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Psm 601 Ebusiness In Logistics And Supply Chain Question Paper
Psm 601 Ebusiness In Logistics And Supply Chain
Course:Masters Of Business Administration Procurement And Supply Management
Institution: Kca University question papers
Exam Year:2014
UNIVERSITY EXAMINATIONS: 2013/2014
EXAMINATION FOR THE MASTERS OF BUSINESS ADMINISTRATION
(MBA) PROCUREMENT AND SUPPLY MANAGEMENT
PSM 601 EBUSINESS IN LOGISTICS AND SUPPLY CHAIN
TOWN CAMPUS
DATE: AUGUST, 2014
TIME: 3 HOURS
INSTRUCTIONS: Answer Question One and Any Other Three Questions
QUESTION ONE (31 MARKS)
Safaricom Ltd is one of the most profitable companies in East and Central Africa. The company
started as a mobile telephone service provider, but through innovation, they have since introduced
many products which have transformed lives across Kenya and beyond. Many scholars have written
about Safaricom Ltd’s business model, with a lot of bias to marketing and Strategic Management.
Mwendwa, a supply chain masters student KCA University sought to know whether Procurement
operations could have contributed to the Success of Safaricom Ltd. In his research, he found that the
Company has established a large Supply Chain Department, with a director reporting to the Chief
Executive Officer. There are several sections representing the different functions in Supply Chain
department. Other findings in Mwenda’s study include application of ICT in managing procurement
operations, manned by extremely and professional staff. The Company has several procurement
policies covering all procurement all aspects of procurement operation.
On ICT application, Mwendwa found that the firm has sophisticated systems interlinking all retail
shops to the central store. They use Oracle Enterprise Resource Planner (ERP) to coordinate variety of
operations. The ERP is linked to DHL’s systems through Electronic Data Interchange (EDI). DHL is
the main logistics partner who stores all inventories for the company. Over and above these, the firm
has an active web portal in which suppliers log in to register on their own and respond to tender
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invitations posted in the website. The web portal automatically updates the bidders in the progress of
the procurement process. Mwendwa concluded that indeed, procurement operation and specifically e-
procurement is one of the most important sections in Safaricom Ltd
Required:
a) Explain the meaning, importance and challenges of EDI.
b) Discuss how the use of web portal in managing procurement processes could have contributed
to Safaricom Ltd’s strategic advantage.
c)
(10 Marks)
(7 Marks)
Safaricom Ltd is a large company with an elaborate ERP system performing a variety of
operations. Should Small and Medium Enterprises (SMEs) in Kenya adopt the same?
(10 Marks)
d)
Why do you think Safaricom Ltd has adopted centralized inventory management system?
(4 Marks)
QUESTION TWO (23 MARKS)
Supplier Relations Management (SRM) is one of the most important functions of any procurement
department. Using appropriate examples, explain how e-commerce can be applied to enhance the
following SRM activities;
a) Supplier Location (6 Marks)
b) Supplier Selection (5 Marks)
c) Supplier Evaluation (5 Marks)
d) Supplier Development (7 Marks)
QUESTION THREE (23 MARKS)
Adoption of e-procurement among public entities in Africa is still wanting. Discuss the challenges and
solutions to this.
QUESTION FOUR (23 MARKS)
Many a times, procurement of major public project in Kenya ends up in court because of ethical
concerns by the practitioners. Discuss how e-procurement can help curb unethical practices in
procurement.
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QUESTION FIVE (23 MARKS)
a)
Give step by step advise on the framework for operability of e-commerce in small and medium
enterprise
b)
E-logistics has contributed to efficiency of transportation of goods and information in Kenya.
Discuss.
c)
(8 Marks)
What is reverse e-auction, how does it work?
(10 marks)
(5 Marks)
QUESTION SIX (23 MARKS)
Write brief notes on the following
a) Electronic markets (7 Marks)
b) Evolution of e-commerce (6 Marks)
c) E-sourcing (5 Marks)
d) Electronic payment modes (5 Marks)
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