Analysis of Procurement Technology Implementation o
Analysis of Procurement Technology Implementation o
Analysis of Procurement Technology Implementation o
DOI: http://doi.org/10.26487/hjbs.v2i2.
10.26487/hjbs.v2i2.329
Analysis
nalysis of Procurement Technology Implementation on
Procurement Practice and Performance
Case Study at PT. Semen Tonasa
1
PT. Nindya Karya (Persero
(Persero); [email protected]
2
Faculty of Economics and Business
Business, Hasanuddin University; [email protected]
3
Faculty of Economics and Business, Hasanuddin University; [email protected]
Abstract
Modern era as now, human life cannot be separated from dependence on a technology called the internet. The
internet has mastered almost all aspects of human activities, ranging from sending letters, looking for
information, and other activities. Especially in the field of business, this technolo
technology
gy is very influential, as well
as the procurement of goods and services has been done a lot online or commonly known as E E-Procurement.
This study aims to and analyzes the effect of E-Procurement
E Procurement technology on procurement performance, the
effect of E-Procurement
rement technology on procurement practices, and the effect of procurement practices on
procurement performance. To implement these objectives the data collection techniques were used through
questionnaires. The analysis technique used is path analysis and data evaluated in the first place using the
classical assumption test (normality test, multicollinearity test, heteroscedasticity test, and linearity test). The
results found that the use of e-procurement
procurement had a positive and significant effect on procurement
procuremen performance
and procurement practices at PT. Semen Tonasa in Pangkep Regency. Procurement practices have a positive
and significant impact on procurement performance.
Keywords : e-procurement
procurement technology; procurement practices; procurement performancee
INTRODUCTION
The dynamics of a rapidly developing business environment is one of the factors causing
business competition to become tighter. In this condition, companies are required to be always agile
in making adjustments and making improvements to be able to win the competition. Adjustments
and improvements made must be directed at efforts to increase competitive advantage in all fields.
Supply Chain Management (SCM) involves all approaches that are used efficiently to integrate
activities within the company's
mpany's value chain (Porter, 2004
2004)) so that products / services are sent to
customers in the right amount, the right location, the right time right, and at optimal costs. Value
chain concept is a systematic approach that aims to develop a company's compet
competitive
itive advantage. This
concept describes a set of activities in an industry or company in delivering products and or services
that are of value to the market.
Activities in the value chain are divided into main activities (primary activities) and support
activities
tivities (support activities). The main activities are divided into five, namely inbound logistics,
operation management (operations management), outbound logistics, marketing and sales (marketing
and sales), and services (services), while supporting activities
activities are divided into four, namely corporate
infrastructure (firm infrastructure), management resources (human resource management),
technology (technology), and procurement (procurement). The combination of carrying out main and
supporting activities willl determine the company's total costs and will affect the company's profit.
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fluctuating
g even though in 2019 it was higher than 2018, but still in line with the expected target.
Lead time is expected to be faster and better from year to year. Problems faced by PT. Semen Tonasa
that the efficiency produced during the last 3 years fluctuated, even in 2019 has decreased
significantly compared to the efficiency produced in the previous year.
LITERATURE REVIEW
Theoretical studies used as a basis for the assumptions of this study are still using
theoretical studies related to the research variabl
variables used, namely:
Definition of Implementation
Implementation is an action or implementation of a plan that has been prepared in a mature
and detailed manner. Implementation is usually done after planning is considered perfect. According
to Usman (2014: 70). implementation is leading to the activities, actions, actions or mechanisms of a
system, implementation is not just an activity, but a planned activity and to achieve the objectives of
the activity.
Implementation is the expansion of activities that aadjust
djust the process of interaction between
goals and actions to achieve them and require a network of implementing, effective bureaucracy.
Policy implementation is the implementation of basic policy decisions, usually in the form of laws,
but can also take the
he form of important executive orders or decisions or judicial body decisions.
Definition of E-Procurement
Procurement Technology
The digital age as it is today, high technology standards required by an organization to
support its organizational activities, of cours
coursee starting from the hardware component to the software
must be able to meet the standards set. The E E-Procurement
Procurement System will undergo vertical and
horizontal integration throughout the system at the company, it is very important that the system to
be built is well-received
received in terms of technical, content and procedural / process standards. (Prabir &
Sahu, 2012). E-Procurement
Procurement (Electronic Procurement) electronic procurement is the implementation
of procurement of goods and services using electronic networks (i (internet
nternet networks) or electronic
data interchange (EDI) in (Siahaya, 2013: 78). According to Presidential Decree No. 54 of 2010
concerning Guidelines for Procurement of Goods / Services stating that electronic Procurement or E E-
Procurement is the Procurement of Goods / Services implemented using information technology and
electronic transactions in accordance with statutory provisions. E E-Procurement
Procurement is an electronic
procurement of goods and services where the system tries to regulate business transactions throughthr
computers and the process of procurement of goods and services is done online (Muhtar, 2011 in
Setyadiharja et al. (2014). E-Procurement
Procurement as an auction system in procurement goods using internet
internet-
based technology, information and communication (ICI) fac facilities.
Definition of Procurement of Goods and Services
Procurement of goods and services is identical to the existence of a variety of new facilities,
various buildings, roads, hospitals, office buildings, stationery, to English courses conducted in a
government agency. According to the Republic of Indonesia Presidential Regulation Number 54 of
2010 concerning Guidelines for Procurement of Government Goods/Services, it is stated that
procurement of government goods/services is an activity to obtain good goods/services
s/services by Ministries/
Institutions/Work Units of Regional Apparatuses/other Institutions whose processes start from the
planning of needs to the completion of all activities to obtain goods/services.
Government procurement of goods and services is actually a very important part in the process of
implementing development. For the government, the availability of goods and services in each
government agency will be a determining factor for the successful implementation of the tasks and
functions of each h work unit. Without adequate facilities and infrastructure, of course the
implementation of government tasks will be disrupted and will not achieve maximum m results..
Wardiyanto (2012) provides a definition of the procurement of public goods / services are goods
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whose use is related to the interests of the public, both in groups and in general.
Procurement Practices
Procurement of goods and services literally means an offer to submit prices and buy up jobs
for the supply of goods / services. According
Acco to Yahya and Susanti (2012)) that from this grows
understanding that there are two interested parties. The first party is a government agency, BUMN,
or private company that offers procurement of goods and services. The second party is a personal or
contractor company that offers to meet the demand for the procurement of goods and services, so
that there arises what is called the practice of procurement. According to research conducted by
Quesada (2010) that procurement practices are measured by several indicato
indicators,
rs, namely: information
gathering, supplier contact, contracting, requisitioning, and intelligence / intelligence analysis).
Procurement Performance
Procurement performance is a result of work that has been achieved in handling a
procurement of goods or servicess in an agency or organization
organization.. There are five aspects of evaluating
procurement performance, namely: productivity, service quality, responsiveness, responsibility, and
accountability. In addition, the transparency aspect is also important in implem
implementing
enting procurement
performance. Performance so far is still based on financial measures which include the percentage of
budget absorption and the efficient use of the budget. Performance is considered good if the
absorption of the budget gets closer to 100%.
100%. The results of the reporting of procurement activities
cannot yet be used as material for analysis to find out the deficiencies that occur in the
implementation of procurement to become material for improvement of the procurement process in
the followingg years. When using this measure, the question will arise whether the greater budget
absorption indicates better procurement performance. Because this measure will contradict the
demands of procurement efficiency where the return of the remaining large budget bud shows the
procurement process is proceeding efficiently so as to produce winners with the lowest responsive
bid prices. This shows that the two measures have not been able to reflect the actual procurement
performance so that other criteria are more re representative.
presentative. In accordance with the principles of
procurement, procurement performance can actually be measured through several criteria, namely
efficiency, effectiveness, fair competition, transparent, open, non
non-discriminatory
discriminatory and accountable.
RESEARCH METHOD
Location and Research Design
This research was conducted at PT. Semen Tonasa is right in the Procurement Unit. The
selection of research sites is based on the existence of business processes that describe the conditions
and research problems that are formulated in the background. In addition, due to consideration of the
ease of obtaining data and information, and consideration of costs and research time. The design of
this study belongs to the type of causal research that is to identify causal rela relationships
tionships between
variables, researchers look for the real type of facts to help understand and ppredict
redict relationships.
Population, Samples and Sampling Techniques
Population refers to the whole group of people, events or things of interest that an investigator
wants to investigate and develops a view regarding what is being studied. The population in this
study is the number of Purchase Requests (PR) for goods and sservices ervices for the need for overhaul
production in 2020 which amounted to 367 PR. While the sample according to Sugiyono (2016) the
sample is part of the number and characteristics possessed by the population. To determine the
number of samples from a population, ion, if the population size is known then the formula used is the
Slovin formula. From the calculation of Slovin obtained 78.58, the number of samples in this study
was rounded to 79 Purchase Request (PR) which will be used in the process of overhauling
production in 2020.
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d) Linearity test
Linearity test is used to determine the linearity of data, that is whether two variables have a
linear relationship or not. According to Prayitno (2017: 96) that if significantly greater th
than
0.05, the data can be said to be linear.
4. Path Analysis
Analysis of the data used is path analysis. Path analysis is used because in this study consists of
more than one independent variable, one intermediate variable, and one dependent variable.
Path analysis
alysis is a technique for analyzing cause and effect relationships that occur in multiple
regression if the independent variables affect the dependent variable not only directly but also
indirectly. Through this path analysis, it will be found which path is is the most appropriate and
brief an independent variable to the dependent variable. This method has been widely applied
by researchers (e.g. Maharani, Maupa & Aswan, 2020; Afriani, Laba & Aswan, 2020; Jusni,
Aswan, Syamsuddin & Possumah, 2019)
5. Determination coefficient
The coefficient of determination (R2) shows how much influence the independent
variable has on the dependent variable. The coefficient of determination (R2) has a value
between zero and one, used to measure the extent to which the model's ability to explain
variations of the dependent variable. The greater the value, the greater the independent variable
is able to explain the dependent variable well, and vice versa. The more the coefficient of
determination (R2) approaches number 1, 1, then the independent variable provides almost all the
information needed to predict variations in the dependent variable.
6. Test Statistics F
The F Statistical Test basically shows whether all the independent variables entered in the
model have a joint influence
luence on the independent variables. For the overall test, it can be seen
from the annova table that the F value will be obtained and the probability (sig) results will be
obtained. If the sig value <0.05 then the decision is H0 is rejected and Ha is accepted
accep meaning is
significant.
7. Test Statistics t
The t test statistic basically shows how far the influence of one independent variable
individually in explaining the dependent variations. If the probability value of 0.05 is smaller or
equal to the probabilityy value of Sig or (0.05 ≤ Sig), then H0 is accepted and Ha is rejected,
meaning that it is not significant. If the probability value of 0.05 is greater or equal to the
probability value of sig or (0.05 ≥ Sig), then H0 is rejected and Ha is accepted, meanin
meaning that it is
significant.
8. Correlation Test
In the path analysis method to determine the degree of relationship between independent
variables (independent) with the dependent variable (dependent).
9. Research Hypothesis Testing
Hypothesis is a statement that is still temporary or a statement based on certain
knowledge that is still weak and must be verified. Thus the hypothesis is a temporary conjecture
that will later be tested and proven true through data analysis.
1) Research Hypothesis Test Model 1
a. Testing thee Model 1 Hypothesis Overall
In this overall test will be tested simultaneously how much influence the variable Use of
E-Procurement
Procurement Technology (X), on Procurement Performance (Y). The structural
equation of model 1 with the effect value ρ of the independent
independent variable on the dependent
variable is obtained from the value of beta (β) in the analysis carried out so as to form
the structure of the model 1 equation as below: Y = ρx1y X + ρy ε1
2) Research Hypothesis Test Model 2
a. Testing Model 2 Overall
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In the overall test will be tested simultaneously how much influence the variable Use of
E-Procurement
Procurement Technology (X), on Procurement Practices (Z). The structural equation
of model 2 with the influence value ρ of the independent variable on the dependent
variablee is obtained from the value of beta (β) in the analysis carried out so as to form
the structure of the model 2 equation as below: Z = ρx1z X +
EMPIRICAL RESULTS
Path Test Results Using SPSS
Path testing is done using regression analysis. Before the path test analysis is conducted, the
results of the processed regression data will be presented first as shown in the table as follows:
Table 1. Regression Data Testing Results with SPSS
Model Standardized Standard
No Path Test T-Calculation
Calculation Sign
Coefficient Error
1. Influence of Technology Constant 1,427 0,262 5,450 0,000
E-Procurement and Technology 0,236 0,062 3,129 0,002
Procurement practices E-procurement
procurement
Procurement practices 0,673 0,056 8,923 0,000
R = 0,791 Fhit = 63,699
R Square = 0,626 Sign = 0,000
2. Influence of Technology Constant 2,734 0,429 6,368
e-procurement towards Technology 0,369 0,117 3,486 0,001
Practice procurement E-Procurement
Procurement
R = 0,369 Fhit = 12,152
R Square = 0,136 Sign = 0,001
Source: Processed using SPSS
Based on the results of testing the regression data with SPSS, the path test image will be
presented as follows:
1 = 1–0,136
0,136 = 0,929 E-Procurement 1 = 1-0,626
0,626 = 0,611
Technology
0,369 0,236
Procurement Procurement
rocurement
Practices 0,673 performance
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regression equation above, the interpretation results can be described as follows that the value
of b0 = 1.427 or a constant value, this shows that with the existence of e-procurement
e
technology and procurement practices, the performance of procurement of goods and services
at PT. Semen Tonasa, Pangkep Regency is 1,427%.
Then for the value of b1 = 0.236, this shows that the use of e-procurement
e procurement (X1) technology has
a positive effect on procurement performance. Or in other words if the score of respondents'
responses regarding the use of ee-procurement
procurement technology is improved, the procurement
performance will also increase by 0.236%. Then the value of b2 = 0.673 which means that
procurement practices have a positive effect on procurement performance. This shows that if
procurement practices are improved, it will affect the performa
performance
nce of procurement of goods
and services at PT. Semen Tonasa of 0.673%.
b) Hypothesis Testing
Hypothesis testing in this study can be classified into two tests namely the F test and t test.
This F test is used to determine whether all independent variables to together
gether have a significant
influence on the dependent variable. The test is done by comparing the probability value with
the standard value at the error level of 5% (α = 0.05), if the probability value is smaller than
the standard value, this means that the independent variables together have a significant
influence on the dependent variable. Based on the F test results obtained sig = 0,000, because
the sign value. 0,000 <0.05, it can be concluded that ee-procurement
procurement technology and
procurement practices influence ence simultaneously or simultaneously the performance of the
procurement of goods and services at PT. Semen Tonasa in Pangkep Regency.
Then to determine the effect of each variable, the t test was used. Testing is done by comparing
the probability value with th the standard value with an error rate of 5% (α = 0.05). Based on
statistical tests that can be described as follows:
1) Significant test of e-procurement
procurement technology
From the results of regression testing the sign value is obtained. for e-procurement
e
technology by 0.002, because of the sign value. 0.002 <0.05, this means that e-procurement
e
technology has a significant effect on the performance of the procurement of goods and
services at PT. Semen Tonasa in Pangkep Regency.
2) Significant test of procureme
procurement practices
Based on the results of regression testing the sign value is obtained. for procurement
practices of 0,000, because of the sign value. 0,000 <0.05, this means that procurement
practices significantly influence procurement performance at PT. Semen Sem Tonasa in
Pangkep Regency.
c) Correlation Test and Determination Coefficient
To determine the relationship or correlation between ee-procurementprocurement technology and
procurement practices on procurement performance at PT. Semen Tonasa in Pangkep Regency
can be seenen from the correlation value or the value of R. Where the results of the correlation
analysis obtained R = 0.791, this shows that e-procurement
e procurement technology and procurement
practices have a strong relationship or correlation to procurement performance at PT. PT Semen
Tonasa in Pangkep Regency. Then to determine the effect of variations of other variables, it
can be seen from the coefficient of determination, which obtained an R R-square
square value of 0.626,
this shows that the percentage of influence of the independent
independent variables (e(e-procurement
technology and procurement practices) is able to explain 62.6% of variable variations
procurement performance. While the remaining 37.4% is influenced by other variables not
included in this research model.
2. The influence of e-procurement
curement technology on procurement practices at PT. Semen
Tonasa
a) Regression Equations
The regression test results using SPSS that have been presented then obtained the following
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regression equation: Y = 2.734bo + 0.369 X1. From the results of the regression equation
above, it can be interpreted that: bo = 2.734, this shows a constant value, which means that
with the application of e-procurement
procurement technology, procurement practices are 2.734. Then the
value of b1 = 0.369, this shows that e-procurement
e technology has a positive effect on
procurement practices. Or in other words that the better the improvement of e-procurement
e
technology, the procurement practices at PT. Semen Tonasa will increase.
b) Hypothesis testing
Based on the results of the F test hyp
hypothesis,
othesis, the value of sig = 0.001 is obtained, because of
the sign value. 0.001 <0.05, it can be concluded that e-procurement
e procurement technology has a
significant effect on the practice of procurement of goods and services at PT. Semen Tonasa in
Pangkep Regency. Then hen to determine the effect of ee-procurement
procurement technology variables
partially (t-test)
test) on procurement practices, the sig value for the application of e-procurement
e
technology is obtained at 0.001, because of the sign value. 0.001 <0.05 (standard value), this
means that e-procurement
procurement technology has a significant influence on procurement practices at
PT. Semen Tonasa in Pangkep Regency.
c) Correlation Test and Determination Coefficient
To find out the relationship between e-procurement
e procurement technology and procurement practices,
p R=
0.369 is obtained, this means that e-procurement
e procurement technology has a weak relationship with
procurement practices. Then the Rsquare value of 0.136, which means that 13.6% of the
variation in the influence of procurement practices is influenced bby e-procurement
procurement technology,
while the remaining 86.4% is influenced by other factors not included in this research model.
DISCUSSION
In connection with the description above, then a discussion of the results of the research will
be presented which can be described one by one as follows:
1. Effect of e-procurement
procurement on procurement performance at PT. Semen Tonasa, Pangkep
Regency
The results of the analysis of research data that have been done show that the use of ee-
procurement in the implementation of procureme
procurement
nt of goods and services has been done well, where
PT. Semen Tonasa in communicating electronically using E-mail, E mail, internet search engines and
exchanging electronically with video conferencing is somewhat underway, while the results of
exchanging information n with transaction support are already good because PT. Semen Tonasa has
implemented e-Tendering
Tendering in the procurement of goods and services. The findings in this study are
the effect of e-procurement
procurement on procurement performance, the results of which show that the use of e-
procurement technology has a significant/significant influence in improving the performance of
procurement of goods/services, especially at PT. Semen Tonasa in Pangkep Regency. The results of
the study found by Aryati (2019) showed that ee-procurement
curement affects the performance of goods /
services procurement. While Rahadian and Gapur (2015) found that there was a positive influence of
e-procurement
procurement on the performance of goods and services procurement. From the findings made by
Aryati (2019), and Rahardian and Gapur (2015) are in accordance with the results found by
researchers.
2. The effect of the use of e-Procurement
Procurement on Procurement Practices
The results of the analysis of research data through the use of e-procurement
e procurement technology for
the procurement of goods and services at PT. Semen Tonasa has been categorized high. This can be
seen from the use of electronic communication which is already relatively high and the use of
electronic communication media generally in procuring goods / services at PT. Se Semen
men Tonasa is the
most concerning communication media is email and also through internet search engines and
electronic data exchange. Where the use of video conferencing media in communicating
electronically is less often done by employees.
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CONCLUSION
Based on the results of analysis and discussion of the study, the conclusions that can be given
in this study are as follows: The use of ee-procurement
procurement has a positive and significant effect on
procurement performance at PT. Semen Tonasa in Pangkep Regency. The results of this study
indicate that the use of e-procurement
procurement has a positive and significant effect on procurement practices
at PT. Semen Tonasa in Pangkep Regency. The results of this study indicate that procurement
practices have a positive and significant
icant effect on procurement performance at PT. Semen Tonasa in
Pangkep Regency. From the results of the conclusions, as for the suggestions that can be given in
connection with the results of this study are: In order to improve the effectiveness of the pro
procurement
of goods and services and increase transparency and fairness in the implementation of procurement
of goods / services, the need for PT. Semen Tonasa utilizes and enhances the reliability of E E-
Tendering applications as a medium in conducting goods and services procurement transactions.
Then to get a more competitive price quote and increase fairness in the negotiation process, it is
recommended to increase the use of E-Auction
E Auction in the negotiation stages of the procurement of goods
and services at PT. Semen Tonasa. Besides that, it is suggested to develop and improve the payment
processing application using E-Invoice,
Invoice, bearing in mind that the payment process is still done
manually (hard copy). The process of inputting billing documents and completeness of payment
documents can be done using a system that is equipped with monitoring the position of documents
that can be seen by the counterparty / supplier. Then efforts to improve the qualifications and
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competencies of partners / suppliers in the practice of procurement of goods / services at PT. Semen
Tonasa, it is better to conduct vendor / partner performance evaluation online and socialize feedback
on the results of the performance evaluation. Always reviewing SOP (Standard Operating Procedure)
of Goodss and Services Procurement. Semen Tonasa in the context of evaluating procurement
practices and performance. Improving the qualifications of PT. Semen Tonasa by carrying out
benchmarks and attending certified competency training, one of which is from the G Government
Goods / Services Procurement Policy Agency (LKPP). Then other suggestions are suggested for
further researchers to add other factors that influence procurement practices and the performance of
procurement of goods and services.
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HJBS Volume 2 No 2 May 2020
DOI: http://doi.org/10.26487/hjbs.v2i2.
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