Advances in e-procurement: a focus on the product/buying situation

Abstract

This article explores the levels of suitability of electronic procurement, which represents a substantial competitive advantage when implemented seamlessly, in relation to three dimensions, namely the buying situation, the type of product and on international product standards, which are, other than technological and cultural considerations, the level of information technology integration in procurement will depend on. From a buyer perspective the advantages of electronic procurement depend on the buying situation, the strategic importance of the product, and the existence of international standards for the product. The first dimension, the buying situation, have been classified according to their increasing complexity and uncertainty as straight re-buy, modified re-buy and new task. The second dimension defines the level of strategic importance of the product, while the third dimension regards the recognition and level of acceptance of international standards for the product. The preliminary analysis of empirical research from both Great Britain and Italy suggests that electronic procurement will prove valuable in situations of straight re-buy of non-strategic products that have widely accepted international standards