SMALL CONTRACTORS' PERCEPTIONS OF THE BENEFITS AND CHALLENGES OF ONLINE TENDERING IN MALAYSIA
DOI:
https://doi.org/10.35631/IJIREV.826052Keywords:
Construction Industry, Malaysia, Online Tendering, Small Contractors, Technology ReadinessAbstract
Digital procurement adoption has increasingly transformed construction tendering practices, yet most small contractors face challenges with this transformation. This study investigates the contractors’ perception of the benefits and challenges of adopting online tendering in Malaysia. 250 sets of structured questionnaire surveys were distributed to Grade G1-G4 contractors registered with CIDB Malaysia. Of the 250 sets of questionnaires distributed, 99 valid responses were obtained (39.6% response rate). To evaluate respondents’ perceptions of online tendering, descriptive statistical analysis was used. The findings indicate that small contractors generally have a positive perception towards online tendering, with the greater benefits being improved operational efficiency by reducing paperwork and printing costs, a quicker tendering process, as well as expedited access to the tender document. Despite these advantages, several implementation challenges remain. The most prominent barriers relate to a lack of support or training, cybersecurity concerns and inadequate IT competencies. In contrast, basic internet connectivity and platform usability seem to be the minor obstacles, suggesting that implementation challenges have shifted from technological access to organisational capability and operational support. Overall, small contractors generally have a positive view towards online tendering because they perceive its benefits as outweighing its challenges. The findings highlighted the need for enhancement of technical support, security of the system and reliability of online tendering platforms to support the success of the digital transformation of construction procurement in Malaysia.
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