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European Commission European Commission DG Information Society DG Information Society PRO-VE ’04 PRO-VE ’04 An Outlook of Future Research Needs on Networked Organizations Joël Bacquet, Peter Fatelnig, Jesus Villasante, Arian Zwegers European Commission DG Information Society D5 – ICT for Business

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European Commission European Commission •• DG Information Society DG Information Society 11

PRO-VE ’04PRO-VE ’04

An Outlook of Future Research Needs on Networked Organizations

Joël Bacquet, Peter Fatelnig, Jesus Villasante, Arian Zwegers

European CommissionDG Information SocietyD5 – ICT for Business

European Commission European Commission •• DG Information Society DG Information Society 22

OutlineOutline

• Networked organisations research• Past research on intra-enterprise operations

• Past research on supply chains

• Past research on virtual enterprises

• Current research on networked organisations

• Future research on networked organisations

• Supporting European Research• Context

• Research in Networked Businesses

• What Research?

• What Projects?

• WP2005-06

• FP7

• Conclusions

European Commission European Commission •• DG Information Society DG Information Society 33

Intra-enterprise operationsIntra-enterprise operationspast researchpast research

= Controller

= Manufacturing Device

1: Centralized Model (Monolith control)

2: Hierarchical Model (Divide complex task in subtasks, Taylor organisation)

4: Heterarchy (e.g. Client-Server, Flat Control)

3: Modified Hierarchy

(Dilts et al., 1991)(Dilts et al., 1991)

European Commission European Commission •• DG Information Society DG Information Society 44

Intra-enterprise operationsIntra-enterprise operationspast researchpast research

(AMICE, 1993)(AMICE, 1993)

European Commission European Commission •• DG Information Society DG Information Society 55

Intra-enterprise operationsIntra-enterprise operationspast researchpast research

• Period• Mid 1980s – mid 1990s

• Concepts• CIM, Logistics, BPR, ERP

• Focus• Integration of the so-called ‘islands of automation’ • Initial vision of ‘factory without humans’• Later, improving business processes via ICT

• EC funded research projects • E.g. AMICE

• Lessons learnt• Different types of integration• Modelling framework and modelling languages• Recurring topics: enterprise evolution, model based execution,

integration and interoperability, centralisation vs. decentralisation

European Commission European Commission •• DG Information Society DG Information Society 66

Supply chainsSupply chainspast researchpast research

Suppliers Mfg. Plant Mfg. DC Retail DC Store Customers

European Commission European Commission •• DG Information Society DG Information Society 77

Supply chainsSupply chainspast researchpast research

(CO-OPERATE, 2000)(CO-OPERATE, 2000)

European Commission European Commission •• DG Information Society DG Information Society 88

Supply chainsSupply chainspast researchpast research

• Period• 1990s

• Concepts• Bilateral process reengineering, focus on core competences,

outsourcing

• Focus• Elimination of the bull-whip effect• Visibility in the supply chain

• EC funded research projects • E.g. Adrenalin, Chainfeed, Cooperate, Smartisan

• Lessons learnt• Planning vs. execution• Supply chain design vs. supply chain operation• Recurring topics: trust, centralisation vs. decentralisation,

integration and interoperability

European Commission European Commission •• DG Information Society DG Information Society 99

Virtual enterprisesVirtual enterprisespast researchpast research

ERP X

Trimp office buildings YTI Finland Pirma Betonila i-Concrete

Trimp office buildings YTI Finland Pirma Betonila i-Concrete

ERP Y ERP YSystem Z

1. Modeling the value network1

1

2. Networked project management2

2

3. Progress reporting & tracking3

3

4. Integration with back-end systems4

4

50%

Reporting & Tracking

http://globemen.vtt.fihttp://globemen.vtt.fi

European Commission European Commission •• DG Information Society DG Information Society 1010

Network

CustomerA

Competencies

VirtualEnterprise

A

Suppliers

VirtualEnterprise

B

CustomerB

Suppliers

Virtual enterprisesVirtual enterprisespast researchpast research

http://globemen.vtt.fihttp://globemen.vtt.fi

European Commission European Commission •• DG Information Society DG Information Society 1111

Virtual enterprisesVirtual enterprisespast researchpast research

• Period• End 1990s - 2003

• Concepts• From stable, relatively long-term alliances to more temporary cooperations

• Core competences, outsourcing

• Focus• Inter-enterprise project management

• Collaboration services

• Mediators

• EC funded research projects • E.g. Whales, Globemen, Business Architect

• Lessons learnt• Virtual enterprises and enterprise networks

• Evolution of virtual enterprise throughout life cycle

• Recurring topics: trust, integration and interoperability

European Commission European Commission •• DG Information Society DG Information Society 1212

Virtual enterprisesVirtual enterprisespast researchpast research

• Period• End 1990s - 2003

• Concepts• From stable, relatively long-term alliances to more temporary cooperations

• Core competences, outsourcing

• Focus• Inter-enterprise project management

• Collaboration services

• Mediators

• EC funded research projects • E.g. Whales, Globemen, Business Architect

• Lessons learnt• Virtual enterprises and enterprise networks

• Evolution of virtual enterprise throughout life cycle

• Recurring topics: trust, integration and interoperability

Logistics in the Virtual Enterprise

Development of innovative IT-based tools to model the interaction between companies forming an extended or virtual enterprise based on a distributed concurrent engineering and co-design approach, and covering

all phases of the product life cycle.

(excerpt former IST work programme)

European Commission European Commission •• DG Information Society DG Information Society 1313

Networked organisationsNetworked organisationscurrent researchcurrent research

+

http://ecolead.vtt.fihttp://ecolead.vtt.fi

European Commission European Commission •• DG Information Society DG Information Society 1414

Networked organisationsNetworked organisationscurrent researchcurrent research

• Period• 2003 - 2007

• Concepts• Interplay of virtual enterprises, breeding environment, and professional

virtual communities

• Focus• Theoretical foundation of the field• Deployability of networked organisation concepts• Enterprise interoperability• Security

• EC funded research projects • E.g. ECOLEAD, DBE, …

• Lessons learnt• ??• ??• Recurring topics: ??

European Commission European Commission •• DG Information Society DG Information Society 1515

Networked organisationsNetworked organisationsfuture research??future research??

• Period• ??

• Concepts??• Innovation, new product design• From cost to innovation• From operational excellence to product leadership• From traditional form, structure, practices to more robustness

• Focus??• ‘Tools’ for participation in multiple enterprise networks• Performance measurement of networked organisations• Management of complexity in enterprise networks• Enhanced (product) innovation in inter-organisational networks

• EC funded research projects • ??

• Lessons learnt• ??• ??• Recurring topics: ??

European Commission European Commission •• DG Information Society DG Information Society 1616

Research in networked businessesResearch in networked businesses

1990s

End 1990s - 2003

2003 – 2007

??Dot Com thinking

(Gartner, 2001)(Gartner, 2001)

Mid 1980s – mid 1990s

European Commission European Commission •• DG Information Society DG Information Society 1717

OutlineOutline

• Networked organisations research• Past research on intra-enterprise operations

• Past research on supply chains

• Past research on virtual enterprises

• Current research on networked organisations

• Future research on networked organisations

• Supporting European Research• Context

• Research in Networked Businesses

• What Research?

• What Projects?

• WP2005-06

• FP7• Conclusions

European Commission European Commission •• DG Information Society DG Information Society 1818

European Research contextEuropean Research context

1.80

2.00

2.20

2.40

2.60

2.80

3.00

3.20

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

Japan

US

EU-15

R&D expenditure as % of GDP

Source: Eurostat

0

1

2

3

4

5

6

7

8

9

EU US Japan

Number of researchers inbusiness enterprises per1000 active persons (1997)

Number of researchers per1000 active persons (1997)

European Commission European Commission •• DG Information Society DG Information Society 1919

European Research contextEuropean Research context

Total number of researchers per 1000 employed persons (end 1990s)

Source: DG Research

10.62

8.44

6.46

6.14

6.11

6.07

5.54

5.28

5.12

5.05

4.86

3.77

3.33

3.27

2.57

0 2 4 6 8 10 12

Finland

Sweden

Denmark

France

Belgium

Germany

United Kingdom

EU

Ireland

The Netherlands

Austria

Spain

Italy

Portugal

Greece

Luxemburg

European Commission European Commission •• DG Information Society DG Information Society 2020

European Research contextEuropean Research context

16.51

12.68

7.86

7.61

6.79

6.29

6.21

4.71

4.66

4.59

3.96

2.89

2.66

2.57

1.22

1.00

0.34

0 5 10 15 20

Ireland

Finland

Austria

Portugal

Spain

Greece

US

The Netherlands

Sweden

Belgium

Denmark

EU

United Kingdom

Japan

France

Germany

Italy

Luxemburg

Average annual growth (%) of total number of researchers (end 1990s).

Source: DG Research

European Commission European Commission •• DG Information Society DG Information Society 2121

Lisbon Strategy

“EU: Largestknowledge-basedeconomy by 2010”

The European PerspectiveThe European Perspective

EnlargementEnlargement

Candidate countries

were full partners in FP5

ERA: EuropeanResearch Area

ERA: EuropeanResearch Area

FP5, FP6, Eureka, COST, national RTD programmes… towards a

‘single market for research’

Broadband access, e-business, e-government,

security, skills, e-health, ...

Other policiesOther policiesSingle market, single currency, security of

Europeans, sustainable development, ...

European Commission European Commission •• DG Information Society DG Information Society 2222

EUREKA

Europe’s R&D landscapeEurope’s R&D landscapeThe need for ERAThe need for ERA

enterprises, universities, research

labs, ...

FrameworkProgrammes:4 % of total civil RTDexpenditure in EU

COSTCERN,

ESA, ESO, ...

ERA aims to aggregatefragmented R&D effort in Europe

ERA aims to aggregatefragmented R&D effort in Europe

European Commission European Commission •• DG Information Society DG Information Society 2323

European Research contextEuropean Research context Building the European Research Area (ERA)Building the European Research Area (ERA)

• A "single market" for research• an area for the free movement of knowledge, researchers &

technology

• aim is to increase co-operation, stimulate competition & achieve better allocation of resources

• A restructuring of the European research fabric• improved co-ordination of national research activities & policies

• account for most of the research carried out & financed in Europe

• A European research policy • addresses not only funding of research activities (e.g. FP6)

• also takes into account all relevant aspects of other EU & national policies

http://europa.eu.int/comm/research/era/http://europa.eu.int/comm/research/era/

European Commission European Commission •• DG Information Society DG Information Society 2424

Challenges stimulate collaboration

manage complexity

innovate together

Research in Networked BusinessesResearch in Networked BusinessesINFSO unit D5INFSO unit D5

To facilitate the emergence of future business forms designed to exploit the opportunities and manage the challenges posed by the socio-economic and technical revolutions of the 21st century.

Future business, more competitive, innovative, agile and value creating, will require new technologies, applications and services to enable them to work as networked knowledge-based businesses.

Orientation technology driven long-term industry-driven structuring fragmented area platforms for future

eBusiness

European Commission European Commission •• DG Information Society DG Information Society 2525

What Research? What Research? Networked Businesses ObjectivesNetworked Businesses Objectives

develop ICTs supporting organisational networking, process integration, and sharing of resources that enable networked organisations (private and public) to build faster and more effective partnerships and alliances

re-engineer and integrate business processes, share efficiently knowledge and experiences and develop value added products and services for networked organisations

European Commission European Commission •• DG Information Society DG Information Society 2626

What Research? What Research? Research in Networked businesses (FP6 Call 1)Research in Networked businesses (FP6 Call 1)

Interoperability• Software components

• New reference architectures

• Modelling techniques

• Semantics

Business Ecosystems• Self-evolving systems

• Collaborative environments

• Local network business ecosystem

• Socio-economic research

Collaborative Networks• Framework, models

• Network theory

• Complex adaptive/self organising

• Managing distributed operations

Knowledge management• Knowledge sharing, brokering

• Knowledge modelling

• Knowledge leveraging creativity and productivity

European Commission European Commission •• DG Information Society DG Information Society 2727

What Projects? What Projects? Networked businesses - FP6 projects (August 2004)Networked businesses - FP6 projects (August 2004)

ATHENAIN

TE

RO

P

VE-FORUM

DBE

TrustCoM

ILIPT

CrossWork

MyTreasury

No-Rest

SATINE

Spider-Win

XBRL

CodesNet

V-CESECOLEAD

VERITAS

Legal-ISTMosquitoMyCarEvent

European Commission European Commission •• DG Information Society DG Information Society 2828

ATHENAATHENA

• FP6 Integrated Project

• 20 Partners from 8 countries

• 25 M€ Cost / 14.4 M€ Grant

• 2004 - 2007

• Vision: “By 2010, enterprises will be able to seamlessly interoperate with others”

• Aims to establish, become and be recognised in research and industry as a permanent world-class European Hub acting as a reference point in interoperability

• Enterprise Interoperability Centre (EIC) will bring together relevant stakeholders, elicit user requirements, organise workshops, provide training on interoperability aspects and technology, demonstrate prototypes, etc.

Key Themes:

• Enterprise Modelling

• Cross-organisational business processes

• Semantic mediation

• Interoperability Framework

• Service-oriented architecture

• Model-driven architecture

Contact: Rainer Ruggaber – SAP - [email protected]

http://www.athena-ip.orghttp://www.athena-ip.org

Advanced Technologies for Advanced Technologies for Interoperability of Heterogeneous Interoperability of Heterogeneous Enterprise Networks and their Enterprise Networks and their ApplicationsApplications

European Commission European Commission •• DG Information Society DG Information Society 2929

DBEDBE

• FP6 Integrated Project

• 20 Partners from 9 countries

• 14.2 M€ Cost / 10.5 M€ Grant

• 2003 - 2006

Digital Business EcosystemDigital Business Ecosystem

Paradigms and open-source component-based infrastructure

enabling the creation of networkedlocal digital ecosystems forSMEs competitiveness and

local development

A digital ecosystem infrastructure adopting mechanisms

from biological theories of self-organisation and evolution addressing networked software

solutions & business models

http://www.digital-ecosystem.orghttp://www.digital-ecosystem.org

Contact: Andrea Nicolai – T6 - [email protected]

Regional policiesSocio-economic dynamics

Value systemsOrganizational forms

Open Source/Open StandardsBusiness modeling

Requirements gathering, User profilingRegional CatalystsTraining & adoption

Regulatory frameworkKnowledge base, RecommenderBML, SDL, Fitness LandscapeDynamic service composition

DBE UML profileP2P networks, Architecture

Test automation, AccountingEvolution

Self-organisationOrganisation & Networks

Complex systems dynamicsLanguage & DNA

Socio-economic context

Business

Computing

Science

European Commission European Commission •• DG Information Society DG Information Society 3030

ECOLEADECOLEAD

• FP6 Integrated Project

• 20 Partners from 14 countries

• 15.0 M€ Cost / 9.7 M€ Grant

• 2004 - 2007

European Collaborative Networked European Collaborative Networked Organisations Leadership InitiativeOrganisations Leadership Initiative

VO

Bre

edin

g E

nvi

ron

men

t

Pro

fes

sio

na

l V

irtu

al

Co

mm

un

itie

s

Dyn

am

ic

VO

s

“Horizontal” ICT infrastructure

Theoretical foundation

Making collaborative networks a new scientific discipline

A holistic approach

ECOLEAD aims at creating the necessary strong foundations

and mechanisms for establishingan advanced collaborative

and network-based industry society in Europe.

http://ecolead.vtt.fihttp://ecolead.vtt.fi

Contact: Martin Ollus – VTT - [email protected]

European Commission European Commission •• DG Information Society DG Information Society 3131

ILIPTILIPT

• FP6 Integrated Project

• 30 Partners from 12 countries

• 16.2 M€ Cost / 9.0 M€ Grant

• 2004 - 2008

Intelligent Logistics for Innovative Intelligent Logistics for Innovative Product TechnologiesProduct Technologies

From the "stock push" and "mass production" thinking of

the last century, to a stockless "build-to-order" (BTO) production strategy

http://www.ilipt.orghttp://www.ilipt.org

Contact: René Esser – ThyssenKrupp - [email protected]

Key Themes:

• The Modular Car (ModCar)

• Flexible Supply Network (FlexNet)

• Integration of complex product processes (IntePro)

European Commission European Commission •• DG Information Society DG Information Society 3232

INTEROPINTEROP

• Emergence of a lasting European community on Enterprise interoperability with both research and industrial audience

• Aims to create the conditions of competitive Technology Transfer by providing upstream conceptualisation of business-driven interoperability

• Knowledge integration in the key areas

• Multidisciplinary approach to business-based Interoperability (IDEAS Roadmap)

Key Themes:

• Software Architecture

• Enterprise Modelling

• Ontologies

Spreading of Excellence 37% Joint Research 21%

Management 7% Integrating activities 35%

Interoperability Research for Interoperability Research for Networked Enterprises ApplicationsNetworked Enterprises Applicationsand Softwareand Software

• FP6 Network of Excellence

• 50 Partners from 15 countries

• 16 M€ Cost / 6.5 M€ Grant

• 2003 - 2006

Contact: Jean-Paul Bourrières – Univ. Bordeaux - [email protected]

http://www.interop-noe.orghttp://www.interop-noe.org

European Commission European Commission •• DG Information Society DG Information Society 3333

MyCarEventMyCarEvent

• FP6 Integrated Project

• 21 Partners from 9 countries

• 16.0 M€ Cost / 10.0 M€ Grant

• 2004 - 2007

Mobility and Collaborative Work inMobility and Collaborative Work inEuropean Vehicle Emergency NetworksEuropean Vehicle Emergency Networks

http://www.mycarevent.net/http://www.mycarevent.net/

Contact: Heiko Dirlenbach – FIR - [email protected]

Stakeholders:

• Motorists

• Road assistance services

• Workshop Mechanics

• Automotive OEMs

• Mobile network operators

• Content providers

• Aims to enrich the different automobile repair service providers with access to restricted knowledge and tools in a mobile working environment

European Commission European Commission •• DG Information Society DG Information Society 3434

TrustCoMTrustCoM

• FP6 Integrated Project

• 16 Partners from 8 countries

• 10.9 M€ Cost / 6.3 M€ Grant

• 2004 - 2007

A Trust and Contract Management A Trust and Contract Management framework enabling secure framework enabling secure collaborative business processing in collaborative business processing in on-demand created, self-managed, on-demand created, self-managed, scalable, and highly dynamic Virtual scalable, and highly dynamic Virtual OrganisationsOrganisations

http://www.eu-trustcom.comhttp://www.eu-trustcom.com

Contact: Santi Ristol – SEMA - [email protected]

TechnologyTechnology

Financial & EconomicFinancial & Economic

Social &Social &LegalLegal

Security Security ManagementManagement

ContractContractManagementManagement

SecureSecure Collaborative BusinessCollaborative Business

TrustTrustManagementManagement

Communications &Communications &DistributionDistribution

ComputationalComputationalI nfrastructureI nfrastructure

ServicesServices

Business ProcessesBusiness Processes

Enterprise ModelsEnterprise Models

Enterprise Level

Service Level

Computational Level

TrustCoM framework architecture

Aims at creating a reference framework for trust, security and contract management in VOs

European Commission European Commission •• DG Information Society DG Information Society 3535

WP2005-06WP2005-06

• Lessons learned from the first calls (WP2003-04)• Oversubscription demands focussing and precision

• SMEs

• Call1: ~16%; Call2: 17%; SO Networked Business: 22%

• NoEs : 7%; IPs: ~15%; STREPs: ~24%

• New member states

• Call1: <3%; Call 2: ~4 %; SO Networked Business: 2.0% NMS, 2.5% INCO

• Dedicated SO: “Further integration of the research effort in an enlarged Union”

• Call for STREPs in eGovernment, eBusiness, eLearning and eHealth

• International cooperation

• Main objectives WP2005-06• Fully meet the objectives of FP6

• Prepare the start of FP7

• Facilitate integration of new Member States

• Focusing of topics and research tasks to improve impact

European Commission European Commission •• DG Information Society DG Information Society 3636

WP2005-06WP2005-06ICT for Networked BusinessesICT for Networked Businesses

• Digital business ecosystems for SMEs• Open source

• SMEs

• Enabling cooperation in production of software services

• NoEs, STREPs

• Extended products and services• AmI technologies vs. new products and services

• Decentralised architectures allowing new approaches to business processes

• IPs, STREPs

• Horizontal actions• Legal IPR/open source challenges

• Tools for assessment of potential benefits of collaborative networks

• SSAs, CAs

European Commission European Commission •• DG Information Society DG Information Society 3737

WP2005-06WP2005-06Collaborative Working EnvironmentsCollaborative Working Environments

• Design and development of innovative concepts, methods and core services for distributed collaboration at work• Core collaboration services• Flexible management of services • IPs, STREPs, CAs

• Research on tools for collaborative work in rich virtualised environments• Focus is on support of augmented group presence, visualisation,

group management, sharing support, seamless interaction, service composition, and semantic modelling of complex groups of workers

• IPs, STREPs, CAs

• Development of innovative validating applications for collaborative work in content-rich, mobile and fixed collaborative environments• Applications in “ICT rich” domains• IPs

European Commission European Commission •• DG Information Society DG Information Society 3838

Framework Programme 7Framework Programme 7New elements??New elements??

• Individual Research Teams• Support to Basic Research through Individual Grants

• Stimulating competition

• Excellence as a major criterion for selection

• No “juste retour” !

• Light administration needed

• Outsourcing to an executive agency, potentially ERC?

• Private-public partnerships• Implemented through “European Technology Platforms (ETPs)”

• bring together the main stakeholders in a research and development field

• develop a strategic research agenda and a roadmap to achieve these goals

• stakeholders include industry, academia and the investors in research (public or private)

European Commission European Commission •• DG Information Society DG Information Society 3939

ConclusionsConclusions

• History of EU research in Networked Businesses• Building on relatively fragmented, unstructured past research efforts• Influences by technology and socio-economic factors• Some recurring topics

• Centralisation vs. decentralisation• Integration and interoperability

• Supporting European research in Networked Businesses• Some currently ongoing major initiatives

• Expectation: excellence in research results• Expectation: recognised as world-class European hub• Expectation: coherent group of initiatives

• Future European research• Short term: WP2005-06• Longer term: FP7

• Leadership needed• Partnership building needed

European Commission European Commission •• DG Information Society DG Information Society 4040

For More Information ...For More Information ...

FP6/ERA:

http://www.cordis.lu/era/home.html

http://www.cordis.lu/ist/

http://europa.eu.int/comm/research/fp6/index_en.html

IST/eEurope:

http://europa.eu.int/information_society/eeurope

http://www.cordis.lu/ist

ICT for Business new instruments:

http://www.athena-ip.org

http://www.digital-ecosystem.orghttp://ecolead.vtt.fihttp://www.ilipt.orghttp://www.interop-noe.orghttp://www.mycarevent.net/http://www.eu-trustcom.com

E-mail: [email protected]

FP6/ERA:

http://www.cordis.lu/era/home.html

http://www.cordis.lu/ist/

http://europa.eu.int/comm/research/fp6/index_en.html

IST/eEurope:

http://europa.eu.int/information_society/eeurope

http://www.cordis.lu/ist

ICT for Business new instruments:

http://www.athena-ip.org

http://www.digital-ecosystem.orghttp://ecolead.vtt.fihttp://www.ilipt.orghttp://www.interop-noe.orghttp://www.mycarevent.net/http://www.eu-trustcom.com

E-mail: [email protected]