Alexey Ananyin, Borlas: We passed to a stage of post-ERP

Alexey Ananyin: All last years we have very equal trend on preserving of market sizes or even some growth in separate segments. Because, first, ERP – it technology mature product, secondly, this market is very strongly tied to a current status of the companies, the industries and economies in general. And here obviously you should not expect breaks.

It is obvious that it is possible to achieve growth in mature market due to expansion of a product portfolio that we also made: in addition to a line from Oracle and to own developments expanding its opportunities at the beginning of 2017 we signed partnership agreements and created teams of consultants for ERP solutions 1C, Galaktika and SAP. We expect the first business results this year, but if to speak at the level of feelings, then it was the step which is repaid.

Alexey Ananyin: Thanks to virtualization, easier integration of systems, use of cloud solutions it is possible to build end-to-end information systems based on separate solutions of different vendors today. But it not only issue of development of technologies and simplification of integration. Following business needs, after implementation of a functional core of ERP – an accounting circuit, a circuit of planning, the corporate reporting that at many is already made, the companies pass to implementation of functionality for improvement of primary activity. Each industry and at each company in this industry has unique operational processes and universal solutions here cannot be any more. In this paradigm it is possible to say that we passed to a stage of post-ERP, and interest was displaced from the basic systems to deeper process automation and customized applications.

Alexey Ananyin: As market size significantly does not change, growth of some players is possible only at the expense of a share of others. If we look on the volume of business of 1C as we a certain indicator of the events in recent years, then will see, as before declaration of import substitution policy and after it the company showed the same dynamics – quite firm growth advancing the market. Dynamics of Galaktika too without jumps. So I would not tell that import substitution became the factor which cardinally changed the market and led to considerable redistribution of a share of players. Though, of course, in some industries the domestic systems have a certain priority now. In many respects because of it we also turned on 1C and Galaktika in our portfolio. And taking into account cooperation with Oracle and SAP, it allows us to come to the company of any industry and any size with the solution which is the most suitable it. From this point of view, I think, Borlas offers the widest portfolio of business applications in the market today.

Alexey Ananyin: In addition to projects on completion of functions and migration on new versions which volume is stable our customers aim to use information which is already accumulated in ERP effectively. There is the whole class of analytical solutions which allow to receive additional value from already used data sets just due to deeper and their more intelligent processing.

Also the companies are interested in deeper automation. For example, profound planning of operating activities is very demanded. For cargo carrier it is turnover of cars, for agroholding - distribution of acreage, for power – technology transactions and loading of capacities. The mathematical models and algorithms which are built in such IT system allow to solve any industry problem so that to receive at the existing restrictions the realistic plan and the best of possible business results.

Now many have a reorganization of work under e-commerce models. It both supply chain management, and work with partners, and sales of products. On the one hand, it is necessary to give to partners and buyers convenient instruments of interaction with the company, and on the other hand, to provide close integration of these solutions with accounting systems and planning. Creation of full-fledged ecosystems with close integration of workflow of participants will become the next step for a number of businesses.

Besides, in a number of the industries the low level of penetration of ERP as business management systems, and not just accounting remains. A characteristic example – agriculture. We looked at this market, and it turned out that there are practically no solutions providing the necessary depth and accuracy of automation taking into account industry requirements. Therefore we develop such solution based on Oracle applications of JD Edwards Enterprise One for agriculture. And we are going to unroll a part of its functionality in a cloud and to offer as service. And it has to be interesting not only to large players.

Alexey Ananyin: Very difficult and multidimensional subject. Let's begin with that, in Russia transition of ERP to clouds as the trend did not gain sufficient strength yet to push the market. Some more years that we came to decent rates are necessary, probably, and process accepted mass character.

If to look more deeply, then it is reasonable to transfer not all to clouds at a present stage. Conditionally, processes of any company can be separated into three types. For the first type of processes it is possible to apply easily notorious "best practices" - ready models and templates, for example, to management of a warehouse, automation of customer relations, talent management, etc. The second block of processes is connected with the reporting and requirements of local regulators: here accounting and taxation, labor relations, different industry requirements and standards enter. In our country as you understand, it is the most part of ERP. At the same time all companies have the third type - the specific, badly giving in to typification processes, for example, operational platforms, management of specific production, technology processes, etc. They bring money to the companies and distinguish them from competitors. For them IT systems either are deeply improved, or in general are written individually.

The first type of processes perfectly lays down in a cloud, and exactly here we see rapid growth of the market on model software as service. For transfer in clouds of the second type of processes, obviously, are necessary or ready localizations of the western ERP in a cloud, or SaaS implementation of the leading domestic solutions. Developers – and ours, and western - promise to make available such solutions. Then new, already cloud round of development of the ERP market is quite possible.

Transfer in clouds of unique processes of the third type a task the most difficult. It is required to customization serious in a cloud. Ready solution SaaS of it is not assumed now. The only opportunity – individual development on specialized cloud platforms. In my opinion, exactly the transfer stage in clouds of unique production systems will also become peak, I would tell, a quintessence of development of cloud model. For now the companies are simply forced to use hybrid models, combining on premise, Iaas, PaaS and SaaS. And vendors meet requirements of clients, releasing interesting products. For example, Oracle Cloud Machine is a cloud service, at the same time the server of a cloud of Oracle stands in your DPC behind your firewall with all that it implies advantages.

Alexey Ananyin: Clouds are, obviously, a trunk way of development of IT for developers and for business around the world. Therefore, despite all difficulties, it is sure that it is let slow, but irreversible process and for Russia. In return we invest in development of examination in this area. Recently Borlas received the status Oracle Cloud Managed Service Provider (MSP) which essence that we complement cloud solutions of Oracle with own services. It is important to note that within the Oracle Cloud platform we work both with Oracle applications, and with applications of other suppliers. First, it is consulting: the strategy of transition with economic metrics, the current and target cloud landscape, the step-by-step road map. The second block of services – everything that is connected directly with migration: work with applications and data for their transfer, integration of solutions. And the third block is services of operation: administration, technical and functional support of IT systems in a cloud with the required SLA level. As the MSP partner for the client we can act as the uniform center of responsibility for everything, including Oracle Cloud services.

Than penetration of cloud model is deeper, especially the qualified partners who on the one hand, know the systems of the client, are able to finish them will be demanded, and on the other hand, well know mechanics of cloud services, can provide development, migration and support of these systems in a cloud with the necessary level of service.