Analysts Say IBM Acquisition Could ‘Dramatically Shift’ Market
John Kelly 270004J7VQ firstname.lastname@example.org | | 0 Comments | 184 Visits
The announcement of IBM’s intention to acquire OpenPages generated volumes of editorial response and news coverage in today’s world of instant publishing. The news which provoked a very positive response across the board from OpenPages customers, prospects, media and analysts, has generated over 1,400 ‘tweets’, numerous news stories and some thought-provoking analysis from industry analysts.
In particular, Chris McClean of Forrester raised an interesting point in his blog coverage noting that acquisitions in the GRC market over the past two years have resulted in not only vendor consolidation, but also market fragmentation. He points out that the Thomson Reuters acquisition of Paisley was meant to ‘strengthen its tax and accounting business’, while EMC acquired Archer ‘as a dashboard (at least initially) to pull together IT risk data and processes,’ whereas the IBM acquisition of OpenPages ‘will likely turn the company more toward higher-level corporate performance and enterprise risk management.’ I think Chris is as usual on target, yet would respectfully add that integration with the control infrastructure allows OpenPages to instrument the risk assessment and control testing process, thereby delivering the only comprehensive solution on the market.
Also published recently is Gartner’s ‘First-Take’ on the acquisition in which analysts French Caldwell and John Hagerty report that they are expecting a ‘Market Split’ whereby the vendor landscape will be divided between those that have coupled qualitative risk assessments with quantitative risk analytics, and those that provide just qualitative risk assessments: ‘Vendors that have a risk intelligence strategy would compete for large accounts with combined risk analytics and traditional governance, risk management and compliance (GRC) management functionality, while those without risk analytics capabilities would address less-quantitative risk assessments, compliance and audit management.’
If you’re a risk manager or a business manager, the integration of risk analytics with GRC management will provide your business with more timely and more accurate information to understand the risk exposure to the business and help you make better decisions.