Procurement News from the US – Weekly Round-Up

I suppose I can take a break from the very important task of watching the Olympics to bring you this week’s procurement news from the US:

Rearden goes mobile with their new platform, Deem at Work.

Rearden Launches Deem at Work Platform and Suite For SMB Spend Control and Savings (Part 1) -- Earlier this summer, Rearden Commerce launched its Deem at Work platform, targeted toward the small and medium-sized business market. Chances are, most Spend Matters readers have not yet heard of Deem at Work. This is not surprising. Rearden's primary sales strategy for purchasing, travel management and expense management platforms and solutions is to sell the solution through channels in a private label manner. The unique component of what Rearden is up to goes beyond the SOA platform on which it is built. Rearden is also becoming a merchant aggregator and middleman, essentially serving as a GPO that presents negotiated pricing to users (more on this later).

The second in our series on OB10.

An OB10 Update: More than Just an E-Invoicing Network (Part 2 -- Sector Trends and Product Roadmap) -- Please click here for the first post in this series. In a briefing earlier this summer, OB10 shared its latest customer and product developments. In considering OB10's overall approach to enabling e-invoicing connectivity (and the relative time this can take), it's important for readers to remember how the company goes to market. On one hand, it must sell large corporate accounts. On the other, it must sell to individual suppliers as well (OB10 is paid by both groups, typically, although one large buyer does pay certain supplier fees (but not all). In general, OB10 users have found that offering pre-paid invoices to suppliers does not impact adoption rates.

Have your suppliers ever “gone native??!”

Examining Services Procurement SOW Adoption: When Suppliers “Go Native” and Other Challenges -- This post references material from the Compass series report: Overcoming Challenges of Project- and SOW-based Solution Adoption. This paper is available in the Spend Matters Research Library and is free to qualified practitioners. One of the most fundamental challenges of SOW spend is that it's "owned" by those who are not versed in professional procurement. IT ownership of services is a great example. And often the more senior the non-procurement spend owner (often aside from CIOs), the less likelihood that that these individuals will warmly embrace changes to standardized procurement processes and the overall visibility that SOW management enables.

The case for big data: “the next frontier for innovation, competition, and productivity."

Exploring Big Data and Procurement Leveraging McKinsey’s Foundational Analysis (Part 1) -- Over on Spend Matters PRO (our subscription research service), we've already started a detailed series looking at the big data and procurement. We won't repeat our detailed analysis on our public site (aside from sharing some series excerpts here and there to whet the appetite for the level of insight we're attempting to provide). But what we will do is leverage a foundational analysis that McKinsey conducted in 2011 considering the case for big data, describing it in their study title as "the next frontier for innovation, competition, and productivity." Within this analysis, McKinsey summarizes their findings by suggesting that there are "five broadly applicable ways to leverage big data that offer transformational potential to create value and have implications for how organizations will have to be designed, organized, and managed." (But wait, there’s more! Click for Part 2 and Part 3 as well.)

A popular guest post from NPI:

SAP, Oracle Want Licenses for Third-Party App Access -- If your business uses SAP or Oracle, be advised. During recent contract negotiations and audits, SAP and Oracle have begun to ask clients to purchase additional licenses for third-party application access. For example, if your business has 100 Salesforce.com licenses that need to access information from SAP, SAP now requires you to buy 100 additional licenses. This is a very simplified example, but the point should be clear: if unabated, this will have a major impact on how many licenses you need to purchase and support.

And finally, a bit of Olympic fun: (I match some UK lady rowers, a Chinese archer, and a UK (male) footballer!)

Your Olympic athlete body match -- Olympic athletes come in all shapes and sizes, from the lithe limbs of Japan's Asuka Teramoto to the gargantuan frame of China's Zhaoxu Zhang. But how do you measure up in comparison?

- Sheena Moore

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