How Can ERP Companies Reinvent Themselves, Convince Customers to Upgrade to Newest Platforms?
By: ChainLink Research August 29, 2014
Infor, Epicor, Aptean, QAD, UNIT4, SAP, Microsoft, Oracle and others all have the challenge of owning many solutions built over 20 years ago or more. In fact, many enterprises are still running twenty-year-old software. Still, many firms have yet to buy their first ERP, and they will certainly not purchase the old ERPs written in RPG, BASIC and ABAP or with Progress databases and so on.
That many companies continue to use the older systems is a testament to the developers who, back in the day, created a truly functional product. However, these older systems are costing more and more to support and ultimately, may not be supported. Though most of the solution providers have promised to continue to support the older software, there is a ticking time bomb here. At some point they may stop providing updates and give old customers a push to move off the old systems. And the baby boomers who wrote and support this code also will be moving on, retiring, making it difficult to support the old code. Having fewer resources means less responsiveness and more expensive support fees over time.
How will ERP companies reinvest to reinvent themselves? What strategies will ERP providers use to incent their customer to move up to the new platform?