1. The Role of Information Systems in the Networked Business Original by Choton Basu

2. Background Presentation Outline  Role of Information Systems in Organizations  ERP Systems  e-Business – evolution and growth ► Bricks and Mortar ► Business Models ► Business Processes ► One on One Marketing  Discussion – Examples and Cases

3. TYPES OF INFORMATION SYSTEMS SALES & MANUFACTURING FINANCE ACCOUNTING HUMAN KIND OF SYSTEM STRATEGIC LEVEL SENIOR MANAGERS STRATEGIC LEVEL SENIOR MANAGERS MANAGEMENT LEVEL MIDDLE MANAGERS OPERATIONAL OPERATIONAL LEVEL MANAGERS KNOWLEDGE LEVEL KNOWLEDGE & DATA WORKERS RESOURCESMARKETING GROUPS SERVED

4. ERP Systems Discussion ► SAP AG – Switch to ERP Presentation ► http://www.seradex.com/ERP_FAQ.shtml http://www.seradex.com/ERP_FAQ.shtml ► http://www.eweek.com/article2/0,1759,1640234,0 0.asp http://www.eweek.com/article2/0,1759,1640234,0 0.asp http://www.eweek.com/article2/0,1759,1640234,0 0.asp ► www.mysap.com www.mysap.com ► http://www.service-architecture.com/web- services/articles/service- oriented_architecture_soa_definition.html http://www.service-architecture.com/web- services/articles/service- oriented_architecture_soa_definition.html http://www.service-architecture.com/web- services/articles/service- oriented_architecture_soa_definition.html ► www.cio.com www.cio.com

5. E-Business – Definition The buying and selling of information, products, and services via computer networks. A modern business methodology that addresses the needs of organizations, merchants, and consumers to cut costs while improving the quality of goods and services and increasing the speed of service delivery The sharing of business information, maintaining business relationships, and conducting business transactions by means of telecommunications networks.

6. Benefits of E-Business ► Global Reach – new markets ► Round the Clock Service (available 24 hours) ► Extended Distribution Channels ► Reduce Transaction Costs ► Information Sharing with Partners and Customers ► Personalization and 1 to 1 Marketing ► Real time transactions, tracking, pricing etc.

7. WHAT YOU CAN DO ON THE INTERNET ► COMMUNICATE & COLLABORATE ► ACCESS INFORMATION ► DISCUSSIONS ► OBTAIN INFORMATION ► ENTERTAINMENT ► BUSINESS TRANSACTIONS ► What else? Any Trends? Observations

8. Learning about Value Innovation ► Online Book Business ► Amazon.com, Barnes and Noble, Borders  Amazon forced entrenched market leader, B&N on the Internet  But the needs and demographics of the online customer is different ► Explore profile of online customers – are they different?

9. Traditional versus New Entrants ► Toy R Us vs eToys – who wins? ► Traditionalists – worried that selling to customers directly will wreak havoc on their finely tuned retail channels, pricing structures, and distribution channels ► New Entrants – challenge these assumptions

10. Challenging Traditional Value- Continuous Improvement in areas ► Speed of service ► Convenience ► Personalization ► Price ► Innovators: look for what new things customer value rather than focusing on differences among customers (market segment analyses are not as as reliable in current turbulent environment)

11. Major Trends Driving e-Business ► Customer – faster service, self-service, more choices, integrated solutions ► E-Service – integrated sales & service, seamless support, flexible fulfillment and delivery, increased process visibility ► Organizational – outsourcing, virtual distribution ► So on

12. Begins as a Channel, but extends To Total Transformation of Business e-Channel e-Market-Makers (B2B) Click &Brick e-Portal(B2C) Pure E Basic efficiency, effectiveness, and enhancements Selling goods/services Payment/settlement enhancements Traditional business transferred to the Net Rise of new intermediaries New forms of supply chain integration Consolidation/transformation of Intermediary industry e-Business Structural Patterns Customer expects “E” everywhere Fundamental redesign of business New structures to allow market making, trading, and virtual warehousing

13. CRM - Definition ► Integrated sales, marketing, and service strategy that depends on coordinated enterprise-wide actions  Track customer interactions (touch points)  Response management  Order configuration  Telemarketing, telesales, lead qualification and tracking, marketing campaigns etc. ► Note: It is a business strategy NOT a product

14. Goals of CRM Business Framework 1. Using existing relationships to grow revenue 2. Using integrated information for excellent service 3. Introducing consistent, replicable channel processes and procedures ► Three phases of CRM:   Acquiring new customers   Enhancing profitability of existing customers   Retaining profitable customers for life