Welcome!

Java IoT Authors: Elizabeth White, Liz McMillan, AppDynamics Blog, Pat Romanski, Cloud Best Practices Network

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.


@ThingsExpo Stories
Artificial Intelligence has the potential to massively disrupt IoT. In his session at 18th Cloud Expo, AJ Abdallat, CEO of Beyond AI, will discuss what the five main drivers are in Artificial Intelligence that could shape the future of the Internet of Things. AJ Abdallat is CEO of Beyond AI. He has over 20 years of management experience in the fields of artificial intelligence, sensors, instruments, devices and software for telecommunications, life sciences, environmental monitoring, process...
Increasing IoT connectivity is forcing enterprises to find elegant solutions to organize and visualize all incoming data from these connected devices with re-configurable dashboard widgets to effectively allow rapid decision-making for everything from immediate actions in tactical situations to strategic analysis and reporting. In his session at 18th Cloud Expo, Shikhir Singh, Senior Developer Relations Manager at Sencha, will discuss how to create HTML5 dashboards that interact with IoT devic...
We’ve worked with dozens of early adopters across numerous industries and will debunk common misperceptions, which starts with understanding that many of the connected products we’ll use over the next 5 years are already products, they’re just not yet connected. With an IoT product, time-in-market provides much more essential feedback than ever before. Innovation comes from what you do with the data that the connected product provides in order to enhance the customer experience and optimize busi...
The IoTs will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform. In his session at @ThingsExpo, Craig Sproule, CEO of Metavine, will demonstrate how to move beyond today's coding paradigm and share the must-have mindsets for removing complexity from the development proc...
A critical component of any IoT project is the back-end systems that capture data from remote IoT devices and structure it in a way to answer useful questions. Traditional data warehouse and analytical systems are mature technologies that can be used to handle large data sets, but they are not well suited to many IoT-scale products and the need for real-time insights. At Fuze, we have developed a backend platform as part of our mobility-oriented cloud service that uses Big Data-based approache...
trust and privacy in their ecosystem. Assurance and protection of device identity, secure data encryption and authentication are the key security challenges organizations are trying to address when integrating IoT devices. This holds true for IoT applications in a wide range of industries, for example, healthcare, consumer devices, and manufacturing. In his session at @ThingsExpo, Lancen LaChance, vice president of product management, IoT solutions at GlobalSign, will teach IoT developers how t...
Digital payments using wearable devices such as smart watches, fitness trackers, and payment wristbands are an increasing area of focus for industry participants, and consumer acceptance from early trials and deployments has encouraged some of the biggest names in technology and banking to continue their push to drive growth in this nascent market. Wearable payment systems may utilize near field communication (NFC), radio frequency identification (RFID), or quick response (QR) codes and barcodes...
SYS-CON Events announced today that Peak 10, Inc., a national IT infrastructure and cloud services provider, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Peak 10 provides reliable, tailored data center and network services, cloud and managed services. Its solutions are designed to scale and adapt to customers’ changing business needs, enabling them to lower costs, improve performance and focus inter...
We're entering the post-smartphone era, where wearable gadgets from watches and fitness bands to glasses and health aids will power the next technological revolution. With mass adoption of wearable devices comes a new data ecosystem that must be protected. Wearables open new pathways that facilitate the tracking, sharing and storing of consumers’ personal health, location and daily activity data. Consumers have some idea of the data these devices capture, but most don’t realize how revealing and...
The demand for organizations to expand their infrastructure to multiple IT environments like the cloud, on-premise, mobile, bring your own device (BYOD) and the Internet of Things (IoT) continues to grow. As this hybrid infrastructure increases, the challenge to monitor the security of these systems increases in volume and complexity. In his session at 18th Cloud Expo, Stephen Coty, Chief Security Evangelist at Alert Logic, will show how properly configured and managed security architecture can...
There is an ever-growing explosion of new devices that are connected to the Internet using “cloud” solutions. This rapid growth is creating a massive new demand for efficient access to data. And it’s not just about connecting to that data anymore. This new demand is bringing new issues and challenges and it is important for companies to scale for the coming growth. And with that scaling comes the need for greater security, gathering and data analysis, storage, connectivity and, of course, the...
The IETF draft standard for M2M certificates is a security solution specifically designed for the demanding needs of IoT/M2M applications. In his session at @ThingsExpo, Brian Romansky, VP of Strategic Technology at TrustPoint Innovation, will explain how M2M certificates can efficiently enable confidentiality, integrity, and authenticity on highly constrained devices.
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, will provide tips on how to be successful in large scale machine lear...
You think you know what’s in your data. But do you? Most organizations are now aware of the business intelligence represented by their data. Data science stands to take this to a level you never thought of – literally. The techniques of data science, when used with the capabilities of Big Data technologies, can make connections you had not yet imagined, helping you discover new insights and ask new questions of your data. In his session at @ThingsExpo, Sarbjit Sarkaria, data science team lead ...
SYS-CON Events announced today that Ericsson has been named “Gold Sponsor” of SYS-CON's @ThingsExpo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. Ericsson is a world leader in the rapidly changing environment of communications technology – providing equipment, software and services to enable transformation through mobility. Some 40 percent of global mobile traffic runs through networks we have supplied. More than 1 billion subscribers around the world re...
In his session at @ThingsExpo, Chris Klein, CEO and Co-founder of Rachio, will discuss next generation communities that are using IoT to create more sustainable, intelligent communities. One example is Sterling Ranch, a 10,000 home development that – with the help of Siemens – will integrate IoT technology into the community to provide residents with energy and water savings as well as intelligent security. Everything from stop lights to sprinkler systems to building infrastructures will run ef...
Manufacturers are embracing the Industrial Internet the same way consumers are leveraging Fitbits – to improve overall health and wellness. Both can provide consistent measurement, visibility, and suggest performance improvements customized to help reach goals. Fitbit users can view real-time data and make adjustments to increase their activity. In his session at @ThingsExpo, Mark Bernardo Professional Services Leader, Americas, at GE Digital, will discuss how leveraging the Industrial Interne...
The increasing popularity of the Internet of Things necessitates that our physical and cognitive relationship with wearable technology will change rapidly in the near future. This advent means logging has become a thing of the past. Before, it was on us to track our own data, but now that data is automatically available. What does this mean for mHealth and the "connected" body? In her session at @ThingsExpo, Lisa Calkins, CEO and co-founder of Amadeus Consulting, will discuss the impact of wea...
Whether your IoT service is connecting cars, homes, appliances, wearable, cameras or other devices, one question hangs in the balance – how do you actually make money from this service? The ability to turn your IoT service into profit requires the ability to create a monetization strategy that is flexible, scalable and working for you in real-time. It must be a transparent, smoothly implemented strategy that all stakeholders – from customers to the board – will be able to understand and comprehe...
You deployed your app with the Bluemix PaaS and it's gaining some serious traction, so it's time to make some tweaks. Did you design your application in a way that it can scale in the cloud? Were you even thinking about the cloud when you built the app? If not, chances are your app is going to break. Check out this webcast to learn various techniques for designing applications that will scale successfully in Bluemix, for the confidence you need to take your apps to the next level and beyond.