Documente Academic
Documente Profesional
Documente Cultură
E-Business
Anand Singh (PGP/19/004)
Questions
1.
What are the benefits of the e-procurement systems for the Airlines Purchasing
Department?
There were a lot of benefits expected for Airline Purchasing Department. Some of
these are:
1.
2.
3.
4.
2.
Mention the concerns of key managers in Cathay Pacific regarding the e-procurement
system implementation?
3.
The six key business benefits from implementing the e-procurement system
could be classified under the following heads:
1) Time
a. Improved information intelligence for reporting purposes
b. Improved compliance with corporate spend policies and supplier
contracts
c. Shortened req-to-cheque cycles
2) Money
a. Reduced procurement administration costs
b. Strengthened negotiating muscle with suppliers
3) Opportunity Cost
a. Freeing up of purchasing staff to engage in strategic tasks
Case already suggest using category 1) Time savings as a financial metric, and
gives a sample calculation in Exhibit 10 showing the reduction in transaction cost
from HK$ 205.8 to HK$83.0.
Apart from Time, two other possible metrics, from our above classification, could
be:
2) Money amount saved from reductions in administrative costs, and the
money saved by negotiating better deals due to the extra bargaining
power.
3) Opportunity Cost value of the other strategic tasks that are now
accomplished using staff freed up by CXeBuy
4.
How Cathay can used the Balanced Scorecard technique to measure the short term and
long term benefits delivered by CXeBuy?
2) User satisfaction: reduced time in routine and mundane tasks would lead
to more time for greater control over working environment and thus better
service
3) Procurement process alignment with overall business objectives
4) Future potential for improvements, value creation and adaptability to
change
5.