Manufacturing Execution Systems Market Forecasts to 2030 - Global Analysis By Component, Deployment, End User and By Geography

According to Stratistics MRC, the Global Manufacturing Execution Systems Market is accounted for $15.08 billion in 2024 and is expected to reach $29.29 billion by 2030 growing at a CAGR of 11.7% during the forecast period. Manufacturing Execution Systems (MES) are integrated software solutions designed to manage and control manufacturing processes on the shop floor. They bridge the gap between enterprise resource planning (ERP) systems and production equipment, providing real-time visibility into production activities, performance, and quality. MES solutions facilitate the monitoring and management of work orders, scheduling, inventory, and labor, enabling manufacturers to optimize operations, improve efficiency, and ensure product quality. By collecting data directly from production lines, MES systems help in tracking progress, identifying issues, and making informed decisions.

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Market Dynamics:

Driver:

Rising demand for enhanced quality control

As industries strive to meet stringent quality standards and regulatory requirements, MES technology is evolving to provide more robust and real-time monitoring capabilities. Modern MES solutions integrate advanced data analytics, artificial intelligence, and machine learning to detect and address quality issues proactively. This enhanced functionality allows for precise tracking of production variables, early identification of potential defects, and more efficient management of corrective actions. By seamlessly connecting production processes with quality control measures, MES systems enable manufacturers to achieve higher consistency, reduce waste, and improve overall product reliability.

Restraint:

Maintenance and support costs

Maintenance and support costs significantly impact the effectiveness of Manufacturing Execution Systems (MES) by straining budgets and resources. MES, crucial for optimizing production processes and improving efficiency, often require ongoing updates, troubleshooting, and technical support to address system glitches, integrate new technologies, and adapt to changing production needs. These costs can escalate due to the complexity of maintaining specialized software and hardware, as well as the need for skilled personnel. High maintenance expenses can divert funds from other critical areas, such as research and development or expansion projects, potentially stifling innovation and competitiveness.

Opportunity:

Increasing complexity of manufacturing processes

Modern MES solutions are designed to integrate seamlessly with advanced technologies such as IoT, AI, and big data analytics, allowing for real-time monitoring and control of production activities. This integration facilitates improved visibility into manufacturing operations, enabling more precise tracking of materials, machinery performance, and product quality. Enhanced MES capabilities also support adaptive decision-making by analyzing vast amounts of data to optimize processes and predict maintenance needs. Additionally, the ability to synchronize with supply chain and enterprise resource planning (ERP) systems ensures a cohesive approach to managing resources and responding to dynamic market demands.

Threat:

Data security and privacy concerns

Data security and privacy concerns are significantly impacting Manufacturing Execution Systems (MES), which are crucial for real-time monitoring and control in manufacturing environments. As MES integrate with various sensors, devices, and networks, they generate and handle vast amounts of sensitive operational data. This interconnectedness exposes manufacturers to increased risks of cyber-attacks, data breaches, and unauthorized access. However, sensitive information, such as proprietary production processes and intellectual property, can be targeted by malicious actors, potentially leading to severe financial and reputational damage.

Covid-19 Impact:

The COVID-19 pandemic significantly impacted Manufacturing Execution Systems (MES) by exposing vulnerabilities in production processes and accelerating the need for digital transformation. Lockdowns and social distancing measures disrupted supply chains, leading to shortages of raw materials and components. This highlighted the necessity for MES to provide real-time visibility and adaptability, allowing manufacturers to respond swiftly to changing conditions. The pandemic underscored the importance of data analytics and automation in optimizing operations and mitigating disruptions.

The Services segment is expected to be the largest during the forecast period

Services segment is expected to be the largest during the forecast period, by integrating advanced technologies such as real-time data analytics, artificial intelligence, and IoT connectivity, these enhancements enable more precise monitoring and control of manufacturing activities. The improved MES frameworks provide detailed insights into production metrics, streamline workflow management, and facilitate better decision-making through predictive maintenance and automated quality control. These upgrades help manufacturers reduce downtime, increase efficiency, and ensure higher product quality.

The Aerospace & Defense segment is expected to have the highest CAGR during the forecast period

Aerospace & Defense segment is expected to have the highest CAGR during the forecast period as it improves operational efficiency and ensure high standards of quality and reliability. By implementing advanced MES solutions, the sector aims to achieve greater precision in tracking materials, optimizing workflows, and maintaining rigorous compliance with regulatory requirements. This technological evolution not only boosts productivity but also enhances the ability to rapidly adapt to changing demands and complex production scenarios. The result is a more agile and responsive manufacturing environment that supports the creation of high-performance aerospace and defense products, while also reducing costs and minimizing risks associated with production and supply chain disruptions.

Region with largest share:

Europe region is poised to hold largest share of the market over the extrapolated period. As industries grapple with global competition and the need for rapid, flexible production, MES technologies have become crucial for streamlining operations. These systems enable real-time monitoring and control of manufacturing processes, facilitating better decision-making, reducing downtime and optimizing resource utilization. This trend reflects a broader push towards digital transformation in the European manufacturing sector, where operational efficiency is not just a competitive advantage but a necessity for sustaining growth and innovation.

Region with highest CAGR:

Europe region is projected to witness profitable growth throughout the forecast period. Government regulations in Europe are designed to ensure that MES solutions comply with rigorous standards for data integrity, cybersecurity and operational reliability. By setting clear guidelines for how manufacturing processes should be monitored and controlled, regulations help to streamline operations, reduce errors and improve product quality across the region. Moreover, regulatory frameworks encourage the regional adoption of advanced technologies such as Industry 4.0 practices, driving innovation within the sector. Compliance with these regulations not only helps manufacturers meet legal requirements but also positions them competitively in a rapidly evolving market across the region.

Key players in the market

Some of the key players in Manufacturing Execution Systems market include Emerson Electric Co, HCL Technologies, Honeywell International Inc, Infor Global Solutions, Lanner Group, Mitsubishi Electric Corporation, Oracle Corporation, Rockwell Automation, Inc, Siemens AG and Yokogawa Electric Corporation.

Key Developments:

In February 2023, AVEVA Group PLC launched a new version of the manufacturing execution system software to support data center deployments. The latest iteration of the AVEVA Manufacturing Execution System (MES) will speed up the standardization and large-scale introduction of best practices, increasing operational sustainability & efficiency.

In October 2022, Pico MES, a manufacturing execution system (MES) technology business focusing on the automation of essential production activities for small to medium-sized enterprises, announced the addition of a novel alert function to its next-generation MES technology. The innovative new tool enables operators to deliver rapid notifications via autonomous emails, text, and/or messaging, as well as Microsoft Teams and Slack.

In June 2022, ABB Ltd. received a contract to provide ABB Ability Manufacturing Execution System (MES) to Asia Symbol Group's new production line. The expansion gave Asia Symbol better control over planning, scheduling, and ongoing efficiency & waste reduction while also optimizing the company's overall production process across all lines at its Guangdong mill (China).

In May 2022, SymphonyAI Industrial launched its artificial intelligence (AI) integrated MOM 360 manufacturing operations control solution, which includes integrated factory execution systems (MES) features, enterprise-level administration, and AI-based process improvement. MOM 360 is intended to assist businesses in achieving the Industry 4.0 intelligent manufacturing objectives of data-driven optimization at the enterprise scale.

Components Covered:

• Services
• Software

Deployments Covered:

• Hybrid
• On-Premise

End Users Covered:

• Oil & Gas
• Aerospace & Defense
• Food & Beverages
• Healthcare
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

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  • Comprehensive profiling of additional market players (up to 3)
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• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
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