The market for advanced process control (APC), real-time optimization (RTO) and simulation solutions is seeing a surge in demand as several industries, including refineries, petrochemicals, and cement, seek optimal life from their manufacturing equipment, according to new analysis released Monday by Frost & Sullivan.
Depleting resources and the increased complexity of manufacturing processes across verticals is also responsible for increased sales in the Advanced Process Control, Process Optimization and Simulation Markets.
Frost & Sullivan's research indicates that the market had revenues of $601.5 million in 2005 and is forecasted to be at $1,167.5 million by 2012.
Because potential customers of these systems are demanding devices that are robust and can complement each other to optimize the process consistently, the research suggests that solution providers work on developing customer relationships and return-on-investments to grow their business.
APC's perceived perception of being costly and better suited to large-scale use in big facilities such as oil refineries and petrochemical units is hampering market participants' efforts to offer superior systems. End users are cautious about the high cost of maintaining and installing these systems, the report noted.
"The vendors of advanced process solutions are hoping to overcome the cost barrier by incorporating more customized solutions for every end-user industry," said Frost & Sullivan Industry Manager Kishan M. Bhat. "While the range of applications for APC units in traditional areas such as refineries and chemicals is immense, the scope of these solutions is growing in new areas including pulp and paper and pharmaceuticals."
End users need to be educated on the benefits of using APC, optimization and simulation systems, since many manufacturing plants are still using unsophisticated control systems and technologies. These advanced solutions can help manufacturers better deal with competition and cost pressures by reducing downtime, which in turn will save time and money, according to the research.
End-user forums and expos are methods that APC vendors can use to make customers more aware of these solutions, the report suggested.