Singapore ERP Software Sector: Growth Drivers and Challenges
Growth Drivers
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Growing Penetration of Mobile Phones
The number of smartphone users in Singapore was anticipated to reach about 4 million in 2020, with approximately 92 percent of the population expected to use the device by 2025. This growing penetration of mobile phones is further estimated to boost the demand for ERP software. A mobile ERP is a software program that users may access from anywhere using special mobile devices. It encourages user mobility, in-the-moment communication, and productivity. Hence, owing to this many organization is also planning to invest in mobile ERP software.
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Rise in Number of Small & Medium Enterprises
According to government figures, Singapore was having approximately 300,000 SMEs by the end of 2020.
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Surge in IT Workforce in Singapore
According to the Ministry of Manpower, Singapore has roughly 90,000 IT and software professionals, or about 3% of the overall employment.
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Growth in Adoption of Digital Technology
In response to the COVID-19 outbreak, the Ramco Innovation Lab in Singapore unveiled the RamcoGEEK, an advanced facial recognition-based Time & Attendance System that is embedded with Temperature recording and Internet of Things sensor doors.
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Growing Use of Internet
The number of internet users in Singapore in 2020 was about 4 million. In the ensuing several years, this number is anticipated to increase much further.
Challenges
- High Price of ERP Implementation - Since ERP software is more complex, creating it is difficult and expensive. To create enterprise resource planning software that meets the needs of the customer, a skilled, experienced team is required. Considerable expertise levels necessitate expensive hourly rates; hence the price of a tailored solution may be high. Although ready-made ERP systems are speedier options, their license costs are also very hefty. Hence this factor is estimated to hinder the growth of the market.
- Lack of Skilled Employees Handling ERP Software
- Strict Rules & Regulation Set by Government
Singapore ERP Software Market: Key Insights
|
Base Year |
2019 |
|
Forecast Year |
2023-2033 |
|
CAGR |
12.4% |
|
Base Year Market Size (2019) |
USD 547.2 Million |
|
Forecast Year Market Size (2033) |
USD 2,642.4 Million |
|
Regional Scope |
Singapore |
