Activities of E-commerce (BtoB) in Japan
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Activities of E-commerce (BtoB) in Japan. November 2-3, 2006. Yoshi Nagase Technologic Arts Inc. Next Generation Electronic Commerce Promotion Council of Japan Information Sharing WG. Genealogy of BtoB information sharing. 1985. 1990. 1995. 2000. 2005. 2010. VAN Service.

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Activities of e commerce btob in japan

Activities of E-commerce (BtoB) in Japan

November 2-3, 2006

Yoshi Nagase

Technologic Arts Inc.

Next Generation Electronic Commerce Promotion Council of Japan

Information Sharing WG


Activities of e commerce btob in japan

Genealogy of BtoB information sharing

1985

1990

1995

2000

2005

2010

VAN Service

Liberalization of communication->Industry VAN

・Liberated from

corresponding to

each customer

Standard EDI

EDIFACT/CII->Industry standards

・Possible to exchange

the information on N:N

・Lowering the cost of

network

Internet EDI

・Make it possible to

connect to wider range

of customers

FTP/Email->Web EDI

Evolution

of EDI

technology

Automating information exchange by getting away from screen operation by manpower (XML)

Securing reliability and safety of the internet (ebXML-MS/CPA)

Realizing information sharing among business interfaces and globally (ebXML-BP/CC)

XML/EDI

ebXML

・Solve the issue of

isolation of material

flow and information

Sharing the information on

electronic tag

IC tag EDI->IC tag NTWK

・Make it possible to

manage product life cycle

Strategic competitive superiority

(SIS / Retention)

BPR (CRP/VMI)

Change of

needs of

economy

and

society

(Downsizing/ outsourcing)

CALS / SCM

(Linking the information on merchandises, producers, and retailers

Product cycle management

(3R・Maintenance・Safety・Environment)


Activities of e commerce btob in japan

IT New Innovation Strategy

IT Strategy Head Office, January 2006

1.Pursuing the strength of IT structural change

Structural change of medical care, environmentally friendly society, secure and safe society, and safe road traffic

Electronic government, establishment of the IT business management, and lifetime enriched society

2.Developing IT infrastructure

The infrastructure that is designed universally and does not have the digital divide

Reliable IT society, establishment of human infrastructure, development of the high-degree human resource, and research/development for next generation

3.Disseminate to the world

Improve the presence of Japan

Contribute internationally by providing models to solve issues


Activities of e commerce btob in japan

Strengthening corporate competitiveness by establishing the IT business management

-Achieving the world’s leading IT business management -

① Achieving the highest level of corporate management in the world by utilizing IT

Attempt to permeate use of IT into the business management by promotions such as pubic and private people’s movements and boost the ratio of companies, including large, medium, and small sized ones, that optimized their business management by use of IT beyond the walls among corporate departments and companies to the world’s leading level.

② Structuring and utilizingwell-understood common infrastructure by e-commerce

Structure well-understood common infrastructure ( for example EDI platform) that has global harmonization and can be used commonly by companies for E-commerce and attain that more than 60% of the companies that implement E-commerce are utilizing well-understood common infrastructure by the year of 2010.

③ Promoting utilization of IT for mission-critical tasks and expanding e-commerce at small-medium sized companies

Attain that more than 60% of small-medium sized companies (estimated annual amount of sales from 500 million to 2 billion yen) are utilizing IT for their mission-critical tasks by the year of 2010.Furthermore, attain that more than 50% of customers of the small-medium sized companies are implementing E-commerce by the year of 2010.

④ Developing environment of fund procurement for small-medium sized companies by utilizing IT

Utilize IT and establish electron receivable system that increases liquidity of monetary claim such as account receivables that small-medium sized companies own while securing safety of transaction.


Activities of e commerce btob in japan

Electronic Data Interchange(EDI)

Exchange BtoB business

information

(XML)

Transmit information

between computers

(

Internet)

EDI is to exchange business message among different organizations via communication lines by applying standard rules.


Activities of e commerce btob in japan

Current EDI~Different customers have different specs

As information technology progresses, EDI specification changes. Different industries have different

specifications due to different terms to address. Furthermore, specifications for individual companies

Expand due to spread of XML and internet.

Needs translator exclusively for (EDIFACT)

Legacy EDI method (EDIFACT)

DTM+4:20010916:102’LIN+LX254+500++50000’LIN+CT201+100++20000’LIN+‥

Sept. 16, 2001

Quantity

Order

Date

Quantity

Order Form

Product name

Price

Price

Product name

Order date

Dear Sir/ madam of B Inc.

I would like to order as

follows; A Corp.

Segment ID

Segment ID

Segment ID

Segment ID

Web EDI method(HTML)

Order date

Computer cannot identify product name, quantity, and price.

<body>

<h1>20010916</h1>

<td>LX254</td> <td>500</td> <td>50000</td>

<td>CT201</td> <td>100</td> <td>20000</td>

<td>TI115</td> <td>300</td> <td>45000</td>

</body>

Product name

Quantity

Price

LX254

500

50,000

CT201

100

20,000

XML universal software can handle

TI115

300

45,000

Product name

Quantity

Price

XML/EDI method

<Order>

<Order date日>20010916</Order date>

<Product name>LX254</Product name> <Quantity>500</Quantity> <Price>50000</Price>

<Product name>CT201</Product name> <Quantity>100</Quantity> <Price>20000</Price>

<Product name>TI115</Product name> <Quantity>300</Quantity> <Price>45000</Price>

</注文>

The world of paper

slip

The EDI World


Activities of e commerce btob in japan

Standard

Message

Information entity

Business process

Standard

Message

Information entity

Business process

Electronic devices

industry

Message

Information entity

Construction devices

Industry

Message

Information entity

Standard

Message

Information item

Ministry of Defense

subset

Chemistry industry

subset

Distribution industry

subset

Marine transport

industry

subset

EANCOM

SMDG

DoD

CIDEX

EIAJ

CINT

UBL

RosettaNet

ebXML

UN/EDIFACT

ANSI X12

CII

XML

Syntax

Information entity dictionary

Standard message

Various codes

Syntax

Information entity dictionary

Standard message

Various codes

Syntax

Syntax

Even though the same basic technology is introduced, different sets (subsets) of messages exist in

Different industries due to business practice, business model, and the characteristics of products.

There are several methods to be basic technology.

*Besides above, unique methods that use unique technology and business VAN are also used.


Activities of e commerce btob in japan

BtoB Information exchanging needs

Different companies can have business collaborations seamlessly by exchanging information.

Business collaborations between companies maintain continuity from the information on product plan, acceptance and receipt of order, to payment.

The broader business linkage we have, the more valuable chain we can yield in the industrial world.

It guarantees security and safety of products and makes it possible to manage the information on environment-friendliness.

As for the information chain, all companies that have business collaborations can participate in exchanging information no matter how big the company is.

Information chain can be achieved between nations.

Framework of BtoB E-commerce

Reintegrating existing EDIs separated by business unit.


Activities of e commerce btob in japan

Components for operating BtoB E-commerce

In accordance with the agreed process, move on to the next step for exchanging information.

Intranet

application

(Including tasks

by manpower)

Intranet

application

(Including tasks

by manpower)

In accordance with the agreed process, prepare for exchanging information.

Send data to intranet application.

Prepare data.

Convert data into the agreed format.

Convert data into the intranet format.

(Mapping)

(Mapping)

EDI

In accordance with the agreed operation manual, prepare for sending data.

In accordance with the agreed operation manual, analyze data.

(Including authentication and decoding)

(Including security)

Send out data.

Receive data.


Activities of e commerce btob in japan

Components that introduce BtoB E-commerce

[Introducing components]

[Related standards]

[Sending procedure]

Intranet

application

(Including tasks

by manpower)

BP

modeling

methodology

Business Process Model

In accordance with the agreed process, prepare for exchanging information.

Information entity

definition methodology

Information model

Prepare data.

Data Type Description

Data definition syntax

design rules

Convert data into the agreed format.

(Mapping)

Operation process

describing specs

In accordance with the agreed operation manual, prepare for sending data.

Operation Process Definition

Security standards

Specifications for

sending message

Data TransferDefinition

Send out data.

Communication

protocol


Activities of e commerce btob in japan

Business process model

Product Lifecycle Management

Manufacturing cycle

Circulation cycle

Cycle of “use”

Cycle of “used”

Procurement

Utilization and consumption

Physical distribution

(Collecting)

Design plan

History management

Placement/receipt of order

Procurement

Physical distribution

Maintenance management

Includes refurbishment and recall

Classifying dismantlement

Placement/receipt of order

Disposal

Sales

Middle physical distribution including procurement and sales

History management

Physical distribution

Reuse

Circulation of used products

Recycle

Production

Production includes physical distribution, sub-cycle for use, and sub-cycle for “used”.


Activities of e commerce btob in japan

Business process model

Manufacturing cycle

Plan and design

Placement/

Receipt order

Parts manufacturer

Manufacturer

Manufacturing

cycle

Procurement

Physical

distributor

Production

Processing

manufacturer

Material

manufacturer

Physical distributor


Activities of e commerce btob in japan

Business process model

Person who places order

Person who receives order

BusinessProcessActivity

Investigate the application of new

parts for developing in-house products

[No new parts applied]

[New parts applied]

BusinessProcessActivity

SharedBusinessEntityState

BusinessProcessActivity

: Environmental information

Ask for providing environmental

information on parts

Determine the situation of survey on the asked parts

[ Already asked]

[Not surveyed yet]

BusinessProcessActivity

Research the asked parts

[Already surveyed]

SharedBusinessEntityState

BusinessProcessActivity

BusinessProcessActivity

: Environmental information

Inspect the environmental information provided

Provide the environmental information on parts

[Already asked ]

[Defected]

[No defectiveness]

BusinessProcessActivity

Register the part information to in-house DB

SharedBusinessEntityState

BusinessProcessActivity

BusinessProcessActivity

: Environmental information

Notify receipt of the environmental

information

Receive receipt report on the environmental information

[Already asked ]

SharedBusinessEntityState

BusinessProcessActivity

BusinessProcessActivity

: Environmental information

Ask for providing the environmental

information again

Correct the pointed parts

[Already asked again ]

SharedBusinessEntityState

BusinessProcessActivity

BusinessProcessActivity

: Environmental information

Inspect the environmental

Information again

Provide the environmental information

again

[[Already asked again ]

[Defected]

[No defectiveness]

BusinessProcessActivity

Register the parts information to in-house DBへ

SharedBusinessEntityState

BusinessProcessActivity

BusinessProcessActivity

Report receipt of the environmental information

Receive report on receipt of the environmental information

Exchanging the information on environmentally challenging agents at the stage of Product manufacturing ー Design

: Environmental information

[ Already received ]


Activities of e commerce btob in japan

Information entity model

UN/CEFACT Core Component

As of Oct/2005

Information item

classification

Primary information item

Secondary information item

Well-understood

Information item

Communication(通信)

Contact(連絡先)

Registration(登記)

Party(当事者)

Business Profile(事業概要)

Party

Person(個人)

Work Capability(作業能力)

Organization(組織)

Qualification(資格)

Staff(要員)

Technical Capability(技術力)

Dimension(外形寸法)

Completed Work(完了作業)

Project(工事)

Object

Construction Type(工事種別)

Status(状態)

Service(サービス)

Test Condition(試験条件)

Preference(選択)

Examination Result(検査結果)

Calculation(計算)

Guarantee(保証)

Period(期間)

Event(取引事象)

Penalty(違約金)

Route(経路)

Contract(契約)

Event

Trade Terms(取引条件)

Metrics(計数)

Process(工程)

Instruction(指図)

Tendering Process(入札プロセス)

Delivery Terms(配送条件)

Address(住所)

Country(国)

Location

Location(場所)

Country Sub-Division(国内行政区

Geographical Coordinate(地理座標)

分)

Payment(支払)

Financial Account(金融口座)

Price(価格)

Financial Card(金融カード)

Payment

Tax(税)

Currency Exchange(為替交換)

Allowance Charge(調整課金)

Payment Means(支払方法)

Service Charge(サービス課金)

Payment Terms(支払条件)

Document

Document(文書)


Activities of e commerce btob in japan

Information model

Core structuring elements (Organizational information)

Address(住所)

Organization(組織)

- Business Type(業務種別) : Code

- Legal Classification(法的分類) : Code

- Tax Registration(納税登録) : Identifier

- Name(名前) : Text

- Identification(識別) : Identifier

Location(場所)

- Description(説明) : Text

- District(区域) : Identifier

Contact(連絡先)

Registration(登録)


Activities of e commerce btob in japan

Data Type Description

Information structure and XML

Information structure

Person (個人)

Name(氏名)

BirthDate(誕生日)

XML Scheme

<ComplexType Name=‘PersonType’>

<Element Name=‘Name’>

<Element Name=‘BirthDate’>

</ComplexType>

(Description of XML Document)

XML Document

<Person>

<Name> Japan Taro</Name>

<BirthDate>1990-01-20</BirthDate>

</Person>


Activities of e commerce btob in japan

Data Type Description

Making Business Information Entity be XML

<ComplexType Name=“Passenger_Person” >

<Element Name=“Name” Type=“Text” />

<Element Name=“Berth Date” Type=“Date” />

<Element Name=“Residence” Type=“Address” />

</ ComprexType>

<ComprexType Name=“Address” >

<Element Name=“Post Code” Type=“Identifier” />

<Element Name=“Prefecture” Type=“Text” />

<Element Name=“Town” Type=“Text” />

<Element Name=“House Number” Type=“Text” />

</ComplexType>

<ComplexType Name=“Text” >

<Simple Content>

<Extention Base=“xsd:string”>

<Attribute name=“LanguageID” />

</Extention Base>

</Simple Content>

,/ComplexType

Passenger(Passenger_ Person)

Fullname(Name. Text)

Birthday(Birth Date. Date Time)

Residence(Residence. Address)

Automatic generation

Address(Address)

Zipcode(Post Code. Identifier)

Prefecture(Prefecture. Text)

Municipality(Town. Text)

House Number(House Number. Text)


Activities of e commerce btob in japan

Operation process definition

Agree the EDI operation procedure

Define collaboration

Party’s role

Define transaction

Services

Binding specs

Define activities


Activities of e commerce btob in japan

DataTransferDescription

Interoperability of ebXML message transfer service


Activities of e commerce btob in japan

DataTransfer Definition

Transfer messageーsolution of small-medium sized companies

Small-medium

sized companies

Customers(Server)

(

)

Client

PullRequest

message)

Request slip(

PullResponse

Receive slip(

message)

Notify receipt of slip

PullAcknowledgment

message)


Activities of e commerce btob in japan

Roles of Registry & Repository (R&R)

BP

Modeling

Methodology

Intranet

application

(Including tasks

by manpower)

Business Process Model

Information

Entity Methodology

In accordance with the agreed process, prepare for exchanging information.

Standard

R&R

Information Model

Prepare data.

DataType Description

Registry

Information Model

Convert data into the agreed format.

Data Definition Syntax

Design rules

Operation Process

Definition Specs

In accordance with the agreed operation procedure, prepare for sending data.

Operation Process Definition

Technical specs for

sending message

Data Transfer Definition

Send data.


Activities of e commerce btob in japan

Trial production of National Registry & Repository

Business Process and Information Model

  • - Information on speculation of quality of steel products

  • - Information on steel products' history registration

  • - Information on placement and receipt of order of

  • electric appliances and electron

  • Information on placement and receipt of order of

  • household equipment

  • - Small-lot consolidated cargo tracking information

  • publication history information

  • - Hotel/inn information

  • - Consumption commodity master information

  • Electric appliances and electron manufacturing

  • circulation cycle

  • Construction machine manufacturing circulation

  • cycle

  • Electric appliances and electron maintenance and

  • recycle

  • - Business machine maintenance and recycle

Registry

Repository


Activities of e commerce btob in japan

International federation of registry

United Nations

UN/CEFACT

Registry

Registry structuring project was started from March of 2005.

Steel

Reference

Proposal

Cross-reference

Korea

Registry

Japan

Operation started

National

Registry

Cross-reference

Trading

Taiwan

Registry

Developing operation system in 2004

Started disclosing the system to market in 2005

Trial production

Cross-reference

China Wuhan

Registry

Trial production

Circulation

Registry

Physical distribution

Registry

Construction

Registry

Started project in 2004

(LCDM)

Trial production in 2003

Development in 2004


Activities of e commerce btob in japan

Utilizing ebXML

Business Process(BP)

Core Component (CC)

R&R:Registry & Repository

Registry

Repository

Introduction

CPA:Collaboration Protocol Agreement

CPA(Operation Process)

ebMS(DataTransferDefinition)

Operation


Activities of e commerce btob in japan

ebXML introducing tool

Modeling

tool

Business

Process

R&R

GUI

Translator

Information model editor

Information model

Data type conversion

R&R

CPA

Editor

Data Type Description

Operation procedure description

XML

Schema generation tool

Data

Transfer

Definition

ebMS

Application

Operating BtoB business process

linkage


Activities of e commerce btob in japan

In order to structure E-commerce transaction platform

- Well-understood common infrastructure in an internationally harmonized manner

Personal proposal

1.Agree and recognize the framework that forms platform

2.Select and recognize framework components(Domestic and international)

・Agreement by the international standardization group

3.Describe interoperability among framework components

・Interoperability authentication agent

4.Provide framework components by R&R

5.Promote the industry standard EDI that complies with platform

・Support pilot project

6.Apply platform to business interface EDI / international EDI

7.Select solutions of the small-medium sized companies in compliance with platform

8.Enlighten the spread and support promotion of its introduction

- Financial support( small-medium sized companies )


Activities of e commerce btob in japan

Next Generation Electronic Commerce Promotion Council of Japan

Structure of the EDI group

International standard

Development of business linkage model

between companies

EDI

promotion

council

Harmonization

Promote the spread in the industry

Information

sharing

WG

Component

Repository

Technology

B2B-EC framework

Framework

WG

Mechanism to distribute framework components

Next generation

EDI

WG

Interoperability

Selection of solutions

International standard


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