enterprise software

Most ERP cloud projects to fail

2010s, CRM, Tech

I’m not a blind believer in what Garner publishes but many industry-leaders do give attention to their publications. I wonder what the effect on the market will be about this article?

Anybody who thinks cloud ERP is the answer to their monolithic, on-premises vendor pain is wrong – according to Gartner, anyway.

Gartner has projected a near 100 per cent fail rate for cloud ERP projects by 2018.

Ninety per cent of those rolling out what the mega-analyst has defined as “post-modern ERP” will succumb to the traditional ERP headaches of higher costs, greater complexity and failed integration by 2018.

Their Achilles Heel will be lack of an application integration strategy and related skills.

Ballmer’s Microsoft Transformation

Software, Tech, Thought Provoking

Insightful article from Dustin Custis about the transformation of Microsoft under Steve Ballmer.

Here’s operating income by business unit from Microsoft’s last quarter:

3,770 M Business Division
2,952 M Windows
1,738 M Server & Tools Division
(229) M Entertainment and Devices
(479) M Online Services

6,374 M Total income

If you compare Microsoft’s earnings history to these recent numbers, the trend is clear: solving problems for companies that have a lot of money is very lucrative. Microsoft’s strategy, smartly, has been to focus on them. Most new consumer-focused initiatives lose money, and those failings are disproportionately public, hence the negative sentiment toward Microsoft as a company.