ERP SOFTWARE COMPANIES

The Pros and Cons of ERP Merger Operations- Preserving Customer Loyalty

Since an ERP merger is a partnership between IT providers of business solutions, and not simply between vendors of general consumer products, as far as Oracle is concerned (and as is the case with any typical ERP merger) the risks of incurring into customer mistrust and loss of confidence in its race to capture a new clientele, are still somewhat minimal, as opposed to the challenges faced by mergers in other IT or industry sectors. This is an important point to keep in mind, since a merger between ERP software companies is defined by its very nature, as a mutual sharing of data concerning every aspect of the global market deemed to be essential for the mutual market success of each partner in the merger.

On the other hand, there are also some valuable advantages to be gained by capturing a customer base quickly in the effort to ward off potential competition, and these should not be taken lightly. It will be seen how these factors can also minimize the risks of customer dissatisfaction and shifting allegiances, even if in such cases the ERP software seller in question has not initially processed all the required information to properly assess the level of the new client's presence in the global stage (a delay which may be caused by time constraints or the impracticability of dealing with too many variables due to a shortage of capital assets or R&D resources).

The most notable benefit comes from dispensing with the man-power, resources, technology and other time-consuming prerequisites normally regarded essential to the process of attracting customer demand. Since, by virtue of this merging among ERP software companies as well as with related IT partners, and to cite Oracle again as an example, it will be more than willing and enthusiastic to cater to its merger partner’s clientele as well as to its own loyal customers, providing the former in particular with effective and impartial services regardless of its position in the market, in order to ensure also the loyalty of their partners’ customers.

In other words, Oracle must do all it can to acquire the same level of confidence and allegiance as that shown by its own specific clientele. The same of course also goes for the rest of all the other top ERP software companies, as well as for the small ERP businesses. In the end, all the advantages are meant for the customer, after all. In light of this, a merger between ERP software companies is not only adequate to our present modern technological era, but is a perfectly appropriate tool for the process of global ERP deployment.

Written by :

Amy Cruz