How Procurement and Finance Can Thrive in a Downturn - Webinar Presentation

Strangers No More – How Procurement and Finance Can Thrive in a Downturn

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Procurement and finance – the Odd Couple no more

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Direct and indirect savings: Working together to make sourcing savings stick

Collaborative improvement: Cost reduction and working capital management improvements from joint initiatives

Lowering transaction costs: Jointly reducing transaction costs and not waiting for the next IT upgrade or multi-tower outsourcing program to do so

Mitigating risk: Lowering supply risk in an increasingly dangerous economic environment impacting suppliers of all sizes

Copyright © Spend Matters, LP and Azul Partners, Inc. – Not for distribution

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“Your supplier’s LC is locked away and safe”


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“It’s a little too late for a gold standard …”


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“Don’t worry about your supplier’s credit lines—they’re safe with us”


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“A run on the bank”

2007 2008


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“We’re using the new Federal money we’ve takenfor a small renovation project”


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The case for visibility into suppliers’ financial health: “We’ve found a new lender to sell our receivables to”


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“Our investment bankers tell us not to worry”


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“Sure … we can underwrite that”


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“I hear that Chapter 11 is better than 7”

Chapter

7Chapter

11


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And let’s not forget other reasons why procurement and finance are being forced together by necessity

“Fair Trade” not “Free Trade”

Failed stimulus policies (e.g., automotive

incentives in US vs. China)

Commodity volatility and negative growth

Commodity inflation and deflation

Declining GDP

Financial meltdown / accounting changes

Credit crunch, bank failures

Liquidity concerns, supplier access to capital

LIFO FIFO


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Upstream vs. downstream P2P – a few lessons learned from the trenches

Integration upstream can be a hobby—downstream it

needs to be a full-time job

Administrative / initial upstream activities touch fewer

individuals—by an order of magnitude (thinking through

what this means is critical)

Neither set of activities (contrary to popular perception)

should be looked at as any more IT-centric than

the other

Companies should treat both areas just like any other

sourcing category—but so few ever do


Basware Enterprise Purchase to Pay Solutions

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Basware in Brief►The Global Leader in Enterprise Purchase to Pay Automation

► Purchase Management, Invoice Automation and Document Archiving Solutions

►Established in 1985

►1,200 customers and 700,000 users in 50+ countries

►Public company with rapid and profitable growth

► 2008 revenue of $120+ million

► 17.5% growth from 2007

►Over 725 employees worldwide

►AAA D&B Rating

►Listed in Deloitte’s Fast 500 Technology Companies

►Global coverage with operations in Europe, North America, and Asia-Pacific

►Business partners in over 30 countries

►Certified SAP, Oracle, and Microsoft partner

Basware has more than 1,500 large customers

Basware ConnectivityBasware Connectivity

Customer Legacy Systems e.g. Financial Systems, ERPCustomer Legacy Systems e.g. Financial Systems, ERP

Basware EPP Solutions

Procurement Invoice Automation

KPI Measurement and Continuous ImprovementKPI Measurement and Continuous Improvement

Supplier CatalogExchange

Purchase message Exchange

Scan and captureE-invoiceExchange

Why Basware?

► Complete Purchase to Pay offering

► Highly functional, easy-to-use software

► Customer-Driven Solutions

► Delivery, implementation and upgrade services as well as training and

support for the users

► Multi-ERP, multi-language, multi-currency, SSC, support

► Rapid implementation timelines

► Technology partnerships with Microsoft, Oracle, SAP, and Citrix to ensure

seamless integration with other IT systems

► Integration with over 200 ERP / financial packages

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For more information jointheconversation.basware.com/en

Economy & Finance

How Procurement and Finance Can Thrive in a Downturn - Webinar Presentation