Adoption and Use of E-Procurement: A Case Study in HM Sdn. Bhd.

Abstract

The adoption and usage rate of electronic-procurement (eP) in Malaysia has been relatively slow since the beginning of eP implementation. This highlights the need to understand the inhibitor factors of eP adoption and usage among suppliers in Malaysia. This study examined the adoption and use of eP by the HM Sdn. Bhd. construction company (HM), and its contribution to the Management Information System (MIS) planning strategy in the organisation. An in-depth case study approach was employed in this study. The respondents consisted of 21 individuals from middle and top management levels of HM using purposive sampling procedure. The data were collected via interview and analysed using narrative analysis method. The finding of this study highlighted that complexity and compatibility are the key inhibitor factors in the adoption and use of eP among middle management and top management in the company. Failure to maximise eP advantages can reduce the competitiveness of HM in the market. Furthermore, the management had spent a huge investment to make the eP system become reality.