Purchasing Intelligence Systems In Small Manufacturing Firms: Present Status and Future Direction Available to Purchase

Information obtained from a Purchasing Management Intelligence System (PMIS) can provide the valuable input into a firm's strategic planning process. Because of scarce resources and the criticality of market mistakes, it is even more essential that small firms take advantage of this information resource. This articles reports the results of a study undertaken to determine the status of purchasing intelligence systems in small manufacturing firms. The results indicate that while purchasing intelligence systems exist in most small manufacturing organizations, their focus is on conventional rather than strategic activities. The results also indicate that numerous obstacles limit the effectiveness of purchasing intelligence systems. In addition to a lack of preparedness respondents identified procedural problems, a lack of resources and a weak effort/outcome relationship.