Afternoon Coffee: Negotiating Supplier Network Fees, Samsung’s Plastic Displays, Rethinking SAP

Today on Spend Matters PRO:
10 Negotiating Tactics To Reduce Supplier Network Fees (Part 2) -- In the first research brief in this series, we suggested five techniques and approaches for reducing supplier network fees. In summary:

  1. Make P2P platform decisions that give strong consideration to providers and deployment models that do not contractually lock them into network fees
  2. Ask for RFPs from network providers that include the costs for the buying organization to assume supplier fees themselves under different scenarios
  3. Don't "over-specify" requirements and invite multiple network providers to the table by understanding the entire network landscape and the level of transactional connectivity and support that is needed based on the capabilities of the P2P systems in place
  4. Consider network substitute models to exchange transactional information
  5. Segment spend on networks (and even consider taking certain suppliers off networks)

Continuing on, we come to our next recommendation:

"unbreakable, lighter and bendable."
Samsung Bets On Flexible Displays -- As the battle for dominance in the smartphone and tablet market intensifies, South Korean conglomerate Samsung is pushing ahead with plans to start mass production of displays using plastic rather than glass, a move that will make mobile devices unbreakable, lighter and bendable. Samsung's display unit, Samsung Display Co., is in the last phase of development of so-called flexible displays for mobile devices, which are expected to released in the first half of next year, a person familiar with the situation said. It is still unclear when devices using the technology will be commercially available and Samsung declined to comment on how much it is investing in the displays.

"The acquisitions of SuccessFactors and Ariba have helped enhance the SAP strategy."
Rethinking SAP: Beyond 'Business as Usual' -- Most people feel like they knowSAP. We are, afterall, a 40 year old company and consistently at top-25 brand. We are in over 128 countries and have well over 100,000 existing customer relationships. But in the last few years, the company has gone through a monumental renaissance. And while this exists in our core business solutions, the passion and enthusiasm of our global employees spills over into some areas you probably aren't aware of, but are "way cool" nonetheless. Investments into our business soltuions, global entrepreneurs, our communities, and in our partnerships with sports, arts and entertainment helps SAP become one of the most trusted brands on the planet.

Just in time for winter.
Peoples Gas asks for bigger rate hike -- Peoples Gas has boosted its requested rate hike of last July by 31 percent. The natural gas utility, which serves the city of Chicago, now is seeking additional revenue of $102.7 million, which it says would add $8.40 per month to the average weather-normalized residential bill of $88.83. That would be a 9 percent increase. When it originally filed with the Illinois Commerce Commission in July, Peoples sought a $78.3 million rate hike, which would have meant a $6.50 increase to the average monthly bill.

- Sheena Moore

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