Abstract
This paper discusses the use of emerging Internet technologies to support indirect (non‐production oriented) procurement processes. We provide an overview of objectives and available technologies and outline some of the critical success factors and key decision points. Two case studies from the Petroleum Industry help demonstrate the concepts.
Similar content being viewed by others
References
Aberdeen Group, Internet Procurement Automation: Separating the EC Wheat from the Chaff (Aberdeen Group, Boston, MA, 1998).
American Petroleum Institute, Home page, http://www.api.org. (1999).
S. Avery, Outsourcing the MRO buys slashes cost at BPXA, Purchasing (1997).
C. Beam, M. Bichler, R. Krishnan and A. Segev, On negotiations and deal making in electronic markets, Information Systems Frontiers (1999) forthcoming.
C. Beam and A. Segev, Auctions on the Internet: A field study, Working Paper, 98-WP-1032, Fisher Center for Management and Information Technology, Berkeley, CA (1998).
M. Bichler, M. Kaukal and A. Segev, Multi-attributive auctions for electronic procurement, in: Proceedings IBM Conference (Hawthorne, NY, 1999).
B. Burnham, The electronic commerce research report, Research Report, Piper Jaffray Research (1997).
CAPS, Summary of 1998 Petroleum Purchasing Benchmarks (Center for Advanced Purchasing Studies, Tempe, AZ, 1998).
J.R. Carter and R. Narasimhan, Purchasing and Supply Management: Future Directions and Trends (Center for Advanced Purchasing Studies, Tempe, AZ, 1995).
P.L. Carter, J.R. Carter, R.M. Monczka, T.H. Slaight and A.J. Swan, The Future of Purchasing and Supply - A Five-and Ten-Year Forecast (Center for Advanced Purchasing Studies, National Association of Purchasing Management, A.T. Kearney, Inc., Tempe, AZ, Chicago, 1998).
CommerceNet, Catalog interoperability study, Research Report, 98-05, CommerceNet, Palo Alto, CA (1998).
A.E. Cortese and M. Stepanek, Good-bye to fixed pricing?, Business Week 3576 (1998) 70–84.
D.W. Dobler and D.N. Burt, Purchasing and Supply Management (McGraw-Hill, New York, 1996).
Economist, cheap oil - the next shock?, The Economist, 6th March (1999).
Fortune, The Fortune 500 list, http://cgi.pathfinder.com/fortune/fortune500/500list.html (1999).
H.F. Garcia and L.G. Sisneros, The Purchase of Services (McGraw-Hill, New York, 1993).
M. Ginsburg, J. Gebauer and A. Segev, Multi-vendor electronic catalogs to support procurement: current practice and future directions, in: Proceedings Twelfth Bled Electronic Commerce Conference Bled, Slovenia, Moderna Organizacija, Vol. 1 (June 7-9, 1999) 331–345.
H.E. Hough and J.M. Ashley, Handbook of Buying and Purchasing Management (Prentice Hall, Englewood Cliffs, NJ, 1992).
IPAA, America's oil and gas producers, just how bad is it? IPAA reports shattering oil survey results, http://www.ipaa.org/departments/communications/PR1999/PR02041999.htm (1999).
IPAA, Report of the IPAA Supply and Demand Committee April 1998 - Long-Run Forecast (1997- 2010), http://www.ipaa.org/departments/information services/supply and long run.htm (1999).
A. Jahnke, How bazaar, Cio 11(20) (1998) 50–56.
R. Kalakota and A.B. Whinston, Electronic Commerce: A Manager's Guide (Addison-Wesley, Reading, MA, 1997).
R. Kalakota and A.B. Whinston, Readings in Electronic Commerce (Addison-Wesley, Reading, MA, 1997).
M. Keough, Buying your way to the top, McKinsey Quarterly 3 (1993) 41–62.
Killen & Associates, Operating resources management: How enterprises can make money by reducing ORM costs - A White Paper, Strategic Report (Killen & Associates, Palo Alto, CA, 1997).
R.M. Monczka and R.J. Trent, Purchasing and Sourcing Strategy: Trends and Implications (Center for Advanced Purchasing Studies, 1995).
W. Mougayar, Opening Digital Markets: Battle Plans and Business Strategies for Internet Commerce (McGraw-Hill, New York, 1998).
M. Nenninger and M.H. Gerst, Wettbewerbsvorteile durch Electronic Procurement - Strategien-Konzeption-Realisierung (Franz Vahlen Verlag, München, 1998).
Oil Online, Online information for the oil industry, http://www.oilonline.com (1999).
J.R. Oliver, A Machine Learning Approach to Automated Negotiation and Prospects for Electronic Commerce (University of Pennsylvania, 1996).
Purchasing Magazine, A bigger better list, Purchasing (1996).
A. Segev and C. Beam, Automated negotiations: a survey of the state of the art, Wirtschaftsinformatik 39 (1997) 269–279.
A. Segev, J. Gebauer and C. Beam, Procurement in the Internet age - current practices and emerging trends (Results from a field study), Working Paper, 98-WP-1033, Fisher Center for IT and Marketplace Transformation, Berkeley (1998).
A. Segev, J. Gebauer and F. Färber, Impact of Emerging Technologies on Indirect Procurement (Fisher Center for IT and Marketplace Transformation, Berkeley, 1999), forthcoming.
P. K. Sokol, From EDI to Electronic Commerce: A Business Initiative (McGraw-Hill, New York, 1995).
F. Sollish, An E-commerce state of the union, Journal of Internet-Purchasing 2(1) (1998).
C.K. Whyte, We're not there yet!, Purchasing Today 10(1) (1999) 41–49.
C. Wilder, B. Caldwell and G. Dalton, Web incentive, Informationweek (1998).
C. Wilder, G. Dalton and J. Sweat, Changing the rules, Informationweek (1998).
G. Zenz, Purchasing and the Management of Materials (John Wiley and Sons, New York, 1994).
Author information
Authors and Affiliations
Rights and permissions
About this article
Cite this article
Gebauer, J., Segev, A. Emerging technologies to support indirect procurement: two case studies from the petroleum industry. Information Technology and Management 1, 107–128 (2000). https://doi.org/10.1023/A:1019160605755
Issue Date:
DOI: https://doi.org/10.1023/A:1019160605755