Supplier selection through E-Tender, and best practices: case study: Henkel Algerie
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Date
2017-06
Journal Title
Journal ISSN
Volume Title
Publisher
Ecole des Hautes Etudes commerciales
Abstract
Supplier selection plays an important role in any organization, yet currently there is a trend
towards increased focus on the importance of the purchasing function and costs of
maintenance, repair, and operation. This has led to companies investing in electronic
procurement tools in order to reduce those costs and increase efficiency.
However, E-Procurement is more than just a system for making purchases online. Some
companies implement e-procurement and succeed while others fail. This study was carried out
to identify the best practices of e-procurement in Henkel Algerie with a focus on service
purchasing. The aim is to validate and assess the relevance of a framework covering the
required criteria for project phases of an electronic procurement implementation.
All in all, the study had three objectives:
1. To investigate the prospects of e-procurement in the company;
2. To identify best practices;
3. To explore the potential challenges of implementing e-procurement by the company.
After a literature review and interviews, the development of a conceptual framework and a
number of hypotheses were put forward. To achieve a study, Henkel Algeria was chosen as a
case study. An interview was used as the main instrument in gathering data. It is principally
concerned with the understanding of supplier selection and its criteria.
The findings of this research conclude that the influencing criteria to service supplier
selection in Algeria are supplier delivery performance standards and supplier relationship
management even when considering the remainder of the above mentioned elements. The
price factors were found to be less important. Most of the criteria are also interrelated to each
other and affect the supplier selection decision.
Procurement department should endeavour to establish e-procurement systems to promote
continuity of procurement as well as achieving value for money and the independence of
procurement entities should be upheld and freed
Description
Keywords
Supply Chain Management, Supplier Selection Criteria, Procurement strategies, Supplier Relationship, Supply Base, Sourcing, E-Tender, Business Ethics, Negotiation