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THE CRITICAL SUCCESS FACTORS AND CHALLENGES IN E-PROCUREMENT ADOPTION AMONG LARGE SCALE MANUFACTURING FIRMS IN NAIROBI, KENYA

2013; European Scientific Institute; Volume: 9; Issue: 13 Linguagem: Inglês

1857-7881

James Mauti Mose, James Njihia, Peterson Obara Magutu,

ERP Systems Implementation and Impact

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 on the adoption of e-procurement among large scale manufacturers in Nairobi, Kenya. The study had three objectives: To ascertain the extent to which large scale manufacturers in Nairobi have adopted e-procurement; to determine the critical success factors influencing the success of e-procurement in large manufacturing firms in Nairobi and to establish the challenges that face e-procurement adoption in large scale manufacturing firms in Nairobi. The research involved a cross-sectional survey of the large manufacturing companies operating in Kenya. The study adopted a descriptive approach in trying to establish the factors that influence the success of e-procurement projects. A sample size of 46 respondents was selected from a list of 455 large manufacturing companies. Data was collected from the respondents through a questionnaire. The collected data was analyzed using SPSS and presented in tables. The study revealed that majority of the large scale manufacturers in Nairobi, Kenya has adopted e-procurement with the following e-procurement practices: online advertisement of tenders, receiving online submission of proposals for the tenders, and short listing suppliers online among others. The five critical success factors identified were: employees and management commitment to success of adoption; reliability of information technology and supplier performance; monitoring the performance of e-procurement systems;