Technology Advancement and E-Procurement in the US

Abstract

E-procurement has had a tremendous impact on the modernization of government and administration. In the U.S., the relationship between technology and e-procurement is central in determining the ability to adopt successful e-procurement. Significant investment in technology and human capital is required for the implementation of e-procurement systems. Despite widespread efforts to initialize e-procurement through direct investment in information and component technologies, a substantial portion of administrations’ efforts at achieving e-governance have failed. The need for customized solutions and managerial intervention has challenged government at all levels. Furthermore, technological advancement has not been welcomed by all administrations. Nonetheless, the advantages of e-procurement typically justify the effort required to implement and maintain such systems. Reductions in transaction costs, increased transparency, and improved relationships between government and businesses are all advantages of e-procurement. While there are significant challenges to e-procurement not limited to corruption, the benefits of e-procurement far outweigh the costs.