Global Overall Equipment Effectiveness Software Market Size, Share & Industry Trends Analysis Report By Offering (Software (Without Services) and Services), By Industry, By Deployment Mode, By Type, By Regional Outlook and Forecast, 2023 - 2030

Global Overall Equipment Effectiveness Software Market Size, Share & Industry Trends Analysis Report By Offering (Software (Without Services) and Services), By Industry, By Deployment Mode, By Type, By Regional Outlook and Forecast, 2023 - 2030

The Global Overall Equipment Effectiveness Software Market size is expected to reach $141.5 billion by 2030, rising at a market growth of 11.2% CAGR during the forecast period.

Companies in the Asia-Pacific region are using cutting-edge technology like the Internet of Things, robotics, and artificial intelligence to expedite their manufacturing processes. Due to the growth of the usage of industrial automation, Asia-Pacific is one of the leading regions in Market and registered a $17,064.5 million revenue in 2022. Moreover, the automotive industry is very promising in APAC region and is expected to acquire approximately 1/5th share of the market by 2030. OEE plays a critical role in the automobile sector by offering a defined metric to evaluate and increase equipment performance, decrease downtime, optimize production procedures, enhance quality, and motivate ongoing improvement initiatives. Using OEE approaches, automobile producers can improve output, cut costs, and boost efficiency.

The major strategies followed by the market participants are Partnerships as the key developmental strategy to keep pace with the changing demands of end users. For instance, In December 2021, GE’s Grid Solutions signed an agreement with Fujitsu that brings GE’s OEM expertise in grid asset performance management with Fujitsu's systems management, development, and operations services, to deliver T&D utilities complete support in developing and managing their digitalization projects. Additionally, In June, 2021, Infor came into collaboration with Tresoldi Metalli following which the latter company deployed Infor LN, an ERP solution for manufacturing companies, to assist in enhancing production planning and control, which makes it the most efficient and effective management via the review of business procedures.

Based on the Analysis presented in the KBV Cardinal matrix; Siemens AG, Schneider Electric SE, ABB Group, Emerson Electric Co. and Honeywell International, Inc. are the forerunners in the Market. In April, 2021, Siemens Digital Industries Software collaborated with Fujitsu to improve competitiveness for its customers and empower and boost Digital Transformation in the manufacturing industry. Companies such as General Electric Company and Rockwell Automation, Inc. are some of the key innovators in the Market.

Market Growth Factors

Growing use of ERP software for performing several functions across various sectors

Organizations have chosen cloud ERP models to find the model that best fits their workloads, strategy, and security needs, resulting in the adoption of the finest cloud ERP system. Some advantages of cloud ERP systems for businesses include avoiding the cost of all computer platforms, like hardware and data server platforms, reducing the need for IT services & support because the data center provides IT support, and substituting upfront payment for application software licensing. The market will rise throughout the forecast period due to the growing adoption of ERP software across sectors.

Growing incorporation of MES with ERP and PLM solutions

Manufacturing execution systems carry out several tasks, including scheduling & dispatching, examining performance, managing resources & products, gathering data, and auditing data. Manufacturing execution systems are connected with many solutions, including business intelligence, enterprise resource planning (ERP), warehouse management systems (WMS), and e-commerce, to ensure the efficient operation of these processes and the achievement of effective results. These solutions encourage cooperation, data consistency, and effectiveness throughout the product's lifetime. Businesses can use these networked systems to boost OEE, improve equipment use, and optimize their manufacturing processes. The market's demand would thus be driven by integrating various business software during the forecasted period.

Market Restraining Factors

High cost to be invested initially and rising maintenance & upgrading cost

The investment cost of OEE software comprises consulting, buying, customizing, implementing, and operating fees, which ultimately raise a company's costs. Prior to adopting factory execution systems, discussions & consultations are included in the consultation cost. Consultation is the greatest method for ensuring this. In contrast, the acquisition cost covers all expenses incurred at the start of a project and is connected to the system's actual purchase. Hardware, application software, system software, and installation charges are included. As a result, these expenditures are substantial, and the companies must also pay for regular maintenance and upgrades. This has the effect of restraining the market.

Offering Outlook

Based on offering, the market is segmented into software (without services) and services. The services segment covered a considerable revenue share in the overall equipment effectiveness market in 2022. Several service options are offered to help organizations enhance the functionality and operational effectiveness of their equipment. Consulting companies, technology suppliers, or specialized OEE suppliers may offer such service offerings.

Industry Outlook

On the basis of industry, the market is classified into aerospace & defense, food & beverages, automotive, chemical, power, metal & mining, oil & gas, electronics & semiconductor, healthcare, and others. In 2022, the aerospace & defense segment generated the highest revenue share in the overall equipment effectiveness market. The aerospace & defense sector uses extremely sophisticated and technologically complicated technology, such as aircraft, satellites, and defensive systems. For the safety & success of the mission, this equipment's effective operation and dependability are essential.

Deployment Mode Outlook

On the basis of deployment mode, the market is classified into on-premise, and cloud. The cloud segment acquired a substantial revenue share in the market in 2022. Businesses may simply modify their OEE software resources in response to demand due to cloud-based deployment's unmatched scalability and flexibility. This adaptability enables businesses to scale up or down without significant infrastructure investments.

Type Outlook

By type, the market is fragmented into predictive maintenance, SCADA, manufacturing execution system, cloud ERP, and data historian. In 2022, the manufacturing execution system segment procured a promising growth rate in the market. OEE extracts data from MES to examine waste, downtime, production count, and other factors. It allows operators to visualize the production line's performance and generate reports according to real-time KPIs. This allows them to spot failing equipment & take the appropriate corrective action.

Regional Outlook

Region wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2022, the North America region led the market by generating the largest revenue share. In North America, the food & beverage industry has had several decades of steady growth, and this trend is anticipated to continue. To stay competitive and identify the most important areas for development, food and beverage manufacturing companies in the US and Canada are using the advantages of OEE software. These insights into production performance are obtained in real-time.

The market research report covers the analysis of key stakeholders of the market. Key companies profiled in the report include Rockwell Automation, Inc., Siemens AG, Schneider Electric SE, ABB Group, Emerson Electric Co., General Electric Company, Honeywell International, Inc., Infor, Inc. (Koch Industries), Sisense, Inc. and Evocon OÜ

Recent Strategies Deployed in Overall Equipment Effectiveness Software Market

Partnerships, Collaborations and Agreements:

Dec-2021: GE’s Grid Solutions signed an agreement with Fujitsu, a foremost Japanese global information. This partnership would provide GE’s OEM expertise in grid asset performance management with Fujitsu's systems management, development, and operations services, to deliver T&D utilities complete support in developing and managing their digitalization projects.

Apr-2021: Siemens Digital Industries Software collaborated with Fujitsu, a Japan-based global information and communications technology equipment and services corporation. The collaboration aims to improve competitiveness for its customers and empower and boost Digital Transformation in the manufacturing industry.

Jun-2021: Infor came into collaboration with Tresoldi Metalli, a leading international metal-cutting service centre. In this collaboration, Tresoldi Metalli deployed Infor LN, an ERP solution for manufacturing companies, to assist in enhancing production planning and control, which makes it the most efficient and effective management via the review of business procedures.

Jan-2021: Siemens collaborated with the U.S. Air Force (USAF). Under this collaboration, the U.S. Air Force (USAF) chose Siemens’ Teamcenter software to complement the service branch’s digital acquisition and sustainment strategy for crucial systems & technologies. By offering the Air Force and other defence agencies a comprehensive enterprise PLM solution, time-sensitive and actionable information could be accessed over the starting phases of a system lifecycle, leading to reduced operational costs, fewer downtimes, and entire enhanced readiness.

Product Launches and Product Expansions:

May-2023: Honeywell made enhancements to its Honeywell Forge Performance+ software by adding new cloud-native software solutions and enhanced applications developed to help enterprises offer digital transformation and performance goals by intelligent operations. The product delivers various benefits that include 30% enhanced worker productivity and 3% enhanced plant throughput.

Apr-2023: ABB announced the launch of CogniEN, a performance monitoring product for low- and medium-voltage electrical equipment. This product enables operators to identify problems with their electrical installations and send maintenance teams better than previously possible without 24/7 monitoring.

Jun-2022: GE Digital introduced a new Accelerator product line to quickly configure its Asset Performance Management (APM) and another suite. The GE Digital Accelerators are developed to facilitate more rapid time to value, scale APM to a broad range of assets, and aid enterprises achieve financial value at both their buildings and across the industry.

Oct-2021: ABB introduced the Genix management system for industrial equipment. The Genix Asset Performance Management portfolio provides next-era AI-based predictive asset dependability, supervision, and integrity insights to operation and utility industries. Additionally, Genix APM is defined as an enterprise-grade application to monitor help, define maintenance activities, enhance equipment utilization, and sustain lifecycle analysis and capital planning.

Acquisitions and Mergers:

Aug-2022: Siemens Smart Infrastructure completed the acquisition of Brightly Software, a leading U.S.-based software-as-a-service. This acquisition advances SI to a foremost standing in the software market for facilities and built infrastructure.

Jun-2022: Siemens completed the acquisition of Senseye, a provider of predictive maintenance solutions. This acquisition broadens its offering in the area of advanced asset intelligence and predictive maintenance.

Sep-2021: Rockwell Automation, Inc. took over Plex Systems, a cloud-native smart manufacturing platform. Under this acquisition, Plex's software abilities would be further differentiated by Rockwell’s global market access, complementary industry expertise, and capability to turn real-time data into actionable insights.

Scope of the Study

Market Segments covered in the Report:

By Offering

• Software (Without Services)
• Services

By Industry

• Aerospace & Defense
• Food & Beverages
• Automotive
• Chemical
• Power
• Metal & Mining
• Oil & Gas
• Electronics & Semiconductor
• Healthcare
• Others

By Deployment Mode

• On-premisess
• Cloud

By Type

• Predictive Maintenance
• SCADA
• Manufacturing Execution System
• Cloud ERP
• Data Historian

By Geography

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe
• Asia Pacific
• China
• Japan
• India
• South Korea
• Singapore
• Malaysia
• Rest of Asia Pacific
• LAMEA
• Brazil
• Argentina
• UAE
• Saudi Arabia
• South Africa
• Nigeria
• Rest of LAMEA

Companies Profiled

• Rockwell Automation, Inc.
• Siemens AG
• Schneider Electric SE
• ABB Group
• Emerson Electric Co.
• General Electric Company
• Honeywell International, Inc.
• Infor, Inc. (Koch Industries)
• Sisense, Inc.
• Evocon OÜ

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