This week’s vendor spotlight in the SolutionMap Customer Insights report focuses on customer reviews of the source-to-pay suite provider Zycus, whose applicable SolutionMap categories for this report are in Source-to-Pay, Procure-to-Pay and Strategic Procurement Technologies.
SolutionMap Insider members can click here to read about Zycus in our latest report.
In each Customer Insights report, we provide a one-page summary of qualitative — and select rating and quantitative — insights from the SolutionMap peer review process. The Customer Insights summary includes ratings on how well the vendor meets user expectations, three key differentiators for the vendor and a list of quotes about the vendor’s greatest strengths.
Procurify, a Canadian procure-to-pay (P2P) provider with a presence in 70 countries, is capturing a market not typically well-served by other vendors: small and medium-sized businesses that need e-procurement. While there are certainly many choices of e-procurement and P2P providers today, as Spend Matters’ E-Procurement and Procure-to-Pay SolutionMaps illustrate, there are few remaining choices that have not been acquired by a larger firm or that are tailored to the needs of SMBs. Such a solution would fall under the category of SolutionMap’s Nimble persona, and Procurify’s relative strengths in e-procurement, complemented by baseline AP automation functionality, such as invoice approval and traditional three-way matching, position it as perhaps an ideal match for this market need, as clients like Asana, Planet Fitness, Reliance Oilfield Services and Element Biosciences can attest.
This Spend Matters PRO Vendor Snapshot offers an introduction to Procurify, providing facts and expert analysis to help organizations make informed decisions about whether they should add this P2P provider to their shortlists. Part 1 of our analysis offers a company background and detailed solution overview, as well as a summary recommended fit suggestion for when organizations should consider Procurify. The remaining parts of this research brief will cover product strengths and weaknesses, competitor and SWOT analyses, and insider evaluation and selection considerations.
Private equity — and other — buyout and M&A interest in the procurement solutions market is at an all-time high. We define procurement solutions as technologies and services that target a range of areas that include:
— Core procurement (i.e., source-to-pay, procure-to-pay, etc.)
— Direct procurement
— Services procurement
— Contract management (that goes beyond supplier contracts)
— Accounts payable
— Trade financing (B2B Fintech)
— B2B (transactional connectivity, marketplaces, aggregation and GPO models)
— Third-party (supplier) management from a GRC standpoint as much as from a procurement standpoint
This multi-part Spend Matters PRO research brief explores the “who” (i.e., what types of companies are attracting the most interest and the profile of different buyers), the “why” (i.e, typical investment theses) and the “how” (i.e., the mechanics of deal processes and what is unique to the solution area, including where buyers that are new to the sector often have a higher learning curve than expected). It also explores some important dynamics in the market that have changed in recent months as buyer interest from both the strategic and financial sides increases.
Today we begin by exploring the “who” by segmenting the types of targets that are garnering the most attention into 10 areas and exploring the first five in detail (procurement technology suites, transaction-focused solutions, payment/financing providers, nimble solutions and leveraged buying / GPO models), including sharing illustrative providers in each segment and why buyers are attracted to each group.
* Our parent company, Azul Partners, has directly advised on more than half a dozen transactions in recent quarters, primarily working in a due diligence and strategy capacity for both strategic and financial buyers, leveraging our proprietary SolutionMap benchmark database, customer satisfaction/peer review benchmarks, PRO research, SolutionMap Insider research, and deep domain knowledge. Azul Partners works with investors in two ways. First, we partner with clients as exclusively retained subject matter experts in these markets. Second, we serve as an “arms dealers,” providing subscription research to hundreds of clients.
In this Spend Matters PRO Vendor Introduction, we’re introducing you to Bid Ops, a two-year-old vendor out of San Francisco that positions its cloud-based e-sourcing tool as the first AI solution for automating indirect procurement negotiations. Rather than focusing solely on serving the buyer, Bid Ops’ founders actually built the vendor side of their platform first, shaping the whole user experience around making negotiation faster, simpler and smarter. While it’s early, the solution is more RPA (robotic process automation) than AI (which is early stage assisted intelligence at best), but the vendor has notched some notable wins with big customers, claiming double-digit savings rates with the likes of Berkshire Hathaway, Los Angeles World Airports and the city of Detroit.
In the first part of this two-part series, we provided an overview of Bid Ops’ offering and a selection requirements checklist for companies that might consider the provider. In this second part, we will provide a breakdown of what is comparatively good (and not so good) about the solution and give a SWOT analysis.
When it comes to bringing artificial intelligence into procurement software, there’s been a lot of hype and very few real advances. This is especially true of sourcing tools, which despite their potential for integrating AI and machine learning, have rarely moved beyond simple use cases like auto-fill of an RFX or automatic identification of the default award winner. And even when they have added early AI-based features into their platforms, sourcing solutions mostly focus on the application of AI to the benefit of the buyer. The suppliers on the other side of the solution — not an insignificant number of users — often have been left out of the AI conversation.
This is not the case with Bid Ops, a two-year-old vendor out of San Francisco that positions its cloud-based e-sourcing tool as the first AI solution for automating procurement negotiations using adaptive target pricing. Rather than focus solely on serving the buyer, Bid Ops’ founders actually built the vendor side of their platform first, shaping the whole user experience around making negotiation faster, simpler and more pleasant for vendors. While it’s still early days, and more RPA (robotic process automation) than AI (which is early stage assisted intelligence at best) the vendor has already notched some notable wins with big customers, claiming double-digit savings rates with the likes of Berkshire Hathaway and a Fortune 100 chemical producer.
This two-part Spend Matters PRO Vendor Introduction offers a candid take on Bid Ops and its capabilities. In this first part, we provide an overview of Bid Ops’ offering and a selection requirements checklist for companies that might consider the provider. In the next part, we will provide a breakdown of what is comparatively good (and not so good) about the solution and a SWOT analysis.
Amazon Business launched in 2015 with a goal of addressing the needs of business customers who loved shopping on Amazon. These customers had specific unmet expectations for business purchasing in the consumer-centric experience. Amazon Business now provides “Everything you love about Amazon, for your Business.” Right from the start, some of our most enthusiastic customers were Prime members. It turns out that business customers loved fast, free shipping and wanted business benefits too. Business Prime provides business customers the familiar Prime shopping experience employees love at home, with plans and benefits suited for work.
In our last pair of Spend Matters PRO articles about AI in supplier management today, Part 1 and Part 2, we overviewed some situations where you can find AI in e-sourcing platforms today, where we define AI as “assisted intelligence” because, as we've stated in our series about AI, there is no true artificial intelligence in any enterprise technology today. In fact, there is nothing close, at least not on the open marketplace.
But when we get to the point where we have an augmented intelligence solution that can help us not only monitor supplier performance (across a community), automatically identify issues and risks, and even help us with automated resource — and asset — assignment but can also help us identify automated corrective action resolution plans, risk mitigation strategies, and real-time relationship monitoring and resource re-alignment, they start to approach augmented intelligence and become quite useful to us indeed.
In this article, we are going to discuss the AI-enabled functionality that we expect to see in the leading supply management platforms tomorrow. We will continue our pattern and start by defining what we expect to see, how it will likely work, and then give some hints of the technology platform that will underlie it.
Tomorrow, we expect that the leading supplier management platform will also have the following capabilities:
— Smart information selection and auto profile updates
— Market-based supplier intelligence
— Real-time relationship monitoring
— Automated resolution plan creation, monitoring and adjustment
— Automated risk mitigation strategy identification
— Optimized real-time resource re-alignment
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.
Welcome to the May 2019 edition of Spend Matters Insider’s Hot List, a monthly look at the contingent workforce and services (CW/S) space that’s available to PLUS and PRO subscribers. For those new to the Hot List, each edition covers the prior month’s important or interesting technology and innovation developments in the CW/S space. The latest edition looks at Uber's IPO, Shiftgig news, Moonlighting's blockchain news, Visa's move into fintech for fast payments, and Ernst & Young acquiring a UK-based alternative legal services provider (ALSP).
Ivalua CEO David Khuat-Duy on Tuesday kicked off the procurement solution provider’s customer event, Ivalua NOW 2019 Chicago, with an eye toward maintaining its dedication to serving customers, discussing its latest release and shedding light on its plans for the future.
“We have this long-term strategy of building a very big company with a fantastic product that we can offer to the market. And this is our vision,” Khuat-Duy said. “We don't have a short-term vision, like exiting or doing something different. We have this ambitious vision.”
Every time you shop at a favorite retailer’s online store or use an app to bank, you’re benefitting from the digital transformation of B2C services.
In the B2B environment, digital transformation of services is also taking place but at a slower pace. And in B2B for procurement, the shift is even slower, most often being used to automate processes and uncover potential cost-savings.
As discussed in The Digital Transformation of Services Sourcing: What It Is and Why It Matters, part 1 of this series, procurement departments will need purpose-fit technology to manage the vast areas of services spend. Procurement won’t necessarily do the hiring of services. That role will likely continue to rest with the stakeholders who need a marketing team or extra legal services. Since procurement departments may not be able to centralize the decision-making over services spend, they need another way to manage each stakeholder’s sourcing process — and the answer is artificial intelligence (AI). Read on to find out how AI is changing services spend.
For procurement project managers looking to overcome manual processes and engage stakeholders, digitizing your sourcing workflows can be a mammoth task.
It’s more than just using digital files like PDFs, Excel spreadsheets and email. Although they are a step in the right direction, those tools are not true digitization. Digitization is really about making a workflow that’s easier for people to use while saving time and money. It involves putting all the documents in a central, accessible source and making the whole process more collaborative with people across your company and with vendors.
Bonfire, a cloud-based provider of strategic sourcing and contract and performance management, knows your pain because it has already solved those problems.
