Global Healthcare Supply Chain Management Market 2025 – 2034

Reports Description

According to Custom Market Insights (CMI), The Global Healthcare Supply Chain Management Market was estimated at around USD 2.54 billion in 2021 and is expected to reach USD 3.2 billion in 2022 growing at a CAGR of nearly 16.5% from 2022 to 2030. The market is projected to reach approximately USD 6.89 billion by 2030.

The Healthcare Supply Chain Management Market offers a comprehensive and deep evaluation of the market’s stature. Also, the market report estimates the market size, revenue, price, market share, market forecast, growth rate, and competitive analysis.

Healthcare Supply Chain Management Market: Overview

The production, distribution, and delivery of medications and other healthcare supplies to patients are ensured by a complex network of systems, elements, and procedures known as the healthcare supply chain. Supply chain management aims to establish a competitive logistics infrastructure, increase net value, and synchronize supply and demand for goods so that performance can be assessed. This is done by planning, designing, implementing, controlling, and monitoring the flow of various commodities and services. Over the forecast period, the market is expected to develop due to increased demand for quality inventory management systems and healthcare providers’ increasing attempts to cut costs and enhance supply.

Healthcare Supply Chain Management Market: COVID–19 Impact Analysis

The COVID-19 pandemic has significantly impacted global economies. For several industries, COVID-19 has created several difficulties. The COVID-19 outbreak and protracted closure have had a major impact on the healthcare sector. Due to the COVID-19 outbreak, the governments of numerous nations claimed that active pharmaceutical components were in a limited supply of medications and surgical supplies. This is because of the border barrier, which among other things, harms the facilities for the import and export of medicines. Consequently, this has a detrimental effect on the market expansion.

The healthcare sector had a significant delay at the beginning of the supply chain as a result of the extraordinary occurrence of the coronavirus pandemic. An unexpected surge in demand for medical supplies such as masks, gloves, sanitisers, and medications due to a spike in COVID-19 infections caused an imbalance in the market, upsetting the usual supply chain. However, this compelled manufacturers and suppliers to implement SCM software to speed up the process.

The firms could resolve their supply chain problems thanks to the implemented mitigation measures during the epidemic. Consequently, the coronavirus pandemic has had little impact on market share and is expected to provide significant growth over the projection period.

Healthcare Supply Chain Management Market: Growth Drivers

Increasing the use of SCM software to accelerate the market’s growth

Healthcare supply chain management includes all operations related to the production, procurement, storage, and delivery of many products, including medicines, medical equipment, and surgical supplies. Due to the benefit of managing numerous processes on a single platform, the market growth is anticipated to be boosted by the rising usage of software-based systems due to the rise in online shopping and demand for eco-friendly logistics.

The software also helps hospitals and medical practices adhere to and provide value-based care, fueling the expansion of the healthcare supply chain industry.

Solutions for supply chain management are becoming more popular.

The program encourages and supports transparency between primary, ancillary, and non-acute care providers to ensure the effective delivery of services and processes. Healthcare supply chain management software can help hospitals and medical practices follow regulations and deliver value-based care. The healthcare supply chain management management market is developing due to emerging nations’ growing embrace of supply chain management solutions, including hardware and software.

Healthcare Supply Chain Management Market: Segmentation Analysis

The healthcare supply chain market is segmented into component and delivery modes. Based on components, the market software segment is estimated to lead the market during the forecast period. One of the main drivers of the segment’s growth is the increasing use of software like SaaS, which delivers next-generation cloud computing capabilities.

The software market is also being driven by the growing demand for effective organizational workflow management in healthcare organizations and a change in the trend toward value-based care in developed nations. Healthcare supply chain management software applications are constantly changing, improving patient outcomes and exchanging patient data in real time.

Moreover, Numerous product launches, the growing demand for better access to business intelligence data to develop strategies, the simplicity of product tracking through these solutions, the adoption of eco-friendly initiatives, such as those for reducing paperwork in healthcare organizations, and an increase in online purchases are the main factors credited for this growth.

Organizations benefit from the software’s assistance with planning, inventory control, warehouse management, and procurement management. Supply chain management software automates the process, reducing the need for manual labor and increasing efficiency. These advantages accelerate the use of healthcare supply chain software and services.

Over the projection period, the services category is anticipated to grow consistently. The need for supply chain management services such as support and maintenance, consultancy, and education and training has increased due to advancements in software platforms. One major driver of the segment’s growth is the creation of various systems for tracking procurement and inventory management.

By delivery mode, the cloud-based segment is anticipated to dominate the market during the forecast period. The huge proportion of the category is mostly due to rising demand for affordable, user-friendly technology and increasing adoption rates. Further driving the market is the growing adoption of cloud computing by healthcare providers for keeping track of inventory and purchasing data. Due to several security flaws in on-premises and web-based deployment, cloud-based technology is becoming more popular.

The performance of the network has an impact on web-based applications. Various healthcare organizations are compelled to switch to cloud-based installations because of this and the high expenses involved with running dedicated servers.

Report Scope

Key Insights: 

• Based on component segmentation, the software segment is estimated to hold the largest market share during the forecast period, and the services category is anticipated to grow consistently.
• Based on delivery mode segmentation, the cloud-based delivery mode segment is the leading revenue-generating category during the forecast period.
• Based on geography/region, the North American region was the leading revenue generator in 2021.

Recent Development

• April 2022: The first multi-enterprise Supply Chain Work Management solution has been launched on the Opus Digital Network Platform, according to a statement from TraceLink Inc., a major provider of digital network platforms. By better managing supply chain issues and planning exceptions like material shortages, short shipments, and forecast changes, companies can improve the performance of their integrated supply planning and execution processes. This is made possible by the TraceLink Supply Chain Work Management solution.
• February 2022: To enhance automation, data analytics, and inventory management capabilities for the healthcare sector, Global Healthcare Exchange bought Syft, a supplier of AI-enhanced inventory control and end-to-end supply chain management software and services.

Regional Landscape

Throughout the projection period, North America is expected to continue to be among the most alluring markets, and this region accounts for the majority of revenue share in the market. One of the main drivers propelling the North American market for supply chain management is the mandatory deployment of GS1 standards and Unique Device Identification (UDI) on pharmaceutical products and medical devices, together with the existence of sizable industrial hubs.

Additionally, the market is increasing rapidly due to the healthcare and IT infrastructure’s ongoing development and the rising need for cloud computing. In North America, the U.S. is a wealthy market with the highest revenue share in 2021. Manufacturers’ increasing use of scanning tools like barcodes and RFID to detect fake medications has helped the business.

Competitive Landscape

Our report offers quantitative and qualitative insights into the Healthcare supply chain management market and major development initiatives the key players adopt. Further, it offers competitive details and market share analysis. The report further includes relevant financial information, products and services offered, SWOT analysis, and the players’ recent developments. 

Key Players:

• SAP SE
• Oracle Corporation
• McKesson Corporation
• Tecsys Inc.
• Global Healthcare Exchange
• Infor Inc.
• Cardinal Health
• Determine
• Epicor
• Manhattan Associates

The global Healthcare supply chain management market is segmented as follows:

By Component

• Software
• Hardware
• Services

By Delivery mode

• On-premises
• Cloud-based
• Web-based

On the basis of Geography

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Italy
• Spain
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America