The Enterprise Application Market in Higher Education
October 2012
Susan Grajek, Vice President, EDUCAUSE
Questions Which applications are dominated by a handful
of solution providers? Which have an almost bewildering range of
choice? When is open source a common choice? Which are the most frequently outsourced
applications Which applications are most likely to be
managed by system offices? What types of applications are more – and less
– widespread in higher education?
The Data
The Data
2011 EDUCAUSE Core Data survey 635 colleges and universities
16 application areas• Financial • Student information• HR/payroll • Alumni/advancement/
development• Library• Course/learning management
(LMS)• Grants management (pre-award)• Grants management (post-award)
• Facilities management• Portal• Administrative data
warehouse/business intelligence• Web content management (CMS)• Faculty/staff e-mail• Student e-mail• IT service/help desk trouble ticket• Customer relationship management
(CRM)
Limitations
Limited to higher education market overall. No trends yet. This is the first year for most
of these data. Data irregularities. Ongoing changes
among vendors. Application
categories need refinement (e.g., email).
Trends Across Application Areas
Installed Based For Applications
Customer relationship management (CRM)
Grants management (pre-award)
Grants management (post-award)
Administrative data warehouse/BI
Facilities management
Portal
Web content management (CMS)
Alumni/advancement/development
Library
IT service/help desk trouble ticketing
Course/learning management (LMS)
Student e-mail
HR/payroll
Faculty/staff e-mail
Financial
Student information
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
% of institutions reporting use of this application
Solution Diversity Two inputs
% of market for top five solution providers
Total number of solution providers
Most homogeneous LMS Student information Faculty/staff e-mail Alumni/advancement
Most diverse CMS IT help desk Facilities
Web content management
Grants (pre-award)
Facilities management
Help desk ticketing
Grants (post-award)
CRM
Data warehouse
Portal
Library
HR/payroll
Financial
Student e-mail
Alumni/advancement/development
Student information
Faculty/staff e-mail
LMS
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
0 10 20 30 40 50 60 70 80 90 100
37%
45%
47%
50%
52%
56%
56%
58%
79%
79%
82%
85%
85%
87%
89%
94%
89
34
90
77
34
34
31
32
58
47
31
37
33
24
22
24
pri_2
Percentage of market owned by top-five providers
Solution Diversity: The Long Tail
Faculty/staff e-mail
Portal
Financial
Administrative data warehouse/BI
Customer relationship management (CRM)
Student e-mail
Course/learning management (LMS)
IT service/help desk trouble ticketing
Grants management (pre-award)
Web content management (CMS)
Alumni/advancement/development
Grants management (post-award)
Student information
Facilities management
HR/payroll
Library
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
59%
59%
61%
65%
65%
65%
67%
68%
71%
73%
76%
76%
79%
80%
81%
88%
% of solution providers at fewer than four institu-tions
Open Source
Open source is most widespread in LMS and CMS Moodle and Sakai among
top 5 LMS Drupal #2 CMS
Other open source leaders COEUS/Kuali in grants
pre-award and post-award JASIG uPortal in Portal RT in IT help desk LMS
Web content management
Portal
Grants (pre-award)
Help desk ticketing
Grants (post-award)
Student e-mail
Faculty/staff e-mail
Library
Financial
Facilities management
Data warehouse
HR/payroll
Student information
Alumni/advancement/development
CRM
0% 5% 10% 15% 20% 25% 30% 35% 40%
26.0%
26.0%
12.0%
10.0%
6.0%
6.0%
5.0%
2.0%
1.0%
1.0%
0.5%
0.3%
0.2%
0.2%
0.0%
0.0%
Homegrown
Most common for grants management (pre- and post-)
Portal Data warehouse
LMS
Web content management
Portal
Grants (pre-award)
Help desk ticketing
Grants (post-award)
Student e-mail
Faculty/staff e-mail
Library
Financial
Facilities management
Data warehouse
HR/payroll
Student information
Alumni/advancement/development
CRM
0% 5% 10% 15% 20% 25% 30% 35% 40%
1%
11%
16%
34%
11%
31%
1%
1%
6%
7%
12%
16%
8%
9%
5%
6%
Application Management
In-House is the most common Across the 16 applications, median 71% of
institutions manage the application in-house (ranging from 44% to 91%, depending on application type)
System office management next most common Median 21%, ranging from 3% to 33%
Outsourced management least common Median 7%, ranging from 2% to 43%
Market Shares
Student Information Systems
% of institutions using 99%% outsourced 2%
% managed by system office 28%
% of market owned by top 5 providers
87%
HR/Payroll
% of institutions using 98%% outsourced 8%
% managed by system office 31%
% of market owned by top 5 providers
79%
Financial
% of institutions using 99%% outsourced 2%
% managed by system office 33%
% of market owned by top 5 providers
82%
Faculty/Staff E-Mail
% of institutions using 98%% outsourced 8%
% managed by system office 8%
% of market owned by top 5 providers
89%
Student E-Mail
% of institutions using 97%% outsourced 43%
% managed by system office 13%
% of market owned by top 5 providers
85%
Course/Learning Management Systems
% of institutions using 97%% outsourced 19%
% managed by system office 22%
% of market owned by top 5 providers
94%
IT Service/Help Desk Trouble Ticketing
% of institutions using 95%% outsourced 9%
% managed by system office 11%
% of market owned by top 5 providers
50%
Alumni/Advancement/Development
% of institutions using 86%% outsourced 5%
% managed by system office 6%
% of market owned by top 5 providers
85%
Library
% of institutions using 86%% outsourced 18%
% managed by system office 32%
% of market owned by top 5 providers
79%
Web Content Management
% of institutions using 81%% outsourced 7%
% managed by system office 3%
% of market owned by top 5 providers
37%
Portal
% of institutions using 75%% outsourced 4%
% managed by system office 11%
% of market owned by top 5 providers
58%
Facilities Management
% of institutions using 66%% outsourced 16%
% managed by system office 19%
% of market owned by top 5 providers
47%
Administrative Data Warehouse/Business Intelligence
% of institutions using 62%% outsourced 2%
% managed by system office 24%
% of market owned by top 5 providers
56%
Grants Management: Pre-Award
% of institutions using 38%% outsourced 4%
% managed by system office 22%
% of market owned by top 5 providers
45%
Grants Management: Post-Award
% of institutions using 40%% outsourced 5%
% managed by system office 23%
% of market owned by top 5 providers
52%
Customer Relationship Management
% of institutions using 35%% outsourced 18%
% managed by system office 15%
% of market owned by top 5 providers
56%
EDUCAUSE CENTER FOR APPLIED RESEARCH
ECAR Research
About 30 reports annually Original research Member research Third-party research from Gartner and
CHECS Research is restricted to subscribers
Reports initially restricted Other materials permanently restricted
2012 Research
Analytics
Community College IT
Students’ Use Of Technology
Research Computing
Enterprise Application Marketplace
Measuring User Satisfaction
ERP Cost Drivers
2013 Research Under Consideration
Consumerization of IT Student Technology Use Higher Education IT Workforce Measuring the Cost of IT E-Learning Update on Mobile IT
Thank You!Susan Grajek