ServiceNow Source to Pay and Strategic Sourcing app: What difference?

NEWS

Discover how ServiceNow Source to Pay and Novabridge's strategic sourcing transform ANZ public sector procurement. Implement the right solution for your complex purchasing needs today.

Public sector procurement in Australia and New Zealand presents a distinct set of challenges compared to the private sector. Strict compliance mandates, transparency obligations, and heightened public accountability turn procurement into a high-stakes exercise in governance. These layers of complexity often create a dense network of processes and approvals, demanding tools that can rise to the occasion.

Government clients in both countries frequently express uncertainty when evaluating ServiceNow's procurement capabilities, particularly the difference between ServiceNow Source-to-Pay (S2P) and strategic sourcing (complex procurement). Are these overlapping tools, complementary modules, or designed for entirely different use cases?

This article provides clarity on their roles and relevance in real-world government procurement scenarios.

Procurement in the Australian and New Zealand Public Sector

In Australia, procurement is primarily governed by the Commonwealth Procurement Rules (CPRs). These lay the foundation for achieving value for money, encouraging competition, and ensuring accountability.

Meanwhile, New Zealand's equivalent is the Government Procurement Rules, administered by MBIE, focusing on broader outcomes, fair opportunity, and sustainability.

While Australia and New Zealand each operate under distinct procurement rules and governance frameworks, they ultimately follow a shared foundational workflow: defining needs, seeking competitive offers, evaluating responses, awarding contracts, and managing vendor performance. This common backbone ensures consistency in outcomes, even as the guiding principles and regulations differ.

Strategic sourcing workflow
Strategic sourcing (complex procurement) workflow in the Public Sector (source: Novabridge)

Challenges in ANZ Public Sector’s Procurement

However, despite this shared structure, many public sector agencies still face a number of persistent operational challenges:

  • Lengthy procurement timelines: Prolonged approval cycles and manual steps can significantly delay procurement outcomes.
  • Fragmented communication: Disparate systems and siloed teams hinder collaboration among internal stakeholders and external suppliers.
  • Inconsistent evaluation methods: Lack of standardisation in assessment processes can lead to bias or inefficiency.
  • Limited visibility: Stakeholders often lack end-to-end oversight of the procurement lifecycle, reducing accountability and strategic insight.

These issues become particularly acute in complex or high-value procurements, where traditional tools struggle to provide the required agility, traceability, and governance. This sets the stage for more specialised solutions, such as ServiceNow Source-to-Pay and Novabridge's strategic sourcing (complex procurement) App, to make a meaningful impact.

What is ServiceNow Source to Pay (S2P)?

ServiceNow Source to Pay (S2P) is a comprehensive solution that transforms traditional procurement processes into a digital, unified experience. It covers the entire procurement lifecycle from supplier sourcing to contract management, invoicing, and payment under a single platform.

Key Features:

  • Centralised workflows: Consolidates sourcing, evaluation, contracting, and payments into a single digital environment.
  • End-to-end visibility: Provides real-time tracking and transparency across procurement stages.
  • Automation of risk and compliance checks: Minimises human error and speeds up approval processes.

Benefits for Organisations:

  • Improved operational efficiency: Reduces procurement cycle times by eliminating manual handovers and duplicated efforts.
  • Standardisation: Facilitates consistent, repeatable procurement activities, ideal for transactional and routine purchases.
  • Enhanced governance: Ensures compliance through audit-ready digital trails and built-in control mechanisms.

For government entities in Australia and New Zealand, ServiceNow Source to Pay (S2P) is especially effective in driving procurement modernisation in line with public sector compliance mandates.

What is strategic sourcing (complex procurement)?

Novabridge strategic sourcing (complex procurement) improves the procurement processing and drives compliant outcomes, it helps procurement teams accelerate requesting, planning and approval, release to market, evaluation and supplier qualification, negotiations, and contract management on a single end-to-end business procurement process.

Strategic sourcing (complex procurement) refers to high value, high risk, or non-standard procurement scenarios that require tailored evaluation, stakeholder engagement, and flexible workflows. Novabridge’s strategic sourcing app (complex procurement app) (available on the ServiceNow Store) addresses these nuanced needs by extending ServiceNow S2P into scenarios where rigid structures fall short.

Novabridge strategic sourcing workflow (known as complex procurement before) uses ServiceNow capabilities to:

  • Automate workflows to reduce manual handling of procurement, contract management, and asset management activities
  • Empower customers by providing ‘self-service’ services and accessible guides for the strategic sourcing (complex procurement) workflow process
  • Streamline the strategic sourcing (complex procurement) workflow decisions and approvals processes
  • Establish deliberate and measurable procurement planning processes
  • Establish a framework for the continuous improvement of customers’ business and technical procurement processes

Optimising procurement processes with Novabridge strategic sourcing (complex procurement)

Organisations that face recurring complex purchases, such as ICT investments or multi-stakeholder service contracts, can unlock enormous value by implementing Novabridge’s strategic sourcing (complex procurement) app. Let’s break down the enhancements:

Streamlined procurement management

  • Rapid automation: Replaces manual tasks with intelligent routing and triggers.
  • Team oversight: Enables supervisors to monitor workloads and redistribute tasks.
  • Distributed workloads: Requestors handle low-risk elements, freeing up experts.

Superior user experience

  • Single entry portal: Centralised procurement submissions from $80,000 to multi-million-dollar contracts.
  • Activity tracking: Track real-time progress and actions on each procurement case.
  • Enhanced visibility: One portal to rule them all, improving transparency for all users.

Centralised procurement activities

  • Request management: Fully customisable templates for varied procurement scenarios.
  • Holistic evaluation: Manage evaluation panels, assign roles, and consolidate feedback.
  • Integrated capability: Extend seamlessly to contract and asset modules.

“Don't put all your eggs in one basket" unless that basket is fully digital, traceable, and secured by workflow automation.

Novabridge: A trusted ServiceNow Elite Partner in ANZ for strategic sourcing

Procurement is in our DNA. Novabridge wasn't just founded with procurement expertise, it was born on procurement, making us uniquely qualified as a trusted ServiceNow Partner for strategic sourcing across Australia and New Zealand. This deep-rooted procurement specialisation has enabled Novabridge to deliver critical projects for the Australian Federal Government, including:

Novabridge is headquartered in Canberra with a presence across Sydney, Melbourne, Perth, Brisbane, and now Wellington, Auckland, New Zealand, bringing hands-on advisory, implementation, and post-deployment optimisation for ServiceNow S2P and strategic sourcing (complex procurement) across the Tasman.

Looking to modernise your procurement operations in Australia or New Zealand? Partner with Novabridge and unlock the full potential of ServiceNow.

Conclusion

In essence, ServiceNow Source to Pay and Novabridge strategic sourcing (complex procurement) are not at odds but are part of the same continuum. S2P is ideal for straightforward, repeatable processes, while strategic sourcing (complex procurement) shines when the road gets rocky and requires more than just a rubber-stamped purchase order.

As Australian and New Zealand agencies seek to modernise procurement under tight scrutiny and tighter budgets, knowing which tool to use when is half the battle. The other half? Choosing the right partner to implement it and that’s where Novabridge walks the talk.

As they say in the industry, "the devil is in the detail" and with Novabridge and ServiceNow, every detail is accounted for.

EMPATHETIC
RELIABLE
EXPERT
DYNAMIC
BRAVE
EMPATHETIC
RELIABLE
EXPERT
DYNAMIC
BRAVE