Customers will pay J. D. Edwards a flat monthly fee instead of buying software licenses upfront.
"It's a win-win for both J.D. Edwards and Arthur Andersen," said David Hofferberth, analyst at Aberdeen Group.
"Obviously it's another sale for J.D. Edwards software and, for Andersen, it's revenue from the business process. It's a good, ongoing revenue stream." For customers, the deal provides off-site or on-site outsourcing services and the benefit of fixed costs, he added.
The agreement will enable customers to tackle management service needs and, at the same time, simplify ERP installations, company executives said.