ERP SOFTWARE COMPANIES (Part IV)

Indisputably, the functions of giant ERP software companies in the global market arena with respect to small ERP businesses lead to both negative as well as positive repercussions, which affect the entire spectrum of human activity in modern societies. This is where the element of “corporate accountability” comes into play. Nowadays, the term generally carries many diverse connotations and is defined as a social responsibility towards the buyers, investors, the company's own workforce, the environment and society in general (though not necessarily in that order).

This is as true for ERP software companies, as it is for those businesses operating in any other industry. The illegal practice of financial maneuvers conducted by big business- such as insider-trading, the recycling of funds through obscure, disparate bank accounts, tax evasion, false declaration of income, and the exploitation of cheap labor by exporting the work force to new spheres of international influence- are nothing new, of course.

By all means, from the standpoint of our present historical period, these practices have become the standard of modern industrial capitalism throughout the course of its evolution, as the influence and role of multinationals continues to grow, and as evinced by recent corporate scandals as well as the collapse of banking institutions (which effectively began in 2008). And the above are only some of the illegal schemes- perpetrated by powerful multinationals - that are detrimental to the success of small ERP companies if they are to survive.

A number of deductions concerning the challenges faced by ERP software companies in the IT world, can be drawn from the points outlined above. Primarily, that the role of small enterprises in the ERP software industry is crucial to technological progress and innovation. Secondly, that there are mutual benefits to be gained if corporate monopoly were to change its attitude vis-à-vis small-business to a more collaborative approach.

If corporate monopolies were to allow the creation of such a system, merging together the respective R&D skills of both big and small players, this interchange of information would not only accelerate the development of new software technology, but also promote the introduction of these products into the market on a mass scale. This level of cooperation between giant and small ERP software companies would also make sure that the product or service is presented to the public in a more comprehensive and timely fashion. Moreover, such a system of collaboration would enhance the quality of the goods and services, and thus increase the level of customer confidence, loyalty and satisfaction in the long run.