According to Rimini Street CEO Seth Ravin, ERP software is dead. When speaking with EITN recently, he said, “The trend is de-globalisation. Don’t look at the US tariffs. Don’t look at the numbers. It’s irrelevant. What we need to understand is there is a change happening in the world, and it is de-globalisation.”
He explained that after 40 years of building supply chains for maximum cost efficiency, countries are now demanding local investment and participation. “For example, we’ve got Indonesia saying, ‘You can’t sell iPhones from Apple here unless you build 30% of it here… we want to employ our people. We want a certain amount of capabilities, factories, and more, in our country.
“If each country is saying, ‘Well, I want 30% built in my country’ this is the most disruptive thing we have seen in 40 years.”
Seth, who has been at the forefront of trade and technology for decades, described how these changes are forcing companies to restructure not just their organisations, but also the very systems that run their businesses. “We have to restructure our organisations to think differently after 40 years of always looking for the cheapest cost,” he said. “But we need the systems to be able to not only support the business, but the world that we’re going into.”
ERP software is not the only answer
Fresh from a visit to Penang which is located at the northern part of Malaysia, Seth shared his observation that ERP software and systems are not designed to change and adapt flexibly to de-globalisation.
“With (our Smart Path methodology) we are creating capital within their existing budgets that they can then use to invest in innovation and technology
Seth Ravin
In response, rather than pushing software upgrades or vendor-driven solutions, the company is hunkering down and listening to customers to try solve real business problems. “We are not interested in selling them software. We are solving business problems in this complex world that we’re dealing with today,” Seth explained.
A key part of Rimini Street’s strategy is leveraging AI to provide the flexibility that traditional ERP systems lack. “These systems are not designed to change around so flexibly, and this is why we’re sitting here saying that this software is dead, because the world is changing so dramatically,” Ravin said. “We’re building it now, above the systems and outside the systems, using AI, because it’s the only thing that’s flexible enough to really meet the needs and the changing demands.”
Investment into the region
“Every country is going to do what they need to do. What I’m watching with Malaysia and Indonesia is an amazing (amount of) investment going on in technology, because every country is absolutely terrified that they are going to be left out of the next generation of technology, “ Seth opined.
Rimini Street’s commitment to the region is clear. The company is making significant investments in Southeast Asia, with a particular focus on Malaysia. “We announced a couple of months ago that we’re hiring 1,000 engineers in KL. Our new office is opening in Sunway Square, not far from Sunway University. So it’s going to be massive, and we are going to have a very significant presence,” Seth shared while adding his intention to tap into Malaysia’s talent pool with a goal to create a direct pipeline from education to employment.
We have to restructure our organisations to think differently after 40 years of always looking for the cheapest cost. But we need the systems to be able to not only support the business, but the world that we’re going into.
Seth Ravin
Seth believed that companies who fail to embrace these changes – especially the adoption of AI – risk being left behind. “Any company, any organisation, who doesn’t think they’re going to get into AI… they may not be here in five years as a business if they don’t,” he cautioned.
As de-globalisation reshapes the business landscape, Rimini Street is positioning itself as a trusted adviser and partner for organisations navigating this new era. “With (our Smart Path methodology) we are creating capital within their existing budgets that they can then use to invest in innovation and technology,” Seth said.
In essence, Rimini Street positions itself as a provider of thought leadership and service. Seth said, “We’re watching these trends, we understand what’s happening, and we’re really advising companies, CIOs, CFOs, CEOs, on what’s coming.
“(What we offer) is really much more focused on exactly what each company needs, whether they are a retailer, telco, utility, or a bank. Each one has a very different thing that they need to get done in order to meet the next challenge coming up,” Seth concluded.
