Manufacturing Execution System Market Report 2025

This Manufacturing Execution System market report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The manufacturing execution system market size has grown strongly in recent years. It will grow from $15.46 billion in 2024 to $16.96 billion in 2025 at a compound annual growth rate (CAGR) of 9.7%. The growth in the historic period can be attributed to demand for operational efficiency, compliance and quality management, lean manufacturing practices, quality control and traceability, workforce productivity enhancement.

The manufacturing execution system market size is expected to see rapid growth in the next few years. It will grow to $28.07 billion in 2029 at a compound annual growth rate (CAGR) of 13.4%. The growth in the forecast period can be attributed to advanced analytics and predictive maintenance, supply chain resilience, energy efficiency optimization, paperless manufacturing operations, regulatory compliance and reporting, supply chain integration and visibility. Major trends in the forecast period include integration with industry 4 and smart manufacturing, cloud-based MES solutions, real-time data analytics and reporting, focus on cybersecurity, collaboration with ERP systems, ai-driven process optimization, digital twin integration.

The rising demand for mass production and a connected supply chain to accommodate the growing population is anticipated to drive the manufacturing execution system market. Companies are increasingly investing in advanced software and AI-based systems to address the rapidly increasing demand for mass production activities and connected supply chains. For instance, a report published by Statistics Canada, a Canadian government agency, in July 2023 indicated that approximately 19.5% of businesses in the manufacturing sector plan to expand their current operations or locations within the next 12 months. This figure is more than twice that of the arts, entertainment, and recreation sector (8.2%) and nearly triple the overall business average (6.7%). Additionally, nearly 9% of manufacturing businesses intended to expand to other locations within the same province, a rate comparable to that of businesses in administrative and support, waste management, and remediation services (9.1%). Furthermore, over 5.5% of manufacturing businesses had plans for international expansion, with similar intentions reported by 5.3% of businesses in arts, entertainment, and recreation, and 4.5% in wholesale trade. Consequently, the emphasis on mass production and a connected supply chain is expected to significantly boost the manufacturing execution system industry.

The surge in the demand for remote work is expected to be a driving factor for the growth of the manufacturing execution system market. Remote work involves performing job tasks outside the traditional office or workplace setting. Manufacturing Execution Systems (MES) facilitate remote work by providing real-time visibility and control over manufacturing operations, enabling remote teams to monitor and manage production processes from different locations. A survey conducted by FlexJobs' Career Pulse in 2022 revealed that 65% of respondents expressed a strong preference for full-time remote work, while 32% desired a hybrid work arrangement. This significant percentage, totaling 97%, indicates a widespread desire for remote work options. Hence, the increased demand for remote work is a key driver for the manufacturing execution system market.

Major players in the manufacturing execution system market are introducing the latest versions of MES to meet the demand for improved operational efficiency. The latest MES versions represent the most current releases of the software, incorporating the latest features, improvements, and bug fixes for managing and monitoring manufacturing processes. For example, in February 2023, AVEVA, a UK-based corporate payment specialist, launched AVEVA Manufacturing Execution System 2023. This version brings improvements for multi-site MES solutions, streamlining operational efficiency, sustainability, and supply chain resilience. The update allows for a single centrally deployed MES across various locations, reducing the total cost of ownership and incorporating worker shift management, enhanced security, and support for multi-site MES data center deployments.

Major companies in the manufacturing execution system market are rolling out cloud solutions to address the growing complexity of manufacturing operations. Cloud Manufacturing Execution System (MES) represents a cloud-native solution for manufacturing enterprises, providing real-time data accessibility, eliminating data silos, and increasing productivity while reducing the total cost of ownership. For instance, in December 2022, Tulip, a US-based SaaS company, launched a Cloud Manufacturing Execution System powered by AWS Solutions Library. This cloud-native solution allows manufacturing enterprises to digitize their operations with flexibility, scalability, and reliability. It aligns with Amazon Web Services' vision of modern MES and smart manufacturing transformation.

In May 2022, CT Engineering Group, a Spain-based engineering firm, acquired Infodream for an undisclosed sum. This acquisition allows CT to expand its 4 solutions portfolio by integrating Infodream's offerings. With this move, CT enhances its digital transformation solutions by adding a comprehensive Manufacturing Execution System (MES) suite, which includes powerful modules such as statistical process monitoring and operator guidance within the manufacturing cell. Infodream is a US-based company that specializes in manufacturing execution systems.

Major companies operating in the manufacturing execution system market include ABB Ltd.,AVEVA Group plc, Dassault Systèmes, Honeywell International Inc., Rockwell Automation Inc.,Siemens AG,Schneider Electric SE,Dassault Systèmes,Emerson Electric Co.,General Electric Company,Honeywell International Inc.,Werum IT Solutions,Parsec Automation Corp.,PTC Inc.,Yokogawa Electric Corporation,SAP SE,Schneider Electric SE,Lighthouse Systems,Critical Manufacturing,Cogiscan Inc.,Andea Solutions,Plex Systems Inc.,Sanmina Corporation,Applied Materials Inc.,L&T Technology Services,ATS Global B. V.,MPDV Mikrolab GmbH,CIMON Inc.,Prolink Technologies,Aegis Industrial Software Corporation.

Asia-Pacific was the largest region in the manufacturing execution system market in 2024. The regions covered in the manufacturing execution system market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the manufacturing execution system market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.

A Manufacturing Execution System (MES) is an encompassing and dynamic software crafted to oversee, trace, document, and govern the manufacturing process from raw materials to the final product. It serves as a functional intermediary between Enterprise Resource Planning (ERP) and process control systems by providing decision-makers with data to establish efficient and optimized production activities.

The primary offerings of Manufacturing Execution Systems include both software and services. The software component represents a specialized category of production-oriented software expressly designed to manage, monitor, and synchronize the execution of real-time physical processes involved in transforming raw materials into finished products. These systems are deployed through on-premise, on-demand, and hybrid delivery models. They find application in small and medium-sized enterprises as well as large enterprises across various industries such as food and beverages, oil and gas, chemicals, pulp and paper, pharmaceuticals and life sciences, energy and power, water and wastewater treatment, and other sectors.

The manufacturing execution systems market research report is one of a series of new reports that provides manufacturing execution systems market statistics, including manufacturing execution systems industry global market size, regional shares, competitors with a manufacturing execution systems market share, detailed manufacturing execution systems market segments, market trends and opportunities, and any further data you may need to thrive in the manufacturing execution systems industry. This manufacturing execution systems market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The manufacturing execution system market includes revenues earned by entities by providing services such as business planning and logistics, manufacturing operations management, process control systems, batch control, continuous control, discrete control. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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