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Topic Two – E-Business Strategy Creation
Introduction
E-Business strategy involves more than just introduction of new technology:
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internal systems and procedures
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channel partners
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customers
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stakeholders
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for some, E-business is a considerable paradigm shift, while for others its
an incremental change.
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E-Business must align corporate strategy with technology platform
What is the right Planning Process?
Three approaches to strategic planning process:
Top-Down = vision is imposed from senior levels on those who are to
implement it.
Down-Up = frontline staff and those in contact with the customer in other ways
are asked to put together ideas, on approval by senior management these are
implemented
Continuous Planning with Feedback: iterative process
The Strategic Process
Knowledge Building Analysis
1.
Customers (who, preferences, satisfaction, needs)
2.
Externalities ( Environmental, Industry, Technology
3.
Supply Chain Partners
4.
Competitors
Capability Evaluation
1.
Identify Key Success Factors (speed, convergence, change, etc…)
2.
Competitive Advantage (key skills, resources)
3.
Market Advantage (customer value, competitive costs)
4.
Performance Outcomes (customer satisfaction, loyalty, profitability)
E-Business Design
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design must be flexible
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design must incorporate strategic thrust that has been established from
the analysis, knowledge management, and capability evaluation.
Risk Management
1.
Legal and regulatory issues = conflicting jurisdictions, taxes, IP
2.
Security = data confidentiality, privacy, fraud and industrial espionage
3.
Human Resource = changing nature of employee and outsourcing
4.
Supply Chain = changes to business process, weak supply links, sharing
of benefits.
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