A market that saw revenue of $5.06 billion in 2004 is expected to increase to $8.7 billion in 2009 as coordination and integration of the supply chain flows within and across companies become critical to effective supply chain management.
According to Frost & Sullivan's study, "World Supply Chain Management: Investment Analysis and Growth Opportunities", the supply chain coordination application growth is due to the fact that complex supply chains are seeing reductions in lead time and cost from event and performance management.
"Companies realized the need for a proactive approach towards their customers and suppliers and started fine-tuning their supply chain systems. This calls for investments in coordination applications," says Frost & Sullivan business & financial services analyst Raja Srinivasan.
"Market participants have to offer end-to-end solutions covering a variety of applications in order to minimize the integration issues and thereby fulfilling the customer needs," says Raja. "Also, there should be an eye on customization, as the customers are demanding cost-effective solutions."
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