Chapter Four
Chapter Four
Thinking E-Business
Design: More Than
Technology

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Introduction
Introduction
3 interlocking layers of e-business
e-Business Design
–
What business design can make your customers’ shopping
and service experiences unique and memorable?
–
What capabilities and competencies create rich customer
experiences?
–
In the quest for efficiency, how do you structure your
organization for efficiency?
e-Business App Infrastructure
–
Supports design by providing s/w functionality
–
Strong app infrastructure foundation necessary from which to
deploy e-business apps


Scalability
Scalability
Reliability
Reliability
Hosting
Hosting
Storage
Storage
Servers
Servers
Databases
Databases
Middleware
Middleware
Routers
Routers
Site Security
Site Security
Data Security
Data Security
Transaction Security
Transaction Security
E-Business
E-Business
Design
Design
Business Model Scope
Business Model Scope
Customer Selection
Customer Selection

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The Race to Create Novel e-Business
The Race to Create Novel e-Business
Designs
Designs
Getting it right the first time very important
–
right strategy accelerates market penetration and
minimizes cost
–
wrong strategy can cause years of repercussion
Truly great companies use state-of-the-art e-
commerce processes to transform themselves
–
redefine value for customers
–
build powerful e-business designs to outperform
competition
–
understand customer priorities

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The Race to Create Novel e-Business
The Race to Create Novel e-Business
Designs

Is your company successful at lowering operating costs while
making complex business apps adaptive and flexible to
change under the relentless pressure of time to market?

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Step 1: Self Diagnosis
Step 1: Self Diagnosis
Innovator or market leader: All answers yes
Early adopter or visionary: Most answers yes
–
Charles Schwab
Silent majority: Few answers yes
–
Pragmatists, Old-guard Conservatives, and Die-
hard Skeptics

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Step 2: Reverse the Value Chain
Step 2: Reverse the Value Chain
Greatest challenge in e-business: linking
emerging tech to new business design
Managers find creating new business designs

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Step 2: Reverse the Value Chain
Step 2: Reverse the Value Chain
In-house
Core
Competencies
Rigid
Infrastructure/
Processes
Products/
Services
Channels Customers
Traditional Business Design
Outsourced/
In-house Core
Competencies
Flexible
Infrastructure/
Processes
Products/
Services
Integrated
Channels
Customers
Needs
e-Business Design