This document discusses the future of procurement and how companies need to adapt to remain competitive. It notes that 52% of Fortune 500 companies from 15 years ago no longer exist due to lack of adaptability. It argues that companies prioritize process, inflexible systems, and cost savings over innovation, smart people, and value creation. The future will require agility, flexibility, digitization, and collaboration across the supply chain. Tradeshift aims to enable this by providing a flexible collaborative platform instead of single purpose tools, connecting the entire supply chain, and leveraging real-time data and analytics.

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What’s the future of
procurement?
Christian Lanng
CEO

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Extinct?

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Or science fiction?

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In the last 15 years, 52% of
the Fortune 500 companies
have disappeared
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1955:
75 years life expectancy
2016:
15 years life expectancy
(and falling...)

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Why is this happening?
5

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2X
transistors every
2 years at same
price

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The human brain
can’t comprehend
the second half of
the chessboard
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1 2 4 8 16 32 64 128
?
(5x times the rice in the world)

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World Economic Forum: Tipping Points
8

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“The future is already here, just not
very evenly distributed”
- William Gibson

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11. Shaving & Men's Grooming:
$13bn industry
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12. Controlled by one brand
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13. Then this happened...
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15. 15
No.1 Online (52%) + No. 2 Overall (30%)
Dollar Shave Club
52.9%

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Without agility, you will lose

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But anyone can
win, if you have
the right mindset
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So why is this happening?
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It happens because companies prioritize
process over innovation
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And inflexible systems over smart people
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It happens because companies prioritize
cost savings over value creation
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A focus on savings only will not:
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• Enable new product and service innovation
• Accelerate your speed to market
• Protect your business from disruptive forces
• Reduce exposure to risk

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● Agility and flexibility will matter as much as cost going forward
● The more digitally integrated the supply chain, the faster
companies can respond to change.
● Digitized processes can be reconfigured far more quickly than
manual processes
● Simplify and speed the exchange of information in
collaborative design processes
Hyper Competition, Accelerating Business =
Constantly shifting supply chain
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So we have a choice
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Extinct? Or defining the
future?

25. What does this mean for Procurement?
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• Indirect, Direct and Services will all mix
○ You will be buying an outcome, not a commodity
• There will be no one size fits all
○ Rapidly changing business requirements and environments
will require process agility
• Commerce will be highly collaborative
○ Defining needs, responding to change and solving complex
problems will require collaboration between stakeholders

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But more importantly
Procurement is just the starting point

27. It’s time to tear down the silos
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28. Procurement Treasury Account Payable
Resource Planning Direct Materials CSR
Risk Management Product information
Time Management Analytics Temp labor Travel
Supplier Information Collaboration
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It’s the same suppliers

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It’s the same end-users

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It’s the same data

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Yet we keep
buying the same
single purpose
tools solving only
one process over
and over
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33. We wanted to build software
for the future of
procurement, not the past

34. ● Flexible, it’s a platform not a single tool
● Collaborative, it allows procurement to be a partner not a
bottleneck
● End-to-end, it connects all your supply chain processes, not
just one
● Real-time data and analytics, move beyond spend analytics to
spend insights
● Innovation, we continuously work with our customers to push
the boundaries of what’s possible
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How Tradeshift is different

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Collaboration centric procurement
Live Collaboration
Easy sharing
Captures decisions

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• Use virtual cards to capture
spend outside contracted
suppliers
• Generate single-use virtual credit
cards on the fly and reduce
fraud and risk
• Consolidate data from all your
spend
Heros instead of rogues

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A global network of supplier master
data, kept-up-to-date in real-time by
suppliers
• Extensible list of attributes
• Control over what data is visible
• Certifications, payment
information, tax and product data
• 3rd-party assessment and
verification
Real-time master data
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• A global data-base of product
information
• Manage a stream of products
from your suppliers instead of
individual catalogs
• Real-time global search among
contracted and non-contracted
suppliers
• One-click on-boarding of new
suppliers who already fulfill your
business requirements
Product Information, not catalogs
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Uber Integration Box Quickbooks Xero RFP Sage Extended Supplier Reporting
VAT Tax Support Contract Lifecycle Management Benchmarking
Price Benchmarks Shipping Parcel Tracker Invoice Fraud Detection
Supply Chain Finance Time Tracking Quote Collaboration Research Content
Apps Bill of Lading Supply Chain Finance Twilio Shopify Magento
Employee Management Inventory Management Direct Materials Shipping
Carrier Integration Digital Asset Management Industry Specific Apps
Freelance Marketplace Custom Invoice Styles Send Invoice To Collections
Salesforce Lead Gen Management Certification Management
Applications

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Thank you!
email: sales@tradeshift.com
twitter: @christianlanng
learn more: tradeshift.com