A model to measure e-procurement impacts on organizational performance

This paper presents a model for Public Contracting Authorities to quantify procurement performance benefits that can be achieved by adopting e-procurement. It has been found that e-procurement could generate positive impacts, especially on the efficiency, effectiveness, dematerialization, competitiveness and transparency impact dimensions. Adopting e-procurement in the public sector is far more than just a technological challenge; it embodies a large scale change management effort to create a more efficient procurement culture. Using the performance measurement approach herewith presented helps to tackle this challenge, stimulating the effective use of e-procurement solutions. Measuring how eprocurement is contributing to optimize public expenditure by increasing organizational performances; can help to overcome the resistance to change. Plus, this model can be used to strengthen stakeholder accountability of both Contracting Authorities and public e-procurement service providers. The model has been consistently tested over the last four years with satisfactory results confirming the hypothesis; the case study is herewith exposed. The model can be applied in different context, therefore method and practical recommendations are also provided.