DUBLIN--(BUSINESS WIRE)--The "Enterprise Performance Management Market by Component, Application (Enterprise Planning & Budgeting, Reporting & Compliance), Business Function, Deployment Type, Organization Size, Vertical and Region - Global Forecast to 2027" report has been added to ResearchAndMarkets.com's offering.
The global Enterprise Performance Management (EPM) Market size is expected to grow at a Compound Annual Growth Rate (CAGR) of 7.0% during the forecast period, to reach USD 8.3 billion by 2027 from USD 6.0 billion in 2022.
The financial consolidation segment is expected to perform efficiently during the forecast period.
Financial organizations use legacy tools for the financial consolidation process. This process is complex, time-consuming, and loaded with risks of data integrity errors. Financial consolidation is a process that enterprises conduct on a monthly or quarterly basis to reconcile, translate, eliminate, consolidate, and report financial information. The financial consolidation application is designed to help organizations manage and streamline their financial close process.
This close process includes the closing of sub-ledgers and General Ledger (GLs), collection and consolidation of financial results, management, and financial reporting, as well as regulatory filings. Consolidation aims to collect and transform data into financial presentations. EPM solutions offer decision-makers complete visibility into the entire close, consolidation, data collection, and reporting activities. Additionally, they offer robust automation, process-driven workflow, stringent controls, and detailed audit logs to modernize the legacy approaches.
The IT vertical expected to grow with steady CAGR during the forecast period
The IT department needs to align IT plans with strategic business goals to ensure a proper service level for business operations. EPM solutions combine data from different sources, analyze and process data at the granular level, and provide actionable insights for better decision-making. Anaplan and BOARD are some of the vendors offering EPM solutions for these IT business functions.
The demand for EPM solutions has increased among enterprises due to the rising demand to make business strategies transparent to all employees in the organization. In times of increasing economic uncertainties and disruptive technology evolution, organizations need to quickly adopt new digital business models without overlooking their daily operational efficiency and cost control.
Europe to hold the second largest market size during the forecast period
Europe is projected to account for the second-largest market size in the global EPM market by 2027. Countries, such as the UK, Germany, and France, are the major adopters of EPM solutions in Europe. These countries have been the frontrunners in terms of EPM adoption. Robust economic infrastructure and high internet penetration make Europe one of the top markets for solutions. However, technology adoption is low in Europe compared to the US. European brands are adopting digital transformation through migration from legacy systems to virtual environments slowly.
According to the data of the EIB Investment Survey, digital adoption rates are lower in Europe than in the US. Only 66% of manufacturing firms in the EU, compared to 78% in the US, have adopted at least one digital technology. As digital transformation is becoming a key to achieving future growth, the European government is investing in digital technologies. Thus, European organizations take several steps to achieve economic development and growth.
For instance, the European Commission continuously invests in its Digitizing European Industry (DEI) initiative to help European businesses across industries and regions benefit from digital innovations. In addition to the above developments, enterprises in verticals across Europe have started realizing the benefits of deploying EPM solutions into their operations to enhance decision-making.
Market Dynamics
Drivers
- Increasing Operational Efficiency by Optimizing Business Processes
- Improved Profitability by Reducing the Operational Cost
- Requirements for Regulatory Compliance and Security
Restraints
- High Cost of Deploying Epm Systems
- Lack of Technological Planning and Application Complexity
Opportunities
- Increase in Adoption of Cloud-Based Epm Software to Support Business Functions
- Rising Need for Mobility to Implement a Flexible Work System
Challenges
- Lack of Proper Training and Skillset of Employees
- Lack of Coordination and Integration of Cloud Applications
Companies Mentioned
- Achieveit (US).
- Anaplan (US)
- BearingPoint (Netherlands)
- Board International (Switzerland)
- Bright Analytics (UK)
- Broadcom (US)
- Calumo (Australia)
- Centage (US)
- Corporater (Norway)
- Datarails (Israel)
- deFacto Global (US)
- Epicor Software (US)
- IBM (US)
- IDU (South Africa)
- Infor (US)
- InPhase (UK)
- insight software (US)
- Jedox (Germany)
- Kepion (US)
- Longview (Canada)
- LucaNet (Germany)
- OneStream (US)
- Oracle (US)
- Planful (US)
- Prophix (Canada)
- SAP (Germany)
- SAS (US)
- Solver (US)
- Syntellis (US)
- Unicom Systems (US)
- Unit4 (Netherlands)
- Vena Solutions (Canada)
- Wolters Kluwer (Netherlands)
- Workday (US)
- Workiva (US)
For more information about this report visit https://www.researchandmarkets.com/r/wxxkya
