Premikati Marketplace Addresses Procurement Trends Among Midsize Companies
In a recent study sponsored by SAP, IDC surveyed nearly 2,000 executives of midsize companies across the globe who had decision-making or recommending authority for IT solutions and services. What IDC found was that finance leaders in best-run midsize organizations are increasingly interested in simplifying spend management through digital transformation initiatives. In addition, according to the study, ”best-run finance organizations pay significant attention to compliance. Strong compliance means organizations have less rogue spending, better spend management and control, reduced fraud and audit risk, and better insights across organizational spend.”1
SAP Ariba’s valued partner, Premikati, has seen these same trends in the marketplace that they serve. “Companies are working on simplifying and streamlining processes to gain more control over spend,” Marisol Buczynski Buchanan, President and CEO at Premikati told us. “Premikati has observed that midsize businesses are increasingly leveraging cloud solutions for digitization and automation. We have also seen a trend in companies wanting to get their arms around contract management and risk mitigation.”
Pain Points in Spend Management
In servicing their customers, Premikati is seeing the same challenges in many midsize businesses: lack of visibility into their spend; managing rogue spend; overuse of paper and associated manual processes; and a lack of a solid understanding of their supplier contracts and obligations.
With the rise of B2B marketplaces that make end-user buying simpler and quicker, midsize companies are realizing that they need to be able to better control what is being purchased, as well as to leverage solutions that provide a better user experience. As a result, companies are focusing on procurement software deployments to address this challenge. In addition, Premikati has seen an uptick in companies wanting to implement a contract management solution for building a repository, authoring agreements, and automating reporting.
Addressing Procurement Challenges
Historically, SAP Ariba has been known for addressing the multiple procurement pain points of large enterprises. Now, with the introduction of SAP Ariba Snap, designed expressly for midsize businesses, together with the additions of guided buying and SAP Ariba Spot Buy catalog, there are more options for cost-effective SAP Ariba solutions for midsize and growing businesses. By leveraging SAP Ariba and pre-negotiated catalogs, smaller organizations can spend time in more strategic activities while controlling spend, capturing significant savings, realizing a rapid time to value, and providing a stellar experience for their users.
Premikati is uniquely addressing this opportunity by offering the Premikati Marketplace, which runs on SAP Ariba solutions software. “We are allowing customers access to guided buying, spend approvals, millions of items from vetted suppliers on the SAP Ariba Spot Buy catalog, as well as line item reporting details,” said Ms. Buczynski Buchanan. “Since Premikati owns and operates the software as a service, there is no implementation fee, no need for IT to be involved, and no need for training the end user.”
A growing company can start with the Premikati Marketplace to develop a better understanding of how to improve their procurement processes. As they grow in spend volume and complexity, they can experience seamless transition onto their own instance of the SAP Ariba. Even companies who start with SAP Ariba Snap can leverage Premikati’s SAP Ariba Center of Excellence to build out their buying and invoicing solution over time, to eventually expand on their own platform. In short, as the needs of the company grow, the solutions grow with them. Premikati is offering another alternative to the SAP Ariba #PlatformForLife.
Premikati can have a midsize business up and running with buying on Premikati Marketplace in as little as one hour. The added value is a no-risk, minimal-effort opportunity to leverage the most sophisticated procurement software currently available, while realizing increased automation, spend controls, cost savings, and spend visibility. Premikati Marketplace is like a mega GPO with a real procurement interface that is simple to use.
1Source: “The Finance Role in Best-Run Midsize Companies: Improving Decision Making Using Intelligent Technologies,” IDC InfoBrief, sponsored by SAP, 2019.