IDC expects the overall Asia/Pacific (excluding Japan) or APEJ enterprise resource management (ERM) market to grow by 14.7% in 2011, reaching $2.83 billion. We anticipate this positive momentum to continue through the forecast period generating a 9.8% five-year compound annual growth rate (CAGR) though 2015, since organizations will keep focusing on increasing operating efficiencies and agility, which will lead to new ERM investments.
"We expect CIOs across the region to keep heavy emphasis on ROI and business transformation. This trend, which we see across most industries, is a move away from governance and cost management to accelerated growth, with ROI-led transformation building on asset utilization, and combining innovation with efficiency and optimization. The software industry is going through a major transformation, with increased vendor consolidation and new game-changing models like the cloud, socialytics applications and mobility radically changing the marketplace. For example, organizations are starting to embrace social media tools in order to improve its customer, partner, and supplier relationships and internally, as a way to empower collaborative work.
As a result, in order to benefit from these and prepare for the future, organizations will not only place emphasis on streamlining and automating traditional business processes, but on improving how the business works and reacts to change," says Daniel Zoe Jimenez, program manager, Enterprise Applications and Information Management, IDC Asia/Pacific.
Jimenez adds, "We expect a gradual shift from traditional ERM applications (e.g., basic financial accounting) adoption to more business processrelated and advanced ERM functionalities. While application spending for these functional markets will remain healthy, especially for areas that enable faster ROI, we believe organizations will start looking beyond traditional ERM functionalities and delivery models, and will explore the adjacent areas that will help them drive real value to their business."