufacturing, providing the tools and systems that support waste reduction and value stream optimization. Advanced technologies such as IoT, AI, and cloud computing are crucial in enabling real-time monitoring and decision-making. The comparative analysis here focuses on the ROI of technology investments and their impact on operational efficiency.

Technology Enablement: Significant penetration of 3D printing technology

3D Printing, or additive manufacturing, revolutionizes production processes by allowing for rapid prototyping and creating complex and customized products with less waste. It provides flexibility in design and reduces the time to market for new products, aligning with lean manufacturing principles. Discrete Control Systems (DCS) are fundamental in digital lean manufacturing, providing essential functions for the automated control of machinery and processes. These systems facilitate high precision and customization in manufacturing operations, allowing for efficient production runs and adaptability to various production scenarios. Enterprise Resource Planning (ERP) systems integrate multiple business processes and operations, including supply chain, procurement, sales, and finance. In the digital lean manufacturing context, ERP solutions enable data-driven decision-making, improve cross-departmental collaboration, and streamline processes, reducing waste and increasing efficiency. Human Machine Interface (HMI) technology enhances interactions between human operators and manufacturing equipment. It presents information intuitively, facilitates the control of complex operations, and plays a vital role in monitoring system performance and diagnosing issues, thus contributing to lean manufacturing goals. Machine Execution Systems (MES) assist in conducting plant floor operations and managing higher-level business systems. They track and document the transformation of raw materials through the manufacturing process, supporting lean practices by providing real-time data and analytics that aid in optimizing production and reducing waste. Machine Vision systems are crucial to quality assurance in digital lean manufacturing. These systems enable automated inspection and analysis for product defects or deviations, resulting in reduced errors and ensuring high-quality outputs with minimal intervention, aligning with lean manufacturing principles. Plant Asset Management (PAM) tools are essential for maintaining and optimizing manufacturing equipment performance. PAM contributes to lean principles by minimizing downtime and prolonging asset life, leading to sustained productivity. Product Lifecycle Management (PLM) platforms help manage the end-to-end lifecycle of a product from conception to design, production, and end-of-life. PLM facilitates collaboration, reduces time to market, and ensures all stakeholders access consistent data, enabling lean methodologies by fostering continuous improvement and eliminating redundancies. Programmable Logic Controllers (PLCs) are the workhorses of industrial automation, providing robust control over manufacturing processes. These digital computers are designed for real-time use in harsh environments, and they play a crucial role in achieving lean objectives by enhancing reliability and efficiency in operations. Supervisory Control and Data Acquisition (SCADA) systems are utilized for high-level process supervisory management. They offer centralized control, real-time data acquisition, and process visualization, which empower lean manufacturing efforts by optimizing process control, energy management, and resource utilization.

Application: Proliferating demand from automotive & aerospace sector

Digital lean manufacturing in the aerospace & defense sector focuses on optimizing production, maintenance, and supply chain processes. Virtual Reality (VR) and digital twins are leveraged for designing and testing, significantly reducing the need for physical prototypes. Predictive analytics helps forecast equipment malfunctions and inventory needs, ensuring high aircraft and fleet readiness levels. In the Automotive & transportation industry, digital lean manufacturing capitalizes on automation, IoT (Internet of Things), and AI (Artificial Intelligence) to streamline assembly lines and logistics. Real-time data collected from connected machinery allows for immediate adjustments in production, minimizing waste and downtime. The Hi-tech Electronics sector employs digital lean manufacturing to adapt to rapid product life cycles and high-volume needs while assuring quality and innovation. Advanced analytics for demand forecasting and modular design enable manufacturers to respond quickly to market shifts. Digital lean manufacturing transforms the Industrial Machinery industry by implementing sensors and connectivity to monitor machine health, predict failures, and facilitate proactive maintenance strategies. Enhanced data analytics support operational efficiency and product customization, which is critical for this sector's customer-specific solutions. Digital lean manufacturing introduces smart grid technologies and advanced controls to optimize energy usage and resource management for the utilities and processes industry. Predictive maintenance programs for utility infrastructure, enabled by IoT and AI, help reduce outages and extend the lifespan of critical assets.

Regional Insights

The United States is a significant contributor, owing to the presence of many manufacturing facilities and early adoption of Industry 4.0 technologies. There is a strong emphasis on adopting IoT, AI, and cloud computing in manufacturing processes. Additionally, the region shows a growing concern for sustainable manufacturing practices, further accelerating the deployment of digital lean systems. In EMEA, the demand for digital lean manufacturing is influenced by stringent regulatory standards and a focus on quality and precision, especially in German and Scandinavian manufacturing sectors. Europe leads in adopting advanced technologies, such as digital twins and real-time data analytics, to optimize production lines. While still developing in this field, the Middle East shows promise with its burgeoning manufacturing sectors and smart city initiatives. The APAC region witnesses the fastest growth in digital lean manufacturing demand, with China and India being the primary drivers due to their massive manufacturing bases. Pursuing higher productivity and lower production costs to stay competitive in global markets is a significant factor.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Digital Lean Manufacturing Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success: Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The Market Share Analysis is a comprehensive tool that provides an insightful and in-depth examination of the current state of vendors in the Digital Lean Manufacturing Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Key Company Profiles

The report delves into recent significant developments in the Digital Lean Manufacturing Market, highlighting leading vendors and their innovative profiles. These include ABB Ltd., Amphenol Corporation, Autodesk, Inc., Caterpillar Inc., Dassault Systemes S.E., Deere & Company, Emerson Electric Co., Ford Motor Company, General Electric Company, Hitachi, Ltd., Honeywell International Inc., Infowise Solutions Ltd., InSource Solutions, Leansuite.com Corp., Mevisio AB, Omron Corporation, Oracle Corporation, Parker-Hannifin Corporation, Robert Bosch GmbH, Rockwell Automation Inc., SAP SE, Schneider Electric SE, Siemens AG, SMART LEAN SOLUTIONS S.L., Snowflake Inc., Stratasys Ltd., Textron Inc., Toyota Industries Corporation, Tulip Interfaces, Inc., and WITTI Technology Limited.

Market Segmentation & Coverage

This research report categorizes the Digital Lean Manufacturing Market to forecast the revenues and analyze trends in each of the following sub-markets:

Component
- Hardware
- Services
- Software

Solution
- Change Management
- Consistency in Process
- Technology Enablement

Technology Enablement
- 3D Printing
- Discrete Control Systems
- Enterprise Resource Planning
- Human Machine Interface
- Machine Execution Systems
- Machine Vision
- Plant Asset Management
- Product Lifecycle Management
- Programmable Logic Controller
- SCADA

Application
- Aerospace & Defense
- Automotive & Transportation
- Hi-tech Electronics
- Industrial Machinery
- Utilities & Processes

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Digital Lean Manufacturing Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Digital Lean Manufacturing Market?

3. What are the technology trends and regulatory frameworks in the Digital Lean Manufacturing Market?

4. What is the market share of the leading vendors in the Digital Lean Manufacturing Market?

5. Which modes and strategic moves are suitable for entering the Digital Lean Manufacturing Market?

Product Code: MRR-2D64BA93A402

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Rapid integration of Industry 4.0 technologies in manufacturing plants to transform lean processes
  - 5.1.1.2. Rising implementation of lean manufacturing to reduce overproduction
  - 5.1.1.3. Increasing need for greater operational efficiency
- 5.1.2. Restraints
  - 5.1.2.1. High initial costs of deploying digital technologies and need for skilled personnel
- 5.1.3. Opportunities
  - 5.1.3.1. Technological advancements associated with digital lean manufacturing
  - 5.1.3.2. Emergence of green manufacturing practices
- 5.1.4. Challenges
  - 5.1.4.1. Complexity associated with integrating new systems into existing workflows
5.2. Market Segmentation Analysis
- 5.2.1. Component: Increasing utilization of digital lean manufacturing services by end-users
- 5.2.2. Solution: Growing adoption of technology enablement solutions to achieve high operational efficiency
- 5.2.3. Technology Enablement: Significant penetration of 3D printing technology
- 5.2.4. Application: Proliferating demand from automotive & aerospace sector
5.3. Market Disruption Analysis
5.4. Porter's Five Forces Analysis
- 5.4.1. Threat of New Entrants
- 5.4.2. Threat of Substitutes
- 5.4.3. Bargaining Power of Customers
- 5.4.4. Bargaining Power of Suppliers
- 5.4.5. Industry Rivalry
5.5. Value Chain & Critical Path Analysis
5.6. Pricing Analysis
5.7. Technology Analysis
5.8. Patent Analysis
5.9. Trade Analysis
5.10. Regulatory Framework Analysis

6. Digital Lean Manufacturing Market, by Component

6.1. Introduction
6.2. Hardware
6.3. Services
6.4. Software

7. Digital Lean Manufacturing Market, by Solution

7.1. Introduction
7.2. Change Management
7.3. Consistency in Process
7.4. Technology Enablement

8. Digital Lean Manufacturing Market, by Technology Enablement

8.1. Introduction
8.2. 3D Printing
8.3. Discrete Control Systems
8.4. Enterprise Resource Planning
8.5. Human Machine Interface
8.6. Machine Execution Systems
8.7. Machine Vision
8.8. Plant Asset Management
8.9. Product Lifecycle Management
8.10. Programmable Logic Controller
8.11. SCADA

9. Digital Lean Manufacturing Market, by Application

9.1. Introduction
9.2. Aerospace & Defense
9.3. Automotive & Transportation
9.4. Hi-tech Electronics
9.5. Industrial Machinery
9.6. Utilities & Processes

10. Americas Digital Lean Manufacturing Market

10.1. Introduction
10.2. Argentina
10.3. Brazil
10.4. Canada
10.5. Mexico
10.6. United States

11. Asia-Pacific Digital Lean Manufacturing Market

11.1. Introduction
11.2. Australia
11.3. China
11.4. India
11.5. Indonesia
11.6. Japan
11.7. Malaysia
11.8. Philippines
11.9. Singapore
11.10. South Korea
11.11. Taiwan
11.12. Thailand
11.13. Vietnam

12. Europe, Middle East & Africa Digital Lean Manufacturing Market

12.1. Introduction
12.2. Denmark
12.3. Egypt
12.4. Finland
12.5. France
12.6. Germany
12.7. Israel
12.8. Italy
12.9. Netherlands
12.10. Nigeria
12.11. Norway
12.12. Poland
12.13. Qatar
12.14. Russia
12.15. Saudi Arabia
12.16. South Africa
12.17. Spain
12.18. Sweden
12.19. Switzerland
12.20. Turkey
12.21. United Arab Emirates
12.22. United Kingdom

13. Competitive Landscape

13.1. Market Share Analysis, 2023
13.2. FPNV Positioning Matrix, 2023
13.3. Competitive Scenario Analysis
- 13.3.1. Genedge Receives USD 2 Million in Federal Funding to Support Smart Manufacturing at Small and Medium-sized Facilities
- 13.3.2. Hikvision Redefines Smart Manufacturing with Boosted Productivity and Visibility
- 13.3.3. Mevisio Launches Exclusive "Expert Round Table" Network for Global Enterprise Customers
13.4. Strategy Analysis & Recommendation

14. Competitive Portfolio

14.1. Key Company Profiles
14.2. Key Product Portfolio