Financial press in the UK today reports that at least one IT company is doing well in the downturn: Autonomy. The company raised its forecast three months ago, and has exceeded even that expectation.
This performance is on the back of increased fears about regulatory compliance, particularly relating to legal discovery with very tight time limits likely to be enforced in the US. Search and discovery, therefore, is one of those “cost of doing business” implementations. Properly understood, it’s classic Risk Management: taking on a hard cost to account for the likelihood of a much higher cost event.
The company’s announcement is very low key – just one paragraph and a quote from Mike Lynch, the CEO. Mike Lynch has just been named UK Entrepreneur of the Year in Management Today’s Top 100 Entrepreneurs for 2009. Forrester’s Wave for enterprise search, published mid 2008, names Autonomy among the leaders; the report (not surprisingly) is currently featured on Autonomy’s home page, so non-subscribers can download it there.
If there’s a Take Note point for enterprise IT, it is that good compliance and risk management is still a growth area. It may not directly impact either top or bottom line, but it’s still essential!
• Red tape keeps Autonomy in the black, The Guardian, 9 Jan 2009
• Autonomy expects to report 2008 results ahead of model, Autonomy, 8 Jan 2009
• Autonomy’s Lynch heads Britain’s Top 100 Entrepreneurs, Management Today, 29 Dec 2008
• The Forrester Wave: Enterprise Search, Q2 2008, Forrester Research, 28 May 2008