Global Knowledge Management Market to Reach $1.1 Trillion by 2026

Knowledge management is a managerial approach through which an organization collects, analyzes, systematizes, stores, and shares its knowledge assets or knowledge-based intellectual property. The global market is anticipated to expand due to the growing need to retain customers and improve customer satisfaction. The COVID-19 pandemic and the resultant remote working phenomenon has provided a significant boost for knowledge management solutions across the world. With the remote working pattern emerging as a mainstream phenomenon, the need for knowledge management solutions is expected to increase going forwards. Even with the COVID-19 curve flattening, and mass vaccination programs still at a distance, most companies are expected to continue with the work-from-home model at least into the near future. The KM systems fit perfectly into the needs of an organization, which could be required to operate with employees of other departments in the absence of relevant workforce (either due to layoff or COVID-19 related absenteeism). The pandemic also caused several companies to adopt cloud-based software that imparts flexibility to their businesses, while those with such technologies already in place would continue to have an edge other those transitioning later. The use of cloud-based KM systems would help organizations create and share information in real-time with employees for better customer handling. In addition, increasing amounts of data being collected by organizations is expected to drive the demand for knowledge management solutions.

Amid the COVID-19 crisis, the global market for Knowledge Management estimated at US$381.5 Billion in the year 2020, is projected to reach a revised size of US$1.1 Trillion by 2026, growing at a CAGR of 19.8% over the analysis period. Systems, one of the segments analyzed in the report, is projected to grow at a 18.2% CAGR to reach US$444.5 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 Mechanisms & Technologies segment is readjusted to a revised 21.1% CAGR for the next 7-year period. This segment currently accounts for a 28.5% share of the global Knowledge Management market. A Knowledge Management System (KMS) is associated with carrying out various functions of KM, i.e. collection, dissemination, analysis and general management of knowledge or information, for an organization, and delivers results that enable the organization to use the same in an effective and efficient manner. KMS system is intended for using and applying the principles of KM for allowing customers and employees to rapidly create, find and store relevant information. Knowledge Management Mechanisms are structural or organizational means utilized for promoting knowledge management. Some examples of KM mechanisms include on-the-job training, learning by doing, learning by observation, and face-to-face meetings. Knowledge Management Technologies refer to various types of information technologies that enable knowledge management.

The U.S. Market is Estimated at $164.7 Billion in 2021, While China is Forecast to Reach $176.9 Billion by 2026

The Knowledge Management market in the U.S. is estimated at US$164.7 Billion in the year 2021. The country currently accounts for a 35.39% share in the global market. China, the world`s second largest economy, is forecast to reach an estimated market size of US$176.9 Billion in the year 2026 trailing a CAGR of 27.1% through the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 15.6% and 17.7% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 17.7% CAGR while Rest of European market (as defined in the study) will reach US$219.1 Billion by the end of the analysis period. Global enterprises are making substantial investments in developing innovative approaches and strategies for competing successfully in a knowledge-based market. Such innovative practices, resulting in the development of knowledge-intensive products and services, are prevalent amongst enterprises in North America and Europe.

Process Segment to Reach $265.6 Billion by 2026

Knowledge Management Processes refer to approaches used by an organization for handling knowledge at various stages of KM lifecycle. The segment includes processes that are used for applying knowledge, capturing knowledge, creating knowledge, and sharing knowledge. In the global Process segment, USA, Canada, Japan, China and Europe will drive the 22.9% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$59.1 Billion in the year 2020 will reach a projected size of US$249.9 Billion 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$38.1 Billion by the year 2026.