MarketsandMarkets forecasts the global SCM market size to grow from USD 28.9 billion in 2022 to USD 45.2 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 9.4% during 2022–2027. The major growth drivers for the market include increasing demand for greater efficiency and transparency in supply chain data and distribution processes. However, growing security and privacy concerns among enterprises may restrain the market growth.
Among hardware, RFID tags and readers to grow at the highest CAGR during the forecast period
The continuous monitoring ability of RFID efficiently prevents the theft of equipment. RFID has emerged as a technology that supports warehouse management system for a simpler supply chain and improved product intelligibility. With RFID technology, important tasks that take place during the receiving and shipping processes can be automated. RFID also increases the efficiency of identification and validation activities and reduces human errors. It ensures the identification of products at an instant and improved control over items in the warehouse. RFID technology reduces costs, increases safety, and improves SCM. Hence, expected to grow at highest CAGR during the forecast period.
Large enterprises segment to hold a larger market size during the forecast period
The adoption of SCM solutions and services among large enterprises is high due to the increase in the adoption of cloud, as well as on-premises deployment, and this trend is projected to continue during the forecast period. Large enterprises are increasingly investing in advanced technology solutions to increase the overall productivity and efficiency of the company. With the increase in the amount of data, large enterprises need to invest in IT infrastructure and technical expertise for automating various tasks regularly. In order to reduce CAPEX and OPEX of infrastructure, large enterprises are widely adopting cloud SCM solutions and services.
Asia Pacific (APAC) to grow at the highest CAGR during the forecast period
According to the supply chain experts, the trend of Mergers and Acquisitions (M&A) within the logistics and supply chain industry is gaining momentum in Asia Pacific for developing economies of scale and improving digitalization through technological improvements and geographical and vertical diversification. The increased shift of Asia Pacific countries like China, India and Japan towards more efficient and effective supply chain management is also one of the biggest drivers of SCM software and services in the region.
Breakdown of primaries
The study contains insights from various industry experts, ranging from component suppliers to Tier 1 companies and OEMs.
The break-up of the primaries is as follows:
- By Company: Tier I: 35%, Tier II: 45%, and Tier III: 20%
- By Designation: C-Level Executives: 35%, Directors: 25%, Others: 40%
- By Region: North America: 45%, Europe: 20%, APAC: 30%, Rest of World: 5%
The report includes the study of the key players offering SCM solutions and services. It profiles major vendors in the global SCM market, including SAP (Germany), Oracle (US), Infor (US), Descartes (Canada), Manhattan Associates (US), IBM (US), Logility (US), Kinaxis (Canada), Blue Yonder (US), K?rber (US), Coupa (US), Epicor (US), BluJay (US), OMP (US), and E2open (US).
The report segments the global SCM market by component, deployment mode, organization size, vertical, and region. The component segment comprises hardware, software and services. The deployment mode segment comprises cloud and on-premises. The organization size segment comprises SMEs and large enterprises. The SCM market by vertical includes FMCG, Retail and eCommerce, Healthcare, Manufacturing, Automotive, Transportation and Logistics, and Others (Construction, Oil and Gas, Aerospace and Defense, and Agriculture). The report covers the SCM market with respect to 5 major regions, namely, North America, Europe, Asia Pacific (APAC), the Middle East and Africa (MEA) and Latin America.
Key Benefits of Buying the Report:
The report will help the leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall market and the sub-segments. This report will help stakeholders understand the competitive landscape and gain more insights to better position their businesses and plan suitable go-to-market