Every year Gartner distributes its Magic Quadrant for CPM solutions. You will see some newcomers and companies moving up or down the axis. But one thing has been the same for many years: Oracle has been a top leader and visionary ever since the first Quadrant was released.
This year Gartner has introduced 2 new categories for its Magic Quadrant analysis: Cloud Strategic Corporate Performance Management & Cloud Financial Corporate Performance Management Solutions. As this is the first iteration of these new Magic Quadrants there are no baselines yet to judge new entrants to or leavers of the matrix or compare how the vendors have fared compared to previous year’s ratings. The difference between the latest versions and past versions is the cloud focus – although on premise solutions are still valid for many vendors, all vendors need to provide mature cloud-based solutions.
Cloud Strategic Corporate Performance Management focuses on improving:
Planning Budgeting / Forecasting
- Strategy Management
- Profitability Modeling
- Performance Reporting.
Cloud Financial Corporate Performance Management focuses on improving
Management Reporting and Disclosures
Account Reconciliations and Narrative Reporting.
Oracle / Hyperion have been a staple within the Leaders section of the Magic Quadrant since 2005 within the Corporate Performance Management Solutions (or equivalent) categories.
The Leader Category can be defined as:
“Scoring high on both completeness of vision and ability to execute, leaders tend to be large companies in mature markets, have a large customer base, and be highly visible in that market. Leaders have a large amount of pull over a specific market, and even have the ability to effect the market’s overall direction.”
The 7 reasons why you should keep an eye on Oracle.
Oracle has a rich history as a leading vendor in the CPM market. Oracle/Hyperion has penetrated the global market for Consolidation and planning tools more than any other tool available and many leading corporate organizations use the application as the backbone of their company.
While being a leader is one thing; maintaining that position is a whole different story. Here are the 7 things that keep Oracle in that position.
1. Ability to adapt to market change
Oracle is a Leader in the market due to its global coverage and market traction in most all aspects of both Financial and Strategic CPM. Their obligation to their client-base; which includes a majority of the Fortune 100, forces them to stay ahead of the curve technology-wise and adhere to aggressive release schedules. Oracle did not arrive to their status within the market by accident – innovation has always been a key success factor and with their market position adaptation and innovation can easily become one-in-the-same.
2. Ability to incorporate new technology
It’s no surprise that Oracle has been a leader in technology and innovation for many years and is very often the market leader in the development of new applications and platforms. Their size and strategy allows them to make key acquisitions to quickly broaden their service offering.
Cloud focus ♦ extensive focus on transformation from on premise to cloud solutions.
Reporting ♦ ability to address Narrative reporting
Consolidation ♦ shift from legacy to in-house technology
Reconciliation management ♦ one of the latest reporting requirements to hit the cloud market
Planning / Budgeting ♦ packaged modules for workforce, capital, financial and project planning
Tax ♦ seamless transparency between tax and finance
3. Vast network of Global and local implementation partners
Due to Oracle’s global reach they are able to focus on their business model and technology and allow their partner network to supplement their execution requirements. The scale of partners is so wide that they are often able to hand pick the partner to align with the technology and client expectations. The fact that their products are able to service so many business requirements also allows enterprise and niche-level partners to hone in on the technology and business best practices.
4. Ability to execute
Due to the aforementioned extensive partner network, the company can focus their efforts on their extensive product development workforce and product support organizations. This allows them to maintain a significant R&D budget and aggressive innovation roadmap.
5. Total range of solutions
From Finance to Sales to HR to CRM to Marketing. Everything is connected giving the customer a rich experience with a one-stop-shop of solutions.
According to the Gartner survey “Reference customers for Oracle reported that their top-three product selection criteria were functional capability, solution flexibility and the fact that they were using other Oracle products.”
This also scales to service offerings both from Oracle and more so from their partner network – it is completely normal to find partner service providers with the knowledge to assist with business processes and related hardware / software applications necessary to keep today’s global companies operating at a world-class level.
6. Innovation roadmap
Keep an eye out for significant enhancements to their existing Planning and Budget Cloud Service and Financial Consolidation and Close Cloud Service to provide additional features for their large customers.
The ERP Cloud and BI Cloud products (also world-class and evaluated in their respected Gartner categories) are also being updated with the same urgency as their CPM products – the next step is the cloud integration…no word yet on when that will arrive but count on the market to steer them in this direction.
7. Because their name is Oracle
This is obvious…if you have a CPM requirement Oracle most likely has a solution, and you can count on them to continue to provide their services for the foreseeable future. Regardless of the competition, count on Oracle to maintain their lead in market share and innovation.