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Analyst Perspectives

Analyst perspectives on procurement management

Here's what expert analysts are saying about strategic spend management and the critical connection between eprocurement and ROI.

Aberdeen Group:

e-Procurement: Trials and Triumphs - October 2007

In less than a decade, e-procurement has traversed the journey of being ridiculed as a poster child for the dot com bust, to be praised as a source of competitive advantage for high performing enterprises. Best-in-Class enterprises demonstrate that automation and integration with other systems has transformed e-procurement into an information hub supporting decision making and business planning, while also performing well on routine tasks such as transaction processing, contract compliance, and financial reporting. As procurement has matured and progressed, so have the related tools and services available to organizations. However, leveraging e-procurement solutions for supplier enablement, gaining user support, and improving adoption and integration with other business units remain challenges for enterprises. By deploying e-procurement solutions, enterprises will:

• Improve the bottom-line by decreasing savings leakage and maverick spend
• Increase spend under management by enabling suppliers
• Reduce requisition-to-order cycle cost and time by automating workflow

Supplier Enablement: Connecting with Suppliers to Build Lasting Relationships - May 2007

"Supplier enablement continues to be one of the top three challenges for procurement professionals looking to transform their procurement organizations, gain better visibility into their supplier enablement processes and supplier relationships, and increase spend under management. Despite the importance and potential benefits of enabling suppliers, many enterprises still experience large disconnects between the processes and technologies utilized around suppliers, their enablement, and the intelligence that can be gained to support business operations."

The Direct Materials Sourcing Benchmark Report - March 2006

"An effective direct materials cost reduction program requires a company-wide focus, actions that take place long before the end product is sold, and collaboration with suppliers as well as their suppliers. This report examines the direct materials drivers, hurdles, strategies, and tactical action plans for more than 115 companies. It also identifies best practices for reducing direct materials costs."

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