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UK Market Overview
Artikel von Monika H.Haines, 
PROJECT CONSULT International Business Se
rvices Ltd., London.
The UK IT market considered one of the largest  outside  North America is and always has been very attractive for German companies, the DRT (Document Related Technologies) vendors being no exception. It has been a great challenge for many, some of whom have suffered badly  and had to withdraw at great expense financially and with  their reputation. It requires certain adjustments to understand the importance of adaptation of product, service, solutions  and approach as well as the importance of understanding the cultural differences. Some Germany companies though have been successful in entering the UK as a first step on their way to internationalisation.  
2001 was a tough year generally for the IT industry and the DRT (Document Related Technology). Cutback in IT spending in all sectors of the industry has effected small and large vendors alike. Many had to shed staff. Knowledge Management Specialist Smart Logik, underwent major changes and upheavals throughout 2001 and this despite some very high profile customers. In the latest round of redundancies, Cap Gemini for example is seeking to reduce its workforce by 10%.
This general trend in the UK has also had its effect on German suppliers. The UK integrators and consumers  tend to favour  American and in some cases also Australian vendors. English being the native tongue and development having been carried out in  English. The forthcoming 12 months will be a time for consolidation in the UK market place as well as in Germany and Europe as a whole.
Despite the widespread economic gloom, this could also be a year when long predicted trends and technologies could finally hit corporates and consumers. Although the market may not see a  slow start for recovery not until the 2nd Quarter of 2002, the majority of vendors , if not positioning themselves  and focusing on their core competences and expertise, may not reap the benefit of such recovery however small it may be at this time. In 2001 the telecommunications and communications industries led the way in software investment. The forthcoming year promises to be a busy time for the public sector. Central government and local authorities in the UK are working hard to meet the UK government’s deadline set for the e-commerce initiative introduced by Tony Blair in 1997 that at least  25% of communication between government offices and the public  must be undertaken electronically by 2005.
A total of GBP 350 Million of government funds have been set aside for this. Many IT companies have therefore found a constant revenue stream through addressing the needs of central and local government departments looking to meet this deadline. In December 2001 the Government announced that local authorities alone will receive GBP 160 Million over the next 24 months in order to help them improve delivery of services using new technologies.
Important legislation is being brought into force regarding the handling of Electronic Documents and Records, similar to those introduced by the European Commission. Software vendors in the UK are rising to this challenges with systems that not only address this paradigm but also meet the exacting standards set by the government. The recently unveiled Model Requirements for the Management of Electronic Records (MoReg) addresses the need for a comprehensive specification of requirements for electronic records management. Similar to those introduced in Germany with a few functional variances.
The (PRO) Public Records Office has undertaken its own ERMS project to support the Modernising Government program. A significant aspect of this project was the evaluation of ERMS packages available in the UK, in order to create a list of approved products and solutions that public sector purchases should consider.  
Various trials have already commenced in some departments, which will be closely monitored by others. The long awaited National Air Traffice Services control centre in Swanwick, Hampshire for example has  become operational in January 2002, after several years of software integration problems. The importance of IT to the future of the NHS (National Health System) has also been recognised  by the current UK government and is currently under review with a planned budget of several Million UK Pound Sterling. With the increasing requirements to access patient records quickly yet securely throughout the hospital enterprise, many information management vendors and developers are currently successfully applying their Imaging, workflow and EDM technologies to individual health authorities. In many cases independent, off the shelf packages are being favoured.
The MoD (Ministry of Defence) has commenced with an ambitious modernisation project for its stores management system. But his has been put on hold, at least for the time being for concern about its funding. The MoD’s Defence Logistics Organisation originally selected IBM Global Services to lead a team of system integrators to implement the new systems. Government officials have confirmed that OGC (Office of Government Commerce) is planning to supply new software to nearly 500,000 of its civil servants.
The legal market has and will continue to be an extensive user of Information Management tools. The market leader Hummingbird (who acquired PCDOCS and Fulcrum) still maintain their premier position in the legal arena although , this market too appears to be effected by the general economic down turn and may notice the impact during  early 2002.
“Hand in Hand” with the EDM solutions comes document comparison and collaborative software, crucial factors in both legal and financial organisations where production of contracts is concerned. Workshare Technology is the undoubted leader in this market, supplying most top legal firms in the UK and also the US with their solutions. In the light of cases involving email and intellectual property issues, many UK law firms are also looking for email and intellectual property management tools. The UK IT security software industry too is going to benefit from a substantial growth within the next few years.
IDC’s report out recently suggested that the overall market for managed security services could hit $2.2 bn by 2005, whilst the Gartner Study suggested that the market for security software should hit $ 4.3 bn by the end of the year 2002. Small to midsize companies may not have the resources though nor perhaps the expertise to construct an appropriate defence themselves and will therefore turn towards outside third party companies for assistance and implementation, this will apply to the UK as well as other European countries.  
The general slowdown of  the economy in 2001 has also cast a shadow over IT projects and budgets  in the Financial Services Industry. Projects that were shelved, are now being re-scheduled for mid 2002. New implementations are expected in the Customer Relationship Management, as the importance of these software solutions are being realised. The big trend in mobile payments example for small transactions will be boosted by a draft European Commission Directive, which will also allow non-banks to issue electronic payments. Vodafone for example is already developing a mobile payment system to allow users to pay for inexpensive items via their phones and other operators are likely to follow shortly.
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