PurchasePro Makes Cuts, Pushes Forward

LAS VEGAS— PurchasePro’s new CEO Richard Clemmer moved swiftly in his role as company leader (he was granted the top slot on June 6), making strategic changes he felt necessary to keep the company moving forward. According to Steve Stern vp/investor communications, “it is business as usual [at PurchasePro], ” following the downsizing and realignment announcements. While that may not be exactly true, since the company cut nearly 50% of its staff, leaving less than 300 people, he did note that “the employee base is more in tune with the revenue expectations of the company now.” The realignment also affected the senior management level, with President Shawn McGhee resigning from his position effective June 30. “Personnel changes were made across the board, at all levels,” said Stern. The company’s senior management now consists of Clemmer; Allen Winder, COO/evp; Jeff Anderson, senior vp for strategic alliances; Chris Benyo, senior vp of marketing and network services; and Dale Boeth, senior vp of consulting services. A search is currently underway for a new CFO— Clemer had originally held that title, but has since been promoted. He is, however, still acting as CFO for the company in the interim. A new CFO is expected to be named within 60 days, according to Stern. Ultimately, the company is seeking to maximize its focus on customer service in software, network sales and network development, said Clemmer. So as part of the strategic move, a new cost control program will be implemented, and the sales team will focus on selling software products to increase revenues, executives said. According to Clemmer, PurchasePro is “embarking on a specific network services initiative, focusing on the continued build out and population of our industry leading e-commerce network and related services.” A new consulting services group has been formed to concentrate on integration solutions and the custom development needs of the customers with the e-Source and e-Procurement products. The new strategic approach includes building and partnering to provide superior e-commerce applications, populating the PurchasePro commerce marketplace, driving adoption of the company’s solutions within its customer base and educating the business world of PurchasePro solutions and e-Commerce via its supplier college. —Shannon McMullen