The evolution of ERP clearly indicates the growth that ERP has achieved over the years. Based on the data available from 2013, it can be seen that ERP’s market grew by 3.8% in 2013 compared to the growth rate of 2.2% achieved in 2012. As of 2013, Gartner stated that Workday, Workforce software, Cornerstone On Demand and Net Suite were the five fastest growing vendors. Arm Research and Forrester reports the ERP market size to be $50.3 billion by end of 2015 (shown in Figure 1.4). This is the ERP growth scenario across the globe.
Technavio’s analysts forecasted in 2012 that ERP software market in India would grow at a CAGR of 22.2% over the period 2011–2015. One key factor expected to contribute to the market growth was the growing demand of ERP in SMEs. As per the report, key vendors dominating the market space are Infor Global Solutions, Microsoft Corp, Oracle Corp, and SAP AG. Other vendors mentioned were Sage Group plc, Ramco Systems Ltd., QAD Inc., Tally Solutions Pvt. Ltd., and Eastern Software Solutions. Another forecast by Gartner in 2013 cited that market for ERP in India was expected to grow at a rate of 13% for that year. The trend among ERP software vendors is the expansion plans and concentration on SMEs. Experts at IDC expected software market in India to grow at a CAGR of 10.3% over the period 2014–2018. In 2014, it was again SAP, Oracle, and Microsoft that continued to market leaders in ERP. ERP market was expected to grow at a rate of 12% with SaaS model gaining more growth. Dataquest estimated the ERP market in India to be Rupee 2,233 crore in 2013 compared to Rupee 1,993 crore registered in 2012, which is an increase of over 12%. Another report of Gartner stated that SaaS ERP in India was expected to grow at a CAGR of 28%. SaaS applications in India constitute less than 5% of the overall market of ERP in India. SAP occupies 47% of the market share of ERP in India followed by Oracle at 17% and Microsoft at 11%. Growth of ERP in India is very good, as there is more concentration on SMEs and it is expected to be increasing at a steady pace along with the market for SCM, BI and CRM.