Coupa ERP Webinar - The Outrageous Cost of Free

1. ERP
Procurement
The
Outrageous
Cost
of
'Free’
When
to
Look
Beyond
Your
ERP
For
Procurement
The webcast will start in a few minutes.

2. ERP
Procurement
The
Outrageous
Cost
of
'Free’
When
to
Look
Beyond
Your
ERP
For
Procurement

3. Tony Wessels Duncan Jones Christian Bader
V.P. Marketing V.P., Principal Analyst V.P. IT
Coupa Forrester Adidas Group

4.
Today’s
Agenda
Coupa Overview
Forrester Insight
Adidas Case Study
Q&A

5. Coupa’s
Mission
Delivering software innovation that
breeds responsible spending while
impacting the company bottom line.

6. Coupa’s
Explosive
Growth
180%
Bookings
+95%
Renewal
Rate
150%
PlaJorm
Usage
YOY
YOY
YOY

7. One
World,
One
PlaJorm
10
Languages
40
Countries
100,000
Users

8. Customers
Highlights
Retail Finance Mfg. Health Care High Tech

9. Spend
OpPmizaPon

10. Poll
QuesPon
What
systems
are
you
using
to
manage
procurement
processes?
1. We
use
manual,
paper-­‐based
processes
2. We
rely
solely
on
our
exisCng
ERP
system
for
procurement
3. We
have
a
third
party
procurement
system
in
conjuncCon
with
ERP

11.
Agenda
Introductions
Forrester Insight
Adidas Case Study
Q&A

12. 12 © 2012 Forrester Research, Inc. Reproduction Prohibited

13. Brute force alone won’t make people
use your eProcurement system
13 © 2012 Forrester Research, Inc. Reproduction Prohibited

14. Agenda
Six keys to successful eProcurement projects
Product selection best practices
Summary recommendations
14 © 2012 Forrester Research, Inc. Reproduction Prohibited

15. eProcurement can deliver several business benefits
§ Delivering sourcing savings to the bottom line, by directing purchases to
approved suppliers and contracts
§ Reducing expenditure via greater visibility and more effective control
§ Lowering administration costs , though process automation and
optimization
15 © 2012 Forrester Research, Inc. Reproduction Prohibited

16. The business case depends on you achieving four
objectives
Supplier Category
adoption coverage
User Controls’
adoption effectiveness
Project
business
case
16 © 2012 Forrester Research, Inc. Reproduction Prohibited

17. Which depend on six pre-requisites
Supplier
Tailored enrolment
approvals and
integration
Category-
Application
specific
usability
processes
Success
Supplier Category
adoption coverage
Executive Collaboration
sponsorship with Finance
User Controls’
adoption effectiveness
Project
business
case
17 © 2012 Forrester Research, Inc. Reproduction Prohibited

18. Agenda
Six keys to successful eProcurement projects
Selection and implementation best practices
Summary recommendations
18 © 2012 Forrester Research, Inc. Reproduction Prohibited

19. Make the right way easy, and the wrong way hard
• Eliminate non-essential approvals
• Give managers a good mobile UI
• Integrate with suppliers
• Tell user about PO’s progress
• Measure & report compliance
• A PO raised after the fact is a fail
• Track maverick buyers and make compliance a performance
goal
• Delay payment if there is no PO
19 © 2012 Forrester Research, Inc. Reproduction Prohibited

20. Select the product that will best help you achieve the
project’s goals
§ Use formal objective decision criteria
§ Consider the pros and cons of going with your ERP incumbent
§ Who can best help you:
– drive high user and supplier adoption?
– support broad category coverage?
– enable effective controls?
20 © 2012 Forrester Research, Inc. Reproduction Prohibited

21. Your eProcurement solution should be easy to use
Systems of engagement - flexible, intuitive, mobile
Confirm Receive Approve
Search Approve Submit
price & goods or invoice
catalogue requisition invoice
delivery services (difference)
Systems of record – robust, internally consistent, static
Purchase Approved
Order Invoice
21 © 2012 Forrester Research, Inc. Reproduction Prohibited

22. Evaluate your incumbents’ ability to help you
achieve the project’s goals
ePurchasing specialists ERP
§ Usability § Financial resources
§ Vision and focus § Productized integration with
§ Supplier support services system of record
§ Negotiation leverage § Well-known brand
§ SaaS § Job security for IT
§ License may be sunk cost
22 © 2012 Forrester Research, Inc. Reproduction Prohibited

23. Is it really SaaS? Apply the duck test
§ Subscription contract
– Investment matches roll-out
– Flex up or down
§ Hosted by the software provider
§ Highly configurable
§ Frequent product enhancements
§ Scalable, on demand
§ Multi-tenant infrastructure
§ Customer success culture
23 © 2012 Forrester Research, Inc. Reproduction Prohibited

24. The real difference is a client-focused culture
SaaS vendors are focused on your success
not merely on their own revenue recognition
They can’t afford to:
§ Release products that aren’t really ready for production use
§ Push bundled deals with lots of modules you’re not yet ready to consume
§ Sell to the CIO without securing broad executive buy-in
§ Let implementation projects go on for ever
§ Allow adoption and usage to wane after the initial enthusiasm
24 © 2012 Forrester Research, Inc. Reproduction Prohibited

25. Agenda
Six keys to successful eProcurement projects
Product selection best practices
Summary recommendations
25 © 2012 Forrester Research, Inc. Reproduction Prohibited

26. Summary recommendations
If you’re just starting: If you’re further along:
§ Build a business case, and § Analyse adoption to identify
ensure that drives the obstacles
selection process § Make the right way easier
§ Use objective evaluation and the wrong way harder
criteria – Find juicier carrots and bigger
– Weight usability over integration sticks
– Who will best deliver adoption? § Persuade Finance to repeal
§ Start somewhere you can their counter-productive
get a quick win edicts
26 © 2012 Forrester Research, Inc. Reproduction Prohibited

27. Thank you
Duncan Jones
djones@forrester.co.uk
http://www.forrester.com/Duncan-Jones
© 2009 Forrester Research, Inc. Reproduction Prohibited

28. Poll
QuesPon
What
are
the
key
challenges
of
using
ERP
for
procurement?
1. User
AdopCon
–
complexity
2. Lack
of
control,
dependency
on
IT
3. None,
we
love
it!

29.
Agenda
Introductions
Forrester Insight
Adidas Case Study
Q&A
29 © 2012 Forrester Research, Inc. Reproduction Prohibited

30. q The adidas Group strives to be the global leader in the
sporting goods industry
q The Group comprises around 170 subsidiaries with
headquarters in Germany
q Brands include adidas, Reebok, TaylorMade, CCM
Hockey and Rockport
q Revenues of €13,3 billion in 2011

31. LATIN AMERICA LANDSCAPE
• One of the fastest growing regions
• Multiple languages and currencies
• Common ERP Suite
• Centralized as well as local BI Platform
• Over 200 Retails
31

32. BUSINESS OBJECTIVES
• Ensure compliance / governance with policies and regulations
• Create visibility at Regional / country level ( 7 countries, 600-700 users)
• Create foundation for a centralized buying organization
• Improve end user experience.
• Replace in house spaghetti code
• Give process visibility to customers.
• One solution everywhere

33. SELECTION CRITERIA
• Usability
• Multi language and currency support
• Robust functionality
• Complement ERP
• Highly configurable - No ERP customization
• Total cost of ownership
• Time to Market (implementation time)
• Low training requirement

34. RESULTS SO FAR
• Implemented Coupa in 6 weeks with full procure to pay, budgets, contracts and reporting
functionality
• 550k GL accounts, 7,700 suppliers
• Multi language & currencies e.g. Spanish
• Spend categories - marketing, personnel expenses, maintenance & repairs, projects,
technology, legal fees

35. Q &
A

36. tony.wessels@coupa.com
@coupa
facebook.com/coupasoftware
Thanks!