Thu, Jun
3 New Articles

Turmoil in the CRM Marketplace!

Customer Relationship Management
  • Smaller Small Medium Big Bigger
  • Default Helvetica Segoe Georgia Times

It's hard to believe it has been just a few weeks since Oracle announced its $5.85 billion buyout of Siebel, the "best of breed" CRM vendor. I like to wait a little while before I comment on something new; it gives me a chance to work out the new jokes first!

Look for this acquisition to go through smoothly, without objections from either Siebel or its shareholders, in early 2006.

So what does this mean for Siebel, Oracle, and more importantly, JD Edwards customers?

Siebel wasn't doing well as an independent software vendor (ISV). The company was competing against Salesforce.com, with its online Web-based solution, and SAP, with its CRM solution being part of an overall ERP solution. So in the short-term, this is good news for Siebel customers, as they are now housed within Oracle's suite of solutions. Long-term, I'm sure that Siebel customers will be pressured (excuse me, "given the opportunity") to convert to Oracle's new Fusion applications.

For Oracle, this acquisition has been rumored for months, and it is good to see it happen. Now, Larry can stop his buying spree (PeopleSoft/JD Edwards, Retek, Siebel, and probably 10 other smaller companies in the last year) and focus on producing an integrated solution to compete with SAP. Larry now has an opportunity to sell an ERP solution to Siebel customers. Look for SAP to counter with a Siebel-to-SAP conversion program for Siebel customers who already use SAP apps as well as another marketing program for Siebel customers who don't already use SAP. If there are any third-party Siebel maintenance firms out there, let me know. I'd like to buy a piece and wait a few weeks for SAP to buy them out.

Oracle's share of the CRM market is now estimated by AMR Research to be $1.7 billion, or 15% of the total $11.5 billion annual CRM market. Coincidentally, this puts Oracle in a tie with SAP, which also has 15% of the market.

Of course, the fact that Oracle now has five separate CRM solutions is a bit of a problem. It has its own solution, included with its E-Business application suite. Then it has PeopleSoft's solution, Vantive, which PeopleSoft acquired in late 1999. The JD Edwards CRM solution space is pretty messy--with both the Youcentric solution, which JDE acquired in 2001, and a new EnterpriseOne solution rolled out in version 8.11. JD Edwards (actually PeopleSoft) called this "embedding CRM into 8.11." Hmm...is that better or worse than native coding? Sounds like they inserted a CNN reporter into the software! Reality is that very few JD Edwards clients are using CRM. At JDEtips, our CRM articles are among the least downloaded topics, and that is a definite tip-off.

Good thing that Project Fusion is already underway! I hear that the basic Address Book design is done, and the designers are currently working on the accounting coding block design. If you believe that Oracle will come out with a complete set of Fusion applications by 2008, I've got a condo off the Gulf of Mexico to sell you.

There is no doubt in my mind that the Oracle CRM space will be an absolute mess for many years, which gives SAP, Salesforce.com, and even Microsoft a leg up. Microsoft? How did they get into the picture? Microsoft has a competent CRM offering (creatively named Microsoft CRM), and it will prove an excellent refuge in the coming storm. In fact, this opportunity is so good that, with the help of one of our software partners, Klee Associates will be selling Microsoft CRM to JD Edwards customers (with full integration to World and EnterpriseOne) within a matter of weeks.

For Siebel customers, the eventual CRM solution in Oracle's Fusion software will undoubtedly look and perform much like Siebel does today. That's a reflection of the maturity of Siebel's software compared to the immaturity of Oracle's other solutions (with the exception of PeopleSoft's Vantive). The big losers will be the Vantive users, who have a mature product as well but can't win the Fusion design wars in the face of Siebel. JD Edwards clients really don't have anything much to lose, as their CRM apps are probably the weakest of all.

Look for a wide-open CRM market in the coming 12 to18 months as Oracle's Siebel acquisition takes hold, as SAP reacts, and as everyone from Microsoft to Salesforce.com tries to take advantage. Who knows who the eventual winner will be--perhaps the customers will win as they figure out how to leverage their buying power in the CRM market.

Andy Klee is the President of Klee Associates, Inc. Established in 1998, after Andy's decade-long career with JD Edwards, Klee Associates publishes the JDEtips, SAPtips, and ORAtips journals, which are read by thousands of IT staff and key business users at over 600 JDE, SAP, and Oracle clients. Klee also runs successful consulting, training, permanent placement, and third-party maintenance practices. Learn more at www.ERPtips.com.



Support MC Press Online

$0.00 Raised:

Book Reviews

Resource Center

  • SB Profound WC 5536 Have you been wondering about Node.js? Our free Node.js Webinar Series takes you from total beginner to creating a fully-functional IBM i Node.js business application. You can find Part 1 here. In Part 2 of our free Node.js Webinar Series, Brian May teaches you the different tooling options available for writing code, debugging, and using Git for version control. Brian will briefly discuss the different tools available, and demonstrate his preferred setup for Node development on IBM i or any platform. Attend this webinar to learn:

  • SB Profound WP 5539More than ever, there is a demand for IT to deliver innovation. Your IBM i has been an essential part of your business operations for years. However, your organization may struggle to maintain the current system and implement new projects. The thousands of customers we've worked with and surveyed state that expectations regarding the digital footprint and vision of the company are not aligned with the current IT environment.

  • SB HelpSystems ROBOT Generic IBM announced the E1080 servers using the latest Power10 processor in September 2021. The most powerful processor from IBM to date, Power10 is designed to handle the demands of doing business in today’s high-tech atmosphere, including running cloud applications, supporting big data, and managing AI workloads. But what does Power10 mean for your data center? In this recorded webinar, IBMers Dan Sundt and Dylan Boday join IBM Power Champion Tom Huntington for a discussion on why Power10 technology is the right strategic investment if you run IBM i, AIX, or Linux. In this action-packed hour, Tom will share trends from the IBM i and AIX user communities while Dan and Dylan dive into the tech specs for key hardware, including:

  • Magic MarkTRY the one package that solves all your document design and printing challenges on all your platforms. Produce bar code labels, electronic forms, ad hoc reports, and RFID tags – without programming! MarkMagic is the only document design and print solution that combines report writing, WYSIWYG label and forms design, and conditional printing in one integrated product. Make sure your data survives when catastrophe hits. Request your trial now!  Request Now.

  • SB HelpSystems ROBOT GenericForms of ransomware has been around for over 30 years, and with more and more organizations suffering attacks each year, it continues to endure. What has made ransomware such a durable threat and what is the best way to combat it? In order to prevent ransomware, organizations must first understand how it works.

  • SB HelpSystems ROBOT GenericIT security is a top priority for businesses around the world, but most IBM i pros don’t know where to begin—and most cybersecurity experts don’t know IBM i. In this session, Robin Tatam explores the business impact of lax IBM i security, the top vulnerabilities putting IBM i at risk, and the steps you can take to protect your organization. If you’re looking to avoid unexpected downtime or corrupted data, you don’t want to miss this session.

  • SB HelpSystems ROBOT GenericCan you trust all of your users all of the time? A typical end user receives 16 malicious emails each month, but only 17 percent of these phishing campaigns are reported to IT. Once an attack is underway, most organizations won’t discover the breach until six months later. A staggering amount of damage can occur in that time. Despite these risks, 93 percent of organizations are leaving their IBM i systems vulnerable to cybercrime. In this on-demand webinar, IBM i security experts Robin Tatam and Sandi Moore will reveal:

  • FORTRA Disaster protection is vital to every business. Yet, it often consists of patched together procedures that are prone to error. From automatic backups to data encryption to media management, Robot automates the routine (yet often complex) tasks of iSeries backup and recovery, saving you time and money and making the process safer and more reliable. Automate your backups with the Robot Backup and Recovery Solution. Key features include:

  • FORTRAManaging messages on your IBM i can be more than a full-time job if you have to do it manually. Messages need a response and resources must be monitored—often over multiple systems and across platforms. How can you be sure you won’t miss important system events? Automate your message center with the Robot Message Management Solution. Key features include:

  • FORTRAThe thought of printing, distributing, and storing iSeries reports manually may reduce you to tears. Paper and labor costs associated with report generation can spiral out of control. Mountains of paper threaten to swamp your files. Robot automates report bursting, distribution, bundling, and archiving, and offers secure, selective online report viewing. Manage your reports with the Robot Report Management Solution. Key features include:

  • FORTRAFor over 30 years, Robot has been a leader in systems management for IBM i. With batch job creation and scheduling at its core, the Robot Job Scheduling Solution reduces the opportunity for human error and helps you maintain service levels, automating even the biggest, most complex runbooks. Manage your job schedule with the Robot Job Scheduling Solution. Key features include:

  • LANSA Business users want new applications now. Market and regulatory pressures require faster application updates and delivery into production. Your IBM i developers may be approaching retirement, and you see no sure way to fill their positions with experienced developers. In addition, you may be caught between maintaining your existing applications and the uncertainty of moving to something new.

  • LANSAWhen it comes to creating your business applications, there are hundreds of coding platforms and programming languages to choose from. These options range from very complex traditional programming languages to Low-Code platforms where sometimes no traditional coding experience is needed. Download our whitepaper, The Power of Writing Code in a Low-Code Solution, and:

  • LANSASupply Chain is becoming increasingly complex and unpredictable. From raw materials for manufacturing to food supply chains, the journey from source to production to delivery to consumers is marred with inefficiencies, manual processes, shortages, recalls, counterfeits, and scandals. In this webinar, we discuss how:

  • The MC Resource Centers bring you the widest selection of white papers, trial software, and on-demand webcasts for you to choose from. >> Review the list of White Papers, Trial Software or On-Demand Webcast at the MC Press Resource Center. >> Add the items to yru Cart and complet he checkout process and submit

  • Profound Logic Have you been wondering about Node.js? Our free Node.js Webinar Series takes you from total beginner to creating a fully-functional IBM i Node.js business application.

  • SB Profound WC 5536Join us for this hour-long webcast that will explore:

  • Fortra IT managers hoping to find new IBM i talent are discovering that the pool of experienced RPG programmers and operators or administrators with intimate knowledge of the operating system and the applications that run on it is small. This begs the question: How will you manage the platform that supports such a big part of your business? This guide offers strategies and software suggestions to help you plan IT staffing and resources and smooth the transition after your AS/400 talent retires. Read on to learn: