Updated: December 19, 2020
Procurement software is a set of solutions that help to automate the purchasing work of companies.
2020. Fairmarkit lands $30M Series B to modernize procurement
Fairmarkit, a startup, working to bring a modern digital procurement system to the enterprise, has raised $30 million Series B. Fairmarkit wants to replace large procurement software systems from companies like Oracle and SAP. These systems have been designed to track only the biggest purchases over $500,000 or $1 million. Anything under that is what’s known as tail spend. The system acts as a marketplace for vendors and a central buying system for customers where they can find goods and services at this price point below $1 million. It imports a customer’s vendor data, and then combines this with other data to build a huge database of buying information. From that, they can determine what a customer needs and using AI, find the best prices for a particular order. Today the company has more than 50 customers across a variety of industries.
2019. Workday to acquire online procurement platform Scout RFP for $540M
Workday has entered into an agreement to acquire online procurement platform Scout RFP for $540 million. The acquisition builds on top of Workday’s existing procurement solutions, Workday Procurement and Workday Inventory. The company is trying to be the end-to-end cloud back office player and one of their big gaps has been in procurement. A lot of the Workday investments are in portfolio companies that are complimentary to Workday’s larger vision of the future of Cloud ERP. Today’s definition of ERP includes finance, HCM (human capital management), projects, procurement, supply chain and asset management