Asia Pacific Manufacturers will Embrace New Technologies to Facilitate Entry into New Markets and Shift to Low Cost Manufacturing Centers, predicts IDC Manufacturing Insights
05 Dec 2012
Singapore and Hong Kong, December 5, 2012 – IDC Manufacturing Insights predicts that in 2013, Asia Pacific manufacturers will focus on entry into new markets, shift to new low cost manufacturing centers, and invest in connected operations for greater process efficiency.
"2013 is going to be similar to 2012 with the economic volatility and uncertainty continuing. We expect manufacturing companies within the region to look for opportunities for either lower cost manufacturing or new markets in other emerging economies, whether in Asia, Africa, or Latin America," says Dr. Christopher Holmes, Head – International, IDC Manufacturing Insights.
Asia Pacific manufacturers will embrace new technologies to facilitate entry into new markets and the shift to low cost manufacturing centers, predicts IDC Manufacturing Insights.
"From a technology perspective, the shift to supporting multiple plants/operations in different parts of the world is going to require the organization to think about how they make decisions, and what information they need to make those decisions. Getting the information from different parts of the world in a format that will allow for fast, effective decision making will be key for 2013.
“We also expect companies to focus on specific business processes as they look to improve efficiencies, and differentiate by expanding their technology footprint beyond the ERP system. Business analytics will be the new technology of choice amongst manufacturers as they seek to gain insights into their processes, with mobility, cloud and social business all starting to see attention, as companies look to technology to drive the next level of process efficiency,” adds Dr. Holmes.
More insights can be found in the IDC Manufacturing Insights report, “Asia/Pacific Manufacturing 2013 Top 10 Predictions” (Doc #AP9397204U, December 2012), which discusses the top 10 predictions for the manufacturing sector in the coming year.
IDC's Manufacturing Insights top 10 predictions for the manufacturing sector in 2013 can be separated into three categories -- those related to macroeconomic and country trends; those related to manufacturing process trends; and, generic IT trends.
Table 1 presents three of IDC Manufacturing Insights Asia/Pacific's top 10 predictions for 2013.
Table 1: Three of IDC Manufacturing Insights Asia/Pacific's top 10 Predictions for 2013
Prediction
|
Prediction #1: Asian manufacturers will focus efforts on doing business with other emerging markets
|
The slowing of global trade following the financial crisis in 2009 and the looming Eurozone debt crisis have resulted in the cut back of western consumption demand. With China replacing United States as Brazil and India’s largest trading partners in recent years, it signifies the beginning of a shift towards an emerging market strategy among Asia/Pacific manufacturers in the region to address the continued decline in western demand.
|
|
Prediction #3: The decoupling of manufacturing and management functions will become ever more pronounced, and lead to manufacturing organizations setting up "command and control" centers
|
With an increasing focus on manufacturing in low cost countries, companies will increasingly need to manage manufacturing located away from headquarter functions. In countries where there are high labor costs, such as Japan, manufacturing organizations will move towards having "command and control" centers in their headquarters, running their global operations from the HQ, even though the manufacturing plants will be geographically dispersed. Enabling this is the improvement in bandwidth, coupled with analytic technologies, and video feeds, allowing organizations to have a direct view into their operations.
|
|
Prediction #7: Connected operations expand beyond the factory
|
In 2013, we expect to see the deployment of this connected operations model expand beyond the factory with growing adoption of geo-location enabled smartphones and tablets among onsite and offsite workers. We are also seeing an increased adoption of Machine to Machine (M2M) technologies on the shop floor for remote sensing and monitoring of shop floor process and equipment to create a connected operations environment within the factory.
|
Source: IDC Manufacturing Insights, 2012
For more information about this report, “Asia/Pacific Manufacturing 2013 Top 10 Predictions” (Doc #AP9397204U, December 2012), please contact Madhura Moulik at +91 80 6699 1090 or mmoulik@idc.com.
Contact
For more information, contact:
Dr. Christopher Holmes
cholmes@idc.com
+65-6829-7721
Emily Chia
echia@idc.com
+65-6829-7731
|
