In today’s technology-driven world, ERP systems have become an integral part of the business world. From finance to human resource management, sales, and operations, the ERP market has grown exponentially over the years. As per the recent report by Allied Market Research, the global enterprise resource planning market was valued at $43.72 billion in 2020, and is projected to reach $117.09 billion by 2030, growing at a CAGR of 10.0% from 2021 to 2030. This blog post will delve deep into the ERP market size and share some insights that business leaders must keep in mind for the future of technology.
ERP Market Size Growth: Insights and Data
As per the Allied Market Research, the report suggests that the demand for ERP systems is being propelled by factors such as the increasing need for operational efficiency, growing adoption of cloud-based ERP solutions, technological advancements, and the need for real-time data analytics. The report also suggests that the manufacturing sector comprises the highest share of the global ERP market due to the increasing need for streamlining operations and supply chain management.
Some top ERP system providers by market share are: Microsoft, SAP, Deltek, Sage, Oracle. According to Sarferaz, S. (2022). ERP Market Analysis, SAP ERP Market Share witnessed the top percentage of Europe Middle East Africa with 14.9%, followed by Latin America with 17.5%, Asia Pacific Japan China with 10.1%, and North America at the last position with 7.3%. By 2025 SAP continues to expect more than €36 billion total revenue. SAP has grown exponentially in the past decade, particularly in Sweden, Finland and Norway.
Suggestions for Business Leaders in the Future of Technology
As technology evolves, businesses need to keep up and adapt to changing times. Here are a few suggestions for business leaders to keep in mind regarding the future of technology and ERP systems:
Implement Cloud-based ERP Solutions: Cloud-based ERP solutions offer several benefits over traditional on-premise solutions, including reduced costs, easy scalability, and data access from anywhere. Adopting cloud-based solutions can help businesses become more efficient and adaptable.
Mobile-Optimized ERP: As more employees work remotely, mobile-optimized ERP solutions can enhance collaboration, increase productivity, and provide access to real-time data from anywhere.
Focus on Process Automations: One of the core benefits of ERP systems is the automation of different business processes. Businesses need to focus on automating manual processes and tasks to reduce errors, enhance scalability, and improve efficiency.
Embrace AI and IoT: The integration of Artificial Intelligence (AI) and Internet of Things (IoT) with ERP can help businesses gain insights into the market, improve decision-making capabilities, and predict future trends.
Challenges to the ERP Market Size Growth
While the ERP market size is projected to grow exponentially, there are a few challenges that businesses need to keep in mind. One of the significant barriers to ERP adoption is resistance to change. Many employees may not be comfortable using new technology, and businesses may need to provide adequate training to overcome this challenge. Additionally, integrating different processes and data from multiple sources can be complex and challenging, and businesses may need to work on streamlining processes to ensure smooth adoption.
ERP systems are becoming increasingly important for businesses of all sizes. Their adoption can help businesses improve efficiency, enhance collaboration, and gain insights into the market. As per the recent report by Allied Market Research, the global ERP market size is projected to grow significantly in the coming years. By focusing on adopting cloud-based ERP solutions, mobile-optimized ERP, and automating business processes, businesses can set themselves apart in the competition. While implementing ERP solutions can be challenging, businesses need to be proactive and work to streamline processes to ensure a seamless transition.
