Procurement As A Service Market Size, Share & Trends Analysis Report By Component (Strategic Sourcing, Category Management, Contract Management), By Organization, By Vertical, By Region, And Segment Forecasts, 2019 - 2025

Published: Nov, 2019 | Pages: 105 | Publisher: Grand View Research
Industry: ICT | Report Format: Electronic (PDF)

The global procurement as a service market size is expected to reach USD 9.3 billion by 2025, expanding at a CAGR of 7.3% from 2019 to 2025, according to a new report by Grand View Research, Inc. The rapid proliferation of digital technologies is redesigning business supply chains, and is poised to transform the way procurement function delivers its value. Sourcing and procurement functions normally manage 40 to 80 percent of total organizational spending. This is attributed to the rapid increase in the amount of indirect spending of an organization. Indirect spend is the acquisition of goods and services that are not directly incorporated into a product while manufacturing.

As businesses are swiftly moving to the cloud, the procurement software providers are updating their offerings to web-based applications. Cloud offers ease, flexibility, and scalability for data, which helps the service provider to reduce the storage costs. This ultimately helps to enhance the business operations and reduce supply chain disruptions as well as strengthen supplier and vendor relationships. Majority of the providers are integrating AI and IoT with their analytics solution. Companies are building IoT platforms with the help of machine learning to identify and address anomalies for fleet management and shipment tracking. This helps in driving operational efficiencies, enhancing the user experience, and increasing the savings. The growing need to provide enhanced user experience and meet the expectations of consumers is leading to high demand for procurement as a service.

The adoption of procurement as a service is higher in large enterprises as compared to the SMEs. The growth is attributed to the growing necessity to manage complex acquisition contracts such as public infrastructure projects. Such deals require expertise and time to deliver enhanced outcomes. Hence, large enterprises are increasingly adopting the service to minimize their operational costs and eliminate complexities. Whereas, the SMEs are witnessing significant growth with the increase in the number of new deals happening in the market.

The adoption of procurement outsourcing is gaining traction across all sectors and industry verticals. The manufacturing sector has been an early adopter of purchase outsourcing across non-core spend. The emphasis of procurement as a service in manufacturing, typically tends to be on creating and investing in a supply chain organization targeting direct inputs and raw materials. As a result, the adoption of procurement as a service has potentially benefited the manufacturing businesses by reducing their supply chain costs and achieving shorter production times.

Further key findings from the report suggest:

• The global procurement as a service market was valued at USD 5.7 billion in 2018 and is projected to register a CAGR of 7.3% over the forecast period

• Based on organization, the large enterprises segment dominated the market in 2018 and will retain its lead through 2025

• On the basis of vertical, the manufacturing segment is anticipated to hold the largest revenue share in the market in 2018

• North America dominated the market in 2018 with over 46.0% of the overall market whereas, the Latin America region is expected to witness the highest CAGR during the forecast period

• Prominent market players include Accenture, Aegis, HCL Technologies Ltd., IBM, GEP, Genpact, Infosys, Wipro, WNS (Holdings) Ltd., and Tata Consultancy Services Limited.

 Table of Contents

Chapter 1 Methodology and Scope
                   1.1. Market Segmentation and Scope
                   1.2. Market Definition
                   1.3. Research Methodology
                       1.3.1. Information procurement
                       1.3.2. Purchased database
                       1.3.3. GVR's internal database
                       1.3.4. Secondary sources and third-party perspectives
                       1.3.5. Primary research
                   1.4. Information Analysis
                       1.4.1. Data analysis model
                   1.5. Market Formulation and Data Visualization
                   1.6. Data Validation and Publishing
                   1.7. List of Abbreviations

Chapter 2 Executive Summary
                   2.1 Market Snapshot
                   2.2 Segment Outlook
                       2.2.1 Procurement as a service market size & forecasts, 2015 - 2025 (USD Million)
                       2.2.2 Component segment trends
                           2.2.2.1 Procurement as a service market, by component, 2015 - 2025 (USD Million)
                       2.2.3 Organization segment trends
                           2.2.3.1 Procurement as a service market, by organization, 2015 - 2025 (USD Million)
                       2.2.4 Vertical segment trends
                           2.2.4.1 Procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       2.2.5 Regional segment trends
                           2.2.5.1 Procurement as a service market, by region, 2015 - 2025 (USD Million)

Chapter 3 Procurement as a Service Market Variables, Trends, and Scope
                   3.1 Procurement as a Service - Value Chain Analysis
                   3.2 Market Dynamics
                       3.2.1 Market driver analysis
                           3.2.1.1 Growing demand among enterprises to streamline the procurement processes
                           3.2.1.2 Growing need to handle compliance polices and contracts
                       3.2.2 Market challenge analysis
                           3.2.2.1 Integration issues with the legacy systems
                   3.3 Penetration and Growth Prospect Mapping
                   3.4 Industry Analysis Tool
                       3.4.1 Porter's five forces analysis
                       3.4.2 Procurement as a service market - PEST analysis
                       3.4.3 Major deals & strategic alliances analysis
                   3.5 Procurement as a Service market - Key Company Analysis, 2018

Chapter 4 Procurement as a Service Market: Component Estimates & Trends Analysis
                   4.1 Component Market Analysis & Market Share, 2018 & 2025
                   4.2 Strategic Sourcing
                       4.2.1 Global strategic sourcing market, by region, 2015 - 2025 (USD Million)
                   4.3 Spend Management
                       4.3.1 Global spend management market, by region, 2015 - 2025 (USD Million)
                   4.4 Process Management
                       4.4.1 Global process management market, by region, 2015 - 2025 (USD Million)
                   4.5 Category Management
                       4.5.1 Global category management market, by region, 2015 - 2025 (USD Million)
                   4.6 Contract Management
                       4.6.1 Global contract management market, by region, 2015 - 2025 (USD Million)
                   4.7 Transaction Management
                       4.7.1 Global transaction management market, by region, 2015 - 2025 (USD Million)

Chapter 5 Procurement as a Service Market: Organization Estimates & Trends Analysis
                   5.1 Organization Market Analysis & Market Share, 2018 & 2025
                   5.2 SMEs
                       5.2.1 Global SMEs market, by region, 2015 - 2025 (USD Million)
                   5.3 Large Enterprises
                       5.3.1 Global large enterprises market, by region, 2015 - 2025 (USD Million)

Chapter 6 Procurement as a Service Market: Vertical Estimates & Trends Analysis
                   6.1 Vertical Market Analysis & Market Share, 2018 & 2025
                   6.2 BFSI
                       6.2.1 Global BFSI market, by region, 2015 - 2025 (USD Million)
                   6.3 Manufacturing
                       6.3.1 Global manufacturing market, by region, 2015 - 2025 (USD Million)
                   6.4 Retail
                       6.4.1 Global retail market, by region, 2015 - 2025 (USD Million)
                   6.5 IT & Telecom
                       6.5.1 Global IT & telecom market, by region, 2015 - 2025 (USD Million)
                   6.6 Healthcare
                       6.6.1 Global healthcare market, by region, 2015 - 2025 (USD Million)
                   6.7 Others
                       6.7.1 Global others market, by region, 2015 - 2025 (USD Million)

Chapter 7 Procurement as a Service Market: Region Estimates & Trends Analysis
                   7.1 Regional Market Analysis & Market Share, 2018 & 2025
                   7.2 North America
                       7.2.1 North America procurement as a service market, by component, 2015 - 2025 (USD Million)
                       7.2.2 North America procurement as a service market, by organization, 2015 - 2025 (USD Million)
                       7.2.3 North America procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.2.4 U.S.
                           7.2.4.1 U.S. procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.2.4.2 U.S. procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.2.4.3 U.S. procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.2.5 Canada
                           7.2.5.1 Canada procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.2.5.2 Canada procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.2.5.3 Canada procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                   7.3 Europe
                       7.3.1 Europe procurement as a service market, by component, 2015 - 2025 (USD Million)
                       7.3.2 Europe procurement as a service market, by organization, 2015 - 2025 (USD Million)
                       7.3.3 Europe procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.3.4 U.K.
                           7.3.4.1 U.K. procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.3.4.2 U.K. procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.3.4.3 U.K. procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.3.5 Germany
                           7.3.5.1 Germany procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.3.5.2 Germany procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.3.5.3 Germany procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                   7.4 Asia Pacific
                       7.4.1 Asia Pacific procurement as a service market, by component, 2015 - 2025 (USD Million)
                       7.4.2 Asia Pacific procurement as a service market, by organization, 2015 - 2025 (USD Million)
                       7.4.3 Asia Pacific procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.4.4 China
                           7.4.4.1 China procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.4.4.2 China procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.4.4.3 China procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.4.5 India
                           7.4.5.1 India procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.4.5.2 India procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.4.5.3 India procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.4.6 Japan
                           7.4.6.1 Japan procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.4.6.2 Japan procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.4.6.3 Japan procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                   7.5 Latin America
                       7.5.1 Latin America procurement as a service market, by component, 2015 - 2025 (USD Million)
                       7.5.2 Latin America procurement as a service market, by organization, 2015 - 2025 (USD Million)
                       7.5.3 Latin America procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.5.4 Brazil
                           7.5.4.1 Brazil procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.5.4.2 Brazil procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.5.4.3 Brazil procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                       7.5.5 Mexico
                           7.5.5.1 Mexico procurement as a service market, by component, 2015 - 2025 (USD Million)
                           7.5.5.2 Mexico procurement as a service market, by organization, 2015 - 2025 (USD Million)
                           7.5.5.3 Mexico procurement as a service market, by vertical, 2015 - 2025 (USD Million)
                   7.6 Middle East & Africa
                       7.6.1 Middle East & Africa procurement as a service market, by component, 2015 - 2025 (USD Million)
                       7.6.2 Middle East & Africa procurement as a service market, by organization, 2015 - 2025 (USD Million)
                       7.6.3 Middle East & Africa procurement as a service market, by vertical, 2015 - 2025 (USD Million)

Chapter 8 Company Profiles
                   8.1 Accenture
                       8.1.1 Company overview
                       8.1.2 Financial performance
                       8.1.3 Product benchmarking
                       8.1.4 Recent developments
                   8.2 Aegis
                       8.2.1 Company overview
                       8.2.2 Financial performance
                       8.2.3 Product benchmarking
                       8.2.4 Recent developments
                   8.3 HCL Technologies Ltd.
                       8.3.1 Company overview
                       8.3.2 Financial performance
                       8.3.3 Product benchmarking
                       8.3.4 Recent developments
                   8.4 IBM
                       8.4.1 Company overview
                       8.4.2 Financial performance
                       8.4.3 Product benchmarking
                       8.4.4 Recent developments
                   8.5 GEP
                       8.5.1 Company overview
                       8.5.2 Financial performance
                       8.5.3 Product benchmarking
                       8.5.4 Recent developments
                   8.6 Genpact
                       8.6.1 Company overview
                       8.6.2 Financial performance
                       8.6.3 Product benchmarking
                       8.6.4 Recent developments
                   8.7 Infosys
                       8.7.1 Company overview
                       8.7.2 Financial performance
                       8.7.3 Product benchmarking
                       8.7.4 Recent developments
                   8.8 Wipro
                       8.8.1 Company overview
                       8.8.2 Financial performance
                       8.8.3 Product benchmarking
                       8.8.4 Recent developments
                   8.9 WNS (Holdings) Ltd.
                       8.9.1 Company overview
                       8.9.2 Financial performance
                       8.9.3 Product benchmarking
                       8.9.4 Recent developments
                   8.10 Tata Consultancy Services Limited
                       8.10.1 Company overview
                       8.10.2 Financial performance
                       8.10.3 Product benchmarking
                       8.10.4 Recent developments

List of Tables

Table 1 Procurement as a service market, 2015 - 2025 (USD Million)
Table 2 Procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 3 Procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 4 Procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 5 Procurement as a service market, by region, 2015 - 2025 (USD Million)
Table 6 Global strategic sourcing market, by region, 2015 - 2025 (USD Million)
Table 7 Global spend management market, by region 2015 - 2025 (USD Million)
Table 8 Global process management market, by region, 2015 - 2025 (USD Million)
Table 9 Global category management market, by region, 2015 - 2025 (USD Million)
Table 10 Global contract management market, by region, 2015 - 2025 (USD Million)
Table 11 Global transaction management market, by region, 2015 - 2025 (USD Million)
Table 12 Global SMEs market, by region, 2015 - 2025 (USD Million)
Table 13 Global large enterprises market, by region, 2015 - 2025 (USD Million)
Table 14 Global BFSI market, by region, 2015 - 2025 (USD Million)
Table 15 Global manufacturing market, by region, 2015 - 2025 (USD Million)
Table 16 Global retail market, by region, 2015 - 2025 (USD Million)
Table 17 Global IT & telecom market, by region, 2015 - 2025 (USD Million)
Table 18 Global healthcare market, by region, 2015 - 2025 (USD Million)
Table 19 Global others market, by region, 2015 - 2025 (USD Million)
Table 20 North America procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 21 North America procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 22 North America procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 23 U.S. procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 24 U.S. procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 25 U.S. procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 26 Canada procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 27 Canada procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 28 Canada procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 29 Europe procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 30 Europe procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 31 Europe procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 32 U.K. procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 33 U.K. procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 34 U.K. procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 35 Germany procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 36 Germany procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 37 Germany procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 38 Asia Pacific procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 39 Asia Pacific procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 40 Asia Pacific procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 41 China procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 42 China procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 43 China procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 44 India procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 45 India procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 46 India procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 47 Japan procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 48 Japan procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 49 Japan procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 50 Latin America procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 51 Latin America procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 52 Latin America procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 53 Brazil procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 54 Brazil procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 55 Brazil procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 56 Mexico procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 57 Mexico procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 58 Mexico procurement as a service market, by vertical, 2015 - 2025 (USD Million)
Table 59 Middle East & Africa procurement as a service market, by component, 2015 - 2025 (USD Million)
Table 60 Middle East & Africa procurement as a service market, by organization, 2015 - 2025 (USD Million)
Table 61 Middle East & Africa procurement as a service market, by vertical, 2015 - 2025 (USD Million)

List of Figures

Fig. 1 Market research process
Fig. 2 Information procurement
Fig. 3 Market snapshot
Fig. 4 Procurement as a Service market, 2015 - 2025 (USD Million)
Fig. 5 Market segmentation and scope
Fig. 6 Value chain analysis
Fig. 7 Market driver analysis
Fig. 8 Market challenge analysis
Fig. 9 Market penetration & growth prospect mapping
Fig. 10 Porter's five forces analysis
Fig. 11 PEST analysis
Fig. 12 Key company market ranking analysis, 2018
Fig. 13 Component market analysis & market share, 2018 & 2025
Fig. 14 Organization market analysis & market share, 2018 & 2025
Fig. 15 Vertical market analysis & market share, 2018 & 2025
Fig. 16 Regional market analysis & market share, 2018 & 2025