Effects of E-Procurement in the Banking Industry: A Case of National Bank- Harambee Avenue Branch

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dc.contributor.author Wanjiru, Gikonyo
dc.date.accessioned 2019-11-14T08:10:37Z
dc.date.available 2019-11-14T08:10:37Z
dc.date.issued 2019
dc.identifier.uri http://erepo.usiu.ac.ke/11732/4974
dc.description A Research Project Report Submitted to the Chandaria School of Business in Partial Fulfillment of the Requirement for the Degree of Masters in Business Administration (MBA) en_US
dc.description.abstract Specifically, the study examined the scope of e-procurement, effect of e-procurement on the supply chain management, and the challenges of adopting e-procurement practices that could be anticipated at National Bank, Harambee Avenue Branch. This study used descriptive research design. The primary population of the study came from National Bank and specifically Harambee Avenue Branch which as at July 2018 housed 49 employees. The sample frame for the study came from National Bank’s human resource department. Census sampling was used in the study. Data for the study was collected using a questionnaire. In this study, data was broken down using Microsoft Excel and SPSS, and it was analyzed descriptively. Descriptive statistics, which included measures of central tendencies (frequencies, means and standard deviations) were used to analyze the collected data. Inferential analysis (correlations and regressions) were used to describe the degree of relationship between the study variables. Regression analysis employed the use of simple regression that indicated how the study’s independent variables (scope of e-procurement, effect of e-procurement and challenges e-procurement) influenced the dependent variable (banking industry). The results were presented using figures and tables. The study showed that the effectiveness of e-procurement in the organization includes information sharing within and across the firm and that internet-based technologies facilitate process of e-procurement integration within and across the firms. E-tendering procedure facilitates the ability of the organization to select a suitable supplier and it allows the firm to recommend tenders from a limited number of firms that are carefully selected. The study indicated that e-procurement has allowed the firm to reduce the costs of coordinating operational transactions, has increased the firm’s internal process efficiencies, thus increasing process efficiency, has improved the ability of the firm in obtaining better offers from its suppliers as well as compare the offers from suppliers and access them in every phase of the process, has drastically reduced the effort of human resources in firms’ operations during the tendering process, has improved the ability of the firm to clearly divide its tendering process into phases with no possibility of anoverlap, and has allowed employees to master the dynamics of the firm’s tendering procedure. The study revealed that the challenge faced in the implementation of e-procurement include the strategic initiative of the firm as well as supplier enablement. Lack of a critical mass of suppliers accessible through the organization’s e-procurement system limit the network’s effects and lack of better communication between the firm and its suppliers limits the implementation of e-procurement systems in the firm. Lack of information and technology strategy to integrate e-commerce in some systems impedes e-procurement implementation in the firm. The study concludes that e-sourcing has reduced the firm’s purchase prices and has successfully been used to source indirect support services for the firm. Enterprise resource planning module is used to support the basic internal business processes of the firm as well as to track business resources such as cash, raw materials, and production capacity. Information technology is used in the firm to gather and distribute information both from and to internal and external parties and the e-procurement revolution has enhanced the status and influence of the purchasing function within the organization. The study recommends National Bank to integrate its communication and information across all the departments within the firms as well as across all stakeholders of the firm in order for the e-procurement service/ system to be effective, efficient and responsive for operations and that it standardizes all its processes in order to allow its employees to master the dynamics involved in its tendering procedures. en_US
dc.language.iso en en_US
dc.publisher United States International University - Africa en_US
dc.subject E-Procurement en_US
dc.subject Banking Industry en_US
dc.subject National Bank- Harambee Avenue Branch en_US
dc.title Effects of E-Procurement in the Banking Industry: A Case of National Bank- Harambee Avenue Branch en_US
dc.type Thesis en_US

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