Abstract
E-procurement is an electronic purchasing or buying goods and services via electronic means. The government of Malaysia implements e-procurement systems in realizing the cost benefits therein. The government charges Commerce Dot Com Sdn Bhd to independent best practice of e-procurement that can meet the satisfaction of the business and nonbusiness citizens of the country. In the light of this, the chapter examines some determinants of users’ satisfaction and their relationships with e-procurement services. In order to bridge the gap between theory and practice, the study employs a quantitative survey analysis as its methodological approach. The findings of the research show a significant relationship between service quality, ease of access, knowledge, transparency, and security in e-procurement services as the key factors that determine the satisfactions of the service users.
TopConceptualizing E-Procurement And Service Transactions
E-procurement describes the use of network, web, database, and related information technologies for paperless procurement. E-procurement can range from using electronic data interchange to digitally processed transactions to sophisticated order management and inventory control systems (Nellore, 2001). E-procurement is gaining in popularity because it reduces transaction costs for buyers and, hence, can have significant impact on the profitability of organizations (Croon and Johnston, 2003). E-procurement converts traditional manual procurement processes in the Government machinery to the electronic procurement on the Internet. A number of commodities and/or complex components can be bought online rather than through face to face negotiations (Rajkumar, 2001). E-procurement is a critical component of the government’s supply chain initiatives. It provides an innovative solution in dealing with the inefficient public procurement that has received a lot of criticism and negative perception.
Though e-procurement by government results in benefits such as increased efficiency, it faces great challenges in terms of managing the relationships with online vendors and application service providers. E-procurement streamlines government procurement activities and improves the quality of service it provides. E-procurement converts traditional manual procurement processes in the Government machinery to electronic procurement on the Internet. Through e-procurement, the users are able to present their products on the World Wide Web, receive, manage and process purchase orders and receive payment from government agencies via the Internet, submit tender bid. E-procurement also allows users to use the Internet to register or renew their registration, pay their registration fees, and check the status of their applications with the Ministry of Finance.
Key Terms in this Chapter
E-Billing: Refers to an electronic system of paying for services received.
Internet: Refers to a large system of connected computer around the world, which allows people to share information and communicate with each other through email
Privacy: Refers to one’s right to keep his/her personal matters or information secret.
End Users: means the people who use the services provided by a company.
Accuracy: This refers to ability of something, especially transaction, being exact, accurate without any error
Technology: Means a practical use of scientific discoveries such as computer, Internet and other devices.
Transparency: This refers to characteristic of being easy to see through.