B2B.E-Procurement:

B2B e-procurement is used not only by participation in a procurement marketplace but also
as an enhancement of the existing conventional model. The goals of various e-procurement
business models are cost saving through exchanges/marketplaces, direct connection
of supply chain via electronic data interchange (EDI), Web-EDI, desktop purchasing, and
elimination/reduction of procurement department (Lee, 2001).
The above e-procurement models are normally implemented by e-procurement systems
and supplier portals. The major goals in most cases are process and marketing advantages,
such as:
� Availability: 24/7 availability is provided for a set of services 365 days a year
� Speed: Transactions are fulfilled faster, compared to non-electronic transactions

� Logistics efficiency considerations: Support for �Just in time delivery� and �Just in
sequence delivery�
� Integration.of.processes: Synergy effects of integrated processes can be achieved,
and parallelism of processes is supported. As a result, the time between the output of
one process to be recognized as an input to another process is significantly reduced.
Due to the integration of processes and systems, the complexity of the e-procurement
models increases as businesses further digitally enhance their business with e-procurement
facilities.