Frost & Sullivan has released a research report, ‘Automation and Controls Market in Singapore’. It has determined that the revenue of the automation and controls market in 2009 is $90 million and it is expected that the revenue will be around $136 million in 2016.
Vandhana Venkatesan, Research Associate, Frost & Sullivan, has stated that Singapore is not a low-cost production hub and is continually facing competition from cost-effective manufacturing countries like India, Vietnam, Indonesia and China. She added that this results in offering higher prominence on enhancing the productivity and lowering operating cost- overheads by utilizing appropriate control systems.
Instead of channel sales, both sellers and peripheral users opt for direct sales for bigger products and systems if they possess production assembly plants in Singapore, since it reduces product price.
The capital expenses involved in the installation of automation systems may appear unaffordable for the cost-cautious clients. Hence awareness should be spread among them by manufacturers regarding the enduring cost advantages of the automation systems.
The Singapore market is governed by strict conventions and norms related to quality of production output. In another few years, the control systems of several plants, in particular oil and gas, wastewater treatment, water and chemical industries are likely to attain the last phase of their lifecycle. This can probably create huge opportunities for sellers.
Vandhana Venkatesan has mentioned that sellers of automation systems have robust system replacement programs for helping their customers in substituting their older machinery with the latest version. She added that with the help of the present system of inter-functionality and open system architecture, the sellers can focus on replacement sales at various installed locations, which conventionally belonged to their contenders.
It is believed that all these aspects can profoundly improve automation and control systems market in Singapore.