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Publish Date : 18-Mar-2015

Finally, we come to our final recommendation in this series of the way to boost the efficiency of indirect spend: offering an open architecture that will enable procurement and business users to access several communities and networks including vendor-led models, GPOs, BPOs, MSPs and associated intermediaries.

Ariba is sadly the poster child for "closed models" in this sense as under it customers using SaaS versions of its tools are forced to use its network while sister SAP concerns Fieldglass and Concur are in fact among the most open in their orientation to other intermediaries among their counterparts in the field.

Regardless, in making a push for open architectures and networks, we must remember the following guiding principals : We don't not just support users, but enable various ecosystems and must keep this in mind when it comes to developing and deploying solutions;
Purchase and line-of-business leaders may urge us to work with other intermediaries to support tactical or strategic requirements;
Indirect and services are not always linear supply chains – from a physical or economic view. Think through all the considerations for multi-tier and consolidated third-party management of various areas (i.e., the way an intermediary will work within our technology ecosystem); Change is a constant – vendors and others can and will enter new roles after an original strategy is put into motion. Ensure that a technology approach backs flexibility all through the indirect category lifecycle management process; Neither any technology nor any solution approach is an island by itself – it is just as good as thew way it is able to connect and work with other systems and sources of information.

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