Do you know 85% of the organisations applying intelligent technologies will have evolved to operate as autonomous organisations by 2028? Yes, you heard it right. MarketScape recently reported that innovation speed is increasing, and ERP companies leveraging AI, ML, chatbots, gen AI, natural language processing, and robotics are key partners to consider for the digital future. Such an innovation will redesign the usage of ERP systems in the upcoming years. This will also restructure the use of technology resources within the business.
Back-office ERP systems have recently gained momentum since firms are actively looking to digitize and automate their business processes. They also want to upgrade their application collection, transfer to the cloud, and speed up business processes. Continue reading to learn more about the leading ERP companies.
Why is ERP Important Today?
Implementing an ERP system within the organisation and then leveraging industry differentiation is quickly becoming a trend. The expansion of ERP into more applications is quickly reshaping the usage for both firms and end users, and the dependence on technology. For instance, automated processes discard the need for more employee involvement and effectively transform the business experience.
Choosing and implementing the right ERP system is the most important task today. It has been reported that 30% of multinational companies will exploit opportunities with human-like interfaces in their enterprise applications to gather more information and improve decision-making. Also, organisations will reduce the process time between events and decision-making to achieve a competitive edge.
Top 10 ERP Companies Today
We have created a list of the top 10 ERP companies that should be considered while selecting a vendor. Some ERP companies emphasize the SME market, while others are developed to meet the needs of large, multinational companies. Some ERP companies emphasize accounting, finance, and HR factors, while others focus on product-centric firms like manufacturing.
A particular thing where all the ERP companies come to an agreement is the inclusion of generative AI into their ERP systems. For example, Microsoft has already started its game with Copilot.
If we compare the market share of the leading ERP companies, the top three—SAP, Oracle, and Microsoft—are dominating the market. These three companies strive to provide a wide range of ERP offerings. On the other hand, small competitors are looking to differentiate themselves with detailed insights into business processes for particular vertical segments. Let’s explore what these ERP companies are offering.
SAP
SAP is the runaway market share leader with a huge fan base of large MNE clients. This is one of the leading ERP companies that includes the customers from their rigid on-premises ERP platform to S/4 HANA cloud. SAP offers huge discounts and other incentives to provide S/4 HANA Cloud, which is entirely managed with modules that cover all the ERP bases.
SAP has announced an overall transformation program and restructuring, focusing on strategic growth areas, mainly AI.
The restructuring will impact around 8,000 positions. SAP reports that voluntary leave programs and internal reskilling will help it reach that number.
Microsoft
As per Gartner’s report, Microsoft is positioned in the visionary category for ERP systems. It caters to the service-centric firms. Dynamics 365 is mainly a SaaS solution presented as a managed service. Microsoft enjoys the advantage of integrating its ERP capabilities with the entire Microsoft ecosystem, like Azure cloud and apps like Power BI, Dataverse, and Power Apps. Additionally, Dynamics 365 is an ERP and CRM system that ensures integrations across marketing, sales, and customer service. This makes it unique among the ERP Companies.
Microsoft officially announced the initial price of Dynamics 365 on 12th April. Microsoft finalised a 17% price increase per user per month for Dynamics 265 modules, mainly for features such as supply chain management and finance.
Oracle
Oracle Fusion Cloud ERP by Oracle is for the largest of organisations. Oracle NetSuite is for the smaller firms that allow the organisation to acquire a unique position in the market. Oracle Fusion Cloud ERP marks a leading category for its modular and configurable ERP offerings. Oracle’s acquisition of Cerner in 2022 positively increased its ability to offer ERP software to the healthcare market. As per a latest report, Oracle reported a revenue of $800 million in the third quarter of Fusion Cloud. Whereas, NetSuite also acquires a revenue of $800 million. This outperforms other ERP Companies.
Infor
Inform does not step back from competing against the leading ERP companies. What differentiates Infor is its industry-specific ERP solutions, which merge technology and longstanding experience on how business processes work in the healthcare and aerospace industries. The MNEs often get attracted to Infor because they find it a good solution, which is less expensive and a convenient supplier to do business with compared to SAP or Oracle. Hence, Infor acquires a strong position among leading ERP companies by catering to the large and global enterprises.
Infor announced the rollout of Gen AI and ESG Reporting on 9th April to assist businesses in exploiting AI’s potential to boost productivity and report on sustainability. Around 60,000 companies across 175 countries depend on Infor ERP.
Workday
Workday holds a strong position among the service-centric ERP companies, focusing on HR and financial management. The Workday Enterprise Management Cloud aims to attract upper-midmarket, large, and global firms. However, it has several customers with a net revenue of less than $150 million.
Workday plans to acquire HiredScore, the leading AI-enabled talent orchestration software supplier. This vendor generates $7.3 billion in total revenue.
Epicor
The Industry ERP Cloud by Epicor offers industry-specific solutions, such as Kinetic for manufacturers, Prophet 21 for distributors, and Eangle and Propello for retailers. Most of its customers are mid-size enterprises specialising in automotive, distribution, manufacturing, building supply, and retailers. Epicor’s strategy emphasises AI-powered supply chain data and analytics, including the usage of genAI and sustainability capabilities.
The vendor announced a total revenue of approximately $1 billion on 9th April. The company also witnessed a 42% year-over-year growth in SaaS-based cloud revenue, keeping other ERP Companies in tension.
IFS
The IFS Cloud is a strong ERP system focusing on manufacturing, aerospace, defense, engineering, utilities, chemical, construction, energy, and food and beverage industries. The clients for IFS are mainly midsize. However, IFS also competes for clients from the largest ERP companies. It is listed in the visionary segment as a manufacturing-centric business featuring digital twin, shop floor integrations, and innovative factory capabilities for real-time planning and execution.
Recently, IFS appointed its chief customer officer as the new CEO. This year, it achieved a 26% year-over-year revenue growth.
Sage
Sage is among the top ERP companies aiming at accounting, HR, finance, and payroll for small and mid-size organisations with its two product portfolios. This includes Sage Intacct and Sage X3. The ERP by Sage is a cloud-based system, and the business offers services to help them migrate their applications to the cloud. Sage introduced Sage Copilot an AI-powered productivity assistant, and product improvements to Sage Intacct at its annual conference.
Acumatica
Acumatica is a top supplier in the SME market with its industry-specific modules across construction, retail, manufacturing, and general business. It is cloud-based, and its strengths lie in its modular architecture, which allows clients to select the capabilities that they need the most.
Acumatica has a fast-growing client base of up to 10,000, which gives it tough competition from other ERP Companies.
QAD
QAD is a visionary ERP provider known for its Adaptive ERP product suite, which offers administrative and operational support through a single platform. The organization mainly focuses on six manufacturing domains: automotive, food and beverage, life sciences, consumer products, industrial, and high-tech. It acquired Redzone workforce software, which integrates employees on the unit floor. Therefore, it is expected to continue its leading position among ERP Companies.
Also Read:
