ISSN: 2222-6990
Open access
The value of innovation in the construction industry has grown substantially. Thus, embracing innovative approaches such as the E-tendering system can overcome many challenges in tendering process and promote cost savings, reduce waste, and improve efficiency. E-tendering system refers to an advanced technology that combines the idea of entering and conducting the construction tendering process electronically. Currently, the electronic business has shifted in the current Malaysian scenario coupled with the impacts of the pandemic situation. Thus, this paper explores the acknowledgement of the E-tendering system among developers in the Malaysian construction industry. This paper aims to identify the challenges and benefits of E-tendering, focusing on developers’ perspectives. A quantitative approach was adopted by distributing a questionnaire survey to developers in the Klang Valley. A total of 135 respondents participated in this study. Data gathered from the survey was analysed using descriptive analysis via the Statistical Package for Social Science (SPSS) version 26 software. The results summarised that the E-tendering system provides significant resource savings to a substantial portion of the construction supply chain. The primary advantages of this method are improved communication and considerable cost and time savings. However, a sizeable segment of the sector continues to be sceptical of this new technology adoption, with reluctance to change seen as the main obstacle. The findings from this study are beneficial for private-sector construction practitioners to understand the benefits of increasing the usage of E-tendering to ease the construction tendering process. This study has highlighted the significance of E-tendering to become generally accepted in the Malaysian construction industry, enabling it to transform into one of the most technologically advanced industries.
Alsagoff, S. A., Weng, E. L. C., Zainon, N., Lou, E. W. C., & Zainon, N. (2006). How Ready Are We for E-Tendering? A Malaysian Case Study in Preparation for Implementing of E-Tendering for the Construction Industry. Proceedings of the International Conference in the Built Environment in the 21st Century (ICiBE 2006), 1(1992), 227–236. https://pdfs.semanticscholar.org/edeb/8dd9292c2a7d0521b152e09fb3c49ccdc7fd.pdf
Al-Yahya, M., Skitmore, M., Bridge, A., Nepal, M. P., & Cattell, D. (2018). E-tendering readiness in construction: An a priori model. International Journal of Procurement Management, 11(5), 608–638. https://doi.org/10.1504/IJPM.2018.094356
Ashaari, N. I. M., Kamarudin, S., & Chang, K. K. (2018). The Implementation Of E-Tendering: The Clients’ Perspective. Journal of BIMP-EAGA Regional Development, 4(1), 21–30.
Aziz, N. M., & Salleh, H. (2011). Managing Organisation/Business Readiness towards IT/IS Implementation: A Model Comparison. Australian Journal of Basic and Applied Sciences, 5(2), 215–221.
Construction Industry Development Board (CIDB) Annual Report. (2019), Driving Construction Industry Transformation. CIDB Malaysia. Retrieved from
https://www.cidb.gov.my/sites/default/files/2021-02/CIDB%20Annual%20Report%202019.pdf
Ciribini, A. L. C., Bolpagni, M., & Oliveri, E. (2015). An Innovative Approach to e-public Tendering Based on Model Checking. Procedia Economics and Finance, 21(15), 32–39. https://doi.org/10.1016/s2212-5671(15)00147-1
Kassim, E. S., and Hussin, H. (2013). A success model for the Malaysian government e-procurement system: The buyer perspective. International Journal of Electronic Government Research, 9(1), pp.1–18. https://doi.org/10.4018/jegr.2013010101.
Krejcie, R. V., & Morgan, D. W. (1970). Determining size for research activities. Educational and Psychological Measurement, 30, 607–610.
Lou, E. C. W., & Alshawi, M. (2009), Critical success factors for E-tendering implementation in construction collaborative environments: people and process issues, Journal of Information Technology in Construction, 14, 98-109.
Mastor, S. H., & Azizan, A. Z. (2012). E-tender Application and its Implication to Malaysian Construction Industry. International Conference on Technology Management (ICTM 2006), 4-5 December 2006, Putrajaya.
Nawi, M. M. N., Deraman, R., Bamgbade, J. A., Zulhumadi, F. & Mehdi Riazi, S. R. (2017). E-procurement in Malaysian construction industry: benefits and challenges in implementation. International Journal of Supply Chain Management (IJSCM), 6(1), 209-213.
Sunmola, F. T., & 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
Sekaran, U. (2016). Research methods for business: A skill building approach. UK: John Wiley & Sons.
Tan, J. J. R., & Suhana, K. (2016). Application of e-tendering in Malaysian construction industry. INTI International University INTI Journal Special Edition-Built Environment, 94–101.
Tindsley, G., & Stephenson, P. (2008). E-Tendering Process Within Construction: A UK Perspective. Tsinghua Science and Technology, 13(1), 273–278. https://doi.org/10.1016/S1007-0214(08)70161-5
In-Text Citation: (Affendy et al., 2022)
To Cite this Article: Affendy, A. S., Isa, S. S. M., Ismail, W. N. W., Yusop, N., & Ismail, N. ‘Ain. (2022). E-tendering System in the Construction Industry: Understanding the Challenges and Benefits from the Developers’ Perspective. International Journal of Academic Research in Business and Social Sciences, 12(10), 2212 – 2221.
Copyright: © 2022 The Author(s)
Published by Human Resource Management Academic Research Society (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non0-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode