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ARC defines the supply chain execution market as being composed of warehouse and transportation management systems (WMS and TMS), as well as collaborative production management systems for both process and discrete industries (CPM-P and CPM-D). Market shares and forecasts are based on combining the data from those individual studies.
"The authors of the logistics and production management studies all lowered their forecasts based on the recession, and consequently our forecast for SCE is lower than it was just two years ago," noted Steve Banker, ARC Service Director for Supply Chain Management and the author of two of the studies that were used to compile ARC's "Supply Chain Execution Worldwide Outlook: Market Analysis and Forecast through 2014.
"However, the good news is the recession is winding down, many growth drivers remain, and ARC's forecast reflects those drivers," Banker added.
Growth Drivers
Each application (WMS, TMS, CPM-P and CPM-D) had specific growth factors affecting that market in particular. But certain factors applied to all application areas. These common factors that cross all SCE applications included:
- Global Sourcing
- Preferential Trade Agreements
- Manufacturing and Logistics Outsourcing
- Mergers and Acquisitions
- Regulatory Pressures
These factors drove growth across all SCE applications and help explain why a fairly robust forecast for the SCE market, ARC said.
More information on this study is available at www.arcweb.com/res/sce.
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