1. © 2014 IBM Corporation
Smarter Social Programs Roundtable Series
E-marketplaces and the NDIS
Martin Duggan
www.ibm.com/curam-research-institute

2. © 2014 IBM Corporation2
E-Marketplaces - what are they and what are the used for?
An e-marketplace is an internet location owned by a
company or consortium which allows other companies or
individuals to get new suppliers or buyers for their products
as well as develop trading networks which makes
negotiating, settlement and delivery easier and more
efficient.
A site is termed as an e-marketplace when it caters to many
buyers and sellers by providing commerce related
functionalities like auctioning (forward or reverse),
catalogues, ordering, wanted advertisement, trading
exchange functionality and capabilities like RFQ, RFI or
RFP.
Source : Wikipedia
Applicable for social services??
Until NDIS came along and gave rise
to buyers and sellers

3. © 2014 IBM Corporation3
Examples of online market places examples…ebay, Amazon
TripAdvisor, Allhomes – that people are using today – and will expect……..

4. © 2014 IBM Corporation4

5. © 2014 IBM Corporation5

6. © 2014 IBM Corporation6

7. © 2014 IBM Corporation7
Some the key characteristics of these e-marketplaces
Relationship
based
Facilitates
Transaction
Efficiency
Feedback/
transparency
Open to all
Consumer
choice
Data driven
Provider reach
Light touch
regulation/
moderation
Personalised

8. © 2014 IBM Corporation8
An e-marketplace for NDIS – what could it look like?
Buyers Sellers
Agregator
Market
Driven
Unregulated
Buyers Sellers
Market
Managed
Regulated
Data
Services
Orders
Orders
Services

9. © 2014 IBM Corporation9
To explore this in an NDIS context, we commissioned some research
 “Evaluating the business model for Social
Program Management in the Australian NGO
Disability Market” by Jon Sidall
 Part of a structured analysis looking at new and
emerging markets and business models
 Completed as part of a company sponsored
MBA Programme at the University of Exeter, UK
 17 Interviews in Australia were completed
– Disability Service Providers & representative
bodies
– Commonwealth and State Government
Agencies
– Industry experts
Business Model requirements
1.Large and growing market of
individual buyers and sellers
2.Communicate relevant value
propositions to individual
customers
3.Manage relationships with
individual customers
4.Plan service delivery and
forecast service demand
5.Develop agile service delivery
models to manage fluctuating
demand
6.Manage the cash flow
implications

10. © 2014 IBM Corporation10
E-marketplace options
Federal
DSP
`
DSP
` ``
State
“Unregulated”
e.g. Ratemytradie,
Amazon etc
Industry Supported
e.g. UK Work Program
State
Regulated/Supported
e.g. US HCR, ON CPIN
Federally supported
e.g. Japan Age Care

11. © 2014 IBM Corporation11
Conclusion
Dynamic markets where buyers have a choice of services from a
range of providers offering value for money
E-marketplaces are the enabler for dynamic markets – they are
providing this now for a broad range of goods and services - why
not social services
Requires a commercially based delivery model
One that can deliver the data required

12. © 2014 IBM Corporation12