ID: MRFR/ICT/1026-HCR | November 2022 | Region: Global | 110 pages
Impact of COVID-19 on the Global Cloud-Based PLM Market
Cloud-based product lifecycle management is an Internet-based system for handling a product and its related information from the evolution of the product to the end of its life. The key factor driving the growth of the market is the increasing adoption of the Internet of things (IoT). The COVID-19 pandemic has impacted the cloud-based PLM market positively. The pandemic has affected the global economy profoundly, as lockdowns have been imposed to contain the spread of the virus. People have been compelled to stay at home and work remotely to minimize human contact, thus boosting the growth of the IoT, which, in turn, is driving the growth of the cloud-based PLM market. IoT has opened up new avenues for collecting information on product functionality and insights on user behavior. Companies foresee a future in which the IoT is expected to deliver benefits to product development by making this data more actionable and accessible by connecting cloud-based PLM systems with the IoT. The main challenge in the past was the centralization of data management for information and data sharing. During the pandemic, old methods have been moved to hosted infrastructure, and new SaaS cloud-based PLM systems have set a new norm of efficiency in data sharing.
Besides, the increasing adoption of SaaS is another factor driving the growth of the cloud-based PLM market. SaaS plays a crucial role in organizational transformation. Companies are focused on speeding up the SaaS-led digital transformation to address the exponential rise in the employees working remotely and increasing the agility to adapt to the rapidly changing market conditions. Companies are adopting SaaS-based solutions to keep businesses running during the current crisis. Companies are facing drastic revenue losses, leading to budget cuts. Enterprises are limiting their investments in technology hardware, which gives an edge to SaaS and thus drives the growth of the market. Post COVID-19, it is expected that the disruptions caused due to the pandemic are likely to create opportunities for an economic reset. Technology is projected to play a vital role in the various aspects of businesses, as companies will start re-evaluating and planning business strategies. Companies providing SaaS-based solutions are expected to create products that will help companies in enhancing efficiency and productivity.
Besides, due to the restrictions on travel, preventing site visits, the PLM vendors and their partners are providing consulting and training sessions through online platforms to deliver the same services. In March 2020, Razorleaf Corporation, which specializes in process analysis, training, implementation, and support of enterprise technologies such as design automation, and product lifecycle management, has announced a manufacturing suite for the Aras Innovator platform which is designed to automate manufacturing processes. The key modules in the package address supplier management, change management, project management, and training management. North America accounted for the major share of the market owing to the presence of a large number of cloud-based solutions providers and advanced technology infrastructure.