White Papers Is It Time to Replace Your E/CTRM? - Page 4

A ComTechAdvisory Whitepaper Is It Time to Replace Your E/CTRM? of functionality and/or technology for whatever reason. In fact, it is hard to point to a successful M&A strategy in this space at any point in its history if that M&A activity includes the acquisition of competing platforms. The user experience of these events has often been poor particularly in terms of the subsequent support for, and innovation around, these E/CTRM platforms. Meanwhile, buyers are spoiled for choice in the E/ CTRM arena these days with many start-ups and new entrants who have developed cloud-native solutions or existing vendors that have begun to invest in broadening and modernizing their solutions. This choice also includes the buy and build route where a move to services or ecosystems of services facilitates a mix and match approach. After more than 20-years of choosing, implementing and supporting E/CTRM software, there is also a good deal more experience around across the entire market than there was. This experience allows users to make much better and more informed decisions about procurement, selection and support of E/ CTRM solutions. There is less ‘fear’ around making procurement decisions. VOLATILE AND SHIFTING BUSINESS PROCESSES The sector is experiencing much change and from every possible source. These include regulators, stakeholders, technologies, business models, geopolitical events and much more. Users increasingly recognize the need for much more nimble and agile solutions to help them adapt to change and find business efficiencies across business processes and supply chains. There is an increasing awareness and recognition that the older legacy solutions simply cannot work well in this environment. Users struggle to keep the software up to date as the vendor continuously releases new versions and often end up falling very far behind. Sometimes, so far behind, that the software is no longer covered by the support and maintenance agreement. Sometimes, the demands to test each new release become too onerous and expensive as well. At the same time, there is a constant need to get costs down. By migrating to usage or subscription pricing models costs can be reduced and migrating to the cloud also offers at least different ways of accounting for costs. Older, legacy solutions, where the cost of support and maintenance is significantly higher, are increasingly at risk of replacement. Overall then, we see a more mature market in which legacy software simply often needs to be replaced. © Commodity Technology Advisory LLC, 2020, All Rights Reserved. 4