E-Commerce Syllabus Overview
E-Commerce Syllabus Overview
Syllabus
Module I 8 hours
Module II 8 hours
Electronic payment systems: Digital token based, smart cards, credit cards, risks
in electronic payment systems.
Module IV 10 hours
Module V 10 hours
Text Book(s)
References:
Specifically, we define internal commerce as using methods and pertinent technologies for
supporting internal business processes between individuals, departments, and collaborating
organizations.
It is of two types
1. Private commerce
2. Public commerce
In a general sense, the term Information System (IS) refers to a system of people, data
records and activities that process the data and information in an organization, and it
includes the organization's manual and automated processes.
In a narrow sense, the term information system (or computer-based information system)
refers to the specific application software that is used to store data records in a computer
system and automates some of the information-processing activities of the organization.
Global suppliers
The information
banks superhighway
firewall
Accounting engineering
and finance
Corporate secure
internet Customer service
Marketing & advertising
production
Among these activities are library systems, content Management Systems, web
development, user interactions, data base development, programming, technical writing,
enterprise architecture, and critical system software design.
Most definitions have common qualities: a structural design of shared environments, methods of
organizing and labelling websites, intranets, and online communities, and ways of bringing the
principles of design and architecture to the digital landscape
CFM relates to coordinating and sneering the activities of different units for realizing the
super ordinate cross-functional goals and policy deployment.
It is concerned with building a better system for achieving for achieving such cross-
functional goals as innovation, quality, cost, and delivery.
The common focus in most of these modern management particles is the use of technology
for improving efficiency and eliminating wasteful tasks in business operations.
The words improvement and reengineering are often used interchangeably, creating
confusion.
Although the goal of these two are same I.e. productivity gains, cost savings, quality and
service improvements, cycle-time reduction.
When a company becomes a global marketer, it views the world as one market and creates
products that will only require weeks to fit into any regional marketplace. Marketing
decisions are made by consulting with marketers in all the countries that will be affected.
The goal is to sell the same thing the same way everywhere.
Product:
A global company is one that can create a single product and only have to tweak elements
for different markets. For example coca-cola uses two formulas (one with sugar, one with
corn syrup) for all markets.
Price:
Price will always vary from market to market. Price is affected by many variables: cost of
product development (produced locally or imported), cost of ingredients, cost of delivery
(transportation, tariffs, etc.), and much more.
Placement:
How the product is distributed is also a country-by-country decision influenced by how
the competition is being offered to the target market. Using Coca-Cola as an example
again, not all cultures use vending machines.
Promotion:
After product research, development and creation, promotion is generally the largest line
item in a global company’s marketing budget. At this stage of a company’s development,
integrated marketing is the goal.
The global corporation seeks to reduce costs, minimize redundancies in personnel and
work, maximize speed of implementation, and to speak with one voice.
Advantages:
Economies of scale in production and distribution
Disadvantages:
Differences in consumer needs, wants, and usage patterns for products
Differences in consumer response to marketing mix elements.
Marketing Research:
Finally, the findings, implications and recommendations are provided in a format that
allows the information to be used for management decision making and to be acted upon
directly.
First, marketing research is systematic. Thus systematic planning is required at all the
stages of the marketing research process.
The procedures followed at each stage are methodologically sound, well documented, and,
as much as possible, planned in advance.
Marketing research uses the scientific method in that data are collected and analyzed to
test prior notions or hypotheses.
-Decentralized reporting
-Flat hierarchy
Vertical Organization:
Second, departmental goals are typically set in a way that could cause friction among
departments.
A vertical market is a group of similar businesses and customers which engage in trade
based on specific and specialized needs.
An example of this sort of market is the market for point-of-sale terminals, which are often
designed specifically for similar customers and are not available for purchase to the
general public.
A vertical market is a market which meets the needs of a particular industry: for example, a
piece of equipment used only by semiconductor manufacturers. It is also known as a niche
market.
Vertical market software is software aimed at addressing the needs of any given business
within a discernible vertical market.
Horizontal organization:
A horizontal market is a market which meets a given need of a wide variety of industries,
rather than a specific one.
Examples
In technology, horizontal markets consist of customers that share a common need that
exists in many or all industries.
For example, customers that need to purchase computer security services or software exist
in such varied industries as finance, healthcare, government, etc.
Horizontal marketing participants often attempt to meet enough of the different needs
of vertical markets to gain a presence in the vertical market.
In recent years, virtual enterprises have gained much attention as more and more firms
from computer chip manufacturing to aircraft manufacturing.
Virtual organization is defined as being closely coupled upstream with its suppliers and
downstream with its customers.
The main goal of electronic brokerages organization is to increase the efficiency of the
internal marketplace.
Internal markets are beginning to appear not only in corporations but even in non business
institutions like the government.
They are created inside organizations, allowing firms, suppliers, government agencies to
meet the new challenges of the fast-changing environment.
Manufacturing
planning and
shipping scheduling
delivery brokerages
Logistics &
Production
SCM
brokerages
brokerages
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In last decade, a vision of speeding up or automating routine business tasks has come to be
known as “work-flow automation.
This vision has its root in the invention of the assembly line and the application of Taylor's
scientific management principles.
Typically, work-flows are decomposed into steps or tasks, which are task oriented.
Work-flows can be simple or complex.
In other words, companies must adopt an integrated process view of all the business
elements
Integrate across the business function offer identifying the information needs for each
process.
Work-Flow Coordination:
The key element of market-driven business is the coordination of tasks and other resources
throughout the company to create value for customer.
To this end, effective companies have developed horizontal structures around small
multifunctional teams that can move more quickly and easily than businesses that use the
traditional function-by-function, sequential approach.
Some of the simplest work-flow coordination tools are electronic forms routing
applications such as lotus notes.
As the number of parties in the work flow increases, good coordination becomes crucial.
Technology must be the “engine” for driving the ini tiatives to streamline and transform
business interactions.
Large organizations are realizing that they have a middle-management offer all the drawn
sizing and reorganization of fast few years.
Middleware is maturing:
By this users or third-party providers need to learn how to develop work-flow applications
within middleware environment.
The new tools for memory becoming advancing towards what can be called the “corporate
digital library”.
Technology is transforming consumer choices, which in turn transform the dynamics of the
marketplace and organizations themselves.
Customization is explained as :
Those systems combine the low unit costs of mass production processes with the flexibility
of individual customization
"Mass Customization" is the new frontier in business competition for both manufacturing
and service industries.
Implementation:
Many implementations of mass customization are operational today, such as software-
based product configurations which make it possible to add and/or change functionalities
of a core product or to build fully custom enclosures from scratch.
Companies which have succeeded with mass-customization business models tend to supply
purely electronic products.
However, these are not true "mass customizers" in the original sense, since they do not
offer an alternative to mass production of material goods.
Most of the written materials and thinking about customization has neglected technology.
It has been about management and design of work processes.
Technology has moved into products, the workplace, and the market with astonishing
speed and thoroughness.
Today the walls that separated functions in manufacturing and service industries alike are
beginning to fall like dominoes.
Customization need not be used only in the production of cars, planes, and other traditional
products.
It can also be used for textiles and clothing.
Supply Chain Management spans all movement and storage of raw materials, work-in-
process inventory, and finished goods from point-of-origin to point-of-consumption.
Supply Chain Management can also refer to supply chain management software which is
tools or modules used in executing supply chain transactions, managing supplier
relationships and controlling associated business processes.
Lambert and Cooper (2000) identified the following components which are:
-Work structure
-Organization structure
-Management methods
Reverse Supply Chain Reverse logistics is the process of planning, implementing and controlling
the efficient, effective inbound flow and storage of secondary goods and related information
opposite to the traditional supply chain direction for the purpose of recovering
It associates with each task or each person is a user agent or set of user agents.
Tasks of user agents are:
1. Generation of documents
2. Presentation of documents.
Organization decision making cannot be supported with a single tool, a set technology
tools are required for effective utilization of information.
Organization needs online –transactions for design, production, logistics and profitability.
OLTP involves the detailed, day-to-day procedures such as order entry & order
management.
OLAP refers to the activity involved in searching the wealth of data residing throughout an
enterprise for trends, opportunities.
This process will highlight the trouble spots and area of opportunities.
Presentation increases the fallowing tasks of information :
1. Accessing ability of information.
2. Collecting of information.
3. Queue of information.
4. Organizing of information.
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Many organizations manage their information through corporate library, if it provide the
architecture to model, map, integrate & information in digital documents is called digital
library.
Data warehouses:
It is a central repository for combining and storing vast amount of data from diff sources.
Logical cases
Customers & contracts Government
&stake-holders regulations
R&D
Sales & engineering
marketing Corporate
digital library Human
resources
Service and
supports
Manufacturing
Documentation, and
manuals, production
records Accounting
and finance
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Document Imaging
Document imaging emulates microfiche and microfilm.
An imaging system passes appear document through a scanner that renders it digital and
then stores the digital data as a bit-mapped image of document.
The problem with the imaging approach is that the output contains only images not text.
The following imaging standards are prominently used:
TIFF (tag image file format): format for interchange of bit-mapped images.
Structured Documents
A structured document provides clear description of document content.
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It is an ISO standard for interchange & multi formatting description of text document in
terms of logical structure.
It defines set of rules for content and format .It defines services for compound documents.
In this relationships between documents can be represented through hypermedia links i.e.
hyperlinks.
Standards of Hypermedia:
HyTime: it adds time based relationships like synchronization, it is extension of SGML.
Active documents
Active document represents what is known as document oriented computing.
Active document provide an interactive interface between documents.
How does one represent and manipulate the information processing activities occurred in
the digital library?
Document Constituencies:
The emerging document processing & management strategies must address these
constituencies.
Document-oriented processes
Components of Document-oriented processes are:
Document creation
Business modeling: defines the structure and processes of the business environment.
Query monitors
search and
retrieval
clients clients
Middleware for
data access
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Data warehouse is needed as enterprise wide to increase data in volume and complexity.
Logical data warehouse: It contains all the Meta data and business rules.
Data library: This is sub set of the enterprise wide data warehouse.
Decision support system (DSS): These are the applications but make use of data warehouse
Managing data
Packaging
Distributing
Garbage collection
Timely and accurate information become an integral part of the decision-making process.
User can manage and access large volumes of in one cohesive framework.
Marketing research.
The new age of information-based marketing differentiates interactive marketing into four areas:
Retailers vs manufacturers
Target and micromarketing
Retailers’ vs Manufacturers:
The role of Retailers and manufacturers are fast reversing in electronic commerce.
Electronic commerce, technology has put target and micromarketing within the research of
small business.
It gives information to the micro marketers not only about its own business but also
consumer’s information.
The key distinction between small and large business remains access to national and
international marketing for advertising purposes.
Today, exorbitant advertising cost represents the barrier to reaching the customer
effectively. Internet and other networks plays good role in advertising.
The major difference between the internet and other I-way advertising media are
ownership and membership fees.
There are very good reasons for embracing the inevitability of growing of commercial
advertising on the internet:
- Advertising conveys much needed information
Supporting content
Two different advertising paradigms are emerging in the on-line world, they are:
Broadcasting message provides a means for reaching a great number of people in short
period of time.
It mimics the traditional model, in which customer id exposed to the advertisement during
TV programming.
It basically uses direct mail, spot television, cable television.
Disadvantage of the direct mail include relatively high cost per contact.
Junk mail is the just poorly targeted direct mail.
Billboards
Catalog model is the least intrusive model but requires active search on the part of
customer.
Disadvantage of yellow page include lack of timeliness and little creative flexibility.
Marketing Research
Market research is extremely important for companies in terms of how they allocate their
advertising dollars in sales promotions, how they introduce new products, how they target
new markets.
Broadly marketing research is divided into three faces:
Data collection
Data organization
Data collection:
Data collect and collate data, making it available by data base producers.
Data collect and collate data, making it available by central hosts like CompuServe,
American online..etc.
Data organization:
Everyone is collecting data from electronic commerce, but very few are organizing it
effectively for developing a marketing strategy.
The key abilities in their environment are:
Leverage its established database into customized offerings by audience and markets.
Leverage its established database in terms of horizontal growth.
The ability to link database to analytic tools like econometric programs and forecasting
models is called data analysis.
Market research is undergoing major changes; the next generation of source database will
definitely include multimedia information.