Procurement is the process of finding, agreeing terms and acquiring goods, services or works from an external source, often via a tendering or competitive bidding process.
The Web is global, scalable and built on an open technology platform that enables e-restaurants to gain a competitive advantage through online functionality. Web isn’t merely to render transactions faster and cheaper; it is also to develop new efficiencies and interactivities. Online economies can be found in more effective product search processes, better needs matching, rapid data interchange, simplicity of access and electronic funds transfer.
Therefore, E-Procurement is a more effective and less expensive searching to identify manufacturers, distributors, buyers, sellers, products, services and the like represent important purchase considerations.
ADVANTAGES OF E-PROCUREMENT INCLUDES
Lower Transaction Costs
Restaurants can enjoy a lower cost of goods due to comparative, competitive shopping and aggregated purchases.
For the restaurant:
Shopping, order creation, order entry, transaction settlement, customer service and related expenses are minimized.
For the supplier:
Catalog distribution and order taking costs are minimal.