IT supporting supplier relationships: The role of electronic commerce

The impact of electronic commerce on the supply chain is considered in terms of customer service, lower costs, more efficient processes and improved supplier relationships.

Abstract

The paper discusses how electronic commerce may be used to support a portfolio of supplier relationships and considers a case study based on BT Supply Management (SM) who have developed a supplier relationship framework to categorise suppliers and select appropriate procurement strategies. Electronic Commerce applications may be mapped to the framework to support different types of supplier relationships. The case study also examines the opportunities of utilising the Internet to support procurement-related processes. The impact of electronic commerce on the supply chain is considered in terms of customer service, lower costs, more efficient processes and improved supplier relationships.