Supply Chain Management Market
Growth Factors of Supply Chain Management Market
The supply chain management market size was valued at USD 23.58 billion in 2023, and the market is now projected to grow from USD 26.25 billion in 2024 to USD 63.77 billion by 2032, exhibiting a CAGR of 11.7% during the forecast period of 2024-2032.
The COVID-19 outbreak affected global industries by altering the supply chain, so firms started to apply strategies such as vendor shoring and vertical integration. The digitization trends spurred by enterprises and the government's policy support improved efficiency. According to the latest studies, global digital transformation investments were made up to USD 1.5 trillion in 2020. This surge apart from the digitalization initiatives made the demand for supply chain management market growth.
Artificial intelligence (AI) has improved outcomes of supply chains in aspects such as production, maintenance and sales forecasts by using prediction of failures. Advancements in technology such as intelligent automation (IA) and robotics are driving up supply chain effectiveness. Larger organisations are adopting AI, ML and cloud-based SCM software to improve their functions. Adopting advanced technologies induces the growth of the supply chain management market share.
Moreover, the increase in affiliated e-commerce has increased the number of large firms that compete for the results from better products and services offered at pocket-friendly costs. With numerous payment methods and simple returns, shopping convenience has increased. E-commerce also enhances the ability to track sales, thus helping to adjust strategies in case of low sales. Meanwhile, the increasing need for just-in-time delivery increases pressure on suppliers to look for ways of increasing efficiency, such as the making of electronic document exchanges for shipping. Such trends ensure the expansion of the market.
Comprehensive Analysis of Supply Chain Management Market
The global market in the supply chain management market and information & communication technology industry is growing exponentially because of the market segmentation. This market expansion includes regional evaluations considering supply and demand factors significantly influencing the development of the hardware & software IT services industry. These segmentations are systematically separated by modules, by deployments, by enterprise size and by industry. The modules include, Transportation Management System, Warehouse Management System, Sourcing and Procurement, Manufacturing, Inventory Management Software and Others. The deployments include, On Premise and Cloud. The enterprise size includes, SMEs and Large Enterprise. The industry include, Discrete, Process and Others.
North America’s supply chain management adoption is on the rise with a 9.0% increase in 2021, which has helped in the growth of its supply chain management market. The U.S. logistics industry translating to 10.0% of the GDP is projected to grow to USD 175.0 trillion by 2022 creating demand for supply chain management. Currently, over 5.0 million transportation and warehouse workers are employed in the United States logistics industry and multinational corporations are increasing their investments in the country’s logistics. The major companies are centrally concentrating on late solutions to enhance the production and profile of consumers.
The leading players in the information & communication technology market serve a pivotal segment in the industrial emergence of prospectus and market direction. These players include, Oracle Corporation (U.S.), IBM Corporation (U.S.), Kinaxis (Canada), SAP SE (Germany), Wolters Kluwer N.V. (Netherlands), Blue Yonder Group, Inc. (U.S.), Infor (U.S.), o9 Solutions, Inc. (Texas), Logility (U.S.) and GainSystems, Inc. (U.S.). These market players offer a level-playing competitive environment.
In February 2024, Blue Yonder bought software technology provider Flexis AG. The acquisition strengthens and diversifies the firm’s capabilities and solutions for industrial and automotive clients.
Segmentation Table
Global Supply Chain Management Market Scope
Study Period 2019-2032
Base Year 2023
Forecast Period 2024-2032
Growth Rate CAGR of 11.7% from 2024 to 2032
Historical Period 2019-2022
Unit Value (USD Billion)
Segmentation By Module, Deployment, Enterprise Size, and Region
By Module
Transportation Management System- Warehouse Management System
- Sourcing and Procurement
- Manufacturing
- Inventory Management Software
- Others (Order Management)
By Deployment
By Enterprise Size
- Small & Medium-sized Enterprises (SMEs)
- Large Enterprise
By Industry
DiscreteBy Region
North America (By Module, By Deployment, By Enterprise Size, By Industry, and By Country)- U.S.
- Canada
- Mexico
- South America (By Module, By Deployment, By Enterprise Size, By Industry, and By Country)
- Brazil
- Argentina
- Rest of South America
- Europe (By Module, By Deployment, By Enterprise Size, By Industry, and By Country)
- U.K.
- Germany
- France
- Italy
- Russia
- Spain
- Nordics
- Benelux
- Rest of Europe
- Middle East & Africa (By Module, By Deployment, By Enterprise Size, By Industry, and By Country)
- Turkey
- Israel
- GCC
- North Africa
- South Africa
- Rest of Middle East & Africa
- Asia Pacific (By Module, By Deployment, By Enterprise Size, By Industry, and By Country)
- China
- Japan
- India
- South Korea
- ASEAN
- Oceania
- Rest of Asia Pacific
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