Amazon vs. SAP/Ariba and the Coming Battleground [PRO]

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In our previous installment of this series, we highlighted the concept of 3 basic types of value networks: physical, informational and financial. In any network guided by the invisible hand, when 2 firms in a physical supply network want to direct-connect and exchange information, they are happy to consider buying tools to connect or getting that information integration served up as service (and priced accordingly, based on the value of the information integration – not priced according to the value of the goods and services themselves). On the tools side, an increasing number of P2P providers have the ability to create “virtual catalogs” that enable a multi-supplier experience (which may also feature punch-out supplier catalogs – including “double punch-out” or “transparent punch-out” functionality) with an Amazon-like interface and even associated requisition approval workflow if needed.

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