JD Edwards aims products at SMEs

JD Edwards aims products at SMEs

Enterprise resource planning software company JD Edwards is to aggressivelytarget medium-sized companies with a number of tailored products and services.

The company, which suffered falling revenues last year and was forced to layoff hundreds of workers globally, has identified 200,000 ‘marketopportunities’ that could yield potential revenues of more than $200bn,chief operating officer Hank Bonde told a press conference yesterday.

Details of the new drive will be revealed to more than 8,500 of thecompany’s customers at its user conference in Denver later today. The company currently has 6,000 customers, many of whom are large companieswith billion-dollar annual revenues. They typically pay around $400,000 foran ERP solution.

However the new One World advanced planning solutions specifically tailoredfor ‘mid-market-enterprises’ will cost less than $150,000. JD Edwards hasalso tailored training and implementation services for these businesses.Beneficiaries of this ‘very aggressive pricing’ will typically be companieswhose turnovers are less than $500m per annum.

Announcing the new products, Bonde quoted analysts from AMR Research whohave predicted that the enterprise commerce market will grow from about$108bn this year to nearer $264bn in 2005.

And he said the move to target smaller companies was part of a drive to’revitalise’ JD Edwards. ‘We have taken critical steps to better serve theunique needs of the mid-enterprise,’ he said.

‘We have significantly reduced the layers of management between ourexecutives and customers, trimmed $75mn in non-value-adding costs from ourbusiness, reorganized our worldwide sales territories, and strengthened ourinvestments in product development, marketing, training and services. Thishas helped create a reinvigorated, focused JD Edwards.’

CEO, president and chairman Ed McVaney added: ‘Too often, vendors offermid-enterprise companies either overly complex and expensive technologiesgeared for large enterprises, or rudimentary software that barely meetstheir current, let alone future, needs.’

But Chief marketing officer Les Wyatt said that was no longer the case: ‘JDEdwards now offers much-needed advanced planning solutions to theoften-neglected but highest-growth segment for collaborative supply chainapplications – mid- enterprise companies and divisions of Global 1000companies with revenues of $250mn to $3bn.’

The company also announced a deal with Andersen to target the automotiveindustry and said that reports of the death of application service providerswas exaggerated by reporting 50 new ASP customer last month. The wins takethe company’s total number of ASP customers globally to 360.

Links

ERP bounces back

JD Edwards slashes global workforce

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource