The global SCM market size to grow to USD 45.2 billion by 2027

The global SCM market size is to grow from USD 28.9 billion in 2022 to USD 45.2 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 9.4% during 2022-2027.

The major growth drivers for the market include increasing demand for greater efficiency and transparency in supply chain data and distribution processes. However, growing security and privacy concerns among enterprises may restrain the market growth.

The continuous monitoring ability of RFID efficiently prevents the theft of equipment. RFID has emerged as a technology that supports warehouse management systems for a simpler supply chain and improved product intelligibility. With RFID technology, important tasks that take place during the receiving and shipping processes can be automated.

RFID also increases the efficiency of identification and validation activities and reduces human errors. It ensures the identification of products in an instant and improved control over items in the warehouse. RFID technology reduces costs, increases safety, and improves SCM. Hence, expected to grow at the highest CAGR during the forecast period.

The adoption of SCM solutions and services among large enterprises is high due to the increase in the adoption of cloud, as well as an on-premises deployment, and this trend is projected to continue during the forecast period. Large enterprises are increasingly investing in advanced technology solutions to increase the overall productivity and efficiency of the company. With the increase in the amount of data, large enterprises need to invest in IT infrastructure and technical expertise for automating various tasks regularly. In order to reduce CAPEX and OPEX of infrastructure, large enterprises are widely adopting cloud SCM solutions and services.