Web 1.0
1
Business Applications
• Digital Expectations:
• Competitive pressures
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reduce cost
Improving customer service
Improve efficiency
Sharing knowledge
• Has to be part of overall business strategy
Business Applications
• Stock exchanges (threat of Electronic Communications
Networks)
• Banks (ATMs, online banking)
• Manufacturing (Just in Time, supply chain management)
• Health care (sharing of patient records, telemedicine)
• Retail (Wal-Mart’s real time inventory systems)
• Logistics (FedEx and UPS tracking systems)
• Law enforcement (network database records)
• Airlines (reservation systems, Sabre )
• Currency Trading (Largest international trade item)
Business Applications
• Distribution of service: serving your
customers at where they are (bank branches)
making time and location irrelevant
• Supply chain management in cutting cost
• Sharing ideas and collaboration
• Sharing business data (EDI) and cutting
transaction costs
• Real time systems
Business Applications
• Location Independence
Online education
 Telecommuting
 Day trading
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• Globalization (international expansion)
Multiple units in different parts of the world
sharing corporate information
 Serving other global organizations
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• Work teams
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Sharing ideas, information (business is about
information today)
Typical Applications
• Access to data
• PC networks and Internet applications
• Collaboration
• CRM, ERP, Portal, Conferencing, Collaborative Tools,
Messaging
The Internet Changing Lifestyles
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Email, IM as a means to communicate
Online banking
Online shopping
trade stocks over the Internet
listen to radio on the Internet
XM and Sirius: Satellite FM radio in your car
Establish personal relationships on the Internet
Research products
Book flights and hotels
Mobile apps
Has it Made a Difference?
• Not revolution but evolution
• Internet usage increasing
• Companies keep deploying Internet technology
• Revolution in technology not business practices
Has it Made a Difference?
• ‘Brands will Die’
• not necessarily
• Encyclopedia Britannica
• Microsoft
• Wal-Mart
• but the impact has been felt
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Eaton’s
Consumer’s Distributing
Woodward’s
K-Mart
Has it Made a Difference?
• Prices will Fall
• Tough to prove
• Internet comparison shopping – real?
http://www.pricegrabber.com (and .ca)
http://www.ebay.com
Has it Made a Difference?
• ‘Middlemen will Die’
• some disintermediation, but not to the scale envisioned
• expedia.ca versus travel agents
• video versus pay-per-view
• dealers versus direct automobiles online
• Auctions do Disintermediate
 Ebay.com, bid.com, priceline.com
Has it Made a Difference?
• ‘Being First is Key’
• substitution is fast
• sustainability lies in continuous innovation
• Wal-Mart
• FedEx
• Google
Web 2.0
Web 2.0
Defined
• If Web 1.0 introduced a customer, then
• Web 2.0 introduced a participant
• Evolution, not revolution here
• Web 1.0, 1996: 250,000 servers
• Web 2.0, 2008: 80,000,000+ servers
Attributes
• Peer Production / Collaboration
• Linux, Apache
• OpenSource
• Wikipedia
• Crowdsourcing / Sharing
• blogging
• RSS
• Globalization
• Integrity
• Interdependence
Peer Production as a Core
• ‘The GoldCorp Challenge’
• 1. Give $10 million
to your geologists
• 2. Give $575,000
to strangers
Wikinomics
• Collaborate
• participatory
news
Wikinomics
• Collaborate
• crowdsourcing
Wikinomics
• Contribute
• Weblogs
(blogs)
Wikinomics
• Contribute
• Weblogs
(blogs)
Wikinomics
• Porosity
• Transparency
Where is it Going?
• Peering
• against the hierarchical model
• Sharing
• against the IP model
• RIAA versus MP3
• DRM act in Canada
• Skype
• Globalization
• collaboration
• production
Social Networking in Organizations
• Teaming and collaboration
• BestBuy installers wiki
• Recruitment and on-boarding
• Linked-In for networking and searching
• skills development tools
• Content and Expertise Capture
• capturing tacit knowledge
• Innovation