Convergence Push in Enterprise Applications Market, Finds IDC

NORTH SYDNEY – APRIL 15, 2003 – In a new study titled the Australian Enterprise Applications Market Forecast, 2003 to 2007, IDC finds, the major factors that prompt companies in Australia to implement back-office and CRM (Customer Relationship Management) applications are to improve organisational efficiency thus lowering costs and expanding market share to increase revenue.


Bharati Poorabia, IDC Senior Analyst for Software, said, Whether organisations are first-time implementers of enterprise application solutions, or are looking to integrate the new applications with the existing systems, the ease and flexibility with which the convergence between IT solutions such as back-office and CRM (Customer Relationship Management) can be achieved remains a much greater incentive to invest in enterprise application solutions.

IDC has found the following key drivers have emerged which will fuel the demand for enterprise applications, such as ERM (Enterprise Resource Management), SCM (Supply Chain Management) and CRM (Customer Relationship Management).

Organisational efficiencies – Companies want to take advantage of industry best practices that are available in the vertical solutions to improve organisational efficiencies.

Opportunities in the mid-market space – Many large vendors are now focusing on the next level; the mid-market are restructuring their traditional offerings to suit the target market needs.

Integration – Innovation and seamless integration across the applications will drive demand for the enterprise applications market.

Enterprise applications is an evolving solution, with businesses accepting enterprise applications as part of their overall business strategy. Also, business complexity involving high-volume, routine transactions, specialised skills and enterprise wide information including finance and accounting, human resources, information services, sales and marketing, logistics, and so on – will drive organisations to use enterprise application solutions more rigorously. Commented Bharati Poorabia, IDC Senior Analyst for Software.

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IDC is the foremost global market intelligence and advisory firm helping clients gain insight into technology and eBusiness trends to develop sound business strategies. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts local and worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC's customers comprise the world's leading IT suppliers, IT organisations, eBusiness companies and the financial community. Additional information can be found at