Chapter 3
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Chapter 3. by David G. Messerschmitt. Taxonomy of organizational applications. Commerce: Inter-enterprise Consumer Inter-consumer. Enterprise. Department. Economy. Buzzwords. Business process reengineering (BPR) Enterprise resource planning (ERP)

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Chapter 3

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Chapter 3

Chapter 3

by

David G. Messerschmitt


Taxonomy of organizational applications

Taxonomy of organizational applications

  • Commerce:

    • Inter-enterprise

    • Consumer

    • Inter-consumer

Enterprise

Department

Economy


Buzzwords

Buzzwords

  • Business process reengineering (BPR)

  • Enterprise resource planning (ERP)

    • Outgrowth of manufacturing resource planning (MRP)

  • Supply chain management


Some types of applications

Some types of applications

  • Worker collaboration

  • Operations and logistics

  • Decision support

  • Information and knowledge management

  • Customer/supplier commerce

  • Consumer commerce


Some erp categories

Some ERP categories

  • Sales force management

  • Document management

  • Customer service and support

  • Manufacturing logistics

  • Accounting

  • Human resources

  • Supply-chain management


Questions

Questions

  • Do you have experience with any of these options?

    • In terms of:

      • Effectiveness

      • Pain

      • Time/budget


Fundamental options

Fundamental options

  • Custom application molded to existing organization

  • Custom application molded to re-engineered organization

  • Mold organization to off-the-shelf application

    • Common off-the-shelf (COTS) technology

    • Highly configurable


Questions1

Questions

  • How standardized are organizational processes?

    • Customer service

    • Finance

    • Manufacturing

  • Is software a good way to propagate best practices?


Productivity quandary

Productivity quandary

  • Economists have difficulty identifying major productivity improvements due to investment in information technology

  • Questions:

    • How does one separate quality from productivity?

    • In what ways can computing harm productivity?


Electronic commerce

Electronic commerce

  • Two varieties:

    • Supply chain management: extension of ongoing business processes to suppliers and customers

    • Marketplace: dynamic, opportunistic transactions conducted over the network

  • Question:

    • What are some characteristics of these options, in terms similar to social applications?


Electronic marketplace

Electronic marketplace

  • Matching buyers and sellers

    • Deferred-publication style

    • Recommender systems

  • Negotiating terms

    • Task or work group

    • Electronic auctions

  • Consummation

    • Electronic payments and fullfillment

  • Customer service


Questions2

Questions

  • For both buyer and seller:

    • How does an auction differ from standard pricing/discounting?

    • What impact might recommender systems have?

    • Electronic payments? Bank account transfer authorizations?


Opportunities in consumer electronic commerce

Opportunities in consumer electronic commerce

  • Equivalent of sales by direct-mail catalog

    • How is it different different?

  • More ways to match buyer and seller

  • More payment options

  • Recommender systems

    • What uses?

  • Mass customization

  • Superstore: consolidation of suppliers


Advantages over direct mail catalog

Advantages over direct-mail catalog

  • Customers find you

    • But gaining attention remains an issue

  • Multimedia

  • Fewer human agents -- labor savings

  • Escalation to remote conferencing


Matching buyer and seller

Matching buyer and seller

  • Fixed price

  • Price based on buyer characteristics

    • History

    • Demographics

    • Behavior

    • Sequential versioning

  • Auctions


Intermediation

Intermediation

  • What intermediaries will be eliminated?

  • What are legitimate roles for intermediaries in the networked age?

  • What are some innovative roles for intermediaries?


Payment options

Payment options

  • (Topic of Chapter 14)

  • Account transfer authorization

  • Credit/debit card

  • Digital cash

    • Privacy

  • Micropayments

    • Low transaction costs

    • Consolidation


Recommender systems

Recommender systems

  • Extend and systematize the “reference”

  • Suggest coupled sales

  • Customer service:

    • discussion forums

    • knowledge bases


Mass customization

Mass customization

  • Requires supply chain management

  • Just-in-time production

  • Supplier component integration (e.g. Dell)


Superstore

Superstore

  • Dynamic consolidation of multiple suppliers

  • Major application of XML (discussed in Chapter 15)

    • Consistent presentation


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