Sage named leader in IDC ranking for AI PSA & ERP

Sage has been named a leader in a new IDC MarketScape assessment of worldwide AI-enabled professional services automation and enterprise resource planning applications for 2025-2026.

The assessment covers software that combines PSA for project delivery with ERP for core finance and operations. It examines how vendors embed artificial intelligence in those systems.

Sage is best known for accounting, financial, HR and payroll software aimed at small and mid-sized businesses. Its cloud portfolio includes Sage Intacct for financial management and PSA.

IDC credited Sage Intacct with an AI strategy that spans both PSA and ERP. It said the strategy adds new functions across the full project and finance lifecycle.

IDC said Sage Intacct incorporates intelligent time capabilities and general ledger anomaly detection. It also noted an optional project intelligence function. IDC said this feature supports proactive views of portfolio health and margin analytics.

The recognition comes as finance and operations teams explore more automation. Many still rely on manual steps in everyday processes.

Sage research found that bank reconciliation and access to financial insights remain time-consuming for many smaller firms. The company said one quarter of workflow activities in these businesses still take place manually.

Vendors are pitching AI as a way to cut administrative work in finance teams. They also highlight potential gains in accuracy and speed of analysis.

Sage said the IDC report underlines a shift towards connected platforms that unify PSA and ERP. These platforms increasingly include AI built into the workflow rather than as a separate tool.

Those connected systems sit across project delivery and financial management. They aim to create a single environment for data and processes.

Dan Miller, EVP, Financials & ERP, Sage, said the rating reflected progress with the group's AI work and its agent framework.

"It's great to see Sage recognized as a Leader by IDC MarketScape," said Dan Miller, EVP, Financials & ERP, Sage. "Our focus is on giving mid-sized organizations AI that actually helps them - saving time, improving accuracy, and surfacing insights they can act on quickly. This acknowledgement reflects the progress of our AI and agent strategy, and the results we're seeing as customers use Sage Intacct to run higher-performing operations."

The IDC report also commented on the wider market for AI within PSA and ERP. It said these systems are becoming essential as businesses look to remove manual effort and sharpen project and finance management.

"AI-enabled PSA and ERP systems are becoming essential as organizations look to eliminate manual processes and improve how they deliver projects and manage finances," said Mickey North Rizza, Group VP, Enterprise Software at IDC. "Sage is recognized for its unified AI strategy across PSA and ERP, strong roadmap for AI agents, and focus on building trust and transparency into its AI experiences."

Agnets-based approach

Sage has been investing in what it calls AI agents inside its products. These are software components that take on specific, often repetitive, tasks within finance workflows.

The company said it is building a network of such agents across finance and operations. Each agent focuses on a defined area, such as closing the books or managing accounts payable.

The agents operate within the Sage platform. This platform links data and services across the company's applications.

Sage said current agents support close management, accounts payable automation, time capture and assurance checks. It recently added a Finance Intelligence Agent for financial analysis.

The Finance Intelligence Agent uses natural language queries. Users can ask questions and receive data, analysis, predictions and recommendations in response.

Another tool, Close Agent, tracks close tasks and raises alerts on potential issues. It presents close activities in one workspace.

AP Agent automates bill handling, purchase order matching and duplicate checks. Finance teams then review and approve the results.

Assurance Agent runs checks at the point of data entry. It aims to catch errors before they reach the ledger.

Time Agent focuses on project time capture. It reduces manual timesheet entry and feeds billing and estimating processes.

AI strategy context

Sage positions its AI agents as embedded features rather than bolt-on tools. The agents operate within existing user permissions in an effort to maintain security controls.

The company said the agents work together within the Sage platform as a connected system. They share data, insights and actions across the finance function.

Sage said this approach supports faster closes, different handling of payments and improved accuracy. It also said the model keeps users in control because agents require human approval for actions.

For partners, Sage said the platform creates new service opportunities based on prebuilt agents. It said partners can introduce these functions without major integration work.

The IDC MarketScape assessment places Sage among a group of vendors that are building AI directly into operational finance and PSA tools. It focuses on current features and on the future roadmap.

Sage said it will continue to extend AI agents across its products and into more finance workflows as it develops the platform strategy.