SAN MATEO, CALIFORNIA, AND MAKATI CITY, PHILIPPINES, 23 OCTOBER 2009 - At least for one company, sales prospects for the cloud computing software market in the Philippines do not appear gloomy.
Since setting up its first office in January 2007 in Makati City, software vendor NetSuite has doubled the manpower requirements in its Philippine operations to 300 employees.
This indicates a twofold development. Aside from the fact that the company is gaining larger ground in the Philippine market, Manila has become a key area for NetSuite's global technical support, services and back-office operations. Already included in the expanded tasks are product development and quality assurance capabilities.
Both the Philippine government and major companies based in the country have adopted NetSuite products, the company said.
For the public service needs of the Philippines Department of Finance (DoF), the NetSuite version 2009.2 became the new localised product developed to fulfill the key tax compliance, reporting and data export requirements of the department’s Bureau of Internal Revenue (BIR).
Private companies
As proof of the depth of its market base in the Philippine private sector, NetSuite counts as its clients known business companies such as Jollibee, ABS-CBN, Diamond Fleet Management System and MOTECH Automotive Education Center.
Jollibee, for one, attests to NetSuite’s cost-efficiency. As one of the world’s largest fast food chains, the company operates more than 1,800 stores in Asia and North America.
“If we used a platform like Oracle worldwide, it would require significant capital investment and a lot of resources, including a large IT team to implement and maintain the system in each country,” said Ysmael Baysa, CFO, Jollibee.
“NetSuite provides all the capabilities we need internationally, in a timeframe and at a cost that supports our continued growth and development,” Baysa added.
Business processes
For Genemar Simpao, chief information officer of ABS-CBN, NetSuite has made it more convenient for the Lopez family-owned multimedia giant to evaluate and enhance its products and develop bundles of services for various customers.
ABS-CBN Global and its worldwide subsidiaries have adopted the NetSuite OneWorld solution to bolster some of its vital business processes.
The global Filipino company has used NetSuite modules on accounting / enterprise resource planning (ERP), inventory and order management, customer support and customer relationship management (CRM), partner and reseller management, and sales and marketing report generation and analysis.
The company said it has gained greater flexibility to expand to new regions and modify its product and marketing mix.
“NetSuite provides the functionality and flexibility we needed, and a single version of the truth, with a reduced initial cost outlay,” Simpao said.
The NetSuite OneWorld solution also made it less problematic for ABS-CBN Global to report results to its parent company which makes use of SAP as its enterprise-wide financial application.
Enhanced decision-making
In terms of helping enhance the decision-making process of the company, Diamond Fleet Management System vice-president for operations Quincy Buenaflor said: “NetSuite has consistently improved our awareness of every aspect of the company and thus improving decision-making, which is why we are committed to expanding it to all of our operating divisions.”
When business expansion must be accomplished at the shortest possible time, Philippine automotive service centre chain MOTECH Automotive was able to substantially shorten the period.
“We were able to open two more branches this year, thanks to NetSuite,” said Eugene Naguiat, president of MOTECH Automotive. “Setting up shop now only takes a few weeks instead of the months it took with our previous system,” he said.
Solid infrastructure
“Manila's solid infrastructure, business-friendly environment, and top-notch educational system have contributed enormously to NetSuite's success," said Zach Nelson, NetSuite chief executive officer.
“Furthermore, the acceptance of our cloud-based business applications by global companies headquartered in Manila is a great testament to the strength of NetSuite in meeting the needs of local industry leaders,” Nelson further stressed.
