American Express Canada Presentation Presenter: Yogi Schulz Business 2 Business 101 Roadmap to Self-education “Get me to the Web on time or else!” February 2001 File: Amex_b 2 b. PPT 1
Housekeeping Items Business 2 Business 101 r Refreshments r Facilities r Messages r Cellular phones & beepers File: Amex_b 2 b. PPT 2
Yogi Schulz Biography Business 2 Business 101 r President of Corvelle Management Consultants r Information technology related management consulting r Project management and systems development r Computing Canada columnist r Industry presenter: – – Project Management Symposium CIPS Informatics PMI - Information Systems SIG Convergence File: Amex_b 2 b. PPT 3
Presentation Outline Business 2 Business 101 r Introduction r Importance of the Internet r B 2 B Major Applications r B 2 B Benefits r E-commerce publications r Questions & Answers Web is full of E-commerce help File: Amex_b 2 b. PPT 4
I’m creating an E-business Business 2 advice 101 Business web site. MANAGE FASTER, YOU LAZY DOG! Using the Web for Business Success DOGBERT. COM had a successful IPO today, Netting billions for Dogbert. File: Amex_b 2 b. PPT 5
Presentation Objectives Business 2 Business 101 Why don’t you already understand all this stuff? r Build an understanding of business-to-business application: – categories – benefits – success criteria r Build awareness of available resources Improve B 2 B E-commerce understanding File: Amex_b 2 b. PPT 6
New Topic Importance of the Internet r E-mail surpassed the telephone as the most frequently used tool for business communication in 1998. Frost & Sullivan 1999 r Corporate spending on Web-based technology is predicted to top out at $85 billion in 1999, and jump to $203 billion by 2002. International Data Corp. 1999 r More than 79. 4 million adults, or 38% of the U. S. population age 16 and older, are now online. Intelli. Quest Research 1999. r 71% of Internet users spend over 1/2 hour online each day. Pew Research Center 1999 r Approximately 77% of all employed people use the Internet at work. U. S. Dept. of Commerce 1999
The Internet and E-commerce in Canada Business 2 Business 101 ge t Hu ac mp n I o ess sin Bu 90 80 70 60 50 40 30 20 10 0 1996 1997 1998 WWW Users (M) 1999 2000 2001 2002 2003 E-commerce (B$CDN) Source: IDC Internet Commerce Market Model, V 5. 0 File: Amex_b 2 b. PPT 8
Business-to-Business E-commerce Definition Business 2 Business 101 Conducting business transactions: r electronically – not fax/phone/mail/in-person r online – typically through the web or EDI – not via e-mail r between two businesses Buying and selling products and services through the web – not with consumers/government File: Amex_b 2 b. PPT 9
Business Impact of the Internet Business 2 Business 101 Can’t you get it through your thick skull? r Communication effect – dramatically reduce cost of finding and transferring information r Brokerage effect – access global markets with minimal incremental costs r Integration effect – shorten, enhance the value chain Wharton School of the University of Pennsylvania • Sendil Ethiraj, Isin Guler - Ph. D. students • Harbir Singh - Chair, Management Department File: Amex_b 2 b. PPT 10
Old vs. New Economy influenced by David Barry Characteristics Old New Currency Money High tech stocks Stock exchange NYSE NASDAQ Make products Buy/sell stocks All of us Bill Gates Communication Telephone Voice mail Product liability Ridiculous None Key activity Owner Distribution channel Bricks & mortar Strategy Meeting communication Fedex Make money Spend money Talk Palm Pilot
New Topic B 2 B Major Applications Software Packages Business 2 Business 101 r Procurement r E-Marketplaces r Content Management r E-Marketing r Supply Management r Content Distribution r E-Commerce r Reference: Customer Support Business Week E. BIZ 11 December 2000 page EB 32 File: Amex_b 2 b. PPT 12
Procurement Business 2 Business 101 r Description: – enables automated purchasing r Leading supplier - Ariba – www. ariba. com r Key competitors: – – Oracle SAP Commerce One upstarts File: Amex_b 2 b. PPT 13
E-Marketplaces Business 2 Business 101 r Description: – creates online exchanges to link buyers and sellers r Leading supplier - Commerce One – www. commerceone. com r Key competitors: – Ariba – Free. Markets File: Amex_b 2 b. PPT 14
Content Management Business 2 Business 101 r Description: – manages thousands of pages on web sites r Leading supplier - Vignette – www. vignette. com r Leading supplier - Interwoven – www. interwoven. com r Key competitors: – Intra. Net Solutions – Plumtree File: Amex_b 2 b. PPT 15
E-Marketing Business 2 Business 101 r Description: – tracks customer buying patterns – predicts what and when they’ll buy r Leading supplier - E. piphany – www. epiphany. com r Key competitors: – Siebel Systems – SAP – Art Technology Group File: Amex_b 2 b. PPT 16
Supply Management Business 2 Business 101 r Description: – connects a company’s Web operations with its suppliers r Leading supplier - i 2 – www. i 2. com r Emerging competitors: – Oracle – SAP r Leading Enterprise Application Integration competitors: – web. Methods – Vitria File: Amex_b 2 b. PPT 17
Content Distribution Business 2 Business 101 r Description: – accelerates content availability to end-users r Leading supplier - Akamai – www. akamai. com r Leading supplier - Inktomi – www. inktomi. com r Expected competitors: – Oracle – Cisco File: Amex_b 2 b. PPT 18
E-Commerce Business 2 Business 101 r Description: – builds product catalogues – collects payments – tracks deliveries r Leading supplier - BEA Systems – www. beasys. com r Key competitors: – Broad. Vision – IBM – Art Technology Group File: Amex_b 2 b. PPT 19
Customer Support Business 2 Business 101 r Description: – automates online customer service r Leading supplier - Kana Communications – www. kana. com r Leading supplier - Ask Jeeves – www. askjeeves. com r Key competitor - Siebel Systems File: Amex_b 2 b. PPT 20
Safe Credit Card Use Business 2 Business 101 File: Amex_b 2 b. PPT 21
New Topic B 2 B Benefits Business 2 Business 101 r Sellers r Buyers r Market Makers “You mean there was a time before the Web? ” File: Amex_b 2 b. PPT 22
B 2 B e. Commerce Benefits Sellers Business 2 Business 101 r Lower costs in: – marketing – administration – order fulfillment r Access new customers r Extend market reach still further by: – creating and leveraging close collaboration among trading partners – tightening the relationship between supplier and buyer – promoting price discovery and spend aggregation – slashing supply chain costs File: Amex_b 2 b. PPT 23
B 2 B e. Commerce Benefits Buyers Business 2 Business 101 r Reduce direct and indirect supply chain costs by: – leveraging their global scale – focusing their spend on preferred suppliers – taking advantage of dynamic models such as auctions and bid-quote for efficient sourcing and spot buying r Utilize new tools for logistics and payment creating new opportunities to: – – build transparency in the supply chain decrease logistics costs increase inventory turns improve the overall performance of the manufacturing and procurement processes Return 15 -27% back in reduced costs - AMR estimate 1999 File: Amex_b 2 b. PPT 24
B 2 B e. Commerce Benefits Market Makers Business 2 Business 101 r Catalyze the growth of the B 2 B economy by: – leveraging their domain expertise, customer relationships and supply chain strength r Reap substantial rewards by: – delivering incredible value – sharing in the returns achieved by buyers and suppliers File: Amex_b 2 b. PPT 25
Create Memorable Web Sites Business 2 Business 101 File: Amex_b 2 b. PPT 26
New Topic E-Commerce Publications Business 2 Business 101 r Senior management r IT professional r IT research organizations “Customers won’t see me with my pants down!” Printed and web File: Amex_b 2 b. PPT 27
Senior Management Publications Business 2 Business 101 r Business. Com – www. business. com r CIO Canada – www. itworldcanada. com/cio r CIO Magazine – www. cio. com r Commerce Net – www. commerce. net r Info. Systems Executive – www. plesman. com/ise/home. html r NDU Information Resources Management College – www. nduknowledge. net File: Amex_b 2 b. PPT 28
r About. com – Electronic Commerce IT Oriented Publications - 1 – ecommerce. about. com/smallbusiness/ecommerce r Bit Pipe – www. bitpipe. com r Biz. Web - Web business guide – www. bizweb. com/categories/web. software. html r Brain. Storm Group – www. brainstorm-group. com r CIO Magazine – webbusiness. cio. com r CNET – www. cnet. com r Computer. World Canada – www. itworldcanada. com/cw/
r Computing Canada – www. plesman. com/cc/home. html r Cutter Information Corp. – www. cutter. com r E-Business – www. plesman. com/eb/home. html r ebiz – www. ebizmag. com r ebiz. Q. net – www. ebizq. net r Excellent Glossary r The Eco Framework – eco. commerce. net/rsrc/index. cfm Ecom World – www. ecomworld. com IT Oriented Publications - 2
IT Oriented Publications - 3 r ecommerce Guide – ecommerce. internet. com r estreet – www. canoe. ca/e. Street/home. html r E-Commerce Times – www. ecommercetimes. com r Information Week – www. informationweek. com r Internet. com – www. internetnews. com r Tech. Republic – www. techrepublic. com
IT Research Organizations - 1 Business 2 Business 101 r Electronic Commerce Research Laboratory – elabweb. com r Forrester – www. forrester. com r Gartner Group – gartner 5. gartnerweb. com/public/static/home. html r Giga Information Group – www. gigaweb. com File: Amex_b 2 b. PPT 32
IT Research Organizations - 2 Business 101 r IDC – www. idc. com r Meta Group – www. metagroup. com r Round Table Group – www. round. table. com r Yankee Group – www. yankeegroup. com r Xephon – www. xephon. com File: Amex_b 2 b. PPT 33
U. S. Government E-commerce Sites - 1 Business 2 Business 101 r Center for Research in Electronic Commerce – cism. bus. utexas. edu r Federal Electronic Commerce Program Office – www. ec. fed. gov r Electronic Commerce Policy – www. ecommerce. gov r Electronic Commerce Resource Center – www. ecrc. ctc. com r The Framework for Global Electronic Commerce – www. whitehouse. gov/WH/New/Commerce File: Amex_b 2 b. PPT 34
U. S. Government E-commerce Sites - 2 Business 101 r Government Technology – egov. govtech. net r National Electronic Commerce Coordinating Council (NECCC) – www. ec 3. org r Electronic Commerce Knowledge Center – www. knowledgecenters. org r Office of Information Technology – www. itpolicy. gsa. gov File: Amex_b 2 b. PPT 35
Canadian Government E-commerce Sites Business 2 Business 101 r Canadian E-business Opportunities Roundtable – www. bcg. com/practice/ecommerce_canadian_roundtable. asp r Electronic Commerce Canada Inc. – www. ecc. ca/Index. html r Electronic Commerce in Canada – Industry Canada – e-com. ic. gc. ca/english File: Amex_b 2 b. PPT 36
Canadian Government Industry Canada - E-commerce Sites Business 2 Business 101 r Consumers and Electronic Commerce – strategis. ic. gc. ca/SSG/ca 00622 e. html? pacregion=bcecomnet r Electronic Commerce – strategis. ic. gc. ca/sc_indps/sectors/engdoc/ecom_hpg. html r The Electronic Market Place – strategis. ic. gc. ca/SSG/mi 06840 e. html r Net Gain –Business on the Internet – strategis. ic. gc. ca/sc_indps/sectors/engdoc/gain_hpg. html r Retailing Resource Centre – strategis. ic. gc. ca/engdoc/retailer. html File: Amex_b 2 b. PPT 37
Business 2 Business 101 r Importance of the Internet r B 2 B Major Applications r B 2 B Benefits r E-commerce publications “With these ideas you can succeed and still sleep in your cubicle!” File: Amex_b 2 b. PPT 38
Any Questions? Business 2 Business 101 Dogbert will explain it to you File: Amex_b 2 b. PPT 39
American Express Business 2 Business 101 700, 205 - 5 th Ave. S. W. Calgary, Alberta Canada T 2 P 2 V 7 Phone: (403) 249 -5255 E-mail: Yogi. Schulz@corvelle. com Web: www. corvelle. com r President of Corvelle Consulting r Information technology related management consulting r Project management and systems development r Computing Canada columnist File: Amex_b 2 b. PPT 40
Bibliography -1 Business 2 Business 101 r Ariba B 2 B Update Exclusive – Don Tapscott, Chair of Digital 4 Sight and co-author of Digital Capital – www. ariba. com/corporate/news/tapscott. cfm r B 2 B Major Applications - Software Packages – Business Week E. BIZ, 11 December 2000, page EB 32 r B 2 B Marketplaces in the New Economy – Ariba white paper r Beyond Today's Turning Point for Net Business – www. businessweek. com/bwdaily/dnflash/oct 2000/nf 2000105_825. htm – Business Week, 5 October 2000 r Blueprint for B 2 B Success – Ventro white paper File: Amex_b 2 b. PPT 41
Bibliography -2 Business 101 r Content Management in E-Commerce – Tony White and Kathleen Hall, March 2, 2000, Giga Information Group r E-Business and the Myth of Disintermediation – M. Bernstein, 8 November 1999 – gartner 5. gartnerweb. com/public/static/hotc/hc 00084111. html r E-commerce waits for no one – Victoria Berry, Computer. World Canada, 28 July 2000 r Electronic Commerce Solutions ‘ 99 – vendor presentations about E-commerce technology/cases – www. okreg. com/ecomm File: Amex_b 2 b. PPT 42
Bibliography -3 Business 2 Business 101 r Exchange: Breaking the B 2 B Barrier – Oracle Magazine, January/February 2000, p. 66 r Organizing for E-Business: Getting It Right – M. Gerrard. 12 September 2000 – gartner 5. gartnerweb. com/public/static/hotc/hc 00092498. html r Proper Staffing Is Key To E-Commerce Success – Ben Slick, Internet Week Online, 5 July 1999 – www. internetwk. com/change 070599 -2. htm r Purchasing in Packs – Ken Ferguson, Business Week E. Biz, 1 Nov. 1999, p. EB 33 – By Stephen Kindel, Executive Edge, February - March 1999 – www. ee-online. com/feb_feat_03. htm File: Amex_b 2 b. PPT 43
Bibliography -4 Business 2 Business 101 r Reassessing E-Commerce – Despite its size and explosive growth, e-commerce requires close attention to all of a company's other marketing channels r Rosetta. Net key to 3 Com’s supply chain – PC Week, 14 February 2000, p. 25 r The secret of e-business success – Rod Travers, 09/15/2000, CIO r Supply chain management: the big payoff – Christopher Koch - CIO Magazine, 2 October 2000 – www. itworld. ca/portals/portal_template. cfm? view=true&Portal. ID =6&Article. ID=1297&Category. ID=3 File: Amex_b 2 b. PPT 44
Bibliography -5 Business 2 Business 101 r 10 success factors for e business – www. ibm. com r Ten Ways IT And E-Biz Projects Are Different – David Smith, Internet Week Online, 11 October 1999 – www. internetwk. com/transform 101199 -2. htm r The Devil in the Details – How the Canadian Imperial Bank of Commerce hopes to save over $50 million a year automating the purchasing function – The Seven Caveats of On-Line Procurement – By Catherine Fredman, Executive Edge, April - May 1999 – www. ee-online. com/apr_feat_04. htm File: Amex_b 2 b. PPT 45
B 2 B Procurement - 1 Business 2 Business 101 r Obtain product information – requisitioner obtains information about products that are available from Intranet-accessible electronic catalog. – catalog is maintained by suppliers and corporate purchasing department. r Create the order – requisitioner creates order by completing a web-based form. – requisitioner must know how to fill out form correctly, including the entry of information, such as product codes, cost centre codes and supplier codes. Electronic automation of traditional business practices File: Amex_b 2 b. PPT 46
B 2 B Procurement - 2 Business 101 r Obtain approval – requisitioner seeks approval from the relevant authorizer(s). – form is routed to the correct individual or individuals using workflow features of software. r Create/transmit purchase order – purchase order is generated and submitted to the supplier for fulfillment. – transmission uses EDI, XML or proprietary data format r Fulfill the purchase order – supplier checks that the product is currently in stock and that the quoted price is valid. – supplier fulfills the customer order by removing it from inventory. – supplier transmits order confirmation to requisitioner. File: Amex_b 2 b. PPT 47
B 2 B Procurement - 3 Business 2 Business 101 r Ship the product – supplier relies on address on purchase order for delivery of goods. – requisitioner can access supplier web site to track the status of the purchase order. r Receive the product – product is delivered to and processed by the receiving department of the customer. – receiving department will notify the requisitioner via e-mail – receiving department will deliver product to requisitioner. File: Amex_b 2 b. PPT 48
B 2 B Procurement - 4 Business 2 Business 101 r Pay for the product – when the arrival of the product is confirmed, payment is made to the supplier for the amount stated on the purchase order. – Payment is made via EFT transaction. Process description derived from: The Procurement Process http: //www. microsoft. com/TRAININGANDSERVICES/content/training/ samples/2260/Webfiles/Mod 02/02 m 8. htm File: Amex_b 2 b. PPT 49
Features of e-Procurement - 1 Business 2 Business 101 r Online discovery of product information – requisitioner uses a self-service Web application to place their order. – available products listed in a centrally maintained online catalog with pricing information. – availability can be checked directly with the supplier's system – anticipated delivery time can be provided. r Simplified order creation – requisitioner will be prompted by the application to fill out any required parts of the order form. – Look-ups for codes can be implemented. r Intelligent approval process File: Amex_b 2 b. PPT 50
Features of e-Procurement - 2 Business 101 r Intelligent approval process – application automatically submits the order to the correct individual for approval. – requisitioner need not know the identity of this individual. – if more than one individual is involved in the approval, the request can be automatically routed between the individuals as approval is gained. r Automatic submission of the order to the suppliers – At the end of the approval chain, the order can be automatically processed to segregate the goods from different manufacturers. – system can automatically combine multiple orders on a daily, weekly, or cost basis before creating a purchase order and submitting it to the supplier. File: Amex_b 2 b. PPT 51
Features of e-Procurement - 3 Business 2 Business 101 r Automatic fulfillment of the order – The supplier system can automatically process the order. After the information on the order has been validated, warehousing and billing systems can be contacted to fulfill the order. r Efficient, automated shipping process – Orders can be sent to the pre-stored standard location for the purchasing company (if appropriate) through a shipping company (again, if appropriate). Links between the purchasing organization's systems and those of the supplier/shipper allow the requisitioner to track the progress of the order. File: Amex_b 2 b. PPT 52
Features of e-Procurement - 4 Business 2 Business 101 r Automatic routing, inventory updates, and delivery of goods to the recipient – As goods arrive, they can be entered into a system that tracks goods received. The system can match the goods to the orders submitted and provide information about the recipient of the goods. r Automatic payment for the goods – The system may require the requisitioner to confirm receipt of the goods. The confirmation could be used as a trigger to automatically pay the supplier for those goods. Process description derived from: Automating the Procurement Process http: //www. microsoft. com/TRAININGANDSERVICES/content/training/ samples/2260/Webfiles/Mod 02/02 m 9. htm File: Amex_b 2 b. PPT 53
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