Kennametal Goes Live with Ketera Spend Management; 'On Demand' Model Enables Rapid Deployment at Low CostMOUNTAIN VIEW, Calif., Jan. 16, 2003 -- The Ketera Spend Management(TM) solution, a comprehensive service enabling companies to rapidly identify and realize cost savings, has been deployed at Kennametal in under 90-days. Kennametal, a provider of tooling, metalworking and advanced materials solutions, contracted with Ketera Technologies to provide its spend management service in August 2002. "We selected Ketera as our provider specifically because of their 'on-demand' delivery model, and intuitive ordering process," said James Cebula, Director of Global Purchasing for Kennametal. "We wanted a spend management solution that could be deployed quickly, with limited end user training and without the implementation obstacles associated with enterprise software. Ketera's solution, with its 'on demand' delivery model, addressed our requirements perfectly." Kennametal went live with a pilot solution within 45 days of the initial kickoff meeting, deploying the Ketera Procurement(TM) and Ketera Supplier Enablement(TM) components of the Ketera Spend Management solution. Within 90 days Kennametal and Ketera have enabled 10 suppliers and more than 350 end-users across 65 locations. Within 18 months, Kennametal plans to have more than 700 end-users access 30 suppliers utilizing Ketera. The rapid rollout to end-users was achieved thanks to the 'on demand' model, and aided by the account management and training services that are provided as part of the Ketera service. In discussing their selection of Ketera, Cebula explained, "We lined up the major players in the spend management space and compared the breadth of their offerings, their pricing structures and their implementation timing. It was crystal clear that Ketera's all-inclusive 'on demand' model offered the quickest deployment and the best value." "Many other software solutions just have too many hidden costs -- and we didn't want the headaches and potential delays associated with a software implementation," he said. Ketera Chief Operating Officer, Ruby Sahiwal emphasized the key differences between Ketera's 'on demand' model and enterprise software: "Customers want to manage spend, not manage software. Most software implementations cost more than $4M in the first year, take 12 to 18 months to implement, and enable just a handful of suppliers in this time. Using the 'on demand' model, Ketera customers are managing spend and reducing costs within months, at a fraction of the cost of enterprise software." Ketera's Spend Management Solution is comprised of six modules: Ketera Spend Analysis helps companies gain visibility into corporate spending; Ketera Sourcing provides a souring engine that provides support for reverse auction and RFQ processes; Ketera Procurement is a comprehensive e-procurement application helping companies to control and reduce spending and eliminate 'maverick' (off-contract) spending; and Ketera Payment & Reconciliation drives further efficiencies by streamlining the payment process. Ketera Supplier Enablement helps companies overcome the number one obstacle to savings; on-boarding suppliers to a company's spend management solution. About Ketera Technologies Ketera Technologies provides spend management solutions as an 'on demand' service, providing companies with the technology and services needed to control and reduce corporate spending at a low cost of ownership. Ketera Spend Management includes applications for spend analysis, sourcing, procurement, and payment & reconciliation. The Ketera difference is our 'on demand' delivery model which combines hosted spend management applications with the 'heavy lifting' services required for success including supplier enablement, hardware infrastructure, project resources, system administration and solution upgrades. Ketera Technologies is an IBM business partner, providing technology for IBM's Leveraged Procurement Service (LPS), an e-Business On Demand offering. Located in Mountain View, CA, Ketera is a private company founded by American Express (NYSE:AXP). Other investors in the company include NexPrise, Inc (Nasdaq:NXPS) and eVolution Global Partners, an investment fund created by Kleiner Perkins Caulfield & Byers, Bain Consulting and Texas Pacific Group. For more information about Ketera Technologies and the Ketera Spend Management suite of services, please visit www.ketera.com.
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CONTACT: Ketera Technologies, Mountain View
Brian Desmond, 650/903-5666
bdesmond@ketera.com
or
Roaring Communications
Daniel Cahill, 212/717-8838
dcahill@roaringcommunications.com
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