Category Archives: Open Source

Cambrian House: Crowdsourced Software

Not long after my Crowdsourcing post in the Purchasing Innovation series went up over at e-Sourcing Forum, JR posted a comment letting me know that a company up here (North of the Border) was already doing it commercially, in one of Canada’s IT hotspots (although you might not know it if you visited during stampede week). Cambrian House, located in downtown Calgary, has been up and running since February and has already turned out some revenue generating products. To date, they have launched CVR for Parents, AdWord Alerts, Pod Blast Video, Prezzle , Renoworks Homeowner Edition, Desktop Playground , and Cambrian Code.

It’s true that a couple of their projects have already been suspended due to lack of interest, but its also true that some are going stronger than ever. One of the advantages of the crowdsourcing model applied to software is the ability to greatly accelerate initial development lifecycles and get working betas to market really quickly. Instead of waiting months or, more often, years to find out if a new product idea is going to fly, you can now have the answer in months, or sometimes even weeks!

Furthermore, they’ve also proven that when crowds of like minded people get together, they can have an impact on communities, locally and globally. They’ve already made charitable donations as an organization, including one to the local Mustard Seed (a non-profit, Christian humanitarian organization that responds compassionately to the needs of the inner-city’s less fortunate) and fed Google worldwide.

So how does Cambrian house work? It’s simple. An idea is submitted, be it from an employee, an advisor, or a random individual who stumbles across the site, the best ideas (as judged by the team) are thrown out to the crowds (through the world wide web) to test and comment on, those that get traction are then built by development crowds constituted of those individuals interested in seeing the product brought to market, Cambrian House handles the sales and marketing, and those who worked on the product (including the idea generator) get royalties. And for those who like graphics, Cambrian House has a nice assembly line graphic (Flash 8 required) for you.

Right now, most of the projects are pretty small – but there’s nothing stopping crowdsourcing from working at the enterprise level. After all, viewed the right way, it’s just a logical extension of open source development, the difference being that the contributors get paid (allowing them to develop the software they want to work on full time, instead of in what hours they have left after fulfilling the requirements of their full time job, since we all need to pay the bills) and there is a support organization to help them market and sell the product, allowing them to do what they do best – develop great products!

In my crowdsourcing post, I predicted that “the view of sourcing will slowly shift from that of a reactive business unit that aggregates needs and demands into a proactive business unit that is looked upon as an enabler, problem solver, and even forecaster of future trends and consulted by the other units of the business“. In software terms, where many professionals now work as contractors and independent consultants, I believe that the innovative organizations will shift from outsourcing projects to big traditional consulting firms that throw whatever warm bodies happen to be on the bench at the time at the project, with varying degrees of success, to using crowdsourcing firms that specialize in large-scale and distributed project management and bringing together the right resources for the task under the crowdsourcing model.

Coupa Cabana Cafe: Open For Business

And to celebrate, they’re having the sale of the century! They’re practically giving it away. You can try it for free! You heard me! For Free! Now that’s a price that can’t be beat!

The reality is that Closed systems are dead. From software to supply chains, open is the new standard. And Coupa is making it reality, with the first open source eProcurement system designed to revolutionize your procurement process.

As printed in this month’s issue of Wired, it’s an All-Access Economy. Openness is a fundamental business principle. It’s what the internet is built on. Progressive software companies are taking the software-as-a-service model to the next level by exposing the API’s. You can tap into Amazon.com and eBay servers to create your own storefronts, Google to create your own maps, and Flickr to create your own montages.

And now, in addition to rolling your own Content Management System (CMS) with OpenCMS and Customer Relationship Management System (CRM) with Sugar CRM, you can roll your own eProcurement System with Coupa with its built in catalog management, adaptive “tag-cloud” indexing, and zero-click shopping cart. (Beat that Amazon!)

For those of your following along, I offered a glimpse of what was to come in my Procurement Independence at the Coupa Cabana Cafe post earlier this month. In this post, I’m going to dig a little deeper, but try to keep it short since you can now check it out for yourself at www.coupa.com.

The new site is pretty slick – and the one minute introduction video is all it should take to catch your interest. The video highlights ten key features of Coupa. I discussed half of these last week, but I’m going to list them all because most of them are innovative.

  • RSS Feed for the latest news from the procurement department.
    Every news site and blog should have a RSS feed!
  • Toolbar that ensures all actions are a click away.
  • Ask an Expert … where answers become part of a dynamically evolving FAQ.
  • Dynamic Adaptive Tagging.
    After all, no static classification scheme is ever complete.  This allows the classification scheme to evolve into what you need, not what someone else thinks you need.
  • Catalog items are accompanied by average employee ratings.
    This is awesome. When I go to Amazon or eBay, I do not care what John or Jane Doe think, I want to know what like minded people think … and in business, I want to know if it works for my like-minded co-workers.
  • Enterprise Policies are included in search and always available.
  • Drag and Drop Buying.
    This is the most intuitive shopping cart I’ve ever seen – as it captures the real-life usage of a cart.
  • Automatic population of ship to address and account information.
  • Graphical Approval Chain so a buyer always knows what the process is.
  • Attachment and Supplemental Document Support.

In addition, the web site points out the following capabilities:

  • Self Service Requisitioning
  • Goods and Services Support
  • Local Catalog Management
  • CSV Data Upload
  • Powerful Global Search Capability
  • Punch-out Support
  • Email Notifications and an on-line inbox
  • Requisition History
  • A How-To-Buy Policy Framework for integrated user education and always up-to-date document access
  • Contract Creation and Maintenance
  • Flexible PDF Purchase Order Generation
  • ERP integration APIs

And if you are willing to shell out a reasonable amount for the enterprise system, you also get:

  • role based access control
  • power user direct requisition entry forms
  • business groups
  • quickforms for special requests
  • REST ERP synchronization methods
  • no click requisition email templates … Beat that Amazon!

Essentially, employees use the interactive web interface to select items and submit for required approvals – the system determines the best price, the preferred supplier and the right contract, and then sends the purchase order electronically to the supplier. The company gets a standardized solution, which saves money and improves compliance, and employees get a system that they can actually use to get their work done.

In addition, Coupa provides support and implementation services. Open source users can buy per incident support packs and enterprise users get a full-featured support package that includes:

  • issue determination and bug fixes
  • updates, maintenance bundles, and patch support
  • issue diagnosis and resolution
  • performance tuning advice
  • exclusive support forums

In addition, Coupa offers implementation services, primarily through integrators and value-add resellers, that include eProcurement Deployment Best Practices, customization guidance, and integration assistance.

But let’s get down to business. This is an open source solution, being released to the community, which will, hopefully, improve upon it and return the improvements to Coupa and their customer base through the LGPL license. Coupa is starting off on the right foot by having a Wiki and a Forum, partitioned into general topics, open source, enterprise, and developers all ready to go from the beginning.

The wiki, which tracks updates, documentation, the coupa roadmap, and technology choices, allows you to report issues via tickets, which can then be searched using Coupa’s powerful search technology, or reported on using any one of the following reports:

  • Active Tickets
  • Active Tickets by Version
  • All Tickets by Milestone
  • Assigned, Active Tickets by Owner
  • Assigned, Active Tickets by Owner (Full Description)
  • All Tickets By Milestone (Including closed)
  • My Tickets
  • Active Tickets, Mine first

Coupa is built using Ruby on Rails and designed to work with just about any standard relational database (MySQL, SQLLite, Oracle, SQL Server, PostGreSQL, and DB2), web server(LightTPD, Apache, Mongrel, and IIS), and web browser (IE, FireFox, and Safari so far … I’m hoping Opera, which was the first to introduce many of FireFox’s key features, although it is not open source, is next) and runs on Mac OS X, Windows, and Linux operating systems.

Dave Stephens explained why Coupa Technology uses Ruby on Rails in a recent post on Procurement Central. And for the most part, I agree with the choice. An open-source project needs to be built on efficient open-standard technology that is easy to use, penetrating the market, and appropriate to the task at hand. For the most part, Ruby on Rails fits those criteria.

However, I should note that I do not agree with Dave’s assessment of Java. Although Java is not a suitable choice for UI development (let’s face it, Swing is a real pain in the backside, JSP is a mess, and JSF is not intuitive to even a relatively experienced Java developer), I would still strongly consider Java for the application backend of an enterprise application. Java’s extensive libraries make the development of complex business logic, data structures, and persistence layers relatively easy. Java’s JIT compilation makes Java code as efficient as C++. Furthermore, XML, which is supported in Java by DOM, SAX, and JAXP, is development language independent and supports your language of choice for front end development. (And even though Dave is right in that many IDEs are bloated and overkill for many tasks, some, such as IntelliJ, actually make developing in Java a simple pleasure.)

All in all, Coupa has set the bar high for eProcurement applications.

Procurement Independence at the Coupa Cabana Cafe

This month, Dave Stephens of Procurement Central will formally launch Coupa eProcurement, an open source offering with the ambitious goal of becoming the first self-service buying tool that employees actually want to use. Besides eliminating manual processes (and you should know by now that I believe in purchasing automation with the eventual goal of completely eliminating purchase orders), Coupa eProcurement claims to enable better buying decisions, easily support special requests, create and manage content, and spread the word on “how to buy”.

Now I’m as skeptical as Jason Busch of SpendMatters and Doug Hudgeon of Vendor Management, but I have to admit that I’d like to “… Imagine a world where it’s easier to follow the rules than to break them. Imagine receiving accolades for providing users with an easy system for what should be an easy process: buying what they need, when they need it. Imaging deploying … a complete requisition to order system with best-in-class usability and collaboration features …“.

Now, I was lucky enough to get a webex preview of this system last Tuesday and would like to say that it is looking really good. A web-based solution, your buyers can open their browser and log in to a procurement portal customized to their needs.

On the main page, besides your usual main bar, news section, and intranet document access, you have an RSS-based news feed which is always automatically up-to-date, a one-stop google-style search-box that you can use to search for information and items in your approved purchase catalog, and an ask-an-expert question box that will submit questions to an in-house expert. Once answered, these best practices will be institutionalized in a dynamically evolving FAQ. In addition, instead of forcing a rigid organizational structure on your best practices and policies documents, news items, and catalog items, it offers the concept of a self-updating “tag cloud” that shows users what index terms are currently in common use and allows them to evolve the indexing methodology to what they feel comfortable, and productive, with as a team.

Furthermore, it also integrates one of the easiest-to-use shopping-cart based requisitioning systems that I’ve ever seen. (And I’ve designed a few slick offerings myself as a former e-commerce developer.) It’s easier then amazon’s “one-click”, since that’s only one-click after you’ve made multiple clicks through the site trying to fill your cart and only one click if you use all default buying options. Coupa’s offering lets you find an offering, add it to your requisition cart, and then add items to the cart in the cart screen based on integrated smart drop-downs and editable smart-search fields – it’s as easy as filling out a line on a purchase order. If you know what you need, you can go right to the cart, define what you want in the cart, have the line items appear, click “requisition” and off shoots an e-mail to your supervisor indicating an order is waiting for her approval.

Now you’re probably thinking … “If it’s that easy for a user, I bet it’s an administrative nightmare to keep it running”. Well, although Dave hasn’t released any details to me on the technology stack yet and I don’t know how hard it will be to install, I can say that keeping it up to date is pretty simple. Adding your catalog of approved items is as simple as sucking in a well formatted file or integrating with a PIM (Product Information Management) exchange on a push/pull model. Adding policy documents or news items is a snap. And approvals, nicely summarized on clear and crisp screens, are as easy as a mouse click.

The only thing that bothered me slightly was the fact that there is no separation between “catalog” and “contract”. However, from a procure-to-pay point of view, this is a brilliant idea (as long as you associate expiry dates with the catalog items). After all, you should not have items in your system that are not under contract or not approved for purchase, so the separation of these concepts would only add complexity to what would otherwise be a simple system (again, providing catalog items have an expiry date associated with your contracts and these catalog items disappear if those contracts do not get renewed).

Now, add all this to the fact that Coupa intends the total cost of system ownership to be 2x to 3x less then the cost of ownership of the typical e-procurement offerings from SAP and Oracle, and Coupa starts looking very attractive.

However, I have to agree with Doug and say that “ Dave’s chance of success depends entirely on the shape of his target market. If he goes after the most demanding customers in the spend management market with a version 1.0 system then he will have a long slog in front of him … ” but if he instead focuses on “ ‘overshot’ customers who do not require all of the features of the current suite of products or to non-customers who are excluded from the current suite of products for reasons of price or complexity … “, I think he has a great chance, especially if he focuses on the benefits a customer can receive by pairing his tactical e-Procurement offering up with affordable on-demand e-Sourcing suites like Iasta’s SmartSource suite (with release 7.0 slated for this summer) that covers the strategic aspects of the procurement function. After all, low cost on-demand sourcing software plus low cost procurement software (which can be hosted on-demand as well) equals a full Total Value Management e-Solution (on-demand) at a low cost, and this is a powerful proposition for small to mid-market firms that really need a world-class solution but can’t afford an IBM, Ariba, Emptoris, Oracle, or SAP to make it happen.