Author Archives: JP Morris



Scanmarket CEO Betina Nygaard: ‘The e-sourcing process will change completely’

Many procurement technology firms have a short history before flaming out or being acquired, but one stalwart firm has hit a rare milestone — and has secured a strong future for itself. Scanmarket, the Denmark-based provider of strategic sourcing software, turned 20 this year — and made sure that the family business will carry on with the same mission. To learn more about what it takes to run a long-standing best-of-breed sourcing business, we talked to Scanmarket CEO Betina Nygaard for her insights about the past and the future of e-sourcing. "I think the e-sourcing process will change completely," she said.

How can manufacturers reduce risk in direct procurement? Deploy a secure, end-to-end solution

guided buying

“They supply for success.”

That sums up the BMW supply chain mission statement, said Doug Markle, the CEO of Allocation North America, in a webinar with BMW about how the automaker gets the most out of its manufacturing process.

BMW’s high standards and its technology combine to meet its drive for excellence. To create a competitive advantage, a manufacturer or business with complex operations must ensure a controlled, digitized management process across the entire production lifecycle. And BMW stated that it organizes all of its sourcing events by using Allocation’s ASTRAS software solution.

In Part 1 of this series on technology for direct procurement, research showed a need for manufacturers to upgrade their risky manual processes and digitally transform how they source parts, collaborate with suppliers, manage the lifecycle of parts and materials, and how they can add visibility and value across the whole business. Manufacturers can do that by having one technology platform that manages the entire manufacturing process — from requisition through end-of-life.

Two companies that have made that upgrade are BMW and INEOS Automotive, another manufacturer that participated in the webinar hosted by MetalMiner, a sister site of ours. Both automakers have deployed ASTRAS, which enables end-to-end management of the complex supply chain and parts lifecycle. And they’re having success.

Lease spend is a hidden category worth millions in savings, strategic value for business

procurement

In most businesses, their millions of dollars in leasing spend represent a hidden opportunity for procurement and finance departments to find savings and create strategic value.

With every department in a business juggling leasing terms, financing and renewals for things like warehouses, offices, computers, supplies, furniture and fleets, it’s a daunting task to think any single department could manage it all. These are some reasons why lease spend isn’t managed well. But technology has developed to the point that it would be unthinkable to leave all of that spend unmanaged.

So it's clear that lease spend should be its own category, but why is that becoming apparent now?

Q&A with new Jaggaer CEO (Part 2): Merging its history and making a mark on the future

“Jaggaer has a wealth of information,” said new Jaggaer CEO Jim Bureau. “Over the past 25 years, we’ve gathered more and more data to build intelligence upon, and it’s incumbent upon us to be able to tap into that information in a meaningful way so that we securely provide appropriate instructions to our customers to enable them to be proactive with it.”

In a two-part Q&A with Spend Matters Founder Jason Busch, Bureau outlined the suite provider’s plans after three big changes this year: all of its solutions are now on a single platform called Jaggaer One, it got a new owner over the summer and the change in leadership a few weeks ago that elevated Bureau.

Today, Bureau discusses Jaggaer’s partner network and looks further into the company’s future to discuss what its products will look like and what the company hopes to accomplish.

Medius to buy Wax Digital, giving the AP automation expert full source-to-pay prowess

AP automation provider Medius today announced that it is buying Wax Digital, the UK-based suite provider of source-to-pay capabilities.

Medius, which is based in Sweden, sees the deal as a chance to allow its "current and future customers to generate increased automation, visibility and control across the entire purchasing process.”

Read more about the deal and how it reshapes the procurement technology market.

Q&A with new Jaggaer CEO: ‘Our vision and passion … it’s around the customer experience’

The global suite provider Jaggaer has been undergoing a lot of changes this year — converging its solutions on a single platform called Jaggaer One, getting a new owner this summer and seeing a change in leadership a few weeks ago.

To learn more about these changes, Spend Matters Founder Jason Busch talked with Jaggaer’s new CEO, Jim Bureau, who has been with the company a little over two years and most recently was executive vice president.

Spend analytics solutions vs P2P: What to look for when your company needs insights

If you’re at a company that’s looking for more insight into its spend, you may be considering a procure-to-pay solution or you may just need to go with a spend analytics tool.

So, how does a business decide between the two?

P2P is often a robust system that a business considers when it needs to upgrade its processes as well as its technology. It’s often deployed when legacy systems need replacing or old workflows take too much time and effort from your staff.

A company choosing this option should be ready for a long implementation process that has costs beyond the hefty price of the system itself. Implementation, change management and staff training take time and money. And hidden costs can include poor user adoption of the system, which cuts into the return on investment if your personnel don’t use the system you just bought.

A spend analytics solution may be a better fit for established businesses that already have serviceable technology and sound workflows. Those companies may just need a system that offers more insight into the data they already have. That’s when you’d look for a best-of-breed spend analytics solution.

Tech selection Q&A: ‘I was like the most hated guy in the office for a while’

Tech selection requires evaluating a lot of procurement software vendors before making a choice, and our coverage typically focuses on the early part of the process to help companies buy a solution that’s the right fit for their needs. But we wanted to talk with a company well after its tech selection to gain insights on the process.

The strategic business enabler Tecom Group and its parent company, Dubai Holding, have gone through two rounds of tech selection to find a spend analytics firm to help them analyze high value transactions, find common spend areas, save money and add visibility for new business strategies.

To find out more about the tech selection process and its results, we did a Q&A with Cory Thwaites, Tecom’s executive director of procurement, about his efforts to bring in a spend analytics firm.

“I was like the most hated guy in the office for a while,” Thwaites said about trying to convince the staff that Tecom needed to know more about its spend.

He said that all changed once his team started seeing the dashboards that showed the actual state of Tecom’s spend.

SAP Ariba and Givewith partner on social-impact matching service

SAP Ariba and Givewith today announced a partnership where Givewith’s social impact solution will be available on the SAP App Center, giving SAP clients access to a matching service that allows them to find nonprofits to give donations.

Businesses increasingly are concerned with sustainability and corporate social responsibility (CSR), and Givewith analyzes thousands of nonprofits to match with businesses’ needs to improve their social standing, which studies have shown helps the bottom line as well as aids reputations with the public and improves worker recruiting and retention.

“If just 8% of the nearly $3 trillion transacted by buyers and suppliers across the Ariba Network included Givewith, we would generate over $3 billion in funding for nonprofits,” said Paul Polizzotto, Givewith’s founder and CEO, in a press release. “As we look to tackle some of today’s most pressing social, economic and environmental challenges, we see SAP Ariba as a strong partner in unleashing the power of business transactions as an agent for social change. Together, we’re elevating the role of procurement by turning sourcing into a key component of the company’s larger business and CSR strategies.”

In a Spend Matters PRO Vendor Introduction post, our analyst Nick Heinzmann shares what he learned after spending time evaluating Givewith’s solution, Givewith Enterprise.

Q&A: Keith Hausmann on joining Globality: ‘This is what I’d been looking for’

Globality, an artificial intelligence-powered platform that facilitates the efficient and effective buying and selling of enterprise services, hired a new chief revenue officer this fall, and we caught up with Keith Hausmann about his role as the new leader of business development and sales for the rapidly growing company.

Hausmann started as the CRO in September after years at Accenture, where he led supply chain and procurement business process optimization and built a technology ecosystem network.

In his new role at Globality, his focus is on leveraging AI to help clients with the sourcing of high-value B2B services, including marketing, consulting, technology, legal and more, to create a new ecosystem for global trade.

"This is what I'd been looking for,” Hausmann said of Globality’s mission.

Technology analyst Magnus Bergfors joins Spend Matters’ team from Gartner

Noted technology analyst Magnus Bergfors joins Spend Matters today after several years at Gartner, bringing a deep background in strategic sourcing, procure-to-pay and other procurement software categories.

"I'm thrilled that Magnus will be joining us,” said Jason Busch, the founder of Spend Matters, whose analysts provide solution intelligence on procurement technology. “Not only is he deeply in touch with the needs of procurement organizations, Magnus will bring a global perspective on technology analysis, selection and best-practices to our audience in North America, Europe and around the world."

Magnus lives in Sweden and will increase Spend Matters’ coverage of the industry in Europe.

“I’m incredibly excited to join the Spend Matters team,” he said. “The balance of Spend Matters being large enough to have a critical mass of resources and world-leading expertise combined with the agility of a smaller organization allows for some really exciting opportunities for innovative research and to help our clients make the right choices.”

Direct procurement seeks an upgrade over spreadsheets, risky manual processes

Toyota supply chain

Over the last year or so, Spend Matters has written several articles and research briefs about direct procurement and the technology that’s needed to support it, so a closer look and some recent insights from manufacturers seems valuable to see why this technology needs wider adoption and to understand its benefits.

The overall view indicates that business leaders are avoiding digital transformation in this area — even though managing the part/material lifecycle, from direct materials procurement through supplier quality and end of life, is vital to discrete manufacturers, contract manufacturing companies, product assemblers or any company dependent upon direct materials.

If they did deploy technology that’s fit for direct materials, business could expect to see a lowering of process costs by up to 80%, more effective sourcing events, reduced cycle time to part qualification, less supplier and part risk, complete visibility across functions (like design, engineering, sourcing, quality, logistics), and the assurance that processes and best practices are always followed.

What’s more, not leveraging the proper tool exposes the business to more risks, as companies continue to run operations with a patchwork of spreadsheets, emails, calls and people’s memory to track thousands of supplier details.