Since the recent merger between local software house Tilos Business Solutions and German software company COSA, the merged entity has achieved its target of 35% growth with the expansion of its international footprint in the business process management (BPM) and enterprise content management (ECM) markets, and consolidation of its success in the smart enterprise suite (SES) space.
The merged Tilos-COSA entity has become the only European vendor with BPM, ECM and SES offerings on the two major mainstream technological platforms of Java/J2EE and .NET, thereby providing existing and prospective clients with a wider range of products that fit smoothly into whichever environments they have chosen.
"From the outset of the merger, the strategy of both companies was to expand into new markets and exceed our growth rate to date," says Dietmar Ley, CEO of the new COSA. "Although 15% growth is acceptable to shareholders, and the company is profitable at that level, it does not make us attractive enough for future strategic partners. The new COSA has twice the people, twice the revenue, and is twice as strong to fully exploit existing and new channels."
Originally targeting first-tier companies, COSA will now also address the second- and third-tier markets in Europe, Russia and SA, using its office in the UK as a launch pad for entry into the lucrative US market.
The company will offer BPM, ECM and SES technologies to smaller market segments, in locations that it has not previously operated in.
"Before the merger, Tilos did not have resources on the ground to support international clients and partners, a critical requirement if we wanted to expand rapidly," says Sybille McCloghrie, group business development director for COSA.
"Although these companies felt the Tilos smart enterprise suite was a solid and innovative offering, they lacked faith in the software because it was developed in SA, and they needed to partner with a company that could also give them the comfort and credibility of localised knowledge, long-term stability and well established quality processes. As COSA, the company now has the broader software offering, increased skills base, international experience and analyst recognition these companies are seeking - a powerful combination."
COSA is expanding its presence in the Oracle channel and recently signed an agreement with the software giant. It also plans to aggressively roll-out its Microsoft-based products into Germany.
COSA SA will continue focusing on South African financial services, currently its fastest growing vertical market.
"We are also planning to enter the South African telecommunications vertical, as international trends have shown we can add great value to companies in that market," says Debbie Hill, MD of COSA South Africa. "In addition, there will also be an increased concentration on companies operating in the public sector."
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