Manhattan Associates Partners with Intentia

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Manhattan Associates Partners with Intentia
S. McVey - January 21st, 2000

Event Summary

A new alliance between Manhattan Associates and Intentia is aimed at complementing ERP with warehouse and transportation management. The move follows a four month collaboration in which the two vendors have combined development efforts to integrate Manhattan's PkMS warehouse and transportation management system and Intentia's enterprise application software Movex. The alliance will result in application interfaces (API) geared for customers in the consumer goods, food and beverage, and apparel businesses. For Manhattan, the new partnership joins existing certified interface arrangements with Oracle and SAP.

Market Impact

Stockholm-based Intentia has much to offer Manhattan as a partner. Though not as large and well known as the ERP market leaders, Intentia's Movex is one of the most comprehensive enterprise packages that also offers rich functionality for specific industry verticals. Movex Food & Beverage and Movex Fashion have features not addressed by more dominant vendors like SAP and JD Edwards (see TEC Technology Research Note: "Intentia: Java Evolution from AS/400" October 1st, 1999). Intentia can bring Manhattan a much-needed indirect channel for distributing its PkMS software. Manhattan's dependence on direct sales has contributed to its financial difficulties in recent quarters (See TEC News Analysis article "New Management at Manhattan Associates" October 19th, 1999). Also, the facilitated integration capabilities afforded by a standard API gives Manhattan leverage over other transportation and warehousing software vendors in software selections. In addition, Intentia's installed base of 2,600 corporate licenses should aid Manhattan in generating sales outside the U.S. Currently, over 95% of its revenues are derived from North American sources. Similarly, Intentia gains a U.S. partner that can help boost its sales and brand awareness in North America, a region which accounts for only 8% of its total license revenues. A second benefit for Intentia is the addition of a U.S.-based transportation package to complement the European-centric functionality of its Movex suite.

User Recommendations

Mid-sized U.S. companies with distribution-intensive requirements in the consumer goods, food & beverage, and apparel industries who need enhanced warehouse or transportation management capabilities along with enterprise applications should include both PkMS and Movex on their short lists. Taken separately, each solution offers a rich set of features in its area of focus. The integration potential promised by the announced partnership has yet to be delivered or proven in the field, but can reduce risk and save time during implementations as the API development progresses.

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