EBusiness Analysis Framework

1
E-Business Analysis Framework

• How to analyze the E-Business Components

Semantic Analysis of E-Business Operations
2
7 Habits for Business Success

• Plan thoroughly
• Get organized before you get started
• Find the right people
• Delegate wisely
• Inspect what you expect
• Measure what gets done
• Keep people informed

3
Viewing a Firm as a System
Supplier
Purchased Parts
The Firm
Orders to Suppliers
Finished Goods
Production
Product Design
Sales
Delivery
Service
Actual and Forecasted Orders
Service Requests
Finished Goods
Orders
Customer
Product Information
Preferences
Alter, p.9
4
Business Analysis FrameworkWork System
Customers
Products and Services
Business Processes
Participants
Information
Technology
Context
Infrastructure
Alter p8, 17
5
Business Analysis Framework
Assumptions about Products and Services,
Customers and Business

• Assumptions about Business Processes
• Pre-E With-E
• Compensate for the unavailability Based on the
  availability of important info
• of important info Cyclical planning,
  execution and control
• Delays in planning execution, control Business
  and System integration performs and controls
• Systems record info about processes, Value
  added steps collect info automatically
• but not directly doing work and utilize it
  for planning and control
• IS are separate from value added steps

• Pre-E
• Rate of change is rapid
• Organizations stability dependant on efficiency
• Long range strategic planning is key
• Build or buy software
• Customers buy from suppliers product list
• Prices only somewhat negotiable

• With-E
• Rate of change is accelerating
• Faster organizational change due to technological
  advancements, dynamic work roles
• Plan also for contingency
• Build or buy tech. Infrastructure
• Negotiation over product requirements for
  customization
• Prices are extremely dynamic

• Assumptions about Technology
• Pre-E With-E
• Awkward interfaces Intuitive interfaces
• Data storage and retrieval constrains analysis
  Greater storage and retrieval capabilities
  facilitating analysis and decision
• Little use of image and audio info -making
• Limited methods to summarize/display info/data
  Digitized images and audio used
• Limited connectivity internally/externally
  in qualitative analysis
• Powerful data analytical tools
• Unlimited connectivity
• Wireless access

• Assumptions about Information
• Pre-E With-E
• Data Capture expensive and sporadic Cheaper,
  automated data capture and detail
• Lengthy collect, compile, and summarize
  data segmentation
• Communication bandwidth limited and
  expensive Data gathered real time
• More available and reasonably priced
• communication bandwidth

• Assumptions about Participants
• Pre-E With-E
• Technology unfamiliar are frightening Technology
  is an integral expectation
• Job and career stability Dynamic work
  environment
• Independent functions Both independent and team
  functions
• Managers have little patience for Situation
  exacerbated by rapidly changing environments
• mathematical rationales and technical methods

Alter p 8, 17
Alter p 8, 17
Alter p 8, 17
Alter p 8, 17
6
Dell Manufacturing a Computer to Order

• Customers
• Computer Buyers
• Products Services
• Customized personal computers, built to order and
  delivered
• Business Process
• Receive order and payment information from buyer
  (either through the Web or through sales
  representative).
• Place the computer on the manufacturing schedule
• Perform manufacturing steps including assembling
  the computer, installing software, and testing
  whether the computer operates correctly.
• Pack the computer for shipment.
• Ship the computer directly to the consumer.

Alter, p 3-5
7
Technical Solutions Maze

• Customers
• CRM software Clarify
• Content Management Vignette and Interwoven might
  be overkill for most pure marketing needs.
  Catalog content management packages from i2
• Products Services
• PLM software Arena PLM
• Business Process
• Transaction and Accounting Software software
  PeopleSoft, SAP, Oracle
• Manufacturing Logistics and Distribution
  software SAP, PeopleSoft
• Channel synchronization tools E.piphany, Siebel,
  MarketFirst
• Tracking software Amazon.coms animated
  demo,FedEx, UPS
• Supply Chain Management Software Oracle,
  PeopleSoft

8
4 Phases in Building a Work System
Initiation
Business Process Requirements
Development
Implementation
System development and modification
Work system changes implemented and
institutionalized
Operation Maintenance
9
Reasons for Project Failure

• Technology not used appropriately
• Too little support from employees
• Requirements for website not obvious or feasible
• IT staff not versed in Web site design
• Modification of existing system complex
• Security flaws or inadequate controls
• Website not updated to keep up with competitors
  or business changes Alter, p. 20

10
Challenges ofE-Commerce Evolution

• Establishing and Integrating Systems
• Setting Prices
• Attracting Customers
• Providing an Effective Self-Service Environment
• Providing Excellent Customer Service
• Achieving Profitability and Sustaining
  Differentiation
• Security Atler p251-259

11
Opportunities for Strategic Marketing on the
Internet
Marketing Mix (4 Ps)

• Product customer needs, customization, JIT
  production, SCM ex. eBay , Lands End
• Price fierce competition, streamlined business
  processes, dynamic pricing ex. Hotwire,
  Travelocity, Priceline
• Promotion traditional media, branding ex.
  Hotmail, AOLs instant message, Amazon.com
  Associate Program
• Place (distribution) leverage from 3rd party
  intermeidaries, emphasis on immediacy ex. Fedex,
  UPS, Photoworks, Dell direct

12
Conclusion Keys to E-business Success

• Participants, Information and Technology are tied
  together by Business Processes, these makeup the
  foundation or framework of e-Businesses, but 3
  components are key to success in E-Business
• People - People need to be properly trained and
  willing to embrace both processes and technology.
• Processes - If you automate an inefficient,
  incorrect or bad business process all you have
  is a faster automated bad business process.
• Technology - Technology needs to facilitate the
  entire process and be intuitive to the people
  using it.