Abstract:
SCM is managing efficient flow of goods and services from point of production till point of
consumption. E-procurement is the B-2-B or B-2-C or business-to-government purchase and sale
of supplies, work, and services through the Internet as well as other information and networking
systems, such as electronic data interchange and enterprise resource planning. The eprocurement
value chain consists of indent management, e-Informing, e-Tendering, e-
Auctioning, vendor management, catalogue management, Purchase Order Integration, Order
Status, Ship Notice, e-invoicing, e-payment, and contract management. Indent management is
the workflow involved in the preparation of tenders. This part of the value chain is optional, with
individual procuring departments defining their indenting process. In works procurement,
administrative approval and technical sanction are obtained in electronic format. In goods
procurement, indent generation activity is done online.
This research paper elaborates the impact of information sharing and e-procurement on
managing effective supplier relationships. Cement industry of Pakistan has adopted eprocurement
practices to lower their paper work cost. E-procurement practices are enhancing the
efficiency and effectiveness in respective arear of supply network.Information flow, information
quality, and e-procurement shows strong positive impact on building and sustaining long-term
supplier relationships to integrate and speedup value chain activities. All activities in eprocurement
including e-design, e-sourcing, e-negotiation, and e-evaluation are exhibiting strong
positive relationship on suppliers. In SC networks all upstream and downstream activities should
be integrated and agile to meet rapid responses from both the supplier side as well as from
consumer side. This leads towards organizational growth, profit maximization as well as building
long-term customer relationships.
