Abstract

This paper conducts a general discussion literature review, explaining the e-Procurement concept and providing the potential of e-Procurement adoption among suppliers in Malaysia. This paper presents the difference between procurement and purchasing also the difference between traditional procurement and e-Procurement. There are many positive impacts and advantages of e-Procurement to government and suppliers. Suppliers benefit significantly from e-Procurement in terms of new market creation, additional revenue opportunities, competitive advantage, cost savings, customer satisfaction and operational efficiencies. By utilizing the e-Procurement system, the employees are able to increase direct access via supplier’s websites to verify price tips, technological requirements and to visualize product images as well as full specification of product. E-Procurement is able to generate electronic applications, creating and approving purchase requisitions and propose purchase orders online to selected suppliers. This in turn creates forces on Malaysian suppliers to adopt e-Procurement to be competitive in the current industry.

Keywords: e-Procurement, e-Procurement advantages, suppliers, Malaysia

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