Ariba Research Identifies 2007 Spend Management Priorities and Challenges.Global Survey of Leading Procurement The fancy word for "purchasing." The procurement department within an organization manages all the major purchases. Executives Finds Delivering Measurable Results Top Business Objective SUNNYVALE, Calif. -- What's top of mind among procurement executives as they prepare for 2007? According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. a global survey conducted by Ariba([R]), Inc. (Nasdaq:ARBA), the leading spend management solutions provider, delivering measurable results and accessing and analyzing spend data are at the top of the list. "As the creator and leader of spend management, Ariba is focused on identifying and addressing emerging issues that companies are facing as they transform procurement and sourcing functions to help them achieve strategic goals of resource provisioning, strategy execution and risk management," said Christine Crandell, Vice President of Marketing, Ariba. Spend Management Priorities Leveraging its global roster of blue-chip customers, Ariba polled more than 550 procurement professionals representing diverse industries, roles, company sizes and geographic regions to understand their goals for the coming year. For the second consecutive year, delivering measurable results ranked as the number one priority among respondents In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy. . "Companies of all types and sizes clearly view spend management as a strategic initiative and key to their future success," said Hari Candadai, Senior Solutions Marketing Manager, Ariba and author of the Ariba report. "Looking ahead to 2007, companies will place increased emphasis on generating real, measurable results that translate to profitability improvements." Accessing and analyzing spend and building internal commitment also ranked high among the objectives of those surveyed. "Companies that are serious about spend management recognize the importance of understanding what is being purchased from whom and how these purchases align align (  līn),v to move the teeth into their proper positions to conform to the line of occlusion. with the organizational goals," Candadai added. "And they are keenly aware of the need to drive awareness at different levels to secure the support, investments and adoption necessary for their initiatives to succeed." The Top Ten Among the top ten spend management priorities identified by participants in the Ariba global survey: 1. Delivering measurable results 2. Accessing and analyzing spend data 3. Completing projects on time and within budget 4. Building internal commitment 5. Establishing consistent, efficient processes 6. Defining a spend management strategy 7. Supporting multiple business units/geographies 8. Managing strategic commodities 9. Ensuring compliance with established processes 10. Increasing the effectiveness of supplier relationships Spend Management Challenges Over 75 percent of respondents to the Ariba survey were chief executive, vice president, manager or director level and represented companies headquartered in the Americas, Europe, Asia Pacific/India and Middle East/Africa. In addition to outlining their priorities, survey participants also identified the most pressing challenges they will face in driving spend management initiatives in 2007. The number one issue among those polled was expanding the scope and reach of their spend management programs without adding resources. "Procurement executives are being asked to extend the boundaries of spend management both functionally and geographically to maximize the returns on their procurement and cost initiatives," Candadai noted. "But in most cases, they are not being given additional resources with which to do it. So they must be creative in their approach." Gaining visibility into spend remains a significant challenge as well, ranking in the top three for the second year in a row. "Many companies still have data residing in disparate systems, which makes it difficult to gain a clear view into spend on an enterprise-wide basis," Candadai said. "This is compounded by limited analytics capabilities, inaccurate information of spending data and inconsistencies in vendor and product information." The Top Ten Among the top ten spend management challenges that respondents to the Ariba survey expect to face in 2007: 1. Extending scope and reach of programs without adding resources 2. Building internal commitment 3. Accessing and analyzing spend data 4. Completing projects faster 5. Supporting multiple business units/geographies 6. Establishing consistent, efficient processes 7. Ensuring user adoption of spend management solutions 8. Identifying opportunities faster 9. Ensuring compliance with established processes 10. Delivering measurable results "Companies on the path to spend management will encounter road blocks," Crandell said. "But by focusing on a clear set of priorities that align with their strategic goals and enabling key people, process and technology, they can quickly realize tangible, sustainable results that enhance their bottom line and competitive advantage." In addition to these findings, the Ariba survey provides unique insights into the spend management priorities and challenges for 14 different industry sectors, including: automotive, consumer packaged goods Noun 1. packaged goods - groceries that are packaged for sale foodstuff, grocery - (usually plural) consumer goods sold by a grocer plural, plural form - the form of a word that is used to denote more than one , diversified diversified (di·verˑ·s chemicals, diversified manufacturing, financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. , healthcare, high tech, logistics/transportation, oil and gas, pharmaceutical, public sector, retail, telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. , utilities and energy. To download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer. a copy of the full report, please visit: http://www.ariba.com/go/priorities About Ariba, Inc. Ariba, Inc. is the leading provider of spend management solutions to help companies realize rapid and sustainable bottom line results. Successful companies around the world in every industry use Ariba Spend Management[TM] software and services. Ariba can be contacted in the U.S. at 1.650.390.1000 or at www.ariba.com. Copyright [c] 1996 - 2006 Ariba, Inc. Ariba, the Ariba logo, AribaLIVE and SupplyWatch are registered trademarks of Ariba, Inc. Ariba Spend Management, Ariba Spend Management. Find it. Get it. Keep it., Ariba. This is Spend Management, Ariba Solutions Delivery, Ariba Analysis, Ariba Buyer, Ariba Category Management, Ariba Category Procurement, Ariba Contract Compliance, Ariba Contracts, Ariba Contract Management, Ariba Contract Workbench, Ariba Data Enrichment enrichment Food industry The addition of vitamins or minerals to a food–eg, wheat, which may have been lost during processing. See White flour; Cf Whole grains. , Ariba eForms, Ariba Electronic Invoice An itemized statement or written account of goods sent to a purchaser or consignee by a vendor that indicates the quantity and price of each piece of merchandise shipped. A consular invoice is one used in foreign trade. Presentment presentment: see indictment. and Payment, Ariba Invoice, Ariba Sourcing, Ariba Spend Visibility, Ariba Travel and Expense, Ariba Procure-to-Pay, Ariba Workforce, Ariba Supplier Network, Ariba Supplier Connectivity, Ariba Supplier Performance Management, Ariba PunchOut, Ariba QuickSource, PO-Flip, Ariba Settlement, Ariba Spend Management Knowledge Base, Ariba Ready, Ariba Supply Lines, Ariba Supply Manager, Ariba LIVE and It's Time It's Time was a successful political campaign run by the Australian Labor Party (ALP) under Gough Whitlam at the 1972 election in Australia. Campaigning on the perceived need for change after 23 years of conservative (Liberal Party of Australia) government, Labor put forward a for Spend Management are trademarks or service marks of Ariba, Inc. Ariba Proprietary and Confidential. All rights reserved. Patents pending. All other trademarks are property of their respective owners. Ariba Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. Safe Harbor Statement under the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and 1995: Information and announcements in this release involve Ariba's expectations, beliefs, hopes, plans, intentions or strategies regarding the future and are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that involve risks and uncertainties. All forward-looking statements included in this release are based upon information available to Ariba as of the date of the release, and we assume no obligation to update any such forward-looking statements. These statements are not guarantees of future performance and actual results could differ materially from our current expectations. Factors that could cause or contribute to Ariba's operating and financial results to differ materially from its current expectations include, but are not limited to: delays in development or shipment of new versions of Ariba's products and services; lack of market acceptance of Ariba's existing or future products or services; inability to continue to develop competitive new products and services on a timely basis; introduction of new products or services by major competitors; the ability to attract and retain qualified employees; difficulties in assimilating as·sim·i·late v. as·sim·i·lat·ed, as·sim·i·lat·ing, as·sim·i·lates v.tr. 1. Physiology a. To consume and incorporate (nutrients) into the body after digestion. b. acquired companies; long and unpredictable sales cycles and the deferrals of anticipated orders; declining economic conditions; inability to control costs; changes in the company's pricing or compensation policies; significant fluctuations in our stock price; the outcome of and costs associated with pending or potential future regulatory or legal proceedings All actions that are authorized or sanctioned by law and instituted in a court or a tribunal for the acquisition of rights or the enforcement of remedies. ; the impact of our acquisitions, including the disruption disruption /dis·rup·tion/ (dis-rup´shun) a morphologic defect resulting from the extrinsic breakdown of, or interference with, a developmental process. or loss of customer, business partner, supplier or employee relationships; and the level of costs and expenses incurred by Ariba as a result of such transactions. Factors and risks associated with its business, including a number of the factors and risks described above, are discussed in Ariba's Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. filed December 7, 2005 and in its Form 10-Q Form 10-Q See 10-Q. filed August 9, 2006. |
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