Rent-A-Center Saves Millions through Cloud Procurement Innovation with Coupa and IBM Smarter Commerce

  Rent-A-Center Saves Millions through Cloud Procurement Innovation with Coupa
  and IBM Smarter Commerce

   Leader in Rent-to-Own Industry Realizes Significant Results Across 4,000
                               Retail Locations

Business Wire

SOMERS, N.Y. & SAN MATEO, Calif. -- March 22, 2013

IBM (NYSE: IBM) and Coupa Software today announced that Rent-A-Center, Inc.
(NASDAQ: RCII), the nation’s largest rent-to-own operator, has achieved
millions in savings by optimizing and centralizing its purchasing process in
the cloud.

Rent-A-Center Saves Millions through Cloud Procurement Innovation via Coupa
and IBM (Photo: Business ...

Rent-A-Center Saves Millions through Cloud Procurement Innovation via Coupa
and IBM (Photo: Business Wire)

With approximately 4,000 locations and 20,000 employees, Rent-A-Center was
challenged with a highly de-centralized and manual purchasing process with low
employee adoption. In addition, the onboarding of suppliers was extremely
time-consuming and complicated. As a result, the company was not efficient at
consolidating purchasing to influence pricing or optimizing its contract,
invoicing and supplier management processes.

Tasked with revamping the entire procurement process for greater efficiency
and savings, Rent-A-Center relied on the combined power of procurement
solutions offered by IBM Smarter Commerce and Coupa to streamline its
spending.

As a result, between 2010 and 2012, the $3 billion rent-to-own retailer
increased visibility into spending by automating how it sources – or finds and
secures materials – for 90 categories of indirect spend, such as store office
supplies. From 2011 to 2012, the company consolidated its supply base,
reducing it by 10 percent, and decreased the number of invoices by 5 percent.
Rent-A-Center is currently saving, on average, 10 percent on the categories it
has automated.

Mike Wilding, senior vice president of accounting, global controller and CPO
for Rent-A-Center, commented on the company’s success in transforming its
procurement processes, “The IBM and Coupa integration has been fundamental in
driving our positive results as we revamped our procurement efforts. A major
part of our transformation focused on increasing productivity by automating
manual processes like invoicing and contracts. We are very pleased with our
savings to date, and we are on track to achieve our savings targets over the
next few years.”

Using IBM Emptoris capabilities delivered via a software-as-a-service (SaaS)
model, Rent-A-Center has quickly reduced sourcing costs and cycle times and
increased accounts payable productivity. By subscribing to a SaaS model, the
company has been able to accelerate its cost savings and return on investment,
and easily increase capacity for large sourcing events and peaks in activity.

The IBM Emptoris procurement suite is part of IBM’s Smarter Commerce
initiative, which is designed to help companies manage their supply and demand
processes through intelligent automation. The solutions, which can be deployed
either on premise or via SaaS or cloud delivery, are components of IBM’s
growing SmartCloud portfolio of more than 70 SaaS and Business
Process-as-a-Service (BPaaS) solutions.

Through Coupa’s intuitive application, Rent-A-Center immediately captures
spending without having to install software at each of its thousands of
locations. The consumer-like online experience helps ensure broad adoption by
letting employees easily enter spending into the system. This provides
management with clearer visibility and control over spending across all its
locations.

“IBM and Coupa have helped Rent-A-Center streamline and control supplier
management and reporting in one central solution,” said Pat Quirk, vice
president, IBM procurement solutions. “Rent-A-Center is an example of how SaaS
can speed delivery of services and eliminate technical complexity found with
other solutions.”

“Our No. 1 focus is customer success,” said Rob Bernshteyn, CEO of Coupa. “The
results that Rent-A-Center achieved are concrete examples of what can be done
when there is a common vision between our customers, our partners and
ourselves. Rent-A-Center reached all the goals we collectively hoped for –
better visibility into indirect spend, substantial cost savings and increased
business efficiencies. We look forward to seeing more customers unlock the
value of spend optimization with IBM and Coupa.”

Rent-A-Center is expanding into other countries and has opened 90 new stores
in Mexico between 2010 and 2012. The company uses Coupa and IBM’s procurement
software for local supplier sourcing and procurement in Mexico as well, which
helps minimize costs.

About Rent-A-Center, Inc.

Rent-A-Center, Inc., headquartered in Plano, Texas, is the largest rent-to-own
operator in North America, focused on improving the quality of life for its
customers by providing them the opportunity to obtain ownership of
high-quality, durable goods such as consumer electronics, appliances,
computers, furniture and accessories, under flexible rental purchase
agreements with no long-term obligation. The Company owns and operates
approximately 3,098 stores in the United States, Canada, Mexico and Puerto
Rico, and approximately 966 RAC Acceptance kiosk locations in the United
States andPuerto Rico. ColorTyme, Inc., a wholly owned subsidiary of the
Company, is a national franchiser of approximately 224 rent-to-own stores
operating under the trade name of “ColorTyme.” For additional information
about the Company, please visit www.rentacenter.com.

About IBM

More information on IBM can be found at:
IBM Smarter Commerce www.ibm.com/smartercommerce
IBM SmartCloud Solutions www.ibm.com/SaaS
IBM Procurement solutions
http://www-142.ibm.com/software/products/us/en/category/SW111

About Coupa Software

Founded in 2006, Coupa Software is the leading provider of cloud-based spend
optimization software. More than 300 customers in 40 countries  use the Coupa
suite of cloud applications to amplify their spend power and reduce spending
costs up to 11 percent. Only Coupa provides a true suite of cloud applications
that enables customers to launch the solution immediately and quickly realize
significant savings. Learn more at: http://www.coupa.com  or call
650.931.3200. Read more at our company blog, Making Cents, or follow @Coupa on
Twitter.

Photos/Multimedia Gallery Available:
http://www.businesswire.com/multimedia/home/20130322005122/en/

Multimedia
Available:http://www.businesswire.com/cgi-bin/mmg.cgi?eid=50595655&lang=en

Contact:

IBM
Mike Azzi, 914-766-1561
azzi@us.ibm.com
or
Coupa Software
Elena Annuzzi, 650-539-3860
elena.annuzzi@coupa.com