Tenrox Cloud PSA: Catching On With IT Consulting Firms?
Tenrox, which develops a cloud PSA platform, has quietly generated steady, profitable, double-digit growth since 1995. And more recently, Tenrox has started to raise its voice in the market. According to a spokeswoman, Tenrox’s Q3 2011 generated the company’s strongest quarterly bookings in history, though the privately held company doesn’t disclose specific results.
I concede: I didn’t know much about Tenrox until 2011. Within the IT channel, thousands of IT consulting firms use PSA (professional services automation) software to manage trouble tickets, time and expenses and other business tasks. Most of my PSA focus has involved the SMB market, where software and SaaS companies like Autoask, ConnectWise and Tigerpaw Software compete.
But there are multiple flavors of PSA, each of which targets a slightly different market segment. NetSuite OpenAir, a cloud-based offering, seems to target services businesses with 10 to 10,000 employees. And Projector PSA has lined up roughly 165 companies to run its software.
Here Comes Tenrox Cloud PSA
Meanwhile, Tenrox has quietly developed a track record for reliable growth. Founded in 1995, Tenrox has had the same management team since its inception. Revenues have grown roughly 20 percent annual since Tenrox was launched. And 25 percent of the company’s revenues are reinvested back into R&D.
Those R&D efforts have helped Tenrox to build strong partner relationships with Microsoft and Salesforce.com, among others. And big-name customers — from IBM to GE — have leveraged Tenrox’s software.
Tenrox’s Cloud PSA platform serves multiple vertical markets. But IT consulting firms and technology companies — especially mid-size firms — seem to be a growing base for Tenrox. Among the IT-related customer wins worth noting since August 2011:
- Decos Information Solutions, which develops enterprise document management systems, has embraced Tenrox Cloud PSA for its staff of more than 200 people.
- LabAnswer, which offers hardware and software solutions to laboratory environments, is using Tenrox Cloud PSA to manage engagements across 85 employees and consultants throughout the USA.
- Pariveda Solutions, a Dallas-based IT consulting firm that has signed a five-year agreement to run the Tenrox Cloud PSA Suite. Pariveda hopes to double its revenue and increase staff from 275 to 1000 by 2016. The company currently has 10 U.S. offices, $50 million in annual revenue and has grown 35% annually since 2003, according to a press release. Pariveda had been utilizing an on-premise version of Tenrox PSA for the last six years.
- RL Solutions, which develops healthcare software, is leveraging Tenrox Cloud PSA to manage business and projects across Canada and Australia.
- Tilson Technology Management, a consulting firm in Portland, Maine, went with Tenrox Cloud PSA for protect management across software development, telecommunications and utilities-focused customers.
- Veracity Solutions, a software consulting firm in Salt Lake City, is using Tenrox Cloud PSA to improve project management. Veracity’s clients include Microsoft Allscripts.
No doubt, the PSA software market remains highly targeted, highly fragmented and fiercely competitive. But it sounds like Tenrox is carving a niche for itself within IT shows that need workflow-driven project management services.