BANGALORE: The current ERM (Enterprise Resource Management)solutions investment in Asia/Pacific is estimated
to account for approximately 7per cent of the $ 66.8 billion IT market, based on
2001 IDC figures. Between 2000-2005, the ERM solutions market is estimated to
expand at a compound average growth rate of 16 per cent to reach $ 8.2 million
in 2005, according to IDC research.
"The outlook for ERM solutions growth in Asia/Pacific is bright although
it will be more limited than other newer solutions in the marketplace,"
said IDC Asia/Pacific, Research Manager, IT Solutions, Robin Giang. "This
is because ERM already has a relatively high penetration rate in the region,
especially among large multinationals, and organizations in the manufacturing
and financial sectors. However, ERM is an evolving solution, with more and more
businesses accepting ERM as part of their overall ebusiness strategy. The fact
that ERM vendors are now targeting their solutions at smaller local
organizations in the region helps to sustain ERM growth."
Over the next few years, China is expected to grow its ERM solutions market
the fastest, at a compound annual growth rate of 37 percent, to account for more
than a third of the region’s total market value by 2005. Australia will also
play a significant role in sustaining the ERM growth momentum, state the press
statement from IDC.
The vertical industries that will drive the ERM adoption trend in the
Asia/Pacific region include manufacturing, financial services and
communications. Due to Asia being a manufacturing hub, ERM solutions have
primarily been exploited by organizations in the manufacturing sector to
efficiently allocate and control resources within production plants and
facilities.
Overall, both multinationals and small and medium enterprises alike have
searched for ways to leverage ERM solutions to maximize their accounting,
personnel administration, manufacturing and logistic systems in recent years.