E-business – the critical factors
Mikael von Otter
October, 2001
OECD
Motives for e-commerce
Expanding market
Product shipping
CRM
Product development
SCM
Quality control
Process costs
Lower prices
Critical
Large
x
x
x
x
x
x
x
x
Public
SME
some
some
x
x
x
x
x
x
Requirements for e-commerce
Transport mechanism
Process standards
Information standards
System interfaces
Trust
Process reengineering skill
X = sufficient
x
?
?
(?)
?
?
? = to a certain extent
Internet
ebXML etc
Critical factors
•
•
•
•
•
SME
Public sector
Trust
Information standards
Process reengineering
SME drivers and barriers
• All SMEs are not alike
– Specialized – mass market
– Local – national – international
– ”Supplier” – ”vendor
• Different drivers and barriers
– What does really motivate a SME?
– Affordability
– Who is in the drivers seat?
SME drivers and barriers
• Mobile e-business solutions for the very
small (d)
• Increase competition for SMEs (d)
• Integrating e-business and legacy systems
(b)
• Different requirements from different ”large
customers” (b)
Public sector
• Has great impact on e business development
– Especially SME
• Conflicting objectives
– Protecting tax payers money
– Welfare and education, not ROI
– Not a business culture
• Size of local authorities, of government
Public sector drivers and barriers
•
•
•
•
•
Single Face To Industry standard (d)
Demographic situation (d)
Benchmarking (d)
Management capacity (b)
Short term planning period (b)
Trust
• Necessary for e-business
• Regulations not modernized
– ”by writing”, ”document”
• EU e-signature implementation
– Who pays? Unlimited damage? Contract or
policy based?
• Myths about Internet security
– Payment systems
Trust drivers and barriers
•
•
•
•
•
•
Open e signature implementation (d)
Current e-signature situation (b)
Micropayment systems (d)
Legal issues (b)
Public acceptance (d)
Copyright and IPR digital products
– Technical solutions (b)
Information and IT standards
• Internet for transport
• XML – ”the saviour” – is a language
• Where do we standardize processes and
information?
– Is it possible?
• Not a critical barrier
– Enough solutions are available
– But sometimes expensive for SME
Info. Standard drivers and
barriers
•
•
•
•
•
•
ebXML initiative (d?)
Market standards (bank, paper, food etc) (d)
Product code standards (b)
Revival of EDIfact (d?)
Systems interface standards (b)
IT industry participation (b and d)
Process reengineering
• Change Management capacity and knowhow
• Acceptance from staff
• Competence development
• Organizational changes
• Top management commitment
• Finding the technology
Process reengineering drivers and
barriers
•
•
•
•
Public sector (b)
SME (b)
Demographics force (d)
Trade unions (?)
E-business summary
• We have moved …
– From why to how
– From news to use
• But still …
– SME: not only a technical and awareness problem
– Public sector: should move much faster, has impact on
the rest
– Technology: Information standards? Systems interface?
– Trust: e-signatures implementation needs understanding