For Business Process & Applications Professionals (Length: 13 pages)

April 7, 2005

Midsize ERP Vendors Fend Off Newcomers

SMBs Benefit From Competition

by R "Ray" Wang

with Noha Tohamy, Jessica Harrington

Executive Summary (This is a document excerpt)

A battle is brewing for the growing small and medium-size ERP business application market. Historically, midsized ERP vendors, such as Geac, IFS, Infor, Intentia, Lawson, and SSA Global Technologies, have dominated the midsize market, but small and medium-size businesses (SMBs) are increasingly considering offerings from SAP, Oracle, and Microsoft. To protect their turf against the heavyweights, traditional midsize ERP vendors have focused on expanding their functionality and market reach. Some seek to grow organically; others scoop up distressed companies, leaving their product and customer base intact; while a third group focuses on integrating its acquisitions to extend its product footprint. While all three strategies are keeping SAP, Oracle, and Microsoft at bay for now, Forrester believes that midsize ERP vendors that focus on acquiring and integrating other ISVs will have the best long-term chances for success. They will be able to offer their customers a viable alternative that is rich in functionality yet matches the large ISVs claims for low total cost of solution ownership.

TABLE OF CONTENTS

NOTES & RESOURCES

itemLarge ISVs Set Their Sights On The Midsize ERP Market

itemSAP Embarks On A Partner-Friendly Strategy

itemOracle Focuses On A Solutions Play

itemMicrosoft Invests In Partners And Convergence

itemTraditional Midsize ERP Vendors Respond With Differing Growth Strategies

itemFear Of Competition Drives Focus And Service For SMBs

recommendations

itemUsers: Don't Let Uncertainty Paralyze Decision-Making

WHAT IT MEANS

itemAssimilators Have The Best Chance For Survival

itemSupplemental Material

Forrester interviewed nine ERP vendors — Glovia International, IFS, Infor, Intentia, Lawson, Microsoft, Oracle, QAD, and SAP — and relied on 925 SMB respondents from Forrester's Business Technographics® November 2004 United States SMB Benchmark Study.

Related Research Documents

itemTop IT Priorities For Medium-Size Businesses In 2005

November 24, 2004, Trends

itemERP Applications — Market Maturity, Consolidation, And The Next Generation

April 2, 2004, Market Overview

Find Documents In Related Categories

This document falls under the following categories. Click on a link below to find similar documents.
Analyst: R "Ray" Wang
Technology: Enterprise Resource Planning Applications, Packaged Applications
Geography: Asia Pacific, Europe, North America

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