Analyzing E-Procurement Adoption Efforts: Case Study of an Indian Steel Manufacturer

Analyzing E-Procurement Adoption Efforts: Case Study of an Indian Steel Manufacturer

Amit Agrahari (SETLabs – Infosys Technologies Ltd, India)
Copyright: © 2007 |Pages: 35
DOI: 10.4018/978-1-59904-153-7.ch008
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Abstract

This case study looks into the evolution of various e-procurement systems at an Indian steel manufacturer, Tata Steel. This chapter argues that rather sticking to one system, organizations need to manage a portfolio of e-procurement systems to realize the full potential of the Internet. Further, these systems evolve over a period of time, thus necessitating dynamic instead of static analysis. Prior research has analyzed e-procurement and its predecessor, EDI-based IOIS, as a static game with adoption and subsidy being the key issues. However, with e-procurement increasingly being a competitive necessity, the issue is not “if to adopt e-procurement”, but “how to adopt e-procurement”. This chapter analyzes e-procurement adoption efforts in a dynamic game setting. First, the e-procurement adoption effort is analyzed in a “without subsidy” scenario and then in a “with subsidy” scenario. Results show that e-procurement adoption efforts are likely to be more if the buyer and suppliers are not myopic, and the rate of decay in strategic benefits from the dyadic relation is low. Further, the buyer can induce more effort from the supplier by offering him subsidies. The buyer will offer a subsidy only if he can take away more than half of the total e-procurement benefits. The level of subsidy depends on the effectiveness of the supplier’s e-procurement adoption effort. Results for the game theoretic model are corroborated with the case study.

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Table of Contents
Acknowledgments
Chapter 1
Ashis K. Pani
Over the last couple of years, e-procurement has received tremendous attention from researchers and practitioners alike. However, research on... Sample PDF
Perspectives from IOIS, EDI, and Channel Management: Research Issues in E-Procurement
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Chapter 2
Kishor Vaidya
The focus of the majority of research on e-procurement has been on the possible impact of e-procurement adoption on the buyer’s interaction with the... Sample PDF
Organizational Assimilation of E-Procurement: An Institutional Perspective and the Research Model
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Chapter 3
Mateja Podlogar
This chapter introduces e-procurement as a strategic tool for organizations’ competitive position in the new information economy. It argues that... Sample PDF
E-Procurement Success Factors: Challenges and Opportunities for a Small Developing Country
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Chapter 4
Ramanathan Somasundaram
In this chapter, the concept of e-government procurement (e-GP), as it is being implemented in India, is explained. Furthermore, a set of six... Sample PDF
Challenges in Implementation of E-Procurement in the Indian Government
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Chapter 5
Gonca Telli Yamamoto, Faruk Karaman
E-procurement practice is not well-established in emerging countries. There are barriers in terms of transportation, financial, telecommunication... Sample PDF
Barriers to E-Procurement Adoption: The Turkish Case
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Chapter 6
Susanna Xin Xu, Joe Nandhakumar
This chapter investigates the dynamics of the formation and transformation of electronic supply relationships (e-supply relationships) in the... Sample PDF
Managing E-Relationships in a Supply Network
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Chapter 7
Michela Serrecchia, Irma Serrecchia, Maurizio Martinelli
This chapter analyzes the digital divide in Italy and the factors contributing to this situation at both the regional and provincial levels. To do... Sample PDF
ICT Adoption in Firms by Using Endogenous Metrics
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Chapter 8
Amit Agrahari
This case study looks into the evolution of various e-procurement systems at an Indian steel manufacturer, Tata Steel. This chapter argues that... Sample PDF
Analyzing E-Procurement Adoption Efforts: Case Study of an Indian Steel Manufacturer
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Chapter 9
Manas Ranjan Patra
Globalization has evoked rethinking in organizing the business processes of many enterprises in order to keep pace with the competition and dynamic... Sample PDF
A Service-Oriented Agent-Based Model for Electronic Procurement
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Chapter 10
Stanley Oliver, Kiran Maringanti
This chapter highlights the importance of e-procurement and the barriers affecting its widespread adoption in the context of small and medium... Sample PDF
Application of Web Services in the Context of E-Procurement: An SME Foci
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Chapter 11
Aayush Shrivastava, Gautam Gupta, Pratap K.J. Mohapatra
The objective of this chapter is to study the features of reverse auction sites. Twenty-five features of 38 reverse auction sites have been studied.... Sample PDF
Complementary Features of Reverse Auction Web Sites: A Survey
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