The healthcare ecosystem is highly complex owing to the intangible nature of the product signified by better health sought by customers at affordable prices. The supply chain for the industry is characterized by unique challenges due to changing patient expectations along with stringent regulations. The idea of supply chain management strives to balance diverse elements associated with the industry, including quality care, affordability and cost structure of providing organizations. With cost representing a major expense, participants in the industry focus on boosting productivity and reducing costs associated with the supply chain. These factors make the healthcare supply chain a primary focus area to improve efficiency and achieve cost savings. The holistic approach to the industry's supply chain extends beyond cost savings and pushing productivity to encompass the provisioning of enhanced healthcare without delay and in a cost-efficient manner. These goals underscore the importance of the healthcare supply chain that can be exploited for capturing actionable data. The supply chain data is a valuable asset and provides insights into product requirements and strategies to stabilise inventory and reduce waste. These data-driven insights go a long way in reducing overall costs. Technology-based, automated supply chain offers relevant data as well as improves efficiency and patient outcomes by allowing enhanced patient care. These requirements are driving future-oriented organizations to elevate the role played by the healthcare supply chain to turn care into an enriching experience.

Amid the COVID-19 crisis, the global market for Healthcare Supply Chain Management estimated at US $2.1 billion in the year 2020, is projected to reach a revised size of US $ 3.6 billion by 2026, growing at a CAGR of 9.9% over the analysis period. Software, one of the segments analysed in the report, is projected to record a 10.5% CAGR and reach US $1.6 billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the services segment is readjusted to a revised 9.4% CAGR for the next 7-year period.

The U.S. Market is estimated at US $ 1 Billion in 2021, while China is forecast to Reach US $192.9 million by 2026
The Healthcare Supply Chain Management market in the U.S. is estimated at US $ 1 billion in the year 2021. China, the world`s second-largest economy, is forecast to reach a projected market size of US $ 192.9 million by the year 2026 trailing a CAGR of 9.2% over the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 7.5% and 8% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 10.9% CAGR.

The current COVID-19 crisis is paving way for digital transformation as businesses look to explore options of shifting their operations to cope with supply disruptions, movement restrictions, and office closures. Digital technologies and technology-based business models are expected to play an important role in the post-COVID-19 period for companies to improve the resilience of their global supply chains. Based on the lessons learnt from the current COVID-19 crisis, businesses can take several vital steps towards making supply chains more resilient once the crisis is over. One of the major steps would be to reduce the requirement of a human workforce across logistics, warehousing, and transportation. This could be achieved through core digital technologies for Industry 4.0, including Internet of Things (IoT), control towers, blockchain, machine learning/artificial intelligence-enabled demand forecasting, rule-based/self-adjusting stock allocations, and autonomous devices, such as drones and automated guided vehicles (AGVs). Factories capable of modularising production and shifting production lines based on changes in demand are expected to become the new norm in the future.

These modular factories would need to be supported by intelligent supply networks capable of seamlessly communicating with each other, thereby significantly enhancing their agility and effectiveness. In addition, businesses are expected to host their critical systems in the cloud environment to ensure that their employees can access them remotely while working from home. For many companies considering cloud migration for long, the COVID-19 crisis is expected to provide that final push to enable business continuity. Safety parameters and supplier risk management would become critical factors while undertaking strategic planning initiatives. The COVID-19 crisis has demonstrated the possibilities of working remotely across a wide range of businesses, domains, and industries.

Hardware segment to reach US $ 1 billion by 2026
In the global Hardware segment, USA, Canada, Japan, China and Europe will drive the 10% CAGR estimated for this segment. These regional markets accounting for a combined market size of US $ 502.9 million in the year 2020 will reach a projected size of US $ 980.7 million by the close of the analysis period. China will remain among the fastest-growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US $ 48.8 million by the year 2026, while Latin America will expand at a 8% CAGR through the analysis period.