Chapter 11 Intrabusiness, E-Government and More

1. Chapter 11Intrabusiness,E-Government and More Prentice Hall, 2002

2. Learning Objectives • Define intrabusiness e-commerce • Describe the intranet and its use in organizations • Understand the relationship between corporate portals and the intranets • Describe e-government to citizens (B2C) and to business (G2B) • Describe e-government initiatives • Understand how peer-to-peer technology works in intrabusiness, B2B, and in C2C e-commerce Prentice Hall, 2002

3. Business Intelligence Portal Speeds Product Research and Development at Amway • Amway sells more than 450 home, nutrition, and wellness, and personal products through thousands of independent agents worldwide • R&D must develop new products in a streamlined, cost-efficient manner • 550 engineers, scientists, and quality assurance staff work on more than 1,000 products at a time Prentice Hall, 2002

4. Business Intelligence Portal Speeds Product Research and Development at Amway (cont.) • Fast and easy access to information is required to support the design activity • “Artemis”—business intelligence and knowledge management portal • R&D staff have quick access to required information • Features collaboration tools and database for locating company experts • Goal to save staff 1 hour/week—60% are currently saving 30 minutes or more per week Prentice Hall, 2002

5. Business Intelligence Portal Speeds Product Research and Development at Amway (cont.) • Lotus Domino—leverage existing resources including intranet and data warehouse led to success of Artemis • Strong security features • Easy integration with legacy systems • Built-in intelligent agents • Fast seraph engine • Powerful knowledge management capabilities Prentice Hall, 2002

6. Intrabusiness and Business-to-Employee (B2E) E-Commerce • Business to its employees (B2E) • Employees electronically order supplies and material needed for work • Corporate stores that sell company’s products to employees at a discount • Businesses disseminate information on the intranet • Employees can buy discounted insurance, travel packages, etc., on corporate intranet • Employees can manage fringe benefits take classes and more Prentice Hall, 2002

7. Intrabusiness and Business-to-Employee (B2E) E-commerce (cont.) • Between and among units within the business • Large corporations consist of independent units that “sell” or “buy” materials, products, and services from each other • This type of transaction can easily be accomplished over the intranet • Network constructed to link dealerships owned by the corporation • Support communication • Collaboration • Execution of transactions Prentice Hall, 2002

8. Intrabusiness E-Commerceat Toshiba America • Problem • Intranet doubled as dealer extranet • 300 dealers needed parts quickly • Orders placed by phone or fax by 2:00 in order to have next-day delivery • Shipping fees expensive • Cumbersome order-entry system created in 1993 with no significant improvement Prentice Hall, 2002

9. Intrabusiness E-Commerceat Toshiba America • Solution • 1997, Toshiba created a Web-based order-entry system using extranet/intranet • Dealers lace orders for parts until 5:00 for next-day delivery—matter of hours to shipping • Physical warehouse in Memphis, TN near FedEx headquarters ensures quick delivery • Dealers also: • Check accounts receivable balances • Pricing arrangements • Read service bulletins, etc. Prentice Hall, 2002

10. Figure 11-1Toshiba’s Customer Service Process Source: Compiled from Jones(1998). Used by permission. Prentice Hall, 2002

11. Intrabusiness and Business-to-Employee (B2E) E-commerce (cont.) • Between and among corporate employees • Large organizations have classified ads on the intranet where employees can buy and sell products and services from each other • Especially popular in universities • Interconnect their intranets to increase exposure • Employees collaborate and communicate using EC technologies Prentice Hall, 2002

12. Intranets • Intranet—network architecture designed to serve internal informational needs of a company using Web concepts and tools • Provides: • Internet capabilities • Search engines • Tools for communication and collaboration Prentice Hall, 2002

13. Intranets (cont.) • Cost of converting an existing network system to internal Web is relatively low • Fairly safe within company firewalls • Employees can get out on the Web easily • Outsiders cannot get into the intranet • Change organizational structures and procedures, help reengineer corporations Prentice Hall, 2002

14. Figure 11-2Architecture of an Intranet Prentice Hall, 2002

15. Intranet Functionalities • Intranet functionalities • Web-based database access for ease of use • Search engines, indexing engines, directories assisted by keyword search • Interactive communication • Chatting • Audio support • Videoconferencing Prentice Hall, 2002

16. Intranet Functionalities (cont.) • Document distribution and workflow • Web-based downloading • Routing of documents • Groupware including • Enhanced e-mail • Bulletin boards • Screen sharing • Other group support tools • Conduit for computer-based telephony system Prentice Hall, 2002

17. Intranet Applications • Intranet application areas • Electronic commerce • Customer service • Search and access to documents • Personalized information • Enhanced knowledge sharing • Enhanced group decision and business processes Prentice Hall, 2002

18. Intranets Applications (cont.) • Intranet application areas (cont.) • Empowerment • Virtual organizations • Software distribution • Document management • Project management • Training • Enhanced transaction processing • Paperless information delivery • Improved administrative processes Prentice Hall, 2002

19. Intranet Functionalities • Industry-specific intranet solutions • Classified by industry instead of technology • Development of business models is a critical concern for managerial success of intranets • Top 100 intranet/extranet solutions classifications • Financial services • Information technology • Manufacturing • Retail • Services Prentice Hall, 2002

20. Intranet Application Areas • Intranet case studies • Moen-connected ERP • Compaq Computer Corp.—investment assistant • Silicon Graphics, Inc.—share huge internal Web sites • Coopers & Lybrand—share knowledge among corporate employees Prentice Hall, 2002

21. Types of portals Publishing portals Commercial portals Types of portals Personal portals Corporate portals Enterprise (Corporate) Portals Prentice Hall, 2002

22. Figure 11-3Types of Portals Prentice Hall, 2002

23. Figure 11-4Corporate Portal as a Gateway to Information Source: Tibco.com Prentice Hall, 2002

24. Knowledge bases and learning tools Business process support Customer facing sales, marketing, services Collaboration and project support Access to data from disparate corporate systems Personalized pages for users Effective search and indexing tools Internal company information Enterprise (Corporate) Portals (cont.) Portal applications Prentice Hall, 2002

25. Figure 11-5Corporate Portal Framework Source: Compiled by N. Bolloju, City University of Hong Kong, from Aneja et al. (2000) and from Kounadis (2000) Prentice Hall, 2002

26. Example of Intranet and a Portal: Cadence Design Systems • Business challenge • Support customer’s entire product development cycle • Sales • Delivery • Needed a real understanding of organization’s issues while interacting with customers • Coordination • Communication Prentice Hall, 2002

27. Cadence Design Systems • The solution: intranet and portal technology • Corporate portal—Web-based single point of information supporting sales process • OnTrack uses home page with links to other pages • Unified tool provides all information and data needed Prentice Hall, 2002

28. Cadence Design Systems (cont.) • The solution: intranet and portal technology (cont.) • All creators of information are responsible for maintaining information in OnTrack • Custom tools make it easy to add a message to the daily newsletter, modify a step in sales process, or update a customer presentation Prentice Hall, 2002

29. Cadence Design Systems (cont.) • Lessons learned • Difficult task to balance cost of training against return • Key to success—unifying technology with process • Design structure to satisfy 80% instead of 100% of process • Outsourced creation of application • Shortened training time for new sales reps Prentice Hall, 2002

30. E-Government: An Overview • E-government uses IT and EC to provide: • Convenient access to government information and services • Delivery of public services • Efficient and effective method of conducting business transactions • Digital online access to information • Online transaction services for citizens Prentice Hall, 2002

31. Major Categories of Applications of E-Government • Government-to-citizens • Involves dozens of different initiatives enabling citizens to interact with the government from their homes • Citizens can: • Find all the information they need on the Web • Ask questions and receive answers • Pay tax and bills • Receive payments and documents Prentice Hall, 2002

32. Major Categories of Applicationsof E-Government (cont.) • Governments • Disseminate information • Conduct training • Help find employment • Electronic benefits transfer (EBT) is an example of G2C applications • System relies on a single smart card that accesses cash and food benefits • Recipients either get electronic transfers to bank account or download to smart card • Reduces fraud Prentice Hall, 2002

33. Major Categories of Applicationsof E-Government (cont.) • Government-to-business and business–to-government • E-procurement • Large amounts of MROs and materials direct from many suppliers • Uses basically a reverse auction system • E-auctions • Auction surpluses from vehicles to real estate • May use 3rd-party site Prentice Hall, 2002

34. Major Categories of Applicationsof E-Government (cont.) • Government-to-government • Intelink—sharing information between intelligence agencies • Buyers.gov—general services administration • Federal case registry—health and human services • Procurement marketing and access network—small business administration • Government-to-employees—e-services for employees Prentice Hall, 2002

35. Implementing E-Government • Stage 1: information publishing/dissemination • Individual government departments set up their own Web sites that provide: • Information about them • Range of services available • Contacts for further assistance Prentice Hall, 2002

36. Implementing E-Government (cont.) • Stage 2: official two-way transactions • Using legally valid digital signatures and secure Web sites, customers: • Submit personal information • Conduct monetary transactions • Customers must be convinced that: • System keeps their information private • System is free of piracy Prentice Hall, 2002

37. Implementing E-Government (cont.) • Stage 3: multipurpose portals • Customer-centric governments enhance service delivery • Customer needs can cut across department boundaries, portal allows customers to use single point-of-entry to: • Send and receive information • Process monetary transactions across multiple departments Prentice Hall, 2002

38. Implementing E-Government (cont.) • Stage 4: portal personalization • Customers can access a variety of services at a single Web site • Customers can customize portals with their desired features • Requires sophisticated Web programming allowing interfaces • Added benefit is that governments get a more accurate read on customer preference • Electronic services • Non-electronic services Prentice Hall, 2002

39. Implementing E-Government (cont.) • Stage 5: clustering of common services • All real transformation of government structure takes shape here • Customers see a unified package instead of once-disparate services • Distinction between departments begins to blur • Recognize groups of transactions instead of groups of agencies Prentice Hall, 2002

40. Implementing E-Government (cont.) • Stage 6: full integration and enterprise transformation (see next slide) • Digital encyclopedia is now: • Full-service center • Personalized to each customer’s needs and preferences • Old walls defining services are torn down • Technology integrated across new government structure bridging gap between front and back offices Prentice Hall, 2002

41. Figure 11-6The Stages of E-Government Source: Deloitte Research (see Wong, 2001). Prentice Hall, 2002

42. Implementing E-Government (cont.) • Transformation—change is very slow • Implementing G2B • Build customer trust by increasing: • Privacy • Security • Confidentiality • Plan technology for growth and customer friendliness • Manage access channels to optimize value • Weigh insourcing vs. outsourcing • Include strong change management program Prentice Hall, 2002

43. Implementing E-Government (cont.) • Security issues—concerns include: • Data about citizens stays secure • Privacy of individuals is maintained • Developing portals (these portal vendors also support government portals) • Tibco.com—Portal Builder • Ca.com—Jasmine ii Portal • Plumtree.com • Non-Internet e-government Prentice Hall, 2002

44. Customer-to-Customer Applications • Customer-to-customer e-commerce • Classified ads • Personal services • C2C buyer exchanges • Consumer exchanges Wanted: For Sale: Prentice Hall, 2002

45. Peer-to-Peer Networks • Each workstation (PC) has similar capabilities • Benefit of P2P expands the universe of information accessible • Characteristics of P2P systems • User interface load outside Web browser • User computers act as clients and servers • Overall system is easy to use • System provides connection with other uses • Supports “cross-networking” protocols Prentice Hall, 2002

46. Peer-to-Peer Applications • P2P applications in C2C • Napster—the file-sharing utility • Other providers • Gnutella dispenses with central database • For games try Heat.net • ICQ (the instant messenger-type chat room) can be considered a hybrid P2P technology Prentice Hall, 2002

47. Figure 11-7Peer-to-Peer Networks Each Resource Can Be Shared by All Prentice Hall, 2002

48. Customer-to-Customer and Peer-to-Peer Applications • Commercial applications in business • C2C—users sell digital goods directly from their computers rather than go through centralized servers • Computer resources and data file sharing—in modern office setting disk drives and printers are shared • Intranet business applications—P2P facilitates internal collaboration Prentice Hall, 2002

49. Customer-to-Customer and Peer-to-Peer Applications (cont.) • Business-to business • People can share information but are not required to send it to an unknown server • Companies use P2P architecture as a base for speeding up business transactions • Companies can deliver rich, extensible, balanced, two-way collaborative interactions that are: • Dynamic • In real-time • Collaborative • Cost-effective • Client-focused Prentice Hall, 2002

50. Customer-to-Customer and Peer-to-Peer Applications (cont.) • Business-to-consumer—combining P2P with collaborative filtering for product searches • Step 1: user enters search keyword • Step 2: keyword is sent to 100 peers, which search local indices of Web pages • Step 3: those computers also relay query to 100 of their peers until 1,000,000 computers are queried • Step 4: resulting URLs are returned to the user, weighted in favor of most recently visited pages and peers with similar interests Prentice Hall, 2002