Supply chain risk management involves identification and management of potential risks that may disrupt business operations within supply chain networks. It enables organizations to plan mitigation strategies in advance and respond swiftly to unexpected disruptions. Increasing incidences of disruptions due to geopolitical conflicts, transport delays, infrastructure damages, and trade policy changes have boosted the demand for supply chain risk management solutions. Supply chain risk management software and services help companies analyze vulnerabilities and interdependencies within supply networks comprising suppliers, transporters, warehouses, and buyers. It aids in scenario modeling and predicts impact of disruptions. This helps maintain business continuity and minimize financial losses due to supply issues.
The global Supply Chain Risk Management Market is estimated to be valued at US$ 2.22 Bn in 2023 and is expected to exhibit a CAGR of 6.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the supply chain risk management market is the increasing adoption of artificial intelligence and machine learning technologies. AI and ML algorithms can identify complex patterns and interrelationships within supply chain data that may not be obvious to humans. This enables more accurate risk identification and assessment. Supply chain risks such as delays, disruptions, quality issues etc. constantly evolve due to changing internal and external business conditions. AI-based solutions help companies gain deeper insights into these dynamic risks and take timely preventive actions. They also help simulate different disaster scenarios and find optimal solutions to enhance supply chain resiliency. The integration of AI and ML into supply chain risk management solutions is expected to significantly boost their adoption rates over the forecast period.
Threat of new entrants: The threat of new entrants is moderate as the supply chain risk management market requires large investments in R&D, technology, branding and distribution. However, cloud solutions are lowering entry barriers.
Bargaining power of buyers: The bargaining power of buyers is high due to the presence of many global players offering supply chain risk management solutions. Buyers can negotiate on price and demand additional features.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as the manufacturers of supply chain risk management software depend on hardware and technology suppliers for various components.
Threat of new substitutes: The threat of substitutes is low as there are no direct substitutes that can perform all the functions of supply chain risk management software. However, individual tools can be used as alternatives.
Competitive rivalry: The competitive rivalry is high due to the presence of many global as well as regional players offering varied solutions. Players compete based on features, price, quality and service.
The Global Supply Chain Risk Management Market Demand is expected to witness high growth. The global Supply Chain Risk Management Market is estimated to be valued at US$ 2.22 Bn in 2023 and is expected to exhibit a CAGR of 6.3% over the forecast period 2023 to 2030.
Regional analysis: The market is dominated by North America due to early adoption of technology. Asia Pacific is expected to grow at the fastest pace due to growing e-commerce industry and manufacturing sector in countries like China and India.
Key players related content comprises
Key players operating in the supply chain risk management market are Rise, burden chronic diseasesGrowing geriatric (aging) population. Key players focus on offering customized and scalable solutions for clients across industries through continuous innovation.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it