By John Ambrose
Oracle’s recent announcement to acquire Taleo for $1.9 billion is another example of the trend toward consolidation and integration in our industry. Just a couple months ago SAP acquired SuccessFactors for $3.4 billion and in February, Kenexa acquired Outstart, a learning content management system provider. So the question is, what is driving this activity and why now?
Customers want simplicity. And they deserve it. Just look at how easy it is to navigate a content- and feature-rich consumer website like Amazon or Netflix compared to your ‘favorite’ behind-the-firewall enterprise application. Then imagine integrating that enterprise app with other business critical apps from different vendors, all on different versions and upgrade cycles. So what’s happening in the Human Capital space is an example of what’s been referred to as the consumerization of IT. This is a good thing. Vendors are moving these applications to the cloud, and they are aspiring to do a better job with the plumbing.