12-27-21 | Blog Post

How Cloud Services Benefit Manufacturing Companies

Blog Posts

Over the past several years, cloud computing has seen wider adoption within the manufacturing industry as manufacturers increasingly realize the benefits of a cloud-based services. One key aspect of manufacturing that has been transformed by the implementation of cloud-based processes is the global supply chain; cloud computing has enabled manufacturers to better manage and streamline their supply chain. In 2016, the global market for cloud-based manufacturing was worth $111 billion; by 2020, this market value is expected to increase to $216 billion. In addition, it is expected that nearly 50% of all manufacturers will use cloud-based services and applications by 2023.

As a manufacturer, there are many benefits that you stand to gain by migrating your services and processes to the cloud. Discussed below are some of the benefits of a cloud-based manufacturing process.


The ability to rapidly adapt in response to a constantly changing and evolving global economy is essential to the success of any manufacturing business. Manufacturers that fail respond rapidly may end up falling behind their competitors, becoming obsolete, and may eventually fail. However, switching processes is often a time as well as a cost-intensive task which is why some manufacturers are usually reluctant to do so, choosing instead to maintain the status quo.

Cloud computing simplifies the tasks involved in switching manufacturing processes. Since the processes are cloud-based with minimal hardware, the cloud service provider can easily customize the relevant applications to accommodate whatever manufacturing process is desired


Developing and maintaining manufacturing processes is typically an expensive affair. There are costs associated with buying the relevant hardware, hiring the required personnel, finding the necessary physical space, among other things. These costs can, if not managed properly, erode a manufacturer’s profits.

With cloud computing, manufacturers save money as most of the applications are supported in the cloud by third-party cloud service providers. The cloud service providers assume the responsibility for any needed development, support, and maintenance; the provider is also responsible for hiring personnel with the desired skill-sets.


The success of a manufacturer is directly linked to its performance as well as the efficiency of its processes. Therefore, it is important to adopt models the enhance process performance and efficiency. Cloud computing enhances the performance of the manufacturer’s processes. Using the cloud, manufacturers are able to easily streamline their processes. The cloud also helps them perform data analysis to ascertain other strategies to enhance their business performance and efficiency.


As manufacturers grow in size, it is important that they increase the capacity of their network infrastructure and manufacturing processes so as to keep up with the increase. Physical networks and processes have limited capabilities for expansion due to the limitations of their physical space. With cloud computing, however, there are no limitations to how much a manufacturer can scale. Cloud service providers can easily make the necessary changes to scale up as needed.


To remain competitive and relevant in our global economy, it is essential for manufacturers to frequently reevaluate their processes; processes that are no longer relevant should be discarded. Cloud computing has facilitated the development of newer processes and production models; 3D printing, Internet of Things (IoT) as well as industrial robots are some examples of recently developed cloud-based production models. By switching to the cloud, manufacturers are able to take advantage of these new models and enhance their business capabilities.

At Otava, we know the importance of cloud computing in the manufacturing industry. We a premier third-party cloud service provider ready to work with your business in migrating over to the cloud. For more information about what we offer, contact us today

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