Supply Chain Analytics Market Analysis By Solution (Planning & Procurement, Manufacturing, Sales & Operations, Logistics Analytics, Visualization & Reporting), By Deployment (On-premise, Cloud), By End-use, By Region, And Segment Forecasts, 2018 - 2025

Industry Insights

The global supply chain analytics market size was USD 2,725.1 million in 2016 and is expected to gain traction over the forecast period. Numerous factors, such as forecasting accuracy, meaningful synthesis of business data, and increasing awareness about the benefits offered by supply chain analytics, are collectively responsible for driving growth of the market.

Rapid increase in volumes of business data across various industries, such as manufacturing, retail & consumer, healthcare, and transportation, among others, are compelling organizations to adopt analytics solutions for converting raw data into meaningful insights. Further, growing consumer awareness regarding the advantages offered by supply chain analytics has stimulated its adoption across many sectors. It is further encouraging organizations to adopt these solutions for enhancing decision making capabilities of supply chain enablers, that includes organizational infrastructure, technology, strategic alliances, and enterprise resource management.

U.S. supply chain market, by solution, 2014 - 2025 (USD Million)

Supply chain analytics solutions facilitate better strategic decision making, and help organizations in improving their existing market position, optimizing return on investment and accelerate growth by making use of the procured insights. Furthermore, they present a broader view of the supply chain and facilitate better profitability, sustainability, and inventory cost reduction.

Moreover, the growing adoption of mobile applications-based solutions is expected to introduce new opportunities to the market. The growth of the market is further driven by factors such as low supply chain visibility, inefficient supplier networks, elevated warehousing costs, and incorrect forecasts, and so on.

Solution Insights

The manufacturing analytics and logistics analytics segments are presumed to grow at a CAGR of 17.6% and 16.6%, respectively, over the next eight years. This can be attributed to the increasing need for optimal utilization of resources and minimum overall costs. These solutions help in maximizing profitability and facilitate growth by enhancing capabilities necessary to manage inventory, source products, and distribute finished goods in a timely and cost-effective manner. They also enable the estimation of the ideal location and number of distribution facilities. Furthermore, they help in connecting distributed transport networks to estimate product supply points and market demand. They also offer advantages, such as optimized inventories, to address demand, reduce inventory holding costs & risks, and minimize costs of order fulfillment, warehousing, port & shipping, inland transportation, and business tax.

Deployment Insights

Cloud deployment is expected to remain the most preferred method of deploying analytics solutions. The method offers increased flexibility and enables large-scale customization of products & services for organizations.

Cloud-based strategies help in improving cost structures and setting up a control center for coordinating and arranging various components of the supply chain. A control tower system captures transportation data and processes it for providing improved visibility and facilitating better decision-making, efficiency, and services.

Furthermore, technological advancements are increasing the preference for cloud deployment. The Middle East & Africa (MEA) and Asia Pacific regions, which comprise of developing nations, are expected to prefer cloud-based solution deployment, owing to easy installation, cost effectiveness, and lack of in-house IT expertise.

End-use Insights

The manufacturing segment occupied the largest market share in 2016. However, the high technology products segment is expected to emerge as the fastest-growing end-use segment with a CAGR of over 18.7% over the next eight years.

Global supply chain market by end-use segment, 2016 (USD Million)

The increasing demand for timely delivery and product availability have been pressurizing manufacturing companies to meet the rising demand while maintaining the same margin levels. The application of supply chain analytics solutions helps in improving performance as they provide access to real-time data across the value chain and accurately reflect updates made in any region or process across an organization.

Regional Insights

North America occupied a significant share in the global market and is expected to grow at a CAGR of over 13% over the forecast period. North America occupied a significant market share in the year 2016, due to the growing presence of providers of supply chain analytics solutions in the region.

However, the Asia Pacific regional market is presumed to emerge as the fastest growing region with a CAGR of over 20% from 2017 to 2025. Such a significant growth can be attributed to the increasing awareness regarding the advantages of analytics solutions among organizations belonging to different verticals. Moreover, the growth in this region is propelled by rapidly increasing number of Small & Mid-Size Businesses (SMBs), and their increasing expenditure on implementation of latest technologies to promote growth of their businesses.

Competitive Insights

The prominent players, such as SAS Institute Inc., SAP SE, IBM Corporation, Oracle Corporation, Sage Clarity Systems, Kinaxis Inc., MicroStrategy Inc., Genpact Ltd., Capgemini Group, and Birst, Inc., among others.

Industry players are investing in sales channels to enhance their existing industry shares. Moreover, the growing trend of strategic partnership amongst industry vendors is helping them attain a competitive edge.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global supply chain analytics market based on solutions, deployment, end-use, and regions:

• Solution Scope (Revenue, USD Million; 2014 - 2025)

  • Logistics Analytics

  • Manufacturing Analytics

  • Planning & Procurement

  • Sales & Operations Analytics

  • Visualization & Reporting

• Deployment Scope (Revenue, USD Million; 2014 - 2025)

  • Cloud

  • On-premise

• End-use Scope (Revenue, USD Million; 2014 - 2025)

  • Retail & Consumer Goods

  • Healthcare

  • Manufacturing

  • Transportation

  • Aerospace & Defense

  • High Technology Products

  • Others

• Regional Outlook (Revenue, USD Million; 2014 - 2025)

  • North America

    • U.S.

    • Canada

  • Europe

    • UK

    • Germany

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

  • Middle East & Africa (MEA)