World market of ERP-systems. World market leader in ERP systems. Invest in the human resources of your digital strategy. ERP market participants assess the prospects for its development in different ways, but the general mood is positive

Leaders Russian market ERP systems

· SAP AG

What is SAP? SAP AG is represented on the Russian market by the R/3 system and, starting from 1992 ., regularly holds a whole range of events aimed at promoting its product, training consultants during thematic seminars and gaining experience in various sectors of the economy.

During the years of work in Russia, the company has achieved the greatest success in the oil and gas industry, as well as in mechanical engineering, power generation and the transport sector, as evidenced by the steady growth in income from ERP projects. What is SAP today? SAP ERP AG is currently aiming to cover areas such as retail, telecommunications and finance.

The cost of supplying an R/3 system for 50 workstations is $350,000. The cost of implementation is several times higher than the cost of a license.

· Oracle

Oracle Corporation operates in Russia through its Russian representative office Oracle CIS and its business partners. To date, the Oracle Applications system is represented in the markets of the CIS countries by 29 ERP projects, covering a total of 70 users.

· Microsoft business Solutions

Microsoft, one of the leading suppliers of ERP systems in the world, has been officially represented in Russia since November 1992 ., and since July 2004 . The Russian representative office of Microsoft began to bear the name Microsoft Rus LLC.

Microsoft's product line for integrated automation is focused primarily on small and medium-sized businesses and includes such systems as Axapta (Axapta), Great Plains, Navision, Solomon, Microsoft CRM. On the base Microsoft Axapta a number of industry-specific ERP systems were created, in particular, the Axapta Retail industry solution, adapted to the specifics of Russian retail chains. The Danish company Navision a/s developed a localized version of Axapta 2.1 specifically for medium-sized enterprises, which appeared on the market in 2000 . (since December 2001 . - Navision Axapta 2.5).

The cost of delivery and implementation of the Axapta system per 1 workplace- €1600-2500. Package for 20 users - €36,000-50,000.

· Galaxy Corporation

Operating in the market with 1986 ., Galaktika Corporation has made significant progress: in just one 2005 . its revenues increased by 16% compared to the previous year, amounting to $24.7 million, thanks to which the company took the 10th position in the list of leading Russian consulting groups according to the Expert RA rating in the first half of the year. In the same 2005 . A full-featured set of business solutions Galaktika Business Suite, built on the Galaktika ERP core, was offered to the attention of customers.

Branches, offices and representative offices of the Galaktika corporation are located in many cities of Russia and the CIS countries: St. Petersburg, Samara, Yekaterinburg, Tyumen, Novokuznetsk, Khabarovsk, Vladivostok, as well as in Kyiv, Minsk and Almaty.

· Epicor Scala

With the launch of the Scala system in 1991 ., Scala CIS, which later became part of Epicor Corporation, became known as the first in the CIS and countries of Eastern Europe a company providing software and services in the field of production management, finance and business. Joining Epicor, the leader in ERP (Enterprise Resource Planning), CRM (Customer Relationship Management) and SCM (Supply Chain Management), further boosted the development of Scala, resulting in 70% of total product users Epicor and Scala have chosen Scala systems for 12 years (600 customers).

In the CIS countries, the corporation's income is distributed between such activities as supporting old customers (47%), consulting (28%) and selling licenses (25%), although the absolute financial performance of Epicor-Scala in this region is a trade secret.

· 1C CJSC

Since its founding in 1991 . 1C has developed a number of business solutions that have become widespread in the computer market due to mutually beneficial cooperation with the most extensive partner network in the CIS. The company's income 2003 . amounted to $65 million, and already in the first half of the year 2004 . reached the mark of $40 million. At the same time, sales of one of the most successful products of the company "1C: Enterprise 8.0" grew by 2004 . by 143%, and next year, only in the period from January to September - by 282% compared to the same period 2004 . Despite the fact that 1C products are not officially positioned as ERP class systems, they fully comply with the standards developed for them, as evidenced by the fact that in 2005 . analytical firm IDC included "1C" in its study.

In addition to promoting its own products, the company is the official distributor of well-known foreign manufacturers such as Microsoft, Novell, Symantec, Intel and others.

· BAAN Eurasia

BANN systems have been known on the Russian market since 1997 . thanks to the company "BAAN-Eurasia".

The cost of delivery and implementation of the BANN system for 100-150 users is $600,000-800,000. According to other sources, the cost of delivery for 1 workplace is $3,000, the cost of a competitive license (with limited simultaneous access to the database) is $6,000. The cost of implementation is several times higher than the cost of delivery.

The analytical center of TAdviser has made a rating of ERP systems 2017. The alignment of forces in the Russian market of enterprise management systems has not changed over the year. By the number of implemented projects, the undisputed leadership in the market holds (and even increases the gap from competitors) "1C: ERP", in terms of the volume of attracted Money the first line is still occupied by SAP. Import substitution remains the main trend of the market, the trend of transition to the clouds is gaining momentum. And now about everything in order.

Rating of ERP systems 2017 by the number of implementations

According to most experts, the number of implementations is the most objective criterion for assessing the demand for ERP. According to this indicator, the domestic system for automating the activities of an enterprise from the 1C company remains out of competition. Registered in the last year 167 new projects implementation of this software product. The market share of ERP systems based on the 1C:Enterprise platform reaches 31% . In second place is Galaktika ERP with a share 7,5% and 3 new projects per year. Bronze for SAP. The world's most popular ERP system keeps 6% Russian market. Growth per year - 7 projects. Oracle has gone the distance. But Microsoft's solutions are strengthening their positions. MS Dynamics AX takes 5,8% growth market 13 projects per year, MS Dynamics NAV - 5,2% market from 3 new projects. Together, Microsoft's ERP solutions account for 11% of the market.

Rating of ERP vendors by financial indicators

In terms of revenue, 1C is still losing to foreign SAP, although it demonstrates better growth dynamics financial indicators. Why the company 137 new projects per year is inferior to the vendor with an annual increase of 7 projects? Perhaps, according to objective indicators. SAP has traditionally been chosen by large companies with a large number of automated jobs. In this case, a foreign vendor could benefit from the number of licenses sold. But, judging by, 1C sells more licenses and automates more jobs. So, probably, the high financial performance of SAP is provided due to the high cost of the software product itself, client licenses, implementation and maintenance services.

For the period from 2005 to 2017, the largest number of implementations of ERP systems was noted in the field of trade ( 15,9% of the total number of projects). Also, integrated control systems are in high demand in the segments of mechanical engineering, construction, food, chemical industry, healthcare and financial services.

Regional distribution of ERP systems 2017

As for the geographical distribution of ERP projects in Russia, the most "automated" today are the Central ( 42,3% ) and Northwestern ( 17% ) county. At the same time, the most industrial region - the Urals - with 9,5% occupies only 5th place.

The main trends in the market of enterprise management systems

The main trend of the domestic ERP market in 2016-2017 is import substitution. For political and economic reasons, the number of implementations of "1C: ERP" has noticeably increased in large state and commercial companies. Holdings are actively migrating to 1C:ERP from already implemented software products and also choose a domestic solution for the implementation of new projects.

The main participants of the world market of ERP-systems

According to industry analysts, there are currently several hundred ERP systems that gained some notoriety. The undisputed market leaders are SAP AG, Oracle, PeopleSoft, J.D. Edwards and Geac Computer. According to Advanced Manufacturing Research, in 2012 they accounted for 67% of the total market for ERP systems. The leading position is still occupied by SAP AG, whose share is 34%. At the same time, European firms account for up to 45% of the world market. At the same time, despite such a significant gap from the leaders, other companies that produce ERP systems (especially newcomers) believe that they have a significant advantage over the top five companies due to the flexibility of their response to customer needs and rapid implementation in their products. modern technologies(in particular, Web technologies). A prominent place in the global market for ERP systems is also occupied by the following companies: Baan (as a division of Invensys); Epicor Software; Exact Software; IFS; Kewill Systems plc; Navision a/s; QAD; Ross Systems; Sage Group; scala; SCT; Symix Systems; Systems Union and a number of others. Let's take a closer look at some of the most famous members world market.

The price of the system can range from $1,500 to $5,000 per workstation. At the same time, the most expensive systems, for example, SAP R / 3, have a clear excess of the required level of functionality, that is, you have to pay for functionality that, most likely, is useful, but will not be in demand by many companies related to the middle market. Systems that cost an average of $2,000 per seat, such as Microsoft's Navision Axapta, often have optimal functionality and useful functionality increases from version to version, while the price of the product remains virtually the same.

SAP AG is the world's fourth largest software development company, founded in 1972. Today, it employs about 21,700 employees in more than 50 countries. SAP AG has more than 900 partners, more than 13,000 client companies and about 10 million licensed users in 100 countries.

Company's main product-SAP R/3 ERP system, in which more than 1000 business processes are implemented. Currently, more than 50 versions of this system have been developed in 28 languages. By Gartner estimate Group, the SAP R/3 system is designed for large companies with an annual turnover of $200 million or more. R/3 has been implemented in various industries: aerospace and defense; automotive industry; banking; chemical industry; production of consumer goods; design and construction; healthcare; insurance; MEDIA; pharmaceuticals; retail, and more. It has been installed over 30,000 times and is used by companies of all sizes, including half of the world's top 500 firms.

SAP R/3 implementation period: 1-5 years or more

Ownership cost: A license for 50 workstations costs about $350,000. The cost of implementation can be several times higher than the cost of the solution.

Oracle Company is the second largest software developer in the world. It was founded in 1977 and currently has 43,000 employees (of which 21,000 are in the USA).

Oracle's main ERP product is software Oracle Applications, which is a package of 55 integrated modules. More than 6,700 businesses and organizations in 76 countries currently use Oracle Applications software. When installing its software, Oracle uses its own application implementation method (AIM, Application Implementation Method).

Scope of application: Heavy industry (mainly metallurgy), telecommunications companies, financial sector, chemical industry.

Implementation period: 1-5 years or more

Cost of ownership: The cost of the solution per workstation is about $5,000. The total cost depends significantly on the required functionality and complexity of implementation.

IFS developer- Swedish company, developer of software for enterprise resource management - ERP-systems I FS Applications. Scope of application: Enterprises of the machine-building complex, energy, food industry, pharmaceuticals, cable industry.

Implementation period: 8 months -3 years or more

Cost of Ownership: The total cost of implementation can reach $250,000 or more. It also greatly depends on the required functionality.

The implementation of IFS Applications allows you to provide:

· the availability of all the information necessary for decision-making and, as a result, an increase in manageability, business transparency for management, and investment attractiveness;
· reduction of costs, stocks, defects, volumes of work in progress;
Reducing equipment downtime
Improving the quality of products;
Improving customer satisfaction;
Compliance with market requirements - support:
transition to custom production.

Russian market of ERP systems and products

Today, the Russian market for ERP systems is actively developing and growing. This happens for several reasons: ERP systems really work, the heads of large corporations want to see their business "transparent", there is an increase in business activity in Russia.

Looking at the sectoral structure of ERP demand, we will see that 15% - the largest number of implementations have construction companies followed by trade - 12%, mechanical engineering - 10%, production - 10%, food industry - 9%.

The value of the maturity index of the ERP market was 55%. The lowest result was 20%, and the highest - 95%. Only 38% of companies showed the level of penetration and efficiency indexes above the average values. 62% of businesses should take steps to optimize business applications.

Modern ERP solutions for the Russian market

The table below shows the main ERP systems and their products on the domestic market of Russian and Western systems.

Table 2. Russian and Western ERP systems presented on the domestic market.

Product name	Company manufacturer	Short description
	SAP AGwww.sap.com	SAP is the undisputed leader in terms of sales of this class of software in Russia. The company holds about 40% of the entire Russian market of ERP systems. The R/3 system belongs to the class of large integrated systems and includes modules that significantly expand the scope of the traditional ERP system. The cost of a solution for 50 workstations is approximately $350 thousand. The cost of implementation is at least equal to the cost of licenses, and most often several times higher. The implementation period depends on the required functionality. We can say that for Russian enterprises it averages a year or two. One of the most full-scale projects for the implementation of the R/3 system was carried out at the Omsk Oil Refinery.
Oracle Applications	Oraclewww.oracle.ru	Oracle's position in Russia is significantly weaker than that of its main competitor. However, in the world in the Top 100 ranking of Manufacturing Systems magazine for 2000, Oracle Applications bypassed R / 3 in terms of financial indicators and took first place. The lag in Russia can be explained in part by the fact that this decision entered the domestic market much later. The cost of a solution based on Oracle Applications is slightly lower than on the basis of R / 3 (specific figures were not given in the open press). Implementation times for Oracle Applications and R/3 are roughly the same1. Of the most famous projects implementation of Oracle Applications can be noted implemented at the Magnitogorsk Iron and Steel Works.
		Another of the Western ERP systems present on the Russian market. The system class is the same as the previous two. The cost of a named license (for one specific user) is $3000, the cost of a competitive license (regardless of the number of employees indicates only restrictions on simultaneous connection to the database) is $6000. Implementation in Russia is 1-3 times more expensive than the cost of licenses. Implementation example - "Nizhpharm". Unfortunately, an outdated version of the system is currently being actively promoted in Russia, despite the fact that the iBaanERP version has appeared a long time ago.
	ROSS Systemswww.rossinc.com	ERP-class system for enterprises with a process (continuous) type of production. Fully localized, successfully implemented in Russia since 1998. In the world - 3500 completed implementations, there are implementations in Russia (Mary Kay, Alcoa CSI Vostok, etc.). Low cost and implementation time.*
	SYMIXwww.frontstep.ru	This system belongs to the class of medium integrated systems. Has quite a lot of implementations in enterprises Food Industry Russia. Among them is the Voronezh confectionery factory.
	Damgaard Data www.damgaard.ru	An ERP class system designed to automate medium and large industrial and trade enterprises. This is the first ERP-system, fully oriented to work on the Internet. An example of the implementation of the system is the holding "RUSSO (Russian shirts)". The total number of installed jobs is 30. The cost of implementation can be approximately several hundred thousand dollars.
		ERP-system for large and medium-sized enterprises with a discrete type of production. 5200 completed implementations in the world, 8 - in Russia. Fully localized. According to various experts, the system is one of the strongest solutions for discrete industries (mechanical engineering, light industry, automotive, electronics, etc.).*
	Parus Corporation www.parus.ru	Belongs to the class of financial management systems. From the point of view of production, it has the ability to account and the simplest planning. Traditionally, the position of the corporation in budgetary organizations is very strong.
"Galaxy"	Corporation "Galaktika"www.galaktika.ru	This system is the leader among Russian systems enterprise management. According to some estimates, its share is about 40% of all Russian suppliers. In terms of sales, the system is second only to R / 3. The implementation period depends heavily on the chosen functionality and the scale of the enterprise. For example, the introduction of 100 jobs at JSC "Russian Product" took about a year and a half.
"BOSS-Corporation"	Company "IT" www.it.ru	Integration of accounting functions with production system will allow this product to accelerate the transition to the class of medium integrated systems. Of the most successful projects a project to create a financial management system at the Krasnoyarsk aluminum smelter is noted.
"1C: Production"	Company 1Сwww.1c.ru	Although the products of the 1C company belong to the class of local systems, this player cannot be ignored. In its class, 1C occupies a leading position, far ahead of its competitors. As part of the 1C products, there is also the "1C: Production" system, which allows to solve the problems of production accounting and planning to a certain extent.

Contrary to economic crisis, the demand for ERP (software solutions for integrated automation of production facilities) in Russia remains stable. That's just in connection with the course towards import substitution in the field of information technologies The alignment of forces in the market of integrated enterprise management systems (IMMS) has changed markedly.

Rating of ERP systems 2016 by the number of implementations

According to the TAdviser research center, 1C-based ERPs are the most popular in Russia. The share of the domestic software product accounts for 31% from the total number of solutions implemented from 2005 to September 2016 (8427). The second place in the ranking is occupied by "Galaktika ERP" ( 7,8% ), the third - SAP ERP ( 6,2% ). Outside the top three there are 2 solutions from Microsoft: MS Dynamics AX ( 6% ) and MS Dynamics NAV ( 5,5% ).

Until 2014, Russian entrepreneurs preferred domestic software(Software), since it was originally adapted to the specifics of accounting activities in our country, and is also cheaper in support and maintenance. However, the tendency to switch to domestic automation systems became widespread after the official ban on the use of foreign technologies.

Rating of the largest providers of ERP solutions in 2016

The undisputed leader among vendors whose enterprise resource planning systems are most popular in Russia is 1C. As of September 2016, based on the solutions developed by her, 3038 out of 6803 projects have been implemented or are in the process of being implemented. The share of 1C in the ERP market reaches 45% . The second place in the ranking is occupied by Microsoft with a share 14,5% (983 ERP projects). Closes the top three "Corporation Galaktika" with market share 12% (794 ERP projects).

It should be noted that the methodology for forming a rating by the number of implemented software solutions is not generally accepted. Most of these charts are based on financial indicators. And according to this criterion, even the total share of domestic developers does not exceed 40% . Why is that? Yes, because Western software is many times more expensive than domestic. Being the undisputed leader of the Russian market in terms of the number of licenses sold ( 80% ) and the number of workstations ( 83% ), the company "1C" in terms of revenue still loses to foreign SAP. According to IDC statistics, the share of the domestic vendor in financial terms is 33% . At the same time, most experts agree that it is wrong to rank vendors by revenue.

Distribution of ERP projects by industry

According to the TAdviser report, most in demand ERP systems are used in the trade segment. This industry accounts for about 16,4% from the total number of implementations. Enterprise automation systems are also in great demand in the fields of mechanical engineering, construction and the food industry.

Click on the table to view the full version

According to IDC, among the main consumers of ERP systems, along with objects retail also includes enterprises of continuous and discrete production, transport companies and energy complexes.

It should also be noted that since 2014, the ERP market has seen an increase in activity on the part of state corporations, military-industrial enterprises and companies that have fallen under state funding programs. For all these organizations, it is important to increase the efficiency of planning and accounting systems, as well as reduce risks in the field of information security.

The main trends in the market of integrated enterprise management systems

Summarizing the data of analytical studies of IDC, Gartner and TAdviser, we can distinguish the following trends in the market for enterprise automation systems:

to save business. If in 2014 among the main reasons for automation manufacturing enterprise Entrepreneurs called improved control over operating profit, increased capitalization and compliance with the requirements of "transparency" in preparation for an IPO, but today ERP is being implemented mainly to increase business profitability.
Wave of transition to domestic software due to the adoption of the import substitution program.
Cloud ERP solutions as one of the key market growth points. At the moment, enterprise management systems of this type are most popular among small and medium-sized businesses. Now cloud ERP is used to automate the simplest accounting functions. However, according to Gartner forecasts, within 10 years this trend will become dominant, since cloud systems are cheaper and more convenient than stationary ones. In addition, this solution allows you to delegate some of the responsibilities for maintaining the accounting activities of the enterprise to a third-party franchisee.
Growing demand for highly specialized solutions. Typical automation systems are being replaced by industry and individual ones. Increasingly important for enterprises is the flexibility of software products, creating the necessary conditions for their adaptation to the specifics of business processes and subsequent scaling. In addition, in order to save money, many order vertically oriented solutions and individual highly specialized functional components such as EAM, HRM and CRM.
Maintaining demand for mobile versions of ERP. Representatives of enterprises appreciated the convenience of monitoring and controlling production and business processes from handy devices (phones, tablets).
Demand for boxed ERP solutions from new projects from the retail and manufacturing sectors.
Use of ERP functionality by 30-50%. Included in the package modern systems automation of enterprises, as a rule, includes at least 10 blocks. However, 3-5 modules are enough to automate the key business processes of most enterprises.

Forecasts for the market of enterprise management systems from 2016

According to TAdviser, in 2016-2017 the demand for ERP (licenses, implementation and maintenance services, cloud solutions) will remain stable. The required level of growth will be ensured by the mass implementation of the import substitution program. The positions of Russian vendors against the backdrop of new legislative initiatives will continue to strengthen.

A noticeable increase in interest in enterprise management systems is expected from big business, holdings and corporations. With regard to industry specifics, most experts predict an increase in the penetration of ERP in the agricultural environment, process manufacturing, housing and communal services, trade and transport, as well as in educational institutions, healthcare and the municipal sector. In other sectors, the prevalence of projects for the refinement and migration of previously implemented solutions is expected.

It might be useful to read: