Chapter 4Online File W4.1 Security Challenges of Wireless Computing and Mobile Commerce

Online File W4.2 A Closer Look: Examples of Intranet Applications and Portals

Online File W4.3 A Closer Look: How to Use the Internet, Intranets, and Extranets to Gain CompetitiveAdvantage

Online File W4.4 Enterprise Wiki Vendors

Online File W4.5 Evolution of Mobile Network Standards

Online File W4.6 A Closer Look: Manual Methods of Group Work

Online File W4.7 A Closer Look: Fila’s Collaboration Software Reduces Time-to-Market

Online Minicase W4.1 Safeway Collaborates in Designing Stores

Online Minicase W4.2 Network Computing at National Semiconductor Corporation

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ONLINE FILE W4.1

SECURITY CHALLENGES OF WIRELESS COMPUTINGAND MOBILE COMMERCE

• Physical security. Because of their size, mobile devices are easily stolen.A stolen

device can provide the thief with valuable data and digital credentials that can be

used to compromise corporate networks and databases.

• Carrier barrier. Since mobile devices receive service from a public carrier,

transactions can be intercepted, diverted, or altered and used for other illegal

purposes.

• Transactional issues. Since transactions may get routed over a public network,

security must be maintained not only by the carriers, but all the way through to

the server. This means that mobile commerce (m-commerce) not only has its own

security issues, but also is affected by many of the security issues facing the wired

world.

• Post-transaction issues. Given the need to provide digital receipts or some

other type of proof for problem resolution after a transaction has occurred, the

overall m-commerce system must provide some method of proving that a partic-

ular transaction has occurred (nonrepudiation).

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ONLINE FILE W4.2

A Closer LookExamples of Intranet Applications and Portals

Intranet applications are highly cost effective to develop anddeploy because they do not require that software be installedon each user’s computer and can be accessed from differentsites and locations. They can streamline processes, reducepaper usage, and keep everyone informed and able to findanswers to their questions. With up to 90 percent of a typicalenterprise’s knowledge resource existing as unstructured datain documents, reports, e-mail, graphics, images, and audioand video files, intranets make them accessible and search-able. For a demo and screen shots of intranet applications,visit adenin.com/DynamicIntranet.asp.

Intranet applications and portals include:

• Document and content management: e.g., HR policies andforms, document templates, company documents that needto be version- and access-controlled

• Performance dashboards that provide real-time metrics andperformance indicators on departmental portals

• Expense report management, time sheets, vacation plan-ning, pay stubs

• Sales and lead tracking

• Status reports

• IT help desk

• Meeting planning

• Company directory

• Job vacancies and other announcements

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ONLINE FILE W4.3

A Closer LookHow to Use the Internet, Intranets, and Extranets to GainCompetitive Advantage

1. MMaannaaggeemmeenntt ssyysstteemmss.. Managers view daily progressreports from sales managers nationwide: invoke databasequeries through self-explanatory menus: electronically dis-tribute reports in HTML and/or publish from the originaldatabase: post project assignments for collaborative view-ing by workgroups; make team goals and managementcharts available online, enterprisewide; post meeting min-utes of various committees/teams for review by all inter-ested employees.

2. CCoollllaabboorraattiivvee wwoorrkkggrroouuppss aanndd iinntteerrddeeppaarrttmmeennttaall ccoommmmuu--nniiccaattiioonn.. Planners, designers, engineers, and marketingpeople interactively collaborate in designing or reengi-neering a product. Programmers access a list of toolkitcomponents for software design.

3. OOnnlliinnee rreeffeerreennccee.. Factory workers access instructions andmaintenance procedures. Sales representatives view thelatest product information, promotions, discounts, andrebates, or read more details on specific customers, suppli-ers, or company policies. Employees view benefit pro-grams or company policies.

4. IInntteerraaccttiivvee ccoommmmuunniiccaattiioonn.. Researchers automatically dis-tribute surveys to employees, customers, or suppliers, andautomatically gather the results into a database. Employ-ees sign up for events immediately after reading an onlineannouncement.

5. TTrraaiinniinngg.. A medical student studies a training lesson thatincludes a moving picture of a fetal ultrasound scan andthe sound of the child’s heartbeat. A new employee clicksthrough an online orientation seminar and completes anonline quiz.

6. CCuussttoommeerr ssuuppppoorrtt.. A help desk operator views a central-ized menu that provides direct, single-point, clickableonline access to all of the company’s printed documenta-tion. A customer service representative views detailed cus-tomer or supplier information while on the phone, retrievesinvoices or purchase orders from an imaging database,and views quick reference guides or written procedures forspecialized orders. A company presents a virtual tradeshow with booths and exhibits that exist only on the Webor an online version of a real trade show.

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ONLINE FILE W4.4

ENTERPRISE WIKI VENDORSConfluence, atlassian.com/software/confluence/default.jspCustomerVision, customervision.comeTouch, etouch.netJotSpot, jot.comSocialtext, socialtext.comWikiTask, wikitask.com

Also see M. Choate. “What Makes an Enterprise Wiki?” CMS Watch, April 28, 2006, cmswatch.com/Feature/145-Wikis-in-the-enterprise (accessed September 2006).

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ONLINE FILE W4.5

EVOLUTION OF MOBILE NETWORK STANDARDS

Generation Characteristics

1G First generation of wireless technology. It was an analog-based technology,

in effect from 1979 to 1992.

2G Second generation of digital wireless technology. In existence today,

2G is based on digital radio technology and mainly accommodates

text.

2.5G An interim technology based on GPRS (General Packet Radio

Services) and EDGE (Enhanced Data Rates for Global

Evaluation) that can accommodate limited graphics.

3G Third generation of digital wireless technology started in 2001 in

Japan, reached Europe in 2002, and the United States in 2003.

Sprint based its 3G networks on EV-DO. With average download

speeds of 400 Kbps to 700 Kbps, the network offers enough band-

width for customers to surf and download data from the Internet

anywhere they can get mobile phone reception. 3G cellular

technology brings wireless broadband data services to mobile

phones at speeds from 144 Kbps (roughly three times faster than a

56 K dial-up modem connection) to 2.4 Mbps (close to cable-

modem speed). 3G networks enable streaming music video, video

on-demand programming, and videoconferencing, making a cell

phone close to that of a broadband connection on a computer.

4G NTT-DoCoMo and Hewlett-Packard have announced that they are

jointly developing technologies for 4G wireless communications.

They named the technology platform MOTO-Media. Initially,

DoCoMo had planned to introduce 4G services in 2010, but moved

up the date to 2006. 4G is likely to enable the download of full

length songs, which may change the market response dramatically.

Additional broadband spectrum and development of new 4G tech-

nologies are becoming important as carriers add more bandwidth-

intensive applications such as mobile TV.

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ONLINE FILE W4.6

A Closer LookManual Methods of Group Work

The nominal group technique (NGT) is a group communica-tion method that includes a sequence of activities: (1) silentgeneration of ideas in writing. (2) round-robin listing of ideason a flipchart, (3) serial discussion of ideas, (4) silent listingand ranking of priorities, (5) discussion of priorities, and (6)silent reranking and rating of priorities. The rankingsobtained from the last activity are consolidated by the groupfacilitator.

The Delphi method is used with a group of experts whodo not meet face-to-face and do not know who the othergroup members are. The experts provide individually written

opinions on an issue, along with supporting arguments andassumptions. These opinions are then distributed as anony-mous feedback to all participants along with a second roundof questions. The questions and feedback continue in writingfor several rounds, becoming increasingly more specific, untilconsensus among the panel members is reached, or until theexperts no longer change their positions.

Both methods take time and organizational resourcesand require a trained facilitator or coordinator, and each elim-inates only a few dysfunctions of the group process. So, theirsuccess is limited.

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ONLINE FILE W4.7

A Closer LookFila’s Collaboration Software Reduces Time-to-Market

The sports-apparel company Fila uses PTC’s Web-basedproduct data management and collaboration software, calledWindchill, to reduce time-to-market and product costs whileimproving product quality and information exchange. Wind-chill requires only a Web browser to use. The product helpsmanufacturers streamline processes to optimize the manage-ment of their supply chains. The capabilities and benefits ofsuch a solution include:

• Connects with Arbortext Editor for XML authoring, andArbortext Publishing Engine for dynamic publishing

• Pure Internet architecture with embedded 3D visualizationof product information

• Interoperates with heterogeneous mechanical/electricalCAD solutions, and provides end-to-end process supportto other enterprise systems

• Supports distributed product development and enablesreal-time collaboration across firewalls

The solution enabled Fila to better manage and controlaccess to product data and images throughout its supplychain. Fila vice president of global product and general man-ager Kristin Kohler explained that “As the industry matures,consumer expectations increase in terms of brand and prod-uct, as well as the creation of a clear point of difference in themarketplace. Fila’s goal in repositioning the brand in this envi-ronment is to align various processes in the organization tosuccessfully deliver against this challenge.”

The software will help Fila gain greater transparency andcollaboration in its product development process, a higherlevel of product analysis, and a better focus on delivering theright Fila product to the consumer. Fila will roll out the collab-oration tool to its U.S., Italian, Hong Kong, and Guangdongoperations in both the footwear and apparel categories.

Sources: Compiled from PTC.com (2006) and Time-Compressionmagazine (2005).

PTC.com, “Fila selects PTC® Retail, Footwear and Apparel solution as

company-wide PLM standard,” January 9, 2006, ptc.com/appserver/wcms/standards/textsub.jsp?im_dbkey=34685&icg_dbkey=21(accessed July 2006).

Time-Compression magazine, “Fila Selects PTC Retail,” Nov/Dec 2005,

time-compression.com/x/guideArchiveArticle.html?id=8320(accessed July 2006).

References for Online File W4.7

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The Problem

Safeway PLC, a large food retailer in the U.K. (now a

subsidiary of Morrison Supermarkets), builds about 10

new stores every year and renovates over 100. Being in

stiff competition with other supermarkets, the company

must manage this construction carefully so it meets the

budget and time plans.This is not an easy job, given that

hundreds of the company’s employees must collaborate

with hundreds of vendors throughout the life-cycle of a

building, including design, construction, and ongoing

facility management.

In addition to stores, Safeway frequently builds

public structures, such as a school or bridge, which it

donates to a community in exchange for a parcel of land

for a store. The diversity of structures (there are four

types of stores plus community structures) adds to the

difficulties in managing the construction projects. Previ-

ously, communications were handled primarily through

the postal system and e-mail, an often slow and ineffi-

cient process, especially with stores scattered through-

out England, Scotland, Wales, and Northern Ireland.

The Solution

By using an online project collaboration service, called

Buzzsaw (from Autodesk.com), Safeway can store and

share project information in a secure location that can

be accessed any time and anywhere (using a Web-

based extranet). This online collaboration enhances

communication between internal departments and

outside partners (such as developers, planning consult-

ants, architects, structural and mechanical engineers,

builders, repair staff, and building enforcement

authorities). Key users can view drawings online,

mock up drawings, make changes, and post revisions

for other staff to view, all in real time (e.g., using

screen-sharing capability). Buzzsaw also automatically

tracks and logs what’s been changed. Even banks with

ATMs located in the stores can use Buzzsaw, since

their input is needed for designers.

The Results

The communication lag time plummeted from 2 to 3

weeks to 5 to 10 minutes. Another benefit is the

reduction in travel time and costs of architects and

structural and mechanical engineers, who can stay in

their offices collaborating electronically (10–15%

reduction). Printing costs of architectural drawings

have been reduced by 30 percent. Also, project turn-

around time is shorter. Store modifications have been

reduced from 6 months to as little as 3 months. Design

changes are now transmitted in 5 to 10 minutes

instead of 1 to 2 days. Also, because the design

process is rapid, designs now include cutting-edge fea-

tures; all supermarkets want the latest design. Buzz-

saw is helping Safeway to be first to market with inno-

vative new formats such as a design for Internet cafés

and for certain store departments.

Collaboration is taken to a better, more inte-

grated level. Users can monitor crucial information

and the software, letting them know when decisions

are required. Finally, Buzzsaw provides enhanced e-

mail that helps users to prioritize the large number of

messages.

Source: Compiled from Parks (2004) and Business Wire (2002).

ONLINE MINICASE W4.1

Safeway Collaborates in Designing Stores

Business Wire, “United Kingdom Supermarket Chain Implements New

‘Fresh to Go’ Initiative, Uses Autodesk Buzzsaw to Manage Massive

Store Refit and Extension Project,” November 18, 2002.

Parks, L., “Buzzsaw Keeps Safeway Store Design on the Cutting Edge,”

Stores, February 2004.

References for Online Minicase W4.1

ACC FIN MKTHRM IS POM SVC

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The Problem

The semiconductor (or chip) industry is one of the

most competitive global industries. The rivalry among

Japan, Korea, Taiwan, and the United States is fierce,

and prices are continuously being driven down. When

the economy is weak, demand for computers weak-

ens, resulting in price cuts and losses to the chip man-

ufacturers.

One way to survive is to customize products. Na-

tional Semiconductor Corporation (NSC) (national.

com) has over 10,000 products. However, this creates

a problem for customers: When they need a chip,

customers provide specifications to several chip man-

ufacturers, collect catalogs and samples from the

manufacturers, and then contact them for prices and

technical details. This takes a considerable amount of

time and effort.

Connectivity problems due to different hardware,

software, and communication standards had forced

NSC to resort to the telephone, fax, and regular mail

to communicate and collaborate with its customers.

The communication channels that were available

prior to the Internet were either regular telephone

lines or private communication lines, both of which

were expensive. Electronic data interchange (EDI)

was in use, but it was limited to transaction processing

and was carried on an expensive value-added net-

work (VAN), so many customers refused to use it.

Transmission of pictures, charts, and diagrams, a

major part of the NSC product catalog, was a very dif-

ficult task. NSC found it just too expensive and cum-

bersome to handle communication and collaboration

with customers over its old system.

The SolutionNSC introduced an innovative solution. The companyposts detailed descriptions of its 10,000 products on itscorporate portal* (national.com). The portal allows NSC’scustomers to access product information 24 hours aday. Browsing through the information, customers are

able to download the documents they need. The Website is also used by the company’s employees to searchout information quickly and accurately, and to receivemore direct feedback from customers.

NSC’s Web site visitors use a search engine that

helps them find a matching product, based on product

specifications in the online “Knowledge Base.” It also

uses custom software that can extract information

from existing databases and automatically format it in

the HTML programming language. (HTML helps in

preparing documents that appear on the Internet; see

Technology Guide 5.) Since 2002, National’s customers

also use a sophisticated open system customer inter-

face based on WebMethods’ integrated platform and

B2B standards introduced by RosettaNet.This enables

fast search by customers for parts and components.

NSC customers can also build personalized Web

sites (titled “My Bill of Materials”). These personal-

ized sites can host information related to customer

projects and their requirements, and any other per-

tinent information. Customers can select the infor-

mation to be made accessible to NSC. Through the

personalized Web sites, NSC delivers the latest product

information of interest to individual customers. This

application is part of the corporate extranet system.

The arrangement also allows NSC to watch the inven-

tory level of chips at customers’ facilities, and automat-

ically ship products to them when the inventories are

low. For example, the Internet links enabled Tektronix

Inc. (a major customer) to discontinue paper files of

past and current inventory parts. Product specifications

and availability are automatically updated and linked

to Tektronix’s system. This in turn has enabled NSC to

reengineer its distribution system.

The search process is supported by an electronicform that is easily filled in by customers, and by a menu

of hyperlinks to related products and services. The sys-

tem is used both by customers and by NSC engineers.

Its benefits are the following: reducing the sample-

ordering process by days or weeks; expediting the

design of new products; increasing the exposure of

NSC products by a factor of 10 (customers now down-

load 10 times as many documents as they did using just

e-mail); providing more information to customers; pro-

viding direct and expeditious feedback from cus-

tomers; increasing quality and productivity; improving

ONLINE MINICASE W4.2

Network Computing at National Semiconductor Corporation

*The Internet terms italicized in this case are defined later in

this chapter, or in Technology Guide 5, or in Chapter 4. Another,

generic source for Internet terms that you do not know is the Web

site whatis.techtarget.com.

W-76

the company’s relations with its business partners; and

increasing profitability and competitiveness.

The NSC Web site offers design assistants and sim-

ulators to guide customers in designing their products.

Using this facility, customers can input their system

specifications, find the devices that fit the specifications,

validate design by simulation, and order the required

parts. NSC also provides behavioral models and soft-

ware to support the design process. NSC’s design-assis-

tant tool kit was estimated to save National’s design

customers $50 million in the first year.

A visit to the site in May 2004 revealed many

new features. For example, the analog university pro-

vides many online seminars, and there are an online

technical journal, an online biweekly newsletter,

online research tools, a locator to find the nearest

distributors, a list of job openings, and much more.

Information is available in several languages.

The Results

The Internet solution enables NSC to use electroniccatalogs instead of paper ones, thus saving the com-

pany typesetting, printing, and mailing expenses.

The electronic catalogs also can be kept much more

current than paper catalogs. In addition, customers

can view catalogs and download detailed documents

in order to analyze products more closely. Large cus-

tomers get customized catalogs. The e-mail capabilities

allow rapid communication between NSC engineers

and customers. The site also offers self-configuration

that helps customers to configure the chips they

need. Added software and hardware, such as video-

conferencing and screen sharing, let NSC engineers

collaborate with customers electronically, allowing

them to work simultaneously on the same documents

from different locations.All this is done at a relatively

low cost.

NSC’s sales and profitability increased signifi-

cantly immediately after the introduction of the Web-

based applications and Internet solution. In 1998,

NSC earned the best extranet application award from

Internet Week and Network Computing. The system

also has enabled the company to minimize the dam-

age caused by the slowdown of sales of new technol-

ogy by 20 to 40 percent in 2002–2003.

Joachim, D., “NatSemi Site Lets Customers Choose,” InternetWeek,March 22, 1999, national.com (accessed September 2006).

National Semiconductor, “National Semiconductor Begins End-to-End

Supply Chain Management Using the Rosettanet Business Process

Standard,” National Semiconductor Press Release, October 10, 2000,

National.com/news/item/0,1735,560,00.html (accessed September

2006).

WebMethods, “WebMethods for RosettaNet: Allowing Customers to

Locate and Identify Information Easily and Quickly with Web-

Methods,” WebMethods National Semiconductor Success Story,”

2003, webmethods.com/PDF/National_Semi_ss. pdf#search=%22 Web-Methods. com%20National%20Semiconductor%20success% 20Story%22 (accessed September 2006).

References for Online Minicase W4.2