Market Value of the Supply Chain Tech to surpass $13B in 2017

Up by 11% from last year’s total market value, Supply Chain development is quickly becoming a household focus for businesses globally. This trend is not all that surprising, as there is a surge of consumer demand on supply chain activities to harness sustainable and traceable methods.

Growing demands from consumers has been answered with digitalization of supply chain operations, by big business. The market value of the supply chain tech is planned for a continuous rise, and is on pace, to exceed $19B by 2021.

“Digitalization is increasing demand for agility and forcing new business models, which is boosting spending in the supply chain market,” said Chad Eschinger, managing vice president at Gartner.

As Kodiak Rating has written about significantly in the past months, some of the most utilized technologies are IoT (internet-of-things), Machine Learning, Enterprise Visibility, Life-Cycle Management Systems and Mobile applications.

To remain competitive in today’s marketplace it is becoming necessary to aid supply chain activities and strategies with the emerging technology on the market. While the growth of software services and applications is becoming widely accepted, the market value is experiencing an evolution rather than a revolution. The growth is gradual, but will it be continuous?

Amongst many old school procurement teams there remains skepticism, and with good cause. There are many risks to be addressed with supply chain technology such as cloud security and the learning curve that will come along with the implementation of technical solutions.

“To help support next-generation supply chains and real-time business requirements, we expect consolidation of existing solutions into broader, multi-domain suites, but also a continued stream of new point solutions that will support innovation, address specific needs and offer new value,” remarked Eschinger (SupplyChainDigital 2017).

Is your business taking notice to the growing trends? 

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