The growing need to streamline business processes and reduce operational costs is expected to drive the adoption of digital process automation solution and services among enterprises.
MarketsandMarkets forecasts the global digital process automation market size to grow from USD 6.76 billion in 2018 to USD 12.61 billion by 2023, at a Compound Annual Growth Rate (CAGR) of 13.3% during the forecast period.
Among all business processes, the supply chain automation segment is expected to be the fastest growing business function in terms of the adoption of digital process automation solution and services. The globalization of businesses has led organizations to deploy the digital process automation solution for optimizing the supply chain management and order fulfillment process. Digital process automation solutions enable organizations to capture and process orders effectively, starting right from the initial phase of planning to configuring, pricing, and order delivery. The digital process automation solution offers visibility into the multi-enterprise supply chain network of suppliers and partners, which helps businesses achieve success.
Among all industry verticals, the manufacturing industry vertical is expected to be the fastest growing industry vertical in terms of the adoption of digital process automation solution and services during the forecast period. The manufacturing industry vertical relies heavily on a network of collaborators as manufacturers need to regularly share and update the information related to raw materials, processing, engineering, designing, and production with stakeholders. Manufacturing enterprises are modernizing their IT infrastructure, resulting in advanced control dashboards, predictive maintenance algorithms, and mobile applications, which can help perform general manufacturing operations as well as other support functions. Digital process automation can assist the manufacturing enterprises in reducing lead time and streamlining their processes.
With the increasing proliferation of the cloud technology, the cloud deployment model is opted by many organizations. Therefore, the cloud deployment type is expected to grow at a higher CAGR during the forecast period. The cloud-based deployment model reduces the total cost of ownership by cutting down the cost associated with installing hardware that supports the digital process automation solution. Also, the cloud-based deployment model offers higher business agility as compared to that of the on-premises deployment model. Furthermore, companies are also opting for the cloud-based digital process automation solution as the solution is cost-effective.
The adoption of digital process automation services among Small and Medium-sized Enterprises (SMEs) is gaining traction as these services provide flexibility and scalability along with reduced operational costs. By implementing digital process automation, the SMEs can leverage the benefits, such as streamlined processes, less downtime, and improved operational efficiency.
In regions, Asia Pacific (APAC) is expected to be the fastest growing region in the digital process automation market. The high growth rate in APAC is attributed to the increasing technology adoption in APAC countries, such as India and China. Furthermore, the APAC region also has a competitive advantage over other regions, due to the easy availability of cost-efficient solutions and trained workforce, and flexible regulations and policies.