According to survey findings from the latest global trend, companies increasingly are using the Internet to purchase direct and indirect goods and services, and they are saving money as a result. For in matter of quarterly scenario, the percentage of direct materials purchased using the Internet surpassed that of indirect materials. This visible growth is observed by lot of e-commerce experts who tracks online activity for both manufacturing and non-manufacturing organizations.

Better savings opportunities caused large firms –organizations that spend more minimum investment on procurement per year, especially those that buy more than five times greater a year — to lead in Internet adoption. Why? The size and buying power of these companies help them contain costs and secure supplier participation.

The trend also reveals that, supply management professionals purchased slightly more direct goods and materials online than indirect goods, In their case internal and external system integration is a major drawback to e-procurement adoption. This natural trend has been justified by lot of growth indicators of e-commerce sector.

Most experts agree that, success in online purchasing is a matter of position, priorities, and persistence and though some small niche-marketeers and small firms are having steady growth Larger companies so far have been in a better position as they afford the available solutions and gain supplier participation more easily. Non-manufacturing companies have made e-procurement and Internet-based sourcing a higher priority than manufacturers have, which also use alternative channels like Internet based  networks. This group are more advanced in their use of online marketplaces and company-wide e-procurement tools. This group tends to consist of service companies that lack alternate channels for buying and have very specific direct purchasing needs.  Above all, though, success stems from persistence over time in making the e-marketing process more adaptable, flexible, fast and user-friendly, gaining employee and supplier participation, and linking online sourcing with high-tech e-procurement systems to create real bottom-line savings.

Sourcing will be the key to unlocking value. Tools for automating the purchase process turn out a secondary source of business value compared to the savings from negotiating and gaining employee compliance with strategic sourcing deals.

Information Network, Information professionals, Marketing
E-marketing, E-procurement, Online shopping, Supply Management Professionals