|2011 New England Supply Chain Conference and Exhibition - Don Hutcher
Doing Business in the Commerce Cloud Ė The Impact to Buyers
Don Hutcher, Account Executive, Ariba, Inc.
Cloud technology is hereÖso what does it mean to us in Procurement. We will take
a look at how it impacts the solutions we buy to support our operations, how
they are deployed to us as well as how we pay for them, how we will find
suppliers (and how our sales department can find new customers) and finally how
we will connect with those suppliers. The real paperless supply chain may
finally be hereÖHow will you react and what is your plan for learning more?
If you think about your business, on one side you are working with your
suppliers to buy the goods and services you need to operate at the lowest
possible cost. On the other side of the business, you are a seller trying to
find new business first and then easily connect and serve your customers. And in
between you are trying to manage your working capital the third leg of doing
business Ė working capital. This would be hard enough to manage if you only had
one supplier and one customer, but you donít. You have thousands of each.
Companies have spent years optimizing the processes that occur within their four
walls but the next battle that will be fought is the battle of the supply chains
and now companies need to really connect and build networks with all their
trading partners. Companies need to consider their processes that are
inter-enterprise (suppliers/customers) and automate these key activities to
garner all the efficiencies, contract terms & discounts, working capital
opportunities while freeing Procurement leaders to act strategically.
So this is where the Commerce cloud comes into itÖit's secure, itís always on,
itís how we deliver the technology and itís where the community is. All the
technology is SaaS so implementations are measured in weeks not years and more
importantly you donít need to get IT to operate it. Itís about the community and
the volume thatís already there. In the next 24 hours, over $450MM in commerce
will occur there F500 and their commerce partners so itís clear that the buyers
and sellers have already found their way there. So now we are in the mass
adoption phase, and there is no going back. Itís just a question of what your
approach and strategy will be to harness the power of the Network.