SaaS has grown a lot, and it’s about to grow a lot more.
What’s procurement’s role in all of that? Some companies are still figuring that out.
If you’ve worked in procurement in the last decade, the rise of SaaS will be only one of many changes you’ve experienced in your career. Procurement departments have elevated their own position significantly as companies benefited from “strategic” sourcing.
What’s procurement’s strategic opportunity in SaaS? A few things any procurement pro should be thinking about include:
- Train and guide the many software “purchasers” throughout your company
- Become a source of strategic information
- Collaborate with other departments on renewals
I’ll explain how these benefits become possible with a SaaS management platform like Alpin.
Train and guide the many software “purchasers” throughout your company
Procurement pros are experts at buying things. That expertise should be shared.
Consider the types of guidance that you could provide with effective SaaS oversight:
- Pull a report to show department heads their per-person SaaS spend. They may be more eager to listen when they see just how much they’re spending, and how fast it’s growing!
- Create content to share internally on the do’s and don’ts of software purchasing. This guidance could later serve as the basis for policy (that you or others would now have the tools to actually monitor).
- Conduct reviews with department heads and share what software could make sense to consolidate, how other departments use similar software and what they like about it, etc.
If procurement helps companies by making purchasing more efficient, then Alpin provides the information and tools to help you do that in the age of SaaS.
Become a strategic source of information
SaaS management can help procurement pros “manage up.” Strategic information can give you more reasons to get in front of executives and demonstrate value.
Enhance executive reporting with novel information – Executives are likely not seeing any SaaS-related statistics. Whether it’s spend, user information, or governance issues, you will have eye-opening information to share. And who found a way to report on it? You!
Justify priorities – Ever had to interrupt a project due to a new, urgent executive priority? And was it as bad an idea as you expected? SaaS management may not save you from that completely. But it helps you have the user, cost, and vendor information to better prioritize based on data.
Lead your company to new opportunities – Due to a lack of tools or visibility, many procurement pros have needed to “react” to SaaS. How so? Slack, Salesforce, or some other program got so big that procurement needed to, at last, conduct an RFP. But how much leverage do you have with Slack, when they know they’re everywhere in your org, beloved by many? Instead, what if you could identify the growing trends and schedule RFPs before things get out of hand? Alpin can help you see trends early because it can continually discover new SaaS.
Collaborate with other departments on renewals
With SaaS management, you can track all renewals from a central dashboard. That gives procurement pros a method — and an excuse — to be proactive.
Imagine you begin holding regular SaaS review meetings with department heads. You show them all their upcoming renewals, offering to coordinate contract negotiation and related communication with a few vendors. You might imagine a couple things could happen:
- Department heads are happy to give up a burdensome task they weren’t going to spend a lot of effort on anyway. And they may free up budget.
- You gain more SaaS “victories” and reportable savings simply by applying basic governance to mid-sized SaaS contracts.
The more other departments view procurement as valuable, the more the “rumor mill” can match the new data-rich reports you send to executives.
If you’re looking to get more serious about SaaS management for procurement professionals, we have even more features to show you. Contact us for a demo or start a 14-day trial. You’ll see how Alpin can work for you. Get started by emailing email@example.com.