I had a hectic week, starting in Washington DC at the JDA Software Users Group meeting and then to the NASSTRAC meeting in Orlando.
Just to get everyone on the same page, JDA is the formerly retail-focused software provider that branched out to new markets first with the acquisition of e3 and then later Manugistics, the formerly independent consumer goods-focused supply chain planning leader.
I have to say, given economic times that are making it difficult to have a success with any event, that the JDA conference had outstanding and enthusiastic attendance. The halls and meeting rooms at the brand new Gaylord conference center in what is called the “National Harbor” area of DC (I had never heard of it – it is just one year old – simply an outstanding venue) were full and energetic.
What JDA has done smartly – and what other software vendors should keep in mind – is that not only did it not “kill” the Manugistics brand, JDA seems to still embrace it several years after the deal was done. You expect existing customers to keep referring to the old brand, but most software companies, after they make an acquisition, generally try to “rebrand” the acquired product line almost instantly.
Big mistake, usually.
I am not sure what the official names are, but even JDA execs refer to “Manugistics” products. Whatever happens eventually, this is very smart. Not only did it maintain continuity, but in many cases the primary “battle” JDA faces, if you will, is between Manugistics and SAP at existing customers. Not maintaining the “Manu” identity, in my opinion, would have made it much easier for SAP to make in-roads there.
Manugistics always had good solutions, but was pulled in too many different directions under previous management, and then as a result ran out of money to keep development going strong. JDA has jettisoned peripheral markets and put cash into rejuvenating the planning products, which has clearly worked, with Transportation Management being one of several examples. (Look for an outstanding Lowes TMS story in SCDigest coming soon, for example.)
They also had the good sense to turn over all product management to the very capable Namita Dhallan, who came over in the Manugistics deal. Manu knew more about retail than JDA knew about manufacturing and supply chain planning, in my opinion, so this move made sense, and again showed business savvy above the usual attitude most acquiring companies adopt.
There are many great supply chain software companies out there, many of them still doing pretty well right now, even in these times. Still, it was good to see first hand one that clearly has its ship going in the right direction.
JDA has developed a reputation for excellence in “execution.” What’s really hard in software is to combine sales, marketing and product development execution with innovation and vision.
It isn’t the only one, but JDA is doing a fine job of walking that line right now
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What’s really hard in software is to combine sales, marketing and product development execution with innovation and vision.
