VERTD Verticalnet (MM)

Version 5.3 Delivers Key Capabilities to Standardize Sourcing Processes, Collaborate with Suppliers more Effectively and Negotiate Value more Creatively. Verticalnet, Inc. (Nasdaq:VERTD), the leader in On Demand supply management solutions, today announced the launch of Verticalnet XE 5.3, delivering new features to its "Software as a Service" (SaaS) customer base through the seamless upgrade of the On Demand version of the Verticalnet(R) Supply Management Software Suite. Sourcing organizations today are challenged to improve upon prior savings results while simultaneously lowering procurement costs, improving procurement processes and maintaining a focus on driving sustainable value throughout the supply network. This need to "tune the engine" while driving full-speed requires an agile solution that adapts to the sourcing organization's specific needs. Verticalnet XE 5.3 controls sourcing processes centrally while enabling individual sourcing locations to creatively source key categories as the localized environment requires. Additionally, Verticalnet XE 5.3 enhances the supplier collaboration and control process to ensure that the supply base is being appropriately tapped as a source of innovation and performance improvement. Verticalnet XE 5.3 enhancements were developed in conjunction with best practice customer feedback and ongoing market research and focus on emerging trends within the field of supply management. Enhanced functionality specifically addresses the following emerging customer priorities: -- Center led sourcing processes supporting local market, low-cost country sourcing initiatives -- Supplier collaboration intensive sourcing initiatives focused on engaging suppliers in processes from design through fulfillment with full visibility into performance and feedback -- Complex category sourcing requiring significantly enhanced event visibility, ongoing decision support, and complex allocation and award scenarios -- Increased demand for total cost modeling capabilities in assessing bids from diverse sources of supply. While the XE 5.3 release contains many new features, three major enhancements address the above mentioned trends and provide significant value for sourcing organizations focused on improving their sourcing processes, increasing visibility, and leveraging best-in-class tools for supply management: Commodity Strategy Management - Verticalnet XE Program Manager provides a centralized location to store and manage the sourcing process resulting in shortened cycle times through the immediate access of best-practice process guides, reduced risk due to the capture of all accumulated knowledge about categories and suppliers, and improved operational performance through the sharing of project conclusions across the enterprise. Verticalnet XE 5.3 improves upon these significant capabilities by enabling flexible process workflows for critical decision points within the execution of a sourcing strategy. This additional functionality allows the creation of standardized sourcing strategy templates that can then be adapted "on the fly" by the sourcing team to fit the unique conditions of a specific sourcing project. These "strategies within a strategy" allow the sourcing team to establish a simple and effective base strategy for sourcing the commodity, where additional task steps may be added only as a specific situation requires. Each sourcing project can now be addressed in a flexible fashion to drive maximum value, while still maintaining the top-level control and visibility necessary for today's center-led sourcing organizations. Negotiating for Total Value - Verticalnet XE Negotiation Manager provides the tools necessary for an effective On Demand strategic sourcing program by empowering the sourcing team with integrated sourcing tools, delivering strong RFx and Auction tools for online supplier negotiation, and enabling self-service bid optimization and supplier bid analysis. Verticalnet XE 5.3 adds to these deep capabilities by improving real-time visibility to ongoing negotiation and auction event results while streamlining the event setup and execution process. Event participants have finger-tip access to event metrics such as total negotiated savings, demand coverage, and savings contribution by event, lot, or item. Additionally, the event management process has been improved to enable single-click vendor bid analysis. Supplier Performance Improvement - Verticalnet XE Performance Manager enables companies to more effectively track and manage supplier performance, compliance, and areas of risk through enterprise-wide supplier development tools such as supplier strategy development, score-carding, web-surveys, automated data collection, actionable alerts, and corrective action project execution. Verticalnet XE 5.3 improves upon this framework by improving internal and external collaboration throughout the supplier management process. Using the enterprise view of a supplier as the center-point for managing the supplier relationship, key stakeholders including engineering, customer support, logistics, procurement, and the supplier themselves facilitate a monitored two-way information exchange resulting in a 360 degree view of supplier performance, a qualitative supplier assessment to augment quantitative scorecards, and the active participation of the supplier as a partner in the performance improvement process. "Verticalnet works closely with our customers in setting the enhancement agenda for the XE product suite," stated Jim Wetekamp, Vice President of Solution Strategy of Verticalnet. "As the Verticalnet XE 5.3 release illustrates, this collaboration provides Verticalnet's leading customers with a solution that addresses emerging sourcing trends and their key needs including the delivery of measurable results, improved productivity, and the capture of best practices." "Companies are constantly battling to optimize spending given their constrained resources," stated Andy Kyte VP & Gartner Fellow of Gartner. "Solutions that enable the discovery and promotion of best-practices, improved collaboration with suppliers, and support the management of key sourcing decisions with integrated tools can deliver substantial bottom-line results." Availability There is no additional cost to existing customers for the new features of Verticalnet XE 5.3. It has been provided to customers as part of the iterative upgrade process of the XE On Demand solution that has included 3 feature-pack releases to date in 2006. The Verticalnet XE Supply Management suite is available on-demand and includes: -- Verticalnet(R) Program Manager-- lowers the total cost of ownership and improves productivity through sound and re-usable program and process management -- Verticalnet(R) Spend Manager-- a fast, intelligent, and repeatable solution for identifying, evaluating, and quantifying enterprise-wide sourcing opportunities while measuring compliance -- Verticalnet(R) Negotiation Manager-- accelerates and improves negotiated savings through online auctions and eRFX events -- Verticalnet(R) Procurement Manager-- simplifies and improves control over the procurement process to help companies realize the maximum cost savings identified through supplier sourcing and negotiation -- Verticalnet(R) Contract Manager-- provides real-time insights into contract obligations, exposures, expirations, changes and renewals delivering greater control, reducing costly oversights and minimizing supplier risk -- Verticalnet(R) Performance Manager-- enables companies to effectively track and manage supplier performance, contract compliance and identify potential areas of supplier risk About Verticalnet Verticalnet is a leading provider of supply management solutions that enable companies to identify and realize sustained value across the supply management lifecycle. Going beyond traditional spend management and sourcing approaches, Verticalnet's solutions provide the visibility, insight and process control required to maximize the sustained value realization from supply management. Large enough to help customers attain supply management success worldwide, yet nimble enough to provide individual attention and remain focused on customer priorities, Verticalnet is helping leading Global 2000 companies and mid-market enterprises move their supply management efforts to the next level through an optimal blend of software, comprehensive services, and deep category knowledge and domain expertise. To learn more, please visit us at www.verticalnet.com Verticalnet is a registered trademark or a trademark in the United States and other countries of Vert Tech LLC