e-business in european smes
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Page 1
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Presentazione progetto e-Volution
ing. Roberto CitarellaDip. di Ingegneria Meccanica
Università di Salerno
Page 2
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
e-business in European SMEs
Business reality does not display the importance of e-business yet, partly ignorance of strategic importance Widely satisfaction with e-business, but no euphoria Current focus on e-commerce activities Most significant impacts of e-business still concern internal business processes Real potentials are in the value chain Unused potentials of ICT and e-business as the key enablers for Extended Enterprises
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Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Spheres for e-business in Extended Enterprises and in e-volution
Business strategy
Business management system
Finances, controlling, administration process
Human resource management process
RTD and engineering process
Infrastructure process
Procurement Integrated Supply Chain Commerce
Bartsch, Th.: e-business in KMUs. IBM Unternehmensberatung Germany, 2001
e-business strategy Effective use of e-business opportunities and development of e-business strengths
Revenue
Productivity
Secure or increase revenue by increasing number of customers and by increasing customer satisfaction
Increase productivity by optimum use of organisation, processes and resources
Increase revenue
Reduce costs Reduce need for capital
business strategy
Page 4
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
e-volution’s methodology concept
e-business road e-business road mapping modelmapping modele-business road e-business road mapping modelmapping model
I. I. II. II. III. III. IV. IV. V. V.
Based on approved models, e-volution offers an e-business road mapping model that fulfils the requirements of a systematic and goal-oriented planning of e-business implementation.
Software toolsSoftware toolsSoftware toolsSoftware tools
The e-business road mapping model is the starting point for the use of phase specific methods and software tools.
Training packageTraining packageTraining packageTraining package
The e-volution training package is for transfer and teaching how to apply the e-business road mapping model, methods and tools.
Content ServiceContent ServiceContent ServiceContent Service
The e-volution Content Service disseminates the e-business road mapping model with its methods and tools but also know-how about e-business.
The purpose of the e-volution methodology concept is the successful implementation of e-business in Extended Enterprises.
Page 5
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Expected project results according to the DoW
Enhancement of competitiveness and sustainable growth of European Extended Enterprises by successful use of e-business as means for value chain integration
e-business strategy kit “e-Volution”methodology concept
Application, validation, exploitation by test cases
Exploitation Dissemination
Web pageSoftware tools
Training material National IRGs
Content Service
DoW – Description of Work
Page 6
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Principle Extended Enterprise scenarios under consideration
Horizontal Extended Enterprises
mar
ket
• Organisation focus: value chain• Supplier-customer-relationships• Each entity adds value for the final product• Information flow follows material flow• One entity as market interface• Example: German Test Case
2nd tier supplier 1st tier supplier final producer end user
Vertical Extended Enterprises
mar
ket
• Market focus: combination of competencies, services/products to innovative, extended service/product
• More than one entity potentially as market interface• Entities can operate in same market• Example: Italian test case
final producer end user
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Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Requirements for an e-business road mapping methodology
Methodical know-how, e.g.− Management methods
− Management instruments
Specialised know-how, e.g.− Business know-how: entity purpose and structure (goals,
organisation, processes, resources, utilities, goals)
− System know-how: Information and Communication Technologies
e-business life cycle
Road mapping is the process to develop a road map. Road mapping is an creative analysis of an organisation and its environment to prognosticate, visualise and plan the future. Road mapping is a systematic identification and analysis of expert know-how, the coordination of divergent meanings and expectations to predict and assess future developments in certain field.
Requirement analysis specifies the road mapping process content needs (tasks, methods, instruments)
e-volution aims to specify a generic e-business road mapping process that uses
Page 8
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
System architecture concept (Task 3.1)
Integration platform
OrganisationModule
MarketModule
Web
DB
SME 1
SME 2
SME 3
SME n
Extended Enterprise
DB
DB
Web-services
Web-services enabler
• Component based task execution
• Ontology for communication means between different domain knowledge (3rd party applications)
• Interconnecting database management system (DBMS)
Market module concept (Task 3.2) Organisation module concept (Task 3.3) Integration platform concept (Task 3.4) Rules, mechanisms and update routines (Task 2.4)
Page 9
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Horizontal Extended Enterprises – different levels of information gathering
2nd tier supplier(operative partner)
1st tier supplier(operative partner)
final producer(operative partner)
EE level(co-ordinator)
given by individual strategy
goal definitionof the EE
given by individual strategy
given by individual strategy
goal prioritisationgiven by
individual strategygiven by
individual strategygiven by
individual strategy
processprioritisation
individual analysis
individual analysis
individual analysis
alignment if value adding fits
individual analysis
individual analysis
individual analysis
elimination of big differences
definition on EE level
given by individual organ.
given by individual organ.
given by individual organ.
goal definition
goal prioritisation
process prioritisation
core competence analysis
eOrganisation definition
eBiz abilities
Page 10
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Vertical Extended Enterprises – different levels of information gathering
final producer end userfinal producer
(operative partner)EE level
(co-ordinator)
given by individual strategy
goal definitionof the EE
goal prioritisationgiven by
individual strategy
processprioritisation
individual analysis
adjustment on each other (in
SWOT)
individual analysis
elimination of big differences
definition on EE level
given by individual organ.
goal definition
goal prioritisation
process prioritisation
core competence analysis
eOrganisation definition
eBiz abilities
Result:• information gathering to identify strength and weaknesses
on EE level are almost the same on vertical and horizontal EE organisations
• There is a small difference in having a view on the single competencies of the partners within the EE:
• in vertical EEsWhat kind of new products / services are possible with the competencies of each partner?
• in horizontal EEsDo the core competencies of each partner in the single stage of the value chain fit to the needed task/added value for the EE?
Ergo:• individual competence analysis could be
important for the SWOT – no direct impact on OM on EE level
• core competence alignment in horizontal EEs is important for OM
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Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Phase II: CONCEPTIONDetailed e-business road mapping model phase
2.Conception
EE externalanalysis
EE internalanalysis
EE e-businessdefinition
Level 2: Phase steps
Level 1: Phase
Level 3: Tasks
Level 4: Activities
Opportunity andthreat (OT)definition
Trendsfinding
Trendsanalysis
Environment andsociety analysis
Law andpolitics analysis
Trendsfiltering
MarketSegmentation
Analysis
Market andeconomyanalysisCustomer
focussing
Attractivenessassessment of thedifferent P/M areas
EE externalanalysis
Specification ofexternal threats
and opportunities
Comparisonwith the
competitor
Marketanalysis
Trendsformatting
Trendsfocussing
Customerformatting
Competitorfocussing
Analysepurchasing
criteria/Customers
Customerfiltering
Customerfinding
Competitorfiltering
Competitorformatting
Science, researchand technology
analysis
Competitoranalysis
Assesproducts
and markets
E-business impactanalysis on the
Market andthe EE
Competitorfinding
Page 12
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Phase II: CONCEPTIONExternal analysis: Trend analysisE-sales trend filtering analysis
E-sales trend formatting analysis
Page 13
Road map for e-business implementation in Extended Enterprise
Project funded by the European Community under the ‘Competitive and Sustainable Growth’ Programme (1998-2002)
DISSEMINATION MEETING – 25 FEBRUARY, 2005 – SALERNO, ITALY
Phase II: CONCEPTIONExternal analysis: Product and market assessment / opportunity-threat-definition
Opportunity-Threat analysis table
Product/Market areas identification based on attractiveness and EE competitive position
submission to the integration module
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