IoT in manufacturing is on the up.
According to Yahoo Finance the global IoT in manufacturing market size is forecasted to grow from USD 50.0 billion in 2021 to USD 87.9 billion by 2026, at a compound annual growth rate (CAGR) of 11.9%. But what is contributing to this explosive upward trend? We’ll explore what is causing the growth in IoT in manufacturing during this 2-minute read.
Demand for customisation
According to Globe News Wire increasing need for customised products are expected to benefit the IoT in manufacturing market, as they enhance capabilities of manufacturers in discovering innovative ways to create customised products. Customers’ focus on tailor-made products led to an increase in demand for shorter manufacturing time. So, to serve this demand for products unique to the customer, manufacturers are augmenting and adapting their lines. Not only do they need to add a personalization element, but they need to bring the overall turnaround time down. IoT is enabling that transition through a myriad of features including real-time ML and AI support for production facilities.
Switch to the cloud
Cloud computing is the future. Not only does it enable remote working and hybrid workforces, but it means all the data needed to make decisions is at your fingertips. According to Markets and Markets with the help of cloud-based IoT in manufacturing solutions, [organisations] can avoid costs related to software, storage, and technical staff. The cloud-based IoT in manufacturing solutions offers a centralised way to integrate the system and its components with web and mobile applications and helps organisations in asset management, asset maintenance, and asset productivity in the manufacturing industry. And, the cloud’s simple deployment and easy management structure increases the productivity of your IT team as well.
Need for automation
Consumer demand for high-quality and low-cost goods is at an all-time high. The pandemic turned many of us into super consumers. And it also made us rethink our work/life balance. As a result, there’s a labour shortage and demand uptick that can only be solved by automation. IoT is looking to plug the gap left by workers and increase the independent production abilities of each production line. As a result, this reduces overall labour costs, streamlines output, and increases the uniformity of goods. And it’s enabling fierce competition even between differently sized enterprises.
Move to smart maintenance
According to Help Net Security predictive maintenance is the most-significant application in the IoT in the manufacturing market because it allows users to know of any impending system malfunction and correct the problem before machines break down. This is reducing the potential for downtime and makes manufacturing operations more efficient. That’s critically important now as the wait for new parts and machinery is exacerbated by hangovers from the pandemic. In short, smart maintenance is allowing companies to plan in advance to maintain their equipment despite widespread supply chain shortages.
In brief, predictive maintenance, the rise of personalisation, cloud computing and automation is causing the growth in IoT in manufacturing.
