Supply chain event management segment outpacing warehouse, transportation management, ARC study finds
Dedham, MA — September 7, 2004 — The logistics visibility and control market has been the fastest growing market for logistics software, expanding far more rapidly than both the warehouse management and transportation management markets, according to a new report from technology consultancy ARC Advisory Group..
Logistics visibility and control (LV&C) is a variety of supply chain event management (SCEM) focused specifically on logistics processes. Event management solutions have become much more focused on specific processes with supporting decision support, workflows and even analytics.
Just as LV&C represents SCEM specifically focused on logistics processes, the LV&C market is, in turn, made up of solutions for even more specific logistics processes. ARC has split the LV&C solutions into four categories: supply side, demand side, international visibility, and reverse and service logistics.
The market has moved a long way from the general purpose solutions of a few years ago, but over this segment has been the fastest growing market for logistics software, based on growth since 2000, ARC found.
"The historical cumulative average growth rate (CAGR) for the years 2000-2003 is 29.0 percent, which was surprising to me," said Steve Banker, service director for supply chain management at ARC and the author of the recent study "Logistics Visibility & Control Worldwide Outlook."
At one time there were more than 20 supply chain event management start-ups funded by at least $100 million in venture capital (VC), Banker explained. "Most of those companies have disappeared and VC investments in this area have been a bust. Because of the disappearance of so many of the start-ups, I assumed the market had not had great growth. While there have been many exits, the market leaders have had strong growth in this area."
Dedham, MA — September 7, 2004 — The logistics visibility and control market has been the fastest growing market for logistics software, expanding far more rapidly than both the warehouse management and transportation management markets, according to a new report from technology consultancy ARC Advisory Group..
Logistics visibility and control (LV&C) is a variety of supply chain event management (SCEM) focused specifically on logistics processes. Event management solutions have become much more focused on specific processes with supporting decision support, workflows and even analytics.
Just as LV&C represents SCEM specifically focused on logistics processes, the LV&C market is, in turn, made up of solutions for even more specific logistics processes. ARC has split the LV&C solutions into four categories: supply side, demand side, international visibility, and reverse and service logistics.
The market has moved a long way from the general purpose solutions of a few years ago, but over this segment has been the fastest growing market for logistics software, based on growth since 2000, ARC found.
"The historical cumulative average growth rate (CAGR) for the years 2000-2003 is 29.0 percent, which was surprising to me," said Steve Banker, service director for supply chain management at ARC and the author of the recent study "Logistics Visibility & Control Worldwide Outlook."
At one time there were more than 20 supply chain event management start-ups funded by at least $100 million in venture capital (VC), Banker explained. "Most of those companies have disappeared and VC investments in this area have been a bust. Because of the disappearance of so many of the start-ups, I assumed the market had not had great growth. While there have been many exits, the market leaders have had strong growth in this area."
