Electronic Procurement in the Australian Public Sector: The Organizational Assimilation Process and its Impact on Public Procurement Performance

Abstract

Electronic public procurement (public e-procurement), an Internet-based procurement innovation, is opening up opportunities to improve procurement performance for governments that were not readily accessible in the last couple of years. This study examines the notion of e-procurement assimilation and proposes a conceptual model that may facilitate a greater understanding of how organizations can effectively manage the process of e-procurement assimilation. The focus of this study is the process of e-procurement assimilation, rather than a binary choice of adoption or non-adoption, or the intention to adopt. As such, the research setting and methodology of the research is in line with the innovative concepts as offered in the theories of Information Technology (IT) assimilation. This thesis uses interdisciplinary literature from transaction cost theory, structurational theory of IT use, resource-based theory, institutional theory, diffusion of innovation theory, and interaction theory to identify the various antecedents that may influence the organizational assimilation process of e-procurement. This study also assesses the impact of such assimilation process on the procurement performance in public procurement context.