The supply chain management (SCM) IT services market will expand from $26.1 billion in 2002 to $40.5 billion in 2007, representing a five-year compound annual growth rate (CAGR) of 9.2 percent, a new study from IDC reveals.

Due to the economic downturn and geopolitical concerns, IDC research shows that in 2002, buyers were less receptive to large-scale SCM investments that required complex and lengthy implementations and internal change. Instead, the market demonstrated a clear preference for smaller-scale projects that addressed immediate pain points with an up-front return on investment (ROI) and clear "show me" milestones.

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