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Legal

challenges in
e-procurement
Presented by Group 3
CONTRIBUTORS

Jesiah Mishra —
Dixita Dey — 24 Paulami Roy —25
12
What is E-procurement Advantages and Legal challenges of E-
Disadvantages procurement in India

Shireen Shahid — Aparna Goswami —


31 05
Global legal challenges Solution to the Legal
of E-procurement challenges
What is E-procurement?
● Electronic procurement, sometimes also known as supplier exchange.
● It is the process of buying and selling supplies over the Internet.
● It creates a direct link between company and supplier.
● It’s value chain consists of e-informing, e- tendering, e-auctioning,
vendor management etc.
● It is designed to streamline the regular procurement process, instead of
doing things manually, the process is automated.
● The benefits of e-procurement are numerous for business, their suppliers
and purchasing companies.
● There is more transparency, errors during the contract administration are
also minimised.
Advantages & Disadvantages

1. Cost-effectiveness 1. Micromanagement
2. Better vendor management 2. Time-consuming approval
3. Easier data comprehension chains
4. Shorter purchasing cycle 3. Not ideal for direct materials
5. Transparency 4. Supplier onboarding problems
Legal challenges

Intellectual
E-Contract Security
Global Issues Liability Risks Property
Enforceability Breaches
Rights

1.Lack Of Alignment 1.Formation of E- 1.Services Dependency 1. Unauthorized 1.Ownership of Shared


2.Legacy Variations Contracts Risks Network Access E-Info/ Data
2.Leak of Trade secrets
(Laws & Penalties) 2.New Legal 2.Regulation Risks 2. Interception & Theft
3.Copyright
3.Domain Name vs Relationships & 3.Misleading Web 3.Viruses & Worms
Trademark Liabilities Contents 4.Denial of Services
4.Taxation Laws 3. Coverage of Legal 4. Data Protection/ 5.Cyber Snooping
Issues Loss of E-doc
Limitations and risks faced in the field of E
L
procurement-

● cultural shock
● Education and Training.
● Cost
● Poor performance and compliance due to user frustration.
● Supplier integration challenges
● Lack of strategic value due to managerial struggles in using data
LAWS AND REGULATION SECURE INFO
MANAGEMENT

● Education, awareness and


● Adjusting in Existing Law
● Training
Enactment of New Law
● Research
● Case Studies
● Consult Legal Counsel
● Universal Agreement
● Audit Trails LEGAL
● Corporate policies
STRATEGIES
SELF REGULATION TECHNOLOGY

● ● Cryptography
Code of Conduct
● ● Digital signature
Interchange of agreement
● ● Security system and signatures
Consumer protection
● ● Smart card
Guidelines
● ● Biometrics
Community consensus
driven policies
CONCLUDING REMARKS

● E-procurement acts as a new channel for interaction and communication.


● Legal issues relating to e-procurement-
○ Liability risks
○ Contract enforceability
○ Security
○ Global trading
○ IPR

● Proper training and strategic use of technology can help maintain higher security.
● Proper understanding of legal issues.
● https://oroinc.com/b2b-ecommerce/blog/defi
ning-ecommerce-platforms-eprocurement-sy
stems/
● https://www.michiganstateuniversityonline.c
om/resources/supply-chain/e-procurement-h

REFERENC
elps-online-information-exchange-between-
buyers-suppliers/
● https://www.cs.auckland.ac.nz/w78/papers/

ES
W78-08.pdf
● http://business-times.asia1.com.sg/news/
story/0.2276.49823.00.html
Thank you
Have a wonderful day

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