Why TriCore Acquired G3G: One-Stop Shop for SAP Solutions
TriCore Solutions continues to tackle its mission of becoming a one-stop shop for SAP solutions. With those goals in mind, TriCore acquired G3G in June 2016. Both companies had been working together on several projects for nearly two years across the United States and the United Kingdom.
This purchase followed TriCore’s September 2015 acquisition of Group Basis — an SAP-focused SAP. TriCore doesn’t disclose financial terms of the buyouts, nor does the company publicly discuss headcount figures.
TriCore’s overall strategy involves packaging end-to-end solutions that encompass assessment and design, implementation, support, development, and ongoing continuous improvements. There’s also a healthy does of managed services in the mix — and they stretch across SAP, Oracle, SQL Server and other mission-critical software platforms.
Referring to the G3G deal, “it was simply the right timing for both companies,” Mark Clayman, CEO of TriCore, tells ChannelE2E. “It was a natural next step for us to look for a partner and team that could provide functional and technical development support to round out our SAP offering.”
Before purchasing G3G or any company, Boston-based TriCore first seeks to grow organically. But sometimes external deals provide additional upside. TriCore — an SAP certified cloud hosting and SAP HANA managed service provider — considers “acquisitions that would add scale to our existing set of services or enable us to provide a new service that our customer base would be able to benefit from,” Clayman says. “We’ll continue to look for acquisitions that can expand our current service lines in addition to adding services or functions that provide value to our customers and/or work in conjunction with our existing services,” he said.
Becoming The One-Stop Shop for SAP Solutions
As it has done with its Oracle practice, TriCore’s vision for leveraging G3G is to provide its customers with “a full suite of SAP solutions and services,” Clayman says. Up until the G3G acquisition, TriCore had only offered SAP hosting and support services for Basis and SAP HANA.
“We will now be able to offer SAP consulting services around design, workflow optimization and business process efficiencies in addition to providing technical development and functional support for customers that require that expertise on a day in and day out basis to run and manage their SAP environment,” he says.
TriCore expects to offer more SAP services to existing customers while reaching new customers. Toward those goals, the company will combine the Basis and functional support groups into a single SAP practice to “ensure [it’s] as efficient as possible in delivering SAP services back to [it’s] customers.”
The G3G team will become part of TriCore and take on the TriCore brand, Clayman says. “They’ll also be able to leverage the scale that we have developed over the years from both our operational and business support systems” he adds.
Having previously experienced integrations with similar services, there won’t be a lot of heavy lifting in terms of the transition and integration process, the company predicts. Removing the back office from the equation, “most of the work will be focused on customer interactions like ticket requests, project management, reporting, etc.,” he says. TriCore’s executives plan to have most of these efforts completed within 60 days.
Balancing the SAP and Oracle Opportunities
TriCore’s Oracle customers shouldn’t be worried about the acquisition; the company is equally dedicated to its Oracle and SAP customers. TriCore’s delivery teams offer full lifecycle management for both Oracle and SAP solutions. This includes design and architecture to implementation, customization and configuration to the ongoing technical and functional support and continuous business improvements.
“In the midmarket to enterprise customers that we work with, they are typically running either Oracle or SAP solutions and in many cases, due to acquisitions, they are running both,” Clayman says. Focusing on both platforms “expands our addressable market significantly and the benefit to our customers for them to consolidate solution partners.”
Similar to TriCore, numerous SAP partners have been acquiring one another — especially as SAP seeks to train 10,000 HANA partners for a range of data-intensive applications.