Professional Documents
Culture Documents
Advantages of Using e
Advantages of Using e
IN CLASS ASSIGNMENT #3
DATE:20 Nov,2022
1.Describe the different types of e-commerce business models available for procurement and
point out their respective benefits and disadvantages.
ANSWER:
Advantage: An increasing number of sell-side websites provide buyer login capabilities that help
in storing information, concerning buying preferences, buying history, etc .
Disadvantage: Buying organization faces extensive difficulty in online procurement.
Buy-side System:
Electronic Marketplace:
ANSWER:
The procurement industry has increased organizational efficiency thanks to e-commerce, which is also
employed to support the quest for organizational profitability.
Less cost is provided by e-procurement thanks to the software used for online procurement.
Better Organization: Due to their disorganization, many organizations find it difficult to manage their
purchases and place orders on time. It might be difficult to adjust this disjointed process, and
exemptions might result.
Errorless Task: E-procurement streamlines the entire purchase process with online solutions, making it
simple to report issues.
Improved Operational Control: E-procurement helps to be adept and thus enables the access restriction
in a supple way. E-procurement software can limit a large group of problems comprising a list of orders,
supplier's acknowledged price, vendors profile, and categorize the purchases.
Reporting and Software Reconciliation: E-procurement involves purchases and invoices. It is a key issue
to be center around essential tasks and sometimes it is hard to create reports on procurement and
furthermore gather information on utilizing a manual system.
Technical Issues: E-procurement software provide the information of the report through comprehensive
data analytics and data classification. If the data has been categorized as per the customization
alternatives, it has to be handled by the same person.
Onboarding Issues: The new online procurement software frameworks is hard for established vendors to
understand the details. There can be difficulties for independent ventures in refreshing inventories with
the data platform.
Suitability: E-procurement is mainly used in the purchase catalog based on indirect materials, for
example, office supplies. E-procurement is suitable only when purchasing direct materials and services.
ANSWER:
Introduction:
A supplier's manufacturing capacity, performance, risk, quality, and environmental impact should all be
considered when evaluating a potential or current supplier. But without a systematic evaluation strategy
and a bigger framework to make the assessment information useful to you, measuring these aspects by
themselves won't lead anywhere.
The most important elements in completing supplier evaluations can be described as follows.
1) Supplier Evaluation:
Supplier evaluation is largely founded on data. As a result, this should be a well-planned process with a
focus on measurable performance indicators like delivery times, production costs, and inventory levels.
A consistent set of criteria for evaluating suppliers gives you the essential frame of reference to evaluate
a supplier's capabilities and contrast them with those of rival suppliers. Even though there are many
different criteria that may be used to evaluate suppliers, there are a number of issues that every
business should take into account, regardless of the industry. Some of these components include:
While many businesses can quickly recognize the requirements for a supplier review, adhering to the
procedures required to ensure its success can be difficult. These guidelines can assist a business in
maintaining its focus throughout the evaluation.
1. outline a schedule: Everyone will work to execute required tasks accurately and on time if they
are understood by all parties and given clear definitions and timeframes.
2. Give your suppliers a brief but comprehensive questionnaire at the start of the procedure. The
questionnaire should ask for both objective and factual responses.
3. Visit your supplier's facilities: A physical visit to the supplier facility can verify the information
obtained from the questionnaire and provide information about more intangible parts of the
supplier's business, such as workplace culture.
4. Verify that the appropriate employees are taking part in the evaluation. The chief financial or
revenue officer, together with senior members of the procurement department, should
probably be consulted if you need to assess the performance of a Level 1 supplier, for instance.
5. Be courteous to your supplier: Productivity will only increase if you and your supplier have a
good working relationship. Congratulate your top suppliers without holding back, and give less
successful ones a heads-up and some pointers so they can try to work things out before you
sever ties with them.