NetSuite
From Wikipedia, the free encyclopedia
| NetSuite Inc. | |
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| Type | Private |
|---|---|
| Founded | California (1998) |
| Headquarters | San Mateo, California |
| Key people | Lawrence (Larry) J. Ellison, CEO Zach Nelson, Chairman/CTO Evan Goldberg |
| Industry | Computer software |
| Products | NetSuite NetCRM NetERP NetSuite Small Business NetCommerce |
| Revenue | $40 million (2004) |
| Website | www.netsuite.com |
NetSuite Inc. company that offers Software as a Service (SaaS) for small to medium enterprises. NetSuite was originally named NetLedger by its founders Larry Ellison and his protege Evan Goldberg.
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[edit] History
NetSuite, Inc. of San Mateo, Calif., founded in 1998 as NetLedger, helped pioneer the concept of software as a service, that is, "renting" software over the Internet via a monthly or yearly subscription, as opposed to buying it on a CD. NetSuite's "suite" of Web-based integrated on-demand software applications is designed for small and mid-sized companies. By accessing the software when needed via the Internet,customers reduce maintenance, complexity and cost problems.
NetSuite’s hosted online business software programs include accounting, customer relationship management (CRM), enterprise resource planning (ERP) software, e-commerce and Web site development.
Evan Goldberg, chairman and chief technology officer, founded the company with the financial backing of Lawrence J. Ellison, founder and chief executive officer of Oracle Corp. Other initial investors were StarVest Partners and UBS PaineWebber.
Goldberg had worked for Ellison at Oracle. Ellison urged him to develop online accounting software, instead of Goldberg’s original idea of an online program to help sales people organize their leads. Accounting software “is the underpinning of [anyone's] business," Goldberg recalls Ellison saying. (Business Week: NetSuite Gets Ready For Its Close-Up; By Sarah Lacy; December 11, 2006)
The initial iteration was marketed as Oracle Small Business Suite. (Inc. Magazine: Larry's Kids; By Rob Turner; February 2005)
When it was first developed, the software emphasized accounting functions but it quickly expanded to provide a “suite” of programs to allow businesses to manage their operations from initial customer contact through shipping of product and invoicing.
Originally targeted as an economical solution for small businesses, the privately held company has found its combination of business solutions is popular with mid-sized business as well.
Software revisions are simply put on NetSuite’s central server where all customers can access the new version immediately.
"I just believed it to be the future of software," said NetSuite CEO Zach Nelson. "The last big software paradigm shift is moving software applications to the Internet." (Silicon Valley/San Jose Business Journal: Ready for a change; Zach Nelson sees new cultural norms as the key to high-tech marketing; By Douglas E. Caldwell; Feb. 14, 2003)
Integrating various types of software, such as ERP, CRM and e-Commerce means that when a change is made in one aspect, it is reflected in all related types of programs. (Outsourcing Journal: One App Fits All; By John Hamey; February 2007)
The company’s products are being used internationally, with the Web-based concept allowing managers immediate visibility into their operations whether down the hall or on the other side of the planet. (FORTUNE Small Business Magazine: Small companies that play big; New services and technology are helping entrepreneurs look like - and go up against - the largest businesses; By Julie Sloane, Justin Martin and Alessandra Bianchi; Oct. 23, 2006)
NetSuite has grown to about 300 employees and has offices in the United Kingdom, Canada, the Philippines, Japan, Singapore, Hong Kong and Australia.
NetSuite CEO Zach Nelson said the company was “on target to announce an IPO” in the second quarter of 2007 “providing the market conditions are right.” (CIO Magazine: NetSuite to declare IPO in Q2 2007; By Myles Burke; Nov. 10, 2006)
Such an IPO would value the company at about $1 billion.
[edit] Products
NetSuite has released NetSuite 11 as its base service with NetCRM, NetERP, and NetCommerce as other integratable services. NetSuite also rents out NetSuite Small Business (NSSB) which is a smaller package specifically for micro-traders and very small businesses. NSSB is a derivative of the original Oracle Small Business package, which was made available to NetSuite in its early history.
[edit] Services
As NetSuite is implemented around the world, NetSuite believes it is a service provider rather than just a software vendor. However, many analysts agree that software vending is becoming intermingled with service provisions anyway. This is due in part to many micro businesses outsourcing back office functions.
An example of this can be observed where NetSuite in Australia has worked closely with Aussiepay to build an Australianized payroll service.
While for some businesses this may be a good thing, NetSuite Australia, by not restricting the platform to NetSuite Inc. alone may cause their customers to be pay a premium cost since there is no competition.[citation needed] Because of this, numbers of analysts in the industry have criticized NetSuite Inc.[citation needed] To them, NetSuite Australia should provide a setting where any third-party provider can interface to NetSuite but provide such a service in competition with others.
[edit] Features
NetSuite is a broad application covering business functions as diverse as CRM, ERP, ecommerce, customer support and marketing automation. Each of these also includes groups calendaring and tasking functions.
[edit] Implementation
NetSuite cannot be simply installed. For the vast majority of companies it needs to be properly implemented. This has led to the rise of independent consulting firms and value-added resellers.
[edit] Officers
Evan Goldberg, Co-Founder, Chairman and Chief Technology Officer
Zach Nelson, President and Chief Executive Officer
Jim McGeever, Chief Financial Officer
Dean Mansfield, President Worldwide Operations
Tim Dilley, EVP Professional Services
Douglas Solomon, VP Legal, Corp Affairs & Secretary
Stephen Wolfe, SVP Product Management
Dave Lipscomb, SVP Engineering and Operations
Jay O’Connor, SVP Worldwide Marketing
Mei Li, SVP Corporate Communications
[edit] Board of Directors
Evan Goldberg, (Chairman) Co-Founder, Chief Technology Officer of NetSuite
Zach Nelson, President and Chief Executive Officer of NetSuite
Billy Beane, General Manager, the Oakland Athletics
Deborah Farrington, Founder and General Partner, StarVest Partners, L.P.
Steve Fink, Chief Executive Officer, Lawrence Investments, LLC
Keith Grinstein, Chairman, Coinstar Inc.
Philip Simon, President, Lawrence Investments, LLC
Kevin Thompson, Chief Financial Officer, SolarWinds
[edit] See also
[edit] References
[edit] External links
- NetSuite company page
- Interview with Evan Goldberg, NetSuite Founder
- Small Business Computing Magazine Review of NetSuite.
- InfoWorld: Four-way CRM shootout - compares NetSuite, RightNow, SalesNet, EBSuite & Salesforce.com.
- NetSuite Wiki - User Contributed Documentation
