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October 16, 2009 – “This week Mr. Ellison closed his keynote with the soft launch of Fusion Applications. To be honest, we’re not sure why the company waited until the third day of the event… During his keynote Mr. Ellison acknowledged that new products like Fusion Apps will turn E-Business Suite, PeopleSoft, and Siebel into old, legacy systems. That said, he pledged to support all Oracle Apps Unlimited for another 10+ years and to provide easy connectivity to Fusion Apps through modular upgrades.
The first release of Fusion Apps will include financials, human capital management (HCM), sales and marketing, supply chain management (SCM), project portfolio management, procurement, and governance, risk management, and compliance (GRC). The missing pieces in the initial release include the customer service components of CRM, manufacturing applications, and vertical-specific functionality. No information was provided for the dates or functionality planned for future releases…
We were surprised at how understated the Fusion launch was. One executive told us that this was the intended plan. There’s still a lot of work underway to ensure optimal performance and quality. Oracle didn’t want to overhype the new products for fear that customers might postpone current purchase decisions…”
180 View – Bruce Richardson, the author of the article, is right about customer’s postponing their current purchase decisions. There is no such thing as an easy upgrade path. First, there’s no way that Fusion will contain all the functionality of E-Business Suite, PeopleSoft and JD Edwards. Second, any customizations will not be so easy to upgrade. Third, there is a huge internal cost to move to a new system.
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