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May 11, 1999

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India becomes critical to Baan's reworked strategy

Email this story to a friend. The Baan Company today announced the completion of its global restructuring exercise and stated that its India operations will play a critical role in the growth of the company worldwide.

D Bharath, CEO, Baan India, told reporters in Bombay that the restructuring was done to re-orient businesses to better reflect the changed market for enterprise applications.

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He said that as part of this exercise, Baan has consolidated its research and development centres from the current 12 to only 2, with Baan India and R&D operations now accounting for over 40 per cent of the Baan series of enterprise resource planning software.

In addition, India is expected to emerge as a major market for Baan. Sales growth in the country was at 160 per cent in the last financial year despite depressed markets.

Baan also announced that it has won a major order from Calcutta based multi-product major Usha Martin.

In the first phase, Usha Martin will go live with 100 users and will move to another 100 by year-end with the rollout extending to its factories in Thailand and South Africa. Baan has claimed that the deal is a large order for the Indian market where the average size of installation is only 50 licenses.

The installation will also be the first in the country to involve overseas implementation as well.

Among other products that Baan is planning of launching in India is Baan e-enterprise suit of Web enabled enterprise software applications that facilitate business between the entire value chain of employees, partners resellers, suppliers and multiple customer tiers.

He further stated that "We have been very successful in expanding the market to include companies with turnover less than even Rs 20 crore (Rs 200 million). This year we plan to grow by another 100 per cent in new licenses by expanding the product category itself."

UNI

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