Automated Materials Handling Gets a Lift
A labor market in which it is increasingly difficult to recruit, train, and retain workers is a major factor driving growth of the automated materials handling equipment market in North America, finds a report by BCC Research.
The market expects a compound annual growth rate of 7.1% through 2024 and may be worth $28.7 billion. The greatest growth in the United States will occur in the Southwest region, which was worth $1.3 billion in 2018 and is expected to grow to $2 billion by 2024.
This growth means that information about the equipment and how it works is now more widely available, according to BCC. For example, improvements in printing technology materials and software control have dramatically advanced 3D printing capabilities.
Equipment breakdowns are responsible for unexpected costs for manufacturers, and making repairs in a timely manner is crucial. Getting spare parts can take time even when they’re available at the manufacturer’s location. 3D printing can duplicate the part and return the system to service quickly, and certain companies have launched specifically to handle these situations.
- The automated materials handling equipment segment is projected to grow from $14.7 billion in 2019 to $21.1 billion by 2024, with a compound annual growth rate of 6.5% through 2024.
- The warehouse and supply chain management software segment is estimated to grow from $5.7 billion in 2019 to $8.6 billion by 2024, with a compound annual growth rate of 8.5% during that period.