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Financial crisis to sharply cut into ERP profits

Publicat la 06.11.2008, 22:00:00

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Financial crisis to sharply cut into ERP profits

While this year’s advance will amount to 15 percent, in 2009 it will only exceed 8 percent, according to an ERP Romania 2008 study by the Pierre Audoin Consultants (PAC) research and strategic advisory company.

Estimated to be worth €138 million in 2008, Romania’s ERP market remains one of the least developed in the region.

The PAC study indicates that most affected by the crisis will be sales of new licenses. Major ERP solutions suppliers will be “saved” by maintenance fees and several public projects that they hope will be granted funding by the new government.

“ERP integrator profits will slump in 2009, although teams will also be consolidated this year, due to less fluctuation of personnel than in 2007, and a calming of salary inflation,” said Eugen Schwab-Chesaru, General Manager of PAC for Central and Eastern Europe.

A return to an annual growth rate of over 20 percent for integration services is expected only as of 2012, as public projects increase, and due to investments in medium-sized and large companies.

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