Session 5

1. Session 5 Intra-business electronic commerce & e-government

2. 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

3. 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

4. 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

5. Activities AmongCorporate 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

6. 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

7. 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

8. Architecture of an Intranet

9. 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

10. Corporate Portal as a Gateway to Information

11. Corporate Portal Framework

12. The problems • Limited experience in intranet applications • Which services to place on the intranet? • How will information be transferred efficiently, reliably, in a timely manner? • How will knowledge transfer be ensured at all organisational levels? • How will personnel in remote location become actively engaged?

13. Situation Analysis • Internal environment • Good working relations • Bureaucratic procedures • Personnel familiar with IT • Lack of resources in IT department • Personnel in remote locations feel isolated • The competition • All but one competitors have intranets in place

14. Familiarity with IT use Ευρετήριο

15. Use of office automation applications Ευρετήριο

16. Perceived benefits from Intranet

17. Perceived problems from Intranet

18. SWOT Analysis • Reduced bureaucracy • More efficient business processes • Improved communication • Improved updates • Reduced costs STRENGTHS • Competitors are ahead • Reduced resources • Work overload in IT department WEAKNESSES • Improve familiarity with IT • Improved company profile • Teleworking • Better exploitation of HR OPPORTUNITIES • Data Security • Usability • Resistance to change THREATS Ευρετήριο

19. SuggestedIntranet Content • 1 Analyst • 2 Developers • 1 Designer Intranet Team • Responsible for collecting data & administration of content • Should be familiar with IT • Should be trained by the Intranet Team Key Users • Content Management System • Workflow (to approve content updates) • Access to content (user groups)

20. Conclusions & CSFs • Intranet strategy aligned to business strategy • intranet treated as strategic • Emphasis on quality of information πληροφορίας • Constant re evaluation of needs and rewards • Employees willingly use and contribute to content development of the intranet

21. CSFsIntranet Ευρετήριο

22. Intranet Functionalities • 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

23. 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 Intranet Application Areas

24. 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

25. 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? • How well are we managing our knowledge? • Are there e-learning opportunities?

26. 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

27. 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

28. 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)

29. Government-to-Government (G2G) • 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

30. The Stages of E-Government

31. 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

32. 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

33. Transformation Process (cont.) • 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

34. Transformation Process (cont.) • 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

35. Transformation Process (cont.) • 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

36. Transformation Process (cont.) • 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

37. 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 • Security issues—concerns include: • Data about citizens stays secure • Privacy of individuals is maintained

38. The Government’s Role in Improving Electronic Commerce Adoption A. Papazafeiropoulou, A. Pouloudi 8th European Conference on Information Systems 3-5 July 2000, Vienna, Austria

39. Barriers for the electronic commerce adoption by SMEs • Lack of awareness • Uncertainty about the benefits of electronic commerce • Concerns about lack of human resources and skills • Set-up costs and pricing issues • Concerns about security

40. Six main government strategies in government intervention for the diffusion of EDI 1. Knowledge building (R&D) 2. Knowledge deployment (Diffusion) 3. Subsidy (Financial support) 4. Mobilisation (Best practices) 5. Innovation directive (exemplar setting) 6. Standard setting (regulation)

41. Policy measures and tools • Public enterprise, e.g. innovation by publicity owned industries, setting up of new industries, pioneering use of new technologies by public corporations, participation in private enterprise. • Scientific and technical, e.g. research laboratories, support for research associations, learned societies, professional associations, and research grants. • Education, e.g. general education, universities, technical education, apprenticeship schemes, continuing and further education, retraining. • Information, e.g. information networks and centres, libraries, advisory and consultancy services, databases, liaison services.

42. Policy measures and tools • Financial, e.g. grants, loans, subsidies, financial sharing arrangements, provision of equipment, buildings or services, loan guarantees, export credits, etc. • Taxation, e.g. company, personal, indirect and payroll taxation, tax allowances. • Legal and regulatory, e.g. patents, environmental and health regulations, inspectorates, monopoly regulations. • Political, e.g. planning regional policies, honours or awards for innovation, encouragement of mergers or joint consortia, public consultation.

43. Policy measures and tools • Procurement, e.g. central or local government purchases and contracts, public corporations, R&D contracts, prototype purchases. • Public services, e.g. purchases, maintenance, supervision and innovation in health service, public building, construction, transport and telecommunications. • Commercial, e.g. trade agreements, tariffs, currency regulations. • Overseas agent, e.g. deference sales organisations.

44. Strategies-Measures

45. Key stakeholders in national EC strategies • Government • International organisations • Consumers/citizens • Companies • Policy intermediaries + media, politicians, ...

46. International organisations Government Policy Intermediaries Consumers / Citizens Companies Stakeholders “web” in EC policy making

47. International organisations 4 6 1 2 4 6 Government Policy Intermediaries 2 3 2 4 4 5 6 Consumers / Citizens Companies Impact of EC policies on key stakeholders 1. Knowledge building 2. Knowledge deployment 3. Subsidy 4. Mobilisation 5. Innovation directive 6. Standard setting

48. Conclusions • Governments should recognise the unique qualities of electronic commerce & the Internet • Reconsider existing strategies and regulatory frameworks • Consideration of a broad range of stakeholders can support successful electronic commerce strategy • Need to treat different stakeholders differently