Microsoft’s Dynamics ERP may never have the enterprise-market potential touted by SAP and Oracle, but the company is aiming to dominate the small- to medium-sized business market.
Microsoft doesn’t break down revenue reports from its Dynamics line by segment, but Ray Wang, a partner at the Altimeter Group analyst firm, estimates that Dynamics ERP brings in between $1.1-$1.2 billion per year. Dynamics EMEA’s director of ERP field marketing, Phil Battersby, calls the midmarket their “sweet spot,” and states that Microsoft isn’t trying to poach enterprise customers from SAP and Oracle. Battersby acknowledges that those companies have been giants in that market for a while, and now Microsoft wants to carve its niche in the SMB space.
According to Computer World, there is plenty of room for Microsoft in the SMB market. For one, many midsize companies are looking for on-demand replacements for legacy systems. In addition, smaller companies who are expanding will likely be looking for unified ERP systems, and here Microsoft Dynamics ERP has an advantage: their user interface closely resembles that of the MS Office Suite applications these businesses are likely already using for business management.
Another factor boosting sales in Dynamics ERP: it’s done entirely through a partner system, where partners polish the system for local sales. This locality also adds a personal touch that is apt for dealing with SMBs. Of the partner system, Battersby also noted that it helps Dynamics ERP expand into more verticals.
Last month, Plex Systems announced added enhancements in supplier quality management. The company provides ERP solutions for manufacturers, and these new, streamlined improvements will allow users to engage suppliers in ongoing improvements and operational efficiencies.
Now users of Plex Online, which is an integrated SaaS ERP solution, can permit anyone in their supply chain limited access to the Engineering Change Request system, which allows them to submit chain requests, share resulting savings, and alter specifications and processes. The idea behind this update is to help manufacturers boost productivity while cutting costs in product development cycles.
The supplier management functionality also has new supplier scorecards with expanded drill-down capabilities. More specifically, there is a new capacity for calculating scores for “parent” and “child” suppliers and for individual businesses. There is also a function for defining multiple formulas for metric and target ranges in various metric groups. These scorecards have been improved for user-friendliness with color-coding for readability, as a means of simplifying the system so managers across the system can easily pull data.
Capital City Distribution is a Sacramento-based online supplier, and last week they announced their selection of SYSPRO ERP for a more efficient ERP solution. Why the need for more efficiency? Prior to this selection, Capital City was utilizing Quickbooks and Inflow for inventory control.
Capital City supplies high-quality, cost-effective equipment to spas and beauty salons, and the sale of the SYSPRO solution was brokered by reseller E2E Management. SYSPRO was selected for inventory management, and to integrate and unify the operational data previously stored in Quickbooks and Inflow. Several factors contributed to Capital City’s decision, one of them being SYSPRO’s enhanced business analysis and accurate forecasting. Another factor was SYSPRO Return Merchandise, which provides an efficient method of controlling the return and exchange of items sold to customers while allowing visibility and tracking of the item until the transaction is completed.
This week, one of Romania’s most modern hotels, Capital Plaza in Bucharest, announced they have selected Epicor ERP’s Epicor for Hospitality as their global solution. The Hospitality suite offers a variety of industry-specific applications and tools, like property management and point of sale integrations, cash and sales reconciliation, procurement and SCM, and back office functions for finance.
Speaking to the quality of Epicor for Hospitality is the fact that Capital Plaza is a four-star hotel, and had investments totaling €7 million before its grand opening at the beginning of this month. The hotel has 95 rooms on five floors, a business center, meeting rooms, and several eateries. The hotel’s financial manager says Epicor was the obvious solution because it provided maximum protection for data and financial information.
Other hotels using Epicor for Hospitality include Hyatt and Le Meridien, and the platform is can be integrated with hotel specific functionality and a simple UI. In addition, all data reports within the system can be exported to Microsoft Excel for further manipulation.
It isn’t news that cloud-computing software vendors are hawking their products as the perfect solution for mid-market enterprises experiencing a cash crunch, and now these vendors are pushing their applications to large enterprises trying to maintain circulation to their branches. Today at the Oracle OpenWorld convention, NetSuite announced a new version of their OneWorld product, which gives Oracle E-Business Suite users the savings and efficiency benefits of the cloud at a divisional level, while retaining current investments in Oracle applications at the corporate level.
During the economic crisis (from which we thankfully appear to be emerging), many corporations were unhappy with investments made in integrated productivity software suites, finding them unable to deliver the functionality and flexibility needed for managing multiple divisions. With cloud services, OneWorld for Oracle intends to bridge the corporate-branch gap, offering a modern solution for management from corporate systems. OneWorld for Oracle has been praised in particular by multinational companies looking to eliminate the restrictions of time zones and geography.
NetSuite’s new application is powered by SuiteCloud Connect, through which divisional users can send data to corporate, and adapts to several industry standard technologies for data migration. Of course, SuiteCloud Connect is not only for Oracle, but can be integrated into a number of ERP systems—it is essentially for any large enterprise wanting to blend their technology investments with on-demand services.
The Ohio-based B.J. Alan Company announced last week they had successfully implemented one of VAI’s latest ERP solutions, S2K 5.0, for a subsidiary company, Phantom Fireworks.
Phantom is a national distributer of fireworks with 50 separate retail stores in the US, and has been using VAI products since 2002, upgrading to S2K 5.0 earlier this year. Crucial to Phantom’s business needs was S2K’s ability to help B.J. Alan run each store independently from headquarters in Ohio. This separation is especially important because many of these stores are only open a few months of the year, and need a flexible ERP system to accommodate influxes. Of course, Phantom Fireworks is also pleased with the access S2K 5.0 provides to accurate, real-time financial information, and that it is equipped with technical resources to increase cash flow.
When they add S2K for Retail, which will be fully integrated in 2010, and S2K for Distribution, all of Phantom’s financial data will be consolidated to centralize information across the whole business. S2K 5.0 implementation also helps B.J. Alan quickly locate and move items, removing delay times that would have existed previously.
The economic crisis has forced retailers to be more strategic and scientific with markdown processes, and ERP provider Epicor Software is there to meet their needs. Earlier this week, Epicor announced they would be adding MarkdownXpert to their Retail Merchandising suite.
The optimization offered by MarkdownXpert allows users to take a more effective markdown approach to better manage inventory and margin risk. Markdowns are elemental to stimulating sales, but naturally, unmonitored markdowns can be detrimental. MarkdownXpert has scalable algorithm development, and will give retailers apt and granular information regarding consumer demand, enabling them to make informed decisions.
A bonus to MarkdownXpert’s resources is the application’s ability to “learn” from each retailer’s best practices over time and use this information predictively. MarkdownXpert will make recommendations, and provides the retailer with a more accurate and relevant forecasting source. Like Epicor’s other ERP solutions, Retail Merchandising utilizes Microsoft .NET technology to improve business operations and help businesses acclimatize to ever-changing merchandise and service expectations. Companies that will benefit from the new MarkdownXpert are Zales, American Eagle Outfitters, and Ann Taylor, to name a few.
Epicor Software was selected this week as the ERP provider for emerging Australian company Renewed Metal Technologies (RMT). RMT is a private company embarking on a AU$50 million resource recovery facility in New South Wales, and has selected the Epicor 9 platform for its ability to support RMT’s multiple operating divisions around the country.
RMT’s new facility is expected to be finished by 2010, and will recycle up to 42,000 metric tons of used lead batteries each year, which will then be processed back to basic raw materials. Given the company’s long-term goals for expansion, they selected Epicor 9 to centralize data from existing platforms to help drive company growth.
Factors in RMT’s decision include both Epicor’s track record in the ERP market, and their use of Web 2.0 practices in creating dynamic business solutions, specifically their adaptations for real-time, contextual support.
ERP software heavyweight CDC announced yesterday in Shanghai that it plans to acquire a controlling share in the Hejia Software Technology Co. Ltd. The Beijing-based Hejia is a major ERP software provider in China, and after the customary closing conditions and the completion of due diligence, CDC Software will have a second Chinese partner in its Franchise Partner Program. The program began in 2006, and aims to establish strategic relationships with partners in selected regions (usually emerging markets), through majority control and minority investments; the first Chinese partner was Integrated Solutions Ltd.
Hejia was founded in 1998 and is a major player in the Chinese enterprise market. Their most popular product is HJSOFT, a web-based platform with functionality in ERP, CRM, supply chain management, and financial management. Their products are used by over 400 customers in industries spanning from Healthcare to Industrial. Pending a successful acquisition, Hejia will resell CDC products and leverage the company’s infrastructure to amplify its own sales. CDC executives have been looking to emerging economies for industry growth, and while the Hejia acquisition represents a significant foothold in China, CDC will pursue other investments there.
Deacom recently announced its membership into the American Meat Institute. Deacom traditionally provides it ERP Solution for mid to large sized food processors. With its entry into AMI, Deacom is now connected to a huge percentage of the red meat and turkey suppliers in the US. With their membership, Deacom hopes to improve profitability within the food industry through improved efficiency.
Deacom’s ERP Software gives food processors the ability to conduct a number of business operations through their comprehensive system. All inventory, purchasing, and sales features are easily conducted through Deacom’s software. Through this integrated system, processors are easily able to efficiently conduct operations and improve workflow within their organization. By using a single system, all business activities are coordinated to improve accuracy in accounting as well as improve workflow.
Deacom’s membership into AMI should prove significant in the near future. In being able to work closely with top meat and poultry processing companies, Deacom will be able to provide further customized solutions more specifically tailored to meet the needs of these companies. In creating solutions that match the needs of these organizations, more companies will be quick to adopt Deacom ERP solutions for their own organizations.
Recent Comments