The number of ERP vendors that have been classified as Tier I vendors has varied over the years. As a result of industry consolidation we only see a few vendors that qualify as Tier I vendors today.
Tier I ERP Highlights
- Tier I ERP vendors sell complex ERP products that have successfully penetrated the Tier I market that consists of companies with annual revenues in excess of $1 B with global ERP requirements. These Tier I ERP vendors have developed mid market pricing and implementation strategies to make them more appealing to the mid market buyer. They rarely sell to a Tier III company unless that Tier III ERP company has plans to grow into a Tier II company quickly.
- Tier I ERP companies have a complex set of requirements. Most significant is the need to manage multiple companies and multiple plants with international locations. Only a few vendors have functionality to meet these needs.
- Tier I ERP products have a higher cost of ownership. This is simply because these products are just more complex than their Tier II ERP competition and thereby cost more to implement and support.
Tier I ERP Vendors
The benefit to a Tier I ERP product is that they have more functionality that you can grow into, and that these companies have the size and resources to keep up with technology.