MarketsandMarkets forecasts the global post-COVID-19 SCM market size to grow from USD 23.2 billion in 2020 to USD 41.7 billion by 2026, at a Compound Annual Growth Rate (CAGR) of 10.3% during 2020–2026. The major growth drivers for the market include increasing demand for greater visibility and transparency in supply chain data and 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 RFID tags help in scanning devices or items to determine their location, contents, manufacturing date, shipping data, and order numbers.RFID plays a major role in inventory management, warehouse management, and the retail sector.
In the supply chain, RFID plays a major role in enhancing the visibility from the point of manufacturing throughout the supply chain, and most significantly from the backroom to the floor and ultimately to the exit door.RFID helps in lowering the operational costs incurred from the loss or misplacement of items and can help track and easily find all types of supplies, from low-cost gloves to high-cost medical equipment.
RFID technology reduces costs, increases safety, and improves SCM. Hence, expected to grow at highest CAGR during the forecasr period.
Large enterprises segment to hold a larger market size during the forecast period The reduction in infrastructure costs, improvement in business functioning, and sustainability in the intense competition are the key factors that are projected to drive the adoption of SCM in large organizations. The investments done by large enterprises in advanced technologies for increasing productivity and efficiency of the company is also a key factor that is projected to drive the adoption of SCM in large enterprises.
Asia Pacific (APAC) to grow at the highest CAGR during the forecast period Due to the presence of more middle-class societies, APAC has more varied customer demands.Approximately 70% of the world’s container traffic passes through ports in APAC.
Moreover, most APAC businesses reach their markets through complex supply chains that include many intermediaries, such as trading partners and a variety of different paths to market.Supply chains in APAC are often significantly more difficult to manage as compared to other regions of the world.
To reduce these complexities, the adoption of SCM in the region is increasing. • The increased shift of APAC enterprises toward leaner and agile supply chains with end-to-end visibility by the adoption of the latest technologies is also one of the biggest drivers of SCM software and services in the region. • 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 SE (Germany), Oracle (US), The Descartes Systems Group (Canada), Infor (US), IBM (US), Manhattan Associates (US), Logility (US), Kinaxis (Canada), Blue Yonder (US), Korber (US), Coupa Software (US), Epicor (US), BluJay Solutions (US) etc.
Research coverage 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.
The report would help the market leaders and new entrants in the global SCM market in the following ways: 1. The report segments the market into various subsegments. Hence it covers the market comprehensively. It provides the closest approximations of the revenue numbers for the overall market and its subsegments. The market numbers are split further across applications and regions. 2. It helps in understanding the overall growth of the market. It also provides information about key market drivers, restraints, challenges, and opportunities. 3. It helps stakeholders in understanding their competitors better and gaining more insights to strengthen their positions in the market. The study also presents the positioning of the key players based on their product offerings and business strategies.
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