A Success Model for the Malaysian Government e-Procurement System

Abstract

In Malaysia, there has been a tremendous effort in implementing e-government as a national agenda to increase public transparency, improve sector efficiency and effectiveness, and reduce public expenditure through lower operational costs. One of the e-government applications is the ePerolehan, a government-to-business (G2B) system that enables online public procurement coordination and transaction between government and businesses. However, there has been a lack of empirical research findings in evaluating the success and actual value of the system and understanding the usage factors among government users. Hence, this research was undertaken to investigate the level of ePerolehan system success and the factors that contribute to this success, as perceived by the government users. The structural equation modeling results suggest the use of the Malaysian public e-procurement system has significant and positive influence to success, measured as transparency, service performance, efficiency, and information quality. The results also indicated that the main significant success factors of the ePerolehan system are found to be system compatibility, user attitude, organizational learning, mimetic pressure, and supplier expectation. The findings provide several important implications not only for the government-to-business discipline, but also for e-government research and practice.

Impact of E-Procurement Adoption on Company Performance: Evidence from Indonesian Manufacturing Industry

“…Vaidyanathan and Devaraj [38] found that the quality of the information flow process, the logistics fulfillment process, and e-procurement satisfaction have a strong relationship. Kassim and Hussin [39] investigated the factors affecting the success of e-procurement for the Malaysian government. Their study shows that transparency, efficiency, and information quality are the most important factors contributing to the success of e-procurement.…”

The influence of performance expectancy on e-procurement adoption model in developing countries: Tanzanians perception

“…Most prior studies had been employing only some of the constructs from each element of TOE model towards new technologies adoption [11], [24][25][26][27]. For example, the study by [11] adopted the TOE model to examine the level of e-Perolehan system achievement and the influences that subsidize to this achievement, as professed by the Government employers but the study included only attitude of users, learning of organization, expectation of suppliers, compatibility of the system and imitative pressure. The study by [25] also adopted the TOE model to explore the influence of these factors on the innovation decision of firms in the context of a developing country.…”

“…Studies by [8,9] and [10] would have been more interesting if the authors had explained the indirect influences of performance expectancy towards e-procurement adoption. The study by [11] aimed at investigating the level of e-Perolehan system success and the factors that contribute to this success, as perceived by the Government users. The structural equation modeling was used to analyze the data.…”

Readiness for E-Tendering in the Construction Sector- Designing a Computer Programme

“…Thus, it can be concluded that the highest success in achievements is on the improvement of service performance, followed by efficiency, transparency and information quality. The results also show that user attitude has a direct influence on the system usage [4].…”

“…They concluded that the document flow process was reduced approximately from 73 to 30 days. Other benefits involved the reduction in printing and copying costs, halved the total costs on telephone and faxing volumes between the owner and contractors [3], while Kassim and Hussin (2013) concluded that use of electronic system explains nearly 69% of the variance in transparency, 87% in service performance, 79% in efficiency and 67% in information quality. Thus, it can be concluded that the highest success in achievements is on the improvement of service performance, followed by efficiency, transparency and information quality.…”