0 | P a g e

GUJARAT TECHNOLOGICAL UNIVERSITY, AHMEDABAD

Ph.D Programme in Management

“A Study of e- Procurement Practices in Selected Organizations

in Gujarat”

Ph.D Synopsis

Submitted To

Gujarat Technological University

For The Degree

of

Doctor of Philosophy in

Management

By

Patel Prakashkumar Hasmukhbhai (Reg No: 8099)

Enrol No: 119997392022

Assistant Professor

C. K. Shah Vijapurwala Institute of Management, Vadodara

Supervisor:

Dr Satendrakumar

Professor and Head

PhD Research Centre

C. K. Shah Vijapurwala Institute of

Management, Vadodara

Vadodara

Co-Supervisor:

Prof. Dr. Samo Bobek

Professor of E-business

Information Management and Information

Systems

The Faculty of Economics and Business

(FEB), University of Maribor, Slovenia

1 | P a g e

"A Study of e- Procurement Practices in Selected Organizations in Gujarat".

Abstract

Electronic business and electronic-procurement are rapidly gaining global attraction.

Business done through internet provides major cost saving, enhances efficiency and

increased productivity. India faces major traditional and cultural barriers in adapting e-

business. This is mainly due to traditional market mentality of doing business which is

heavily based on personal trust, historical credits and highly conservative business

practices. e-Procurement involves electronic data transfers to support operational, tactical

and strategic procurement. The purpose of this research is to study the e-procurement

practices in selected industrial manufacturing organizations. Manufacturing sector has a

greater propensity to adopt technologies such as e-procurement1. The descriptive research

adopted a quantitative methodology with a questionnaire instrument being employed to

investigate various e-procurement practices within a sample of those manufacturing firms

which used e-procurement. The present study on e-procurement practices describes the

current status of e-procurement and difficulties being faced in e-procurement. The present

study also compares e-procurement system in various manufacturing Industrial Units in

Gujarat.

Keyword: Information Technology (IT), e-procurement, IT Tools and Solution, EDI,

Web-EDI

Brief description on the state of the art of the research topic

Procurement is the process of acquiring, buying goods, services or works from an external

source, often via a tendering or bid process2.The procurement management process

involves managing the ordering, receipt, review and approval of items from suppliers.

Procurement activities are divided in to two different categories direct and indirect based

on the consumption purpose. Direct Procurements affects the production process of

manufacturing firms. It encompasses all items that are part of finished products, such as

raw material, components and parts. In contrast, indirect procurement activities concern

operating resources that a company purchases to enable its operations. It comprises of a

1 Paul O. Harrigan et al. (2008), e-procurement within the ICT manufacturing industry in Ireland , Emerald

Group Publishing Limited last retrieved from www.emeraldinsight.com/0025-1747.htm, Vol. 46 No. 3, 2008

pp. 481-500 2 “Procurement” last retrieved dated 22.03.2016 from https://en.wikipedia.org/wiki/Procurement

2 | P a g e

vast variety of goods and services, ranging from standardized low value items like office

supplies and machine lubricants to complex and costly products and services3.

Traditionally, procurement was paper- and conversation-based, usually with procurement

officers interacting with long-time partners or well-known suppliers and purchasing at

fixed prices. Key challenges the procurement managers are facing in the increasingly

competitive business world are mentioned in the study of Kalakota and Robinson (2001).

These Five challenges are:4 (1) Reducing order processing cost and cycle times (2)

Providing enterprise-wide access to corporate procurement capabilities (3) Empowering

desktop requisitioning through employee self-service (4) Achieving procurement software

integration with company‟s back office systems (5) Elevating the procurement function to

a position of strategic importance within the organization.

The Internet has brought about a lot of changes in business, economics, information and

entertainment. Also transfer of information has no geographical and time barrier. Virtually

all the manufacturers, suppliers, distributors, customers all across the world are now

connected to each other through World Wide Web (WWW). Activities and transactions

related to buying, selling, etc. can now be brought under the realm of internet. The

pressure on each business enterprise now is to plan transformation to e-Commerce

paradigm. In the Internet based system, not only transparency can be ensured but

everything is also on record5. In recent years, this has changed somewhat to become a

strategic function. Procurement officers seek suppliers that fit with a company's overall

strategy. e-Procurement involves moving the procurement process online to cut out steps

and save money. e-Procurement involves electronic data transfers to support operational,

tactical and strategic procurement. e-Procurement advantages are significant bottom-line

benefits, including cost reduction, process efficiencies, spending controls and compliance.

Hence, the current study focuses on the e-procurement practices.

The History

The origin of e-procurement began in the 1980s, with the development of electronic data

interchange (EDI). EDI allowed customers and suppliers to send and receive orders (and

3 “Procurement” last retrieved dated 22.03.2016 from https://en.wikipedia.org/wiki/Procurement.

4 Kalakota, R., Robinson, M. (2001) e-business 2.0: roadmap for success (2nd Edition). USA Adison-

Wesley 5“Transparency in public dealing through e-ERA” last retrieved on 15.03.2016 from

http://www.iimm.org/ed/index.php?option=com_content&view=article&id=158&Itemid=107.

3 | P a g e

invoices as well) using call-forwarding networks. In the 1990s, technology, as it tends to

do, improved and software companies began to develop electronic catalogues, specifically

for the vendor‟s use and, e-procurement software has become a mixture of the two: a

platform for sending and receiving orders and various catalogues. Marketplaces have also

proved to be a popular addition to e-procurement software. According to Chartered

Institute of Procurement and Supply (CIPS) the definition of Marketplace is a virtual

marketplace for suppliers, distributors, agents and customers6”.

e-Procurement

Croom & Brandon-Jones (2004), e-Procurement refers to the use of Internet-based

(integrated) information and communication technologies (ICTs) to carry out the activities

of individuals at all the stages of the procurement process including search, sourcing,

negotiation, ordering, receipt, and post-purchase review4.

Literature Review

The available literatures have been reviewed to obtain information on the following:

1. Concept of e-Procurement / e-Tendering.

2. Roadmap for e-procurement implementation.

3. Technology requirements for participation in e-tendering / e-procurement.

4. Form / Types of e-procurement.

5. How government procurement differs from private procurement.

6. Benefits of e-procurement / e-tendering.

7. Factors that affect implementation of e- procurement.

7.1 Drivers and Barriers.

7.2 Challenges and risks of e-procurement.

8. Solution of the Problems.

Definition of the Problem

Many developing countries like India are undergoing through major modernization

process. There are 243 Million internet users in India from the huge population of 1.237

Billion. Total users may increase to 500 Million by 2018. India will become larger than

the US in terms of number of Internet users by the end of 2014 (Rajan Anandan, MD,

6 “E Procurement - Challenges and Opportunities” last retrieved on 15.03.2016 from

http://www.purchasing-procurement-center.com/e-procurement.html

4 | P a g e

Google India)7. Procurement is really a collection of processes that involve many steps

and interactions with the other departments of a company and with the suppliers. Because

purchasing costs typically run to 50% of operational costs, the procurement process

provides many opportunities for cost savings that can make a great difference to a

company's bottom line. The rule of thumb is that a 5% savings in purchasing costs can

increase profit by 50%, and would equally increase revenue by 50%, or a reduction in

overhead costs of about 20%. Traditionally, procurement was paper- and conversation-

based, usually with procurement officers interacting with long-time partners or well-

known suppliers and purchasing at fixed prices. In recent years, this has changed up to a

certain extent to become a strategic function. Procurement officers seek suppliers that fit

with a company's overall strategy. e-Procurement involves moving the procurement

process online to cut out steps and save money. In business, time is money. So, more a

company can reduce the involvement of staff in purchasing by quickly issuing a purchase

order, the more it can reduce on operational costs8. The use of internet has made the world

smaller and, through it, business transactions are conducted globally at a faster pace. The

age of connectivity has reduced distances and brought people closer. Today many

companies use e-procurement as a strategic tool to compete with others. Research

problems arise from the fact that a lot of businesses are still relying on the traditional

procurement and literature has provided limited result on e- procurement practices.

Therefore, the researcher has selected to study the e-Procurement practices in some

selected Manufacturing Industrial Units of Gujarat.

Research Objectives

1. To study and to compare e-procurement in selected manufacturing industrial units of

Gujarat.

2. To study the present status of e-procurement in these selected manufacturing

industrial units of Gujarat

3. To explore/ identify the difficulties faced in e-procurement implementation.

7 Rajan Anandan, MD, Google India “Internet usage” last retrieved on 23.03.2016 from

http://blog.digitalinsights.in/important-statistics-digital-and-social-media-users-in-india/05224987.html 8 “Procurement vs E-procurement” last retrieved from 20.03.2016 from https://www.bdc.ca/en/articles-

tools/operations/purchasing/pages/traditional-vs-e-procurement.aspx?caId=tabs-1

5 | P a g e

4. To identify the reasons that has led to the implementation of e-procurement in the

selected manufacturing Industries of Gujarat.

5. To study the extent to which IT tools are used in e- procurement.

6. To study the documents exchanged in e-procurement through EDI.

Scope of the work

The aim of the present research is to study the e-procurement practices in the

manufacturing firms of Gujarat which are using e-procurement. The firms in Gujarat

which are not using e-procurement are out of the scope of the present study.

Original contribution by the thesis

This study addresses a gap in knowledge by investigating e-procurement practices in the

selected manufacturing firms using e-procurement. The major outcome of this study has

been derived from the comparisons of e-procurement process in selected manufacturing

Industrial units of Gujarat. Based on these comparisons, we are able to find the difference

between e-procurement practices and responses from the various companies based on the

types, size and ownership of the firms. The research provides a base for further research in

future. It also helps to understand the reasons leading to the adoption of e-procurement

and difficulties faced by these firms and also the IT tools used and preferred by them.

Methodology of Research

The current study is a descriptive research study with objective to identify the reasons for

adopting e-procurement. For this, primary data were collected through structured

questionnaire using the personal survey method. The sampling unit includes: Executives

and Managers concerned with e-procurement activities of an organization. The sampling

technique adopted for the survey is non probability convenience sampling technique.

Sample size is 72 companies from the entire Gujarat which includes South Zone, North

Zone, Central Gujarat and Saurashtra region.

Achievements with respect to objectives

Objective No 1: To study and to compare e-procurement in selected manufacturing

Industries of Gujarat. And Objective No 2: To study the present status of e-procurement

in these selected manufacturing Industries of Gujarat

1. For the present study Kruskal-Wallis test is performed with an objective to understand

the significance of difference in difficulties faced in e-procurement across industry.

6 | P a g e

Ho, 1: There is no significant difference in difficulties faced in e-procurement

implementation across industry

H1, 1: There is a significant difference in difficulties faced in e-procurement

implementation across industry

Table 1: The statistics

Chi-Square df Asymp. Sig.

Solutions only address some of our

procurement processes 17.000 7 .017

Solutions do not address the

complexity of our processes 14.232 7 .047

Table 2 : Ranks

Industry Based on Product N Mean Rank

Solutions only address

some of our

procurement processes

Chemical & Petroleum 18 45.44

Automotive 5 43.80

Pharmaceutical 4 55.63

Information Technology 8 27.00

Textile 7 37.07

Engineering & Machine

Tools 18 32.97

Fertilizer 1 6.50

Others 11 26.64

Total 72

Solutions do not

address the complexity

of our processes

Chemical & Petroleum 18 42.28

Automotive 5 41.70

Pharmaceutical 4 47.63

Information Technology 8 22.75

Textile 7 33.21

Engineering & Machine

Tools 18 42.33

Fertilizer 1 6.50

Others 11 25.91

Total 72

Interpretation

Table 1 show the p-value of “Solutions only address some of our procurement processes”

is 0.017 and “Solutions do not address the complexity of our processes” is 0.047. These p-

values are less than 0.05, hence for these statements the null hypothesis rejected. So there

7 | P a g e

is a significant difference in difficulties faced in e-procurement implementation across

industry for these statements. Table 2 shows the mean rank of respondent of industry.

From the mean rank, we can say that Pharmaceutical Industry is facing more difficulties in

„Solutions only address some of our procurement processes‟ and „Solutions do not address

the complexity of our processes‟.

Likewise the Kruskal-Wallis test was performed to fulfill the following objective:

Objective: To understand the significance of difference in difficulties faced in e-

procurement implementation across industry, Size of the firm and Ownership of the firm.

The Null and the alternative hypothesis are given below:

Ho, 2: There is no significant difference in difficulties faced in e-procurement

implementation across industry, size of the firm and ownership of the firm.

H1, 2: There is a significant difference difficulties faced in e-procurement implementation

across industry, Size of the firm and Ownership of the firm.

Table 3: Difficulties faced in e-procurement across industry, Size and Ownership

Statement Industry Size

(Investment)

High introduction costs for new

solutions

P = 0.009

Ho - rejected

Solutions only address some of our

procurement processes

P = 0.014

Ho - rejected

Solutions do not address the

complexity of our processes

P = 0.047

Ho - rejected

Table 3 shows the p-value of various statements of Difficulties faced in e-procurement

implementation, which are less than 0.05. Hence for these statements null hypotheses have

been rejected. So there is a significant difference in difficulties faced in e-procurement

implementation across industry, Size of the firm and Ownership of the firm for these

statements.

Objective: To understand the significance of difference in procurement objectives across

industry, Size of the firm and Ownership of the firm

Ho, 3: There is no significant difference in procurement objectives across industry, Size of

the firm and Ownership of the firm

8 | P a g e

H1, 3: There is a significant difference of procurement objectives across industry, Size of

the firm and Ownership of the firm

Table 4: Procurement objectives across industry, Size and Ownership of the firm

Statement Industry Size

(Investment)

Size (No of

employees) Ownership

Reduction of the

purchasing price

P = 0.036

Ho - rejected

Optimising total costs

of procurement

P = 0.022

Ho - rejected

P = 0.044

Ho - rejected

Maintaining quality

guidelines

P = 0.014

Ho - rejected

P = 0.050

Ho - rejected

Minimizing

warehouse costs

P = 0.033

Ho - rejected

P = 0.036

Ho - rejected

Reduction of the

number of suppliers

P = 0.042

Ho - rejected

Table 4 shows the p-value of various statements of Procurement objectives, which are less

than 0.05. Hence for these statements the null hypothesis is rejected. So there is a

significant difference of procurement objectives across industry, Size of the firm and

Ownership of the firm for these statements.

Objective: To understand the significance of difference in reasons for adopting

e-procurement across industry, Size of the firm and Ownership of the firm.

Ho, 4: There is no significant difference of reasons for adopting e-procurement across

industry, Size of the firm and Ownership of the firm

H1, 4: There is a significant difference of reasons for adopting e-procurement across

industry, Size of the firm and Ownership of the firm

Table 5: Reasons for adopting e-procurement across industry, Size and Ownership

Statement Industry Size

(Investment)

Size (No of

employees) Ownership

Openness P = 0.025

Ho - rejected

Transparency

P = 0.017

Ho - rejected

Decentralised supply

of information

P = 0.009

Ho - rejected

P = 0.023

Ho - rejected

9 | P a g e

Table 5 shows the p-value of various statements of Reasons for adopting e-procurement,

which are less than 0.05. Hence for these statements the null hypothesis is rejected. So

there is a significant difference of reasons for adopting e-procurement across industry,

Size of the firm and Ownership of the firm for these statements.

Objective: To understand the significance of difference in further up gradation of IT to

support the procurement process across industry, Size of the firm and Ownership of the

firm

Ho, 5: There is no significant difference in further up gradation of IT to support the

procurement process across industry, Size of the firm and Ownership of the firm

H1, 5: There is a significant difference in further up gradation of IT to support the

procurement process across industry, Size of the firm and Ownership of the firm

Table 6: Up-gradation of IT to support the procurement process across industry,

Size and Ownership

Statement Industry Size

(Investment)

Size (No of

employees) Ownership

Optimising the Analysis

of expenditure

P = 0.002

Ho - rejected

Supplier assessment

P = 0.013

Ho - rejected

P = 0.026

Ho - rejected

Electronic interchange of

business documents (EDI)

P = 0.046

Ho - rejected

Table 6 shows the p-values of various statements of up-gradation of IT to support the

procurement process, which are less than 0.05. Hence for these statements the null

hypothesis is rejected. So there is a significant difference in further up gradation of IT to

support the procurement process across industry, Size of the firm and Ownership of the

firm for these statements.

Objective: To understand the significance of difference in IT tools used for e-

procurement across industry, Size and Ownership of the firm.

Ho, 6: There is no significant difference in IT tools used for e-procurement across

industry, Size of the firm and Ownership of the firm

H1, 6: There is a significant difference in IT tools used for e-procurement across industry,

Size of the firm and Ownership of the firm

10 | P a g e

Table 7: IT tools used for e-procurement across industry, Size and Ownership

Statement Industry Size

(Investment)

Size (No of

employees) Ownership

Material

Management

Module (ERP -

System)

P = 0.033

Ho - rejected

Electronic data

interchange (EDI)

P = 0.037

Ho - rejected

P = 0.041

Ho - rejected

P = 0.004

Ho - rejected

Tool for supplier

evaluation

P = 0.037

Ho - rejected

Table 7 shows that the p-values of various statements of IT tools used for e-procurement,

are less than 0.05. Hence for these statements, the null hypothesis is rejected. So there is a

significant difference in IT tools used for e-procurement across industry, Size of the firm

and Ownership of the firm for these statements.

Objective: To understand the significance of difference in IT tools preferred for e-

procurement across industry, Size and Ownership of the firm.

Ho, 7: There is no significant difference in IT tools preferred for e-procurement across

industry, Size of the firm and Ownership of the firm

H1, 7: There is a significant difference in IT tools preferred for e-procurement across

industry, Size of the firm and Ownership of the firm

Table 8: IT tools preferred for e-procurement across industry, Size and Ownership

Statement Industry Size

(Investment)

Size (No of

employees) Ownership

Desktop purchasing

for indirect goods

P = 0.019

Ho – rejected

P = 0.045

Ho - rejected

Catalogue

management tool for

indirect goods

P = 0.050

Ho - rejected

Table 8 shows the p-values of various statements of IT tools preferred for e-Procurement,

are less than 0.05. Hence for these statements the null hypothesis is rejected. . So there is

a significant difference in IT tools preferred for e-procurement across industry, Size of the

firm and Ownership of the firm for these statements.

11 | P a g e

Objective No 3: To explore/ identify the difficulties faced in e-procurement

implementation.

3.1 Kruskal-Wallis test is performed with an objective to understand the significance of

difference in difficulties faced in e-procurement implementation across industry, Size and

Ownership of the firm. Table 3 shows the result of the test.

3.2 Factor analysis is performed, the significant value of Bartlett's Test is 0.000, this leads

to rejection of the idea that the correlation matrix is identity matrix and KMO is 0.513

which is greater than 0.5. Hence, this value is acceptable and justifies the appropriateness

of factor analysis. Eigen values of all the components that can be extracted and cumulative

variance of four factors together contribute 73.827% of total variance.

Table 9: KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .513

Bartlett's Test of Sphericity

Approx. Chi-Square 302.377

Df 45

Sig. .000

Four factors are derived from factor analysis related to difficulties faced in e-procurement

implementation. They are named as (1) Poor data management and partial solutions (2)

Costly non-user friendly solutions and lack of expertise (3) Non-useful Non-integrated

solutions and (4) Lack of supplier readiness.

Objective No. 4: To identify the reasons that has led to the implementation of e-

procurement in the selected manufacturing Industries of Gujarat.

4.1 Factor analysis is performed, the significant value of Bartlett's Test is 0.000, this leads

to rejection of the idea that the correlation matrix is identity matrix and KMO is 0.680

Which is greater than 0.5. Hence, this value is acceptable and justifies the appropriateness

of factor analysis. Eigen values of all the components that can be extracted and cumulative

variance of three factors together contribute 71.657% of total variance.

Table 10: KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .680

Bartlett's Test of Sphericity

Approx. Chi-Square 408.608

Df 66

Sig. .000

12 | P a g e

Four factors are derived from factor analysis related to reasons for adopting e-

procurement. They are named as (1) Supply Management with Process Accountability (2)

Demand Management with Lucidity (3) Operational Efficiency of Procurement Process

and (4) Price Discovery.

4.2 Kruskal-Wallis test is performed with an objective to understand the significance of

difference of reasons for adopting e-procurement across industry, Size and Ownership of

the firm. Table 5 shows the result of the test.

Objective No. 5: To study the extent to which IT tools are used in e- procurement.

5.1 Kruskal-Wallis test is performed with an objective to understand the significance of

difference of IT Tools used and preferred for e-procurement across industry, Size and

Ownership of the firm. Table 7 and 8 shows the result of the test.

5.2 Frequency distribution of IT solutions used for operative order processing is shown in

Table 11

Table 11: IT Solution Frequencies

IT solutions are used for

operative order processing

Responses

Freq Percent

SAP MM (materials management module) 37 51.40%

SAP BBP/EBP (The SAP solutions Enterprise Buyer

Professional (EBP) and its preceding version (BBP) 9 12.50%

Purchasing Card (VISA, Airplus, Amexco ..) 14 19.40%

SAP SRM (Supplier Relationship Management ) 6 8.30%

Oracle, PeopleSoft, J.D.Edwards 4 5.60%

Ariba 2 2.80%

Product development in-house 10 13.90%

ERP 38 52.80%

Table 11 shows the frequency of IT solutions used for operative order processing. 38 out

of 72 Manufacturing Industrial Units are using ERP. 37 out of 72 Manufacturing

Industrial Units are using SAP MM (materials management module). 14 out of 72

Manufacturing Industrial Units are using Purchasing Card (VISA, Airplus, Amexco ..), 9

out of 72 Manufacturing Industrial Units are using SAP BBP/EBP (The SAP solutions

Enterprise Buyer Professional (EBP) and its preceding version (BBP), 10 out of 72

Manufacturing Industrial Units are using Product development in-house, 6 out of 72

Manufacturing Industrial Units are using SAP SRM (Supplier Relationship Management),

13 | P a g e

4 out of 72 Manufacturing Industrial Units are using Oracle, PeopleSoft, J.D.Edwards and

Only 2 out of 72 Manufacturing Industrial Units are using Ariba.

Objective No 6: To study the documents exchanged in e-Procurement through EDI.

6.1 For this objectives frequency distribution shows the frequency of No. of supplier with

whom business document were exchanged by means of EDI/Web EDI from last six

months.

Table 12: No. of supplier with whom business document were

exchanged by means of EDI/Web EDI during the last six months

Frequency Percent

Valid

None 4 5.6

One o five 3 4.2

Six to Ten 6 8.3

Eleven to Forty Nine 20 27.8

Fifty to Ninety Nine 7 9.7

Greater than 100 32 44.4

Total 72 100.0

As per Table12, 32 out of 72 Manufacturing Industrial Units have exchanged their

documents with more than 100 suppliers by means of EDI/ Web EDI during the last six

months, 20 out of 72 Manufacturing Industrial Units have exchanged their documents

with Eleven to Forty nine suppliers by means of EDI/ Web EDI from last six months, 7

out of 72 Manufacturing Industrial Units have exchanged their documents with Fifty to

Ninety Nine suppliers by means of EDI/ Web EDI from last six months, 6 out of 72

Manufacturing Industrial Units have exchanged their documents with Six to Ten suppliers

by means of EDI/ Web EDI from last six months. 3 out of 72 Manufacturing Industrial

Units have exchanged their documents with one to five suppliers by means of EDI/ Web

EDI from last six months. 4 out of 72 Manufacturing Industrial Units did not exchange

their documents with suppliers by means of EDI/ Web EDI from last six months.

6.2 Frequency distribution shows the frequency of electronic documents which were

exchanged with suppliers more often

14 | P a g e

Table 13: electronic documents are exchanged with suppliers more often

Documents Once in

a week

Once in

a month

Once in

3 Month

Once in

6 Month

Can‟t

Say

Purchase order 79.2 15.3 1.4 0 4.2

Invoice 87.5 0 9.7 1.4 1.4

Order confirmation 69.4 22.2 1.4 0 6.9

Request for

quote/bid 33.3 27.8 26.4 4.2 8.3

Despatch advice 81.9 12.5 0 2.8 2.8

Table 13 shows, 79.2 % of manufacturing units have exchanged Purchase Order with

suppliers once in a week. 87.5 % of manufacturing units have exchanged Invoice with

suppliers once in a week. 69.4 % of manufacturing units have exchanged Order

confirmation with suppliers once in a week. 33.3 % of manufacturing units have

exchanged Request for quote / bid with suppliers once in a month. 81.9 % of

manufacturing units have exchanged Despatch advice with suppliers once in a week.

6.3 Frequency distribution shows frequencies of methods used to exchanged the electronic

business documents with suppliers

Table 14: Methods used to exchange electronic business documents with suppliers

Method Responses

Freq Percentage

Fully integrated solution (EDI) directly with the supplier 40 55.60%

Fully integrated solution (EDI) via B2B

marketplace/transaction platform 15 20.80%

Web supplier portal via B2B marketplace/transaction

platform (Web EDI) 28 38.90%

Company run supplier portal (Web EDI) 23 31.90%

As per Table 14, 40% manufacturing units have exchanged business documents with

suppliers by fully integrated solution (EDI) directly with the supplier method. 28%

manufacturing units have exchanged business documents with suppliers by Web supplier

portal via B2B marketplace/transaction platform (Web EDI) method. 23% manufacturing

units have exchanged business documents with suppliers by Company run supplier portal

(Web EDI) method. 15% manufacturing units have exchanged business documents with

15 | P a g e

suppliers by fully integrated solution (EDI) via B2B marketplace/transaction platform

method.

Conclusion: The major outcome of this study has been derived from the comparisons of

e-procurement process in selected manufacturing Industrial units of Gujarat. Based on

these comparisons, we are able to find the difference between e-procurement practices and

responses from the various companies based on the types, size and ownership of the firms.

It also helps to understand the reasons and difficulties faced by the firm along with IT

tools used and preferred by them.

16 | P a g e

Copies of papers published

Sr.

No. Title of Paper

Details of Journal

/ Conference

Proceeding

Publication

Type

ISSN /

ISBN No.

Month &

Year of

Publication

1

e-Procurement

Implementation in

selected Industrial

Units of Gujarat

Sankalpa: Journal

of Management

and Research

Journal

(Peer

reviewed

bi-annual)

ISSN No.

2231-1904

(Impact

Factor :

2.813)

July-16

Volume 6

Issue 2

2

The extent to which IT

tools are used in e-

procurement in

selected Industrial units

of Gujarat

Amity

Management

Review

Journal ISSN

2230-7230 Jun-16

3

Identifying reasons for

adopting an E

procurement in

selected Industrial units

of Gujarat

Business Review

Journal

(Peer-

reviewed)

ISSN

0973-9076

Apr-16

Volume 10

Issue 1

4

A Study to Identify

Factors That Affect e-

Procurement

Implementation

International

Journal of

Science

Technology and

Engineering.

Journal

2349-784X

(Online)

(Impact

Factor :

3.905)

Mar-16

Volume 2

Issue 9

5

Identifying Barriers

and Enablers for

adoption of E-

Contracting: Some

Conclusion from

Review of Literature

Changing face of

India incorporate:

innovative

practices

Conference

Proceeding

978-93-

81583-12-8 Dec-11

17 | P a g e

References

1. Paul O. Harrigan et al. (2008), "The development of e‐procurement within the ICT

manufacturing industry in Ireland", Management Decision, Vol. 46 Iss: 3, pp.481

– 500

2. Kalakota, R., Robinson, M. (2001) e-business 2.0: roadmap for success (2nd

Edition). USA Adison-Wesley

3. Croom, S., R., Brandon-Jones, A. (2005), “Key issues in e-procurement:

procurement implementation in the public sector”, Journal of public Procurement,

volume 5, issue 3, 367-387

4. S Schmelz, D., et al., 2001. Business-to-business online purchasing: suppliers‟

impact on buyers‟ adoption and usage intent. The Journal of Supply Chain

Management, 37 (1), 4–10.

5. Meltzer, L., R. (2001), “How to build an e-procurement strategy”, last retrieved on

11.03.2013 from http://www.highbeam.com/doc/1G1-71403864.html.

6. Angeles, R., Nath, R. (2007), “Business-to-business e-procurement: success

factors and challenges to implementation”, Supply Chain Management : An

International Journal, Emerald Group Publishing Limited, ISSN 1359-8546,

Volume 12 Number 2, 104-115.

7. Subramaniam C., Shaw M. J. (2004), “The effects of process characteristics on the

value of B2B e procurement”, Information Technology for Management 5th

edition (1-2), 161-180

8. Olukayode, S. Oyediran, Adeyemi A. Akintola. (2011) “ a survey of the state of

the art of e-tendering in Nigeria” Journal of Information Technology in

Construction - ISSN 1874-4753

9. Davila, A., Gupta, M. & Palmer, R. (2003)”, “Moving procurement systems to the

Internet: adoption and use of e-procurement technology”, European Management

Journal, Vol. 21, No. 1, pp.11-23

10. Kishor, V, A. S. M. Sajeev and Guy, C. (2006) “Critical factors that influence e-

procurement implementation success in the public sector”, Journal of Public

Procurement, Volume 6, Issues 1 & 3, pp.70 – 99.

18 | P a g e

11. Thai, K. & Grimm, R. (2000), “Government Procurement: Past and Current

Developments.” Journal of Public Budgeting, Accounting and Financial

Management, 12 (2), pp.231-247.

12. Rasheed, H.S. (2004) “Capital Access Barriers to Public Procurement

Performance: The Moderating Effects of Ethnicity, Gender and Education.”

Journal of Developmental entrepreneurship 9 (2), pp.22-43

13. Tether, I. (1977)”, “Government Procurement and Operations”, Cambridge, MA:

Ballinger Publishing Company. Last retrieved on 02.04.2013 from

ippa.org/jopp/download/vol6/issue-1-2/e_ProSympAr6_Vaidya_etal.pdf

14. Brack, K. (2000), “E-Procurement: the next frontier”, Industrial Distribution,

89(1), pp. 65-68.

15. Min, H. & Galle, W. (2003), “E-purchasing: profiles of adopters and non

adopters”, Industrial Marketing Journal, 32(2), pp.227-233.

16. Croom, S. (2000). “The Impact of Web-Based Procurement on the Management

of Operating Resources Supply.” The Journal of Supply Chain Management, 36

(1). Pp.4-13.

17. Henriksen, H.Z., & Mahnke, V. (2005), “E-procurement adoption in the Danish

public sector: The influence of economic and political rationality” Scandinavian

Journal of Information System, 17(2), pp.85-106

18. Smart, A. (2010), “Exploring the business case for e-procurement”, International

Journal of Physical Distribution & Logistics Management, Vol. 40 Iss: 3, pp.181 -

201

19. Eadie R, Perera S, Heaney G and Carlisle J (2007) Drivers and barriers to public

sector e-procurement within Northern Ireland‟s construction industry , ITcon Vol.

12, pg. 103-120

20. Williams, S. P. & Hardy, C. A. (2007), E-Procurement: Current Issues & Future

Challenges, „ECIS‟, University of St. Gallen, pp. 131-142.

21. Rezgui, Y., Wilson, I.E., Damodaran, L., Olphert, W., & Shilboum, M. (2004),

“ICT adoption in the construction sector: Education and training issues”.

ICCCBE-X: the Xth International Conference on Computing in Civil and

19 | P a g e

Building Engineering, Bauhaus-University, Weimer, Germany, 2-4 June 2004.

Last retrieved dated 22.03.2013 from http://e-pub.uni-weimar.de/volltexte.

22. Darlington R. (2006), “Crime on the net”. Retrieved on 22.03.2013 from

http://www.rogerdarlington.co.uk/

23. Viljami Vanjoki (2012), “Problems related to the adoption of e-procurement for

indirect purchases”, School of Business, Lappeenranta University of technology.

24. Robert, M.A, John, O.A. (2012) “ Antecedents to Successful Adoption of e-

Procurement in Textile and Apparel Firms in Kenya” International Journal of

Scientific & Engineering Research, ISSN 2229-5518, Volume 3, Issue 10.

25. McDonald H. and Adams S. (2003), “A comparison of online and postal data

collection methods in marketing research", Marketing Intelligence & Planning,

Vol. 21 Iss: 2, pp.85 - 95

26. Sigala, M. (2005), “e-Procurement Use and Adoption Barriers: Evidence from the

Greek Foodservice Sector.” in Andrew J. Frew, ed., „ENTER‟, Springer, pp. 393-

404.

27. Singh, I., Punia, D.K. (2011), “Employees adoption of e -procurement system: an

empirical study”, last retrieved on 10.04.2013 from

https://arxiv.org/ftp/arxiv/papers/1112/1112.2699.pdf

28. Thirumaran, J. (2015): “E-Procurement – Challenges and opportunities in India”,

in International Journal of Advance Research and Innovative Ideas in Education,

IJARIIE-ISSN (O)-2395-4396, Vol-1 Issue-4.

29. Croom, S. and Brandon-Jones, A., 2007. Impact of e-procurement: experiences

from implementation in the UK public sector. Journal of Purchasing & Supply

Management, 13 (4), 294.

30. Corini, J., 2000. Integrating e-procurement and strategic sourcing. Supply Chain

Management Review, 4 (1), 70–75.

31. Tanner, C., et al., 2008. Current trends and challenges in electronic procurement:

An empirical study. Electronic Markets, 18 (1), 6–18.

32. Smeltzer, L R, Carter, J R (2001), supply chain management review, v. 5, no. 2 ,

p. 76-83

20 | P a g e

Web Reference

33. “Transparency in public dealing through e-ERA” last retrieved on 15.03.2016

from

http://www.iimm.org/ed/index.php?option=com_content&view=article&id=158&

Itemid=107

34. “E Procurement - Challenges and Opportunities” last retrieved on 15.03.2016

from http://www.purchasing-procurement-center.com/e-procurement.html

35. Rajan Anandan, MD, Google India “Internet usage” last retrieved on 23.03.2016

from http://blog.digitalinsights.in/important-statistics-digital-and-social-media-

users-in-india/05224987.html

36. “Procurement vs E-procurement” last retrieved from 20.03.2016 from

https://www.bdc.ca/en/articles-tools/operations/purchasing/pages/traditional-vs-e-

procurement.aspx?caId=tabs-1

37. Consortium for Global Electronic Commerce (CGEC) (2002, October).

“Measuring and Improving Value of E-procurement Initiatives” last retrieved on

02.04.2013 from ippa.org/jopp/download/vol6/issue-1-

2/e_ProSympAr6_Vaidya_etal.pdf