Oracle vs. PeoplesoftOverviewSlide 3Oracle and PeoplesoftThe Market setting the stageThe MarketThe Market ERP?The Market ERP?Oracle in a DilemmaSlide 10Oracle vs. Peoplesoft bidding warsOracle vs. Peoplesoft Oracles Last OfferConclusionOracle vs. PeoplesoftMarc ProctorDavid HayesOverview•Oracle vs. Peoplesoft•ERP•Development of the information MarketOracle and Peoplesoft•Oracle CEO Larry Ellison•Peoplesoft CEO Craig Conway •Initial bid: $16.00 a share–$5.1 Billion•February 3, 2004, Oracle offered $28 a share.–$10.3 billion total.The Marketsetting the stageOracle had strong market share IBM and Microsoft also positioned stronglyMicrosoft had strong windows based system: SQLIBM had strong Linux based systemOracle also using Linux for its softwareMarket showing strong growthThe Market•Used to be individual programs for each department.–i.e. marketing had its own, shipping/receiving had its own.•Focus was on power/performance–Changed to reliability and ability to intigrateThe MarketERP?•ERP- Definition•Consolidation of Data•Connect Departments•Software local to individual company•Can offer cost reductionsSource: http://www.networkdictionary.com/The MarketERP?•Average cost: $15 million–Ranging from: $400,000 to $300 million •Requires change in Operational structureImage Source: techrepublic.comOracle in a Dilemma•Oracle needed to renew itself–Develop ERP software•Concerned about loosing its market share to growing competition from IBM, SAP, and smaller organizations such as Peoplesoft.•Oracle Decided to buy Peoplesoft–Control competition–Leverage technology–Gain market shareOracle vs. Peoplesoft•Oracle vs. Peoplesoft–NPR report•Process involved side acquisitions, court appeals, and involved price offering.Oracle vs. Peoplesoftbidding wars•Initial bid: $16.00 a share–$5.1 Billion•Upped to $19.50 a share–$6.3 billion•While bids being made Peoplesoft share price was on the rise!•Peoplesoft acquired JD Edwards for $1.7 billion.•Oracle upped to $26.00 a share–$9.4 billionOracle vs. PeoplesoftOracles Last Offer•February 3, 2004, Oracle offered $28 a share.–$10.3 billion total.•Accepted by Peoplesoft.Conclusion•Effective forecasting, planning, and scheduling is fundamental to productivity-and ERP is a fundamental way to achieve it. •Properly implementing ERP will give you a competitive advantage and help you run your business more effectively, efficiently, and
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