Hi, I need help with essay on Effects of centralization and firms efficiency on e-procurement. Paper must be at least 250 words. Please, no plagiarized work!
E-procurement can be used in numerous ways in a fast growing organization in its quest to hasten business operations. For instance, it can be used for e-tendering, that is, an organization can request and receive details and prices of various products offered by different suppliers via the internet (Kalakota & Robinson, 2000). In addition, an organization can use e-procurement for e-informing, that is, gathering and distributing resourceful purchasing information both within and outside the organization. Consequently, e-procurement can be used for quick identification of suppliers through e-sourcing where suppliers can be researched and contacted via the internet.
Among the many benefits of e-procurement is centralization of activities. Wisner, Tan & Leong (2011) argues that e-procurement system is able to merge multiple business information systems into a unit database. Centralization hastens business activities since all information is found in one system. In fact, Centralization plays a significant role in saving time and resources since all information regarding transaction made by an organization can be traced in one system. In summary, adoption of e-procurement by many organizations in the modern business era has aided in timely completion of procurement