Funding e-procurement initiatives in US Government agencies: challenges, models, and trends

Abstract

The US public sector is facing the opposing challenges of increased citizen expectations for better services and decreased resources to run offices. It is an enormous undertaking to achieve these goals due to the numerous obstacles that plague all functions within federal, state, and local agencies. While the internet maybe an ideal solution, it requires substantial financial commitment and the staggering economic growth is exacerbating the nation's fiscal problems as evidenced by budget cuts at all levels of government. Consequently, public organisations are at a crossroads where it is critical to strike a delicate balance between embracing emerging technologies and securing funds to support them. In this research study, we identify the value of e-procurement, examine the basic options for financing the adoption and implementation of e-procurement, as well as discuss issues related to those funding methods. Several new and innovative approaches to acquiring e-procurement systems are also reviewed.

Public e-procurement impacts in small- and medium-enterprises

“…6 Higher information systems integration: as procurement activities are centralised, different offices/departments can access the same information when required (Fleming et al, 2010), an advantage over the much more slower process of having to post documentation between offices/departments (Arasa and Achuora, 2012), thus improving communication and information flow (Croom, 2000).…”

“…Suppliers gain a superior geographical range along with higher commercial competitiveness and existing business relationships consolidation (Ciciriello, 2010). Therefore, P e-P provides superior access to business opportunities without the constraint of the supplier geographical location, increasing exposure with minimal sales effort (Fleming et al, 2010). Also centralised functions do not have departmental or time barriers (Arasa and Achuora, 2012).…”

“…Also centralised functions do not have departmental or time barriers (Arasa and Achuora, 2012). Moreover, sellers gain the ability to receive bid notices without ever meeting the buyers (Fleming et al, 2010). Finally, another benefit which arises from Pe-P's adoption connected to higher qualified employee motivation and retention due to the adoption of new technologies in everyday work (McConnell, 2009).…”