E-Business Processes and Collaboration

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E-BUSINESS PROCESSESAND COLLABORATIONA PRESENTATION ON BY:-NEIL SAMUELMANEESH SHANKAR SOUMYA SEN NIHAAR SHAH1

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E-BUSINESS PROCESSES2

BUSINESS PROCESSES - AN INTRODUCTIONIs triggered by an external business event.

Is comprised of all the activities necessary to provide the appropriate business outcomes in response to the triggering business events.

Transforms inputs of all types into outputs, according to guidance (policies, standards, procedures, rules etc.) employing reusable resources of all types.

Contains activities which usually cross functions and often organizational units. It also has performance indicators for which measurable objectives can be set and actual performance evaluated.

Delivers a product or service to an external stakeholder or another internal process. It usually connects to other processes.

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BUSINESS PROCESS BREAKDOWN

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BUSINESS PROCESSCore business processes are linked directly to external customers and their values.

Core business processes meet marketplace demands on a day to day basis.

CORE business processes guide, control, plan, enable or provide resources to the CORE and other.

support business processes.

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EXAMPLE A RESTAURANT

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IMPORTANCEBusiness Differentiation- Competitive Advantage- The question is not whether to change, but how to change?Technology- Directly supports processes- Naturally cross functional and organizational boundariesFinancial Aspects- Reduced Costs- Increased Output- Consistent Quality

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PROCESS COMPONENTSIGOE = Input Guide Output Enabler.

Input: Something that is utilized consumed by an activity (process).

Guide: Something that determines how or when activity occurs but is not consumed.

Output: Something that is produced by or results from an activity/process.

Enabler: Something (person, facility, system, tools, equipment, asset or other resources) utilized to perform the activity.

An IGOE might be a physical object, rule, goal, principle or piece of data, a machine, a computer system or anything that is relevant to the process.8

PROCESS COMPONENTS (IGOEs)

Policies, Standards, Regulations, Laws, Knowledge, Triggering EventsInformation MaterialsResults Information Deliverables ProductsHuman Resources, Tools, Equipment, Systems, FacilitiesGuides

Process StepSub-Process Step

InputsOutputs9

UNDERSTANDING PROCESSESGather processed information.

Decompose scoped process into 3 to 7 sub-processes (activities).

Develop modeling standards.

Model the process.

Determine process Roles and Responsibilities.10

MEASURING PROCESSESReview Process and Project measures.

Develop/Clarify measurement criteria.

Identify appropriate measures.

Validating the processes.

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IDENTIFY APPROPRIATE MEASURES

Process and Project goals and objectives will determine required level of Measurement

Can be a mix of process model levelsShould at lease measure overall process performance.

Details are required for incremental change, 80/20 tells where to drill.Measurement Granularity (Number of Measured Sub Processes)

Significance of Process Change

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REVIEW KPI AND PROJECT OBJECTIVESKey Performance Indicator

Customer SatisfactionProject Objectives

Eliminate non-value-added activities Reduce number of coupons given by 50% Simplify the process Improve cross-functional communication Reduce # of exceptions Improve the reliability of delivery- Improve on-time from 50% to 90% Increase customer satisfaction-reduce the number of complaints by 50%13

DEVELOP/ CLARIFY MEASUREMENT CRITERIATimeliness - understand your business cycles should recognized and represent variations in operations.

Validity - must be a valid measure of process performance orders filled and orders processed vs. pulls per hour.

Completeness - right level of measures for project objectives who needs information and how much do they need.

Inclusiveness - all appropriate costs not just a few should include all related costs, including such things as overhead, space, supplies, etc.

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DEVELOP/ CLARIFY MEASUREMENT CRITERIACost Effectiveness - measuring is not FREE value of measurement vs. the cost of obtaining.

Comparability - before and after apples - to - apples

Balanced - include measurements from all three categories.

Perspective - various stakeholders internal external

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VALIDATING AND ANALYZING PROCESSESRun Workshops.

Observe the Process Flow.

Decompose and Prioritize Process Flows.

Identify Evaluation Criteria for Quick Wins.

Implement Quick Wins.

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E-BUSINESS COLLABORATIONS17

INTRODUCTIONDefinition Working jointly together in order to gain competitive advantage.

AdvantagesIncreased efficiency (Economies of scale).Augmented service portfolio (Economies of scope).Risk reduction.Cost reduction.Market expansion, access to new markets.Quality improvement (products, services).Reduced development and reaction time (Time-to-market).Accessing/developing new skills, capabilities, resources.Outsourcing.

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VARIOUS TERMSCollaborative Commerce

E-Collaboration

C-Commerce

Supply Chain Management/Supply Chain Integration

Build-to-order/Build-to-delivery concepts

Joint planning and design

ProSumer etc.

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DIFFERENT DEFINITIONSCollaborative Commerce, an approach to online business that goes far beyond transactions, has become a buzzword. Collaborative Commerce has been defined as the use of an business-to-business exchange to facilitate the flow of information rather than to process transactions.

Collaborative commerce will entail moving core business processes such as product development and customer acquisition onto the Web.

Collaborative Commerce: A means of leveraging new technologies to enable a set of complex cross-enterprise business processes allowing entire value chains to share decision-making, workflow, capabilities, and information with each other.

We define c-Commerce as: the online business-to-business interactions between two or more parties, focused on the exchange of knowledge and the mutual interconnection of business processes in order to optimize value creation.

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RELATIONSHIP MANAGEMENT

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ELEMENTS OF COLLABORATION

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DIRECTIONS OF COLLABORATIONVertical Collaboration (Workflow)Supply-side collaborationCustomer-side collaborationSupply Chain collaboration

Horizontal Collaboration (Workgroup)Group collaborationNetwork collaboration

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SUPPLY-SIDE COLLABORATIONJoint planning and design

Collaborative Planning, Forecasting and Replenishment (CPFR), e.g. Retail sectorJoint design, e.g. Automotive sector

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CUSTOMER-SIDE COLLABORATIONProSumer

Customization/Configuration services (Mobile Phones), e.g. Telecommunication sectorCustom Product Development (Prototyping), e.g. Semiconductor/ Chemical Industry

Supplier FirmSupplierSupplier Customer Customer Customer25

SUPPLY CHAIN COLLABORATIONSupply Chain Management/Supply Chain Integration

Process integration/automation (SCOR reference model).Process redesign (ioBPR, BNR).

Supplier FirmSupplierSupplier Customer Customer Customer26

GROUP COLLABORATIONSCollaboration of individuals

Virtual group meetings (Video conferencing)Analysis and decision supportVirtual product design (Wall, CAVE, Virtual environments), e.g. Automotive sectorInteraction (MUDs), e.g. Military sector

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NETWORK COLLABORATIONCollaboration of firms

Knowledge exchangeDeveloping/accessing capabilities, skills, resources

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E-COLLABORATIONDefinitionSupporting or facilitating inter-organizational collaborationthrough ICT.

MotivationImprove inter-organizational information and communication flow.Increase efficiency.Reduce cycle times.Reduce cost.(Decentralized) decision making.

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DEGREES OF IS INTEGRATIONMinimal integrationMajority of interactions involve sharing information through meetings, phone, fax, mail and email.

Moderate integrationMajority of interactions involve online viewing of information in databases and electronic exchanges of information, but parties have limited ability to change each others databases.

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DEGREES OF IS INTEGRATIONHigh integrationMajority of interactions involve automated transactions between each others databases and computer applications.

Very high integrationMajority of interactions involve tightly integrated or shared databases and applications. Processes are significantly redesigned, redundancies eliminated, and activities shifted to the appropriate partner.31

IS INTEGRATION

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THANK YOU!!!33