B2B Analysts
About the Company   Services   Research   Pressroom  
New Markets
Short Views
Short Takes

Analyst Reports on "e-Sourcing"

There are many reports on e-sourcing technology available from analyst firms today. Since we are unable at this point to provide an up-to-date assessment, we urge you to look at them.

But beware of the following things:

  • Many reports are focused entirely on e-sourcing technology. But because technological support for sourcing activities is so new, most organizations are unable to take advantage of all the functional capabilities that some vendors tout. Most companies should therefore ignore rating systems based on how functionally rich the technology offerings are. They are usually not practically meaningful.
  • The two biggest problems that most sourcing organizations face are 1) they need to buy smarter and 2) they can't cover the categories that they are supposed to manage. The reports that we have seen have not evaluated the technology's ability to help people buy smarter or manage more, even though these are the two most important things that the technologies should do.
  • Most analyst firms take a substantial amount of money from the vendors that they cover, and this indirectly skews both the assessment and the choice of vendors to cover. Yes, the analyst will try to do an honest job. But you still need to take what they say with, as Mike Hogan says, a truckload of salt.
  • Software that is developed for a new market is typically not terribly scalable and maintainable. They can create a good auction, for instance, but can they really manage auction templates, allowing you to modify them easily, record what worked and didn't work, etc. Analyst reports typically do not take these things into account.

In any case, if you're looking for technologies that can help you, good luck. And do let us know how it turned out.