AMR Research reckons that Microsoft Business Solutionsis going to rock the ERP marketplace in 2006.
The research firm as 271 end user firms which they would consider for ERP software purchases in 2006. MBS came first, ahead of Oracle After MBS and Oracle, the top 10 on AMR's "mindshare" list were SAP, with a 49 per cent rating, SSA Global, with a 32 per cent rating, Infor with a 25 per cent rating, Geac with a 24 per cent rating, Lawson with a 22 per cent rating, Intentia with a 21 per cent rating, IFS with a 19 per cent rating, and QAD, with a 17 per cent rating.
"This AMR Research report validates what we're hearing from our customers, that businesses prefer integrated and adaptable solutions over higher-priced products from companies such as SAP," said James Utzschneider, general manager of product marketing for Microsoft Business Solutions.
The AMR report also showed that more than 70 per cent of organisations surveyed plan to increase their ERP spending in 2006. Budget growth in 2006 is projected to increase by what the AMR report's authors call an "astounding" 14.6 per cent. On average, surveyed companies said they plan to spend $5.1 million on all ERP-related activities in 2006. Software purchases will approach 50 per cent of total ERP spending.
"When we asked participants which vendors would be considered in 2006 for their ERP purchases, MBS led the pack," said Jim Shepherd, research director at AMR and co-author of the recent report. "Our research indicates that there will be a huge surge in ERP spending in 2006. With companies of all sizes growing their ERP budgets, this is bound to be a banner year for top vendors in this space."
But some 46 per cent of ERP licences go unused while only 15 percent of total employees are licensed to use their company's ERP system. "Most employees will eventually need access to the central business system in order to do their jobs, which suggests that many organizations are still early in their ERP rollouts and have a great deal of license, services, and infrastructure spending ahead of them," said Shepherd.