Road map for e-business implementation in Extended Enterprise Presentazione progetto e-Volution ing. Roberto Citarella Dip. di Ingegneria Meccanica Università di Salerno Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 1 Road map for e-business implementation in Extended Enterprise e-business in European SMEs Business reality does not display the importance of e-business yet, partly ignorance of strategic importance Widely satisfaction with e-business, but no euphoria Current focus on e-commerce activities Most significant impacts of e-business still concern internal business processes Real potentials are in the value chain Unused potentials of ICT and e-business as the key enablers for Extended Enterprises Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 2 Road map for e-business implementation in Extended Enterprise Spheres for e-business in Extended Enterprises and in e-volution business strategy Business strategy Secure or increase revenue by increasing number of customers and by increasing customer satisfaction Increase productivity by optimum use of organisation, processes and resources Revenue Business management system Integrate Commer d Supply ce Chain Finances, controlling, administration process Increase revenue Procurement Human resource management process Reduce need for capital Reduce costs RTD and engineering process Infrastructure process Productivity Bartsch, Th.: e-business in KMUs. IBM Unternehmensberatung Germany, 2001 e-business strategy Effective use of e-business opportunities and development of e-business strengths Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 3 Road map for e-business implementation in Extended Enterprise e-volution’s methodology concept The purpose of the e-volution methodology concept is the successful implementation of ebusiness in Extended Enterprises. Based on approved models, e-volution offers an e-business road mapping model that fulfils the requirements of a systematic and goal-oriented planning of e-business implementation. The e-business road mapping model is the starting point for the use of phase specific methods and software tools. The e-volution training package is for transfer and teaching how to apply the ebusiness road mapping model, methods and tools. The e-volution Content Service disseminates the e-business road mapping model with its methods and tools but also know-how about ebusiness. e-business road mapping model I. II. III. IV. Training package Software tools V. Content Service Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 4 Road map for e-business implementation in Extended Enterprise Expected project results according to the DoW Enhancement of competitiveness and sustainable growth of European Extended Enterprises by successful use of e-business as means for value chain integration Exploitation Dissemination Content Service Training material National IRGs Software tools Web page Application, validation, exploitation by test cases DoW – Description of Work e-business strategy kit “e-Volution” methodology concept Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 5 Road map for e-business implementation in Extended Enterprise Principle Extended Enterprise scenarios under consideration Horizontal Extended Enterprises 1st tier supplier final producer final producer end user • • • • • • Organisation focus: value chain Supplier-customer-relationships Each entity adds value for the final product Information flow follows material flow One entity as market interface Example: German Test Case end user market market 2nd tier supplier Vertical Extended Enterprises • Market focus: combination of competencies, services/products to innovative, extended service/product • More than one entity potentially as market interface • Entities can operate in same market • Example: Italian test case Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 6 Road map for e-business implementation in Extended Enterprise Requirements for an e-business road mapping methodology Road mapping is the process to develop a road map. Road mapping is an creative analysis of an organisation and its environment to prognosticate, visualise and plan the future. Road mapping is a systematic identification and analysis of expert know-how, the coordination of divergent meanings and expectations to predict and assess future developments in certain field. e-volution aims to specify a generic e-business road mapping process that uses Specialised know-how, e.g. − Business know-how: entity purpose and structure (goals, organisation, processes, resources, utilities, goals) − System know-how: Information and Communication Technologies Methodical know-how, e.g. − Management methods e-business life cycle − Management instruments Requirement analysis specifies the road mapping process content needs (tasks, methods, instruments) Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 7 Road map for e-business implementation in Extended Enterprise System architecture concept (Task 3.1) Web-services • Component based task execution • Ontology for communication means between different domain knowledge (3rd party applications) • Interconnecting database management system (DBMS) Web Extended Enterprise SME 1 SME 2 Organisation Module Web-services enabler DB Integration platform SME 3 SME n Market Module DB DB Market module concept (Task 3.2) Organisation module concept (Task 3.3) Integration platform concept (Task 3.4) Rules, mechanisms and update routines (Task 2.4) Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 8 Road map for e-business implementation in Extended Enterprise Horizontal Extended Enterprises – different levels of information gathering 2nd tier supplier 1st tier supplier final producer EE level (operative partner) (operative partner) (operative partner) (co-ordinator) given by individual strategy given by individual strategy given by individual strategy goal definition of the EE given by individual strategy given by individual strategy given by individual strategy goal prioritisation process prioritisation individual analysis individual analysis individual analysis given by individual organ. given by individual organ. given by individual organ. individual analysis individual analysis individual analysis alignment if value adding fits definition on EE level elimination of big differences goal definition goal prioritisation process prioritisation core competence analysis eOrganisation definition eBiz abilities Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 9 Road map for e-business implementation in Extended Enterprise Vertical Extended Enterprises – different levels of information gathering final producer (operative final partner) producer EE level (co-ordinator) end user given by individual strategy goal definition of the EE given by individual strategy goal prioritisation process prioritisation individual analysis given by individual organ. individual analysis adjustment on each other (in SWOT) definition on EE level elimination of big differences Result: • information gathering to identify strength and weaknesses on EE level are almost the same on vertical and horizontal EE organisations • There is a small difference in having a view on the single competencies of the partners within the EE: • in vertical EEs What kind of new products / services are possible with the competencies of each partner? goal definition • in horizontal EEs Do the core competencies of each goal prioritisation partner in the single stage of the value chain fit to the needed task/added value for the EE? process prioritisation core competence analysis eOrganisation definition eBiz abilities Ergo: • individual competence analysis could be important for the SWOT – no direct impact on OM on EE level • core competence alignment in horizontal EEs is important for OM Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 10 Road map for e-business implementation in Extended Enterprise Phase II: CONCEPTION Detailed e-business road mapping model phase 2.Conception Level 1: Phase Level 2: Phase steps EE external external EE analysis analysis Level 3: Tasks Level 4: Activities Market analysis Asses products and markets Analyse purchasing criteria/Customers Market Segmentation Analysis Attractiveness assessment of the different P/M areas Customer finding Customer filtering Customer formatting Competitor focussing Law and politics analysis Environment and society analysis Competitor formatting Competitor finding Competitor filtering Customer focussing EE e-business definition Opportunity and threat (OT) definition Trends analysis E-business impact Comparison analysis on the with the Market and competitor the EE Competitor analysis EE internal analysis Science, research and technology analysis Market and economy analysis Trends finding Specification of external threats and opportunities Trends filtering Trends formatting Trends focussing Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 11 Road map for e-business implementation in Extended Enterprise Phase II: CONCEPTION External analysis: Trend analysis E-sales trend filtering analysis E-sales trend formatting analysis Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 12 Road map for e-business implementation in Extended Enterprise Phase II: CONCEPTION External analysis: Product and market assessment / opportunity-threat-definition Opportunity-Threat analysis table Product/Market areas identification based on attractiveness and EE competitive position Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002) submission to the integration module DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY Page 13