To better understand the benefits, costs, and risks associated with NetSuite ERP, Forrester interviewed four customers, each with several years of experience using NetSuite ERP. These organizations highlighted that NetSuite was the most complete solution for businesses in the small to medium-size range. As a cloud solution, it allowed them to avoid expensive IT investments, and the business tools NetSuite provided were a significant improvement, delivering greater business visibility, reduced errors, and improved and faster reporting.
Prior to using NetSuite, these organizations used a variety of solutions, from paper and spreadsheets, to a mix of point solutions primarily for small business. Every interviewed organization knew it could do better and identified NetSuite as the most complete solution, particularly for those organizations that also included CRM or commerce modules (or plan to expand in the future).
To more clearly summarize benefits and costs, Forrester developed a composite organization based on data gathered from the customer interviews to reflect the total economic impact investing in Oracle NetSuite could have on an organization. The composite organization is representative of the interviewed organizations and is used to present the aggregate financial analysis in this study. All values are reported in risk-adjusted three-year present value (PV) unless otherwise indicated.
In this commissioned study, Forrester Consulting uncovers the challenges and requirements representative of mid-market companies in the United States through a thorough financial analysis of the cost and benefits of the NetSuite solution for a composite organization of medium size producing $55 million per year in revenue, based on interviews with four NetSuite customers. Key findings of the study include:
- Finance reporting and management efficiencies of more than $408,000.
- Greater revenue enabling a new operating margin of more than $1.2 million with more and larger sales.
- Reduced and avoided IT costs of almost $749,000, including the retirement of servers, applications, and services.
- Better business visibility and decision making, improved customer satisfaction, and readiness for growth.
Download the full study for an in-depth discussion of the companies interviewed and the costs associated with the solution.
The Total Economic Impact™ of Oracle NetSuite
A Forrester Total Economic Impact™ Study Commissioned By Oracle NetSuite December 2017