Scanmarket expands Enterprise Lifecycle and Third-Party Risk Management capabilities with the acquisition of Symfact, a leading Contract Lifecycle Management, Third-Party Risk Management, and Legal Entity Management software company.
Scanmarket announced on October 28, 2021 the acquisition of Symfact. The acquisition expands Scanmarket’s geographical reach and strengthens Scanmarket's existing software and AI technology capabilities.
“This acquisition is a strategic move that underpins Scanmarket’s ambition to become the leader in the procurement marketplace and to expand Scanmarket’s product portfolio and geographical market reach,” says Betina Nygaard, CEO of Scanmarket. She adds, “Symfact is uniquely positioned in the Enterprise Legal Management market with solid expertise within CLM, strengthened by its additional capabilities within Legal Entity and Risk Management."
Supply chain assessment, data privacy, data protection and cyber security have all become urgent business requirements with the arrival of Covid-19. Over the past 18 months, it has become apparent that most companies were not prepared or resilient enough to handle a crisis such as a global pandemic. As a result, the topic of Governance, Risk, and Compliance (GRC) is now at the top of most business agendas. The combined product offering of Scanmarket and Symfact specifically addresses the trend of GRC and provides solutions across the full spectrum of risk assessment and monitoring.
Scanmarket has expertise in Source-to-Contract (S2C) solutions, while Symfact specializes in Contract Lifecycle Management including Third-Party Risk Management. With Symfact’s capabilities, risk factors are automatically identified and integrated with CLM related to contract analysis, contractual commitments, exposure, liability and legal risk capabilities.
“We see a great opportunity for synergies between our two product portfolios, complimenting and strengthening our collective offerings and following the trend of a converging market,” says Andreas Kyriakakis, CEO of Symfact. “The combined Scanmarket and Symfact offering will provide businesses with a comprehensive ability to secure their supply chains, ensuring deliveries as promised, as well as providing ongoing supply chain monitoring and risk assessment,” he added.
The combined offering is expected to be attractive to Scanmarket’s existing client base, which is faced with the challenge of aligning supplier contracts with their legal teams, a stakeholder group with growing influence for future procurement teams.
Scanmarket will expand its geographical reach in the DACH region through Symfact’s sales representatives and offices in Switzerland, adding support for the German, Austrian, and Swiss markets. The acquisition of Symfact also adds a larger footprint to Scanmarket’s existing North American presence, including an additional office location in Canada.
Furthermore, the acquisition of Symfact will expand the group’s capabilities in the field of AI technology by complementing Scanmarket’s existing AI team with additional resources and technology to grow automation and machine learning in all product areas. This will start within CLM and Spend Analytics. Symfact has progressed in the field of AI and OCR (Optical Character Recognition), providing automated legal contract analysis to address risk identification, meta data and missing paragraphs, thereby saving time and bringing new capabilities to legal teams overwhelmed by high volumes of contracts.
Scanmarket and Symfact already share a common approach. Both hold market positions as vendors of technology that is easy to use, adapts well to market requests, provides exceptional customer support and maintains close working partnerships with their customers.