SAP: 3 Sourcing Events for $10K?

Earlier this afternoon, I had the chance to sit in on a presentation by John Zepecki, SAP's Senior Vice President of SRM. In an otherwise unremarkable pitch -- SAP still has a long way to go on the thought leadership side of procurement and sourcing -- John let it slip that tomorrow they'll announce a new "E-Sourcing On Demand Power Up Package". The offering, which costs $10K, offers users 90 days to run 3 "pre-configured" sourcing events. Other than that, the details on the package are sparse, but I suspect we'll learn more tomorrow.

Based on John's presentation, I feel that SAP's overall sourcing and procurement strategy feels bifurcated at this point between event-driven sourcing -- and claims to what to how much it can save -- and source to pay enablement (focused around end-to-end business processes). Personally, I find it humorous that you can by anything from an ERP provider for $10K. But I suppose the somewhat outrageous offering is designed to push existing SAP customers -- SRM or otherwise -- to try out sourcing to justify future SRM investments. Developing ...

Jason Busch

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