Oracle getting ready for next De-ERP-izing drive

In last few years, we all saw how Oracle is acquiring new companies and products only to stack them around their core ERP eBusiness Suite and not only integrate them with EBS but also give a look and feel of a single product - which they love to call Fusion Products.


There is a lot of commercial sense in what Oracle did and is still doing as all of the acquired companies were either doing well or had a great potential to do well. Some of them were either the best of breed niche product companies and some of them were products that complemented EBS in many ways. Be it Siebel for CRM or Peoplesoft for HRMS or Agile for PLM or that matter Demantra for Planning - All were acquired with the same thinking in mind. In addition of the commercial gains, the other major reason by Lary Elison is planning these acquisitions is a well thought strategy of planning to face next wave of, what I call as, De-ERP-izing the application landscape of large organizations.


The trend has already started to show face and increasingly it is highly likely that organizations will have the tendency to move towards best of breed technology products in critical areas like Planning, PLM, Project Management, Service Parts Planning, Business Intelligence, Master Data Management etc. and keep the ERP as the spinal cord which interacts with all these systems and remain as one source of truth for everybody - so the ERP might be relegated as just the transactional system that facilitates reporting and can receive and send data from the best of breed systems that are best in one or other niche area and offer much more flexibility and enhanced functionality to the customers.


Oracle, through its acquisitions, identified some of these niche systems and targeted them to integrate with the EBS so that they are ready to reap the benefits rather than suffering as a result, of the next De-ERP-izing drive.

No comments:

Post a Comment

Your thoughts are welcome