The global supply chain management market is experiencing significant growth due to the increase in technological advancements, the rise in demand for supply chain management services and software across various enterprises and industries, and the surge in the adoption of SCM software in healthcare and pharmaceutical companies. In 2022, North America dominated the market, accounting for almost 40% of the global supply chain management market.
According to a report published by Allied Market Research, the global supply chain management industry was valued at $27.2 billion in 2022 and is projected to generate $75.6 billion by 2032, exhibiting a CAGR of 10.9% from 2023 to 2032. The report provides a detailed analysis of changing market trends, key investment pockets, value chain, regional landscape, and competitive scenario.
Factors driving the global supply chain management market include technological advancement and investments, increased demand and usage of SCM services and software, and adoption of SCM software in healthcare and pharmaceutical companies. However, a lack of awareness about SCM software and rising security and privacy concerns among businesses hinder market growth.
The COVID-19 pandemic had a significant impact on the growth of the supply chain management market, as the growth in e-commerce during the pandemic encouraged industry players to automate and digitalize processes to cater to the growing demand. The increasing need for seamless product manufacturing, distribution, and delivery also drove the growth of the supply chain management market.
By component, the solution segment contributed to the largest share of the global supply chain management market, and the service segment is expected to witness the fastest CAGR from 2023 to 2032. The transportation management system segment is expected to dominate in terms of revenue during the forecast period and is projected to cite the fastest CAGR.
In terms of deployment mode, the on-premise segment accounted for the highest share of the global supply chain management market revenue in 2022, while the on-demand/cloud-based segment is estimated to witness the fastest CAGR during the forecast period.
Based on industry vertical, the retail and consumer goods segment dominated the global supply chain management market in 2022 and is expected to maintain its leadership during the forecast period. However, the automotive segment is anticipated to exhibit significant growth due to the rise in demand for security and lower operating costs by implementing a dependable SCM system.
In terms of region, North America dominated the market in 2022, while the market in Asia-Pacific is expected to dominate in terms of revenue and would cite the fastest CAGR from 2022 to 2032.