Chapter 7 Intrabusiness, E-Government, C2C, E-Learning, and More

Chapter 7 Intrabusiness, E-Government, C2C, E-Learning, and More
Prentice Hall, 2003

Learning Objectives Define intrabusiness e-commerce and describe its major activities Describe the intranet and its use in organizations Understand the relationship between corporate portals and the intranets Describe e-government to citizens (G2C) and to business (G2B) Prentice Hall, 2003

Learning Objectives (cont.)
Describe various e-government initiatives Understand how peer-to-peer technology works in intrabusiness, B2B, and in C2C e-commerce Discuss online publishing and e-books. Describe e-learning and virtual universities Describe knowledge management and dissemination Prentice Hall, 2003

E-Learning at Cisco The Problem
Cisco Systems sells devices that connect computers and databases to the Internet and other networks Products continuously being upgraded or replaced Extensive training is needed for: Employees Business partners Independent students In-house training 6 to 10 times a year was expensive and ineffective Prentice Hall, 2003

E-Learning at Cisco (cont.)
The Solution Implemented e-learning programs allow students distance-learning of new software, hardware, procedures Encourages its employees to use e-learning, by: “Nonthreatening”anonymous testing and scoring Additional incentives and rewards for e-learners Makes e-learning a mandatory for employees Offers easy access to e-learning tools Prentice Hall, 2003

E-Learning at Cisco (cont.)
The Results Return on investment: Saves $1,200 per SE first offering—recovered development costs and saved $8,000 By 2002, Cisco developed 75 e-learning courses and was planning to develop more Prentice Hall, 2003

Intrabusiness and Business-to-Employee E-Commerce
Intrabusiness EC—e-commerce activities conducted within an organization Between a business and its employees Between units within the business Among employees in the same business Business-to-employees (B2E)—intrabusiness in which an organization delivers products or services to its employees Prentice Hall, 2003

Intrabusiness and B2E EC (cont.)
Training and education provided over intranets Electronically order supplies and material needed for work Buy discounted insurance, travel packages, etc., on corporate intranet Corporate stores sell company’s products at a discount Businesses disseminate information on the intranet Employees manage fringe benefits take classes and more Prentice Hall, 2003

Activities Between Units Within a Business
Large corporations consist of independent units that “sell” or “buy” materials, products, and services from each other These transactions can easily be accomplished over the intranet Network constructed to link dealerships owned by the corporation Support communication Collaboration Execution of transactions Prentice Hall, 2003

Intrabusiness E-Commerce at Toshiba America
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, 2003

Toshiba America (cont.)
1997, Toshiba created a Web-based order-entry system using extranet/intranet Dealers place 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, 2003

Activities 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, 2003

Intranets Intranet—a corporate LAN or wide area network (WAN) that uses Internet technology and is secured behind a company’s firewalls; designed to serve the internal informational needs of a company Provides Internet capabilities, search engines, tools for communication and collaboration Cost of converting an existing network system to internal Web is relatively low Prentice Hall, 2003

Intranets (cont.) 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 More intranet examples: Business intelligence Public services Corporate information Customer service Prentice Hall, 2003

Wireless LANs Speed Hospital Insurance Payments
Bridgeton—a holding company operating four hospitals in New Jersey Uses wireless LANs: To process insurance documentation To reduce the number of denied claims Via notebook computers, nurses aggregate all the documents needed by the insurance company and submit them electronically Prentice Hall, 2003

Wireless LANs Speed Hospital Insurance Payments (cont.)
Network environment : Supports an intranet Broadcasts data 120 feet from nursing workstations Enable nurses to maintain a connection in patient rooms Radio card in the notebook computer goes into a roaming mode similar to a cellular phone Wireless environment enabled changes in business processes Faster Fewer errors Prentice Hall, 2003

Wireless LANs Speed Hospital Insurance Payments (cont.)
Good return on investment Savings in six-figure dollar amounts Moderate cost of setting up the network $200 for each notebook computer radio card $750 for each of 28 wireless access points Prentice Hall, 2003

Building Intranets To build an intranet, a company needs: Web servers
Browsers Web publishing tools Back-end databases TCP/IP networks (LAN or WAN) Firewalls Prentice Hall, 2003

Exhibit 7.1 Architecture of an Intranet
Prentice Hall, 2003

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 Document distribution and workflow Groupware Conduit for computer-based telephony system Prentice Hall, 2003

Intranet Application Areas
Search and access to documents Personalized information Enhanced knowledge sharing Individual decision making Software distribution Document management Project management Training Enhanced transaction processing Paperless information delivery Employees control their own information Prentice Hall, 2003

Benefits of an Extranet
When intranets are combined with an external connection to create an extranet, benefits occur: Much cheaper Electronic commerce Customer service Enhanced group decision making and business processes Virtual organizations Improved administrative processes Prentice Hall, 2003

Industry-Specific Intranet Solutions
Classified by industry instead of technology Top 100 intranet/extranet solutions classifications Financial services Information technology Manufacturing Retail Services Prentice Hall, 2003

Enterprise (Corporate) Portals
Corporate (enterprise) portal—a gateway for entering a corporate Web site, enabling communication, collaboration, and access to company information Provide single-point access to specific enterprise information and applications available on: Internet Intranets Extranets Companies may have separate portals for outsiders and for insiders Prentice Hall, 2003

Exhibit 7.2 Corporate Portal as a Gateway to Information
Prentice Hall, 2003

Corporate Portals Applications
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 Security applications Best practices and lessons learned Directories and bulletin boards Identification of experts News Internet access Prentice Hall, 2003

Exhibit 7.3 Corporate Portal Framework
Prentice Hall, 2003

Intranet/Portal Example: 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, 2003

Cadence Design Systems (cont.)
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 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, 2003

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, 2003

E-Government: An Overview
E-government—the use of IT and e-commerce to provide access to government information and delivery of public services to citizens and business partners Efficient and effective method of conducting business transactions Opportunity to improve the efficiency and effectiveness of the functions of government Make government more transparent to citizens Prentice Hall, 2003

Government-to-Citizens (G2C)
Government-to-citizens (G2C)—e-government category that includes all the interactions between a government and its citizens Citizens can: Find all the information they need on the Web Ask questions and receive answers Pay tax and bills Receive payments and documents Electronic benefits transfer (EBT) is an example of G2C applications Prentice Hall, 2003

Government-to-Business (G2B)
Government-to-business (G2B)—e-government category that includes interactions between governments and businesses (government selling to businesses and providing them with services, and businesses selling products and services to government) Prentice Hall, 2003

Government-to-Business (cont.)
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, 2003

Contract Management in Australia
Western Australian (WA) government agency CAMS Online focus is to develop online contract management solutions for the public sector Government agencies can search existing contracts to access the commonly used contracts Government suppliers can view the current tenders (bids) Prentice Hall, 2003

Contract Management in Australia (cont.)
Provides government departments with expert advice on: E-commerce Internet Satellite services How-to’s on building a bridge between the technological needs of the public sector and the expertise of the private sector Offers various types of support for government procurement activities Prentice Hall, 2003

Contract Management in Australia (cont.)
Support of e-commerce activities Government electronic market provides ProcureLink SalesNet Training online Westlink delivers adult training and educational programs to remote areas and schools Videoconferencing service offers two-way video and audio links Prentice Hall, 2003

Government-to-Government (G2G)
e-government category that includes activities within government units and those between governments Government-to-employees (G2E)— e-government category that includes activities and services between government units and their employees Prentice Hall, 2003

G2E in the U.S. Navy The U.S. Navy uses G2E to improve the flow of information to sailors and their families Quality-of-life information includes: Self-help Deployment support Stress management Parenting advice Relocation assistance Prentice Hall, 2003

G2E in the U.S. Navy (cont.) Other e-services to navy personnel:
Lifelines2000.org reaches overseas personnel using: Internet Simulcasting Teleconferencing Cable television Satellite broadcasting Other e-services to navy personnel: Online banking Personal finance services Insurance Education Training Prentice Hall, 2003

Implementing E-Government: Transformation Process
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, 2003

Transformation Process (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, 2003

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, 2003

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, 2003

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, 2003

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, 2003

Exhibit 7.4 The Stages of E-Government
Prentice Hall, 2003

E-Government in the State of Victoria, Australia
Maxi (Maxi.com.au) is Victoria’s e-government initiative with more than 30 government-related services Register vehicles Obtain drivers licenses Order birth certificates Notify government of changes of address Pay utility bills and fines Prentice Hall, 2003

Victoria, Australia (cont.)
Internet portal features four service areas: General information about Maxi Bill payment and services by agencies Life events (change of address, getting married, turning 18) A business channel Prentice Hall, 2003

Maxi kiosks are located in: Shopping centers Libraries Government offices Other public locations around Victoria SecureNet Certificates provide: Digital certificates of authenticity Public keys for digital signatures Prentice Hall, 2003

To encourage greater use, Maxi offered a lucky draw to users Customer adoption of Maxi has exceeded the government’s expectations First year—24,000 transactions/month 40% of transactions occur outside normal 9-to-5 business hours Prentice Hall, 2003

Implementation Issues
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 in-sourcing vs. outsourcing Include strong change management program Prentice Hall, 2003

Implementing E-Government (cont.)
Security issues—concerns include: Data about citizens stays secure Privacy of individuals is maintained Non-Internet e-government Emergency situations like the Federal Emergency Management Agency (FEMA) paperless help for California earthquake victims Auctions conducted over private, secured lines Prentice Hall, 2003

Customer-to-Customer Applications
Customer-to-customer e-commerce (C2C)—e-commerce in which both the buyer and the seller are individuals (not businesses);involves activities such as auctions and classified ads Classified ads Personal services Exchanges Wanted: For Sale: Prentice Hall, 2003

Peer-to-Peer Networks & Applications
Peer-to-peer (P2P)—a network architecture in which each workstation (or PC) has similar capabilities; the networked peers share data and processing with each other directly rather than through a central server Each workstation (PC) has similar capabilities Benefit of P2P expands the universe of information accessible Prentice Hall, 2003

Peer-to-Peer Networks (cont.)
Characteristics of P2P systems User interface loaded outside the Web browser User computers act both as clients or as servers Overall system is easy to use System includes tools to support users wishing to create content or add functionality System provides connection with other uses System does something new or exciting Supports “cross-networking” protocols Prentice Hall, 2003

Exhibit 7.5 Peer-to-Peer Networks
Prentice Hall, 2003

Peer-to-Peer Applications
P2P applications in C2C 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 File sharing and swapping Prentice Hall, 2003

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 two-way collaborative interactions that are: Dynamic In real-time Collaborative Cost-effective Client-focused Prentice Hall, 2003

Peer-to-Peer Applications (cont.)
Business-to-consumer—combining P2P with collaborative filtering for product searches User enters search keyword Keyword is sent to 100 peers, which search local indices of Web pages Those computers also relay query to 100 to 100 to 100 of their peers until 1,000,000 computers are queried Resulting URLs are returned to the user, weighted in favor of most recently visited pages and peers with similar interests Prentice Hall, 2003

Online Publishing Online publishing—the electronic delivery of newspapers, magazines, news, music, videos, and other digitizable information over the Internet Mainly used for disseminating information and for conducting sales transactions interactively Includes customized material that the reader will receive free, or for a fee Prentice Hall, 2003

Online Publishing (cont.)
Publishing Modes Newspapers Magazines News Textbooks Music Artwork Video clips Movies Publishing Methods Online archive New medium Publishing intermediation Dynamic or just-in-time Prentice Hall, 2003

Content providers and distributors Challenges moving into areas with less-developed infrastructures Issues of intellectual property is a consideration Akamai.com Digisle.com Edgix.com Digimarc.com provides a tool for linking print publications with the Web Prentice Hall, 2003

Publishing music, videos, and games Major issue is payment of intellectual property fees Peer-to-peer (P2P) model—people swap files 3rd-party organizer are in violation of copyright laws (Napster) Prentice Hall, 2003

Edutainment—combination of education and entertainment, often through games Goal: encourage students to become active learners Managerial issues Educational games delivered as CD-ROMs Distance-learning format Prentice Hall, 2003

Exhibit 7.6 A New Content Delivery Model
Prentice Hall, 2003

Electronic Books E-book—a book in digital form that can be read on a computer screen Human readers must have an e-book reader: Adobe Acrobat eBook Reader Microsoft Reader Portable and convenient to carry—70 e-books on one CD-ROM Can be updated frequently Contain up-to-the-minute information Are easy to search Prentice Hall, 2003

E-Learning E-learning—the online delivery of information for purposes of education, training, knowledge management, or performance management Challenges of e-learning Learner’s challenge is to change the mindset of how learning typically takes place Content provider’s challenge is to make learning more interactive and engaging Prentice Hall, 2003

E-Learning (cont.) Benefits of e-learning—the great equalizer
Eliminates barriers of time, distance, socioeconomic status Individuals take charge of their own lifelong learning experience E-learning provides a new set of tools that add value to traditional learning modes Does not replace the classroom setting, but enhances it Prentice Hall, 2003

E-Learning (cont.) E-learning also used in the business environment
Provides a superior learning and communication model that: Increases access to learning Provides clear accountability for all participants Reduces costs Equips employees with the knowledge and information needed to help increase customer satisfaction Prentice Hall, 2003

E-Learning (cont.) Drawbacks of e-learning
Need for instructor retraining Equipment needs and support services Lack of face-to-face interaction and campus life Assessment Maintenance and updating Protection of intellectual property Computer literacy Prentice Hall, 2003

E-Learning (cont.) E-Learning
Distance learning—formal education that takes place off campus, usually, but not always, through online resources Virtual university—an online university from which students take classes from home or other off-site location via the Internet E-Learning Prentice Hall, 2003

E-Learning (cont.) Online Training
Virtual universities offer classes worldwide May soon see integrated degrees, where students can customize a degree that will best fit their needs and take courses at different universities Online Training A large number of organizations are using online training on a large scale digitalthink.com click2learn.com smartplanet.com Prentice Hall, 2003

Exhibit 7.7 Effects of E-Commerce Forces on Education
Prentice Hall, 2003

Knowledge Management Knowledge management (KM)—the process of capturing or creating knowledge, storing it, updating it constantly, and interpreting and using it whenever necessary Knowledge base—the repository for an enterprise’s accumulated knowledge Promotes an integrated approach to the process of identifying, capturing, retrieving, sharing, evaluating enterprise information assets: Documented Tacit expertise stored in individuals’ heads Prentice Hall, 2003

Online Advice and Consulting
Medical advice Management consulting Legal advice Gurus Financial advice Prentice Hall, 2003

Portal Speed R&D at Amway
For effective R&D, Amway must develop new products in a streamlined and cost-efficient manner To support design activity the need fast and easy access to: Product specifications Formulas Design criteria Production schedules Costs Sales trends Prentice Hall, 2003

Amway (cont.) Artemis—a business intelligence and knowledge management portal Easier access to corporate knowledge Browser-based intranet application that enables R&D to: Quickly find the information and knowledge they require Collaboration tools Database for locating company experts Prentice Hall, 2003

Amway (cont.) Lotus Notes/Domino search agent enables employees to:
Pull data from disparate corporate sources Generate dynamic reports Work in a highly secured environment Time required to access information: Dropped from days to minutes or seconds Enabling fast “what-if” investigations Prentice Hall, 2003

Managerial Issues Who’s in charge of our intranet content?
Who will design the corporate portal? How can we “sell ”the intranet to users? Who can access the intranet from the outside? What are the connectivity needs? What intranet applications? Are there e-government opportunities? Are there P2P applications? How well are we managing our knowledge? Are there e-learning opportunities? Prentice Hall, 2003

Summary Intrabusiness EC defined—all EC initiatives conducted within one organization The intranet and its use in organizations—used for internal communication, collaboration, and discovery of information in various internal databases The relationship between the corporate portal and the intranet—gateway through which users access the various applications conducted over the intranet, E-government to citizens—governments providing a large variety of services to citizens over the Internet Prentice Hall, 2003

Summary (cont.) Other e-government activities—using EC applications for great savings (e.g., e-procurement using reverse auctions) Applications of peer-to-peer technology—allows direct communication for sharing files and for collaboration Online publishing and e-books is growing rapidly E-learning, virtual universities, and knowledge management and dissemination—is the delivery of educational content via electronic media Prentice Hall, 2003

Chapter 7 Intrabusiness, E-Government, C2C, E-Learning, and More

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