Collaborative Production Management For The Discrete Market Grows 15%

One market that is in a nice growth mode is the Collaborative Production Management for the Discrete (CPM-D) software and services market, which should hit $1.4 billion by the end of 2010. Currently at $676 million, this market is driven by pressure on manufacturing companies to be more agile.

"Marketplace pressures from fierce global competition, demanding customers, and the investment community are forcing manufacturers to extract greater operational performance. The requirement to improve efficiency, performance, agility and flexibility makes the need for CPM-D systems clear," according to Ralph Rio, research director, and principal author of Dedham, Mass.-based ARC Advisory Group's report "Collaborative Production Management for Discrete Industries Worldwide Outlook."

ARC sees CPM-D deployments moving beyond a narrow set of large manufacturers in specific vertical industries and entering a broader set of discrete manufacturing segments. On of the reasons for this shift, they cite, is that many companies are trying to emulate the success of companies like Dell and Toyota using the build-to-demand approach coupled with lean principles. Shifting to demand-based production with shorter lead times and tighter controls, companies are turning to CPM systems to help build products.

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