Microsoft – the modern ERP arms merchant
This article starts off talking about Microsoft’s collaboration with Sage, a small business accounting and payroll servicing firm, using Microsoft cloud solution to build and customize the next generation accounting and bookkeeping software. Microsoft, a surprising leader in providing innovated tools to ERP vendors. Its CEO, Satya Nadella, has made it a top priority to develop cost effective, but powerful programs to lure ERP vendors. Despite fierce competition from Oracle and SAP, Microsoft has grasped on the trend of tech stack components to deliver new capabilities and services in order to better serve digital economy focused businesses. Components such as machine learning, artificial intelligence, and big-data influenced data models are Microsoft’s competitive advantages. With this ever changing tech environment, it is easy for the competitions to fall behind and trail if they do not have the sense of urgency to innovate and advance their offerings. After reading the article, I am a bit surprised as well that Microsoft have shifted its focus to target ERP vendors under the new leadership of Satya Nadella. The immediate stereotypes when mentioning Microsoft have always been PC and home-office software provider; however, now Microsoft have smashed these stereotypes Bill Gates established and have turn itself into a major player in the ERP merchant market.
In the foreseeable future, what could competitions such like Amazon, SAP, and Oracle do to keep pace with or leap over Microsoft by using IT resources?