News

EPfA primed for growth: Meta Group

• By Lana Gates
• February 5, 2003

Market research firm Meta Group Inc., Stamford, Conn., predicts that what it calls the enterprise portfolio analysis (EPfA) tool market will grow from $85 million in 2002 to $540 million by 2005.

Meta analsysts say that the goal of EPfA tools is to determine the optimal mix of investments, activities, initiatives, programs and the like needed to achieve a desired output or outcome. Such tools can allow users to compare and contrast scenarios and relevant views of projects, assets, programs or other capabilities, giving organizations the information they need to determine what should be done and by whom.

Meta Group's EPfA Metaspectrum study evaluates the toolsets of six suppliers -- ProSight, Business Engine Software, United Management Technologies (UMT), ITCentrix, Pacific Edge Software and Artemis International Solutions. Meta said that none of these firms is currently a market leader because none of the products is yet functionally complete and market awareness is average. Only three of these vendors -- ProSight, UMT and ITCentrix -- focus purely on EPfA. The other three come from project management and financial management backgrounds, Meta analysts noted.

Meta Group analysts cited several reasons for the predicted growth, including the early success of ProSight and Business Engine Software to create sales channels and utilize third-party channels to approach revenue and growth targets with these products.

''We believe 50% of all enterprises will use EPfA tools to communicate the value of their decisions regarding investments, processes, etc.,'' said Doug Lynn, vice president with Meta Group's executive directions service.

EPfA, along with project portfolio management and asset portfolio management, make up the overall portfolio management tool market, which is functionally immature at this time as no single segment enjoys a controlling market share. Meta Group expects all segments to remain uniquely focused on portfolio management until market buying preferences demand increased cross-segment functionality.

The research firm also predicts that leveraging partnerships offers more promise for growth than any single vendor developing and supporting EPfA, project portfolio management and asset portfolio management functionality in a single suite.