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  • Supply Chain Management Software Market Growth Analysis | 2023-2028

    Supply Chain Management Software Market Growth Analysis | 2023-2028

    Supply Chain Management Software Market Growth Analysis | 2023-2028
    Report code - SR1894 Delivery - 2 Weeks
    Supply Chain Management Software Market Size, Share, Trends, Forecast, & Growth A See more...

    Market Insights

    The supply chain management software market was estimated at USD 26.2 billion in 2022 and is likely to grow at a CAGR of 10.37% during 2023-2028 to reach USD 47.51 billion in 2028.

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    What is supply chain management software?

    Supply chain management software, also called SCM software, is used to manage activities across the supply chain. It is utilized in every aspect of supply chain management, including logistics and distribution, control of quality, and management of vendors. It helps improve productivity and helps the user to better handle disruptions.

    This is done by providing better visibility and control of the rising complex supply chain. An added benefit on top of their ERP and related technologies is that they can be improved with low-code process applications that incorporate recent systems and add agility to operations.

    The supply chain management (SCM) market has undergone a sea change, with product and process innovation embedded in supply chain operations and consciously managing and shaping customer demand. As companies recover from the recent financial crisis and position supply chains as enablers of revenue and margin growth, there is a lot of opportunity to benefit from new-age supply chain management solutions.

    Covid-19 Impact

    The lockdowns imposed as a result of the COVID-19 outbreak have shut down economies and are affecting every aspect of North America's supply chain. As a result, various industries have shifted their normal manufacturing processes to produce essential medical supplies, PPE kits, and so on.

    According to a Supply Chain Media survey of 143 European supply chain decision-makers, the COVID-19 pandemic significantly impacts the supply chains of virtually all European manufacturers, wholesalers, and retailers.

    Although 78 percent are experiencing a negative short-term impact17 percent are experiencing positive effects, and only 5 percent are unaffected. COVID-19 compelled many businesses and entire industries to rethink and transform their supply chain model.

    Supply Chain Management Software Market Report Highlights

    Market Size in 2022

    USD 26.2 billion

    Market Size in 2028

    USD 47.51 billion

    Market Growth (2023-2028)

    10.37% CAGR

    Base Year of Study

    2022

    Trend Period

    2017-2021

    Forecast Period

    2023-2028

    Market Dynamics

    The supply chain management software market is driven by a host of factors, some of which are noted below:

    • Advances in industrial-grade digital technology, and an increased preference for cloud-based supply chain management software.
    • The increased need for improved supply chain visibility contributes significantly to the market's growth.
    • Lack of IT infrastructure in developing countries, as well as an increase in security and privacy concerns.
    • Supply chain software helps achieve this by optimizing inventory levels, reducing lead times, and improving order accuracy.
    • Advances in technology such as artificial intelligence, machine learning, and the Internet of Things (IoT) have enabled supply chain management software to become more intelligent and connected. This has led to the development of advanced analytics capabilities, predictive modeling, and automation of routine tasks.
    • Increasing government regulations around product safety, traceability, and sustainability have forced businesses to adopt more robust supply chain management practices. Supply chain software helps meet these requirements by providing end-to-end visibility and traceability of products and materials.

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    Key Players

    The following are the key players operating in the market-

    • 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)
    • Llamasoft (US).

    Segment Analysis

    By Type 

    The supply chain management software market has been classified into Small & Medium Sized Enterprises, Large Enterprises. Large enterprises dominated the supply chain management market in 2022, and this trend is expected to continue during the forecast period, owing to increased adoption of SCM software to integrate this software into their existing software and inventories.

    Furthermore, the small and medium-sized enterprises segment is expected to grow at the fastest CAGR during the forecast period, owing to an increase in the adoption of cloud-based SCM software, which provides SMEs with a cost-effective and efficient solution.

    By Component Type

    The market is divided into Services and Solutions. The solution category will have the biggest market share in 2022 and is expected to remain the most dominant as well as the fastest-growing segment during the forecast period. They are used for supplier management, logistics management, and quality assurance.

    Advantages include improved visibility, higher efficiency, analytics, cost savings, increased agility, and increased compliance throughout the complex supply chain. It assists in the automation of complex procedures such as order processing, billing, and order tracking, saving time and money on administrative expenditures.

    By Industry Vertical Type

    The market has been classified into healthcare, automotive, food and beverage, manufacturing, and others. Because of the manufacturing industry's growing requirement for supply chain automation, the manufacturing segment will have the largest market share in 2022 and is expected to maintain its dominance during the forecast period.

    Manufacturers can improve their manufacturing processes and lower operational expenses by installing a robust Supply Chain Management Software solution.

    Regional Insights

    North America accounted for the largest market share in 2022 and is expected to grow at a healthy CAGR during the forecast period. Because it is a technologically advanced region with a high number of early adopters and the presence of major market players, North America is expected to contribute the highest market share in terms of revenues during the forecast period.

    The region's need for SCM is being fueled by technological advancement and a focus on making supply chain functions such as logistics, warehousing, fulfillment, production, and transportation management more efficient. Furthermore, the presence of stringent supply chain regulations and trade agreements across the region is a driver of SCM.

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    Critical Questions Answered in the Report

    • What are the key trends in the market?
    • How the market (and its various sub-segments) has grown in the last five years and what would be the growth rate in the next five years?
    • What is the impact of COVID-19 on the market?
    • What are the key strategies adopted by the major vendors to lead in the market?
    • What is the market share of the top vendors?

    Market Segmentation

    This report studies the market covering 12 years of trend and forecast. The report provides detailed insights into the market dynamics to enable informed business decision-making and growth strategy formulation based on the opportunities present in the market.

    The supply chain management software market is segmented into the following categories.

    By Type

    • Small & Medium-Sized Enterprises
    • Large Enterprises

    By Industry Vertical Type

    • Retail & Consumer Goods
    • Healthcare & Pharmaceuticals
    • Manufacturing
    • Food & Beverages
    • Transportation & Logistics
    • Automotive
    • Others

    By Component Type

    • Solution
    • Services

    By Solution Type

    • Transportation Management System
    • Warehouse Management System
    • Sourcing & Procurement
    • Supply Chain Planning
    • Manufacturing Execution System

    By Region

    • North America (Country Analysis: the USA, Canada, and Mexico)
    • Europe (Country Analysis: Germany, France, the UK, Russia, Spain, and Rest of Europe)
    • Asia-Pacific (Country Analysis: China, Japan, India, South Korea, and Rest of Asia-Pacific)
    • Rest of the World (Sub-Region Analysis: Latin America, the Middle East, and Others)

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    Report Features

    This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision-making for the existing market players as well as those willing to enter the market.

    What Deliverables Will You Get in this Report?

    Key questions this report answers

    Relevant contents in the report

    How big is the sales opportunity?

    In-depth Analysis of the Supply Chain Management Software Market

    How lucrative is the future?

    Market forecast and trend data and emerging trends

    Which regions offer the best sales opportunities?

    Global, regional, and country-level historical data and forecasts

    Which are the most attractive market segments?

    Market Segment Analysis and Forecast

    Which are the top players and their market positioning?

    Competitive landscape analysis, Market share analysis

    How complex is the business environment?

    Porter’s five forces analysis, PEST analysis, Life cycle analysis

    What are the factors affecting the market?

    Drivers & challenges

    Will I get the information on my specific requirements?

    10% free customization

    Target Audience

    The target audience of the supply chain management software market includes-

    • Supply chain management software companies
    • Supply chain management software distributors
    • Government organizations

    Research Methodology

    This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools.

    More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles have been leveraged to gather the data.

    We conducted more than 10 detailed primary interviews with the market players across the value chain in all four regions and with industry experts to obtain both qualitative and quantitative insights.

    Customization Option

    Stratview Research offers one of the following free customization options to our respectable clients:

    Company Profiling

    • Detailed profiling of additional market players (up to three players)
    • SWOT analysis of key players (up to three players)

    Competitive Benchmarking

    Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances

    Custom Research: Stratview Research offers custom research services across sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@stratviewresearch.com.

    Recent Developments

    In March 2022, a partnership between Blue Yonder and Snowflake was announced to transform access to contrasting data for supply chain management. Luminate Platform of Blue Yonder which is powered by Snowflake is an end-to-end supply chain solution that allows retailers, manufacturers, and third-party logistics providers to predict, tackle and resolve disruption in a more efficient way across the business to reduce risks and tackle growing industry supply chain challenges.

    In February 2022, it was announced by Oracle that Bharti Airtel chose its Fusion Cloud ERP and Oracle Fusion Cloud Supply chain management for digitizing and simplifying its finance, planning, and supply chain processes.

    Frequently Asked Questions (FAQs)

    Supply chain management software also called SCM software, is used in accomplishing the management of activities across the supply chain. It is utilized in every aspect of supply chain management, including logistics and distribution, control of quality, and management of vendors. It helps in improving productivity and helps the user to better handle disruptions. This is done by providing better visibility and control of the rising complex supply chain. An added benefit on top of their ERP and related technologies is that they can be improved with low-code process applications that incorporated recent systems and add agility to operations.

    The supply chain management software market was estimated at USD 26.2 billion in 2022.

    The supply chain management software market is likely to reach USD 47.51 billion in 2028.

    The supply chain management software market is likely to grow at a CAGR of 10.37% during 2023-2028.

    The key players operating in the market are 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), Llamasoft (US).

    The target audience of the market includes Supply chain management software companies, Supply chain management software distributors, Government organizations.

    North America is expected to contribute the highest market share in terms of revenues during the forecast period.

    Advances in industrial-grade digital technology, an increased preference for cloud-based supply chain management software, and an increased need for improved supply chain visibility all contribute significantly to the supply chain management market's growth.