Download or read book Reverse E-auctions and Their Negative Effect on the Buyer/supplier Relationship written by Michael W. Neuman and published by . This book was released on 2007 with total page 180 pages. Available in PDF, EPUB and Kindle. Book excerpt: Emerging World Wide Web technologies are presenting procurement professionals significant new transactional efficiencies in their sourcing activities. Today many buyers are using the Internet as a tool to facilitate the use of online reverse e-auctions in their negotiations with suppliers. Although these reverse e-auctions often yield significant cost savings, the savings can be outweighed by buyer-seller relational strains that are a result of the process. Before implementing a reverse auction model, seasoned procurement professionals need to apply a complete cost-benefit analysis to each situation they identify for reverse e-auction implementation. The misuse or perceived misapplication of the tool can lead to irreconcilable damage to the buyer-supplier relationship. This paper serves to understand reverse auction: the history, application, perceived benefits, and detrimental impact on the buyer-supplier relationship.