Educational institutes like universities and schools are more inclined to concentrate upon their core competency by offering quality education. Hence, education industry is intended to outsource the complicated management process to a third party vendors. In universities and schools, ERP system supports comfortable and user friendly management of student information system, enrollment & admission system, payroll, placement management, accounting, transport management and others. Moreover, the demand for security of critical data of institutions is another reason behind consideration of ERP by schools and universities.
Since long the education market has been growing and evolving expansively and is expected to foresee even better growth in coming years. Enterprise resource planning (ERP) in education has a history and its presence in the major organization has facilitated ease of operations and management process. Enterprise resource planning in education field has enabled integration of various functions of an organization in real time to maintain and manage databases and all the functions efficiently. ERP systems keeps a track of business resources, examine production capacity and govern the status of admissions, and payroll. ERP simplifies the flow of information between numerous business functions, and also it’s responsible for updating priority investors.
The improvisation in technology and overall demand of concepts related to computing is driving the market for Enterprise Resource Planning in the education sector. This market is projected to rise high significantly with rapid adoption among the educational sector. Also other factors such as emergence of better functionality of educational system, capacity of the system in regards with flexible infrastructure most important reason for driving the market would be the requirement for streamlining the academic process. As these systems stick to a particular set up, possibility of customization is less and therefore there are other substitutes taking over the market, which is restricting the educational ERP market growth.
With the introduction of cloud-based ERP and improvised admin experiences in various institutes the market is expected to vision newly evolving potential markets and hence creating new opportunities for the market growth. This market is broadly segmented into five segments viz., solutions, services, deployment, end-user and region. The solutions segment is further classified into student information system, HR-payroll, financial management, placement management, transport management, enrolment & admissions, business intelligence and others. Similarly the services segment further comprises of implementation, consulting, training & support and portal services. Implementation and consultation are already dominate the market, whereas training and support is rapidly catching the speed to generate more and more awareness about the system globally. Based on deployment type the market can be categorized into cloud-based and on-premises. The SaaS based ERP applications is majorly considered by educational institutes because of the low cost related with the maintenance, system updates and acquisition. In terms of its end-users the market is segmented into kindergarten, K-12 and higher education. The high rising growth of administrative application along with the increasing acceptance of automated system have made transfer of information additionally flexible and advanced for the end-users.
Globally the market is segmented into five regions, namely, North America, Europe, Asia-Pacific, South America and Middle East & Africa. The adoption of ERP is expected to decline in developed economies such as U.K, U.S. and Canada. Whereas in other developing economies, Asia-Pacific, Middle East and Africa, and SAM are expected to propel, as K-12 schools and higher education institutions throughout the regions are unsusceptible towards the new technological deviations.