In yesterday’s look at this year’s Gartner’s enterprise CMS Magic Quadrant, we saw how growing pressure on enterprises to achieve better productivity has seen many turn to enterprise content management systems to achieve that. Today we look at the companies that made it into the Leaders Quadrant as well as their strengths and weaknesses.
To qualify as an enterprise content management system for the purposes of this study, systems must contain a combination of the following components:
- Document management: For check-in/check-out, version control, security and library services
- Web content management: For controlling the content of a website
- Records management: Long-term retention of content through automation and policies
- Image-processing applications: For capturing, transforming and managing images of paper documents
- Social content management: For collaboration and knowledge management, and for supporting project teams.
- BPM: For supporting business processes, routing content, assigning work tasks and states, and creating audit trails
While these elements consist of the ideal components, there are a number of other market criteria that need to be fulfilled to make it into the Quadrant. Specifically, a vendor must demonstrate:
- At least US$ 10 million in total content management software revenue (licenses, updates and maintenance)
- Actively market its products in at least two major regions -- for example, North America and EMEA, or Asia/Pacific and Latin America
- Have enterprise CMS software commercially available
- Have an integrated content management suite with at least four of the components listed above supplied natively
Finally, there are the Leaders and the specific criteria required for inclusion in this part of the quadrant.
Leaders, Gartner says, have a clear vision of the future with strong channel partners and a footprint in multiple regions. They are doing well and are prepared for the future with a clearly articulated vision.
Leaders Quadrant 2011
There are six Leaders in this year’s Magic Quadrant. In alphabetical order, they are:
EMC has a wide range of products, with 12% of the market in 2010. EMC has been moving into negative growth territory over the past few years. To address this, it has created an Information Intelligence Group and is under a new leadership team.
Strengths: Focusing increasingly on transactional content management, its stack contains a large number of complimentary products enabling it to manage the content lifecycle better than most.
Its assets include capture, repository, process management and archive and records management. It also has a strong risk management portfolio that offers more holistic information governance.
Cautions: Gartner says the Documentum family is losing some of its business partly because of perceived cost and complexity, compared with SharePoint and because its integration and independent software partners have not delivered a catalogue of products. EMC's efforts at social content management have fallen flat, Gartner says.
Hyland Software has continued its success in, and focuses on, the mid-market. It made several acquisitions since late 2010 to boost its vertical focus. It has an expanding customer base and shows strong double-digit growth.
Strengths: It has focused on customer satisfaction and brings a clearly articulated set of content management solutions. Its appeal in the mid-market is partly because of moderate cost for deployment and its ability to integrate with other core players. It has also expanded its SaaS offering and has invested in its international data centers.
Cautions: It needs to build out richer vertical solutions as well as an aligned partner ecosystem. It remains a mid-size organization with limited international footprint and it may not be ideal for those enterprises that have the most demanding scalability requirements.
One of the largest players in infrastructure content management, IBM’s enterprise CMS focuses on high value and more sophisticated use cases. However, its strength of providing multiple enterprise CMS products also poses challenges. Its main strength is in the world of transactional content management.
Strengths: Its worldwide footprint and direct sales force has made it the largest global enterprise CMS vendor with 20% of the world market share in terms of revenue.
Using its production imaging and document-centric workflow capabilities, it is in a strong position to provide advanced case management, using analytics and social integration. Its smart archiving approach brings together many of its products and now has the ability to provide an enterprise information archiving approach.
Cautions: While it has made progress integrating its enterprise CMS with its other product, Gartner says that it has received feedback from some of tis customers that many of them remain frustrated with its complex product portfolio.
Its global size makes it difficult for it to respond nimbly to demands for better support for role-based clients. It has also lost ground to lower-cost transactional content management alternatives.
SharePoint is proving to be a viable enterprise class platform, even if it often requires third-party add-ons. Gartner says that over half of the inquiries it receives about enterprise CMS include discussions about SharePoint and one-third of its client base is using the 2010 version. The impact of Office 365 is not yet assessable, but Gartner says it should appeal to companies with only basic content management needs.
Strengths: SharePoint has attracted a large ecosystem, largely as a result of Microsoft’s position as a “stack” vendor. Many of its third-party vendors are building extensions and integrators are generating big businesses. Key functional enhancements include greater ease of composite content application development
Cautions: Many enterprises need to add third-party tools to build a suitably robust content management environment. Microsfot needs to pull more of those capabilities deeper in the next release. Many other content management vendors offer these natively. It only has modest Web CMS abilities.
OpenText continues to grow with its acquisition strategy and has moved into the BPM market with the purchase of MetaStorm and Global 360. Its strategic relationships and interoperability with SAP and Microsoft's infrastructure and applications are key to its success.
Strengths: OpenText has many CCAs and is making considerable progress in public sector and European markets. Its partner agreement with SAP gives it a competitive advantage when it comes to creating opportunities with SAP customers, particularly for imaging, archiving and document and records management business. It is the largest vendor focused on content management.
Cautions: Gartner says some OpernText clients have expressed concern about the roadmap and that it needs a clearer product vision in the marketplace. It also needs to integrate the capabilities of MetaStorm and Global360 into its portfolio.
Oracle brings content management, portal, Web and collaboration together in its new WebCenter strategy and platform, while its Enterprise Content Management Suite 11g continues to expand its market footprint. This gives it a strategy is aimed at the business buyer rather than the IT buyer.
Strengths: It provides a well-integrated content management suite that provides a broad set of content management functionality. Integration of Oracle WebCenter with Oracle's software provides substantial benefits to Oracle customers. Its sales force, product development and support organizations provide it with opportunities to continue growing its content management business.
Cautions: It needs to provide tighter integration of its Web 2.0 and collaboration capabilities with Oracle Social Network, which was recently introduced at OpenWorld. Mid-market customers often find it too expensive for their content management applications.
There’s a lot more to this and worth a look for any enterprise looking at its enterprise CMS strategy. You can see a copy of the report from Hyland Software website after registration.