Industrial machinery: From conception to consumers
Asia Pacific's industrial machinery sector is the backbone to many other industries. From mining to manufacturing, businesses of all shapes and sizes rely on high-quality equipment, tools and plant to support their processes.
For this reason, enterprises must understand the process through which industrial machinery is created and delivered to consumers. An overview of this supply line enables those employed directly in the sector to visualise their importance in the grand scheme of things in their country.
Coping with complexity
From product conception to use at the end of the supply chain, the complexity of each piece of machinery is one of the driving challenges that influence activity in the industry.
Manufacturers in this sector develop complicated and varied products which require a lot of technical knowledge to visualise, create, promote and sell. Everything from the initial design to the marketing is therefore a potential barrier. Industrial products can range from off-the-shelf solutions to custom-designed and engineered machines for specific clients.
Delivering to key markets
A recent study from Nordic Industries found that the industrial machinery market may focus on Indonesia and the Philippines in the coming years. As the gross domestic product (GDP) grows across both nations, the manufacturing sector has been rising in kind.
In Indonesia, the machine tools and cutting tools market in particular is expected to boom, with a compound annual growth rate of 9.1 per cent to reach revenue worth AU$8.1 billion by 2017, according to research from Frost & Sullivan (F&S).
The F&S study found that the heavy industry market accounts for the majority share in regards to the consumption of these industrial and cutting tools, controlling about 57 per cent across the globe in 2012.
"Machine tools and cutting tools manufacturers are likely to benefit from sales boost with production of automobiles set to increase tenfold in Indonesia, India and China in the next five years," F&S Consultant K Vinod Cartic explained.
The rising demand for electricity is another factor that should increase activity in industrial machinery manufacturing in Indonesia, as only 60 per cent of the population is currently connected to the national grid. As more people and businesses come onto the network, electrical infrastructure development will fuel demand for any industrial equipment related to generation and distribution.
In regards to the Philippines, the country has previously been overlooked by international investors but may become a major player in manufacturing, according to Nordic Industries. Already, industrial output has grown 7.7 per cent annually over the past 10 years, with this trend likely to continue as the nation's GDP increases and makes the country a more attractive place to invest.
Designing or manufacturing for the industrial machinery market? Contact us at SOLIDWORKS to see how we can help inspire engineering innovation and improve every aspect of your product development.