Supply Chain Management Assignment: How Businesses In Developing Countries Adopting E-procurement?
Question
Task:
You are tasked to develop a detailed and well researched supply chain management assignment presenting a dissertation proposal on the topic “How are businesses in developing countries adopting e-procurement: Case Study Of Cameroun.”
Answer
Title of the Dissertation How are businesses in developing countries adopting e-procurement? Case Study Of Cameroun |
Aim To Be Considered In The Supply Chain Management Assignment
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Information Required
Research
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Literature Review
The concept of e-procurement
E-procurement, which can also be referred to as electronic procurement, is a specific method of material acquisition through electronic technology. E-procurement is sustained by using digital tools and software that can help in the acquisition of products and facilities In such a way that human supervision is not required. Automatic procurement of services and raw materials is the main reason behind this type of procurement process. A proper e-procurement service Ensures that trusted suppliers and customers can participate in exchanges and transactions that cost-effectively benefit both parties. The concept of procurement through automatic and technological tools came to light During the 1980s. The benefits that this process provides were quite quickly observed by entities, and ways to upgrade the process and develop the range of the service started to be invented by interested and worthy individuals. Brandon-Jones and Kauppi (2018) state that the utilisation of E-procurement services is seen in many organisations. However, Truong (2019) finds that doubt can be seen in the customers if there is any perceived wariness regarding the supplier’s ability to provide materials. The development and expansion of the scope of the process throughout the years have made this System far more capable and able to handle complex functions regarding supplying of materials such as handling settlements, Online bidding, and financial transactions. The radical transformation of technology in recent years has also aided the improvement and development of new technologies and software that can help support complex E-procurement methods. Tasks that were once not possible without human supervision, such as examining the capability of prospective material suppliers, Putting up tenders, holding auctions, and handling online requests and payments and now all be done thanks to the improved and accessible software of the modern age. Many benefits can be gained through the setting up of an E-procurement method. Businesses can streamline their procurement processes by making sure that all information that is in some way related to the procurement process is organised in a digital interface provided to them by the adoption of an e-procurement service. The analytical services that are provided with a properly functioning E-procurement system can help individuals that are in charge of handling and managing suppliers and materials that are being appropriately supplied monitor the entities in question. Mohd Nawi et al. (2017) opine that E-procurement approaches can help institutions cut down on corruption that can be caused by ill-intent individuals that are in some ways related to the procurement process and help institutions gain grounds against their competitors.
The approach of business organisations towards adopting e-procurement
Even though E-procurement technologies have become much more efficient and sophisticated, adoption and use of the process leave something desired. The many advantages that are proper e-procurement system provide to institutions have been pointed out by many scholars and experts in the field. However, the adoption rate and the utilisation of the technologies regarding E-procurement have not been able to match the prediction of experts. Designing and improving E-procurement technologies have to go a long way still. According to Tutu et al. (2019), many companies are taking a slow and safe route to experiment and implement E-procurement processes in their operations. Tutu et al. (2019) state that the majority of the companies that were a part of their study took this approach regarding the adoption of e-procurement. However, Tutu et al. (2019) also note that a smaller portion of companies are being pioneers in this area and are actively researching and investing in the E-procurement process. Many challenges exist in the integration and implementation of E-procurement processes which are hard to solve in practice. These problems are discouraging many companies from altogether investing in the adoption of E-procurement technologies. According to Yevu, Yu, and Darko (2021), many obstacles are in desperate need to be tackled before organisations can integrate e-procurement into their functioning. Zhilkov and Benson (2017) argue that the difficulties that are existent in the adoption of e-procurement, along with the benefits that also exist in the process, have a dependency on the size of the organisation that is implementing the process. In the opinion of Zhilkov and Benson (2017), taking up off E-procurement processes is easier for companies that can be classified as significant based on their size, as the obstacles are less likely to impact their operations. This statement suggests that smaller institutions can find the adoption of E-procurement much harder than others. Overall, it can be said that the approach to adopt e-procurement is not happening at a fast enough rate because of the obstacles and risks that are intertwined with it.
The activities of developing countries to adopt e-procurement
Various countries all over the world have put effort into developing and designing a better procurement system that can be used with less hassle than the existing processes in recent times. E-procurement has been looked at as one of the critical solutions to the problem of spending money and time on procurement systems. Neupane et al. (2012) Observe that countries that are classified as list developed are looking at the installation of e-procurement processes as a way to curb corruption that exists within procurement procedures. It can be said that obstacles that stand between adopting E-procurement in governmental and non-governmental organisations in developing countries are challenging to say the least. Many researchers, scholars, and experts in the field have studied the incorporation of e-procurement in developing countries by taking a hard look at problems and activities that are being taken by individual countries. Aman and Kasimin (2011), by executing a study on Malaysia, have found out that many obstacles are currently plaguing the development of and utilisation of E-procurement processes. Incorporation of relevant sophisticated software, handling of the required information, Processes relating to governance, IT foundation, and capabilities are all areas that are posing a challenge Regarding the incorporation of E-procurement processes. There have been many attempts taken by developing countries to effectively incorporate e-procurement in their organisations, both public and private. However, Adebayo and Evans (2015) opine, based on their study on the Nigerian public sector, that institutions operating in the public sector have not been able to make the most out of the E-procurement process. By looking at many studies executed by brilliant and capable individuals, it is apparent that the obstacles that have obstructed designing and incorporating E-procurement In the public and private sectors of the developing countries are hard to solve, which is severely slowing down the adoption of said process.
Application of different procurement theories
For years, experts have been interested in the field of procurement, and many have theorised approaches and processes that can help in improving and providing a solid understanding of the subject. The theories and procurement models were created by taking inspiration and ideas from different economic and sociological concepts. Many perspectives have been provided over the years that are all indispensable in describing and understanding procurement processes. However, the theories that are most influential in the study of procurement processes are discussed in this Segment. Organisational buying behaviour is heavily cited as one of the more defining theories of procurement. In the academic domain, many articles and studies have shed light on this specific theory. This theory focuses on the assumption that entities taking part in the procurement operation have distinct and different perspectives and motivations. It also assumes that while choosing a particular procurement-related decision, arguments between these entities are unavoidable. The critical points of the theory focus on defining risks In procurement-related operations. The number of decision-makers will proportionally increase along with the risk of a specific transaction. One suggests that significant influence on networks can be seen due to this phenomenon. Other theories such as the economics of contracting, theories regarding the importance of Networks and inter-organisational bonds, and incorporated supply chain processing can also be pointed out as essential theories in areas regarding procurement operations. Some of these theories focus on the conduct of the supplier and assume devious intentions of suppliers that can harm the procurement process. In contrast, others focus on the impact of relation and connection between the buyers and suppliers. These theories provide a proper foundation for the interpretation of intricacies and complexities that arise while dealing with operations related to procurement.
Research Methodology
Elements |
Justification |
Research Philosophy |
A proper choice of research philosophy is needed for the research as it will help set the design of the study. It helps in outlining the conceptual position, which is proven to have a significant impact on the study (Bauer, 2017). Positivism philosophy will be adopted for this particular study as it can help in outlining specific patterns and trends and enables the research to have a more accessible approach. |
Research Approach |
A research approach needs to be declared that can accentuate the execution of the research. A deductive research approach will be taken up for the completion of the project as it can help indicate and identify connections between ideas that are relevant to the research. |
Data Collection |
Data collection methods are important and vary based on the nature of the research topic. Between the primary and secondary data collection methods, the latter will be chosen for this specific study as acquiring data regarding ideas that have been researched by many scholars is fruitful in this situation. |
Data Analysis |
Qualitative data analysis will be preferred for the evaluation of the acquired information through secondary data collection. Qualitative analysis can help in the subjective evaluation of data acquired through research-related operations (Alase, 2017). This analysis method will be highly beneficial in this particular study as it enables subjective interpretation of information. |
Data Sampling |
The data sampling method that will be taken up for the data analysis of this specific study will be random data sampling. This particular sampling technique allows for a more accurate evaluation of information along with providing a certain sense of equality and fairness regarding choosing datasets. These advantages will be beneficial for the research. |
Ethical Considerations |
Specific considerations will need to be declared and abided by while executing the research. The data that is collected for the research will be carefully acquired in such a way that no biases creep into the analysis. It will be made sure that using the collected data or other parts of research-related operations will not have any negative impact on other individuals and companies. |
References
Adebayo, V.O. and Evans, R.D., 2015, November. Adoption of e-procurement systems in developing countries: A Nigerian public sector perspective. In 2015 2nd International Conference on Knowledge-Based Engineering and Innovation (KBEI) (pp. 20-25). IEEE.
Alase, A., 2017. The interpretative phenomenological analysis (IPA): A guide to a good qualitative research approach. International Journal of Education and Literacy Studies, 5(2), pp.9-19.
Aman, A. and Kasimin, H., 2011. E?procurement implementation: a case of Malaysia government. Transforming Government: People, Process and Policy.
Bauer, T., 2017. Research Philosophy and Method. Responsible Lobbying, pp.69-84.
Brandon-Jones, A. and Kauppi, K., 2018. Examining the antecedents of the technology acceptance model within e-procurement. International Journal of Operations & Production Management.
Mohd Nawi, M.N., Deraman, R., Bamgbade, J.A., Zulhumadi, F. and Mehdi Riazi, S.R., 2017. E-procurement in Malaysian construction industry: benefits and challenges in implementation. International Journal of Supply Chain Management (IJSCM), 6(1), pp.209-213.
Neupane, A., Soar, J., Vaidya, K. and Yong, J., 2012, August. Role of public e-procurement technology to reduce corruption in government procurement. Supply chain management assignment In Proceedings of the 5th International Public Procurement Conference (IPPC5) (pp. 304-334). Public Procurement Research Center.
Prior, D.D., 2021. Networks and Organisational Buying. In Organisational Buying (pp. 171-187). Palgrave Macmillan, Cham.
Truong, D., 2019. Distrust issues in business-to-business e-procurement decisions. Journal of Enterprise Information Management.
Tutu, S.O., Kissi, E., Osei-Tutu, E. and Desmond, A., 2019. Evaluating critical factors for the implementation of e-procurement in Ghana. International Journal of Procurement Management, 12(1), pp.1-14.
Yevu, S.K., Yu, A.T.W. and Darko, A., 2021. Barriers to electronic procurement adoption in the construction industry: a systematic review and interrelationships. International Journal of Construction Management, pp.1-15.
Zhilkov, D. and Benson, V., 2017. eProcurement in Russia: Organizational Adoption and Social Influence?.