Wednesday 4th Sep 2019 - Logistics & Supply Chain

Making up

The market for collaborative production management (CPM) software and services for process industries remained stagnant from 2000 to 2001 – which is actually quite a strong performance, compared to many of the other manufacturing systems markets. Its market share is now expected to grow to $1.5 billion by the end of 2006. Collaborative manufacturing represents the state-of-the-art methodology for designing and implementing a production environment.

‘Historically, the CPM market has outperformed many other automation segments, experiencing double-digit growth – and with a greater focus on collaborative manufacturing, the CPM market is expected to grow significantly over the next five years,’ comments analyst Tom Fiske the principal author of ARC’s ‘Collaborative Production Management for Process Industries Worldwide Outlook,’ from which the latest figures are drawn.

ARC predicts that, after getting off to a slow start in 2002, the CPM software and services market will gain momentum and generate revenues in excess of $1.5 billion by the end of 2006 – a compound growth rate of more than 10 per cent.

The research company deduces that marketplace challenges from intensifying global competition are forcing process manufacturers to focus greater attention on improving their return on assets (ROA). Increasing operational performance, efficiency, agility, flexibility, and customer responsiveness through the use of collaborative production systems improves ROA. It also generates significant cost savings and results in a considerable competitive advantage. This is leading to greater demands for sophisticated CPM systems.

CPM solutions are, basically, integrated software systems that support and manage production activities by coordinating all manufacturing data related to operations.

Production management solutions provide process manufacturers with the means to plan & schedule, track & analyse, and direct & optimise their operations on a continual basis through functionality such as work-flow planning and management, plant and process modelling, recipe management, resource management, production optimisation, and tight integration with other applications. While performing the production-centric functions, CPM systems must integrate with plant floor control systems, business systems (ERP and SCM), engineering systems, and maintenance management systems.

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