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1.docxPorter’s 5 forces( using for the competitive environment for SAP)
Porter's five forces analysis is a framework that attempts to analyze the level of competition within an industry and business strategy development.
1. Bargaining Power of Suppliers
1.1 SWOT Analysis of SAP: http://marketingdawn.com/swot-analysis-of-sap/
1.2 Information regarding to IT in Mexico can be accessed through: http://thecatalist.org/2011/10/mexico-is-an-information-technology-powerhouse/, http://mexico-it.net/, http://offshoregroup.com/2015/01/14/mexicos-it-sector-growing-at-an-astonishing-rate/, http://www.altios-international.com/en-uk/information__technologies_communication_mexico, http://store.bmiresearch.com/mexico-information-technology-report.html and http://mexico-it.net/.
1.3 Business ‘Demographics’ refers to the statistical information of the population of customers of a business. It is useful to understand such information as it guides you to what best to offer your customers. Mexico being a business hub, for one to understand the business population statics： http://www.euromonitor.com/mexico, https://www.cia.gov/library/publications/the-world-factbook/geos/mx.html, http://data.worldbank.org/country/mexico and http://country-facts.findthedata.com/l/2/Mexico.Sucessfactors in Mexico can be read from http://www.grupohcc.com/en/#successfactors and http://www.successfactors.com/en_gb/customers/h-e-b-mexico.html.
2. Bargaining Power of Buyers
Potential market/ cloud users in Mexico.
Mexico: Cloud growth despite physical security challenges
http://www.idgconnect.com/abstract/11835/mexico-cloud-growth-despite-physical-security-challenges 。
3. Threat of New Entrants.
Salesforce.com?(questioned)
A case : Siemens moves to Oracle for cloud HCM, not SAP SuccessFactors?
http://diginomica.com/2013/09/22/siemens-moves-oracle-cloud-hcm-sap-successfactors/
4. Substitutes
The is part is mainly talking about the HR on-premise and HR cloud based.
The benefits of cloud based HR software:
from: http://www.hrzone.com/community/blogs/lizzieatactus/why-should-you-choose-cloud-based-hr-software
· Ease of use and flexibility– employees can access applications on the move via the web and the managers can respond virtually; this echoes how people want to work nowadays.
· No need to spend millions– infrastructure can be expensive. Instead you simply rent the cloud application from the provider, which means it is an operational investment rather than a capital investment on the balance sheet. It also means the software can be switched on and off as required.
· Speed of set up and configuration – because this is a hosted technology that is accessed independently via the web, it can be set up and configured quickly and simply, without lengthy integration.
· No maintenance costs– we hear about legacy technology which sits in many organisations and is out of date. The cost of updating or maintaining it is huge. With cloud based HR software it is the responsibility of the software provider to offer the most up to date version of the software as part of the package.
· Support offered via the provider– no additional pressure on your IT department because the software is independent and support is provided directly.
· Security– Most UK providers of cloud based HR software use specialist hosting providers in the UK who have security and back up procedures that are far more secure than any internally hosted software. Data is not housed on laptops which can be left on trains; it is securely backed up and accessed on demand via the web.
· Real time data– the ability to access your HR data in real time means you can add far greater value as an HR professional. This allows you to be more proactive within your organisation. Compared to paper based processes, this can be life changing!
5. Rivalry( Oracle, workday, SAP)
5.1SuccessFactors (SAP) market share in Mexico
Last update: June 12, 2016
5.2Top Competitors:
Taleo: Belongs to Oracle.
Taleo Enterprise: Oracle
Zoho Recruit: CRM SAAS
SuccessFactors (SAP)'s market share in the Mexico 15.56%
5.3 Oracle, SAP, Workday: A review of three cloud HR products
http://searchfinancialapplications.techtarget.com/tip/Oracle-SAP-Workday-A-review-of-three-cloud-HR-products
Since acquiring PeopleSoft a decade ago, Oracle has become the world's HR software market leader. After realizing that maintaining several HR product lines (PeopleSoft, Oracle EBS, JD Edwards) is costly and unsustainable in the long run, Oracle has developed a new HR system calledFusion, which is available both on-premises and in the cloud. Fusion will be of interest to companies that have invested in Oracle products and can use that investment as a credit to acquire Fusion. Another advantage of Fusion is that, if for security reasons or the need to customize your product, you want to have your own system environment and not share it with other clients, Oracle offers that option. In addition, Oracle now offers easier support conditions for any interfaces to an existing PeopleSoft implementation (for instance, if you want to move your HR system to the cloud but retain PeopleSoft payroll, which is on-premises).
Fusion's weaknesses, on the other hand, are serious and have hampered the growth of its customer base. For one, not all HR areas are available in Fusion: For instance, for recruiting, Oracle recommends Taleo, another acquisition. Many customers would rather stay on PeopleSoft payroll than adopt Fusion payroll. This means that you would have to juggle different products built on different technologies and data models -- not something many companies will relish. Fusion also has poor business-process functionality, which will be a concern for companies that have complex processes and want to be able to adapt them as they evolve. And the fact that Fusion is not a true SaaS system may not appeal to companies looking for cutting-edge technology.
5.4．HR Software in Mexico are of different types depending with the needs of the specific HR department. The different uses of these software include management ad recruitment of new staffs, scheduling trainings for the staff, processing their salaries and bonuses, measuring their performances and managing their reporting and leaving times just to mention a few. Some of them are as follows: Kronos Workforce Ready® which can be located via http://www.hrispayrollsoftware.com/kronos others are https://www.getapp.com/hr-employee-management-software/human-resources/geo/mexico/, http://www.compandben.com/international-payroll/international-payroll-peo-services-mexico.html, http://www.download-provider.org/download-k:Hr%20Software%20Mexico.html?aff.id=7582 and https://www.sutihr.com/.
