Managing Automation - September 2007 - (Page 8)

INDUSTRY NEWS FULL COVERAGE MA NEWSLETTER TO SUBSCRIBE GO TO OF EVENTS AND ANALYSIS WWW.MANAGINGAUTOMATION.COM managingautomation.com Alliances, Executive Appointments, Mergers & Acquisitions, Products news For the maonline in perspective Record APPOINTMENTS Europe’s Automation Chiefs Upbeat on Business Prospects in 2008 BY D AV I D R. B R O U S E L L BlueCielo ECM Solutions (formerly Cyco Software) has selected Berend Reinink as vice president of services, strategic planning, and projects. E2open has named Rich Becks senior vice president of product management. JDA Software Group, Inc. has named Larry Ferrere senior vice president of product management and chief marketing officer. Kronos Inc. has appointed Chris Todd vice president of professional services. SensorLogic has hired Larry Pereira as vice president of marketing. CONTRACTS TRW Automotive will deploy Activeplant Corp.’s Throughput Analyzer across its Commercial Steering Systems business in North America. Blue Bell Creameries is looking for better inventory visibility with ClearOrbit’s Gemini mobile software for Oracle Process Manufacturing. Servigistics has implemented its Strategic Service Management product in Philips Consumer Electronics’ Asia Pacific, Middle East, and Africa regions. Vocera Communications has purchased a suite of SigmaQuest Inc.’s on-demand Continued on page 13 ueil-Malmaison is a quiet suburb of Paris with tree-lined streets and the feel of an upscale residential neighborhood. It is not the place where you would expect to find the corporate headquarters of one of the world’s largest and most successful industrial automation and control companies. But on a street called Boulevard Franklin Roosevelt sits the unassuming but elegant offices of Schneider Electric SA, the parent of well-known brands Square D, Telemecanique, and, of course, the Modicon programmable logic controller line. Upon entering Schneider’s corporate offices, one is immediately struck Michel Crochon by a sense of calm that permeates a modern, sleek environment. One feels at ease and excited at the same time. This is, perhaps, also an apt description of the state of Schneider’s business today. By all accounts, a business transformation the company undertook several years ago is proceeding with great success, as measured not only by all-important financial results — the company had a record R year in 2006, and in the first half of 2007 grew sales by 25% to £8.2 billion and net income by 21% — but also by the calm and steady confidence of its key executives. That transformation, which has driven Schneider to become more global, efficient, and customer-centric, has resulted, in the case of its Automation & Control business unit, in embracing the concept of collaborative manufacturing, investing in what Schneider calls “Simply Smart” products for the industrial market, and providing “solutions” for specific vertical markets, such as mining, metals, and oil and gas. The automation busiAnton S. Huber ness, which represents about 32% of Schneider’s overall business, grew 8% organically from 2005 to 2006. Associated service businesses grew at an even higher rate — 15% — resulting in overall double-digital growth, says Michel Crochon, executive vice president in charge of the Automation business. In an interview with Managing Automation, Crochon was confident of similar growth in 2008. (Schneider’s Batch Process Control on Steady Growth Path The worldwide market for batch process control is expected to grow at a compound annual rate of 8.6% over five years, to more than $4.9 billion in 2011 from $3.2 billion in 2006, according to ARC Advisory Group. Batch control is benefiting from growth in the food, beverage, and pharmaceutical industries; economic growth in Asia and Latin America; and improved economies in North America and Europe. In addition to batch processes, ARC noted, batch control products can be applied to continuous and discrete processes, packaging lines, and material storage facilities. “Although the average selling price of hardware will fall over the next five years, it will be more than compensated for by the increase in revenues due to software and services,” said Asish Ghosh, ARC vice president and principal author of the “Batch Control System Worldwide Outlook” report. NUMBERS Software & Services Drive Batch Control Growth $6 Worldwide Batch Control Market ($ Billions) $5 $4 $3 $2 $1 $0 Source: ARC Advisory Group BY THE 2006 2007 2008 2009 2010 2011 ma September 8 2007 http://WWW.MANAGINGAUTOMATION.COM http://managingautomation.com

Table of Contents Feed for the Digital Edition of Managing Automation - September 2007

Contents Take 1 Europe’s Automation Chiefs Upbeat on ’08 Business Prospects Vendor Coalition Pushes Human Element of SOA Wireless: Users Still Approaching with Caution One Year Later, IBM Shows Plan for MRO’s Maximo Study: More Work Needed to Lure Next-Gen Talent Executive Q&A Notes Cover Story: 2008 Companies to Watch Special Report: The 2007 Progressive Manufacturing High Achievers Progressive Manufacturer of the Year Business Model Mastery Innovation Mastery Customer Mastery Supply Network Mastery Data & Integration Mastery Education & Training Mastery Operational Excellence Mastery Leadership Mastery Transformation: Orchestrating the Multi-Tier Supply Network Integration: The Timeless Quest for Accurate Data Industries: Maintenance No Longer on Schedule Product Scan Advertiser Index Next

Managing Automation - September 2007

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