Vendor satisfaction of E-government procurement systems in developing countries: an empirical research in Indonesia

ABSTRACT

Adoption of e-government services persists as a prime concern among scholars and practitioners. Although much progress has been attained in comprehending how e-government services have been adopted by citizens, our understanding of vendors’ willingness to engage in Government-to-Business transactions (e.g. e-procurement) is much more limited by comparison, especially from the perspectives of service convenience and performance failure. For this reason, there have been increasing calls for further investigations into the factors affecting vendors’ adoption of e-government services and especially those operating in developing countries. Drawing on the compatibility principle, we advance a theoretical model that posits performance failure of e-government systems as object-based beliefs affecting vendors’ behavioral-based belief of service convenience. Upon analyzing survey data gathered from 227 vendors based in Indonesia on their experiences with e-government procurement systems, we discover that vendors’ evaluations of service convenience are negatively influenced by the presence of information, function, and system failures and that the effects of these failures vary across different dimensions of service convenience. In turn, service convenience and performance failure exert opposite impact on vendors’ satisfaction with e-government systems.

KEYWORDS:

• E-government
• e-procurement
• service convenience
• information failure
• function failure
• and system failure

Disclosure statement

No potential conflict of interest was reported by the author.

Notes on Contributors

Dongback Seo earned her Doctor of Philosophy and Masters of Science in Management Information Systems from the University of Illinois at Chicago. Prior to pursuing the PhD program, she worked as a software engineer in a wireless communications firm and as a small business owner. Her publications include three books, recently published Evolution and Standardization of Mobile Communications Technology, as well as a class manual and several chapters. Her papers have been published in many journals (e.g. Journal of AIS, European Journal of Information Systems, Government Information Quarterly, Communications of the ACM, Telecommunications Policy, etc.) and conference proceedings (e.g. International Conference on Information Systems, European Conference on Information Systems, etc.). Her research interests include the areas of digital innovation, adoption of digital-enabled services from the perspectives of individuals and organizations, organizational standards strategy, business convergence, and analysis of competitive dynamics in rapidly changing industries. She is currently an associate professor in the Department of Management Information Systems at ChungBuk National University (CBNU), Republic of Korea.

Chee-Wee Tan is a Professor at the Department of Digitalization in Copenhagen Business School (Denmark). He received his PhD in Management Information Systems from the University of British Columbia. His research interests focus on design and innovation issues related to digital services. His work has been published in leading peer-reviewed journals such as MIS Quarterly (MISQ), Information Systems Research (ISR), Journal of Management Information Systems (JMIS), Journal of the American Society for Information Science and Technology (JASIST), European Journal of Information Systems (EJIS), and Decision Support Systems (DSS), among others. Chee-Wee has served or is currently serving as an Associate Editor for MISQ, Information & Management (I&M), Internet Research (IntR), and Journal of Management Analytics (JMA). In addition, he is currently serving on the Editorial Board of Industrial Management & Data Systems (IMDS), IEEE Transactions on Engineering Management (IEEE-TEM), and Journal of Computer Information Systems (JCIS) as well as in various editorial capacities for special issues at Decision Support Systems (DSS), Journal for the Association of Information Systems (JAIS), and JMIS.

Gumala Warman is a government official at the Ministry of Communication and Information Technology, Indonesia. He received his master degree in the department of Business and ICT from University of Groningen, Netherlands.