Respondents are making broad spending cuts with traditional
spend management solutions, which may make navigating a recession
difficult
SAN MATEO, California,
June 10, 2020 /PRNewswire/
-- Today, Coupa Software (NASDAQ: COUP) announced the
results of a global study of chief financial officers and senior
financial executives that found the majority (87 percent) of
respondents believe a recession is likely, with more than
half (53 percent) expecting it to last six months or longer.
However, as these leaders grapple with the idea of a looming
recession, the results show that their current preparations might
not be enough to navigate through what's coming.
During good times, businesses prioritize top-line growth, but in
a downturn, the focus quickly shifts to profitability, putting
pressure on a company's spend management strategies. A survey of
more than 650 global financial leaders uncovered that
companies may not have the right spend management strategies in
place and could be leaving room for error when making critical
business decisions.
The survey found that:
- 56 percent of respondents state their top concern today is
financial risk
- 70 percent of respondents are containing costs by making
broad or departmental cuts over the next 6-12 months
- A majority of them (76 percent) are reliant on traditional
or outdated methods to manage their business spend
- And only 23 percent are using a single, unified spend
management solution to manage their business spending
- 83 percent are concerned about the health of their suppliers
or their suppliers' suppliers
"The results of this survey are eye-opening, and illustrate the
critical importance of ensuring that finance teams have the spend
visibility and the supplier insights they need to make the right
decisions and establish the right controls with confidence,"
said Rob Bernshteyn, chairman and
CEO of Coupa. "With uncertainty likely to continue, now is the
time for companies to adopt a comprehensive solution to build
business spend resilience for any market condition."
Preparing for a Recession
To build resilience with
your business spend, organizations must:
- Invest in the Right Technology: Choose a technology
solution that provides a comprehensive and unified suite of cloud
applications, providing the visibility and control of all
transactions across the company.
- Build Strategic Relationships with Suppliers:
Understanding the health of your suppliers is critical in uncertain
times; both the performance and the risk of each supplier can have
a significant impact on your company's spend. When the hard times
end, you will need these suppliers to help get your business back
on track.
- Focus on Future Agility: While many companies are still
in survival mode, the smart ones will have one eye on what happens
when the economy recovers. Businesses need to be ready to quickly
bring on staff, increase ordering of goods, and overall, increase
productivity. These changes will need to happen fast, so plan for
them now.
To learn more about how Coupa can help your company achieve
greater visibility and control into your business spend, visit
coupa.com.
Survey Methodology
This survey analytics report
conducted by Sapio is based on a survey of 667 senior finance
decision makers from companies with 500-plus employees based in the
US, UK, France, Germany, and ROW (Argentina, Canada, India, Mexico, Singapore, or South
Africa). The survey was sponsored by Coupa and conducted in
May 2020.
About Coupa Software
Coupa empowers companies around
the world with the visibility and control they need to spend
smarter and safer. To learn more about how Coupa can help you spend
smarter, visit www.coupa.com. Read more on the Coupa Blog or follow
@Coupa on Twitter.
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