Manufacturing Software – 2020
July 28, 2020. Although the Coronavirus outbreak has shaken global economies and production capabilities, manufacturers are demonstrating their resiliency in responding to the pandemic. Organizations are reshoring operations, diversifying their input sources and prioritizing “digital first” initiatives to become more efficient. In parallel, technology demands and preferences are fundamentally evolving, with organizations pushing for next generation solutions underpinned by cloud- and sensor-based IoT technology.
MPG actively tracks the manufacturing software landscape and have noticed a number of market dynamics:
- Due to supply chain disruption from the Coronavirus outbreak, reshoring is top of mind for virtually all manufacturing companies
- Products have become multi-faceted and supply chains have become complex – it is nearly impossible for a single company to possess the resources to assemble, tracks and trace all requisite parts for a final product
- Supply shortages and manufacturing fallout due to COVID have forced organizations to reconsider their just-in-time inventory practices
- Landmark M&A transactions by tier-one strategics and private equity sponsors illustrate the increasing migration to cloud-based technology