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Defining the Extended Enterprise

Defining the Extended Enterprise. 1 st Doctoral Seminar Frank Goethals F.E.T.E.W. - K.U.Leuven SAP-Research Chair on ‘Extended Enterprise Infrastructures’. Agenda. First set of research questions Setting the stage. Fuzzy B2Bi. Two basic types of B2Bi. The complexity of setting up an EE.

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Defining the Extended Enterprise

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  1. Defining the Extended Enterprise 1st Doctoral Seminar Frank GoethalsF.E.T.E.W. - K.U.Leuven SAP-Research Chair on ‘Extended Enterprise Infrastructures’

  2. Agenda First set of research questions Setting the stage Fuzzy B2Bi Two basic types of B2Bi The complexity of setting up an EE Second set of research questions Conclusions Fuzzy 2 types Complexity 2nd R.Q. Concl.

  3. Towards the first set of research questions How to do B2Bi? • Web services standards Fuzzy 2 types Complexity 2nd R.Q. Concl.

  4. 4. WS binding 4. WS binding 3. Look up 3. Look up technical details technical details 2. Get service and 2. Get service and 1. Register service and 1. Register service and company information company information company company UDDI: Universal Description Discovery and Integration WS Provider WS Provider WS Requestor WS Requestor WS Broker WS Broker – – UDDI business Registry UDDI business Registry Fuzzy 2 types Complexity 2nd R.Q. Concl.

  5. System Integration 1st level: EAI B2Bi 2nd level: Extended Enterprise Integration 3th level: Dynamic B2Bi Towards the first set of research questions How to do B2Bi? • Web services standards • Semantic web Fuzzy 2 types Complexity 2nd R.Q. Concl.

  6. First research questions 1.What is Extended Enterprise integration? 2.In what does Extended Enterprise integration differ from other forms of integration? Fuzzy 2 types Complexity 2nd R.Q. Concl.

  7. High Low High Low High Low What is the Extended Enterprise? Firm Network form of organization Market The IT-enabled Extended Enterprise is a collection of legal entities (N ≥ 2) that pursue repeated, enduring exchange relations with one another, and of which parties are willing to make relationship-specific IT investments. Coordinational aspects Transaction cost theory Principal-agent theoryProperty-rights theory Motivational aspects Fuzzy 2 types Complexity 2nd R.Q. Concl.

  8. Systems integration Firm: EAI B2Bi A G G … D K K Finance Production F Development B A A J H H J C E I L I L What is Extended Enterprise integration? Market B2Bi EEi Long term relationship; coordination needed Short term relation; unilateral development Fuzzy 2 types Complexity 2nd R.Q. Concl.

  9. Life Constituting Companies Life Market B2Bi Web Service Life Extended Enterprise Duration Market B2B Transaction Life EE Web Service EEi vs. Market B2Bi WSes Characteristic EEi Market B2Bi Usually one user-organization.User needs to be identified before the development begins.Partner-specific investments.Counterparty is fixed. Usually many using organizations.User need not be identified before the development begins.No counterparty-specific inv.Counterparty is variable. User of the Web service Development coordination Creativity is possible. Coordination is needed. Standardized processes. No coordination needed. Measure of success Satisfaction and acceptance. Usage statistics. Life Fuzzy 2 types Complexity 2nd R.Q. Concl.

  10. Individual Enterprise Identification Concept Requirements Design Implementation time Operation Extended Enterprise Decommission Decom. The enterprise life cycle Id Co Re De Im Operational De Id Co Re De Im Operat. Fuzzy 2 types Complexity 2nd R.Q. Concl.

  11. Setting up an Extended Enterprise is complicated Extended Enterprise: EEi Individual Enterprise: EAI Strategic Level Tactical Level Operational Level Business side ICT side Fuzzy 2 types Complexity 2nd R.Q. Concl.

  12. Towards the second set of research questions How to do B2Bi? Coordination = The management of dependencies. RQ: How can classes of coordination mechanisms be operationalized to deal with specific types of dependencies in a specific integration context (the Extended Enterprise), given the fact that COTS software (providers) is (are) used. Fuzzy 2 types Complexity 2nd R.Q. Concl.

  13. Hypotheses H1: Existing vendors of business software can play an important role in Extended Enterprise integration as an intermediary person in the process of enabling the Extended Enterprise with ICT. H2: Business software providers can make their software more powerful by implementing standard Web services. Fuzzy 2 types Complexity 2nd R.Q. Concl.

  14. Conclusions There are two basic forms of B2Bi: EEi and Market B2Bi. The coordination of dependencies is an important issue in B2Bi. We will investigate the dependencies that show up and coordination mechanisms that can be used. Fuzzy 2 types Complexity 2nd R.Q. Concl.

  15. Questions or comments?

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