ARCHIVE FOR THE ‘mergers-and-acquisitions’ CATEGORY

IFS, the global enterprise applications company, today announces it has completed the acquisition of mplsystems Limited and Field Service Management Limited.

mplsystems Limited is a provider of omni-channel contact center and customer engagement software that, together with IFS’s leading Service Management offering, provides a complete end-to-end customer engagement solution. Field Service Management Limited, an implementation specialist of Field Service Management solutions in the UK and Ireland will bolster IFS’s Service Management sales, consulting, and support organisation in the region.

UK-based mplsystems Limited develops and implements omni-channel contact center and field service management solutions at some of the UK’s most well respected brands, including: Babcock International, HomeServe, Ecomaster, ENGIE, and Iceland. The company is recognised as a Visionary by Gartner in its Magic Quadrant for Contact Center as a Service for Western Europe (published 24 October 2016) and a Niche Player in its Magic Quadrant for the CRM Customer Engagement Center (published 8 May 2017), primarily thanks to its investment in innovation that has resulted in a flexible, integrated and easy-to-use contact center management platform.

Field Service Management Limited is a UK based implementation partner of IFS in the UK and Ireland. Its expert team of Service Management consultants will join IFS’s UK operation in order to drive further growth in the region. To date, Field Service Management Limited has supported IFS with some of the largest service management implementations in the UK.

 

Commenting on the acquisitions, Fredrik vom Hofe, Group Senior Vice President for Business Development at IFS said “IFS is already recognised as a global leader in the Service Management sector, which we are extending further with these two acquisitions. The opportunity resulting from the acquisition of mplsystems will mean that businesses around the world who want to deliver the best customer service from the moment a customer makes an enquiry through to an issue being resolved, now have the most complete and connected service management proposition available on the market’.

Paul White, CEO of mplsystems Limited, stated “The team at mplsystems is delighted to be joining forces with IFS. We now have a great opportunity to take our award winning omni-channel and customer engagement solutions onto the world stage”.

Alex Stratis, research analyst at IDC, commented: “IFS is not only extending but also strengthening its Service Management proposition with the acquisition of mplsystems. The combination of IFS’s existing capabilities in managing field service with mplsystems’ ability to connect to service recipients via contact center, web, text, and mobile interfaces means customer engagement can be managed in a more integrated way. Both companies share similar values in innovation and a customer centric mindset which is important for the businesses to effectively integrate.”

 

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Kris Oldland speaks exclusively to Marne Martin, CEO ServicePower on the recent sale of the business to Diversis and ask her what does this mean for the future direction of her company...

KO: It’s been a real period of innovation and growth for you over the last couple of years, with the launch of NexusTM plus the investment on patents such as the work you’ve done in quantum annealing. So what was it that attracted Diversis to invest in you - was it a case of they just wanted access to the growing field service sector or was it more about being in line with the direction in which you were already headed?

MM: Firstly, it was an interesting financial opportunity for them because there is a disconnect between the valuations in the US for companies that are innovating and growing, those that have a national presence, versus what we were seeing on the A market - so there was a financial rationale.

But the real thing that they ultimately believe in, is in companies that have great products, companies that have core differentiators in their market.

They’d been interested in field service for some time - as you know it’s a hot sector and when they saw the use case of what we’d been able to do with Nexus and the wider service management tools...  plus also quantum annealing and taking that towards predictive maintenance, and then spare parts forecasting in the future and thinking about the journey we’ve been on in starting our intelligent customer portal as well... it was really just too good for them to pass up. 

They’ve been really passionate about investing in us, and in pushing us to continue to develop truly great products and as such they’ve brought in operational technical advisors as well as some other consultants, who are helping us to look further and have more functions in the next generation UX/user experiences and then tying the platform functions together more seamlessly, so the user experience is better and more automated.

KO: Of course, the one question that has to be asked with any acquisition is will it be a case of business as usual under a different name, or will there be a changing of the guard in terms of personnel and direction?

MM: I told them when we were doing our due diligence, I felt that we were 75% and we were really looking for someone to get us to 100% of where we saw the opportunity in the sector not just for the current but in the future.

[quote float="left"]I felt that we were 75% and we were really looking for someone to get us to 100% of where we saw the opportunity in the sector not just for the current but in the future.

There will be perhaps some refinement, we are no longer going to be focussing generally on the smaller end of the market from now on, at least not in the US - we are refining the focus towards the mid-market and enterprise space, but that is already pretty much where we were anyway.

 

With Nexus, we’re going to be rolling that functionality out to the core product and we will be transitioning the branding so rather than have all these product names we are going to have modular functionality that are all basically connected to the Nexus mobility and Service Management platform.

So all of the new UIs will be coded in that look and feel, we’ll tie in the mobile with the angular JS front end and we will still have the robust back-end. We are making it more seamless but also more configurable. The message from Diversis is yes it’s still business as usual but they are helping us to accelerate our own trajectories.

KO: Is the recent amount of investment we have seen in the industry - with yourselves, ServiceMax, ClickSoftware and IFS all having been acquired within a period of 18 months an indication of how important service is becoming in the wider world of global commerce?

MM: Absolutely. I think there are two things, firstly there is a lot of money floating around - the only way people make money is by investing, so you do have a lot of money in private equity that they are trying to put to work and that definitely is a factor here.

[quote float="right"]Field service really is the engine for growth in a business.... If you look at CRM and ERP players they are not really doing that much true innovation

It used to be that a lot of the larger endowments or high-net worth family funds might invest in public equity but because valuations have been somewhat volatile, many of those type of investors have actually become backers of private equity funds. That gives more money to PE investors plus the expectation that they are actually going to invest. So that’s one half of the story... 

 

But the second half is that field service really is the engine for growth in a business.

If you look at CRM and ERP players they are not really doing that much true innovation and that’s where if you had the ability to drive return on investment in terms of productivity plus additional revenue in the service arm and you start looking at what we call the e-commerce opportunity - how you can actually build customer prioritisation into your service model?

 

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In a year full of M&A activity that will impact our sector in ways as yet unknown the biggest story of all was certainly GE Digital’s acquisition of industry leader ServiceMax. Kris Oldland spoke exclusively to Dave Yarnold, CEO ServiceMax the morning before one of the biggest press conferences of his life...

KO: Exciting day for you folks is probably a bit of an understatement?

DY: Yes, it’s a very exciting day for us. Today signals the completion of a truly remarkable cycle and the beginning of a new chapter. Although, we’ve been saying it’s a new chapter, but it feels like it’s a new book because what we have been through over the last 9 years has been a book in itself. So yes, very exciting.

KO: Having just sold the business for close to a Billion dollars after 9 years of determined effort and hard work - no one would blame you if you wanted to spend the rest of your days sitting on a beach in the Caribbean  sipping Margaritas - but that doesn’t quite sound like the Dave Yarnold way?

What’s the next step for you - are you going to be fully driving this next stage of the company’s evolution alongside the original team?

DY: Absolutely. I’m all in! 

We’ve talked in the past about how I think that this segment is incredibly important and financially why service is really significant for all industrial sectors.

In some respects there has been a challenge for us to get awareness at the CEO and CFO level of the significance of what we do and I think to get the amplification of what we do with the GE brand and the additional component of what GE Digital are also doing, that is going to open a lot of doors. I just can’t wait.

I was in a meeting the other day with the chairman of a top five Telecom company globally, so the opportunity to be with a company that can open doors like that, and to be able to tell our story and have an impact at that level - it’s really, really exciting.

I think about all the things that we have been talking about in terms of creating an operating system for service and I now believe we can create that operating system for the industrial sector as a whole. I think service plays a key component, a very central component of that. But also with the ability to access data, and IoT and analytics and performance management and who knows what else... I think we can build out a complete platform for industrial companies and that is very exciting to me.

 

KO: One of the things that made ServiceMax such a special company, and one that grew so rapidly within the sector, was that whilst the product was software, the company intrinsically understood field service. Have GE Digital bought into that ethos or is that something you are going to have to push internally?

DY: They are one of our great examples of one of our customers who is benefiting from that approach and they have been so profitable from that.

However, to be fair their initial thrust around GE Digital has been technology orientated so the Predix platform and the ability to access, ingest and  analyse data - that’s primarily what they have been about to date and that’s a technology play.

I think now that they have acquired Meridium and ServiceMax - the message will probably change and it will probably be a bit more solution oriented. At this stage I’m still guessing as well, but the fact is that they have just spent a Billion and a Half dollars to acquire two pretty significant applications.

 

I think all of their previous messaging was reflective of their existing technology in digital and now as we move forward my guess is that it will begin to change and evolve in line with their product portfolio.

KO: ServiceMax is of course your baby, and we’ve spoken at length in the past about the fact that it was an fundamental passion for service that separated you from many of your competitors. What was it that convinced you that GE Digital would be a good home for the company to go on and flourish?

DY: First off I didn’t want ServiceMax to end up as another portfolio component within one of the major software players. That was just too obvious and not really interesting for us as an end state.

What I loved about GE was the fact that they really do understand service, they have an appreciation for the importance of service and they drive the majority of their profits through service. 

So there is a shared core appreciation of service that is integral to both our companies, which is a great starting platform. But they are also a company full of smart folks, who can push us even further onwards. I genuinely think that together we can achieve some really, really great things.

 

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ServicePower, a market leader in mobile workforce management software, announced recently that the acquisition by Diversis Capital and subsequent delisting from the AIM market of the London Stock Exchange has been completed.  Diversis will provide ServicePower with financial investment and business expertise to help it achieve long term growth and promote the ongoing successes of its partners, employees and customers, building upon the Company’s successful 2016 performance which featured double-digit revenue growth and EBITDA profitability.

Through the deployment of its transformational technology used by some of the largest companies in manufacturing, insurance, security, utilities and telecom, ServicePower helps any field based business with high-value assets or high job volume to grow revenues, add additional lines of service, and improve customer satisfaction resulting in rapid return on investment.  ServicePower is the leader in working with customers to optimise the use of employed and extended workforces, allowing its customers to embrace the latest technology and business process innovations, including enabling “Uber-like” capabilities.

“We are increasingly working in a world where customer service is paramount,” said Ron Nayot, Managing Partner at Diversis. “When we looked at where the best potential investment for Diversis would be, ServicePower was the clear choice.  We believe market demand will continue to increase for the Company’s mobile workforce solutions and the business transformation it enables.  Diversis is excited to partner with ServicePower to invest in its next phase of growth.”

 

“We really want to push the boundaries of what is possible so that our clients can deliver personalized services in the field that are remarkable, that make them stand out from the crowd in the eye of their customers,” said Marne Martin, CEO of ServicePower. “As a private company with the backing of a well-respected investment firm like Diversis, we can move faster and push harder than ever on the roll out of our industry-best artificial intelligence engine for scheduling, leadership in extended workforce management, and focused development for the core markets we serve.  We are in a much better position to deliver on our considerable ambitions with both the financial and business guidance Diversis provides.  We anticipate great success and continued growth.”

 

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GE Digital yesterday announced that it has completed the acquisition of ServiceMax, a leader in cloud-based field service management (FSM) solutions, for $915 million.

The acquisition provides GE Digital with new capabilities in the $1 trillion market for industrial service, enabling customers to immediately gain more value from their assets and find greater efficiency in their field service processes.

GE Digital's Predix solution is positioned as the only software platform that offers complete connectivity from the edge to the cloud and computing capabilities at every level of the industrial software stack.

Combining Predix with ServiceMax technologies GE Digital believe that they will be better positioned to help their industrial customers accelerate productivity outcomes for industry by combining cloud-based mobile applications with Predix. This acquisition brings together the use of digital twins, cloud applications and big data analytics with world-class field services domain expertise to unlock asset productivity for industrial customers. With this acquisition, GE will add analytics and insights into the ServiceMax logistics, workforce optimisation and deployment models.

The ServiceMax platform provides a full suite of applications, including inventory and parts logistics, scheduling and workforce optimisation, and work order management. As a result of this transaction, customers will be able to access these offerings from a modern rapid application development cloud and field-ready mobile platform that combines the strength of GE’s deep domain expertise and advanced industrial portfolio with ServiceMax’s field service expertise. The company will leverage the Predix platform to further the development of additional industrial applications focused on service delivery.

 

“This acquisition advances our vision of building a Predix-powered industrial world. Improved productivity is critical for industry, and digitising field services is a cornerstone of a successful digital industrial strategy,” said Bill Ruh, CEO, GE Digital. “By combining our technologies with ServiceMax, we continue to enhance the overall Predix technology stack for our customers. This transaction, along with our previous acquisitions of Wurldtech, Meridium, BitStew and Wise.io, is directly aligned with our strategy to drive growth both inorganically and organically by building the capabilities to support the digital industrial transformation through Predix, APM and the Digital Thread.”

Together, the companies have already driven significant productivity for GE and going forward they will co-develop service products and accelerate commercialisation in order to drive additional value for customers. GE estimates there is a market-wide opportunity to improve service productivity by $25 billion through the use of analytical tools.

Morgan Stanley acted as exclusive financial advisor to ServiceMax with Gundersen Dettmer LLP serving as legal counsel for ServiceMax. King & Spalding, LLP served as legal counsel for GE Digital. The transaction closed on January 10.

 

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Capita plc has recently announced that it has acquired Sigma Seven Limited for an undisclosed sum.

Sigma Seven Ltd offers a specialist geospatial solution that allows users anywhere to access company files, organise their work, plan tasks and record data directly on to high-quality digital maps.

This helps organisations get the most from their data, map and enterprise systems, enabling field and office staff to work together more efficiently. Sigma Seven’s clients include UK utility companies such as Scottish Power, UK Power Networks, Wales & West Utilities and Southern Water.

Since its acquisition of AMT-SYBEX in May 2014, Capita has strengthened its presence in the utilities and transport sectors providing mobile technology and Big Data software solutions. AMT-SYBEX has also been a partner of Sigma Seven and the combined product offering will represent an enhanced and highly complementary solution set that will now be available to clients.

 

Capita chief executive, Andy Parker, said: “The acquisition of Sigma Seven will provide further scale and depth to the range of solutions that Capita can offer utilities, construction & engineering, environment and government sectors. On integration, significant synergy benefits such as complementary products, an overlap in client base and prospective clients, will more strongly position Capita in the market when providing new and improved, tailored solutions.”

Sigma Seven has 33 employees based in Edinburgh.

Based on its recent analysis of the mobile workforce management market, Frost & Sullivan have recognised Xora, a ClickSoftware Company with the 2014 North American Frost & Sullivan Award for Customer Value Leadership.

The award highlights Xora's superior focus on enhancing the value customers receive, beyond good service, leading to improved customer retention and, ultimately, market share expansion.

Four key factors contributed to Xora’s leadership in providing customer value:

• a best-in-class customer support program during and after solution deployment
• an affordable, cloud-based delivery model
• the forging of strong partnerships with wireless carriers
• an expanded definition of the solution’s use and value in today’s marketplace

Xora StreetSmart, a suite of configurable mobile apps that turn any mobile phone or tablet into a powerful productivity tool, is designed to appeal to a wide range of businesses and public-sector agencies.

The application is highly configurable through an intuitive, easy-to-use interface and is continually evolving with new feature releases. Cloud-based SaaS deployment minimizes IT requirements. The solution also allows customers to easily scale their implementation, leveraging new features as their needs evolve. This ultimately creates high-value delivery for each Xora customer and rapid ROI.

As a part of its promise to provide best-in-class service, Xora delivers live training to educate users on solution capabilities, ranging from help creating wireless forms to configuring mobile jobs and defining mobile business workflows to better realise the customer’s end goals. Xora also invests time and energy to understand business needs of its customers, which results in clear ROI expectations for the customer and greater use of Xora’s capabilities, ultimately leading to better service for end consumers.

With the merging of ClickSoftware and Xora, customers will receive increased benefits from the ability to expand their functionality as their business and mobile workforce needs grow. The merging of the two organisations will enable Xora to leverage ClickSoftware’s global sales operations, while providing ClickSoftware additional distribution channels through leading wireless carriers.

Xora is both a visionary and evangelist when it comes to the business potential of mobile workforce management solutions. The company has spent the past two years working to expand the industry’s view of the value and capabilities that MWM solutions can deliver—well beyond just understanding employee locations to transforming mobile business processes in the field.

“By merging Xora and ClickSoftware, we expanded our product offerings to service companies of all sizes, from 5 to 50,000 mobile workers. We are proud to deliver services that enable them to provide an exceptional customer experience, while also providing the tools to achieve outstanding operational performance and grow their businesses,” said Dr. Moshe Ben Bassat, founder and CEO of ClickSoftware.

“The combination of Xora and ClickSoftware will enable companies to pick the deployment model that suits their needs—whether it’s an out-of-the-box cloud deployment for an SMB or enterprise solution to meet more complex business needs.” he continued.

“Xora knows the SMB sector—its needs, its fears, its pain points,” said Jeanine Sterling, principal analyst, Frost & Sullivan. “As a result, it understands how to create real value for small and mid-sized businesses, focusing not just on affordability, but also on two other make-or-break factors with these customers—ease of implementation and ease of use. We’re very pleased to recognise Xora, a ClickSoftware Company, with this Customer Value Leadership Award.”

Frost & Sullivan Best Practices Awards recognise companies in a variety of regional and global markets for demonstrating outstanding achievement and superior performance in areas such as leadership, technological innovation, customer service, and strategic product development. Industry analysts compare market participants and measure performance through in-depth interviews, analysis, and extensive secondary research in order to identify best practices in the industry.