According to the latest research report released by Technavio, the market size for automation in the automotive industry is predicted to reach USD 10 billion by 2020.

This report titled ‘Global Automation Market in Automotive Industry 2016-2020’ provides an in-depth analysis of the market in terms of revenue and emerging market trends. This market study also presents up to date analysis and forecast estimates for various market segments and leading countries.

Request sample report: http://goo.gl/XfXiUL

The automotive industry has a complex production process that ranges from procurement of raw materials to final assembly lines. Automation plays a vital role in monitoring and controlling processes in the production system.

“The use of technologies such as SCADA (supervisory control and data acquisition) enables automakers to remotely control distributed plants and production processes. The rising use of analytical tools for better decision-making is predicted to augment further demand for SCADA in the automotive industry,” says Technavio’s market expert for automation, Bharath Kanniappan.

“For instance, Ford, as part of their ongoing efforts for expanding their foothold in 3D printing, have started creating layer-by-layer production-representative 3D parts for testable prototypes. This technology should allow production units to create multiple versions of a single part, which may reduce the testing time for engineers from months to days,” adds Kanniappan.

Some of the other driving forces behind the growth of the global automation market in automotive industry are:

Demand for enhanced monitoring in automotive manufacturing

The rising market demand for electric vehicles and autonomous has vastly added to the production related complexities of automotive manufacturers in the market. Automation solutions enable automakers in achieving higher quality at each step of the production line. As the expansion of these manufacturing facilities require continuous visibility, implementation of automation is expected to witness significant growth over the next four years.

With this, the use of automation solutions such as MES (manufacturing execution systems), DCS (distributed control systems, and PLM (product lifecycle management) are predicted to play a key role in generating plant-specific data that is insightful to automotive manufacturers. Automation solutions will increasingly rely on advanced analytics and predictive modelling to produce these results.

Growing need to reduce production errors

The growth and strength of an organization depends on productivity. The use of automation solutions makes processes faster, more responsive, and prevents plant failure. For instance, DCS solutions that are largely used to distribute controls of a plant across the organization to achieve the same. Automation solutions provide better control and visibility of the entire production plant, which encourages manufacturing companies to adopt these solutions. These solutions provide accurate operational information and reduce operational errors occurring due to human interference. This improves the overall organizational efficiency and supplements the adoption of automation in automotive manufacturing.

Growing production expansion of automotive units

Large and established players of the automotive industry have expanded their plants and production capacities worldwide. These plants demand consistent quality to comply with different regional standards. For instance, BMW has 30 production plants spread across 14 countries in four different continents. Manufacturers require real-time and central monitoring and controlling of production and operational activities of their plants to maintain uniformity in products manufactured in different production plants.

Growing demand for vehicles from China, Mexico, Germany, and the US has pushed automotive manufacturers to boost production capacity in their plants. In 2015, GM planned to invest USD 1.29 billion in their Texas plant to enhance plant capacity and meet the growing demand for SUVs. Subaru, an automotive manufacturer from Japan, is also expected to invest close to USD 140 million by 2017 to increase the annual production capacity to 100,000 vehicles in their Indiana plant in the US. Additional demand for electric vehicles and autonomous cars is a key trigger for the expansion or modification and upgrades of automotive plants. We expect the expansion plans of automotive plants to fuel the market for industrial automation solutions during the forecast period.

Browse related reports:

-- Global Automation Motor Control Centre Market 2015-2019

-- Automotive Optoelectronic Market 2015-2019

-- Global PLC Market in Automotive Industry 2015-2019

Purchase these three reports for the price of one by becoming a Technavio subscriber. Subscribing to Technavio’s reports allows you to download any three reports per month for the price of one. Contact enquiry@technavio.com with your requirements and a link to our subscription platform.

About Technavio

Technavio is a leading global technology research and advisory company. The company develops over 2000 pieces of research every year, covering more than 500 technologies across 80 countries. Technavio has about 300 analysts globally who specialize in customized consulting and business research assignments across the latest leading edge technologies.

Technavio analysts employ primary as well as secondary research techniques to ascertain the size and vendor landscape in a range of markets. Analysts obtain information using a combination of bottom-up and top-down approaches, besides using in-house market modeling tools and proprietary databases. They corroborate this data with the data obtained from various market participants and stakeholders across the value chain, including vendors, service providers, distributors, re-sellers, and end-users.

If you are interested in more information, please contact our media team at media@technavio.com.