New IT Subway Map: S&OP and cloud-based solutions invade Europe

Now that the European economy is strengthening, a growing number of supply chain software vendors are turning their attention to Europe. The demand for software solutions for sales & operations planning (S&OP) in particular is attracting new players, and cloud-based supply chain software solutions appear to be making a breakthrough. Those are the key conclusions from Supply Chain Movement’s annual market study which forms the basis for the globally renowned IT Subway Map Europe.

By Martijn Lofvers

Each year, Supply Chain Movement asks supply chain software vendors with offices in more than one European country to provide their input for the SCM IT Subway Map Europe. Based on the size of the company, the number of ‘live’ customers in Europe and the revenue percentage per software type, vendors can qualify to be included on one or more subway lines. The input is visualised in the well-established subway map concept, with each line representing a particular type of supply chain software. Specific software in support of the periodic S&OP planning cycle, which is increasingly referred to as ‘integrated business planning’, emerged as being the most popular. Suppliers with their roots in ERP software, such as SAP and Infor, have since developed S&OP solutions which their customers are slowly beginning  to implement and integrate in the ERP environment.

Extra planning layer

Another approach is to add a planning layer on top of the existing ERP systems. Well-established European suppliers of supply chain planning software, such as Aimms, OM Partners, Slimstock, Inform and Quintiq, have since developed specific software for S&OP. US vendors such as E2open, One Network Enterprises, Kinaxis and SteelWedge, who all offer cloud-based S&OP solutions, are entering the European market via American multinational clients with offices here on the continent. New and interesting US vendors of planning software on this European subway map include Anaplan, Exceedra and John Galt Solutions. Icron Technologies, a Turkish-American software supplier, is winning a growing number of customers outside of Turkey, including ASML – the world’s biggest supplier of lithography systems to the computer chip industry. Other Turkish vendors such as LA Software and Solvoyo have concrete plans to target European customers.

Transport in the Cloud

Another notable trend is the rise of transport-planning solutions in the cloud. Not only Oracle, but also LeanLogistics, Mercury Gate, HighJump and Solvoyo already offer such cloud-based solutions in Europe.

In terms of acquisitions, things are relatively quiet in the supply chain software market. The French company Dassault Systèmes, supplier of design software for heavy and complex manufacturing, did acquire Quintiq in September 2014, although the supply chain software supplier continues to operate under its own name.

Download: SCM IT Subway Map 2015

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