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Web 1.0. Business Applications. Digital Expectations: Competitive pressures reduce cost Improving customer service Improve efficiency Sharing knowledge Has to be part of overall business strategy. Business Applications. Stock exchanges (threat of Electronic Communications Networks)
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Business Applications • Digital Expectations: • Competitive pressures • reduce cost • Improving customer service • Improve efficiency • Sharing knowledge • Has to be part of overall business strategy
Business Applications • Stock exchanges (threat of Electronic Communications Networks) • Banks (ATMs, online banking) • Manufacturing (Just in Time, supply chain management) • Health care (sharing of patient records, telemedicine) • Retail (Wal-Mart’s real time inventory systems) • Logistics (FedEx and UPS tracking systems) • Law enforcement (network database records) • Airlines (reservation systems, Sabre ) • Currency Trading (Largest international trade item)
Business Applications • Distribution of service: serving your customers at where they are (bank branches) making time and location irrelevant • Supply chain management in cutting cost • Sharing ideas and collaboration • Sharing business data (EDI) and cutting transaction costs • Real time systems
Business Applications • Location Independence • Online education • Telecommuting • Day trading • Globalization (international expansion) • Multiple units in different parts of the world sharing corporate information • Serving other global organizations • Work teams • Sharing ideas, information (business is about information today)
Typical Applications • Access to data • PC networks and Internet applications • Collaboration • CRM, ERP, Portal, Conferencing, Collaborative Tools, Messaging
The Internet Changing Lifestyles • Email, IM as a means to communicate • Online banking • Online shopping • trade stocks over the Internet • listen to radio on the Internet • XM and Sirius: Satellite FM radio in your car • Establish personal relationships on the Internet • Research products • Book flights and hotels • Mobile apps
Has it Made a Difference? • Not revolution but evolution • Internet usage increasing • Companies keep deploying Internet technology • Revolution in technology not business practices
Has it Made a Difference? • ‘Brands will Die’ • not necessarily • Encyclopedia Britannica • Microsoft • Wal-Mart • but the impact has been felt • Eaton’s • Consumer’s Distributing • Woodward’s • K-Mart
Has it Made a Difference? • Prices will Fall • Tough to prove • Internet comparison shopping – real? http://www.pricegrabber.com (and .ca) http://www.ebay.com
Has it Made a Difference? • ‘Middlemen will Die’ • some disintermediation, but not to the scale envisioned • expedia.ca versus travel agents • video versus pay-per-view • dealers versus direct automobiles online • Auctions do Disintermediate • Ebay.com, bid.com, priceline.com
Has it Made a Difference? • ‘Being First is Key’ • substitution is fast • sustainability lies in continuous innovation • Wal-Mart • FedEx • Google
Web 2.0 Web 2.0
Defined • If Web 1.0 introduced a customer, then • Web 2.0 introduced a participant • Evolution, not revolution here • Web 1.0, 1996: 250,000 servers • Web 2.0, 2008: 80,000,000+ servers
Attributes • Peer Production / Collaboration • Linux, Apache • OpenSource • Wikipedia • Crowdsourcing / Sharing • blogging • RSS • Globalization • Integrity • Interdependence
Peer Production as a Core • ‘The GoldCorp Challenge’ • 1. Give $10 million to your geologists • 2. Give $575,000 to strangers
Wikinomics • Collaborate • participatory news
Wikinomics • Collaborate • crowdsourcing
Wikinomics • Contribute • Weblogs(blogs)
Wikinomics • Contribute • Weblogs(blogs)
Wikinomics • Porosity • Transparency
Where is it Going? • Peering • against the hierarchical model • Sharing • against the IP model • RIAA versus MP3 • DRM act in Canada • Skype • Globalization • collaboration • production
Social Networking in Organizations • Teaming and collaboration • BestBuy installers wiki • Recruitment and on-boarding • Linked-In for networking and searching • skills development tools • Content and Expertise Capture • capturing tacit knowledge • Innovation