To assist meet demand from enterprises which are shifting asset administration strategies from legacy functions to cloud-based know-how, ERP supplier IFS has signed an settlement to amass Netherlands-based enterprise asset administration (EAM) software program agency Ultimo.
IFS, which is predicated in Sweden and has prospects globally, says that it’s buying Ultimo as a result of it believes that the corporate’s SaaS providing can present excessive ranges of flexibility and configurability for purchasers.
EAM may be thought of a subset of ERP software program, offering instruments and functions to handle the lifecycle of bodily belongings in an enterprise, in an effort to maximize their worth.
IFS’ acquisition comes at a time when the EAM market is rising as a result of transfer to cloud structure, rising demand for an enterprisewide view of belongings for strategic planning, and growing deployment of IoT platforms and gadgets.
The worldwide EAM market is anticipated to develop at a compound annual development price (CAGR) of 8.7% to achieve $5.5 billion by 2026, from $3.3 billion in 2020, in keeping with market analysis agency MarketsandMarkets.
IFS, which expects the acquisition to shut within the third quarter of 2022, plans to make use of Ultimo’s software program along side its personal cloud-based EAM providing. Ultimo focuses on offering EAM to midsize firms in manufacturing, healthcare, logistics, infrastructure and utilities.
After refreshing its ERP suite each three years since 2012, IFS final 12 months switched to a six-month refresh cycle to make sure that prospects at all times have entry to its newest options.
Market analysis agency Gartner, in its Market Share: Enterprise Useful resource Planning Worldwide 2021 report, positioned IFS on the prime of EAM distributors by way of income, with 18% market share, after gross sales grew 29.1% year-on-year. The Ultimo acquisition ought to assist IFS compete within the EAM market with distributors together with IBM, SAP, Microsoft and Oracle.
Ultimo, which was based in 1988, has 180 workers with greater than 2,000 prospects together with London Gatwick Airport, BASF, VTTI, Ravago, Vion Meals Group, Argent Vitality, and Hutchison Ports ECT Rotterdam