Finance solutions in the Cloud grow one third in a single year
One fifth of all company sites with at least 50 employees use financial software in the Cloud. This can be a financial module from an ERP package or a separate financial package. How financial solutions are used has been subject to enormous changes over the last couple of years. In 2014, as many as 35 percent of interviewed sites indicated that the solution they used for financial administration was hosted on their own premises. Within four years, this share has dropped to 26 percent of all sites. Another option which is also in decline is the use of a financial solution that runs on the premises of a parent or sister company. We can see that this percentage has dropped from 39 percent in 2014 to 27 percent today. This has emerged from an analysis by Computer Profile on the basis of over 7000 interviews with ICT officers from Dutch company offices with at least 50 employees.
If we look at the total number of software solutions used for financial administration, we see that SAP is the most popular solution. At sites with 50 employees or more, 38 percent of the Finance solutions are SAP. As mentioned earlier, this also includes the financial modules in ERP software. Exact and Microsoft are the other top 3 players.
Computer Profile adopted the same approach to HR applications as for financial applications. To record the most popular HR solutions, Computer Profile looked on the one hand at separate HR solutions mentioned by the interviewed IT managers, and on the other hand at ERP applications in use amongst company offices with at least 50 employees because these will also usually include an HR functionality.
SAP also ranks at first place in this overview. 29 percent of all HR solutions are from SAP. The top 3 also includes AFAS and Microsoft. The differences between these three players are not significant. For SAP it is once again the case that the company has a very strong presence at multinational sites, with nearly 60 percent of all HR solutions being provided by SAP in multinational offices. Microsoft and Oracle solutions rank 2 and 3 in this segment with 15 and 14 percent respectively. RAET is the most noticeable vendor in the public sector. 34 percent of all HR solutions in this segment are provided by RAET. RAET is followed at a fair distance by AFAS and SAP (19 and 13 percent). They are closer to each other in the National Enterprises and Medium Sized Businesses segments. Microsoft is the most popular vendor in both segments (23 and 17 percent). SAP and AFAS rank 2 and 3 (20 and 19 percent) for National Enterprises, and Exact shares the number 1 position for Medium Sized Businesses (also with 17 percent) while ADP is the third most popular party with 13 percent.
The HR vendors were among the first to start pushing cloud services. HR software is used in total by 88 percent of sites surveyed by Computer Profile (at least 50 employees). Of all HR solutions at sites with at least 50 employees, we see that 20 percent is in the cloud (this is 5 percent more than last year), 27 percent is hosted by a third party, more than a quarter still runs locally and nearly 27 percent is hosted by a head office or at a sister site.
Here, too, there are clear and noticeable differences for the various market segments. At public authorities and Multinationals, the most popular solutions are hosted/cloud types of HR software. In the National Enterprises (250 to 2500 employees in the Netherlands) and Medium Sized Businesses (50 to 250), we see that “On premises HR” is still the most popular option.