Supply Chain Markets Shows 4% Growth In 2004

Coming in at close to $5.5 billion, supply chain market (SCM) revenues showed a 4% growth rate over last year. The growth is a welcome change coming after two years of market contraction. In a report titled, "Market Analytix Report: Supply Chain Management, 2004-2009", AMR Research, a Boston-based research firm, finds that while fourteen vendors saw a revenue increase of 10%, seven other vendors saw a 10% decrease in sales. SAP remained at the top with an 11% share of the market.

"For SCM providers, the past four years have been a tough ride, leaving many vendors to question their strategy while seeing the emergence of a new set of market leaders," said Lora Cecere, vice president of research at AMR Research. "The applications that sell today have changed, as has the way customers buy."

The report also identifies seven major market forces that shaped the market in 2004:

  • Importance of warehouse management and RFID
  • Growing ERP dominance
  • Increasing requirements for industry-specific applications
  • Market consolidation
  • Move to mid-market
  • Shift from license to services
  • Agile networks and contract manufacturing

For a copy of the report visit: http://www.amrresearch.com/Content/View.asp?pmillid=18380&docid=12704

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