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Industrial automation encompasses a range of technologies that streamline and optimize manufacturing processes, from the field level to enterprise integration.
According to EMR analysis, the global industrial automation market attained USD 192.74 billion in 2024. The market is expected to witness a CAGR of 8.6% during the forecast period of 2025-2034 to reach a value of USD 401.48 billion by 2034. Labour shortages worldwide are a critical driver for the adoption of automation technology in industries. For instance, the Chinese Ministry of Human Resources and Social Security has estimated a labour shortage of around 30 million people in 2025 in major manufacturing industries such as automobiles.
Industrial automation systems can be highly complex, comprising numerous devices operating in unison with advanced automation technologies. The below points illustrate the hierarchical structure of the automation system, highlighting the various levels within the hierarchy.
It is the lowest level of the automation hierarchy and comprises field devices like sensors and actuators. These field devices transfer the data of processes and machines to the next higher level for monitoring and analysis. It also includes the controlling of process parameters through actuators.
Sensors convert the real-time parameters, such as temperature, flow, pressure, and level into electrical signals. This sensor data is further transferred to the controller to monitor and analyse the real time parameters. Some of the sensors used include proximity sensors, Resistance Temperature Detector (RTDs), flow meters, and thermocouples.
On the other hand, actuators convert electrical signals from controllers into mechanical actions to regulate processes. Examples of actuators include flow control valves, solenoid valves, DC motors, servo motors, pneumatic actuators and relays.
This level encompasses various automation devices, such as CNC machines and Programmable Logic Controllers (PLCs), which collect process parameters from a range of sensors. The automated controllers then drive the actuators based on the processed sensor data and the defined program or control strategy. PLCs are widely recognised as reliable industrial controllers, designed to provide automatic control functions driven by sensor input.
At this level, automated devices and monitoring systems enable control and intervention functions such as Human Machine Interface (HMI), parameter supervision, production target setting, historical data archiving, and machine start/stop operations. Typically, Distribution Control Systems (DCS) or Supervisory Control and Data Acquisition (SCADA) HMIs are commonly employed to manage these tasks.
This is the highest level of industrial automation, responsible for overseeing the entire automation system. The tasks at this level include production planning, customer and market analysis, order processing, and sales management. As such, it focuses more on commercial activities and less on technical aspects.
Industrial communication networks play a crucial role in industrial automation systems by facilitating the transfer of information across different levels. These networks are integrated into all levels of the automation system to ensure a continuous flow of data. The communication network may vary between levels, with common examples including RS485, CAN, DeviceNet, Foundation Fieldbus, and Profibus.
Thus, there is continuous information flow from high level to low level and vice-versa.
Figure: Hierarchy of an Industrial Automation System
Trend | Benefits |
Advancements in AI and Machine Learning | The integration of AI and machine learning into industrial automation systems is revolutionising operations. These technologies allow systems to learn from data, make informed decisions, and autonomously optimise processes, resulting in enhanced efficiency and significant cost savings. |
The Role of IoT and Smart Factories | The Internet of Things (IoT) is transforming traditional factories into smart factories. By connecting machines, sensors, and systems, IoT enables real-time monitoring and control, improving efficiency, minimising downtime, and boosting productivity. |
Sustainability and Eco-Friendly Practices | Automation is driving sustainability across industries by optimising energy use, reducing waste, and supporting eco-friendly practices. As environmental regulations tighten, automation will play a critical role in helping businesses achieve their sustainability objectives. |
Industrial automation is transforming business operations, driving substantial cost savings and efficiency gains. In today’s competitive landscape, where margins are narrow, it is crucial to reduce expenses without compromising on quality. Industrial automation provides a solution to this challenge, revolutionising industries by utilising technology to automate processes and boost productivity.
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United States (Head Office)
30 North Gould Street, Sheridan, WY 82801
+1-415-325-5166
Australia
63 Fiona Drive, Tamworth, NSW
+61-448-061-727
India
C130 Sector 2 Noida, Uttar Pradesh 201301
+91-858-608-1494
Philippines
40th Floor, PBCom Tower, 6795 Ayala Avenue Cor V.A Rufino St. Makati City, 1226.
+63-287-899-028, +63-967-048-3306
United Kingdom
6 Gardner Place, Becketts Close, Feltham TW14 0BX, Greater London
+44-753-713-2163
Vietnam
193/26/4 St.no.6, Ward Binh Hung Hoa, Binh Tan District, Ho Chi Minh City
+84-865-399-124