Impact of E-Procurement on Supply Chain Performance with mediating role of Enterprise Resource Planning Systems; An Empirical Study from the Manufacturing Industry

Abstract

The advent of latest technology has become significant for the private and public companies which positions a massive competition on other companies. The increase in the demand of customers have led the companies to provide cost-effective solutions which can increase the customer satisfaction. The rise of information and technology organizations have shifted from traditional to the modern methods such as E-procurement, E-Business and E-Supply Chains for carrying out the business activities. Considerably, the organizations have managed to move their tasks and activities under the umbrella of Enterprise Resource Planning (ERP) systems. Due to the availability of ERP systems, organizations get to manage their tasks with better coordination, effectively and efficiently, among other departments. The focus of this research is on the impact of E-procurement on supply chain performance with the mediating role of Enterprise Resource Planning system (ERP). The variables that have been determined in this study are E-Informing, EOrdering, E-Invoicing, E-Payments, E-Tendering and SC performance. As this research is focused on the quantitative approach, the study adopted the close-ended questionnaire for gathering the primary data. The target population of this research are the employees working in the manufacturing industry of Pakistan and its procurement activities. In order to analyze the collected data, SPSS software was used and regression and correlation analysis were also carried out. The results of the study suggested that the ERP systems mediates between the independent and dependent variable. The ERP systems can help the organizations to run the entire functions in an effective way. This research is also significant as the previously conducted studies have not focused on the ERP systems in the manufacturing industry of Pakistan.