We Love Concurrent Engineering
thedailywtf.com
thedailywtf.com
Gotta love it.
The problem is that it's a local workgroup solution, not an "enterprise" scale one. Just because someone calls something "enterprise" doesn't make it so, much in the same way that wishing for a pony doesn't mean you'll get one.
Odds are, they would have been better off writing hooks, diff/merge processes, etc. for standard VCS tools and saying that they integrated with those. Of course, I'd like to find out what VC/SCM processses the app developers actually used. (If it's Visual Source Safe, then that's a major fail in believing that you have any enterprise VCS experience.)
They also use opaque binary formats for their, what we'd call, sources. Gross!