Understanding Digital Transformation of Procurement Through E-Procurement Systems Implementation

Abstract

E-procurement systems require a rigorous implementation process for attracting their acceptance within buying organisations and generating benefits. However, despite a rich body of literature on e-procurement systems, little is known on how buying organisations generally implement their e-procurement system. Even though an important role is played by the procurement function, limited studies have been reported to explain the details of the activities undertaken by buying organisations for implementing an e-procurement system, and in what ways those activities are influenced. To address these gaps, this chapter proposes an association between the type of business relationship a buying organisation intends to maintain with its suppliers when deciding to implement an e-procurement system, and the e-procurement implementation process it follows. The chapter further presents empirical evidence in support of one particular type of business relationship by analysing the e-procurement system implementation experience of an Australian organisation.