Report:

Magic Quadrant for Cloud ERP Services for Service-Centric Enterprises

Top Vendor Products for Cloud ERP Services for Service-Centric Enterprises in 2023

• Accenture
• Deloitte
• Infosys
• PwC
• TCS

Cloud ERP Services for Service-Centric Enterprises Vendor Product Comparisons 2023

• Accenture - Leader
  

  Pros:

  • Focus on business outcomes: Accenture builds its ERP engagements on transformation and is increasingly taking a more business outcome-based focus. The majority of the contracts for cloud ERP services implementations are either fixed price or business-outcome-based. The Accenture team is moving toward increased accountability rather than just being paid for services performed.
  • Scale, breadth and depth of offering: Accenture covers all the technologies covered in this research that are used to implement, evolve and support cloud ERP. It has certifications and extensive staff numbers for all ERP technologies and can offer consulting to provide platform solutions rather than single technology upgrades. In addition, it can support functional analysis locally in all regions, deliver technical skills from low-cost locations and has an extensive set of industry case studies and accelerators.
  • Focus on compressing delivery: Accenture believes that transformations are not a moment in time but a continuous evolution. As a result, it is differentiating itself by offering a compressed transformation with ongoing improvement, especially within its SAP and Oracle engagements. It does this with accelerators, automation, focusing on value delivery and transforming multiple business areas at the same time.

  Cons:

  • Not suited for clients with only tactical needs: Accenture's goal is to lead with innovative, business-outcome-led thinking and solutions to meet clients where they are on their transformation journeys. Clients with tactical needs, such as technical migration only without an overarching transformation agenda, may find Accenture's offerings not suitable for their needs.
  • Continuity and experience of resources: As Accenture continues to grow rapidly as a leader in this market, Gartner is seeing that some clients are dissatisfied with Accenture rotating experienced consultants out of the engagement for those with lower experience.
  • Premium pricing and contracting rigidity: Clients find Accenture's pricing to be higher and contracts less flexible than those of other vendors evaluated for similar scope. Clients with limited budgets should look at a range of options like onshore/offshore mix and level of experience of resources. Those engaging in negotiation should do so with market knowledge and put additional time in their sourcing cycles.


• Birlasoft - Niche Player
  

  Pros:

  • Product understanding of platforms covered: Birlasoft has the highest percentage of service-centric cloud ERP resources against total FTEs among its cohorts in this research, at 18%. Consequently, it rated well in product functional and technical knowledge for the platforms and modules it covers. Some clients relayed satisfaction with their Birlasoft project team's ability to understand and address pain points within their ERP cloud initiatives.
  • Solid investment in execution and support tools: Between integration and delivery, Birlasoft has built more than 10 developer accelerators for APIs and middleware and more than 20 cloud-ready proprietary tools for end-to-end cloud migrations. In addition, Birlasoft has invested in ongoing skill development.
  • Good ongoing services offering: SmartAMS is Birlasoft's ongoing support offering for cloud ERP. This approach incorporates BMonitor and Birlasoft's ERP Cloud Intelligent Command Center to offer an intelligent automation platform, process-driven proactive incident resolution and smart transition and governance, leading to what it markets as a self-healing platform.

  Cons:

  • Evolving business transformation expertise: Though Birlasoft's technical transformation skills are solid, its business-led transformation and consulting prowess lags behind its competitors in this research.
  • Limited at-risk or outcome-based pricing models: Birlasoft tends to stick with traditional pricing models of time and materials (T&M) or fixed fee, rarely with any at-risk amounts in its agreements and no business-outcomes-based contract to date. Mature clients seeking outcome-based approaches to contracting will need to spend time working through a suitable commercial model.
  • Suboptimal executive engagement: Some of Birlasoft's clients relayed suboptimal executive engagement from Birlasoft during the migration of their core systems. Clients engaging Birlasoft need to ensure they put in place a robust governance framework to mitigate project risks.


• Cognizant - Challenger
  

  Pros:

  • Expedited cloud ERP execution: Cognizant had the second highest percentage of fixed price bids across its peers in this research group. It also had some of the highest scores for speed of delivery and meeting or beating completion timelines. This was a critical success factor for some clients running up against regulatory or end of life (EOL) hardware timelines.
  • Positive overall delivery capabilities: Organizational change management (OCM) is a strong focus for Cognizant across all cloud ERP platforms in its scope. With more than 400 OCM experts across its enterprise, this appears to be a driving factor of the above average client feedback for overall delivery satisfaction.
  • Good understanding of the service-centric market: Cognizant leadership has a clear understanding of the service-centric cloud ERP marketplace and is evolving and growing its practice to support a broader client base. This is reflected in the higher than average overall satisfaction with cloud ERP initiatives from its client base.

  Cons:

  • Emerging market focus on service-centric cloud ERP: Although Cognizant has a solid understanding of the service-centric market, it has a relatively low percentage of FTEs dedicated to service-centric enterprises (SCEs).
  • Lower advisory and consultative insight: Cognizant is in the bottom third of this provider group for percentage of consulting resources for this market. This is reflected by some clients relaying that there was a lack of thought leadership and design advisory from Cognizant during cloud ERP transition.
  • High resource turnover: Although Cognizant declined to provide attrition numbers, some clients relayed a high amount of turnover from the resources assigned to their initiatives. This may have contributed to communication delays and missed requirements as relayed by the clients.


• Deloitte - Leader
  

  Pros:

  • Extensive industry solution portfolio: Deloitte has an expansive vertical-focused portfolio with deep solutions. It drives toward business outcomes specific to enterprise customers in a given vertical market. Deloitte has one of the highest reference scores in industry expertise among all the vendors in its cohort.
  • Strong delivery capabilities: Deloitte has an array of solutions that are expertly packaged together. Its solutions and services delivery are supported by its robust Deloitte Ascend cloud platform, which provides access not only to technical tools for internal resources, but also to a 360-degree delivery view for customers and internal resources alike.
  • Extensive offerings, not just point solutions: Deloitte provides strong technical and service transformation capabilities. Its solutions do not feel like point solutions applications, but cloud-based packaged services taking customers through a true cloud transformation journey.

  Cons:

  • Focused mainly on large clients: Deloitte, like many of the vendors in this Magic Quadrant, provides services to mainly large enterprise clients. While there will be value for midsize clients, the premium pricing and focus on comprehensive transformation may deter smaller organizations that are looking for more pragmatic, short-term, point solutions.
  • Ongoing change management: Success in cloud ERP engagements should be measured in adoption and business value. Leading the client through the organization change management (OCM) needed is key to getting to that success. Despite a strong portfolio of services that go with its cloud-based solutions, Deloitte did not showcase OCM capabilities as strong as other leaders in this research.
  • Focus on service-centric workflows: Although it hosts a broad portfolio of industry cloud-based solutions, Deloitte did not show the business workflow nuances associated with service-centric businesses (e.g., expense management use cases commonly found in service-centric businesses over product-centric business). Some of the solution points showcased by Deloitte were generic and high-level and not differentiated for the service-centric industry in question.


• DXC Technology - Niche Player
  

  Pros:

  • Strong SAP capability in healthcare industry: DXC Technology has been an SAP partner for more than 35 years and has built up a competent delivery organization on SAP products consisting of 5,800 FTEs for this market. It has built a strong reputation in healthcare while building its modern WorkForce suite, which focuses on providing healthcare organizations with the tools to manage, support and care for their employees — professionally, personally and psychologically.
  • Global delivery model: DXC Technology can provide cloud ERP services in more than 70 countries, including local language support, with access to experienced scalable delivery teams incorporating global, regional and local capabilities. DXC Technology maintains four Global Innovation and Delivery Centres (GIDCs) for cloud ERP: India, Philippines, Eastern Europe (Poland, Slovakia, Bulgaria) and Vietnam.
  • Industry capability initiatives: DXC Technology has started centralizing specialized expertise across several industries: banking and capital markets, healthcare, media and publishing, and professional services. In this way, DXC Technology is building more ability to support transformation beyond just the technical migration.

  Cons:

  • Too technology focused: DXC Technology is a good partner for technical migration, with more than 10,000 technical staff across all five technologies. Although it is building industry and functional knowledge, clients looking for business transformation engagements will need to verify that the expertise for their industry and the capability to support the business change needed for transformation exist.
  • Lack of focus on service-centric: DXC Technology's lack of emphasis on service-centric approaches might lead to challenges in meeting the needs of service-focused customers. The unclear separation between strategies for product- and service-centric methods across DXC's various industry solutions could result in missing chances to tailor solutions that precisely meet the unique requirements of service-centric clients.
  • Predominantly SAP and Oracle technology focused: DXC Technology has good capabilities on Oracle and SAP and, although able to do engagements in other technologies, about 60% of revenue are from these two practices. There are strong customer numbers for Microsoft (Dynamics 365), but engagements are smaller in size. Clients looking for services outside of these two technologies should verify that experienced, certified technical resources are available.


• EY - Visionary
  

  Pros:

  • Truly transformational solutions: With very deep expertise in the business that uses ERP, EY is focused on the business opportunity and change associated with ERP modernization. The start point is its NextWave approach with three priorities: breakthrough business innovation, driving value outcomes and creating industry advantage. For clients open to extensive transformation, this capability will be appealing.
  • Understanding of the overall cloud ecosystem: EY has built a technology-agnostic delivery model that looks at the cloud ecosystem holistically. With clients at the core along with transformation value, EY has built a cloud-related portfolio of services that covers the software replacement option but also looks at other roadmap options such as cloud migration, cloud transformation, cloud security, multicloud management and cloud economics that link and support clients' needs beyond cloud ERP.
  • Risk/tax/regulatory expertise: EY's deep expertise in risk, tax and regulatory affairs is effectively managed to bring the skills and solutions to cloud ERP (service-centric enterprise) engagements. In some cases, an effective new taxation solution can bring far greater benefits than the operational platform cost reduction.

  Cons:

  • Audit practice restricts certain client engagements: EY has a significant presence in the corporate auditing space, in which EY is the auditor of many of the largest technology vendors and providers, including Oracle and Workday. Thus, EY has restrictions that limit its consulting business wherever it is also the auditor for the client.
  • Low certifications and legacy expertise: One advantage of its consulting heritage is that it does not have a long tail of on-premises clients to administer and hence can pivot quickly to new cloud skills. Deep technical knowledge is needed to execute the transitions required. Although technical certifications are fewer than expected, EY can execute on transformations by bringing together multidisciplinary capabilities.
  • Predominantly focused on SAP: Although covering all the major cloud ERP technologies apart from Workday, the majority of revenue in this market is from the SAP practice. There are strong customer numbers for Microsoft (Dynamics 365), but engagements are smaller in size. Clients looking for services in the non-SAP technologies should check that experienced, certified technical resources are available.


• HCLTech - Challenger
  

  Pros:

  • Good capabilities across technologies: HCLTech is well-experienced in the end-to-end ERP transformation across all four major ERP systems and its modules. It has an estimated 50 industry accelerators and multiple technology-specific service solutions and delivery frameworks.
  • Contracting for business outcome: HCLTech has significantly changed its commercial structuring toward contracting for business benefits and is increasingly focusing on business outcome. Seventy-three percent of the the contracts for cloud ERP services implementations are either fixed price or business-outcome-based. The HCLTeam team is prepared to take accountability for achieving outcomes and share risks associated with the ERP investments.
  • Global presence: With a global footprint, HCLTech has strong capabilities to deliver cloud ERP services for SCE locally while benefiting from its extensive pool of resources in APAC. In terms of global delivery model and geographical split, 28% of its services are delivered from onshore, 7% from nearshore and 65% from offshore locations.

  Cons:

  • Lack of Workday partnership: HCLTech doesn't have partner status with Workday yet. It has developed a strong partnership with HRMS Consulting, who has been a trusted Workday partner since 2014. This partnership allows HCLTech to leverage its expertise and resources when it comes to fulfilling services that require Workday partner services.
  • Limited on large business transformations: HCLTech has a good understanding of the need to focus on business outcome. However, its real expertise is on platform modernization for midsize and large organizations, so it may not be a good choice for large-scale and complex business transformations.
  • Limited focus on service centric: HCLTech's lack of focus on service-centric practices can lead to challenges in effectively meeting service-centric customer needs. The absence of distinct separation between approaches for product and service-centric practices within HCLTech's wide range of industry solutions might result in missed opportunities to tailor solutions that precisely address specific service-centric enterprise client requirements.


• Hexaware Technologies - Niche Player
  

  Pros:

  • Strong staff with business and technology expertise: Hexaware has the highest percentage of FTEs with five to 15 years of experience in this research group, at just over 70%. This is reflected in the higher average percentage of business outcome contracts executed as well as overall positive client feedback on delivery.
  • Committed to cloud and automation-first solutions: Hexaware's approach in this market is a cloud-first strategy and process-mining-led transformation through automation leveraging its proprietary tools such as Amaze. This approach of designing and delivery for longer-term operational excellence and supportability is a plus for Hexaware.
  • Solid focus on change and adoption: Organizational change management (OCM) and cloud transformation planning with Anywhere Employee are used by Hexaware across its cloud platforms of focus. These methods not only help drive user adoption of ERP transformation initiatives, but aid in the decommissioning of legacy systems and reduction of technical and process debt. This approach complements its technical migration skills and is still evolving.

  Cons:

  • Geographic or regional culture coverage: Hexaware has the highest ratio of offshore resources among this research group. Though most clients relayed Hexaware meeting and some clients stated it exceeded expectations, a few clients also shared occasional difficulties in communications with resources.
  • Limited resource scale for very large engagements: Though a significant majority of Hexaware business is for clients in NA and EMEA, some clients relayed difficulty in finding backfill for key Hexaware resources on their efforts. Being a midsize provider, very large clients should ensure the skills needed for its cloud ERP transition have enough bench to accommodate any turnovers.
  • Heavily focused on SAP and Oracle technologies: Hexaware has good capabilities on Oracle and SAP, and although it can do engagements in other technologies, these are limited. Hexaware is not a Workday implementation partner. It only provides support and ongoing evolution. Hexaware has a capability that is nascent in Dynamics 365 ERP implementations. The NetSuite platform is not on Hexaware's horizon of offerings at this time.


• Huron - Niche Player
  

  Pros:

  • Dedicated focus on service-centric enterprise technology: Huron is organized by and focused on a few key industries (all service-centric). It targets healthcare, education, federal, financial, and energy and utilities. For Fortune 500, enterprise and midsize clients in the target industries, it is worth talking to.
  • Workday for higher education: Huron has been a Workday partner since 2014 and has built up a competent delivery organization on Workday products consisting of 500 FTEs for cloud ERP for SCE. It has built a strong reputation in education. It was awarded the Workday Partner Education Innovation Award and is a good option for U.S.-based higher education organizations.
  • Good option for midsize Oracle clients (including public sector): Huron is not a megavendor. With almost 6,000 FTEs in the organization overall, the cloud ERP services for SCE uses 35% of the staff. Services for the ERP technologies (cloud and noncloud) is what it does. That allows any client to be more visible with the management and delivery teams at Huron. In addition, the high proportion of U.S.-based resources (70%) is particularly interesting to U.S. public sector clients that are prevented from using offshore resources through policy.

  Cons:

  • Emerging transformation consultancy capability: Given its scale and technical focus, Huron may not be a good fit for large multicountry organizations looking for business advice on major transformations, although this capability is emerging in the Oracle practice. It does understand that the move to cloud ERP is a business transformation, not a technical upgrade, and it builds out engagements based on technical competencies aligned with industry-specific expertise. However, it does not compete with the megabusiness consultancies featured in this research on pure business transformation advice.
  • Limited European delivery capability: With no resources based in EMEA for this market, Huron is not a good choice for organizations looking for multicountry rollouts with a heavy European footprint. It does have European clients, but those will be for technical work delivered remotely rather than functional focused projects requiring in-country knowledge.
  • No SAP or Microsoft capabilities: With a heritage in Oracle and Workday products, Huron has not as yet branched out into SAP (with the exception of Concur) and Microsoft technologies. It is not currently a good choice for clients who know that they are going to use SAP or Microsoft ERP products.


• IBM Consulting - Challenger
  

  Pros:

  • Large modernization projects: IBM consulting has wide capabilities across the products featured here. That, combined with its expertise in additional products (e.g., RPA solutions) that can be used to build a new cloud-based ERP out of technology components, makes it a good candidate for clients looking to transform their complex ERP through a modernization approach.
  • Global reach and capabilities: IBM has an established presence in every major region. With approximately 4,000 cloud ERP professionals for SCE in the Americas, 3,000 dispersed across EMEA and more than 13,000 in APAC, it is positioned to provide local resources for almost any large ERP cloud for SCE engagement.
  • Solid innovation strategy: With the IBM Garage approach, it provides the capability to work collaboratively with clients and develop service-centric solutions. IBM believes that automation of the cloud stack will help drive higher-quality services at lower cost, and is investing in AIOps, AI/ML and tools such as its quality platform for ongoing service excellence.

  Cons:

  • Narrower focus on small and midsize companies: IBM tends to work with larger enterprises. For midsize to smaller clients, carefully evaluate IBM's capabilities against your needs and objectives.
  • Fewer outcome-based contracts: The concept of outcome-based pricing models is known to IBM, but its contracts remain somewhat limited to fixed fee and T&M models. Although IBM has a high focus on innovation, clients may still have to push it for agreements with accountability for a business outcome rather than platform delivery. IBM does offer financing and delayed payback models, which may be attractive to some clients.
  • Limited on NetSuite engagements: IBM consulting has good depth across the technologies covered in this research that support cloud ERP engagements, but the NetSuite offering is still developing. Clients should validate that IBM has the resources needed in their geography.


• Infosys - Leader
  

  Pros:

  • Strong technical expertise: Infosys boasts a large library of technical assets — more than 2,000 industry related accelerators — to augment the solutions built on its Cobalt platform. This has resulted in 16 go-to-market industry solutions built on Oracle, Microsoft and SAP. This shows its diligence in taking its extensive client experience and finding ways to cover a wide array of use cases.
  • SAP co-innovation partner: Although Infosys is engaged in partnerships with multiple ERP technology providers, it engages with more than 200 other partners within the SAP ecosystem for technical-, business- and industry-related purposes. Infosys is also in a 360-degree co-innovation development partnership with SAP. Given the size of its practice and relationship with SAP, this is a strong technological pillar.
  • Continuous process mining: Infosys' Value Realization Method is transparent about incorporating process mining to drive continuous improvement in its solution capabilities. This in turn drives improvements to bring about measurable improvements (i.e., enhance out-of-the-box KPI's for their industry solutions), so it can go to clients with measurable benchmarks (i.e., 5% to 10% freight cost per unit reduction in their transportation solution).

  Cons:

  • Lower business function consulting capability: Although Infosys has shown a shift toward focusing on business outcome rather than technical functions, it is still not as versed as some of its counterparts. Customers looking for more in-depth functional business consulting services mixed with the technology solution should challenge Infosys to show capability in this area.
  • Lesser focus on post-go-live services: Other vendors featured in this Magic Quadrant incorporate an array of services into their post-go-live services geared toward both ongoing technical and business challenges. Infosys centers around technical areas, such as managing upgrades and application support. With cloud ERP, the ongoing focus should be evolving the capability, not just keeping what was built technically healthy.
  • Limited workday experience: Infosys is not a Workday partner. Hence, it undertakes limited support projects on Workday. It does not have certified Workday resources. For clients that believe they will have a significant Workday component to their solution, Infosys may not be a good fit.


• KPMG - Visionary
  

  Pros:

  • Large business transformations: With deep understanding of ongoing services evolution, KPMG developed the KPMG Powered Enterprise framework. Its digital transformation framework covers four aspects: target operating models; preconfigured Powered technology, which includes a suite of digital solutions; industry assets and accelerators, and Powered method integrated with change management and scaled agile.
  • Change management capabilities: KPMG's long consultancy history is reflected in its deep understanding of business change management. It developed Change Frame complementary to its Powered Enterprise platform to manage data-driven change throughout the enterprise. Its method includes creating customized Change Journeys for unique personas, empathy maps and leadership visions.
  • Partner co-innovation: KPMG has a strong alliance system with Oracle, Microsoft and Workday. It has co-created KPMG Powered Enterprise assets with Microsoft, Oracle, SAP and Workday for the front, middle and back office across six service-centric industries. This collaborative approach enhances system performance, user experience and adaptability leading to a more seamless implementation process.

  Cons:

  • SAP's financial auditor: KPMG transitioned out of its longtime audit relationships with SAP on 1 July 2023. While it will provide assurance services to certain SAP entities until 1 January 2024, it is adhering to standard audit independence rules (IESBA and AICPA). KPMG is working with SAP on postaudit plans, including negotiating an alliance agreement and also investing in their SAP practice for growth in 2024.
  • Limited offshore capabilities: KPMG has a low ratio of APAC resources and overall lower ratio of offshore engagements compared to other providers in this cohort that may lead to higher rates. Its extensive global presence and higher proportion of local resources does, however, help onshore delivery.
  • Not suited for clients with only tactical needs: KPMG's objective is to enhance its clients' value by assisting them in leveraging technology to differentiate, transform and evolve their organizations. Clients that have tactical needs, such as technical migration only without an overarching transformation agenda, may find KPMG's offerings more than they are looking for.


• LTIMindtree - Niche Player
  

  Pros:

  • Clear focus on ERP rather than software packages: LTIMindtree is organized as an enterprise application service line and has consistent tools, processes and methodologies across the technologies supported. Its three-layer architecture for cloud ERP helps clients (a) fit to standard (b) extend for industry and (c) make the platform agile and extensible.
  • Ability to support a wide technology ecosystem: With the recent merger, LTIMindtree has reached a good scale to be able to offer a full ecosystem play across technologies but yet still be attractive to midsize clients. Clients can get good service on cloud ERP but also leverage the wider LTIMindtree for additional technologyneeds.
  • Strong ongoing services offering: LTIMindtree understands how cloud ERP is an ongoing evolving platform made up of an ecosystem of components. Its timeless enterprise concept understands that the business is not static, and it provides services focused on evolving the industry-specific solutions installed (including post M&A integration activity).

  Cons:

  • Limited capability to manage large transformations: Although LTIMindtree has a good understanding of the need to focus on business outcome, its strength is on platform modernization and the ecosystem play for midsize organizations, and it may have limited experience with large-scale business transformations.
  • Toolsets still evolving: LTIMindtree, postmerger, is building a consistent, evolving toolset based on harvesting the assets both source companies used in engagements. However, given its previous scale, it has not yet been able to invest in the overarching comprehensive toolsets that many of its larger competitors have.
  • High offshore resource concentration: 75% of the LTIMindtree resources for this market are based in India. For cloud ERP services, the technical activities can readily be provided from offshore, but the functional interactions are usually best delivered in-country. Clients looking to roll out multicountry solutions in Europe may need to check local support offered.


• PwC - Leader
  

  Pros:

  • Deep industry coverage: PwC has a strong portfolio of extensive go-to-market industry cloud solutions. In its target verticals, such as banking, insurance, hospitality, power and utilities, healthcare, life sciences, telecommunications and software, it is a good fit for buyers looking for cloud solutions tailored to their industry needs and ongoing advisory or other strategic services beyond technical capabilities. PwC is not only looking to go broad with its industry portfolio, but leans into going deep with microvertical focus.
  • Strong domain knowledge: PwC has a large library of assets and a comprehensive delivery platform (Concourse) to both provide solutions in a true customer digital transformation journey and maintain solid customer transparency through that journey. Feedback has shown its domain expertise coming through in its services, and it scores one of the highest in industry expertise compared to its cohorts.
  • Strong customer partner: It supplies a range of managed services bundled into its solutions beyond just project-based system implementations to support customers for a truly ongoing transformation journey. Many vendors in this space have a managed services portfolio centered on technical support, such as system upgrades. But PwC extends with offerings that go beyond just technical support to help customers with advisory services that allow them to continue with growing business goals.

  Cons:

  • Not suitable for purely technical engagements: Its ongoing managed services surrounding more technical support work is not as competitive as other vendors in this Magic Quadrant. Other vendors featured in this Magic Quadrant focus more on further automating and creating tools for technical support and maintenance work such as managing upgrades. Coupled with larger offshore teams, this becomes an area where PwC will not be as cost competitive.
  • Less focused on small and midsize enterprises: PwC has shown less focus on smaller companies. Given the range and extensiveness of its solutions, this will price out buyers looking for more point solutions or that are not ready to commit to larger transformation initiatives.
  • Not ideal for public sector clients: Due to its audit business, this sector has not been an area of focus for PwC. Although it does have an impressive portfolio of industry-based cloud solutions, the public sector is not a strength for it compared to other industries like banking and healthcare.


• TCS - Leader
  

  Pros:

  • Strong Oracle expertise: Across all its competencies, its Oracle certifications and Oracle-based revenue are clearly TCS's most dominant across all the ERP technologies. Almost 40% of its client implementations are in Oracle. It has shown it has built in-depth Oracle-based solutions on top of the TCS Crystallus platform.
  • Broad library of industry accelerators: Unlike many of the vendors in this Magic Quadrant where the bulk of assets are aligned to a couple of ERP technologies, TCS has maintained a broad library of assets across all ERP technologies featured in this Magic Quadrant.
  • Existing client base: TCS has leveraged a number of large existing clients for ongoing managed services work. As transformation moves more toward ongoing services rather than discrete project-based work, maximizing on managed services has been key to ongoing success. This shows a commitment and strength in its relationships with its clients as it continues in a transformation journey.

  Cons:

  • Low technology certifications: Compared to its cohorts in the extra large practice size, its proportion of technical certifications across all its technology practices is one of lowest. Other vendors have a higher proportion of certified resources supporting their ERP technologies.
  • Technology balance: The number of certified FTEs in both proportion and absolute numbers is highest in Oracle. Although this shows strong Oracle-related competency, and TCS does have credible capabilities in all the technologies, clients should check the experience levels of staff outside Oracle projects. TCS delivers Workday projects but is not a certified Workday partner.
  • Lack of consultative approach: TCS has a technology-led focus, despite some movement toward becoming more business-outcome-focused. TCS tends to talk about what its technical capabilities have built rather than highlighting the business benefits achieved.


• Wipro - Challenger
  

  Pros:

  • Strong SAP and Oracle expertise: Across all its competencies, SAP and Oracle certifications with SAP- and Oracle-based revenue is clearly Wipro's strongest. It has built in-depth solutions on top of its eSymphony platform.
  • Good ongoing services offering: Wipro accommodates ongoing evolution and managed services bundled into its solutions, beyond just implementation services, while providing capabilities such as due diligence, portfolio analysis, transition, business as usual and continuous improvement.
  • Long-term client relationships: Wipro has a significant number of long-standing client relationships. The institutional nature of these relationships demonstrates a client centricity and commitment to balancing the delivery of value-added services with continued price attractiveness.

  Cons:

  • Consulting skills: Despite investment in business consulting skills through acquisition and training, developing high-value-add business consulting capabilities is still a work in progress for Wipro. Clients requiring sophisticated business domain knowledge, particularly in specialty areas, should validate that Wipro has those capabilities and be prepared to stress test them before committing to any such initiative.
  • Fewer North America-based resources: Wipro's delivery model is based on an offshore and nearshore model and has a smaller percentage of its resources based in North America than its direct competitors. Clients engaging with Wipro in North America, LATAM and Western Europe should work with Wipro jointly in identifying key roles and ensure that they are locked in for the entire course of the engagement.
  • Low focus on service-centric enterprises: Although it hosts a broad portfolio of industry cloud-based solutions across multiple technologies, Wipro is working on enhancing expertise in the business workflow nuances associated with service centric businesses.

Reference

• Gartner, Magic Quadrant for Cloud ERP Services for Service-Centric Enterprises, 20 November 2023, ID G00786959

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