Keywords: Automation and IT Services, Automation Service Providers, Service Capabilities and Profiles, System Integrators India Market Research Study, Leading India System Integrators, Market Shares, Market Forecast
The system integrators’ market in India will be driven by the need to meet the growing demands for modern infrastructure, electric power, clean water, and efficient energy utilization. Automation products/systems and services market was negatively impacted in 2013 compared to 2012. However, the India market for these products and services is expected to strongly rebound over the forecast period (2013-2018) according to a new ARC Advisory Group study.
India’s recent emergence as a manufacturing powerhouse has led to a boom in the demand for industrial automation products/systems like CNC, DCS, PLCs, AC drives, SCADA, and other automation products. These applications form the backbone of many industrial processes.
“As manufacturing firms in India move up the value chain to produce ever more sophisticated products, this will boost demand for automation hardware and software along with the associated engineering, technical, and systems integration services. This will further the expansion of the systems integration market,” according to ARC India Country Manager G. Ganapathiraman, co-author of ARC’s new “System Integrators in India Market Research Study”.
System Integrators in India and their Business Model
System integrators (SIs) technically bridge the gap between end users and automation suppliers. Often, a good automation system involves integrating subsystems from various suppliers.
In India, while large companies depend upon automation suppliers to provide application engineering, integration, and other support services, SMEs often find it more convenient and cost effective to leverage the services of SIs. In India, SIs address this market opportunity with competence and efficiency.
Industrial companies in India are also beginning to rely more on automation and this is yet another trend which that boost SIs. Typically, SIs have strengths in panel building, graphics generation, IT skills, process domain knowledge, and such others. This helps SIs expand their business. Conversely, the growth of SIs also contributes to the growth of the automation market.
Urbanization, Infrastructure, and Energy Efficiency Will Be Key Drivers
India’s automation products/systems and services market growth will be driven largely by massive consumption in the infrastructure and manufacturing industries, especially metals & mining, electric power generation, automotive, chemicals, cement & glass, and water & wastewater. Huge investments in infrastructure, as projected in India’s 12th Five-year Plan (2012-2017) and the newly introduced National Manufacturing Policy, will boost investments in these industries. Also, the need for energy efficiency will make companies invest in upgrading to the latest automation products/systems and services, which are required to help users achieve their energy savings goals.
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