Home
 > Research and Reports > TEC Blog > NetSuite Plays BPO

NetSuite Plays BPO

Written By: Predrag Jakovljevic
Published On: May 20 2014

On the final day of its SuiteWorld 2014 conference, NetSuite announced the launch of the NetSuite BPO Partner Program, designed for partners who provide business process outsourcing (BPO) or business process as a service (BPaaS). The new program gives these partners a unified cloud-based solution of enterprise resource planning (ERP), customer relationship management (CRM), and e-commerce to support their clients ranging from small businesses to multinational corporations.
 

NetSuite OneWorld—Real-deal Global Financials
 
NetSuite seems to be a real-deal Tier One cloud financials system, with support for multilanguage, multicurrency, multi-tax and regulations, etc. A global Tier One company can in principle have NetSuite OneWorld at its headquarters to handle all its local profit and loss (P&L) reports and to consolidate them. But often companies will still use SAP or Oracle at HQ and use NetSuite in its divisions in a two-tier ERP setup—ditching SAP or Oracle at HQ would be like undergoing a heart or brain transplant.
 
In addition to a strong set of core financials, such as accounts payable (AP) and accounts receivable (AR) functionality, NetSuite has built-in reporting and analytics capability that allows BPO providers to offer an integrated record-to-report service to clients. NetSuite also offers a broad range of specialized functionality, such as native Revenue Recognition and Recurring Billing, which with other solutions often must be "bolted on," resulting in higher costs to the BPO provider.
 
Also strong is the unified billing engine for mixed-mode businesses—product based, services based, subscription based, and usage based—all delivered in print, or via e-mail, website, or electronic data interchange (EDI), etc. Purchase contracts are coming in the future. BPO providers can also use NetSuite to support services in other areas, such as NetSuite's SuiteCommerce solution for outsourced ecommerce or NetSuite's Project Management capabilities to help clients manage and bill projects more efficiently.

 
NetSuite’s PaaS Helps the BPO Play
 
The program also gives BPO partners access to the NetSuite SuiteCloud development platform, to tailor NetSuite to client-specific needs and/or extend NetSuite to meet industry-specific needs. For a long time, NetSuite was staying away from platform as a service (PaaS) and app store ventures. In contrast to salesforce.com’s Salesforce1 platform and AppExchange marketplace, where it’s about quantity, NetSuite has been more selective about which partners it wants to work with. A growing number of SuiteCloud Development Network (SDN) partners are featuring their SuiteApps.
 
NetSuite offers BPO providers customization and integration tools with the SuiteFlow workflow engine, SuiteTalk web services application programming interface (API), and SuiteBundler. SuiteFlow and SuiteTalk allow companies to customize the solution to meet the needs of their practice and develop custom solutions. SuiteBundler allows providers to “bundle” these customizations and workflows, push them to any client’s account, and to modify the customizations and workflows across client accounts on an ongoing basis.
 
SDN Partners allow BPO providers to extend NetSuite into complementary areas such as human resource information system (HRIS) with partners such as Ascentis, to manage specialized requirements like sales tax with partners such as Avalara, and to use many other solutions that SDN Partners provide to further streamline processes. NetSuite even has its own flexible tax engine; Avalara and Vertex can handle some special niche requirements (e.g., luxury goods tax in New York) or e-filing for taxes, but NetSuite can do value-added tax (VAT) in relevant countries as well as US state sales taxes, while local partners must do taxing in Brazil or India (where it gets very tricky).
 
There has for some time been a "Built for NetSuite" certification program, featuring the top 50 or so rolled out SuiteApps. But the next step is a PaaS, and that is where BPO fits in: If a global BPO provider can deliver a financials BPO service to its clients cheaper with NetSuite than with, say, Oracle or SAP, why not go for NetSuite OneWorld?
 
Indeed, a select number of BPO providers have participated in a NetSuite pilot program for the last few years and have reportedly experienced a broad range of benefits when comparing NetSuite to other business management solutions on the market. Early partner participants in the NetSuite BPO Program serve a wide range of customers and include Accretive Solutions, Arthur Lawrence, Bennett Thrasher, Capgemini, KDV, McGladrey, and TempCFO. NetSuite is currently accepting new partners to the program.
 
comments powered by Disqus

Recent Searches
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z Others

©2014 Technology Evaluation Centers Inc. All rights reserved.