E-PROCUREMENT AS AN INSTRUMENT FOR HOTEL SUPPLY CHAIN MANAGEMENT

Abstract

The flow of goods, services, and information in the hotel industry, should be designed in a way that enables efficient transformation of raw materials into finished products or services with values. Procurement technology plays a vital role in the hotel business, because hotels usually purchase a large quantity of supplies for maintaining daily operations and quality. Today, a major goal of a hotel’s supply chain management is to efficiently apply information technology to its procurement systems. Moving away from traditional offline purchase processing to online sequencing presents significant savings, improved productivity and enhanced operational efficiencies. Better communication between hotels and suppliers and support services may provide more favourable price offerings and related activities for the hotels customers. This article elaborates the e-procurement as a very useful instrument for the hotel supply chain management following the approach of Kothari et al.