The Impact of E-Procurement Practices on Supply Chain Performance: A Case of B2B Procurement in Pakistani Industry

Abstract

The purpose of the present research is the study of the association amidst the practices of electronic procurement and its impact on supply chain performance. We analyzed four prime practices of e-procurement that known as electronic design, electronic sourcing, electronic negotiation, and electronic evaluation. Data was collected from 239 respondents doing jobs related to supply chain management using the Likert scale Questionnaire that was adopted from (Chang, Tsai, & Hsu, 2013) The data was analyzed using Structural Equation Modeling as well as Confirmatory Factor analysis. The results suggested that electronic design and electronic evaluation shown a positive and significant impact on supply chain performance whereas, electronic negotiation and electronic sourcing didn’t show a significant impact on supply chain performance. Hence, the findings imply that compare to electronic sourcing and electronic negotiation, electronic design, and electronic evaluation has more effect on supply chain performance. The administration must focus more on electronic design and electronic evaluation than electronic sourcing and electronic negotiation. Furthermore, the study advocates integration among supply chain members is equally important as to focus on joint learning practice because it leads to augment the supply chain performance. In addition, the study advocates that electronic procurement is at the side of the input of the supply chain system, therefore, it is more valuable for the industry to develop an innovative and effective process that satisfies all the needs of the organizational supply chain.