Exploring challenges in the implementation of the e-tender system application in Malaysian construction public procurement
Main Article Content
Abstract
The electronic tendering system (e-tendering) has replaced the traditional processes in carrying out the tendering process in Malaysia’s construction procurement. However, issues, such as a lack of system capability and insufficient important features in the system, have arisen in the adoption of the e-tendering system, which causes users’ dissatisfaction with the system’s capabilities and performance. Thus, the objectives of the research were to identify the current issues and challenges in implementing the e-tendering system in Malaysian public construction procurement. The research objectives were attained by applying a qualitative approach via semi-structured interviews. A total of 11 participants representing contractors and public authorities, including the Public Works Department (PWD) with experience in using e-tendering systems, were involved. The data collected was transcribed and analysed using ATLAS.ti qualitative software. The research findings indicated that users encountered issues such as poor performance of the system, frequent website crashes, difficulties utilising Microsoft Excel as tender documents and issues getting notifications regarding addenda. These issues made the system difficult to operate and disrupted the tendering process. The findings of this research can provide a foundation for the establishment of a good and efficient e-tendering system to enhance user satisfaction in Malaysia’s construction procurement.
Article Details
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
Abdullahi, B., Ibrahim, Y.M., Ibrahim, A.D. and Bala, K. (2019). Development of webbased etendering system for Nigerian public procuring entities. International Journal of Construction Management, 22(2): 278–291. https://doi.org/10.1080/15623599.2019.1620492
Akaba, T.I., Norta, A., Udokwu, C. and Draheim, D. (2020). A framework for the adoption of blockchain-based eprocurement systems in the public sector: A case study of Nigeria. In M. Hattingh, M. Matthee, H. Smuts, I. Pappas, Y.K. Dwivedi and M. Mäntymäki (eds.), Responsible Design, Implementation and Use of Information and Communication Technology. Cham, Switzerland: Springer, 3–14. https://doi.org/10.1007/978-3-030-44999-5_1
Akmal, M.A. and Ahmad Dahlan, A.R. (2022). Integrated risk management in the digital and pandemic era: Leveraging on business model canvas framework for an energy services company. Journal of Information Systems and Digital Technologies, 4(1): 199–208. https://doi.org/10.31436/jisdt.v4i1.277
Al Yahya, M., Skitmore, M., Bridge, A., Nepal, M. and Cattell, D. (2018). E-Tendering readiness in construction: The posterior model. Construction Innovation, 18(2): 183–205. https://doi.org/10.1108/ci-06-2017-0051
Betts, M., Black, P., Christensen, S., Dawson, E., Du, R., Duncan, B., Foo, E. and Nieto, J.G. (2006). Towards secure and legal e-tendering. Journal of Information Technology in Construction, 11(e-Commerce in Construction): 89–102.
Budianto, D., Rarasati, A.D. and Nursin, A. (2021). Strategy for increasing tender success in Jakarta’s e-tender construction project. IOP Conference Series: Materials Science and Engineering, 1098(2): 022052. https://doi.org/10.1088/1757-899x/1098/2/022052
Delima, P.M. and Dachyar, M. (2020). Advancing the e-tendering information system to counter corruption by proposing anti-corruption SMART tools. In Proceedings: 3rd International Conference on Applied Engineering (ICAE 2020). Piscataway, NJ: IEEE, 1–8. https://doi.org/10.1109/icae50557.2020.9350554
Elias, S. (2021). The adoption of e-procurement on performance impact: Malaysian contractors’ perspectives. PhD diss. Asia e University.
Galadima, H.B. and Waziri, A.Y. (2022). Factors influencing e-tendering adoption in the Nigerian construction industry: A theoretical review. Lautech Journal of Civil and Environmental Studies, 8(1): 45–53. https://doi.org/10.36108/laujoces/2202.80.0160
Hashim, N., Yee, M., Man, S., Aishah, M., Kamarazaly, H., Loo, S., King, S., Chin, S., Ling, A., Azrina, S. and Yaakob, M. (2020). The application of paperless concept in Malaysian construction e-tendering system, from QR consultants’ perspective. Journal of Built Environment, 8: 101–110.
Husin, N.H., Lada, S., Hamzah, A.A. and Vun, T.K. (2019). An empirical investigation of e-procurement adoption in Malaysia: The case of SMEs in Sabah. Labuan Bulletin of International Business ond Finance (LBIBF), 17(1): 102–108. https://doi.org/10.51200/lbibf.v17i1.1914
Kajendran, K. (2022). Exploring the lesson learnt by implementing e-tendering: A review of literature. Proceedings: 10th World Construction Symposium. Colombo: Ceylon Institute of Builders (CIOB), 479–491. https://doi.org/10.31705/WCS.2022.39
Kajewski, S. and Weippert, A. (2004). E-tendering: Benefits, challenges and recommendations for practice. In K. Williams (ed.), Australian Cooperative Research Centre for Construction Innovation. Brisbane: Queensland University of Technology. Available at: https://eprints.qut.edu.au/4056/
Khahro, S.H., Hassan, S., Zainun, N.Y.B. and Javed, Y. (2021). Digital transformation and e-commerce in construction industry: A prospective assessment. Academy of Strategic Management Journal, 20(1): 1–8.
Mehdipoor, A., Iordanova, I., Mehdipoorkaloorazi, S. and Benisi Ghadim, H. (2022). Implementation of electronic tendering in Malaysian construction industry: A case study in the preparation and application of e-tendering. International Journal of Automation and Digital Transformation, 1(1): 69–74. https://doi.org/10.54878/ijadt.167
Mohungoo, I., Brown, I. and Kabanda, S. (2020). A systematic review of implementation challenges in public e-procurement. Responsible Design, Implementation and Use of Information and Communication Technology, 12067: 46–58. https://doi.org/10.1007/978-3-030-45002-1_5
Nizakat, Z., Memon, N., Vighio, A., Mustafa, A., Hussain, A. and Graduate, P. (2022). E-procurement in construction industry of Pakistan: A case study of contractor related to public sector projects. International Research Journal of Modernization in Engineering Technology and Science, 4: 2582–5208.
Nurdin, N. and Pettalongi, S.S. (2022). Interpretive case study to understand online communication in an e-tendering project implementation. Jurnal Manajemen Komunikasi, 7(1): 39. https://doi.org/10.24198/jmk.v7i1.39715
Petroliam Nasional Berhad (2024). Introducing the new Petronas procurement platform: SMART by GEP®. Available at: https://www.petronas.com/partner-us/vendor-announcements/introducing-new-petronas-procurement-platform-smart-gepr
PWD (Public Works Department) (2022). Kenyataan tender JKR. Available at: https://tender.jkr.gov.my/landing/carta
Qusef, A., Daradkah, M., Sammour, G. and Albadarneh, A. (2019). A new e-tendering model for fully automated tendering process. In 2019 International Arab Conference on Information Technology (ACIT). Al Ain, UAE: IEEE, 193–201. https://doi.org/10.1109/acit47987.2019.8991136
Riadi, M. (2022). E-procurement (tujuan, prinsip, landasan hukum dan tahapan). Available at: https://www.kajianpustaka.com/2022/06/e-procurement.htmlgoogle_vignette
Sarantakos, S. (2012). Social Research. New York: Macmillan International Higher Education.
Sime Darby (2019). Sime Darby Berhad e-procurement portal. Available at: https://procurement.simedarby.com/login
Singh, P.K. and Chan, S.W. (2022). The impact of electronic procurement adoption on green procurement towards sustainable supply chain performance-evidence from Malaysian ISO Organizations. Journal of Open Innovation: Technology, Market and Complexity, 8(2): 61. https://doi.org/10.3390/joitmc8020061
Sunmola, F.T. and Shehu, Y.U. (2020). A case study on performance features of electronic tendering systems. Procedia Manufacturing, 51: 1586–1591. https://doi.org/10.1016/j.promfg.2020.10.221
Ren, J.T.J. and Kamarudin, S. (2016). Application of e-tendering in Malaysian construction industry. INTI Journal Special Edition – Built Environment, 94–101.