Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day A Model of Electronic Commerce Critical Success Factors in Procurement Process M.Sc. Mateja Podlogar, Teaching Assistant eProcurement Laboratory, eCommerce Center, Faculty of Organizational Sciences, University of Maribor, Slovenia

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Procurement process and Electronic Commerce

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day BuyerSupplier Reduce costs Closer relationships between buyers and suppliers Improve business-executing quality E-Commerce promises great opportunities Reduce time B u s i n e s s p r o c e s s r e d e s i g n

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Problem definitions The problem of the electronic commerce critical success factors ignorance in the procurement process. The efficient electronic commerce introduction into the process. The procurement process - a strategically importance to enterprises' business processes.

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Goals of the Research A Model of Electronic Commerce Critical Success Factors in Procurement Process. Research questions: What are the electronic commerce factors in procurement process? What is the importance of each electronic commerce factor in procurement process? What is the connection and dependence among these factors?

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Research Methodology - empirical study Literature review. Interviews in five large enterprises in Slovenia Procurement, logistics and informatics managers from three different enterprises tested the questionnaire. 250 large enterprises with web page and the highest revenues in Slovenia. The questionnaires returned by the 133 respondents.

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Limitations e-Commerce between a buyer and a supplier, Procurement process between a buyer and a direct supplier, 250 large enterprises with web page and the highest revenues in Slovenia.

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Research model

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day The questionnaire Three parts: Respondents and enterprises data, Electronic commerce experiences and Electronic commerce critical sucess factors (time, costs, simplicity and the number of transactions) Second part: Please provide the existence and/or future plans for Electronic Commerce strategy and its definition in your enterprise Please indicate whether your enterprise has a Director/Manager of Electronic Commerce: Does your enterprise use ERP (Enterprise Resource Planning) system (SAP, Oracle Business Suite, Baan, Navision, Kopa ERP, MAOP – MCR solutions, your own solution)?

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Electronic Commerce Experiences – Electronic commerce strategy

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Electronic Commerce Experiences – Director/Manager of Electronic Commerce

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Electronic Commerce Experiences – ERP (Enterprise Resource Planning) system use

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day A model of critical success factors in procurement process

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day First group of factors: Time of business data processing

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Second group of factors: Costs of business data processing

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Third group of factors: Simplicity of business data processing

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Fourth group of factors: The number of transaction in connection with business data processing

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day

Mateja Podlogar, M.Sc.25 October, 2002 Merkur Day Conclusions In a practical sense, it is very important to know findings in connection with electronic commerce that are important for its development and implementation. Researchers may give importance only to those factors that are found as really important ones. Second practical contribution is that planning, implementation and expanding of e-Commerce in procurement process give some suggestions on how to become more efficient and effective. Knowing e-Commerce factors contribute to finding new business opportunities and also to the enterprise competitiveness.