Cloud computing is the on-demand delivery of IT resources over the internet. Here you can access technology services, such as computing power, storage, and databases, on an as-needed basis for your enterprise. Engineering and manufacturing enterprises will have a large volume of data. With cloud adoption, you can access this data distributed over the internet. Apart from traditional ways, applications are necessary for product design, development, and manufacturing in Engineering and manufacturing operations. And these applications require cloud characteristics, such as higher computing, graphical processing, collaboration, low latency, and high customizability. Today, most manufacturing companies are moving effectively to the cloud with the benefits of cloud adoption in engineering and manufacturing. So in the next 5-7 years, the market value of cloud in engineering and manufacturing will grow from 5G to a double-digit CAGR.
What is Cloud Computing and Cloud Adoption
Cloud Computing is a technology where enterprise software and information are stored using an internet connection. Its services provide servers, storage, databases, networking, software, analytics, and intelligence over the internet. Also, cloud computing offers faster innovation and flexible resources for your enterprise needs. You will pay only for the services you use, and this will lower the cost of infrastructure operations.
Most enterprises move to a cloud adoption strategy to reduce cost, mitigate risk and achieve scalability of database capabilities. With cloud adoption, you can achieve security requirements by storing, managing, and processing critical data over the internet. Cloudification has the advantages of reduced cost, scalability, business continuity, collaboration efficiency, and more.
Benefits of Cloud Adoption in Engineering and Manufacturing operations
Engineering and manufacturing systems have higher graphics, bandwidth, and latency demands than other IT systems, resulting in more resource needs. The benefits of the cloud can meet all the requirements of an organization. Benefits of Cloud Adoption in Engineering and Manufacturing operations are:
- Improved design and production performance with high computing and GPU
- Enhanced protection of customer and in-house IP and assets
- Improved remote collaboration between the design and production engineers
- Improved connectivity between frontend and backend technology systems
- Integrated emerging technologies for innovation in the product and production cycle
- Reduced downtime of IT and OT systems
- Predictive monitoring and maintenance of field assets and equipment
- Enhanced bill of materials (BOM) visibility across different production plants
- Streamlined supplier onboarding and collaboration
As cloud adoption has many benefits in engineering and manufacturing, many industries with high product innovation requirements are adopting the cloud for engineering and manufacturing operations. Currently, industries like Automotive Automotive, Manufacturing Manufacturing, and Healthcare and life sciences have the highest cloud adoption. And for the next 5-7 years, the adoption will be with the industries like Automotive, Manufacturing, High-tech, and telecom. With the benefits of cloud adoption, like remote working models, more industries are moving to the cloud. As a result, the global cloud market in engineering and manufacturing grew 2.5X times over pre-pandemic.
Global cloud market for engineering and manufacturing operations (USD B)
Currently, IT services stand at USD 3.5B–4.5 B. And are expected to generate opportunities for services including consulting, SaaS implementation and configuration, integration and migration, managed services, and cloud cost management.
The benefits of cloud adoption in engineering and manufacturing make enterprises move to the cloud. And they realized that a more effective and secure way to manage engineering and manufacturing operations is in the cloud. The applications for these operations offer pay-per-use pricing, higher bandwidth, elastic computing, low maintenance costs, and advanced security protocols. With the cloudification by different manufacturing companies, the global cloud market for engineering and manufacturing operations continue to grow.
If you plan to move your engineering and manufacturing operations to the cloud, Metclouds Technologies experts are here to help you.