E-procurement, supplier integration and supply chain performance in small and medium enterprises in South Africa

South African Journal of Business Management

Field Value
Title E-procurement, supplier integration and supply chain performance in small and medium enterprises in South Africa
Creator Madzimure, Jerimiah Mafini, Chengedzai Dhurup, Manillal
Subject BUSINESS MANAGEMENT, SUPPLY CHAIN MANAGEMENT e-procurement; supplier integration; supply chain performance; small to medium enterprises; South Africa.
Description Purpose: With rapid changes in technology and the globalisation of markets, firms, especially small to medium enterprises (SMEs), require support to adapt to technology and make use of e-procurement functions to develop competitive advantages. Information systems such as e-procurement have become increasingly linked with other business activities such as supply chain integration to initiate the growth of SMEs. This study investigated the relationship between e-procurement, supplier integration and supply chain performance in retail SMEs in South Africa.Design/methodology/approach: A quantitative research approach was followed in which a sample of 283 owners and managers of SMEs in Gauteng Province, South Africa, were surveyed using a structured questionnaire. The study considered five e-procurement components, namely e-sourcing, e-negotiation, e-informing, e-design and e-evaluation. The collected data were analysed using structural equation modelling.Findings/results: The results of the study showed that two e-procurement components, namely e-design and e-negotiation, exerted a significant positive influence on supply chain integration. The other three e-procurement components, namely e-sourcing, e-evaluation and e-informing, were statistically insignificant in influencing supply chain integration. The study further revealed that supplier integration exerts a positive and significant linear relationship with both the tangible and intangible dimensions of supply chain performance (SCP).Practical implications: Retail SMEs may refer to this study for information regarding which components of e-procurement deserve primary attention when implementing such systems and how these may be harnessed for the improvement of SCP.Originality/value: The study represents a pioneering attempt to model the nexus between e-procurement, supplier integration and the performance of retail supply chains within South African SMEs. It provides the foundation for future research studies on the implementation of e-procurement and other digitalised supply chain practices in various sectors of the South African economy.
Publisher AOSIS
Date 2020-09-03
Type info:eu-repo/semantics/article info:eu-repo/semantics/publishedVersion —
Format text/html application/epub+zip text/xml application/pdf
Identifier 10.4102/sajbm.v51i1.1838
Source South African Journal of Business Management; Vol 51, No 1 (2020); 12 pages 2078-5976 2078-5585
Language eng
Relation https://sajbm.org/index.php/sajbm/article/view/1838/1619 https://sajbm.org/index.php/sajbm/article/view/1838/1618 https://sajbm.org/index.php/sajbm/article/view/1838/1620 https://sajbm.org/index.php/sajbm/article/view/1838/1617
Coverage SOUTH AFRICA — SME size, annual turnover, number of employees
Rights Copyright (c) 2020 Jerimiah Madzimure, Chengedzai Mafini, Manillal Dhurup https://creativecommons.org/licenses/by/4.0