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  • Increasing sales on the web growth btoc and btob Economy slowing down - less disposable income - competition driving price and putting product on the web.

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  • The Foundation of eCommerce Success: Web Enabling Your Business Processes February 7, 2001 Presented by Gary D. Glick
  • Why Web enable business processes?
    • Economic and competitive factors
    • Increasingly, customers are moving towards a web based marketplace for information and purchases
    • Revenue growth based on eCommerce activities
    • CRM, Execution, and Supply Chain systems operating on different software and hardware
  • Web based Business Process - PHILOSOPHY
    • Companies must re-align to support e-business initiatives
    • Companies must pay attention to infrastructure
    • Integration with the back-office is the key to eBusiness success
    • Companies must focus on a customer centric approach
    • Companies must provide better support for customers and suppliers
  • Success
    • Must align business processes with corporate vision and selected technology
  • How to achieve success
      • Prioritize customer satisfaction
      • Define strategy to meet customer satisfaction objectives
      • Implement enterprise wide business activities necessary to meet strategy
      • Baseline existing business processes and personnel
  • Achieve success (Cont.)
      • Identify process and personnel gaps
      • Re-establish business process and KPI’s
      • Feedback
      • Recycle
  • Health Check
    • Will your eEnabled business meet your customer’s expectations?
        • Delivery
        • Product accuracy
  • Health Check
    • Are your business processes putting you in a reactionary mode versus proactive mode?
        • Lost opportunity costs
        • Expedite costs
  • Health Check
    • Do you have a clear understanding of the flow of information between your order administration, manufacturing, distribution, and delivery systems?
  • How did we get here?
    • Fundamental ways that businesses sell to consumers has evolved during the last 100 years.
        • Country store
        • Catalog sales
        • Internet
  • Country Store
    • Limited product offering
    • Consumer purchased what was on hand
    • Special orders were the exception
    • Direct sales to consumer - Knew what the consumer wanted
    • Store Keeper intimately familiar with inventory
    • Demand regional in nature
  • Catalog
    • Expanded product line
    • Multiple methods for customer to purchase
      • Phone, letter, fax, store
    • Customer would get product when in stock - unreliable delivery
    • Product life cycle driven by publication of annual or seasonal catalogs
    • Customer demand determined well in advance of catalog publication.
    • Expanded marketplace - regional catalogs
  • Web based sales
    • Mass customization
    • Immediate gratification
      • In stock
      • reliable delivery dates
    • Reduced cycle times
    • Frequent updates to product offering
    • Global marketplace
    • Direct customer relationship
  • CRM Initiative
    • Concerns
      • Time to market
      • In-house skills
      • Back office integration
    e-Commerce $50M investment $250M Return
  • ERP Integration Division Division Division Department Department Department Cost Center Even the best ERP implementations have complex interrelationships Business Processes Data Flows Performance Indices Profitability
  • ERP Integration e-Commerce Division Division Division Department Department Department Cost Center
    • The addition of e-Commerce initiatives strain these interrelationships
      • Disparate technologies
      • Complex interfaces
      • Need for accurate and timely information
    Data flow
  • ERP Integration Data flow e-Commerce Division Division Division Department Department Department Cost Center
  • ERP Integration e-Commerce Division Division Division Department Department Department Cost Center Alignment
  • ERP Integration e-Commerce Division Division Division Department Department Department Cost Center Supply chain adds another level of complexity
  • ERP Integration e-Commerce Division Division Division Department Department Department Cost Center Alignment
  • Typical SAP Internet Architectural diagram Internet Sales Platform Laptop or PDA Browser Customer Web Server Application Server Internet Sales Application Dynamic Content Management Order Management Personalization R/3 Internet Pricing & Configuration
  • How to achieve alignment
    • Enterprise wide business process model
      • Outward focused
        • Business to Consumer
        • Business to Business
      • Internal focus
      • Multidimensional
    • Collaborative sharing of processes
      • Marketplaces
      • Suppliers
      • customers
      • employees
  • What makes a good business model?
    • Enterprise-wide system definition
    • Tasks - Work step recording
      • Work instructions
      • Accountability
    • Role and organization elements
    • Graphical representation
      • Swim Lanes
      • Decomposition
    • Interactive feedback mechanism
    • NetProcess
      • Creation and Documentation of business processes via the web
      • Repository of enterprise wide business processes
      • Foundation for business process flow diagrams
      • Role and Organization assignments
      • Transaction based feedback mechanism
      • Integration of LiveModel and LiveCapture technologies
    • LiveSynchronizer
      • Technical analysis of system and master data
    • LiveInterface
      • SAP centric data management
    IntelliCorp Components
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  • Transaction Summary Analysis - VA01
  • Filtering VA01
  • VA01 Initial Analysis
  • SAP Configuration Tree
  • Results of IMG Comparison - Materials
  • Results of Master Data Comparison - Material
  • Web Based Business Process Baseline
    • Take a customer-centric and partner-centric approach
    • Capture actual transactions including those from R/3
    • Create a baseline business process model utilizing a central repository
    • Using transaction history and baselined model
      • Identify process bottlenecks
      • Identify training deficiencies
      • Basis for upgrade and new functions planning
      • Validation of testing completeness
    • In new eBusiness environment, determine which processes need to be
      • Retained
      • Refined
      • Replaced
  • Web based Business Process Fundamentals
    • Companies Must Align Technology with Corporate Vision
      • Utilize eBusiness channels
        • Retain most profitable customers
        • Reduce the cost of sales
        • Use relationship with customer as competitive advantage
      • Implement a successful end-to-end CRM and eBusiness solution
          • Reduce transformation costs
          • Accelerate deployment
  • Maintain a Customer Perspective
    • Segment customers in terms of the lifetime value of the relationship
    • Review processes from the customer perspective
    • Redesign processes to increase value to customers
    • Remove frustration points from customer
    • Consider multiple customer contact channels
    • Support continuity of customer dialogue across channels
    • Review the end-to-end process to ensure that back-office and front-office processes are aligned to support order fulfillment
  • IntelliCorp
    • Provides eSolutions for SAP customers
    • Co-developed the SCE & SPE with SAP
    • Leading IPC implementor
      • SFA & eCommerce
      • B2B, B2C & B2R
    • Most production deployments of the IPC
    • Leading provider of SAP lifecycle products:
      • LiveModel: scope, plan, test, train, upgrade
      • LiveInterface: best-of-breed R/3 integration
    • SAP owns over 10% of IntelliCorp
  • IntelliCorp Solution Offerings
    • S7 Solution Portfolio
        • eBusiness Transformation Solution
        • B2B Procurement Solution
        • Internet Sales Solution
        • SFA Implementation Solution
        • Sales Configuration Solution
        • Upgrade Solution
        • Consolidation Solution
  • Questions and Answers
    • The conference line will now be opened for audience questions…
    • To discuss a specific business area or project please call or email:
      • (888) MODEL-R/3
      • [email_address]
    • Thank you for joining our discussion today