Supply Chain Tech & Software

December 2018

Sectorwatch

The increasing demand for comprehensive software to manage complex supply chain networks, need for cloud-based supply chain management technology, adoption of Internet of Things, machine learning, and others are driving the growth of this market globally. As inventory and supply chain systems become more complex, more advanced processes are required to translate data and insights to help reduce inventory, improve performance and increase efficiency. More and more software developers are incorporating predictive analytics capabilities in their application, therefore, as the global supply chains expand, the need for software innovations also increases.

 

Industry Trends:

  • Current revenue growth rate is less than the average of the last 3 years, indicating that the market may be flattening or declining
  • Current gross profit margin is less than the average of the last 3 years gross profit margins, indicating customer pricing power
  • Current EBITDA margin is less than the average of the last 3 years EBITDA margins, which may signal further consolidation