The Global Supply Chain Security Market size is expected to reach $1.3 billion by 2027, rising at a market growth of 6.9% CAGR during the forecast period. Supply chain security is the component of Supply Chain Management (SCM) that emphasizes on reducing risks for vendors, external suppliers, transportation, and logistics. The objective of supply chain security is to improve the security of the value chain or supply chain, the logistics system, and transportation of the goods around the world.
It aims to integrate the security requirements in the conventional methods of supply chain management to avoid the issues and threats like theft, terrorism, and piracy. The companies are highly adopting the supply chain security solutions as it has become essential to prevent their company from any problem. To tackle these problems, the companies are adopting supply chain security solutions. The increase in the supply chain attacks, rise in ransom, the requirement for improved risk prediction & mitigation, growing IoT devices in the supply chain, and excessive increase in the adoption of automation technology are some factors that are surging the demand for supply chain security market.
According to the present situation, the market of supply chain security is anticipated to boost due to certain factors like rising in the number of businesses that are inclining towards cloud-based supply chain management software, implementation of SCM in healthcare & pharmaceutical companies, increasing demand for management solutions among enterprises, development of industrial-grade digital technology, and increasing requirement of supply chain visibility.
The outbreak of the COVID-19 pandemic has disturbed all aspects & sections of life & society along with businesses. In the current scenario, widespread communication is possible because of the internet and hence, playing a crucial role in managing and operating businesses. The pandemic has provided a great opportunity for businesses to go digital. The circumstances have forced the companies to minimize the exposure of the worldwide supply chain by intelligent workflows. Whereas, supply chains are extremely complex as various suppliers are scattered in different geographical locations interconnecting the trade ecosystem globally.
During the COVID-19 pandemic, several regulatory authorities and governments have made it compulsory to follow the rules to maintain social distance and adopt new practices of teleworking. Hence, companies are following the new Business Continuity Plan (BCP) to proceed with their business properly and timely. Due to digitalization, companies are excessively adopting supply chain security solutions and services to protect their data from cyber attackers. The disruption in the supply chain caused by the pandemic has negatively impacted the overall growth of the supply chain security market. However, as companies are getting digitalized as an impact of the pandemic, there would be a rise in the demand for supply chain security solutions.
Due to the outbreak of the global pandemic, ransomware activities have increased across the world. The criminals are well aware of the seriousness of the pandemic and are taking the best use of the situation to obtain precise information from the ransom attack. Many cybercriminals are forcing organizations to deal with them by offering a huge amount of money to them.
Due to the continuous evolution in technologies, organizations are unable to uplift their personnel and allowing them to get knowledge, capabilities, and data that are necessary for an organization to succeed. However, the adoption of technologies such as artificial intelligence, IoT, and machine learning are offering enhanced supply chain transparency and allowing leaders to increase product excellence, introduce new products & services, and accelerate time-to-market.
The need for cybersecurity is rising in all industries at a higher rate but low budget is hampering the implementation of such solutions. Numerous IT security expertise and small start-ups are failing to implement sophisticated cybersecurity solutions to protect their IT infrastructures & networks from cybercriminals. The chief factor that is declining the adoption of the supply chain security model for small & medium-size organizations is the constrained capital funding.
Based on Component, the market is segmented into Hardware, Software and Services. The companies are acting as a supplier and have a direct or indirect approach to the final item due to which, risk in software supply chain security can occur at any stage. Suppliers comprise transporters, storage facilities, and distributors coupled with the enterprises that are completely accountable for generating, improving, or changing item or system content. These risks exist at all stages and mitigation helps in increasing the security of supply chains.
Based on Organization Size, the market is segmented into Large Enterprises and Small & Medium Enterprises. The small and medium enterprises segment is expected to propel with a considerable growth rate over the forecast years. Small and medium enterprises prefer cloud-based solutions instead of on-premises networking solutions because it is more flexible and require less amount of investment. The implementation of supply chain management is expected to surge, owing to an increase in the implementation of the pay-as-you-go model by the small and medium enterprises through which, they can flexibly manage the IT infrastructure according to their needs.
Based on Application, the market is segmented into Data Protection, Data Visibility & Governance and Others. Data protection refers to the large volume of data generated by the companies that needs to be secured and managed at rest and in motion to avoid tampering and breaches. A company completely relies on a third party or an e-commerce website while exchanging data with them and the third party also assures the company to keep their data confidential and private.
Based on Vertical, the market is segmented into Retail & eCommerce, FMCG, Healthcare & Life Sciences, Manufacturing, Transportation & Logistics and Others. By vertical, the retail and eCommerce segment would witness the maximum growth rate over the forecast years. The major targets of cybercriminals are online retail and e-commerce businesses. When attackers make these businesses their target, it leads to low website performance, the confidential data of customers gets exposed, loss in revenue, and site downtime. It has become essential for retailers to have end-to-end visibility and transparency in the whole supply chain due to growing omnichannel retailing, mobility, and e-commerce and to managing the demand in real-time.
| Report Attribute | Details |
|---|---|
| Market size value in 2020 | USD 805.1 Million |
| Market size forecast in 2027 | USD 1.3 Billion |
| Base Year | 2020 |
| Historical Period | 2017 to 2019 |
| Forecast Period | 2021 to 2027 |
| Revenue Growth Rate | CAGR of 6.9% from 2021 to 2027 |
| Number of Pages | 283 |
| Number of Tables | 464 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Companies Strategic Developments, Company Profiling |
| Segments covered | Component, Organization Size, Application, Vertical, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Based on Regions, the market is segmented into North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. Asia-Pacific is anticipated to emerge as a fastest-growing region over the forecast years. This region is witnessing the excessive implementation of advanced technologies. In countries like India and Indonesia, the government and private organizations are spending huge amounts on infrastructure, aiming to accelerate the movement and enhancement of infrastructure. These factors are accountable for the surge in the demand for supply chain management in this region.
Free Valuable Insights: Global Supply Chain Security Market size to reach USD 1.3 Billion by 2027
The major strategies followed by the market participants are Product Launches. Based on the Analysis presented in the Cardinal matrix; IBM Corporation is the major forerunners in the Supply Chain Security Market. Companies such as NXP Semiconductors N.V., Cold Chain Technologies, Emerson Electric Co. are some of the key innovators in the market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Carrier Global Corporation (Sensitech, Inc.), IBM Corporation, NXP Semiconductors N.V., Emerson Electric Co., Orbcomm, Inc. (Northrop Grumman Corporation), Monnit Corporation, Berlinger & Co. AG, Signatrol Ltd., Cold Chain Technologies (Aurora Capital Partners) and Qingdao Haier Biomedical Co., LTD.
By Component
By Organization Size
By Application
By Vertical
By Geography
The global supply chain security market size is expected to reach $1.3 billion by 2027.
The growing number of supply chain attacks & ransomware because of the pandemic are driving the market in coming years, however, Low budget is restricting small & new organizations in emerging nations limited the growth of the market.
Carrier Global Corporation (Sensitech, Inc.), IBM Corporation, NXP Semiconductors N.V., Emerson Electric Co., Orbcomm, Inc. (Northrop Grumman Corporation), Monnit Corporation, Berlinger & Co. AG, Signatrol Ltd., Cold Chain Technologies (Aurora Capital Partners) and Qingdao Haier Biomedical Co., LTD.
The Retail & eCommerce market dominated the Global Supply Chain Security Market by Vertical 2020, growing at a CAGR of 5.4 % during the forecast period.
Yes, As companies are getting digitalized as an impact of the pandemic, there would be a rise in the demand for supply chain security solutions.
The North America is estimated to acquire the largest market share over the forecast years. In addition, this region comprises numerous leading market players offering supply chain security solutions to all end-users.
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