Welcome!

IoT User Interface Authors: Liz McMillan, Ed Featherston, William Schmarzo, Roger Strukhoff, James Pathman

Related Topics: Java IoT, Microservices Expo, Microsoft Cloud, Agile Computing, Release Management , @CloudExpo

Java IoT: Article

This Is Not Just ERP, This Is Two-Tier ERP

ERP now has the chance to come of age

The rise of Big Data and the monolithic systems that are now being built on increasingly cloud-based data models is a reality we cannot ignore.

This reality has popularized discussions relating to the core component mechanics of many firms' IT stacks.

Key among these technologies is ERP, or Enterprise Resource Planning to afford it its full moniker. The term can be taken to be a relatively broad expression as it encompasses software applications that oversee the management of suppliers, customer service, order tracking and all manner of demand and supply-related indicators...

... or to put it more simply, ERP systems look after companies' "systems of record" data.

"Indicators" being the operative word, as key performance indicators (KPIs) are used by organizations to appraise and evaluate the accomplishment and success of a particular business activity in which it is engaged.

So far inside the brief history of Enterprise Resource Planning there haven't been too many upsets. Most of the mega brand IT vendors from IBM to HP to SAP to Oracle all have a finger in the ERP pie and Microsoft is even in there too with its Dynamics product.

But for CIOs and the software application developers who connect the synaptic nerves of new deployments, a new subset of ERP (or extension perhaps) is surfacing.

SaaS-focused business management software company NetSuite is creating something of a new paradigm in the ERP space by rolling out a "two-tier" version of ERP that integrates with Oracle. The new offering works to amalgamate on-demand services with on-premise transaction systems.

The two-tier model is intended to allow customers to preserve on-premise ERP investments in Oracle (or indeed in other systems), while equipping global subsidiaries with what is promised to be a more flexible cloud-based ERP/financials system. The end result (in theory) then gives headquarters the real-time visibility it needs, at a lower price.

Given the heavyweight maneuverings going on over at SAP inside its ERP mothership, it is interesting to see NetSuite take what appears to an arguably more deft approach to coupling technologies in this space to augment and expand upon current offerings rather than simply trying to compete on the basis of speed, processing power, performance and general all round rocket power.

The firm is essentially bringing its OneWorld and SuiteCloud Connectors to Oracle and using connectivity technologies from IBM Cast Iron, Informatica, Dell Boomi, Celigo and Pervasive Software.

The concept behind the two-tier ERP twist is that it (in theory) enables subsidiaries to tailor ERP to their own special needs and support their local accounting requirements. It is also supposed to ensure that a remote subsidiary doesn't end up with a burdensome, hard-to-maintain on-premise ERP deployment.

Here's the developer proposition: keep the investment in the existing Oracle E-Business Suite system at the corporate level, but empower subsidiaries and divisions to innovate with a second ERP system that gives them more agility and better total cost of ownership.

NetSuite asserts that this two-tier approach has the advantage of being able to cut deployment time (and costs too) instead of installing on-premise ERP in each smaller division or subsidiary company.

Of course, NetSuite's major shareholder is Larry Ellison so it is also interesting to see the company playing this subtle two-tier approach rather than the usual Oracle "absorb, acquire, assimilate" approach.

Craig Sullivan, VP & GM of international at NetSuite, argues that a new era is dawning in this space and that ageing ERP is a drag on business agility. "The web enables business to go global instantly - reaching many millions of customers in a year or two, whereas it used to take a decade or more to make that type of progress."

Sullivan points to Groupon as an example of the kind of disruption that the Internet enables. The "fastest-growing company in history" grew to revenues of $700+ million in 2010 from $30 million in 2009 - a stunning growth rate of 2,241%.

"This would have been unthinkable just five years ago," says Sullivan. "With the dramatic growth in emerging markets, businesses are looking to quickly tap opportunities in the space of months, not years - before their competitors get there. Outdated ERP, unable to react to and take advantage of change, restricts the agility that is crucial in our increasingly online world."

This new (and it is comparatively) new approach to ERP comes at an interesting time. NetSuite contends that modern demand for real-time information and "boundless flexibility" point to just one answer: the cloud.

As cloud-based intelligently managed and intelligently separated (let's be polite here and say "tiered" rather than separated) ERP now has the chance to come of age, will we grasp this opportunity inside corporate enterprises? Will new cross-functional workflows and reporting processes come about as new sales channels are added and firms are suddenly able to enter new markets as they improve collaboration between internal and external systems?

NetSuite (and Larry Ellison) thinks so. Don't dismiss it without proper analysis.

This post was first featured on CIO Enterprise Forum.

More Stories By Adrian Bridgwater

Adrian Bridgwater is a freelance journalist and corporate content creation specialist focusing on cross platform software application development as well as all related aspects software engineering, project management and technology as a whole.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


@CloudExpo Stories
Identity is in everything and customers are looking to their providers to ensure the security of their identities, transactions and data. With the increased reliance on cloud-based services, service providers must build security and trust into their offerings, adding value to customers and improving the user experience. Making identity, security and privacy easy for customers provides a unique advantage over the competition.
All clouds are not equal. To succeed in a DevOps context, organizations should plan to develop/deploy apps across a choice of on-premise and public clouds simultaneously depending on the business needs. This is where the concept of the Lean Cloud comes in - resting on the idea that you often need to relocate your app modules over their life cycles for both innovation and operational efficiency in the cloud. In his session at @DevOpsSummit at19th Cloud Expo, Valentin (Val) Bercovici, CTO of So...
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management solutions, helping companies worldwide activate their data to drive more value and business insight and to transform moder...
SYS-CON Events announced today that eCube Systems, a leading provider of middleware modernization, integration, and management solutions, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. eCube Systems offers a family of middleware evolution products and services that maximize return on technology investment by leveraging existing technical equity to meet evolving business needs. ...
Personalization has long been the holy grail of marketing. Simply stated, communicate the most relevant offer to the right person and you will increase sales. To achieve this, you must understand the individual. Consequently, digital marketers developed many ways to gather and leverage customer information to deliver targeted experiences. In his session at @ThingsExpo, Lou Casal, Founder and Principal Consultant at Practicala, discussed how the Internet of Things (IoT) has accelerated our abil...
SYS-CON Events has announced today that Roger Strukhoff has been named conference chair of Cloud Expo and @ThingsExpo 2016 Silicon Valley. The 19th Cloud Expo and 6th @ThingsExpo will take place on November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. "The Internet of Things brings trillions of dollars of opportunity to developers and enterprise IT, no matter how you measure it," stated Roger Strukhoff. "More importantly, it leverages the power of devices and the Interne...
Whether they’re located in a public, private, or hybrid cloud environment, cloud technologies are constantly evolving. While the innovation is exciting, the end mission of delivering business value and rapidly producing incremental product features is paramount. In his session at @DevOpsSummit at 19th Cloud Expo, Kiran Chitturi, CTO Architect at Sungard AS, will discuss DevOps culture, its evolution of frameworks and technologies, and how it is achieving maturity. He will also cover various st...
Digital innovation is the next big wave of business transformation based on digital technologies of which IoT and Big Data are key components, For example: Business boundary innovation is a challenge to excavate third-party business value using IoT and BigData, like Nest Business structure innovation may propose re-building business structure from scratch, as Uber does in the taxicab industry The social model innovation is also a big challenge to the new social architecture with the design fr...
So, you bought into the current machine learning craze and went on to collect millions/billions of records from this promising new data source. Now, what do you do with them? Too often, the abundance of data quickly turns into an abundance of problems. How do you extract that "magic essence" from your data without falling into the common pitfalls? In her session at @ThingsExpo, Natalia Ponomareva, Software Engineer at Google, provided tips on how to be successful in large scale machine learning...
If you had a chance to enter on the ground level of the largest e-commerce market in the world – would you? China is the world’s most populated country with the second largest economy and the world’s fastest growing market. It is estimated that by 2018 the Chinese market will be reaching over $30 billion in gaming revenue alone. Admittedly for a foreign company, doing business in China can be challenging. Often changing laws, administrative regulations and the often inscrutable Chinese Interne...
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
In his session at @ThingsExpo, Kausik Sridharabalan, founder and CTO of Pulzze Systems, Inc., will focus on key challenges in building an Internet of Things solution infrastructure. He will shed light on efficient ways of defining interactions within IoT solutions, leading to cost and time reduction. He will also introduce ways to handle data and how one can develop IoT solutions that are lean, flexible and configurable, thus making IoT infrastructure agile and scalable.
Creating replica copies to tolerate a certain number of failures is easy, but very expensive at cloud-scale. Conventional RAID has lower overhead, but it is limited in the number of failures it can tolerate. And the management is like herding cats (overseeing capacity, rebuilds, migrations, and degraded performance). Download Slide Deck: ▸ Here In his general session at 18th Cloud Expo, Scott Cleland, Senior Director of Product Marketing for the HGST Cloud Infrastructure Business Unit, discusse...
Data is an unusual currency; it is not restricted by the same transactional limitations as money or people. In fact, the more that you leverage your data across multiple business use cases, the more valuable it becomes to the organization. And the same can be said about the organization’s analytics. In his session at 19th Cloud Expo, Bill Schmarzo, CTO for the Big Data Practice at EMC, will introduce a methodology for capturing, enriching and sharing data (and analytics) across the organizati...
SYS-CON Events announced today that Bsquare has been named “Silver Sponsor” of SYS-CON's @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. For more than two decades, Bsquare has helped its customers extract business value from a broad array of physical assets by making them intelligent, connecting them, and using the data they generate to optimize business processes.
Internet of @ThingsExpo has announced today that Chris Matthieu has been named tech chair of Internet of @ThingsExpo 2016 Silicon Valley. The 6thInternet of @ThingsExpo will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is expected in the amount of information being processed, managed, analyzed, and acted upon by enterprise IT. This amazing is not part of some distant future - it is happening today. One report shows a 650% increase in enterprise data by 2020. Other estimates are even higher....
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, wh...
SYS-CON Events announced today that SoftLayer, an IBM Company, has been named “Gold Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. SoftLayer, an IBM Company, provides cloud infrastructure as a service from a growing number of data centers and network points of presence around the world. SoftLayer’s customers range from Web startups to global enterprises.