What are the disadvantages of e procurement?
1 min readAug 10, 2018
eProcurement can yield various benefits if leveraged effectively and in support of a good process. Applying any technology to a bad process can yield devastating consequences. Poor eProcurement Deployments have cost companies billions of dollars over the last decade.
Poor eProcurement Deployments can result in the following Unintended Consequences:
- Over reliance on technology and the disabling of due diligence. This often leads to devastating shortages, delays, and supply chain disruptions.
- Lack of buy in and resistance to change from employees. This often leads to circumvention of eProcurement Systems, loss of process control, back door buying, and theft.
- Increased Complexity. Often eProcurement Solutions add complexity and cost, usually because due diligence is taken to understand user requirements.
- Poor Integration with existing systems. This is a big one, and a popular reason for circumvention
- Cost, Cost, Cost. Very often, if the above factors are present in a procurement environment, the result will be a staggering loss of money and competitive advantage.