New report forecasts that “by 2020, 10% of enterprises will have included canceling their on-premises ERP vendor maintenance agreements in their postmodern ERP strategy, lowering annual support costs by up to 50%”
LAS VEGAS, February 4, 2016 – Rimini Street, Inc., the leading global independent provider of enterprise software support services for SAP SE’s (NYSE:SAP) Business Suite and BusinessObjects software and Oracle Corporation’s (NYSE:ORCL) Siebel, PeopleSoft, JD Edwards, E-Business Suite, Oracle Database, Oracle Middleware, Hyperion, Oracle Retail and Oracle Agile PLM, today announced that Gartner recently released a new report titled, “Does Third-Party Support Have a Role in Your Postmodern ERP Strategy?” In the report, Gartner presents key challenges and recommendations related to a postmodern ERP approach, providing ERP maintenance and support assessment criteria for IT leaders for their short, mid and long-term needs.
Complimentary Report Access
Rimini Street is providing complimentary access to this new Gartner report at the following link:
ERP Will Remain at the Heart of Business
According to Gartner, “for many enterprises, ERP remains a high priority for CIOs, ranking as their No. 4 priority in Gartner’s 2016 CIO survey,”  and “On-premise ERP application(s) will remain in place as part of the ERP portfolio for many organizations, but the amount of IT budget spent on sustaining the on-premises solution will need to shrink as funds shift toward new investments.”  ERP leaders are increasingly adopting a hybrid IT approach, which entails enhancing the existing ERP on-premise footprint with cloud-based applications – however, they need a way to fund this innovation. “Switching to a lower-cost third-party for support also allows the enterprise to shift spending away from the stable core ERP solution and toward new investments,” according to Gartner.
The Gartner report also highlights key decision-making criteria for considering a switch to independent support including:
- How much further development, rollout and upgrade activity is planned for the application, if any
- How satisfied the users and IT are with the vendor’s support services
- If/when the vendor will stop supporting the ERP application
- Whether there are third-party vendors with a proven track record for supporting the vendor’s software
- How switching affects the ERP cost model
“As cloud computing and subscription-based models continue to mature, it is causing fundamental changes in how CIOs and IT leaders choose to maintain and evolve their IT infrastructures, with ERP remaining at the heart of their IT landscape,” said Seth Ravin, Rimini Street CEO. “We believe this report verifies the growing importance of independent support as a key option in any CIO’s postmodern ERP strategy, particularly as they look for ways to fund new IT investments without increasing their overall IT budget. Rimini Street offers Oracle and SAP licensees a more robust, mission-critical service offering that delivers exceptional client value and a premium service model, while allowing CIOs to reduce ERP operating costs by up to 90 percent – freeing up significant funds for investments in innovation.”
 Gartner, Inc. “Building the Digital Platform: The 2016 CIO Agenda.” October 2, 2015.
 Gartner, Inc. “Does Third-Party Support Have a Role in Your Postmodern ERP Strategy?” January 29, 2016