Sage Software Restructuring

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Sage Software announced an organizational restructure to better address its customers by aligning business units more closely to its customer segments.

The company's new Business Management Division brings its accounting, ERP, CRM, and related businesses into a single organization to serve the broad needs of small and mid-sized businesses (SMBs) with core business management solutions. Nina Smith, currently chief marketing officer (CMO) for Sage Software, will head up this division as president.

The new Industry & Specialized Solutions Division provides industry-specific solutions for businesses and organizations in the construction, real estate, and nonprofit industries, as well as serving businesses of all types with human resource management systems, online payroll services and other employee-management solutions. Doug Meyer, currently president of Sage Software's Small Business Division, takes the role of president of this division.

These two new divisions join the company's Healthcare Division, which serves healthcare practices, and the Payment Solutions Division, which supports merchants' payment processing needs.

"As our customers' needs evolve, our business must evolve to ensure we are presenting the best products and services to them in the way they need it," said Sage Software CEO Ron Verni. "Our new organization positions us to provide the right face to our customers, and deliver products and services that can contribute the most to their success."

Verni said bringing the company's core accounting, ERP, and CRM business management applications under one roof will let the company focus its development and customer service resources more effectively on customer needs.

Gartner analyst Bob Anderson, research vice president for small and mid-size business, acknowledges that SMBs are looking for applications that not only integrate data, but provide support for processes that span the traditional boundaries of individual business applications.

"Businesses don't see a border between their customer relationship tasks and their core accounting tasks. They want a single approach that makes it easy for their people to manage workflow, both inside the four walls of the business and by reaching out to their partners in the supply chain. Smart vendors are proactively transforming their organizations to reflect this reality, but the vast majority targeting SMBs still don't get it."

Sage Software is the North American business of global company The Sage Group. Sage Software has grown rapidly over the past 10 years, through both acquisition and internal development. The company has acquired and integrated into its portfolio 22 businesses since 1998, including brands such as Peachtree by Sage and Simply Accounting by Sage.

Sage Software also announced the appointment of Jim Foster, formerly executive vice president of mid-market business units, to the new position of chief technology officer (CTO). He will be responsible for driving overall technology direction and strategies for the company.

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