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What am I bid? Stephen Williams of Portum proposes e-procurement as a valuable exercise in its own right as well as a step towards online marketplaces. |
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Every pundit has an opinion on whether online marketplaces will succeed or fail, and on who will survive and why. Is the business-to-business (B2B) model going down the same dark route as business-to-consumer (B2C)? While US analysts debate the issue, European procurement executives are left slightly nonplussed as to what the benefits of marketplace buying are. If they do decide to take their purchasing online, how do they decide which method is best for them? The core argument for e-procurement is simple: it drastically reduces the cost and time spent on liaising with suppliers and it encourages all parties to compete openly on prices. Transparency is increased and buyers get to negotiate with new suppliers. Where are we now? I intend in this article to shed some light on the murky waters of B2B commerce. It is designed to clarify the different marketplace types, and also add a view on what the future will hold for e-procurement. |
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International Consultants' Guide September 2001
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Collaborative Supply Chain