Spend Matters Premium Content:
Procurement Technology

Coupa R20: Incremental Disruption in Action [PRO]

The Spend Matters analyst team recently spent some time going through a deep dive demo on Coupa R20 and found it to be a solid incremental product release. But in this brief, we wanted to discuss the “revolution through evolution” we saw in addition to the new product details that we cover. Coupa’s product releases are now running about three times per year, and it’s refreshing to see more than 500 clients quickly moving through these releases. Such is the promise of SaaS, right?

R20’s main improvements are focused on services procurement and community-based intelligence, which allows users to extract insights from the B2B data generated within the Coupa buyer and supplier base. The disruptive aspect of R20 is twofold: its attempt to tackle the big nut of services procurement with Services Maestro and its efforts to derive intelligence from its installed base through what it calls "community intelligence."

This last trend is really the most disruptive aspect of what’s happening in digital value chains. It changes the provider value proposition from serving up “empty apps” that process the data of a single customer enterprise to one that provides a collective intelligence derived and captured from mass adoption of cloud-based tools that generate the data used to drive key insights.

There are some potential risks that companies face, however, when platform providers attempt to monetize (directly or indirectly) proprietary commercial information between buyers and sellers. Just as Facebook is not really free to the users who themselves are the “product” sold to advertisers, there’s a similar effect happening with suppliers who can use business networks for free but whose data is aggregated and repackaged in ways they aren’t necessarily aware of.

In this Spend Matters PRO analysis, we explore these topics and more, as well as share our initial thoughts on some of the more interesting features in R20.

E-Procurement 2018 Trends and Forecast (Part 3: Provider Analysis and Market Sizing) [PRO]

AnyData Solutions

So far in this Spend Matters PRO series exploring 2018 e-procurement trends, we have covered both procurement organization (demand) and technology provider (supply) trends we are seeing in the market. Today we kick off the third and final installment of this series by examining three additional provider trends: the new, resurgent role of B2B e-marketplaces such as Amazon Business; new and varying approaches to chasing tail spend, including e-marketplace models; and the early rise of embedded artificial intelligence (AI) in an e-procurement context. Finally, we conclude this three-part brief with our 2018 market sizing for e-procurement and a list of trends we see driving demand in the market. Don’t forget to read Part 1 (2018 customer e-procurement trends) and Part 2 (2018 provider trends — M&A and B2B/P2P intersections), as well.

E-Procurement 2018 Trends and Forecast (Part 2: Provider Analysis) [PRO]

The pace of change in the e-procurement market is moving faster than a speeding cXML document flying across the internet. Software vendors are innovating more quickly than ever before; solutions are no longer are just “software” but come preloaded with a dizzying array of additional items that are difficult to compare on an apples-to-apples basis; and customers are coming in smarter both in “new” and “replacement” deals, with greater expectations from provider solutions than ever before, especially the rate at which they’ll begin to realize benefits.

Today we publish the second installment of our 2108 procurement technology trend and forecast series, focusing on solution provider trends and priorities within e-procurement market. Part 2 of this series provides an analysis and exploration of two provider trend areas: continued M&A consolidation expectations in the e-procurement market (fasten your seat belt on this one) and rising procure-to-pay (P2P) and business-to-business (B2B) intersections, including a quantitative look at the rise, definition and size of B2B e-commerce today. Following today’s analysis, the final installment in this series will feature three additional trends and conclude with our 2018 e-procurement market forecast.

So without further adieu, let’s introduce some controversy, data, practitioner recommendations and (hopefully) insight on the first and arguably the most important near-term provider trends Spend Matters is already seeing evidence of early in 2018.

E-Procurement 2018 Trends and Forecast (Part 1: Customers Adoption and Priorities) [PRO]

e-procurement market outlook

You know what they say about predictions? They’re about as common as opinions: everyone has one. This Spend Matters PRO series walks through the trends we are seeing unfold in the market today based on our technology analysis and practitioner research and engagement. So let’s not predict; let’s share and analyze.

Today, we start our 2018 procurement technology trend and forecast series, beginning with customer adoption trends and priorities within the e-procurement market. We’ll explore what customers are valuing most from a selection and deployment perspective in 2018, as well as early trends that are sprouting.

In the second installment of this series, we’ll offer insight into e-procurement technology provider trends and strategies of note, and ask whether these are a good thing for customers (and if not, our recommendations for customers to mitigate risks). We’ll also share our comparative market growth (and sizing) estimates for 2018 compared with last year.

Comparing Jaggaer and BravoSolution: Contract Lifecycle Management [PRO]

contract

Within the procurement technology suite market, acquired contract management solutions have a history of aging more like a Zinfandel or Beaujolais and less like a Cabernet or Merlot. But the greater problem is not how well the grape (or clause library) can stand the test of time; it’s that the best elements of CLM modules do not necessarily “blend” as well as other capabilities in a procurement suite that are easier to integrate or replatform.

One of the challenges is that the requirements to effectively tackle specialized CLM components from a development and innovation standpoint are specific to CLM. Said another way, the economies of scale in development are not the same as say delivering an integrated sourcing and supplier management capability. Another major challenge is that best-of-breed CLM vendors have innovated far more rapidly in recent years by introducing new capabilities.

Within this context, BravoSolution and Jaggaer both present somewhat average CLM capabilities, based on our Q4 2017 SolutionMap results. They are certainly not bad, but neither solution delivers the same capabilities as leading best-of-breed vendors, nor do they stir our enthusiasm the way other areas of each of the providers' suites do.

In this research brief, we answer the following questions:

  • Comparatively, how does each respective CLM module stack up on a capability basis?
  • What are the functional strengths of each supplier management module “under the surface”?
  • What are the “best fit” SolutionMap personas for each CLM module?
  • Who are alternative CLM providers?
  • What are disruptive forces in the CLM market that could affect both providers?
  • Is there a disadvantage to “going non-suite” in the CLM area?
This Spend Matters PRO brief is based on the following inputs: Q4 2017 SolutionMap datasets (analyst scoring) based on our SolutionMap methodology, demonstration notes and Spend Matters PRO research on alternative suppliers (Vendor Snapshots).

Comparing Jaggaer and BravoSolution: Supplier Management [PRO]

As Spend Matters defines it in terms of SolutionMap functional requirements, supplier management is a catch-all for a range of underlying capabilities. Said another way, it is not “single” supply market. Supplier management solutions combine varying depths of underlying technical capabilities with single or multi-initiative functional support capabilities. No one vendor is great at all of it — not even close — even if there are significant advantages to coupling supplier management with other modules in an integrated suite.

BravoSolution, Jaggaer and Jaggaer Direct each bring different capabilities to the supplier management equation that can make the individual modules a better fit for certain organizations and industries than others. It can also make comparing them (either directly or with others) confusing for those who are somewhat new to all of the areas that supplier management technologies support and enable.

In this research brief, we will answer the following questions:

  • Comparatively, how does each respective supplier management module stack up on a capability basis?
  • What are the functional strengths of each supplier management module “under the surface”?
  • What are the “best fit” SolutionMap personas for each supplier management module?
  • Who are alternative supplier management providers?
  • What are disruptive forces in the supplier management market (e.g., artificial intelligence, low-cost solutions) that could affect both providers?
  • Is there a disadvantage to “going non-suite” in the supplier management area?
This Spend Matters PRO brief is based on the following inputs: Q4 2017 SolutionMap datasets (analyst scoring) based on our SolutionMap methodology, demonstration notes and Spend Matters PRO research on alternative suppliers (Vendor Snapshots).

Comparing Jaggaer and BravoSolution: Sourcing [PRO]

The combination of Jaggaer and BravoSolution certainly brings together the broadest — and in nearly all areas the deepest — sourcing technology capabilities in the market today. This includes functionally best-in-class integrated sourcing, analytics, category and supplier management capability on the BravoSolution side, as well as Jaggaer ASO, one of the top-performing sourcing optimization solutions. Finally, even though much of the North American market is blissfully unaware of the manufacturing procurement capabilities of Jaggaer Direct, this solution tops the functional charts in specialized capabilities and adds to the unique sourcing footprint Jaggaer will have when the ink is dry on the transaction.

In this research brief, we will answer the following questions:

  • How does each respective sourcing module compare on a capability basis?
  • What are the functional strengths of each sourcing module under the surface?
  • What are the “best fit” SolutionMap personas for each sourcing module?
  • Who are alternative sourcing providers?
  • What are disruptive forces in the sourcing market (e.g., artificial intelligence, low-cost solutions) that could affect both providers?
  • Is there a disadvantage to “going non-suite” in the sourcing area?
This Spend Matters PRO brief is based on the following inputs: Q4 SolutionMap datasets (analyst scoring) based on our SolutionMap methodology, demonstration notes and Spend Matters PRO research on alternative suppliers (Vendor Snapshots).

20 Questions to Ask Stakeholders Before Implementing Your New Procurement System [PRO]

Implementing new procurement technology is like implementing anything. There is a ton of change management involved, and if you don't get stakeholder input upfront, you are asking for trouble. This is especially true with modern procurement systems that can enable new practices on process redesigns that may be disruptive to the status quo. So, you need to get input from a myriad of stakeholders:

  • C-level versus lowest-level end users
  • Procurement users versus internal stakeholders and supplier stakeholders
  • Functional partners such as IT and finance who are “special” stakeholders because they are both spend owners and have a key role in the overall implementation
  • Visionary stakeholders looking to drive change versus stakeholders just wanting to keep their jobs and keeping efforts to a minimum
But what questions should you ask your stakeholders? Fear not. We have written a list of 20 key questions for you to consider.

You may be in procurement. Or you may be in IT. Or you can be a technology provider or consultant. Regardless, these 20 questions will help you tease out key requirements, intelligence and downstream barriers that you want to identify as early as possible. Just as spend influence is best done as early as possible, spend management transformation is also best informed as early as possible.

What Makes a CLM Tool Special These Days? [Plus +]

What should you look for if you want to drive a more mature contract lifecycle management (CLM) approach, one that takes you beyond just getting all your contracts in one place? Getting a grip on the final, executed version of all your contracts is no small feat — it’s one reason behind the increasing demand for contract discovery and analytics solutions — but let’s assume you have checked that box already.

If we look at the CLM providers in the market over the years, several companies have been either acquired by or merged with firms originating from either sourcing or e-procurement in the pursuit of a suite offering, and these solutions are now being integrated into the broader offering. Among the remaining, or independent, providers in the space are companies that deliver decent contract repository functionality, which is to say they can take your executed documents and push them into the CLM tool, and they can track numerous data points well — although some need more manual work than others to get that part done — and most CLM providers also do a good job of negotiating contracts (the "check-in, check-out" process with versioning and document history).

Isn’t that good enough? What else might there be to CLM? What can we do to take CLM to the proverbial next level? This Spend Matters Plus brief aims to answer those questions and points out what features and tools ideal CLM solutions should have.

Simeno Who? An Unofficial, Unauthorized FAQ Exploring Coupa’s Largest Acquisition To Date (Part 1) [PRO]

Coupa announced Monday it had acquired Simeno, likely its biggest acquisition to date, as measured by the revenue of the target it acquired. But buying Simeno gives Coupa far more than just a means to arbitrage European SaaS vendor multiples to North American ones and buy its way into dozens of larger European customers. Rather, the acquisition brings Simeno’s prebuilt supplier content integrations, unique solutions and intellectual property, particularly in the catalog management and services procurement areas, to Coupa.

Part 1 of this Spend Matters PRO Research Brief attempts to answer the following questions: Why haven’t I heard of Simeno? How large is Simeno? Why did Coupa buy Simeno? What did Simeno look like from a high-level SWOT perspective prior to the acquisition? And what are Simeno’s solution strengths and weaknesses?

Coupa Acquires Simeno to Augment Catalog Search and Management Capabilities

Coupa has acquired procure-to-pay (P2P) provider Simeno, extending the platform’s marketplace strategy to provide deeper and pre-integrated supplier connections and opening key markets to support continued expansion. Based in Basel, Switzerland, Simeno offers key capabilities in cross-catalog search and advanced catalog management. Large enterprises often use Simeno as a shopping front-end for systems such as SAP PM, SAP MM and Oracle iProcure to augment cross-catalog search capability.

Procurement Technology Solution Selections: It’s Time to Show Your Hand to Providers [Plus +]

In this article, we make the case for letting your providers know who their competitors are early on in the selection process and why this ultimately works significantly in your favor. In prior articles, we have talked about the importance — necessity really — of sharing information about yourself and your goals with providers, all in the context of selecting procurement solutions.