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COPAFS Quarterly Meeting. Measuring Electronic Business March 10, 2000 tmesenbo@census.gov. Measuring E-Business. Census Bureau Programs E-Business Strategy E-Business Definitions E-Business Measurement Plans Partnership Opportunities. Census Bureau Programs.

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copafs quarterly meeting

COPAFS Quarterly Meeting

Measuring Electronic Business

March 10, 2000

tmesenbo@census.gov

measuring e business
Measuring E-Business
  • Census Bureau Programs
  • E-Business Strategy
  • E-Business Definitions
  • E-Business Measurement Plans
  • Partnership Opportunities
census bureau programs
Census Bureau Programs
  • Economic Census every 5 years
  • Annual and Quarterly Economic Surveys
  • Principal Economic Indicators

What We Do

census bureau statistics
Census Bureau Statistics
  • Profile the economy -- widely used by gov’t. & industry
  • Industry-based (new NAICS)
  • Employ various statistical units
      • firm vs. location
  • Collect information from accountants
  • Baseline measures, but not at Internet speed
census bureau e business strategy
Census Bureau E-Business Strategy
  • Partner with gov’t., ind., & academia on definitions, measurement plans, and priorities
  • Focus first on e-commerce (B2C & B2B)
  • Contract for e-business process expertise
  • Adopt e-business processes to facilitate reporting and reduce reporting burden
  • Use first mover status to help secure additional budget resources
slide6

E-Business Overview

  • E-Commerce
  • Transactions
  • E-Business
  • Infrastructure
  • E-Business
  • Processes

$

Infrastructure

e business infrastructure definition
E-Business Infrastructure Definition

E-business infrastructure is the share of

total economic infrastructure used to

support e-business processes and

conduct e-commerce transactions.

underlying concepts e business infrastructure
Underlying ConceptsE-Business Infrastructure
  • Broadly defined to include expenditures for:
    • Hardware
    • Application Software
    • Telecommunications
    • Purchased support services
    • Support services provided by the firm
slide9

Computer-Mediated Networks Definition

Computer-mediated networks are electronically linked devices that communicate interactively over network channels.

underlying concepts computer mediated networks
Underlying ConceptsComputer-Mediated Networks
  • Electronic devices communicating interactively with other electronic devices, for example:
    • computers
    • personal digital assistants
    • webTV
    • internet-enabled cellular phones
    • interactive telephone systems
  • Minimal human intervention
  • Networks include internet, intranets, extranets, EDI networks, and telecommunication networks. Networks may be either open or closed.
electronic business definition
Electronic Business Definition

Electronic business is any process

that a business organization

conducts over computer-mediated

network channels.

underlying concepts e business processes
Underlying ConceptsE-Business Processes
  • Some examples include:

online purchasing

vendor managed inventory

production design, scheduling

& control

online sales

payment processing

online logistics

customer management & support

employee training

recruiting

underlying concepts e business processes continued
Underlying ConceptsE-Business Processes (continued)
  • E-business processes of interest because
    • change the ways organizations operate and conduct business
    • lower transaction costs, improve efficiency
    • change relationships with suppliers and customers
    • change industry structure
    • affect economic measures
electronic commerce definition
Electronic Commerce Definition

Electronic commerce is any transaction

conducted over computer-mediated

network channels that transfers

ownership of, or rights to use goods

or services.

underlying concepts e commerce transactions
Underlying ConceptsE-Commerce Transactions
  • Transaction is an event; won’t measure all
  • transactions
  • E-commerce transactions occur within selected e-business processes
  • Agreement between buyer and seller to transfer ownership or rights to use goods or services occurs over computer-mediated networks.
underlying concepts e commerce transactions continued
Underlying ConceptsE-Commerce Transactions (continued)
  • Electronic agreement is the trigger for an e-commerce transaction, not the payment.
  • Commitment and payment often occur concurrently for B2C transactions.
  • Payment generally lags commitment in B2B transactions.
  • Will not measure zero priced transactions
slide17

Census Bureau FY2000 Survey Plans

  • 1999 Monthly Retail Trade Survey
  • 1999 Annual Retail Trade Survey
  • 1999 Annual Accommodations and Food Services
  • 1999 Annual Wholesale Trade Survey
  • 1999 Services Annual Survey
  • 1999 Annual Survey of Manufactures Supplement
census bureau fy 2000 survey plans
Census BureauFY 2000 Survey Plans
  • 1999 Monthly Retail Survey
    • Internet sales collected starting October 1999
    • Quarterly data releases
    • First official measure of Holiday 1999 retail sales available March 2000
slide19

Census Bureau FY2000 Survey Plans

  • 1999 Annual Retail Trade Survey
    • For all industries:
      • E-commerce sales 1999 & 1998
      • E-business purchases indicator
    • Additional info for non-store retailers, computer & office supply stores:
      • total e-commerce sales by class of customer
      • total e-commerce sales to non U.S. customers
      • total sales & e-commerce sales for 11 selected commodity categories
census bureau fy2000 survey plans
Census BureauFY2000 Survey Plans
  • 1999 Annual Wholesale Trade Survey
    • E-commerce sales data for 1999 & 1998
    • E-business purchases indicator
  • 1999 Annual Services Survey
    • E-commerce sales for 1999 & 1998
    • Product data for selected industries
  • 1999 Accommodations & Food Services
    • E-commerce sales for 1999 & 1998
slide21

Census BureauFY2000 Survey Plans

  • 1999 Annual Survey of Manufactures Supplement
    • Supplement to Plant Manager May 2000
    • E-commerce shipments as a percent of total
    • E-purchases as a percent of total purchases
    • Information on e-business process use -- now & future
    • Information on integration with suppliers & customers
    • Will help assess data availability issues associated with establishment surveys
fy2000 other e business activities research
FY2000 Other E-Business ActivitiesResearch
  • Pembroke Consulting (Adam Fein)
    • Supply chain changes
    • Classification of manufacturers sales offices
    • Recommendations for 2002 Economic Census
  • IBM (IBM, Sampler, Varian)
    • Develop e-business impact framework
      • Identify changing business models
      • Implications for industries & measurement
    • Develop of e-business taxonomy
      • Supplemental classifications & new aggregations to better describe e-business activity
      • Develop e-business taxonomy
      • Recommendations for 2002 Economic Census
future e business plans
Future E-Business Plans
  • FY 2001 Budget -- E-Business Initiative ($8.5M)
  • Targeted e-commerce surveys
    • Monthly Wholesale Trade
    • electronic market places
    • supply chain survey
  • E-business process measurement
    • extend ASM supplement
  • Begin work on infrastructure measures
  • Implement e-business methods
    • expand Internet reporting
    • establish Customer Relationship Management Group for largest companies
partnership opportunities
Partnership Opportunities
  • Feedback on Definitions and Concepts
  • What e-commerce questions do you want answered?
  • Understand E-Business Processes
    • Suggestions re 1999 ASM Supplement
    • What processes should we focus on?
    • What questions do you want answered?
    • Existing studies on e-business processes?
    • Methodology suggestions
partnership opportunities continued
Partnership Opportunities(continued)
  • E-business infrastructure
    • What questions do you want answered?
    • Key technologies to target
    • What measures should we collect?
questions and answers
Questions and Answers

tmesenbo@census.gov