The Industry News Category

Healthcare’s Internet of Medical Things (IoMT) Has Security Challenges, Forum Warns

“Healthcare” and “cybersecurity” don’t seem like they go together, but a security forum this week highlighted how the move to electronic health records and the growing use of connected medical devices — the Internet of Medical Things (IoMT) — makes hospitals and patients vulnerable. After attending the forum, it’s clear that hospitals know they’re targets, but they may not understand the scope of the danger. The Healthcare Information and Management Systems Society (HIMSS) held its security forum in Boston this week, and it attracted a diverse audience. IT, finance and supply chain executives mingled with network security professionals. So hospitals are viewing security in a cross-functional way, and that’s a positive development.

Coupa Buys Aquiire, Adding to Its Lead in Catalog Search and Front-End Shopping Usability

Coupa is buying Aquiire, a provider of e-procurement software that brings notable capabilities in real-time search and catalog management, for an undisclosed sum, the company announced Monday. In purchasing Aquiire, Coupa gains not only additional modern front-end shopping capabilities (some might argue among the most advanced) but also a complement to the industry-leading catalog management technology it gained from acquiring Simeno in December 2017.

Commodities Roundup: Mining in Goa, Aluminum Price Volatile, and Copper’s Recovery

conflict mineral

For the buyers and category managers out there, especially those of you deep in the weeds of buying and managing commodities, here’s a quick rundown of news and thoughts about particular commodity markets. From price movements to policy decisions, we scour the landscape for what matters this week.

APICS Becoming ASCM: CEO Abe Eshkenazi Details the New Direction

marketing procurement

APICS announced recently it was launching a new supply chain organization that would push the industry association out of its niche for talent development and into corporate transformation strategy. Called the Association for Supply Chain Management (ASCM), the new organization seeks to create a fully encompassing group for all professionals who touch the supply chain. More than a rebrand, the creation of ASCM signals a shift in strategy at APICS as well as within the businesses of the customers that the association serves, APICS CEO Abe Eshkenazi told Spend Matters in a recent interview at the APICS 2018 conference in Chicago.

With USMCA Done, Supply Chain Professionals Can Get Down to Work

sustainability

Procurement and supply chain professionals reacted to the new USMCA trade deal this week with relief that they now know what to focus on in a post-NAFTA landscape — and that they can begin figuring out how the pact fits with ongoing tariff disputes with China. Trade negotiators on Sunday finalized the U.S.-Mexico-Canada Agreement, a new pact that will replace NAFTA. After about two years of turmoil, the deal was welcome news for supply chain professionals because it removed uncertainty from their planning processes.

Upwork Is Now A Publicly Traded Company: The World of Work Is Indeed Changing

procurement solutions stocks

Upwork, the world’s largest online freelancer marketplace provider, went public today on the Nasdaq exchange. The IPO has been anticipated since Upwork announced its Form S-1 filing with the Securities and Exchange Commission (SEC) in early September. The opening share price today was set at $15, above the price range of $12–$14 noted in last week’s amended S-1. The proceeds of the sale of 12.48 million shares were $187 million, well above the $100 million anticipated in the S-1.

Global Companies Shift Gears to Stay Locally Relevant in the ‘Age of Multi-Localism’

supplier network

In the 1980s and ’90s, companies gained prestige by going global. Recently, globalization has come under fire from multiple fronts, causing the locally integrated business model to become the new goal for many companies. Pressure is coming from forces such as political rhetoric creating more trade barriers, consumers’ preference for personalized, local goods, and technological advances that change the dynamics of the basic business model, so companies must turn away from strategies that focus on globally integrated value chains and focus on thriving locally in each market that they serve, according to a study released in September by A.T. Kearney’s Global Business Policy Council.

On CSR Reporting, Smaller Firms Outscore Larger Ones in Global Study

sustainable

Small and medium-sized businesses outscored larger companies in managing their corporate social responsibility reports — but all sizes of firms could improve CSR management and remove more risk for their companies, according to EcoVadis’ second annual study of more than 33,000 businesses around the world. Out of 100 points, small and medium-sized companies (26-999 employees) scored 42.4, and large ones (more than 1,000 employees) scored 39.6, the study said. Results below 45 indicate “an unstructured approach” to CSR management — with a medium to high risk for a business on the EcoVadis scoring scale, and the study said large companies have much further to go in improving their CSR practices.

Why Supply Chains Should Put Curbing Global Food Waste at the Forefront

More than 2 billion tons of food worth $1.5 trillion could be wasted in 2030, according to the Boston Consulting Group. It’s not an unrealistic estimate considering the 1.6 billion tons worth $1.2 trillion lost just three years ago. Food waste is a concept so vast and systemic that one must go beyond the individual impact and look toward how entire companies involved in the process – from production to consumption – can actively work in a way that helps solve a global crisis while attaining tangible business benefits.

Commodities Roundup: Excess Steel Capacity, Oil Prices and U.S.-China Trade

For the buyers and category managers out there, especially those of you deep in the weeds of buying and managing commodities, here’s a quick rundown of news and thoughts from particular commodity markets. From price movements to policy decisions, our MetalMiner editors scour the landscape for what mattered this week.

Apttus Acquired by Thoma Bravo: Can a One-Time Sell-Side ‘Unicorn’ Become a Viable Pony for Buy-Side CLM? [PRO]

Apttus announced recently that it would be acquired by private equity firm Thoma Bravo. Calling itself a leader  in the “middle office,” Apttus offers a platform primarily focused in the area of configure, price, quote (CPQ), but it also supports enterprise contract lifecycle management (CLM).

The terms of the acquisition were undisclosed, but given the majority stake being acquired, the deal is likely worth many hundreds of millions of dollars, given that Apttus had roughly $200 million in revenue for calendar year 2017 and had also accumulated more than $400 million in investments to date.

Back in 2015, Apttus was riding high and hoped to go public in 2016. Unfortunately, Salesforce, upon whose platform Apttus was built, bought Apttus’ smaller competitor, SteelBrick, in December 2015. Salesforce, in its never-ending quest for growth, wanted to directly enter the CPQ space and perhaps hoped to prevent a new mega competitor from spawning (even though Salesforce Ventures was an investor in Apttus — and in SteelBrick).  

Regardless, the move was clearly a body blow to Apttus. The firm put on a brave face and even managed to garner late stage investors rushing to hopefully get in on a big IPO, but soon things began to change. Growth slowed, layoffs ensued and longtime CEO Kirk Krappe quietly left this summer.

All of these types of changes are difficult in their own right, but when investors want returns out of their large investments, company working conditions often deteriorate, and many of the best employees leave, which leads management to cut back in certain areas that once seemed so promising — including an area such as source-to-pay.

Which brings us to why we’re writing about Apttus here on the buy side of the world.

Apttus does have CLM capabilities, and the CLM solution actually seems decent. It has all of the major elements in terms of clause libraries, templates, playbooks/wizards, redlining, MS-Word integration, “intelligent” clause search and so on. But its CLM product almost seems to play a supporting role in Apttus’ core focus on the sell-side CPQ suite. We have backed this up through numerous discussions with active and alumni Apttus CLM customers, partners and prospective customers.

Based on our discussions with the stakeholders mentioned above, the product is sound, but it’s not quite on par with high end players like Icertis and Exari. And it doesn’t feature broader process functionality found in source-to-pay suites, some of whom actually have CLM modules that can be used for sell-side contracts, too.

The remainder of this Spend Matters PRO research brief explores Apttus’ buy-side CLM solution in terms of its strengths and weaknesses and provides additional context about how buy-side CLM is positioned in the Apttus portfolio. If you are a corporate practitioner and interested in discussing buy-side (or enterprise-wide) CLM, please don’t hesitate to reach out to us.

Highlights from ADP Analyst Day: It’s Not All Permanent, It’s Also Contingent

Eved

Spend Matters attended ADP Analyst Day last week, held at the ADP Innovation Lab in New York City. At more than $13 billion in annual revenue, ADP is the largest provider of payroll services and one of the largest providers of human capital management (HCM) solutions in the world. Over the past six decades, ADP built its business on the basis of the permanent W2 employee workforce. But as we all know, nothing is permanent — particularly in workforce, where for businesses and workers things are becoming increasingly contingent. And ADP, which acquired WorkMarket earlier this year, is clearly rising to meet the changes in the market, on both the business and worker side. As you might expect, this is not a casual undertaking for ADP but a studied, strategic initiative now moving into gear.