Segment Information

9 Months Ended

Sep. 30, 2017

Segment Reporting [Abstract]

Segment Information

15. SEGMENT INFORMATION

In accordance with the provisions of Topic 280, Segment Reporting to the FASB ASC (“ASC 280”), the Company determined that it has three operating segments (Enterprise Performance Management (“EPM”), Enterprise Resource Planning (“ERP”) and Classic Consulting).    

The EPM segment provides Business Analytics solutions leveraging Oracle EPM, BI and Big Data technologies. The ERP segment delivers Dynamics AX ERP, Business Intelligence and CRM solutions, primarily in the manufacturing space. The Classic Consulting segment provides business advisory services that are blended with technical services to help organizations leverage investments in legacy IT assets to create new digital business models.

The Company’s chief operating decision maker evaluates performance using several factors, of which the primary financial measures are revenue and operating segment operating income. The accounting policies of the operating segments are the same as those described in Note 2 “Summary of Significant Accounting Policies”.

Segment information for the three-month periods ended September 30, 2017 and 2016 were as follows:

	EPM		ERP		Classic Consulting			Corporate			Consolidated
	(In Thousands)
September 30, 2017
Total revenue	$	12,273	$	12,927	$	2,161		$	—		$	27,361
Operating income (loss)	$	166	$	1,599	$	(471	)	$	(2,027	)	$	(733	)
Depreciation and amortization expense	$	559	$	200	$	—		$	25		$	784
September 30, 2016
Total revenue	$	16,117	$	10,960	$	3,749		$	—		$	30,826
Operating income (loss)	$	2,303	$	676	$	187		$	(2,482	)	$	684
Depreciation and amortization expense	$	717	$	243	$	45		$	48		$	1,053

Segment information for the nine-month periods ended September 30, 2017 and 2016 were as follows:

	EPM		ERP		Classic Consulting			Corporate			Consolidated
	(In Thousands)
September 30, 2017
Total revenue	$	39,271	$	38,881	$	8,644		$	—		$	86,796
Operating income (loss)	$	1,689	$	5,138	$	(404	)	$	(11,938	)	$	(5,515	)
Depreciation and amortization expense	$	1,682	$	598	$	—		$	104		$	2,384
September 30, 2016
Total revenue	$	49,150	$	34,801	$	12,797		$	—		$	96,748
Operating income (loss)	$	6,155	$	2,641	$	1,985		$	(7,770	)	$	3,011
Depreciation and amortization expense	$	2,154	$	724	$	134		$	143		$	3,155

The Company is not disclosing total assets for each of its reportable segments, as total assets by reportable segment is not a key metric provided to the Company’s chief operating decision maker.