module 3 mis

8/8/2019 Module 3 MIS

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KNOWLEDGE MANAGEMENT

The Knowledge Management Landscape

Important Dimensions of Knowledge

Organizational Learning and Knowledge Management

The Knowledge Management Value Chain

Types of Knowledge Management Systems

Enterprise-Wide Knowledge Management Systems

Structured Knowledge Systems

Semi structured Knowledge Systems

Knowledge Network Systems

Supporting Technologies: Portals, Collaboration Tools and Learning

Management Systems

Knowledge Work Systems

Knowledge Workers and Knowledge WorkRequirements of Knowledge Work Systems

Examples of Knowledge Work Systems

Intelligent Techniques

Capturing Knowledge: Expert Systems

Organizational Intelligence: Case-Based ReasoningFuzzy Logic Systems

Neural Networks

Genetic Algorithms

Hybrid AL Systems

Intelligent Agents


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The Knowledge Management Landscape

Sales of enterprise content management software for knowledge managementexpected to grow 15 percent annually through 2012

Information Economy 55% U.S. labor force: knowledge and information workers 60% U.S. GDP from knowledge and information sectors, like finance and

publishing.

Substantial part of a firms stock market value is related to intangible assets: knowledge,brands, reputations, and unique business processes

Knowledge-based projects can produce extraordinary ROI Enterprise Knowledge Management Software Revenues, 2005-2012

Important dimensions of knowledge

o Knowledge is a firm asset Intangible Creation of knowledge from data, information, requires organizational

resources

As it is shared, experiences network effectso Knowledge has different forms

May be explicit (documented) or tacit (residing in minds) Know-how, expertise, skill


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How to follow procedure Knowing why things happen (causality)

o Knowledge has a location Cognitive event Both social and individual Sticky (hard to move), situated (enmeshed in firms culture), contextual

(works only in certain situations)

o Knowledge is situational Conditional: Knowing when to apply procedure Contextual: Knowing circumstances to use certain tool

Organizational learning

o Process in which organizations learn Gain experience through collection of data, measurement, trial

and error, and feedback Adjust behavior to reflect experience

Create new business processes

Change patterns of management decision making

Knowledge management: Set of business processes developed in an organization

to create, store, transfer and apply knowledge

Knowledge management value chain: Each stage adds value to raw data and

information as they are transformed into usable knowledge

o Knowledge acquisitiono Knowledge storageo Knowledge disseminationo Knowledge application

Knowledge acquisition

o Documenting unstated and clear knowledgeo Storing documents, reports, presentationso Unstructured documents (e.g., e-mails)o Developing online expert networkso Creating knowledgeo Tracking data from TPS and external sources

Knowledge storage

o Databaseso Document management systems

Knowledge dissemination


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o Push e-mail reportso Search engineso Collaboration toolso An overflow of information?o Training programs, informal networks, and shared management experience help

managers focus attention on important information

Knowledge application

o To provide return on investment, organizational knowledge must becomesystematic part of management decision making and become situated in

decision-support systems

o New business practiceso New products and serviceso New markets

New organizational roles and responsibilities

o Chief knowledge officer executiveso Knowledge managerso Communities of practice (COPs)

Informal social networks of professionals and employees within andoutside firm who have similar work-related activities and interests

Activities include education, online newsletters, sharing experiences andtechniques

Facilitate discussion Reduce learning efforts of new employees

Enterprise-Wide Knowledge Management Systems

Three major types of knowledge management systems:

o Enterprise-wide knowledge management systems General-purpose firm-wide efforts to collect, store, distribute, and apply

digital content and knowledge

o Knowledge work systems (KWS) Specialized systems built for engineers, scientists, other knowledge

workers charged with discovering and creating new knowledgeo Intelligent techniques

Diverse group of techniques such as data mining used for various goals:discovering knowledge, distilling knowledge (setting new rules for

computer programs), discovering optimal solutions

Three major types of knowledge in enterprise

o Structured documents


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Reports, presentations Formal rules

o Semistructured documents E-mails, videos

o Unstructured, tacit knowledge80% of an organizations business content is semistructured or unstructured

Enterprise-wide content management systems

o Help capture, store, retrieve, distribute, preserve Documents, reports, best practices Semistructured knowledge (e-mails)

o Bring in external sources News, research

o Tools for communication and collaborationo An Enterprise Content Management System

An enterprise content management system has capabilities for classifying,

organizing, and managing structured and semi-structured knowledge and

making it available throughout the enterprise

Key problem Developing classification

o Knowledge objects must be tagged with categories for retrievalDigital asset management systems

o Specialized content management systems for classifying, storing,managing unstructured digital data

o Photographs, graphics, video, audioKnowledge network systems

Provide online directory of corporate experts in well-defined knowledge domains

Use communication technologies to make it easy for employees to find

appropriate expert in a company


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May systematize solutions developed by experts and store them in knowledgedatabase

Best-practices

Frequently asked questions (FAQ) repository

An Enterprise Knowledge Network System

Major knowledge management system vendors include powerful portal andcollaboration technologies

Portal technologies: Access to external information News, research Access to internal knowledge resources

Collaboration tools E-mail Discussion groups Blogs Wikis

A knowledge network

maintains a database of

firm experts, as well as

accepted solutions to

known problems, and

then facilitates the

communication between

employees looking for

knowledge and experts

who have that knowledge.

Solutions created in this

communication are then

added to a database of

solutions in the form of

FAQs, best practices, or

other documents.


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Social bookmarking Learning management systems

Provide tools for management, delivery, tracking, and assessment of varioustypes of employee learning and training

Support multiple modes of learning CD-ROM, Web-based classes, online forums, live instruction, etc.

Measures learning effectivenessKnowledge Work Systems

Knowledge work systems Systems for knowledge workers to help create new knowledge and ensure that

knowledge is properly integrated into business

Knowledge workers Researchers, designers, architects, scientists, and engineers who create

knowledge and information for the organization

Three key roles: Keeping organization current in knowledge Serving as internal consultants regarding their areas of expertise Acting as change agents, evaluating, initiating, and promoting change

projects

Requirements of knowledge work systems Substantial computing power for graphics, complex calculations Powerful graphics, and analytical tools Communications and document management capabilities Access to external databases User-friendly interfaces Optimized for tasks to be performed (design engineering, financial

analysis)

Examples of knowledge work systems


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CAD (computer-aided design): Automates creation and revision ofengineering or architectural designs, using computers and sophisticated

graphics software

Virtual reality systems: Software and special hardware to simulate real-life environments

E.g. 3-D medical modeling for surgeons VRML (Virtual Reality Modeling Language): Specifications for

interactive, 3D modeling over Internet

Investment workstations: Streamline investment process andconsolidate internal, external data for brokers, traders, portfolio

managers

Intelligent Techniques

Intelligent techniques: Used to capture individual and collective knowledge and toextend knowledge base

To capture tacit knowledge: Expert systems, case-based reasoning, fuzzy logic Knowledge discovery: Data mining Generating solutions to complex problems Automating tasks: Intelligent agents

Artificial intelligence (AI) technology: Computer-based systems that copy human behavior

Expert systems: Capture tacit knowledge in very specific and limited domain of human expertise Capture knowledge of skilled employees as set of rules in software system that

can be used by others in organization

Typically perform limited tasks that may take a few minutes or hours, e.g.: detecting malfunctioning machine Determining whether to grant credit for loan

How expert systems work Knowledge base: Set of hundreds or thousands of rules Inference engine: Strategy used to search knowledge base


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Forward chaining: Inference engine begins with information entered byuser and searches knowledge base to arrive at conclusion

Backward chaining: Begins with hypothesis and asks user questions untilhypothesis is confirmed or disproved

Successful expert systems Countrywide Funding Corporation in Pasadena, California, uses expert system to

improve decisions about granting loans

Con-Way Transportation built expert system to automate and optimize planningof overnight shipment routes for nationwide freight-trucking business

Most expert systems deal with problems of classification Have relatively few alternative outcomes

Possible outcomes are known in advance

Many expert systems require large, lengthy, and expensive development andmaintenance efforts

Hiring or training more experts may be less expensive Case-based reasoning (CBR)

Descriptions of past experiences of human specialists, represented as cases,stored in knowledge base

System searches for stored cases with problem characteristics similar to newone, finds closest fit, and applies solutions of old case to new case

Successful and unsuccessful applications are grouped with case Stores organizational intelligence: Knowledge base is continuously expanded and

refined by users

CBR found in Medical diagnostic systems Customer support

How Case-Based Reasoning Works


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Fuzzy Logic Systems:

o Fuzzy logic is a rule-based technology that can represent such imprecision bycreating rules that use approximate or subjective values.

o For Ex. fuzzy logic would represent various temperatures in a computerapplication to control room temperature automatically.

o For Ex. Mitsubishi heavy industries in Tokyo have been able to reduce the powerconsumption of its air conditioners by 20% by implementing control programs in

Fuzzy logic.

Neural networks

o Find patterns and relationships in massive amounts of data that are toocomplicated for human to analyze

o Learn patterns by searching for relationships, building models, and correctingover and over again models own mistakes

o Used in medicine, science, and business for problems in pattern classification,prediction, financial analysis, and control and optimization

o Neural network designers seek to put intelligence into the hardware in the formof generalized capabilities to learn.

Case-based reasoning represents

knowledge as a database of past

cases and their solutions. The

system uses a six-step process to

generate solutions to newproblems encountered by the

user.


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o How a Neural Network Works

Genetic algorithms Useful for finding optimal solution for specific problem by examining very large

number of possible solutions for that problem

Conceptually based on process of evolution Search among solution variables by changing and reorganizing

component parts using processes such as inheritance, mutation, and

selection

Used in optimization problems (minimization of costs, efficient scheduling,optimal jet engine design) in which hundreds or thousands of variables exist

Able to evaluate many solution alternatives quickly Hybrid AI systems

Genetic algorithms, fuzzy logic, neural networks, and expert systems integratedinto single application to take advantage of best features of each

E.g., Matsushita neurofuzzy washing machine that combines fuzzy logic withneural networks

Intelligent agents Work in background to carry out specific, repetitive, and predictable tasks for

user, process, or software application

A neural network uses rules it

learns from patterns in data

to construct a hidden layer of

logic. The hidden layer then

processes inputs, classifying

them based on the experience

of the model. In this example,

the neural network has been

trained to distinguish between

valid and fraudulent credit

card purchases.


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Enterprise Applications and Business Process Integration

ENTERPRISE SYSTEMS

WHAT ARE ENTERPRISE SYSTEMS

HOW ENTERPRISE SYSTEMS WORK

BUSIENSS VALUE OF ENTERPRISE SYSTEMS

SUPPLY CHAIN MANAGEMENT SYSTEMS

THE SUPPLY CHAIN

INFORMATION AND SUPPLY CHAIN MAANGEMENT

SUPPLY CHAIN MANAGEMENT APPLICATIONS

SUPPLY CHAIN MANAGEMENT AND THE INTERNET

BUSINESS VALUE OF SUPPLY CHAIN MANAGEMENT SYSTEMS

CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS

CUSTOMER RELATIONSHIP CUSTOMER RELATIONSHIP MANAGEMENT

APPLICATIONSOPERATIONAL AND ANALYTICAL CRM

BUSINESS VALUE OF CRMS

ENTERPRISE INTEGRATION TRENDS

EXTENDING ENTERPRISE SOFTWARE

SERVICE PLATFORMS AND BUSINESS PROCESS MANAGEMENT

MANAGEMENT OPPORTUNITIES, CHALLENGES AND SOLUTIONS

OPPORTUNITIES

MANAGEMENT CHALLENGES

SOLUTION GUIDELINES


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ENTERPRISE SYSTEMS

What Are Enterprise Systems?

o Enterprise System Architecture

How Enterprise Systems Work

o Enterprise Systems: Interdependent software modules with a common central database that

support basic internal business processes for finance and accounting,

human resources, manufacturing and production, and sales and

marketing

Here an example of a process map illustrating the procurement processfor a new piece of equipment used by SAP, the leading enterprise

software vendor.

Enables data to be used by multiple functions and business processes forprecise organizational coordination and control.

If the enterprise software does not support the way their businessprocesses, companies can rewrite some of the software to support the

way their business processes work.

Major enterprise software vendors include SAP, Oracle, PeopleSoft andBaan.


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o Process Map for Procuring New Equipment

Business Value of Enterprise Systemso A more uniform organization :

Companies can use enterprise systems to support organizationalstructures that were not previously possible or to create a more

disciplined organizational culture.

They might use enterprise systems to integrate the corporation acrossgeographic boundaries to create a more uniform culture. Ex. Nestle

o More efficient operations and customer-driven business processes By integrating separate business processes in sales, production, finance

and logistics, the entire organization more efficiently respond tocustomer requests for products or information, forecast new products,

and build informed about producing only what customers have ordered.

Ex. Emami has reduced time to prepare final report by 30 to 35 days afterinstalling SAP.

o Firm wide information for improved decision making :


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o In addition to monitoring operational activities such as tracking the status oforders and inventory levels, enterprise systems also improve organization-wide

reporting and decision making.

o SAPs enterprise software includes analytics for profitability management,product and service cost management, overhead cost management, risk

management, balanced scorecard, value-based management investment

planning, and other tools for giving managers a comprehensive view of firm

performance.

SUPPLY CHAIN MANAGEMENT SYSTEMS

The Supply Chain

o Supply chain management refers to the close linkage & coordination of activitiesinvolved in buying, making & moving a product.

o Network of organizations and business processes for procuring raw materials,transforming into products, and distributing them to customers

o Materials, information, and payments flow through the supply chain in bothdirections.

Supply chain management:

o Coordination of business processes to speed information, product, and fundflows up and down a supply chain to reduce time, redundant effort, and

inventory costs

o It links suppliers, manufacturing plants, distribution centers, retail outlets &customers to supply goods and services from source through consumption.


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Scheduling system for minimizing inventory by having components arriveexactly at the moment they are needed and finished goods shipped as

soon as they leave the assembly line

o Bullwhip effect: Distortion of information about the demand for a product as it passes

from one entity to the next across the supply chain

The bullwhip can be tamed by reducing uncertainties about demand andsupply when all members of the supply chain have accurate and up-to-

date information.

o Supply Chain Management Applications The central objective of supply chain management systems is information

visibility open and rapid communication and information sharing

between members of the supply chain.

Supply chain management systems: Automate flow of informationbetween company and supply chain partners

Supply chain planning systems: Generate demand forecasts for a product(demand planning) and help develop sourcing and manufacturing plansfor that product

o Supply chain execution systems: Manage the flow of products through distribution centers and

warehouses to ensure that products are delivered to the right locations in

the most efficient manner


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One of the most important and complex supply chain planningfunctions is demand planning, which determines how much product a

business needs to make to satisfy all of its customers demands.

o Supply Chain Performance MeasurementMetrics for measuring supply chain performance:

Fill rate (the ability to fill orders by the due date) Average time from order to delivery The number of days of supply in inventory Forecast accuracy The cycle time for sourcing and making a product

o Supply Chain Management and the Internet

o Push-based model: Production master schedules based on forecasts of demand for products,

and products are pushed to customers

o Pull-based model: Supply chain driven by actual customer orders or purchases The difference between push and pull-based models is summarized by

the slogan Make what we sell, not sell what we make.


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Business Value of Supply Chain Management Systems: Companies that excel in supply

chain management have been found to produce higher rates of growth in their market

value than the average for their industries.

o Improved customer service and responsivenesso Cost reductiono Cash utilization

Customer Relationship Management Systems

Customer Relationship Management

o Business and technology discipline for managing customer relationships tooptimize revenue, profitability, customer satisfaction, and customer retention

o CRM also focuses on ways of retaining profitable customers and maximizinglifetime revenue from them.

CRM systems:

o CRM systems were designed to address these problems by providing informationand by providing information and tools to deliver superior customer experience

and to maximize customer lifetime value from the firm.

o Capture and integrate customer data from all over the organizationo Consolidate and analyze the datao Distribute results to various systems and customer touch points across the

enterprise


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Customer Relationship Management (CRM) Softwareo Can range from niche tools to large-scale enterprise applications that capture

countless interactions with customers, analyze them with sophisticated

reporting tools

o Can link to other major enterprise applications, such as supply chainmanagement

o Can include modules for PRM and employee relationship management (ERM)o Customer Relationship Management Systems typically provide software and

online tools for sales, customer service and marketing.

o Typically include capabilities for Sales force Automation (SFA):

Sales force automation modules in CRM systems help sales staff

increase their productivity by focusing sales efforts on the most

profitable customers, those who are good candidates for sales

and services.

Customer service:Customer service modules in CRM systems provide information

and tools to make call centers, help desks and customer support

staff more efficient.

Marketing:CRM systems support direct-marketing campaigns by providing

capabilities for capturing prospect and customer data.

Cross-selling is the marketing of matching products to customers.

Up-selling is the marketing of higher-value products or services to

new and existing customers.

Bundling is one kind of cross-selling in which a combination of

products is sold as a bundle at a price lower than the total cost of

the individual products.


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o CRM Software Capabilities

o Customer Loyalty Management Process Map

o Operational and Analytical CRM Operational CRM:

Customer-facing applications, such as sales force automation, call

center and customer service support, and marketing automation


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Examples: Campaign management, e-marketing, account andcontact management, lead management, telemarketing,

teleselling, e-selling, field sales

Analytical CRM:Applications that analyze customer data generated by operational

CRM applications to provide information for improving business

performance

Analytical CRM applications are based on data warehouses that

consolidate the data from operational CRM systems and customer

touch points for use with online analytical processing, data

mining, and other data techniques.

Examples: Develop customer segmentation strategies and

customer profiles; analyze customer or product profitability;

identify trends in sales length cycle; analyze leads generated and

conversion rates

Analytical CRM Data Warehouse

o Business Value of Customer Relationship Management Systems Increased customer satisfaction More effective marketing and reduced direct marketing costs Lower costs for customer acquisition and retention Increased revenue from identifying most profitable customers and

segments for marketing, cross-selling, up-selling


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Reduce churn rate: Number of customers who stop using or purchasingproducts or services from a company

ENTERPRISE INTEGRATION TRENDS

Service Platforms and Business Process Management

o Service Platform: Integration of multiple applications from multiple businessfunctions, business units, or business partners to deliver a seamless experience

for the customer, employee, manager, or business partner

Business Process Management:

o A methodology for dealing with the organizations need to change its businessprocesses continually to remain competitive

o It includes tools for creating models of improved processes that can betranslated into software systems.

o SAPs version of cross-application services is called xApps. It enables businessesto build and automate new cross-functional, end-to-end processes at the top of

existing applications, regardless of the technology platform they use.

MANAGEMENT OPPORTUNITIES, CHALLENGES AND SOLUTIONS

Management Opportunities:

o Improvement of process coordination and management decision makingo Reductions in inventory costs, order-to-delivery time, and more efficient

customer response and higher product and customer profitability

Management Challenges:

o High total cost of ownershipo Organizational change requirementso Realizing strategic value

Solution Guidelines:

o Look at business objectives firsto Attention to data and data managemento Senior management commitment and employee supporto Education and training


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E-commerce & Business Models

E.D.I: It is the electrical exchange of business documents in standard computer process anduniversally accepted format.

Role of EDI:

o EDI Enables business to reduce cost of Faxing and phones Manual Documents handling Time

o EDI Reduce settlement costs of Shipping the goods Sending the payment Notification of payment received Labor intensive

E-Commerce

E-Commerce means the use of the internet and web for business transactions more

formally.

E-Commerce means enabling commercial transaction digitally between and among different

organizations and consumers.

Earliest example: Electronically funds transfer from one financial institute to other via

special network.

Current example: EDI (Electronic Data Interchange) was introduce to facilitate inter

business transaction.

Electronic Commerce: Definitions and Concepts

The Internet has emerged as a major, perhaps eventually the major, worldwidedistribution channel for goods, services, managerial and professional jobs

This is profoundly changing economics, markets and industry structure, products andservices and their flow, consumer segmentation, consumer values, consumer behavior,

jobs, and labor markets

The impact may be even greater on societies and politics, and on the way we see theworld and ourselves in it

E-commerce defined from the following perspectives: Communications: delivery of goods, services, information, or payments over

computer networks or any other electronic means


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Commercial (trading): provides capability of buying and selling products,services, and information on the Internet and via other online services

Features of E-Commerce:1.) Universal (Ubiquity):

It is available just about every where It is possible to shopping from your desktop It reduce transaction costs

i.e. cost to participate in physical market.2.) Global Reach:

It permits commercial transaction to cross national boundaries.03) Universal Standard:

To sale product to global audience, Universal technical standard isunusual feature of E-Commerce.

04.) Richness:

Compare to traditional markets they have great richness. They able toprovide personal, face to face service.

On internet oral and visualization of product makes more richness.05.) Interactivity:

They allow for merchant and consumer communication. It allowed consumer interactivity through online form, chat room etc.

06.) Information Density:

E-Commerce markets, prices and costs become more transparent. Online consumer will become real consumer. It segments the markets into groups who willing to pay different prices.

07.) Personalization / Customization:

E-Merchants can target their marketing message to individuals.


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Different Types of E-Commerce Model:

Business model a set of planned activities designed to result in a profit in a marketplace

Business plan

a document that describes a firms business model E-commerce business model

a business model that aims to use and leverage the unique qualities of theInternet and the World Wide Web.

Business to Business (B2B)

B2B can be defined as... Businesses make online transactions with other businesses. B2B e-commerce has become the real success story of the internet. Business uses the internet to communicate designs, contracts, agreements, to buy or

sell from suppliers or to share knowledge etc.

B2B can be take place through:

Benefits of B2B E-Commerce

Lower procurement Administrative costs,

Access to global suppliers Lower inventory investment due to price transparency/reduced response time Quality enhanced due to earlier involvement between buyers and sellers,

especially during product design and development


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Business to Consumer (B2C)

B2C Commerce: Interactions relating to the purchase and sale of goods and servicesbetween a business and consumerretail transactions.

Retail transaction is done on the Internet, rather than a XYZ store location. online transactions are made between businesses and individual consumers With the B2C model, businesses sell goods or services to the end consumer. Potential Advantages of B2C E-Commerce

May eliminate need for maintaining physical shop front Reduced transaction costs; increased transaction speed Ease of crossing geographical boundaries Web sites available 24/7 Ease of updating existing and distributing new information Providing additional value for customers Internet: universal, easy-to-use set of technologies and standards Empowers smaller companies Convenience but success is far from guaranteed! Disintermediation: elimination of intermediate organizations between the

producer and the consumer

Disintermediation: removal of intermediary steps in a value chain, e.g., sellingdirectly to consumers

lower purchase transaction costs potential price advantages

Some more B2C business modelso Portal

Offers an integrated package of content services and content search,news, e-mail, chat, music downloads calendars etc.

Examples: Yahoo.com, MSN.como E-tailer


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Online version of traditional retailer Types include:

Virtual merchants (online retail store only)(Amazon.com)

Clicks and bricks (online distribution channel for a company

that also has physical stores) (Wal-Mart.com)

Catalog merchants (online version of direct mail catalog)

(LandsEnd.com, LLBean.com)

Manufacturer-direct (manufacturer selling directly over the

Web) (Dell.com, Compaq.com)

o Content Provider Information and entertainment providers like newspapers, sports

sites and other online sources that offer customers up-to-date news

and special interest how-to guidance and tips and/or information

sales.

Examples: Sportsline.com, CNN.com, ESPN.como Transaction Broker

Processors of online sales transactions, such as stock brokers andtravel agents that increase customers productivity by helping them

get things done faster and more cheaply.

Examples: E-Trade.com, Monster.com, Hotels.como Market Creator

Uses Internet technology to create markets that bring buyers andsellers together

Examples: Priceline.com, eBay.com, Amazon.como Service Provider

Companies that make money by selling users a service, rather than aproduct

Examples: Mybconsulting.com, Lawinfo.com, MyCEO.como Community Provider

Sites that create a digital online environment where people withsimilar interests can transact, communicate, and receive interest-

related information.

Examples: Epinions.com, Oxygen.com About.comConsumer to Consumer (C2C)

The C2C business model consists primarily of consumer auctions.

Individuals bid on or sell items.


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C2Co eBay

www.ebay.como First Auction

www.firstauction.como @AskMe.com

www.askme.com Provide a way for consumers to sell to each other, with the help of a online

marketmaker

Best example: eBay.com Often done through Web auction sites such as eBay Growth of C2C is responsible for reducing the use of the classified pages of

newspapers to advertise and sell personal items

M-Commerce

Any electronic transaction or information interaction conducted using a mobiledevice and mobile networks (wireless or switched public network) that leads to transfer

of real or perceived value in exchange for information, services or goods.

Mobile commerce (m-commerce) relies on the use of wireless devices, such as personaldigital assistants, cell phones, and smart phones, to place orders and conduct business

New updationso Takes traditional e-commerce business models and influence emerging new

wireless technologies

o Key technologies are telephone-based 3G; Wi-Fi; and Bluetooth.o However, technology platform continues to advance so much


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Peer-to-Peer (P2P)

Links users, enabling them to share files and common resources without a commonserver

Example: Kazaa; Groovenetworks Example of Intra Organizational model

IFFCOs intra organization network, through which it constantly be in

contact with other units of IFFCO.

o IFFCO Kandlao IFFCO Kalolo IFFCO Aonlao IFFCO Phulpuro IFFCO Paradeepo Other Reliance, TATA Etc.


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E-Business Definition

E-Business Architecture


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B2C Revenue Models

Describes how the firm will earn revenue, generate profits, and produce a superiorreturn on invested capital

Major types: Advertising revenue model Subscription revenue model Transaction fee revenue model Sales revenue model Affiliate revenue model

Advertising Revenue Model

Web site that offers content, services and/or products also provides a forum foradvertisements and receives fees from advertisers

Example: Yahoo.comSubscription Revenue Model

Web site that offers users content or services charges a subscription fee for access tosome or all of its offerings

Examples: Consumerreports.org, Sportsline.com, Ganeshaspeaks.com, Yahoo Platinum

Transaction Fee Revenue Model

Company that receives a fee for enabling or executing a transaction Examples:

eBay.com, E-Trade.comSales Revenue Model

Company derives revenue by selling goods, information, or services to customers Examples: Amazon.com, LLBean.com, Gap.com


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Affiliate Revenue Model

Sites that guide business to an affiliate (Associate)receive a referral fee or percentageof the revenue from any resulting sales

Example: MyPoints.comE-Commerce business model: To make successive E- commerce business model, we haveto take care of effective elements of that business model. They are

Value proposition Revenue Model Competitive Advantage Market strategy Organization development Management team