Version 7 of flagship solution adds service-level metrics tracking, performance evaluations

Denver - July 12, 2005 - Services procurement specialist IQNavigator today took the wraps off the latest version of its flagship solution, which adds functionality designed to help companies optimize their services supply chains and reduce the costs of services across a variety of categories through new supplier performance management features.

The Web-based, "on-demand" IQNavigator7 solution addresses such categories as outsourced/offshore projects, facilities management, marketing projects, field services, IT services and contingent labor, and it classifies requisitions and expenditures by service category to facilitate better spend analysis capabilities, allowing users to discover trends and drill down to details for ongoing cost savings and spending optimization.

John Martin, senior vice president for strategy and technology at IQNavigator, noted that procurement departments continue to be under pressure to do more with less, yet figures from CAPS, the Center for Strategic Supply Research, show that more than a quarter of firms still have no formalized procedures for dealing with services spend, which accounts, on average, for about one-third of all spending.

"Internal constraints, such as a lack of process control and lack of information, really hamper companies in terms of services procurement and the services delivery lifecycle," he said, adding that because maverick spending for services is twice as high as the figures for goods purchases, the potential savings from automating services procurement processes can be significant if a company can enforce better contract compliance.

Supplier Performance Functionality

Martin said that IQNavigator is taking aim at these challenges with the latest version of its services procurement solution. New functionality that IQNavigator is highlighting in version 7 of the solution includes configurable support for various types of purchased services. The solution allows customers to configure workflows, business rules and data fields by service category to match the unique requirements of each service category and optimize spending, IQNavigator said.

In addition, supplier performance management capabilities in IQNavigator7 include the ability to track service-level metrics, as well as performance evaluations and quality measures, to provide a comprehensive picture of supplier performance and help companies link supplier performance measures to strategic business objectives.

Elsewhere, regarding spend analysis, version 7 offers nearly a hundred out-of-the-box reports, configurable dashboard key performance indicator (KPI) graphs and a wizard-driven custom reporting tool to enable users to analyze and investigate spending trends and opportunities. The solution allows procurement executives to classify and analyze services spend using proprietary or industry standard classifications, such as UNSPSC.

Finally, IQNavigator7 provides contracting and invoicing functionality, including service level agreements (SLAs), to help ensure continual supplier performance improvement.

Addressing Offshoring, Legal Services

IQNavigator also said that the version 7 provides "end-to-end" procurement functionality, with integration with existing enterprise systems and infrastructure, allowing customers to gain compliance and visibility into services spending throughout the global enterprise.

The new solution extends IQNavigator's service spending coverage beyond contingent workforce, IT projects and field services to include outsourcing/offshoring, marketing services and legal services.

Vilia Valentine, controller and vice president of finance of IQNavigator customer Verio, gave the new version the thumbs up, saying, "IQNavigator7 will provide enhanced visibility to our services spending so we can gain better control and ultimately optimize our spending in this area."

Founded in 1999 and headquartered in Denver, IQNavigator currently has 120 employees and a customer base that comprises more than 40 Fortune 500 companies, including Shell, Sony, Schlumberger, Northrop Grumman and Bank of New York. Privately held, IQNavigator reported that it tripled its revenues in 2004.