International Standards And Electronic Commerce Frank Farance Farance

International Standards And Electronic Commerce Frank Farance, Farance Inc. New York, NY, USA +1 212 486 4700 frank@farance. com http: //www. farance. com 1998 -09 -04 Frank Farance, IFIP 1998 1

A Technical Rationale For International Standards Review problem before proposing solution n Several perspectives, stakeholders n Catalog problems n Better understanding of problem n Better solutions n Useful, interoperable, widely adopted standards n 1998 -09 -04 Frank Farance, IFIP 1998 2

Many Possibilities For Poor, Incomplete Solutions n DON’T review problem before proposing solution ==> • Just propose solutions: not just Java, XML, PKI • Just use credit cards over Internet • Integration problems • Cultural problems • Solutions based on market share, not needs • Proprietary solutions 1998 -09 -04 Frank Farance, IFIP 1998 3

Many Possibilities For Poor, Incomplete Solutions n DON’T incorporate several perspectives and stakeholders ==> • Optimum for one class of consumers, not all • Optimum for one industry, not many • Optimum for one country, not many • Optimum for one set of laws/regulations • Optimum for one type of network, not many • Optimum for one type of currency/instrument • Optimum for one type of transaction 1998 -09 -04 Frank Farance, IFIP 1998 4

Many Possibilities For Poor, Incomplete Solutions n DON’T catalog problems ==> • Integration issues as solutions are broadly • • 1998 -09 -04 adopted: security, fraud/audit , nomadicity, currency, legal, consumer protection, usability May abort solution if unworkable May become too expensive to be practical Frank Farance, IFIP 1998 5

Many Possibilities For Poor, Incomplete Solutions n DON’T strive for better understanding of problem ==> • Take first solution that works somewhat ==> • • 1998 -09 -04 penalty: large commitment to poor solution Revise technology/solutions every 3 -5 years ==> penalty: high maintenance, incompatible Don’t anticipate related technologies: security, data interchange, cultural/user adaptation ==> penalty: very expensive rework Frank Farance, IFIP 1998 6

Activity within ISO/IEC JTC 1 (Information Technology) Business Team on Electronic Commerce n Focus: identify “work items” for new standards; developed report and proposal n Responsive, non-traditional gathering of international industry players n National, regional, industry, cross-sectoral interests n Chair: Ulrich Hartmann, Siemens, Germany n 1998 -09 -04 Frank Farance, IFIP 1998 7

Review Existing Systems, Reports, and Specifications Commerce. Net's Architectural Framework for Internet Commerce (e. Co System) n EBES/EWOS Building Blocks for Electronic Commerce n Electronic Commerce Promotion Council of Japan (ECOM) common platform for Consumer-EC n 1998 -09 -04 Frank Farance, IFIP 1998 8

Review Existing Systems, Reports, and Specifications Java Electronic Commerce Framework (JECF) n Object Management Group (OMG) Electronic Commerce Reference Model n Open Trading Protocol (OTP) n Secure Electronic Market Place for Europe (SEMPER) n 1998 -09 -04 Frank Farance, IFIP 1998 9

Review Existing Systems, Reports, and Specifications CEN/TC 224 - ISO/TC 68/SC 6, Group for Standardization on Electronic Commerce n JTC 1/SC 27 ad hoc Group GII Security n Organisation for Economic Co-operation and Development (OECD), “Measuring Electronic Commerce” [OCDE/GD(97)185] n “Consumer Requirements In Electronic Commerce”, Norway n 1998 -09 -04 Frank Farance, IFIP 1998 10

Review Existing Systems, Reports, and Specifications “Measuring Information Society 1997”, Information Society Activity Centre, of the European Commission. n “Eurobarometer”: 16000 interviews in all European Union countries, measuring interest in new information and communication technologies n 1998 -09 -04 Frank Farance, IFIP 1998 11

ISO/IEC JTC 1 CAW (Cultural Adaptation Workshop) Information technology systems that address differing needs of users, cultures, regulations: Localization (L 10 N) vs. Internationalization (I 18 N) n Not specific to electronic commerce n Important area because it defines the “semantics” of the transactions n http: //www. itscj. ipsj. or. jp/caw n 1998 -09 -04 Frank Farance, IFIP 1998 12

ANSI IISP (Information Infrastructure Standards Panel) Coordinates US GII activity n Identifies cross-industry standards needs n Origin: White House NII initiative by Vice President Al Gore; now global perspective n 160+ standards needs identified in many areas: security, nomadicity, electronic publications, multimedia, networking, appliances, etc. : http: //www. ansi. org/iisp n 1998 -09 -04 Frank Farance, IFIP 1998 13

Next Step: Catalog Problems Review problem before proposing solution n Several perspectives, stakeholders n n Catalog problems Better understanding of problem n Better solutions n Useful, interoperable, widely adopted standards n 1998 -09 -04 Frank Farance, IFIP 1998 14

Main Areas of Standardization User interfaces n Basic functions n Definition and encoding of data and other objects n 1998 -09 -04 Frank Farance, IFIP 1998 15

User Interfaces Icons n Dialogue design principles n Customer profiles n 1998 -09 -04 Frank Farance, IFIP 1998 16

Basic Functions Trading protocols n Payment methods n Security mechanisms n Identification and authentication n Auditing and recordkeeping n 1998 -09 -04 Frank Farance, IFIP 1998 17

Definition and Encoding of Data And Other Objects IT-enablement of existing standards n Techniques for defining message semantics n Localization (L 10 N) n Registration authorities n Value domains n 1998 -09 -04 Frank Farance, IFIP 1998 18

Trading Protocols: The Transaction Financial Events: debits and credits associated with the accounting systems of the parties of the transaction n Business Process: customary steps and flow of a certain type of business n Information Bundles: information attached to the steps of the business process and/or to the financial events n 1998 -09 -04 Frank Farance, IFIP 1998 19

Payment Methods Existing Work: Cyber. Cash, Cyber. Coin, Digi. Cash ecash, E-check, e-COMM, Electronic Purse Systems (e. g. , Mondex, Geld. Karte, Clip, pr. EN 1546), EMV, Home Banking Computer Interface (HBCI), JEPI, Millicent, Proton, Secure Electronic Transactions (SET), Visa Cash n Standards Work: ANSI X 9, ECBS (European Committee on Banking Stds) n 1998 -09 -04 Frank Farance, IFIP 1998 20

Security Mechanisms Integrity of Transactions and Information n Digital Signatures n • Harmonize methods • Need common signing method for consumer Key Management Infrastructure n Standards Work: JTC 1/SC 27, TC 68, IETF PKIX, IEEE P 1363 n 1998 -09 -04 Frank Farance, IFIP 1998 21

Identification, Authentication Confidentiality n Anonymity n Identifiers n Authentication n Standards Work: JTC 1/SC 27, JTC 1/SC 31, JTC 1/SC 32, TC 68 n 1998 -09 -04 Frank Farance, IFIP 1998 22

Auditing, Recordkeeping Still many open issues n Internationalization (I 18 N) increases complexity of harmonization: How are systems audited across country borders? n Too new to define n 1998 -09 -04 Frank Farance, IFIP 1998 23

Next Steps: Current Activity Review problem before proposing solution n Several perspectives, stakeholders n Catalog problems n n Better understanding of problem n Better solutions n Useful, interoperable, widely adopted standards 1998 -09 -04 Frank Farance, IFIP 1998 24

Years Away: Common, Standard Solutions Review problem before proposing solution n Several perspectives, stakeholders n Catalog problems n Better understanding of problem n Better solutions n n Useful, interoperable, widely adopted standards 1998 -09 -04 Frank Farance, IFIP 1998 25

Summary and Conclusions n Review problem before proposing solution • Mostly complete • Still to come: regulatory issues, cultural issues, agreement on security/fraud/audit methods n Several perspectives, stakeholders • Review is complete n Catalog problems • Complete; localization issues are, well, local 1998 -09 -04 Frank Farance, IFIP 1998 26

Summary and Conclusions n Better understanding of problem • Yes, but. . . important issues still to resolve • Affects integration, e. g. , security, nomadicity Better solutions n Useful, interoperable, widely adopted standards n 1998 -09 -04 Frank Farance, IFIP 1998 27

Electronic Commerce Links EBES / EWOS: European Board on EDI Standardization / European Workshop for Open Systems http: //www. cenorm. be/isss n ECOM (of Japan): Electronic Commerce Promotion Council (of Japan) http: //www. ecom. or. jp/eng/index. htm n 1998 -09 -04 Frank Farance, IFIP 1998 28

Electronic Commerce Links n e-COMM http: //www. e-comm. fr/anglais/sommaire. html n EMV: The Europay International, Master. Card International and Visa International Consortium http: //www. visa. com/cgi-bin/vee/nt/chip/download. html? 2+0 n JECF: Java Electronic Commerce Framework http: /java. sun. com 1998 -09 -04 Frank Farance, IFIP 1998 29

Electronic Commerce Links JEPI: Joint Electronic Payment Initiative (from Commerce. Net and W 3 C) http: //www. w 3 c. org n OBI: Open Buying on the Internet http: //www. supplyworks. com/obi/ n OECD: Organisation for Economic Co-operation and Development http: //www. oecd. org n 1998 -09 -04 Frank Farance, IFIP 1998 30

Electronic Commerce Links OMG: Object Management Group http: //www. omg. org n OTP: Open Trading Protocol http: //www. otp. org n SEMPER: Secure Electronic Market Place for Europe http: //www. semper. org n SET: Secure Electronic Transactions http: //www. setco. org/ n 1998 -09 -04 Frank Farance, IFIP 1998 31

Other Links Business Team on Electronic Commerce Report: JTC 1/N 5296 http: //www. jtc 1. org n ISO-IEC JTC 1 CAW: Cultural Adaptability Workshop http: //www. itscj. ipsj. or. jp/caw n ANSI IISP: American National Standards Institute, Information Infrastructure Standards Panel http: //www. ansi. org/iisp n 1998 -09 -04 Frank Farance, IFIP 1998 32

Other Links Cross-Standards Collaboration Activity (links to GII standards and consortia) http: //www. Global. Collaboration. ORG n Frank Farance, Farance Inc. Phone: +1 212 486 4700 E-mail: frank@farance. com http: //www. farance. com n This presentation at: http: //www. farance. com/ifip n 1998 -09 -04 Frank Farance, IFIP 1998 33