• Subject Name : Procurement and Fundamentals

Procurement Fundamentals and Quality Systems

Executive Summary of Impact of E-Procurement on Quality Management

The report illustrated the impact of e-procurement on quality management. It highlighted the advancement of e-procurement, quality management, and its interdependence on e-procurement for growth. Standardization and formal workflow was observed as a key impact. The report also addressed e-procurement adaptation and its usability in the supply chain and organization matrix. This report provided detail of the e-procurement tool and its positive impact on quality management.

Table of Contents

Executive Summary

Introduction

Integration of quality management and e-procurement

E-Procurement tools for quality management

Relationship between e-procurement infrastructure and quality practice

Key impact on adaptation of e-procurement

Conclusion

Reference list

Introduction to E-Procurement

E-procurement is an electronic transfer of data for operational and strategic procurement. It refers to the sale of suppliers and services through the networking system (Schoneherr 2019). The quality of the product impacts performance and enhances superior product delivery and services. Quality management is the act that oversees the quality of products and services that are maintained at the organization following a defined structure. The report reflects the advancement of e-procurement and with the integrated value chain and e-procurement tools and impact of e-procurement on quality management.

Integration of Quality Management and E-Procurement

Quality management lays the foundation for its principle of total quality management (TQM). Critical aspects of organizations' long-term goals are stated in the TQM approach (Kiran 2016). The relationship builds among entities are governed by warehouse, retailers, and customers. E-procurement design the functional aspect which is a key aspect of manufacturing and distribution (Claritum 2020).

Adequate system and supply site regions for adoption is required to enhance e-procurement adaptability for quality management with the defined business units. Fierce competition has enabled firms to develop their own enterprise for business continuity environment (Quality one 2020). The direct impact on the integrated system shows a connection between business improvements of elements with all stakeholders.

Arranging a business standard for supplier partnership for documentation decreases the impact of the effective modern procurement system. The integration shows a challenge relating to inadequate planning for the deployment of adequate resources. The frequency and heterogeneous structure help in standardization for supply chain showing outlook for essential agility, flexible help deployment of a coordinated system.

E-procurement includes emerged software architecture for standard architectural scenarios (The Standard 2017). Operational efficiency is a major component of quality management that defines the business hours for business procedures and prescribed timelines for checks. Workflow management is used for quality functionality for local data processing and business application. Dynamic web -based service for strong host implementation and encrypted process for procurement wide variety of optimization of order, turnaround rate and business execution .E-procurement can be successfully implemented with training modules. This will reduce daily work with long term impact.

E-Procurement Tools for Quality Management

E-procurement automates the purchase of inventory and improvement of the supplier cycle. Cost streamlining and automation eliminates the error which assists firms in the quality's implementation management process (Thai 2015). The well-managed system builds a strong business system. Below are the key tools of E-procurement that impact quality management.

  • Enterprise Resource Planning (ERP) - Web-based ERP places the order and as per order requisition using a software-based setup. ERP assures real-time compliance with quality management on supply chains, which simplifies the chain process.
  • Electronic Maintenance Repair Overhaul (EMRO)-According to Ganesh (2014) assembling repair takes into account 70% of the maintenance time. No–product-related order improves final product delivery quality. Reinforcement metrics are efficient in applying the maintenance process.
  • Electronic sourcing-Identifying potential suppliers using web-based technology helps the company in extending visibility across the globe and improving process (ASQ 2020). Electronic sourcing focuses on workforce adaptability for improvement in building a customer base. Cost is the benchmark that is widely used for comparing business units. The use of electronic sourcing has reduced the workforce traditional approach for memo
  • Electronic information and electronic market sites-Integration of buyers and sellers for the one- stop purchase and sale help the organization to maintain uniformity and product quality. The inbuilt monitoring is useful for estimating quality standards. The organization standard and experience are built though the low rate in quality determination
  • Electronic auctioning–Vendor management is a key element in the value chain. Workflow and tenders are moved swiftly which reduces the turnaround time for activity which reduce micro processing for vertical structuring. Line functioning for reaching step by step process is reduced as a hierarchy in the process is reduced for quick action.

Relationship Between E-Procurement Infrastructure and Quality Practice

A key determinant in top management control design has potential for supplier design functionality .E-procurement links work model and eliminate multiple respondents to digital team .Electronic data exchange assists in fiber data transfer for one-stop integration at the structural level. Top managements appropriate focus on quality control in the supply chain leads to robust infrastructure with cross-stream movement between vendors and clients (ASQ 2020).

The collaborative culture is definitive for the organization to tackle supplier contact management within its multiple services. Idea implementation and motivation of employees are internal factors for the development of quality practice for large impact. Major auction delivery and quality practice are structured for frontline delivery for engagement of secure relations between suppliers and clients. Security advancement in the meetings has fast-paced the systems (Shakya 2020).

Traditional methods are reducing the efficiency of management. The job code designed by the company is practicing the division between supply chains for improvement of the overall experience. Two-way communication enablement in the infrastructure is assisting the companies to reduce wastage and efficiency of standard decisions on output integration and company growth (Local government association 2015). Top management strategies of the companies help to streamline function for a feedback mechanism. Feedback based on the evidence-based case helps to quantify the output of the organization for further updation and change of policies.

Feedback function mediates work attitude in information management. The product directly results in positive outcomes for client delivery and retention. The use of Just in time and e-procurement relates to the order conformance standard (Insight 2019).Measurement of quality is measured by customer and financial measures of company performance. Quality management principle improves the workflow for development which emphasizes innovation. It is essential for a firm to implement the right mechanism by adapting modern technology standards. Product and process improvement design quality operation process for groundwork.

The higher level of flexibility is shown from the setup of the procurement process for payment of delivery for supplier and bidding process moved to electronic medium through the above figure. Use of electronic dashboard has simplified the process which reduces any system non-functionality as all department are interdependent of each other (ASQ 2020).

Companies participate in the process and significant change has been seen through the process which is done for the supplier-buyer cycle. Specific drivers show the process significantly showing revenue drivers escalating for e-ticketing and e-invoice management (The balance 2019). The broken chain results in disruption of the supply chain in the absence of quality practices. The globalization of industrial practice shows a positive environment and functional cycle. Manufacturing of products and hindsight plan of expansion is required for the top level of management of the firm in taking action. Any leakage at the endpoint effects the flow of product and services for factual impact on the organizational capacity. Firms use 3rd party logistics for wider outreach. Internal e-procurement development through the web requisition system reduces traffic (ASQ 2020). Catalog management is another practice is used for interface exclusively for suppliers and buyers for descriptive process update and guidance. Shipping and logistics are secondary processes that are maintained under procurement transaction system in catalog management.

This tool is developed for reference check and order set up by the virtual dashboard for deal structure and client’s projection, expectation from the products innovation and pricing .The quality of relationship between e-procurement also depends on the stakeholders approach for customer service and quality. The main objective is to synchronize fragment functions for distributions and sale for balancing integration and interface. The total flow of goods and service help parties to develop integrated behavior for dynamic customer query (ASQ 2020). Organization seek to develop its reputation on primary objective as aligning growth prospects. Central access and accountability of staff has been increased due to automation of process for clear defined purpose and goals. Backend support of design mitigates any infrastructure fault relating to operational management (The balance 2019).

Regulatory risk and compliance implantation results through quality practice .Formal system of procedure reduces functionality of manger. Corporate growth is significantly higher for companies following principles of quality as documented by their top management (Draminu 2018) .Employee engagement is necessary for implementing quality practice protocol. The use of e-procurement tools results in consistence response and identification of bottle neck for prevention in non-conformance list for process improvement.

Key Impact on Adaptation of E-Procurement

  • Minimization of cost- According to (Local government association 2015), e-procurement enables reducing of input cost compared to traditional methods that focus on data entry and invoice for transactions. Embedded system reduce recall any order failure by a management dashboard. The use of embedded control uses microchips for real- time update across all platforms .This reduction of cost is the major revenue driver for manufacturing units in the end to end process for product and supplier contact .The use of ERP software is linked with key departments to furnish details for future stock update
  • Increase inefficiency–Quality management focus on product quality and the implementation of e-procurement reduces turnaround time significantly. It helps innovation and integration of the company. Efficiency as a business unit has improved the internal team s reduction of the wastage that can be utilized for strategic decision making
  • Robust culture setup-E-procurement includes all business partners for product assembling and sale. This helps the organization to re-prioritize daily work and inter-develop process and matrix structure for total quality management principle and line of authority.
  • User adaptability-Lack of the executive order and Electronic data exchange system user adaptability increases, which makes a purchase to pay easier.
  • Standardization of output-The planned process enables category management with the presence of multiple vendors, which oversees all functions for quality management across the value chain (Insight 2019).

Conclusion on Impact of E-Procurement on Quality Management

From the above discussion and explanation, it can conclude that e-procurement has a positive impact on quality management. E-procurement features cost reduction, improvement of the process, which will lead to robust growth in profitability, and user adaptability. The transparency of the supply chain process shows a positive impact on quality management. Quality management proposes a solution for business continuity with e-procurement. The parallel use of e-procurement will help the firm gain a competitive advantage with IT support. The feedback mechanism and strong customer experience established by e-procurement infrastructure have shown quality improvement in the organization.

Reference List for Impact of E-Procurement on Quality Management

ASQ. 2020. Quality Management System. [Online]. Available at: https://asq.org/quality-resources/quality-management-system. [Accessed on: April 28, 2020]

Claritum.2020.What is e-procurement. [Online]. Available at: https://www.claritum.com/what-is-e-procurement/ . [Accessed on April 29, 2020]

Draminu .2018.Total Quality Management Principles, Concepts and importance .Available at: https://draminu.com/total-quality-management-principles/ . [Accessed on April 29, 2020]

Insight.2019.3 ways to streamline in-house software management. [Online]. Available at: https://www.insight.com/en_US/content-and-resources/2019/07122019-3-ways-to-streamline-your-in-house-software-management.html . Accessed on April 28, 2020]

Ganesh K. Annubudaya, SP. Mohapatra and S. Siva Kumar, P. 2014. Enterprise Resource Planning: Fundamentals of design and Implementation. Springer International Publishing.

Kiran D. R. 2020. Total Quality Management: Key Concepts and Case Study. BS Publication.

 Local government association.2015.How should we use technology. [Online]. Available at: https://www.local.gov.uk/national-procurement-strategy/pcr-toolkit-2015/how-should-we-use-technology/electronic-procurement. Accessed on: [April 28, 2020]

Quality one.2020. Total Quality Management. [Online]. Available at: https://quality-one.com/tqm/. Accessed on: [April 28, 2020]

Shakya, R .2017.Digital governance and e-government principle applied to public procurement. IGI Global.

Schoneherr, T. 2019. The evolution of electronic procurement: Transforming business as usual. Springer International Publishing.

Thai. VK.2015. International public procurement: Innovation and knowledge sharing. Springer International Publishing.

The balance.2019.Total Quality Management and quality improvement. [Online]. Available at https://www.thebalancesmb.com/total-quality-management-tqm-2221200 .Accessed on [April 28, 2020]

The standard. 2017. Unraveling the impact of e-procurement. [Online]. Available at: https://www.thestandard.co.zw/2017/05/14/unravelling-impact-e-procurement-2/.Accessed on [April 28, 2020]

Remember, at the center of any academic work, lies clarity and evidence. Should you need further assistance, do look up to our Procurement and Fundamentals Assignment Help

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