ID: MRFR/ICT/4065-CRR | June, 2018 | Region: Global | 100 pages | Cooked Research Reports
Global Supply Chain Analytics Market Research Report Information: Component (Services) Deployment (On Cloud), Vertical (Retail) – Forecast Till 2023
The global supply chain analytics market is anticipated to reach USD 8.89 billion by 2023, as per a new detailed report by Market Research Future (MRFR). It is expected to exhibit a 13.7% CAGR during the assessment period (2017-2023). Increase in generation of unstructured data among enterprises has led to demand for intelligent software. The software can mine and collate data to provide useful insights to streamline processes in the logistics industry.
Supply chain analytics is a method of applying statistical tools and modeling techniques to obtain meaningful patterns from available raw and unstructured data such as transactions, climatic conditions, sensors, machine operations, and shipment data. Rising consumer awareness regarding these benefits has led to implementation of the software in reputed logistics organizations to monitor and track their cargo. In addition, use of artificial intelligence to make accurate predictions is expected to spur the supply chain analytics market.
This report allows the user to gain a deeper understanding of the ongoing events and trends in the global market for supply chain analytics. By correlating the historical data with key market dynamics, our analysts were able to make highly accurate projections in the report. MRFR’s report includes a thorough segmental analysis of the global supply chain analytics market segmented by component, deployment, vertical, and region with astute insights. This report has been prepared to assist industry participants in making informed decisions on growth strategies and operation management. Users will also come across drivers, trends, opportunities, and restraints which are likely to influence the growth of the market during the assessment period.
By component, the supply chain analytics market has been segmented into solution and services. By deployment, the market is segmented into on-premise and on cloud. By vertical, the market is segmented into aerospace and defense, automotive and transportation, manufacturing, healthcare, retail, and others.
The segments and sub-segments covered in the report are analyzed under four major regions –North America, Europe, Asia Pacific (APAC), and Rest-of-the-World (RoW), with respective country-level market sizing. For the scope of research, the standard definition of the product/ service “supply chain analytics” is included in the report. The report discusses and interprets the current and future opportunities of the industry delivering an unbiased growth assessment.
JDA Software Group, Inc. Genpact, Manhattan Associates Inc., SAS Institute Inc., Tableau Software, Inc., SAP SE, MicroStrategy, Inc., Accenture PLC, IBM Corporation, and Oracle Corporation are prominent players in the supply chain analytics market.
The report offers comprehensive profiles on these market players and assesses their current standing in the supply chain analytics market. Company history coupled with annual turnover, segmental share, SWOT analysis, growth strategies, new product launches, M&A activities, and latest R&D initiatives are outlined in the report.
Market Research Future (MRFR) uses a combination of primary and secondary research to compile market reports. Primary data is accumulated from interviewing industry stalwarts and secondary research is collated by studying white papers and annual reports of leading players. Our analysts use top-down and bottom-up approaches to validate the findings of the report. The report comprises news, current trends, and future prospects related to the market, all of which can provide a thorough understanding of the market to clients. Industry leaders can make accurate business decisions based on our insights.
Global Supply Chain Analytics: Report Summary
The global supply chain market is deemed to expand at an astronomical CAGR of 13.7% during the forecast period (2017-2023). Increase in inter-enterprise data generation and rising consumer awareness regarding supply chain analytics benefits are factors expected to fuel the growth of the market. Recent developments have seen the supply chain market banking mostly on efficient implementation of cloud technology to transform supply chain management and logistics operations. The resultant impact is quite substantial in streamlining the value chain and advocating transparency.
Integration of artificial intelligence (AI) into the system has revolutionized the process. AI helps in generating different algorithms and assists in making new decisions based on information gathered from the raw data, thereby, lowering the operational expenditures. AI can assist in planning, forecast demand, and augment the supply chain processes. Its ability to identify and predict problems and find potential solutions has given supply chain analytics an advantage in rapidly resolving customer-based issues. AI’s contribution to the formation of cloud-based supply chain analytics has increased the potential of the global supply chain analytics market. However, public cloud deployment does not offer much privacy for data and enterprises often confront financial issues that can impede the growth during the forecast period.
The supply chain analytics market is segmented by component, deployment, vertical, and region. By component, the market can be further sub-segmented into solution and services. Solution dominates the market with a valuation of USD 2,260.53 Million in 2016 and is projected to thrive at a CAGR of 12.2% during the forecast period. Solutions comprise of supply chain planning & procurement, sales & operations planning, manufacturing analytics, transportation & logistics analytics, visualization, and reporting tools. Supply chain planning & procurement leads the market by generating USD 635.78 Million in 2017 and is estimated to grow at a CAGR of 14.03% during the forecast period. It involves buying of goods and services facilitating revenue generation for the organization. Supply chain planning allows manufacturers to harmonize enterprise-wide production and supply according to the demand. Analytical tools allow manufacturers to aggregate total demand, production capacity planning, and supplies required for the demand fulfillment. Supply chain planning has multiple benefits, such as reducing inventory levels, increasing responsiveness to market changes, and abiding by the increasing demand for forecast accuracy.
In procurement, supply chain analytics plays a vital role in researching the cause and interdependencies of price trends. Moreover, it gives shape to the unstructured data by filtering the information with various algorithms resulting in vendor evaluation, expenditure analytics, demand forecasting, related services, and strategic planning.
Deployment-wise segmentation includes on-cloud and on-premise. In 2016, on-cloud deployment generated the maximum market revenue of USD 2,334.66 Million and is touted to be the fastest growing segment with a staggering CAGR of 15.1% during the forecast period. In contrast to the traditional operational methods, cloud-based supply chain analytics solutions have several advantages, such as affordability, scalability, easy integration, redundancy, and efficiency. The software and platform services on the cloud-based solution are designed to perform with existing IT systems and deliver efficiently. By controlling the power of managed automation and analyzing the data, cloud solutions form an intelligent network of supply processes and then provides superior decisions within a constrained timeline.
By verticals, the market is segmented into retail, healthcare, automotive and transportation, aerospace and defense, and others. Verticals implementing these analytics can improve the supply chain efficiency and optimize the expenditures associated with it. Obvious benefits are increasing revenues, improving margins, and enhanced control points across the supply chain. In 2017, retail accounted for a valuation of USD 993.5 Million and is projected to grow at an impressive CAGR of 16.0% during the forecast period. Retail is gaining the most from supply chain analytics, as it boosts delivery management, vendor management, product sourcing, and others. Advanced technologies, such as radio-frequency identification (RFID) tags provides real-time data of the goods in transit and analyses various physical conditions, such as weather, traffic, and location feed to help in estimation of the delivery time.
Regional Market Summary:
Region-wise segmentation of the global supply chain analytics market includes North America, Europe, Asia Pacific (APAC), and Rest-of-the-World (RoW).
North America is projected to showcase a remarkable CAGR of 12.9% during the forecast period. Advanced usage of technology and increasing analytic applications in industries such as automotive, retail, healthcare, and manufacturing are accelerating the growth rate of this region.
The Europe market is projected to escalate at a CAGR of 14.6% during the forecast period. Europe is driven by factors similar to that of North America. The advent of technologies such as AI and Internet of Things (IoT) can augur the implementation of supply chain analytics solutions across industries. In addition, manufacturers here find it easier to operate by integrating analytics into their system as European Union, as a whole, has developed policies to ease transportation of goods.
The APAC region is expected to register the fastest CAGR during the forecast period owing to emergence of various small and medium enterprises in the region.
Various influential players, currently impacting the global supply chain analytics market, are IBM Corporation, MicroStrategy, Inc., Oracle Corporation, Tableau Software, Inc, SAP SE, Accenture PLC, Genpact, SAS Institute Inc, Manhattan Associates Inc., JDA Software Group, Inc.
Global Supply Chain Analytics Market: Competitive Landscape
IBM Corporation, MicroStrategy, Inc., Oracle Corporation, Tableau Software, Inc., SAP SE, Accenture PLC, Genpact, SAS Institute Inc., Manhattan Associates Inc., JDA Software Group, Inc. are some of the key players of the global supply chain analytics market as of 2017. These companies continue to retain their strong global presence through expansions, mergers & acquisitions, and extensive product portfolio. IBM Corporation, MicroStrategy, Inc., Oracle Corporation, Tableau Software, Inc, SAP SE. are some of the major companies in the market, competing in terms of availability, quality, price, and technology. Their primary focus is on the development of sophisticated supply chain analytics. Although international players are dominating the market, regional and foreign players with small market shares have maintained significant market presence. The international players may strengthen their presence worldwide through acquisitions during the forecast period.
In 2017, IBM Corporation was the leading player in the market. International Business Machines Corporation was founded in 1911 and headquartered in the U.S., IBM Corporation is operating in various segments namely cognitive solutions, global business services, technology services & cloud platforms, systems, and global financing. In the global business services, it offers consulting, application management, and global process services. The technology services & cloud platforms capabilities include infrastructure services, technical support services, and integration software. The company has invested in upcoming technologies such as cloud, analytics, cognitive, mobile, and security to facilitate the emerging requirement of modern business. IBM Corporation primarily follows inorganic growth strategy. It is increasing productivity and output of its business by building a partnership with technology giants and exploring the untapped markets. The inorganic growth is also showing positive sign towards increasing the company’s market presence.
The company’s strategy is to mainly focus on innovation. IBM believes in continuous re-invention and transformations. The company offers solutions that are specific and customizable according to client needs. The company’s focus is on cognitive solutions, whereas their company’s software solutions are also simultaneously being made available for cloud applications to provide new levels of innovation.
MicroStrategy, Inc. held the second position in terms of market share, in 2017. MicroStrategy, Inc. engages in the provision of enterprise analytics and mobility software. It designs, develops, markets, and sells software platforms through licensing arrangements and cloud-based subscriptions and related services. Its flagship platform, MicroStrategy 10, consists of the MicroStrategy Analytics, MicroStrategy Mobile, and Usher brands. The business strategy of MicroStrategy, Inc. commonly revolves around new product development. The company has earlier acquired and partnered with many leading companies in various industrial verticals. MicroStrategy is a leader in diverse segments. High investment in product development and strategic collaborations with partner companies will aid the company to maintain its hold on the market. In the field of cloud computing, hardware development, the company has invested huge amount of money in R&D which has helped the company to strengthen its position in the market.
Oracle Corporation acquired the third spot in the market. Oracle Corporation specializes in developing and marketing database software and technology, cloud engineered systems, and enterprise software products. The company offers an e-business suite which is the most comprehensive suite of integrated global business applications that enable organizations to make better decisions, reduce costs, and increase performance. The suite comprises customer relationship management, service management, financial management, human capital management, project portfolio management, advanced procurement, supply chain management, and value chain execution. One key element in the company’s corporate strategy is to continue its investments in its products and services that it offers through its cloud and on-premise software, hardware, and services businesses. A selective and active acquisition program is another important element of Oracle’s corporate strategy. The company believes its acquisitions enhance the products and services that it can offer to customers in order to expand the customer base and provide greater scale to accelerate innovation. In recent years, the company has invested billions of dollars to acquire a number of companies, products, services and technologies that add to, are complementary to, or have otherwise enhanced its existing offerings.
Tableau Software, Inc., holds the fourth place in the supply chain analytics market. Tableau Software, Inc. is a provider of business analytics software products. The company provides Tableau Online, a hosted software-as-a-service (SaaS) version of Tableau Server; and Tableau Public, a cloud-based platform that allows visualizing public data on Web sites. In addition, the company offers Tableau desktop, an analytics product which helps in analyzing data and Tableau Server, a business intelligence platform, to enhance the distribution of information in an organization and benefits in decision-making. The company focuses on expanding its customer base by working on analytics and business intelligence software market. The company is also focussed on leveraging its online and offline marketing efforts to enhance its brand awareness by increasing its investment in sales and distribution verticals.
SAP SE ranks fifth in the supply chain analytics market. SAP SE is a well-known provider of enterprise application software and software-related services worldwide. The company is headquartered in Germany and has many subsidiaries, a few of them are Hybrid, Success Factors, Fieldglass, SAP Ariba, and others. The company operates in two segments through applications, technology and services, and SAP business network segments. The company has two major focus areas– digital innovation and customer satisfaction. The company is focused on developing new and market-leading applications by heavily investing in disruptive technologies namely blockchain, big data, artificial intelligence, and machine learning. The company is also dedicated to expanding business diversifications which rely on mergers and acquisitions to achieve goals and develop new applications. The company emphasized on innovation, with the company hiring qualified personnel in recruiting and retaining the right talent.
The ranking of other players in supply chain analytics is Accenture PLC, Genpact, SAS Institute Inc, Manhattan Associates Inc., and JDA Software Group, Inc.