Following the Friday completion of its US$157.1 million takeover of Adaytum Inc., business performance management software vendor Cognos Inc. said Monday it is laying off 70 Adaytum employees and taking immediate integration steps to more tightly integrate the software products from both companies.
One such step is the replacement of technology from Business Objects SA now used in Adaytum's software with Cognos' own products.
Adaytum's enterprise planning software offers modeling, forecasting and tracking tools for optimizing business processes. The reporting component of Adaytum's software had been provided by Business Objects, a Cognos rival in the market for "business intelligence" software for analyzing operations. Effective Tuesday, Cognos will instead supply its own PowerPlay software with Adaytum's, executives said during a conference call with analysts.
Adaytum's 1,500 customers will be offered PowerPlay for free, officials said. After 90 days, Cognos plans to stop supporting Business Objects.
Cognos also said it laid off on Monday 30 employees, of the 316 Adaytum had at the acquisition's close. Another 40 have been notified that their jobs will be cut after a transition period of several months. Most of the 70 positions eliminated were administrative or back-office positions, executives said.
Adaytum Chief Executive Officer Guy Haddleton will remain with Cognos for several more months before departing, according to the company. Full integration of Adaytum's Minneapolis-based operations with those of Cognos, located in Ottawa, will be completed within six months, officials said.