ERP as a Service is Accelerating

Tipping Point?

A recent article on Seeking Alpha asks “Where is the tipping point for on-demand ERP?”. The author believes as do I that the point is near. Netsuite continues to grow (at about 9% in 2009)despite the poor economy and is introducing programs all the time to compete with on-premise rivals.

Plex Systems is growing even faster than Netsuite at a healthy 20% clip.
There is a huge wave of replacements coming as on-premise products installed in the 1990′s age poorly and the cost to maintain them surges.
The Old Order Changeth, Yielding Place to New…
As King Arthur passed, he knew the world was changing. Infor, QAD, JD Edwards and others are all on the funeral barge drifting out to sea. New companies with new ideas and new business models are rising to take their place.
The sea-change in ERP may not be as dramatic as the demise of the dinosaurs. The results will be the same.
It Has Happened Before
Before the current big names in ERP there were:
- Walker Interactive
- McCormack and Dodge
- Dun & Bradstreet (yes, that’s right)
- ASK
- Cullinet
- MSA and others.
They passed quietly into the history books. What we are seeing today is not new. Companies that don’t adapt whither and die. As with the dinosaurs, new, more adaptible life forms emerge to flourish where the dinos could not.

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