B2B Stirs Enthusiasm But Few Takers

More than 70 per cent of companies surveyed at Com Tech's recent annual forum are adopting the e-procurement model but only 10 per cent actually use e-marketplaces.

Cost savings are driving the move to e-procurement with the 200 companies surveyed expecting to reduce administrative costs, enforce purchasing compliance within the organisation and leverage discounts from suppliers.

About half the respondents already have a B2B strategy with 22 per cent developing it in-house and 27 per cent using external consultants.

Despite the enthusiasm for e-procurement reflected in the survey it has not translated into a strong uptake in using e-marketplaces though a further 17 per cent plan to use one in the next 12 months.

The survey also revealed 94 per cent of respondents currently maintain a public Web site but more than half plan to outsource their Web hosting to secure guaranteed performance levels and scalability.

The main benefit of in-house Web hosting was the ability to better manage content, respondents said.

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