July 12, 1999
Vendors Make CRM Moves
Vendors Make CRM Moves
By Jeff Sweat and Alorie Gilbert
SAP began shipping the SAP Internet Pricing and Configurator application, which companies can
use to let customers, distributors, and salespeople calculate prices and configure features for
products and services. It's one of the first significant CRM products from SAP, which indicated
its plans to move into the front-office market more than a year ago.
Steve Bonadio, an analyst at Hurwitz Group, expects SAP to integrate CRM products with
Web-portal applications from another new product line, called mySAP.com. "While SAP is late
getting a comprehensive CRM package out the door, the Internet Pricing and Configurator fits
nicely with mySAP. com," Bonadio says. SAP says it will deliver E-commerce CRM applications
for mobile sales and service businesses later this year.
IBM is dissolving Corepoint eight months after its launch. CRM technology and about 700
employees will be rolled into IBM's software group, under John Swainson, general manager of
application integration and middleware.
Some former Corepoint managers were offered positions in the software group but opted to leave
IBM. Among them were CEO Scott Webber, chief financial officer Mike Robbins, and product group
VP Scott McCorkle.
IBM said it made the move because it determined CRM is vital technology that should be
integrated with its E-business products. Some analysts said the move could be a sign that IBM's
attempt at CRM has faltered. "The signals have been that Corepoint was not working out the way
they hoped," says Peggy Menconi, an analyst with AMR Research. For instance, she says other IBM
divisions were entering partnerships with outside vendors instead of working closely with
Corepoint, which was run as a separate unit.
But one customer sees the move as a plus. Says Shawn Sabine, director of product development
for First Data Investor Services Group in Westboro, Mass., which uses Corepoint technology in its
call center, "Now they have all of the core competencies in one place."
Related links:
And from our sister publication:
AP took a big step at breaking into the fast-growing market for customer-relationship
management software last week with the introduction of a CRM application for the Web.
Meanwhile, IBM overhauled its CRM efforts by shutting down its Corepoint business unit and
folding the technology back into the parent company.
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