New Spend Matters Research Highlights Strategic Sourcing Teams' Increased Use of Multiple Solutions, Increased Ease of Optimization

PITTSBURGH, Aug. 28, 2013 /PRNewswire/ -- The recently released Spend Matters research report titled "E-Sourcing: Criteria for Selecting a Provider," identifies several notable trends in the strategic sourcing space that mirror those seen by CombineNet among customers of its advanced e-sourcing solution. The trends highlighted by Spend Matters include an increasing tendency for sourcing teams to use more than one type of e-sourcing solution to better address enterprise-wide materials and services spends, as well as the improved ease of optimization offered by e-sourcing solutions.

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CombineNet's SaaS-based advanced sourcing software is often used as a complement solution to an existing procurement suite, with 70% of current customers already having made a prior sourcing tool investment. With 22 U.S. patents, CombineNet has also invested heavily in its sourcing optimization technology toward providing a user-friendly interface for easily and quickly creating and optimizing sourcing award scenarios.

Urging sourcing teams to remember that "one size doesn't fit all," the Spend Matters report also provides a new approach to segmenting the solution providers in this market and developing RFPs for their evaluation. Citing research from an extensive examination of e-sourcing products during 2013, as well as interviews with dozens of practitioners currently in the shortlist and selection process of an e-sourcing solution, Spend Matters categorized providers into seven segments:

• Full Suite Providers
• Service Hybrids
• Process Specialists
• Vertical Specialists
• Manufacturing Centric
• Category-Specific Solutions
• Value (providers of functionality free or mostly free to buying teams, but at a cost to suppliers)

According to Spend Matters, CombineNet fits most firmly in the Process Specialist segment, which includes providers that offer a particular type of application and associated technologies and services. For CombineNet, this means customers of its advanced sourcing solution can optimize for business constraints and rules, receive "expressive bids" from suppliers, and conduct complex scenario award analyses.  

"In designing our Spend Matters comparative coverage of the technology and solutions market, we wanted to properly reflect the need to see technology and solutions across a broader set of criteria, considering solutions in the context of how they will actually be used," stated one of the report's authors, Jason Busch, Executive Editor of Spend Matters. "The bottom line is that technology capabilities vary significantly based on industry, budgets, user requirements, and business needs."

"We commend Spend Matters on providing this fresh approach to segmenting and assessing the e-sourcing landscape," said Rich Wilson, Chief Executive Officer of CombineNet. "We urge sourcing teams to consider the importance of the opportunities revealed in these identified trends. CombineNet has worked hard to deliver an ever-easier optimization tool, the flexibility to meet complex needs, and a growing offering in terms of vertical specialties."

To access the Spend Matters report, please download the PDF here: http://spendmatters.com/research-library/papers/e-sourcing-criteria-for-selecting-a-provider/?spnsr=combinenet

About CombineNet

CombineNet, Inc. offers supply chain-driven companies proven solutions to advance the capabilities and outcomes of their strategic sourcing efforts. Powered by the award-winning, SaaS-based CombineNet ASAP® advanced e-sourcing platform, procurement teams can more easily tackle larger and complex spend categories, increase their spend under management, and optimize supplier award decisions for their business. CombineNet also offers best-of-breed products in Spend Analytics and Contract Management, as well as expert e-sourcing services to drive next-generation results for its global clientele, which includes: Procter & Gamble, A.P. Moller-Maersk, Coca-Cola, PepsiCo, Johnson & Johnson, Sears, Wendy's QSCC, Bayer, Hershey's, and more. www.combinenet.com

About Spend Matters

Spend Matters gives an information advantage by providing original thought, insightful analyses, and unbiased opinion that doesn't hedge, obfuscate, or pander. The Spend Matters family of sites provides concrete recommendations and takeaways to help procurement professionals, consultants, and technology providers make both strategic and tactical decisions. Spend Matters doesn't just inform on the issues and available technology: it makes you smarter and able to act on them. Find us at www.spendmatters.com.

SOURCE CombineNet