Abstract

Purpose: This study aims to explore the role of electronic procurement (e-procurement) in improving sustainability and digital transformation in government procurement, focusing on the Bureau of Procurement of Goods/Services in East Java Province, Indonesia. Research design, data, and methodology: This study uses a qualitative method with a case study approach. Data were collected through semi-structured interviews, participatory observations, and analysis of documents related to electronic procurement systems. The sampling strategy uses purposive sampling with the recommendation of gatekeepers to select as many as 10 informants from various roles related to e-procurement. Results: This study identifies some of the main challenges of implementing e-procurement including the costs associated with developing technological infrastructure, lack of alignment of social and digital skills, resistance to change, and access gaps by small businesses. However, the implementation of e-procurement holistically can balance technology and people to lower costs, increase the adoption of digital technology, and manage change management to address gaps. These findings prove that successful digital transformation can improve government procurement efficiency, transparency, and accountability. Conclusion: E-procurement promotes sustainability and drives digital transformation by increasing efficiency, transparency, and accountability by addressing challenges through an integrated approach that balances technological and social aspects.