INFLUENCE OF E-PROCUREMENT PRACTICES ON PROCUREMENT EFFICIENCY IN COUNTY GOVERNMENT OF BUSIA
Abstract
This research looked into the influence of e-procurement practices on procurement efficiency in County Government of Busia. Recent findings had shown a low efficiency in the procurement process in County Government of Busia. So far, no study had been conducted to investigate the influence of e-procurement practices on procurement efficiency. Hence, there was need to examine e-sourcing influence on procurement efficiency in County Government of Busia; to determine e–supplier selection influence on procurement efficiency in County Government of Busia; to find out e-ordering influence on procurement efficiency in County Government of Busia and to establish e-payment influence on procurement efficiency in County Government of Busia. The study employed data collection and analysis from sampled staff of County Government of Busia. Both inferential and descriptive statistical analyses were employed. SPSS software 23 was useful in the analysis. The results revealed that there is significant positive influence of E-sourcing, e-ordering, e-supplier selection and e-payment on procurement efficiency in county government of Busia. The study recommended that for County Governments in Kenya to enhance e-sourcing, they should have online request for quotation reducing lead time. This would reduce cost and improve efficiency in procurement process in the County Governments. The study recommended that there was need for County governments in Kenya to adopt the least practiced e-ordering practices such as e-requisition and e-receipting in order to reduce the transaction costs and speed up the procurement process.
Key Words: e-sourcing, e–supplier selection, e-ordering, e-payment, Procurement Efficiency
CITATION: Anyonje, C. A., & Malenya, A. (2020). Influence of e-procurement practices on procurement efficiency in County Government of Busia. The Strategic Journal of Business & Change Management, 7(3), 669 – 686.
Full Text:
PDFReferences
Ambe, I. M., & Badenhorst-Weiss, J. A. (2012a). Procurement Challenges in the South African Public Sector. Journal of Transport and Supply Chain Management. 6 (1): 242-261.
Anderson, E. & Weitz, B. (1992). “The use of pledges to build and sustain commitment in distribution channels,” Journal of Marketing Research, 29 (1), 18-3.
Arsan, (2011). Performance Measurement and Metrics: An Analysis of Supplier Evaluation retrieved from www.scm.ncsm.edu/scm-articles on 5th September, 2013.
Baily, Farmer, Jessop and Jones, (2008). Purchasing Principles and Management, 9th Edition.
Cannon, J. & Homburg, C. (2001). Buyer-Supplier Relationships and Customer Firm Costs, Journal of Marketing, Vol. 65 (1).
Christopher, M. (2009). Towards a “Theoretical tool box for strategic sourcing,” Supply Chain Management: An International Journal, Vol. 14 (1): pp. 3-10.
Cooper, D. R., & Schindler, P. S. (2003). Business Research Methods. (8th Ed.). Boston: McGraw- Hill Irwin.
Cropanzano, R., & Mitchell, M. S. (2005). Social Exchange Theory: An interdisciplinary review. Journal of management, 31(6), 874-900.
Donoghue, J. (2011). “Creating and Maintaining a Successful Supplier Relationship,” San Diego, CA. http://leardon.com/successful-supplier-management, download 25.01.2012.
Feng, T., and Wang, D. (2013). “Supply Chain Involvement for better product development performance,” Industrial Management & Data Systems, Vol. 113 Issue: 2, pp. 190 - 206. https://doi.org/10.1108/02635571311303532
Fink, R. C., Edelman, L. F., Hatten, K. J., & James, W. L. (2006). Transaction Cost Economics, Resource Dependence Theory and Customer-Supplier Relationships. Industrial and Corporate Change, 15 (3), 497-529.
Harland, C., Knight, L., Lamming, R., & Walker, H. (2005). Outsourcing: assessing the risks and benefits for organizations, sectors and nations, International Journal of Operations & Production Management, 25 (9), 831 – 850.
Herrmann, J. W., & Hodgson, B. (2001). SRM: leveraging the supply base for competitive advantage. Proceedings of the SMTA International Conference, Chicago, IL, 1 October 2001, supply works inc.
Homans, G., C. (1958). Social behavior as exchange. American journal of sociology, 597- 606.
Inayatullah, Narain, R., and Singh, A. (2012). Role of buyer-supplier relationship and trust on organizational performance. Delhi Business Review Vol. 13, No 2.
Johnston, D. A., McCutcheon, D. M., Stuart, F. I., and Kerwood, H. (2004). “Effects of supplier trust on performance of cooperative supplier relationships,” Journal of Operations Management, Vol. 22, pp. 23-38.
Kamau, F. (2013). “Buyer-supplier relationships and organizational performance among large manufacturing firms in Nairobi, Kenya.” Unpublished MBA Project, University of Nairobi.
Kearney, D. (2013). Supplier performance management – Driving successful strategies and relationships. www.edgererve.com/procureedge
Kegode, P. (2005). A Research Study on Economic Governance and Reforms: Challenges & evaluating training and performance in sugar firms in western province, Kenya. Kakamega: Masinde Muliro University.
Kenya Sugar Board, (2013). Kenya Sugar Cane Board Year Book of Statistics.
Khuram, S., Ilkka, S., Elina, S., & Shpend, I. (2016). Benchmarking Supplier Development: An Empirical Case Study of Validating A Framework to Improve Buyer-Supplier Relationship. Management and Production Engineering Review, 7 (1), 56–70.
KiIpatrick, J. & Ron, F. (2000). “Logistics in Canada Survey: Tracking Year 2000 Supply Issues and Trends.” Journal of Materials Management and Distribution. 45 (1) 16-20.
Kosgei, R. C., & Gitau, R. (2016). Effect of supplier relationship management on organizational performance: A case study of Kenya Airways Limited. International Academic Journal of Procurement and Supply Chain Management, 2 (2), 134-148.
Kothari, R. (2004). Research Methodology; Methods and Techniques: Prakashan; Mumbai.
Kothari, C., R. and Garg, G. (2014). Research Methodology: Methods and Techniques; New Delhi; New Age International.
Liker, J. K., and Choi, T. Y. (2004). Building deep suppliers relationships. Harvard Business Review, 82 (12), 104-114.
Lysons, K. and Farrington, B. (2006). Purchasing and Supply Chain Management, Prentice Hall, UK. 7th Edition.
MacPherson, A., Elliot, M., Harris, I., and Homan, G. (2004). ‘E-learning: Reflection and Evaluation of Corporate Programmes.’ Human Resource Development International Journal, 7 (3): 295-313.
Maraka, Kibet and Iravo, (2015). Supplier Relationship Management on organization performance in selected sugar companies in Western Kenya. International Journal of Management Research. Volume 4 Iss. 1.
Mugenda, O. M., and Mugenda, A. G. (2003). Research Methods: Qualitative and Quantitative Approaches. Nairobi, Act Press.
Ooko. G. O., Manyasi, J., and Ondiek, B. A. (2016). Talent Retention Strategy and Employees’ Productivity in Private Sugar Companies in Kakamega County, Kenya. International Journal of Multidisciplinary and Current Research, Vol. 4 (July-August, 2016).
Park, J., Shin, K., Chang, T. W., & Park, J. (2010). An integrative framework for supplier relationship management. Industrial Management & Data Systems, Vol. 110 (4), 495-515.
Porter, M. E. (1985). Competitive Advantage: Creating and Sustaining Superior Performance. The Free Press, New York.
Rajaniemi, J. (2012). Defining and Measuring Lead Time in a Telecommunication Production. Master of Science thesis. Department of Computer Sciences and Engineering, University of Oulu. 63 p.
Rapando, M., J. (2011). Research Study on Assessment of Financial Return Method in Evaluating Training and Performance in Sugar Firms in Western Province, Kenya. Kakamega: Masinde Muliro University.
Saleemi, N., A. (2007). Purchasing and Supplies Management, Saleemi Publications.
Sanders, N. (2005). IT alignment in supply chain relationships: A study of supplier benefits. Journal of Supply Chain Management, 41(2), 4-13.
Tangus, C., Oyugi L. A., Rambo C. M., & Rono, B. K. (2015). Effects of Supplier Relationship Management Practices on Performance of Manufacturing Firms in Kisumu County, Kenya. International Journal of Economics, Commerce and Management. Vol. 3 (11). Pp. 499 - 512. ISSN: 23480386, United Kingdom.
Wachira, R., (2013). Supplier Relationship Management and Supply Chain Performance in Alcoholic Beverage Industry in Kenya, University of Nairobi.
Wenli, L, Humphreys, P. K, Yeung, C. L., & Cheng, T. C. E. (2012). The impact of supplier development on buyer competitive advantage: A path analytic model. Int. J. Production Economics. 135, 353–366.
DOI: http://dx.doi.org/10.61426/sjbcm.v7i3.1700
Refbacks
- There are currently no refbacks.
This work is licensed under a Creative Commons Attribution 3.0 License.
PAST ISSUES:
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.