Ariba Content

Barry Padgett Leaving SAP and new Intelligent Spend Group [PRO]

Only weeks after being named president of the newly created SAP Intelligent Spend Group (ISG), a combination of SAP Ariba, SAP Concur and SAP Fieldglass, Barry Padgett has left SAP. Padgett had previously served as president of SAP Ariba, before being promoted to the new role as leader of the combined group. Spend Matters sources suggest he has accepted a new role as chief revenue officer for Stripe, a payments company, although this is unconfirmed at this time.

SAP’s Intelligent Spend Group told Spend Matters that Mike Eberhard, formerly president of SAP Concur, will take over for Padgett, at least as an interim leadership move. Eberhard had previously planned to “step back” from a daily role at SAP in Q3 to serve as an adviser. While on the surface, the move to promote Eberhard on a temporary basis may seem like a GE “moving around the management chess pieces,” type of maneuver, Eberhard has a unique foundation from which to sit on top of the combined organization at a pivotal time.

Not only has Eberhard had sales leadership experience and significant growing, global commercial responsibilities within Concur in the past decade, he brings leadership depth from other areas of procurement, payables and supplier management solutions earlier in his career. This includes holding previous P&L responsibilities for SAP Ariba, Xign, Peoplesoft and D&B.

Based in part on his diverse set of experiences in the “spend” universe, including P&L leadership within a number of different business cultures that sold to different economic buyers, we are enthusiastic about the selection of Eberhard as at least a temporary leader of the SAP Intelligent Spend Group.

But as Eberhard perhaps channels Constantine the Great, one of the great “uniters” of different factions in Roman history, he will nonetheless face a range of challenges on multiple fronts — internal and external — as SAP plans for simultaneous battles at the same time as it brings together three best-of-breed solutions under one roof, one that ideally represents more than just a united fighting commercial front.

Check back shortly for further analysis.

An Interview with SAP Intelligent Spend Group’s Marcell Vollmer: From CPO to CDO

SAP recently has consolidated its separate business units SAP Ariba, SAP Fieldglass and SAP Concur under its new SAP Intelligent Spend Group division. So it seemed like a good time for me to catch up with an industry insider to shed light on the issues.

Dr. Marcell Vollmer is now the chief digital officer of the Intelligent Spend Group, after filling the CDO role for SAP Ariba since 2017, when I talked to him in a series of Spend Matters interviews about digital transformations and about his stint as the chief procurement officer for SAP.

Recently, he said one area of opportunity that he sees is in procurement, where CDOs should spend more time.

SAP Ariba Sourcing: How Does it Compare Today and What is Coming Tomorrow (Part 2: Playing the Scout Card) [PRO]

Procurement organizations previously embraced complexity in tools to enable both event sourcing and category management processes. Now, the tide has turned. Solutions that are best-in-class from a user-experience perspective, but may lack advanced features (e.g., sourcing optimization, the most capability/depth for RFP/RFI/auction support, full opportunity analysis like should-cost modeling, full project management, comprehensive integrated supplier and risk management, etc.) are increasingly winning the day — sometimes even replacing solutions that offer deeper functional capability.

Simply put, this is what I term the Scout phenomena (but in all fairness to Scout, the provider, is aggressively building out capabilities in areas that it has lagged in for our SolutionMap benchmarking tool).

In the forthcoming new releases of its sourcing product, SAP Ariba has not just co-opted Scout’s playbook. It has built on it. By masking complexity and prioritizing usability not just as a primary, but the top objective, forthcoming “SAP Ariba Sourcing” releases represent a fundamental replatforming that will put casual, business and procurement users at the center of a vastly improved and consumerized UX.

In Part 2 of the Spend Matters PRO research series providing analysis of the SAP Ariba Sourcing solution, we offer insight into the new user experience as well as analysis, commentary and customer recommendations based on SAP Ariba’s planned release schedule featuring the new UI/UX. Part 1 provided insight into SAP’s relative strengths and weaknesses today (based on the Q1 2019 SolutionMap release) and shared what we learned last month at the SAP Ariba Live event on an overall roadmap basis for the sourcing product line.

SAP Ariba Sourcing: How It Compares Today and What’s Coming Tomorrow (Part 1: Benchmark Performance, Product Roadmap) [PRO]

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The strategic sourcing or e-sourcing technology market — we simply call it “Sourcing” in SolutionMap — has undergone significant transformation and bifurcation in recent years. On the one hand, disruption has come from simplicity and ease of use (e.g., Bonfire, Keelvar, Market Dojo, Scout RFP, etc.). And on the other hand, it has come from significant advances in functional capabilities in various areas (e.g., Coupa, GEP, Ivalua, Jaggaer, SynerTrade and Wax Digital, among others).

SAP Ariba, one of the stalwarts of the Sourcing world for over two decades (if you count the acquisition of FreeMarkets), remains a frequent competitor on a global basis today. But how does SAP Ariba compare to others in the market on a functional basis based on its current offering? And what is coming for SAP Ariba Sourcing tomorrow?

Part 1 of this Spend Matters PRO analysis provides insight into SAP’s relative strengths and weaknesses today (based on our Q1 2019 SolutionMap release) and shares what we learned from the SAP Ariba Live event this month on an overall roadmap basis. Part 2 will provide additional insight into the new SAP Ariba Sourcing user experience as well as analysis, commentary and customer recommendations based on SAP Ariba’s Sourcing roadmap overall.

SAP Fieldglass Takes Center Stage at SAP Ariba Live (Part 2) — Product Roadmap Insight + Procurement & HR Recommendations [PRO]

At SAP Ariba Live last week, SAP Fieldglass played a key role not only on the main stage, but in over a dozen breakout sessions. From our research at the event, it is clear that SAP intends to bring these two offerings much closer together in the quarters and years to come.

This Spend Matters PRO brief provides insight into what we learned around the combined product roadmap, including the persona-driven approaches SAP Fieldglass and SAP Ariba are taking to integration scenarios.

Finally, we provide concrete recommendations to two stakeholder groups (Procurement and Human Capital Management executives) in terms of how they should think about the combination of SAP Ariba and SAP Fieldglass and the role they should take in selecting the best fit solutions for their current and emerging needs. 

SAP Ariba Live (Part 1): SAP Fieldglass Integration, the Ariba Network and Other Topics & Analysis [PRO]

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For the industry analysts in attendance, SAP Ariba Live 2019 kicked off Monday in Austin, Texas, with a candid Q&A session with Barry Padgett, president of SAP Ariba and SAP Fieldglass; Darren Koch, chief product officer of SAP Ariba; and Vish Baliga, chief technology officer of SAP Fieldglass. During the session, Padgett, Koch and Baliga shared the latest from SAP in terms of numbers growth and SAP Fieldglass’ integration into a common business unit with SAP Ariba, among other topics.

Many of these themes were echoed throughout the 100-plus breakout (and mainstage) sessions that took place Tuesday and Wednesday, including multiple sessions on the SAP Fieldglass integration as well as the Ariba network, among other topics.

This Spend Matters PRO live report provides insight into these updates from the public sessions and what’s driving them. It also includes an analysis and key takeaways from our first 24 hours at SAP Ariba Live. In subsequent briefs, we will explore these and other topics in more detail.

Ariba Live 2019: SAP Ariba, SAP Fieldglass Joining Forces and Other News

Spend Matters analysts Xavier Olivera, Pierre Mitchell and Jason Busch are attending SAP Ariba Live this week in Austin. This is the first time the customer event has been co-located with the SAP Fieldglass Summit.

The two divisions are now “one” within SAP, and we'll have more details on that development later.

The Spend Matters analyst team will be reporting live from the event, with our PRO subscription coverage appearing this week and next. We’ll share our findings and analysis of a variety of themes that we expect to hear more on.

What’s on our mind? Here are a few topics:

SAP Ariba: What Makes It Great (E-Procurement SolutionMap Analysis)

It will likely come as no surprise that SAP Ariba is a top-ranked functional provider within the E-Procurement SolutionMap for Q3 2018. But among the 22 providers ranked in the latest e-procurement release, SAP Ariba stands apart from the pack in a number of key areas, showing demonstrated innovation in various e-procurement components and disruptive technologies that many other providers are placing less emphasis on, yet could be crucial in selection decisions.

As of September 2018, the Spend Matters SolutionMap contains functional and customer satisfaction benchmarks on over 50 providers within the procurement technology landscape. But where does SAP Ariba stand out most and help “set the bar” in e-procurement? And why should this matter for procurement and finance organizations? Let’s delve into the SolutionMap benchmark to find out where SAP Ariba is great.

“What Makes It Great” is a recurring column that shares insights from each quarterly SolutionMap report for SolutionMap Insider subscribers. Based on both our rigorous evaluation process and customer reference reviews, each brief offers quick facts on the provider, describes where it excels, provides hard data on where it beats the SolutionMap benchmark and concludes with a checklist for ideal customer scenarios in which procurement, finance and supply chain organizations should consider it.

Creating a Legacy at SAP and Beyond: Where Barry Padgett Plans to Lead Ariba

The new year has brought procurement professionals an increasingly complex technology landscape to keep track of, and several new names to remember, too. One of those names to know is Barry Padgett, who took over as president of SAP Ariba in January.

Succeeding Alex Atzberger, now president of SAP Hybris, Padgett stands at the helm of a business network that connects more than 3 million buyers and suppliers transacting $1.6 trillion annually. As he begins to leave his mark on the cloud software giant, Padgett sat down for a wide-ranging interview with Jason Busch, managing director, SolutionMap and strategic advisory at Spend Matters, on where he hopes to lead SAP Ariba in 2018, what customer areas he’s targeting and the biggest lessons he has learned about creating a platform business.

No More Ariba Network Prisoners: 75,000 Suppliers (and Counting) are Transacting for Free

Procurement transformation is usually about incrementalism. For a function that’s fairly conservative — and stands to lose more by making individual mistakes than it stands to gain from individual successes — this is a reasonable approach. But sometimes step changes happen fast. And sometimes, it happens with suppliers to procurement organizations, too. The rapid rise of Amazon Business has been one of these changes, whether that’s perceived as good or bad. But for SAP Ariba customers, another one on the same order of magnitude in the past 12 months has been the adoption of suppliers transacting with free accounts.

IBM Emptoris and SAP Ariba Partnership: First Take Customer Analysis [PRO]

Spend Matters provided initial coverage Wednesday of the SAP Ariba and IBM Emptoris partnership. We also offered a personal essay, a eulogy to Emptoris. This Spend Matters PRO First Take provides an analysis and recommendations for IBM Emptoris customers, including how they should think about an overall migration to a third-party solution as well as the role of IBM and its professional services organization as an advisor in the transition.

This brief also provides insight into comparable SAP Ariba solutions to those that Emptoris delivers, as well as comprehensive shortlists of vendors in the spend analytics, sourcing, contract management and supplier management areas in a segmented frameworks for each, including SAP Ariba (e.g., suite based, best of breed, specialization, industry focus, etc.).

Finally, this PRO analysis offers insight into artificial intelligence (AI) and cognitive applications that SAP Ariba and IBM Emptoris may develop together by combining the Leonardo (SAP) and Watson (IBM) AI engines, as well as Spend Matters insights and research into different AI use cases applied to different disciplines within procurement, including sourcing and contract management.

Getting On Board With Blockchain: A Q&A with SAP Ariba’s Joe Fox (Part 1)

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The blockchain may be the biggest new technology to “know of” in 2017. But how are companies using it now, and how do these current use cases apply to procurement? To learn more, I sat down with Joe Fox, senior vice president, business development and strategy, at SAP Ariba, to see how SAP Ariba is approaching blockchain, discuss emerging use cases and discuss what elements of this disruptive technology procurement should be most excited about.