EProcurement Example of Horizontal Integration

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Project managers must look and work across the organization with supporting departments that are not directly invested in the project but those who support it. This includes working with procurement and acquisition services that are sometimes at odds with short-term project goals. This means project managers must be attuned to these questions and issues at the interface with the project:

1. eProcurement and electronic data exchange with contractors and between businesses; new developments in Web-based supply management. Horizontal integration involves looking at the outside forces that will affect the project, working across an organization with supporting organizational assets. At the global level, this kind of integration involves looking at global supply chains, global economic and political factors, multinational corporate risks and opportunities, and the Internet. At the project level it involves looking at organizational assets that support the project such as eProcurement and Web-based acquisition strategies.

2. Supply chain management and the Web, building partnerships with suppliers across an industry to achieve cheaper, better, faster procurement, which, however, sometimes conflicts with short-term project goals.

3. Supplier quality management, e.g., ISO requirements for vendors, qualifying suppliers to business with many project managers in a multiproject environment.

4. New product information and sourcing systems, the digitized catalog, sometimes restricting project managers to choose from suppliers they may not want to work with.

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