RightWorks Corp., a provider of online procurement software, is making its flagship RightWorks 4.0 product available as a rentable application through Exodus Communications Inc.
Aimed at small and midsize companies, RightWorks 4.0 automates purchases, tracks orders, and provides analysis and reporting on procurement trends. The company hopes to benefit from the growing trend toward outsourcing business applications through application service providers. By renting the product as a hosted application, organizations don't need IT expertise to manage the system, which will be installed and maintained by Exodus.
Procurement is a good candidate for outsourcing because it "requires minimal integration points," says Bob Parker, an analyst with AMR Research. In addition, midmarket customers are an appropriate target for outsourced applications since they don't have the internal resources to install or manage the apps themselves, he says.
Exodus provides Web-site and network-management services. Expanding its customer base was a factor RightWorks considered when it chose to work with Exodus. Exodus "customers are potential customers of ours," Ian Williams, RightWorks VP of marketing, says.
The hosted product is available on a subscription basis for $35 per month, per user.