executing a successful procurement transformation · 2019-06-07 · source: forrester research:...

1 © 2019 Ivalua, Inc. © 2019 Ivalua, Inc. © 2019 Ivalua, Inc.

EXECUTING A SUCCESSFUL PROCUREMENT TRANSFORMATION

Webinar – 7th June 2019

Introduced by Nigel Wardropper, Managing Director, PASA

2 © 2019 Ivalua, Inc. © 2019 Ivalua, Inc.

Today’s Speakers

Alex Saric Chief Marketing Officer

Ivalua

Eric Wimphen Head of Australia and New Zealand

Ivalua


The Procurement Empowerment Platform

Seamless at

ALL levels:

• Workflows

• Data

• User experience

• Supplier experience

Start anywhere, go everywhere, see everything

Digitize ALL Processes Manage ALL Spend Improve Insights & Data Quality


Our success directly results from our strong DNA that shapes our future

Customer Centric

Global Footprint

Sustainable Growth

Innovation

Strong Culture

Broad Ecosystem

98% customer retention rate

15 offices across continents

50%-70% growth YOY / Profitable

Best in Class Platform

< 5-8 % employee turnover

Partners delivery with strong Ivalua governance

Long term strategy Privately owned with long term strategy


A Long List of Procurement Objectives

Which are the highest priorities for your company’s procurement function this year?

Source: Forrester Research: “Executing A Successful Procurement Transformation” April 2019

Improve employee experience

Deliver savings in indirect costs

Obtain more innovation ideas

from suppliers

Improve business insight on

purchasing activity through

reporting and analytics

Improve security and

compliance with internal policies

Improve efficiency of

procurement processes

Improve compliance with

external regulations

Reduce direct product costs to

improve margins

Improve business partnering

capabilities with other internal

stakeholders

Support greater business agility

Improve supplier performance,

such as quality and service levels

Implement stronger category

management strategies

Manage more spend

Improve compliance with

supplier contracts’ terms and

conditions


Digital Transformation is Critical to Success

Generate a rapid ROI

Digitize processes quickly

Delight employees & suppliers

Ensure compliance

Manage ALL spend

Digitize ALL processes

Improve business insights

Manage supply risk

Accelerate time to market

Grow revenues

Differentiate products

Support business agility

Procurement Digital Transformation Journey

Rapidly Deploy Best

Practices

Achieve Best-in-Class

Performance

Build a Competitive

Advantage


Mind the Gap

Perception Reality VS.



True Digital Transformation is a Long Way Off for Most

How would you assess the level of digitization of each part of your source-to-pay process?



99%+ Digitization / Supplier Onboarding is Possible

60k suppliers onboarded

100% automation of procurement processes

70% increase in invoice

efficiency

40k suppliers (99%+) onboarded

Virtually 100% paperless

procurement & AP

30% reduction in operating costs

Digitized Full Product Lifecycle (NPI, supplier launch, tooling,

risk mgmt…)

Accelerated new product launches

Increased margins


Technology Approaches Differ by Maturity

17%

10%

9%

22%

15%

15%

24%

19%

17%

17%

34%

32%

20%

21%

28%

Beginner

Intermediate

Advanced

Personal productivity tools (e.g.spreadsheets)

Internally-developed solutions

ERP procurement modules

2 or more ePurchasing products

ePurchasing suite

vs. vs. vs.

Which of the following best describes the software that you primarily use to do your job?

Beginners ERP solutions, spreadsheets

or home-grown

Intermediate 2+ Specialist tools

Advanced Most likely to use suites



Most Technology Initiatives Fail to Deliver


82% have switched or are

considering switching

Have you switched ePurchasing technology providers over the course of your transformation?


3 Core Failure Points*

* Among those that have switched eProcurement technology, the top reasons (respondents selected top 2 reasons)

Supplier onboarding 30%

Poor user adoption 27%

Implementation issues 25%

Supplier onboarding Poor user adoption Implementation

issues

30% 27% 25%


The Obstacles Differ Along Your Journey

Beginner

• Insufficient budget (15%)

• Lack of executive support (17%)

Intermediate

• Supplier participation (19%)

• User adoption (17%)

• Spend data visibility and accuracy (15%)

Advanced

• Integration of S2P tools (17%)

• Procurement’s change resistance (13%)



Details Matter

Can you spot the differences?


• Fees

• Conditions

• Limits to activity

Ensuring Supplier Participation

• Flexible connection options

• Beyond transactions


• Plan an ambitious journey

• Successful leaders focus beyond procurement

Plot Your Path to Successful Transformation

• Evaluate technology carefully:

• Avoid the key obstacles

• Assess based on today’s AND tomorrow’s requirements

• Look under the covers!


Forrester Report Available to Download

ivalua.com/resources

https://www.ivalua.com/resources/


To Contact Ivalua:

Ivalua

133 Castlereagh Street, Sydney NSW, Australia

[email protected]

Eric Wimphen

Head, Australia and New Zealand

[email protected]

mailto:[email protected]

mailto:[email protected]

20 © 2019 Ivalua, Inc. © 2019 Ivalua, Inc. © 2019 Ivalua, Inc.

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executing a successful procurement transformation · 2019-06-07 · source: forrester research:...

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