The Best-Run Companies Run… IQNavigator?
SAP has been using a marketing slogan for several years now, “The Best-Run Companies Run SAP.” Since this leaves aside the cost of ownership and lack of nimbleness of classic ERP software (which Vinnie Mirchandani addresses here and in many other Deal Architect blog entries), I wanted to take a look at the “bottom line” business impact of software ownership – reflected in clients’ stock prices.
Since IQNavigator sells primarily to large enterprises, we decided to see how our clients have performed overall versus the stock market. We created a portfolio of all of our publicly-traded clients that we have direct relationships with through at the end of 2009 (over 30 clients), and looked at their stock price the day they became clients through end of August (an average of four years), and compared that portfolio to the performance of the S&P 500 for the same time periods.
It turns out that our clients have out-performed the market by over 37% overall:
- IQN client portfolio: 35.0% gain
- S&P 500 comparative portfolio: -2.2% loss
Now, obviously we can’t prove that using IQNavigator has led directly to stock gains. But maybe it indicates that early adopters of Vendor Management Systems have managed their businesses better than the average enterprise.
