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Case Details:
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GT Nexus: Leader in Cloud Computing Supply Chain Management  
 
Product Ref: 15/553C Company: GT Nexus

Product Type: Case Industry: Internet Software and Services

Related Product(s): Teaching Note
GT Nexus was incorporated in 2000 and in 2013 became a leader in cloud-based supply-chain management solutions. Born as a technology platform dedicated to the shipping industry and in particular to facilitating supply-chain management for major international carriers, in 2002 GT Nexus became in an SaaS (software as a service) provider, integrating analytics software on its platform. The Global Trade Platform introduced by GT Nexus was a major innovation in the shipping industry: it offered a standardized interface to shippers seeking to book cargo space with major carriers and allowed carriers to manage a far larger customer volume.

Over time, the GTN platform became a non-industry specific supply-chain solution, used by some of the largest MNCs (multi-national corporations). GT Nexus expanded its product offering and platform, designing its own software solutions, such as the Trade Solution platform for financing, by partnering with other software companies, such as MicroStrategy and Flagship Custom Service, or by directly acquiring competitors, in the case of Metaship AG in Europe.

A final merger with TradeCard in 2013 made GT Nexus the market leader in cloud-based supply-chain management software with over US$100 billion of international trade transactions managed on the platform. After the merger with TradeCard, GT Nexus offered a complete procure-to-pay solution on the cloud, covering every aspect of supply-chain management. The company experienced brisk growth as a pioneer of cloud-computing technology applied to supply chains.

GT Nexus had several potential directions to sustain its growth. It could expand on its traditional customer base, the shipping industry, by aggressively pursuing market share, increase its software offerings to compete with ERP (enterprise resource planning) vendors, or further leverage its cloud-computing technology to deliver greater value.
Functional Area : Strategy & General Management

Learning Objective: In a rapidly evolving industry like cloud computing, which strategy should GT Nexus adopt to maintain its competitive advantage? Which economic-theoretical framework is relevant to the analysis of the specific operations and markets GT Nexus operates in and what are the relative strengths of these strategies?

Teaching objectives:
ĦE Cloud-computing structure and element composition
ĦE Cloud-computing competitive landscape
ĦE Value grid model in cloud computing
Length: 20 pages Country: United States of America

Pub. Year: 2015 Level of Difficulty: 2
         
This product type is available in the following language(s):      English
         
Related Information: N/A
 
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