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Translation Management Systems Become Integral Component of Global Market Growth

(BOSTON) – Over the past decade, translation management system (TMS) products have gone from being applications in search of users to an indispensable part of the arsenal used by companies in command of – or in search of – global markets. Which industries and what departments are using these systems? Why did they elect to purchase TMS software, how are they using it, and are they satisfied with the results?

In late 2011, independent market research firm Common Sense Advisory surveyed buyers of TMS products to answer these questions.  The results are compiled and analyzed in Common Sense Advisory’s two new reports: “TMS Users Revealed: How Enterprise Buyers Deploy Translation Management Systems” and “How Buyers Use Translation Management Systems: What Vendors Need to Know about Enterprise TMS Implementations.”

Comments Ben Sargent, senior analyst at Common Sense Advisory and TMS expert, “While U.S. companies are ahead in adoption, evidence shows that TMS systems are expanding to all regions and industries.” He adds, “We wanted to provide a window into why companies adopt TMS and what these deployments look like in enterprise scope and departmental use. We also sought to give developers new insight into market dynamics and what’s really happening in enterprise environments.”

Among the key research findings, the report discusses:

  • High-tech firms lead market adoption. Software and computer companies adopted early and still dominate the market, followed by general manufacturing, machinery, and services (information, IT, and financial).
  • Economic trends affect uptake. The number of TMS deployments has increased over the past decade, but sporadically, showing a strong correlation to overall economic trends.
  • Companies of all sizes use TMS. The survey found an even distribution of companies from less than 100 employees to over 100,000 workers and from less than US$ 20 million to over US$ 50 billion in annual revenue. Also, companies that outsource all translation activities (56%) and companies that maintain internal translation capacity (44%) use TMS in almost equal proportion.
  • High number of languages common. Most systems process at least seven languages on a regular basis, but some handle more than 40.
  • Most users are cloud-ready. More than half of existing TMS deployments are delivered via hosted or cloud-resident applications. However, the study also found that more than a third of buyers have no plans to move into a private or public cloud.
  • TMS tools facilitate the rapid development, day-to-day management, and publishing of multilingual content in the estimated US$31 billion-dollar language services industry. The two survey-based research reports show what kinds of enterprise companies buy TMS and how they use it.

The reports answer the following questions:

  • Why companies adopt TMS – what they are trying to accomplish?
  • Which departments use TMS, what size companies, and how do they outsource?
  • How many languages, what volume of words, and which file types do these systems handle?
  • How are adoption trends changing as TMS use expands into more countries and more industries?
  • Which performance metrics are commonly used, and where are the gaps between what should be and what can be measured in current systems?

All companies with international operations or customers can glean important information about how the early adopters have achieved results with translation management technology.  This report is the latest installment in a suite of recent research from Common Sense Advisory on TMS. For more information, visit www.commonsenseadvisory.com.

About Common Sense Advisory
Common Sense Advisory is an independent market research company helping companies profitably grow their international businesses and gain access to new markets and new customers. Its focus is on assisting its clients to operationalize, benchmark, optimize, and innovate industry best practices in translation, localization, interpreting, globalization, and internationalization. For more information, visit: http://www.commonsenseadvisory.com or www.twitter.com/CSA_Research.

Media contact: Melissa C. Gillespie, Melissa@commonsenseadvisory.com, +1 760-522-4362

Submitted On: 3/22/2012

Common Sense Advisory research and analysts are frequently cited in the New York Times, International Herald Tribune, Wall Street Journal, Boston Globe, Fortune Magazine, Inc Magazine, and BusinessWeek.
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