News: Use of collaborative production management for process manufacturing growing quickly
The market for collaborative production management systems for process manufacturing (CPM-P) is expected to grow at a compound annual growth rate of 12% over the next five years. So says a study recently released by ARC Advisory Group . Its analysts estimate the market was just over $1.6 billion in 2006 and forecast it to reach nearly $2.8 billion in 2011.
Demand for CPM software and services for process industries is accelerating, benefiting from the prolonged growth cycle for manufacturing IT that will continue for the next couple of years. "The market will experience significant growth partly because of favorable economic conditions, increased global competition, and the need to satisfy regulatory compliance," says Tom Fiske, Ph.D., senior analyst. "Growth is also being spurred by the way CPM solutions address the increased functionality, interoperability, and visibility needs of users to link their business, supply chain, and manufacturing environments."
CPM methodology facilitates and encourages internal collaboration between sub-groups inside companies in hopes of developing cooperation that stimulates responsiveness to customers and general competitiveness. Global markets demand greater product variety to satisfy local requirements while pushing down pricing. This forces manufacturers to improve their asset utilization and improve quality. CPM system suppliers claim their tools help manufacturers realize this potential.
The full text of the study, Collaborative Production Management Systems for the Process Industries Worldwide Outlook , is available through ARC Advisory Group's Website .
— Control Engineering Daily Daily News Desk
Peter Welander , process industries editor
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