Leveraging SaaS to Enable Procurement
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rocurify welcomes KPMG to discuss trends in procurement with regard to SaaS, cloud and mobile technology. This slide deck will address opportunities for adopting SaaS to enable the procurement process. It is no longer about IF, it is about WHEN small and Medium businesses will shift to the cloud to enable business processes such as procurement/purchasing. We will explore benefits and use cases of how organizations have taken advantage e-purchasing solutions such as Procurify. Designed for: Procurement Professionals, Controllers, IT Applications leads, head of IT and CFOs. Learn more about Procurify: http://bit.ly/Procurify Watch the Webinar Recording: http://bit.ly/ProcurifyKPMG
Transcript of Leveraging SaaS to Enable Procurement
y
Overview
Leveraging SaaS to Enable Procurement
Welcome, Webinar Format
Topic Overview
Trends: cloud, procurement, SaaS, Mobile
The case for cloud/SaaS
Procurement function
Technology Enablement
Procurify: Case study
Why purchase in the cloud
Key Learnings
Questions
Webinar Host:
Brittany Whitmore Director of Communications, Procurify
Cloud application use for SMBs is set to grow by 44% in
2014 -Small Business Computing, Jan 8, 2014
67% of SMBs reported mobile
solutions as critical to their businessSMB Group, Inc., Dec 3, 2013
Featured Speakers
Herman Chandi, CPA CA,VP Business Development,Procurify
Norbert HuberPartner, Management Consulting, Technology Enablement, KPMG
Cloud and SaaS
Host
Build
Consume
Clo
ud
Serv
ice S
tack
Integrate
Public
Private
Hybrid
Thin client
Mobile
Web
Business Process
Application
Platform
Infrastructure
Cloud Service ModelWhere and For What
Cloud ClientHowDeployment Model
Payment Sourcing Office Processes Payroll Shared Service Center
Operating System Servers and Virtualization Data Centers & Storage System Management Access & Security
Application Hosting Application Design Development & Testing Scalability & Storage Monitoring Service Management
Finance & Operations Procurement Resource Planning Customer Relationships Collaboration Tools Desktop Solutions
+ sometimes off-line
with replication
…
How to consume?
How to set-up?
Apps
IaaSInfrastructure as a Service
SaaSSoftware as a Service
PaaSPlatform as a Service
BPaaSBusiness Process as a
Service
Source: KPMG
?Things to know about SaaS
Established functionality & leading practices
Scalability
‘Old school’ versus ‘New school’
Multiple access points
Online / remote
Business role in technology strategy
Cross-vendor compatibility
Cost to Value
TCO
Pay as you go/use
Adoption Performance Consumption
Value Technology Integration
Speed to Value
Try before you buy
Subscription
The cloud strategy should be integral to IT and business strategy. Each organization should perform an analysis of how cloud could be adopted in your organization – create a case for cloud.
?Considerations when adopting SaaS
Business accelerates the ”as-a-service” model. Complexity of data management, system integration and management of multiple cloud providers often comes as a curve ball. IT is increasingly expected to be a business partner and advisor.
Navigating the Cloud jungle
Holistic System Landscape
Business drives SaaS adoption
IT as Business Advisor
Data
SaaS Vendor Contract Negotiation
Procurement at SMEs
Timely support of business / operations
Typical pain points Efficiency & Best ValueManual, time consuming procurement process
What matters to SMEs?
Visibility in availability, price and delivery time of goods and services
Controlled spend combined with simplicity
Integrated e-Procurement systemsimprove visibility & spend control
End-to-end visibility in the procurement process
Easily accessible and efficiently managed
Technology enabled
Procurement at SMEs
Reliance on spreadsheets, paper and offline data
Limited insight and spend analysis
The Procurement Process
Purchase Requisitio
n
Purchase Order
Vendor
InvoicePaymen
tGoods Receipt
3-way match
Approvalworkflow
Core Procurement Process
Extended Procurement functionality / requirements:
1. Contract Lifecycle Management
2. Catalogue & Pricelists
3. Strategic Sourcing
4. Enhanced Integration
5. Budgeting & Planning
6. Materials Requirements Planning (MRP)
7. Supplier Self Service
8. Supplier Marketplace / Portal
9. Analytics
10. Supplier Performance Management
Catalogue
Needs
RequestQuote
PO
Trends in Procurement and Systems
Procurement Systems and Processes that go along with growth
Scalable and flexible systems – “think big start small and scale fast”Enable insight & analytics for the right decision making
Simple and easy accessible Procurement Systems
Low or non-real time adoption often an obstacle to improved visibility and control
Reduced configuration & set-up complexity
Eliminate level of reliance on IT to perform business functions and the effort to change business rules should be minimal
Procurify Purchasing made ridiculously easy
Next generation of purchasing software
Cloud, SaaS, Mobile
In 52 countries
Multi-Vertical in SME’s
Focus on SME’s
ProcurifyPurchasing in the cloud
Cloud Innovative process design and increased efficiency
Without the high cost and lengthy time requirement of a traditional ERP implementation
Trial account - test drive
Register online and import data - start fast
No obligation - quit if you don’t like it
Example – Field workers off-site
Why Choose E-Procurement?
Old Way
No processes or antiquated processes Paper/excel spreadsheets for requisitions and approvals
ERP system makes accounting happy, process falls apart for everyone else
Disputes with vendors/missed discounts
Finding out too late – who spent what and why??
The Old Way…
Who is a Good Fit for E-Procurement?
You’re a fast growing company, hiring rapidly or growing into new markets
You’re under pressure to control and cut costs
Types of Spending – everything outside of payroll Marketing budgets
Production
Indirect spend
Maintenance and Repairs
Travel
Employee expense reports
The Old Way…
The New Way…
ERP Financial System of Record
Procurement: The New Way
Streamline purchase order process
If you use PO’s already Average cost per PO: $25 - $100
Cloud e-procurement
Cost per PO goes down to a few dollars
Mobile Both head office and field workers using
the same process
Automates key workflows
so they can be done rapidly
Saves time and creates
visibility into all company
spending
5% reduction in costs =
30% increase in
revenues
Procurement: The New Way
Case StudyASCO Aerospace, USA
Manufacturer with 200 employees
Requisitions were done on excel – printed out to be signed off by approver manually
No way to know if goods were actually received
Procurify
Decreased time spent per PO by 80% Ability to manage all spending on supplies ranging from $2
dollar items to capital investments of $1,000,000+
Read the Whole Story: http://www.procurify.com/testimonials/asco
Key Learnings
Cloud, SaaS, mobile usage on the rise for SMB/SMEs
Technology enablement for procurement
Efficiency, lower upfront costs, multiple-location management, real-
time data
Test-drive solutions before committing
Fact: Cutting costs > increasing revenue for increasing the bottom line
Good fit for cost-control, high-growth, processes-upgrades, you are
decentralized or project-based, better decision-making
Learn more or request a demo
Questions
Norbert Huber, KPMG LLP
Email: [email protected]
Herman Chandi, Procurify
Email: [email protected]: 1-888-463-5254
Brittany Whitmore, Procurify
Email: [email protected]: 1-888-463-5254
Learn more or request a demo
