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e-Commerce Data Challenges

e-Commerce Data Challenges. Ron Shelby CEO, XMLSolutions Corporation e-Business: Real Data Issues February 12, 2001. Ron Shelby Data Management History. Established data management - Travelers Canada Data Administrator - US Dept of Interior Consultant - American Management Systems

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e-Commerce Data Challenges

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  1. e-Commerce Data Challenges Ron Shelby CEO, XMLSolutions Corporation e-Business: Real Data Issues February 12, 2001

  2. Ron Shelby Data Management History • Established data management - Travelers Canada • Data Administrator - US Dept of Interior • Consultant - American Management Systems • Head of information management: • Connecticut Mutual • USF&G • Vice President of Data Warehousing - American Express • Head of Data Warehousing - General Motors

  3. History of Data Management • Techniques • Data and Business Modeling • Canonical synthesis • Business rules • Object modeling • Scope • Storage-oriented • Rationalizing data elements • Application-wide • Across a function • Organization-wide

  4. Why The Web?

  5. The Business Context • It’s all e-Business • Communications Revolution • Shorter product lifecycles • Moore’s Law • Information Technology Impact • Increases Productivity • Destroys Profits 3

  6. E-Business Domains Customer Dealer GM Alliance/ Equity Employee Eng. Supplier Supplier 5

  7. GM Business Innovations • Business 2 Employee • Socrates Portal • Business 2 Business • GM TradeXchange • Business 2 Customer • BuyPower • OnStar 6

  8. Building the Extended Enterprise Suppliers Products Schedules Customers Dealers Employees 100%GM Owned IntraNET DesignProduct 50/50JV ProduceProduct InterNET BusinessServices Non-equityMgmt CustomerExperience Tech Co-opCOE ExtraNET 7

  9. GM’s e-Business Evolution B2B2C Supplier 2/Trading Customer Employee Supplier/Collaborators Supplier 8

  10. Increasing Data Challenges DU2: What’s on the Lot 9

  11. Data Diversity • Data sources from separate islands • Country islands • Functional islands • Application islands • Organizational islands • From a record focus to a document focus

  12. Point-to-Point: Non-Scalable Enterprise Integration Approach

  13. Why XML ? Critical need for a universal interchange syntax that enables interchange between heterogeneous systems... 10

  14. XML • Serializes data • Document-centric • Can imbed metadata • Enables machine-to-machine automation • Forms the foundation for enterprise-to-enterprise information integration

  15. Initial Vision Vision “Become the automotive industry leader in real-time communications between GM and its supply chain by 2001.” Vision “To establish the world’s leading virtual marketplace enabling multiple buyers and sellers to conduct business and improve supply chain management.”

  16. TradeXchange Overview TradeXchange Portal Applications Many Buyers Many Suppliers Buy Site XML Suppliers Catalog Procurement Design Collaboration Supply Chain Mgmt Financial Services APS Auction Services Reverse Auction Supply Order EDI Bid / Quote Suppliers ERP XML Engine Databases Web Browser PDM Suppliers Infrastructure (Telecom, Public Internet, ANX) Commerce One Trading Community

  17. Covisint GM, Ford, DaimlerChrysler, Renault/Nissan, Toyota, Oracle and Commerce One Creating A Global Automotive Supply Chain Network

  18. Automotive –XchangeNow Covisint • A Joint Venture between General Motors,Ford, DaimlerChrysler,Renault/Nissan, Toyota, Oracle and Commerce One • Open to All OEMs, Suppliers, and Dealers • Comprehensive Portfolio of Services • Sourcing & Procurement • Supply Chain Management • Primary Benefits • Streamlined Flow of Products & Information • Improved Integration and Collaboration • More Competitive Supply Network

  19. Covisint Vision Marketplaces Client A Dealers, Distributors Customers OEMs, Tier1-Tier x Suppliers Client A Suppliers BuyerSelf Service SupplierSelf Service SupplierDirectory GeneralInformation Bidding &Negotiations SpotPurchases Supply Chain Planning Transaction Processing Content Partners Integration Kits

  20. e-Business Ecosystem Customer Global 2000 Company E-Marketplace

  21. Making B2B2C Happen

  22. OTD Technical Architecture Portals Order to Delivery e-GM BuyPower Supply Power Web Applications Web Engines Outsourced Services Integration Framework Wrapper(s) Data Decision Support Legacy Applications

  23. Data Challenges e-Commerce • Document-centric • Data from many sources • Short implementation time • Skills and tools of today’s vendors • Growing semantic diversity • Many flavors of XML • Need for corporate vocabulary based on corporate semantic model

  24. Impact of B2B e-Commerce • Slow and expensive integration projects • Choice between risky replacement and expensive interfacing • EAI vendor focus on point-to-point data mapping drives cost, complexity, risk • Vendor use of proprietary XML “standards” creating more islands of information

  25. XML forms the foundation for enterprise-to-enterprise information integration

  26. Many-to-Many: Scalable Enterprise Integration Approach

  27. The Collaboration Hub

  28. OnStar Virtual Advisor Any Internal Source Any Internet Source Call Center News Oracle/IBM News Call Center OnStar.net Stocks Email Email “Internal Content” Weather “External Content” Wireless Networks Satellite Networks Internet Intranet Extranet OnStar Virtual Advisor Gateway Pager GSM SMS WAP+PCS Fax E-Mail Windows CE PalmPilot Browser Integration Hub

  29. Choose The Right Approach • Avoid point-to-point application integration • Technology and market expertise • Support for all XML dialects • Products easily integrate with other B2B applications • Map to and from a semantic model based on a shared vocabulary

  30. The Collaboration Hub:Reducing Interface Complexity Legacy Applications Common Format, Semantics Common Format, Semantics Channel Applications • Consolidates data • Simplifies changes • Reduces number of interfaces • Reduces costs and delivery times • Easier to add subscribers External Applications HUB

  31. Where Companies are Starting

  32. Market Maturity MISSION CRITICAL #2 DIRECT MATERIALS B2B #3 COLLABORATIVE COMMERCE B2B2C NOT PLANNED PLANNED #1 Indirect Materials Supply Chain Planning MARKETPLACES Indirect Materials AUCTIONS NON-MISSION CRITICAL

  33. Common Semantics • Lack of common semantics will greatly hinder e-commerce in the intermediate and long term. • For e-commerce to use XML to its full potential, the common semantics problem must be resolved • XML does not directly solve the semantics problem • Example: Purchase Order Number, P_123, PO_Num, and PN

  34. Create a Corporate Vocabulary • Pinpoint strategic business information • Extend from vertical industry standards • Uncover and leverage metadata and semantics from legacy systems • Extract naming standards, corporate entities, attributes, elements and semantics • Conduct business using the same syntax & semantics • Create Document Type Definitions (DTDs & schemas)

  35. Web-Enabled EDI • Standard vocabulary for business communication • Mapping of X12 and EDIFACT to XML • Multi-lingual transaction sets • XSL output is human- and ANY machine-readable, allowing for complete query and analysis • Ability to multipurpose output • Leverage existing legacy data

  36. Web-Enabling EDI/Direct Materials • Securely send and receive data using widest variety of transport and security protocols available. • Enterprise level workflow solution to define, model and automate business processes.

  37. Web-Enabling E-Commerce • Platform for managing Direct and Indirect e-Procurement • Enterprise-to-Enterprise Integration • 3:1 speed to market • Vertical Industry Transaction Sets (AIA, AIAG, CIDX & many others) • Highly extensible to meet the ever-changing needs of business partners and customers

  38. Business Issues • Yet 80% supplying partners are still unable to trade electronically • Costs 10 times as much to transact manually than electronically • New XML-based formats are used for data interchange (xCBL, cXML, RosettaNet, and ebXML) but need to link into existing systems • Internet technologies will cause disaggregation of corporate functions

  39. Business-to-Business-to-Customer • B2B Nirvana is Collaboration • B2B2C – customer drives specific product requirements and demands which require dynamic supply chain automation • Mass customization – produce at scale and speed required to fulfill customized orders • Examples: GM Buy Power; Dell; Gateway

  40. B2B Collaborative Ecosystem Global 2000 Company E-Marketplace Business-to-Business Business-to-Exchange Customer Exchange-to-Exchange

  41. The Future of B2B e-Commerce • Rapid adoption e-Business systems • Many exchanges • Many different XML “standards” • Many exchanges “hubs” • XML transformation engines at the center of every exchange hub • Opportunity to re-deploy corporate data models to neutral, common vocabulary for XML

  42. The Future

  43. Dis-Aggregation To Communities

  44. Questions…

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