Accenture, Deloitte, PwC Lead Gartner’s Oracle Cloud Services Magic Quadrant

From Accenture and Deloitte to DXC Technology and Infosys, here are the 19 companies who made Gartner’s 2022 Magic Quadrant for Oracle Cloud Application Services on a worldwide basis.

Gartner’s 2022 Magic Quadrant For Oracle Cloud Application Services: 19 Companies Generate $15.4 Billion

The demand for Oracle Cloud application services continues to increase as total annual cloud revenue for the company currently stands at over $11 billion, growing at a double-digit clip year after year.

There is massive Oracle cloud sales growth accruing for many large channel partners including the likes of Accenture, Deloitte, PwC, and Tata Consultancy Services (TCS), according to Gartner’s new 2022 Magic Quadrant for Oracle Cloud Application Services, Worldwide.

In fact, the 19 vendors who made Gartner’s Magic Quadrant generated a whopping $15.4 billion in total revenue from Oracle cloud application services last year, up from $12.5 billion year over year. Among these 19 service providers covered in Gartner’s Magic Quadrant, there are almost 270,000 resources engaged in Oracle projects, of which 121,000 are engaged in projects on Oracle Fusion Cloud applications.

Gartner points to the global COVID-19 pandemic as a major reason why Oracle Cloud Application (OCA) sales are rapidly growing.

“It is clear that the pandemic has accelerated the demand for digital business and cloud and led to a severe talent shortage,” the report said. “The necessary OCA skilled implementation resources will need to at least double through 2023. In total, these 19 vendors have almost 47,000 individual accredited certifications in these products.”

By the end of 2024, 75 percent of Oracle application services revenue will be cloud-related as enterprises accelerate their move to the cloud, according to Gartner. Additionally, by 2024, 70 percent of large ERP deployments will be delivered by predominantly remote rather than on-site implementation teams.

Gartner’s Magic Quadrant ranks vendors on their ability to execute and completeness of vision and places them in four categories: Niche Players (low on vision and execution), Visionaries (good vision but low execution), Challengers (good execution but low vision) and Leaders (excelling in both vision and execution).

CRN breaks down the 19 vendors in Gartner’s 2022 Magic Quadrant for Oracle Cloud Application Services who are leading the world in provider Oracle cloud services.

Leader: Accenture

Solution provider and IT services powerhouse Accenture took the gold medal for execution on Gartner’s Magic Quadrant for Oracle Cloud Application Services, while also ranking second for vision.

Dublin, Ireland-based Accenture is a very large Oracle Cloud Application (OCA) service provider based on its more than 10,000 OCA full-time equivalents. Gartner estimates Oracle cloud application services revenue growth of 42 percent since its 2021 Magic Quadrant.

Strength: Accenture has invested extensively in training resources with more than 4,000 OCA certifications. It has the most Oracle practitioners, many global locations for Oracle cloud delivery, and 20 centers focused on Oracle analytics innovation. It works closely with Oracle product development teams to inform product roadmaps and releases to improve performance and quality, according to Gartner.

Weakness: Accenture receives the majority of its Oracle cloud revenue from large enterprises and only one-third from midsize enterprises. It is not the best fit for small clients and has limited revenue from this segment, Gartner said.

Leader: Deloitte

IT consulting and advisory services giant Deloitte won the gold medal for vision on Gartner’s Magic Quadrant for Oracle Cloud Application Services, while placing second in execution.

New York City-based Deloitte is a very large Oracle Cloud Application (OCA) service provider with more than 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 7 percent since its 2021 Magic Quadrant.

Strength: Through its innovative deal structure called “perfect deal,” Deloitte’s Oracle clients can engage with them using an outcome-driven at-risk financial model. The deal construct allows for investment funds, deferred or shaped payments, and purchase leaseback—giving Deloitte’s Oracle clients financial maneuverability and a focus on client business outcomes.

Weakness: With a large tax and audit practice, Deloitte must recuse itself from Oracle cloud transformation engagements at any public organization where it serves as an auditor. Gartner said this may limit the range of customers.

Leader: PwC

PwC took home the bronze medal for both execution and vision on Gartner’s Magic Quadrant.

The London, U.K.-based company is a large Oracle Cloud Application (OCA) service provider based on its 5,000 to 10,000 OCA full-time equivalents. Gartner estimates an OCA revenue growth of 45 percent since its 2021 Magic Quadrant.

Strength: PwC’s year-over-year Oracle practice and OCA revenue growth was significant, Gartner said, which highlights the company’s strong business-led offering. PwC’s advisory capabilities represent around one-third of its total cloud engagements, which is high compared to other providers, making PwC a great fit for clients looking for a single partner to provide both advisory and implementation services.

Weakness: PwC is not heavily focused on technical lift and shift from Oracle ERP on-premises platforms. Gartner said customers seeking a partner to help them go through a less disruptive, non-transformational approach might find a better fit with another company.

Leader: Tata Consultancy Services

Tata Consultancy Services (TCS) ranks No. 4 for execution on Gartner’s Magic Quadrant and near the top of the pack for vision.

The Mumbai-based company is a large Oracle Cloud Application (OCA) service provider based on its 5,000 to 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 51 percent for TCS since its 2021 Magic Quadrant.

Strength: TCS has shown substantial growth in the Oracle cloud and overall Oracle practice using #OneTCS, a consulting-led model leveraging business and technology knowledge. It has expanded OCA business among its installed base of Oracle EBS workloads looking to migrate into OCA and now has 56 percent of its Oracle practice revenue via the cloud.

Weakness: Although TCS has mature finance and HR offerings, it lags behind ACX, supply chain management and industry applications. TCS is generally behind on projects, revenue and staff dedicated to industry applications, Gartner said.

Leader: Infosys

Infosys ranks No. four for vision and near the top of the pack for execution on Gartner’s Magic Quadrant.

The Bengaluru, India-based company is a large Oracle Cloud Application (OCA) service provider, based on its 5,000 to 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 20 percent for Infosys compared to the last iteration of its Magic Quadrant.

Strength: Infosys is developing industry-focused and joint solutions with Oracle by leveraging their strategic partnership. It offers Infosys Cobalt, a set of tools and industry-specific business assets, and has built several industry-specific point solutions for clients to help adopt emerging technologies such as AI, IoT and blockchain for business use cases.

Weakness: Regarding OCA-led business transformation programs, Infosys has less depth of resources and capabilities for business and process consulting, which are two critical capabilities for business transformation using Oracle cloud, Gartner said. However, the company continues to grow with acquisitions and investments in this area.

Leader: IBM

Multination technology conglomerate IBM ranks near the top of the pack for both vision and execution on Gartner’s Magic Quadrant.

The Armonk, N.Y.-based company is a very large Oracle Cloud Application (OCA) service provider based on its more than 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 16 percent for IBM since its last Magic Quadrant.

Strength: IBM has established its cloud presence in every major region. Gartner said with approximately 2,700 OCA staff in the Americas, 2,500 dispersed across EMEA and more than 4,700 in APAC, it is strategically positioned to provide local resources for almost all OCA engagements.

Weakness: With its strong history of technical capabilities, the IBM brand has not traditionally been seen as a source of business consultancy. With the recent spinoff of Kyndryl, there may be concern regarding IBM’s ability to maintain infrastructure resources and access to some of the required technical capabilities, according to Gartner.

Challenger: Oracle Services

The vendor’s own Oracle Services arm ranks near the top of the pack for execution and near the middle for vision on Gartner’s Magic Quadrant.

The Austin, Texas-based company is a large OCA service provider based on its 5,000 to 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 36 percent since the last iteration of its Magic Quadrant.

Strength: Oracle Services continues to offer a unique position as both the product vendor, implementer and provider of post-go-live services. Although Oracle Consulting provides the implementation and advisory services combined with Oracle Industry Consulting, Oracle Advanced Customer Services provides ongoing services and platform evolution.

Weakness: Oracle Services is part of a product company. As a result, Gartner said it will not be product-agnostic when recommending solutions. Other pure services companies can provide options using combinations of technologies that are not limited to Oracle solutions.

Challenger: Wipro

Solution provider giant Wipro ranks near the top of the pack for execution and near the middle for vision on the Magic Quadrant.

The $10 billion Bengaluru, India-based company is a large Oracle Cloud Application (OCA) service provider based on its 5,000 to 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 46 percent for Wipro since the last iteration of its Magic Quadrant.

Strength: Wipro is actively expanding its Oracle cloud offerings using its Digital Navigator Advisory framework, implementation methodology, support framework, as well as other industry offerings. It offers innovation in OCA engagements using a mix of internal technology capabilities, acquisitions, partnership and co-innovation with customers, Gartner said.

Weakness: Wipro is still building its capability and capacity in niche Oracle cloud offerings like Data-as-a-Service, Marketing cloud and Container Engine for Kubernetes. With most of its OCA business coming from clients with more than 10,000 employees, smaller businesses may not find Wipro a good fit for their needs, Gartner said.

Visionary: KPMG

KPMG ranks near the top of the pack for vision and in the middle for execution on Gartner’s Magic Quadrant.

The Netherlands-based company is a large Oracle Cloud Application (OCA) services provider based on its 5,000 to 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 26 percent for KPMG since the last iteration of its Magic Quadrant.

Strength: Approximately 65 percent of KPMG’s implementations were ERP application implementations, with a number of its industry solutions in finance. It has 400 certified Oracle ERP/EPM consultants using Powered Enterprise assets and targets operating model components to deliver large finance transformation projects.

Weakness: Although KPMG offers end-to-end business solutions in a few select core industries like banking and retail, its solutions are still focused primarily on supporting accounting and finance. Its solutions are lagging in process area breadth like customer experience management and project delivery to be truly considered end-to-end, Gartner said.

Niche Player: Evosys

The Ahmedabad, India-based company is a medium-size Oracle Cloud Application (OCA) service provider based on its 1,000 to 5,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 11 percent for Evosys since the last iteration of its Magic Quadrant. Evosys ranks amongst the middle of the pack for both execution and vision on Gartner’s Magic Quadrant.

Strength: Evosys’ focuses on core verticals like healthcare, public sector, retail, engineering and construction. Its continued focus on the development of specific industry-relevant application extensions and technology solutions has led to an accelerated journey to the Oracle cloud for Oracle EBS, PeopleSoft and SAP users, Gartner said.

Weakness: Evosys’ limited business consultancy and gaps on geographic coverage restrict clients looking for global business transformations from engaging with Evosys. Gartner said the company does not do pure business consulting but can still lean on technology roadmaps with an outcome focus.

Niche Player: Inspirage

Inspirage is a small OCA service provider based on having fewer than 1,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 23 percent for Inspirage since the last iteration of its Magic Quadrant. The Bellevue, Wash.-based company ranks amongst the middle of the pack for both execution and vision on Garner’s 2022 Magic Quadrant.

Strength: Inspirage is exclusively focused on Oracle and maintains close relationships with Oracle product development and strategy. It helps clients with end-to-end transformations including strategy, business design and development. Ninety-one percent of its total Oracle revenue is from cloud engagements, with more than 94 percent of full-time equivalents aligned for Oracle cloud only.

Weakness: Although Inspirage is appreciated for its flexibility, it offers limited pricing models. Gartner said it can offer more flexible pricing and outcome-based models to build stronger partnerships with its clients if negotiated.

Niche Player: EY

EY is a medium-size OCA service provider based on its 1,000 to 5,000 OCA full-time equivalents. Gartner estimates OCA services revenue growth of 25 percent for EY since the last iteration of its Magic Quadrant. The London, U.K.-based company ranks amongst the middle of the pack for both execution and vision on Gartner’s 2022 quadrant.

Strength: EY continues to use its extensive transformation and auditing experience to support clients in business transformation engagements. Advisory services still represent a good portion of its current engagements. Clients seeking a partner that can help them assess and design a business-led application strategy, which includes OCA capabilities, may benefit from EY’s expertise, Gartner said.

Weakness: EY does 74 percent of its Oracle cloud work with midsize companies and 21 percent of its Oracle cloud work with large enterprises, with more than 10,000 full-time equivalents. Gartner said smaller clients might find that EY is not a good fit.

Niche Player: Cognizant

Cognizant is a large OCA service provider based on its 5,000 to 10,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 32 percent for Cognizant since the last iteration of its Magic Quadrant. The Teaneck, N.J.-based company ranks amongst the middle of the pack for both execution and vision on the 2022 Magic Quadrant.

Strength: Cognizant is deepening its relationship within the Oracle partner network by engaging in joint sales of industry solutions and adding more than 60 Oracle cloud sales specialists and more than 120 regional sales resources to its global team. Cognizant has converted a greater number of clients to cloud and is investing in resources to ensure continued growth.

Weakness: Cognizant reported high attrition rates—31 percent—when compared to other providers in Gartner’s research. Some clients cited resource issues in their implementation teams, according to Gartner.

Niche Player: LTI

Larsen and Toubro Infotech (LTI) is a medium-size OCA service provider based on its 1,000 to 5,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 50 percent for LTI since the last iteration of this Magic Quadrant. The Mumbai, India-based consulting and digital solutions specialist ranks in the middle of the pack for both execution and vision on Gartner’s quadrant.

Strength: LTI has made big investments in assets and accelerators—from project delivery frameworks for horizontal capabilities, like modern finance business reimagination framework – and automation. This has helped its clients get access to a range of tools for project delivery.

Weakness: The company’s approach to business transformation is heavily focused on technology and prebuilt industry assets. Gartner said customers outside LTI’s range of focus industries who require more comprehensive digital transformation may feel LTI is not ideal.

Niche Player: Capgemini

Capgemini is a medium-size OCA service provider based on its 1,000 to 5,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 32 percent for Capgemini since the last iteration of this Magic Quadrant. The Paris, France-based solution provider giant ranks in the middle of the pack for both execution and vision on the quadrant.

Strength: Capgemini has strong technical capabilities as part of its DNA. Its focus on strategic operational optimization, driven by continuous process improvement and technological advancements for its prebuilt assets, helps clients execute single and multi-pillar Oracle projects successfully, Gartner said.

Weakness: Although Capgemini’s Oracle resources are spread across the globe, many clients cited resource planning and retention of talented people on their projects as a cause of concern. Capgemini reports 91 percent of its revenue from North America and portions of EMEA, which can be a challenge for clients in other countries looking for local support for Oracle cloud implementation projects.

Niche Player: HCL Technologies

New to Gartner’s Magic Quadrant for Oracle Cloud Application Services is HCL Technologies, a small OCA service provider based on it having fewer than 1,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 80 percent for HCL year over year. The Noida, India-based company ranks near the bottom of the pack for both execution and vision on Gartner’s quadrant.

Strength: Historically, HCL has been a good performer for Oracle-related services. HCL has recently grown its overall Oracle practice revenue by 10 percent and added more than 600 staff to the practice. As HCL pivots to OCA-based services, it has a great opportunity to work with incumbent application management clients to move them to OCA products, Gartner said.

Weakness: With the late start in OCA, the tools and accelerators in support of these engagements are behind most of the vendors analyzed in this Magic Quadrant. Gartner said HCL will have to catch up with its peers.

Niche Player: DXC Technology

DXC Technology is a medium-size OCA service provider based on its 1,000 to 5,000 full-time equivalents. Gartner estimates OCA revenue growth of 3 percent for DXC since the last iteration of its Magic Quadrant. The Ashburn, Va.-based company ranks near the bottom of the pack for both execution and vision on Gartner’s Magic Quadrant.

Strength: DXC has recently hired and onboarded 240 new OCA consultants to offset attrition and to meet increased demand for Oracle cloud services. It is further investing in certifying its Oracle cloud consultants and has planned for a significant headcount increase in the next 12 months with a specific growth focus on the Americas market, Gartner said.

Weakness: DXC had the slowest growth rate—3 percent—in its Oracle cloud practice in Gartner’s Magic Quadrant, as most other Oracle service providers showed double-digit growth.

Niche Player: Huron

Huron is a small OCA service provider based on it having fewer than 1,000 OCA full-time equivalents. Gartner estimates OCA revenue growth of 7 percent for Huron since the last iteration of its Magic Quadrant. The Chicago-based company ranked last in vision and near the bottom in execution on the quadrant.

Strength: Huron has strong expertise in EPM and ERP implementations, with 73 percent of revenue coming from these implementations. It has built many proprietary accelerators and continues to invest in process mining, data management and analytics to augment its delivery capabilities.

Weakness: Huron is the only vendor in Gartner’s Magic Quadrant that experienced overall negative growth in its Oracle practice. There is also a drop in the number of Oracle cloud full-time equivalents, while all other providers increased their Oracle cloud resources in different geographies.

Niche Player: Tech Mahindra

Tech Mahindra is a medium-size OCA service provider based on its 1,000 to 5,000 full-time equivalents. Gartner estimates OCA revenue growth of 31 percent for Tech Mahindra since the last iteration of its Magic Quadrant. The Pune, India-based company ranked last in execution on the Magic Quadrant and near the bottom for vision.

Strength: Tech Mahindra has created and invested in pre-configured solutions—such as cloud migration framework, data migration, and automated functional and regression testing—for easy lift and shift to Oracle cloud. Tech Mahindra gets approximately 30 percent of its OCA revenue from these lift-and-shift model deals utilizing the pre-configured solutions.

Weakness: Tech Mahindra lacks a strong business advisory offering, which limits its capability to be positioned as a business transformation advisor. Gartner said its limited range of change management capabilities makes it less suitable for clients looking for strategic business outcome-based solutions.