Abstract: The objective of the study was to determine the effect of e-procurement on strategic sourcing in Saccos in Kenya: a case of Unitas Sacco. Specifically, the study sought to identify the effect of e-tendering, e-informing, e-sourcing on the strategic sourcing process at Unaitas, Kenya. The research was guided by three theories; namely dynamic capability theory, innovation of diffusion theory and transaction cost theory. A descriptive research design was employed and to determine how e-procurement impacts on the strategic procurement process. The research target population was 417 employees working at Unaitas head office. A questionnaire was the main data collection instrument in which both open and closed ended questions was used. A drop and pick later method was used to administer the questionnaires to the respondents. Upon data being collected, it was cleaned to remove any inconsistencies after which data was analyzed using descriptive measures of mean and standard deviation. The research further employed regression model to establish the relationship between e-procuring and strategic sourcing. The study established that the Sacco had improved its just-in-time purchasing practice and that the Sacco had been able to send requests for information and prices via the internet technology. The study found that the e-informing had facilitated regular communication among departments. The study established that the firm published more information about the Sacco through the e-procurement system and this increased transparency in the organization. The study established that the Sacco e-procurement system had facilitated processing of electronic invoices with integration to suppliers' supply chains and buyers' financial systems. The Sacco was found to be able, courtesy of e-procurement, to access preferred suppliers' products and services online and purchase the same directly. Further, the study established that e-sourcing procurement tools had enhanced visibility of potential suppliers and this has increased the level of transparency as well as reduce the costs of managing purchasing processes increasing economies. The study recommended the need to enhance e –procurement through reducing costs to minimize the complexity of the procurement process. The study also recommended that there was need to improve e- tendering which enhances just-in-time purchasing practice and send requests for information and prices via the internet technology in the Sacco.
Keywords: e-tendering, e-informing, e-sourcing and strategic sourcing process.
Title: EFFECT OF E-PROCUREMENT ON STRATEGIC SOURCING IN SACCOS IN KENYA: A CASE OF UNITAS SACCO, KENYA
Author: Tonny Kiluta Kaseme, Dr. Samson Nyang’au Paul
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
Research Publish Journals
