January 9, 2019 by Manufacturing AUTOMATION
January 9, 2019 – French software company Dassault Systèmes has acquired IQMS, a manufacturing ERP software company, for $425 million.
With the acquisition of the California-based IQMS, Dassault Systèmes, which has a portfolio of 3D design and PLM software, extends its 3DEXPERIENCE platform to small and mid-sized manufacturing companies seeking to digitally transform their business operations.
IQMS’s software – on-premise EnterpriseIQ and software-as-a-service WebIQ – deliver an all-in-one solution to mid-market manufacturers for managing engineering, manufacturing and business ecosystems by digitally connecting order processing, scheduling, production and shipping processes in real time. By integrating IQMS’s solutions into the 3DEXPERIENCE platform on the cloud, Dassault Systèmes will provide these manufacturers with a system for operations that improves the collaboration, manufacturing efficiency and business agility needed to serve their customers successfully. The manufacturers – many of them SOLIDWORKS users – also gain the flexibility to rapidly scale up as a business grows.
“We must no longer think of industry as a set of means of production, but as a process of value creation. This applies not only to disruptive startups and established corporations, but also to the hundreds of thousands of mainstream manufacturers that produce parts integral to the development of new consumer experiences,” says Bernard Charlès, vice-chairman and CEO, Dassault Systèmes. “IQMS has cultivated a deep knowledge of manufacturing and manufacturer needs.”
Today’s manufacturing ERP mid-market is estimated at $5 billion, with a seven to eight per cent annual growth rate through 2023. In the context of the Industry Renaissance – the convergence of a diverse and powerful collection of digital technologies that is transforming every aspect of industrial business – the world’s 250,000 small and mid-sized manufacturers must adopt and optimize new ways of producing and doing business through digital transformation in order to innovate and accelerate their growth in an increasingly competitive, global marketplace.
“For years, our business has been committed to maximizing our manufacturing customers’ success by delivering a comprehensive manufacturing ERP system built specifically for the mid-market manufacturers and backed by extensive support and educational services, which has earned us recognition in a number of industry reports and numerous business awards,” says Gary Nemmers, president & CEO, IQMS. “As part of Dassault Systèmes, we can take the next steps in providing customers with new approaches to achieving operational efficiency and effectiveness and doing so with a global reach.”
Dassault Systèmes will help IQMS expand its customer base by leveraging the presence in the mid-market space achieved with Dassault Systèmes’ SOLIDWORKS applications, which are delivered and supported by the company’s Professional Solutions global partner channel.
IQMS’s solutions are used by 1,000 customers based primarily in the U.S. whose 2,000 manufacturing facilities in 20 countries produce for the automotive, industrial equipment, medical device, consumer goods, and consumer packaged goods industries. IQMS’s 2017 revenue was around $56 million.