This document discusses how on-demand solutions are revolutionizing business-to-business (B2B) collaboration. It notes that while B2B integration has been used for decades, traditional point-to-point electronic data interchange (EDI) systems were costly to establish and maintain. Newer cloud-based on-demand solutions simplify B2B integration by eliminating the need for separate interfaces with each partner. Such solutions standardize interfaces and processes across a partner network. The document highlights SAP Information Interchange OnDemand as an example of an on-demand solution that uses a centralized content repository and canonical messaging to streamline B2B transactions and collaboration.
THE NEXT INDUSTRIAL REVOLUTION. HOW E-COMMERCE IS TRANSFORMING B2BCEO Magazyn Polska
Forrester Research estimates that cross-border B2B e-com-
merce transactions will reach US $1.2 trillion by 2021.1
With the advent of the internet and digitalization, the
opportunity for companies to boost revenues by tapping
global markets and to drive down costs through greater
efficiency has also opened up new prospects for earnings
growth. This huge potential is forcing B2B companies to
adapt their supply chains to be more like a business-to-
consumer (B2C) channel i.e. flexible, agile, scalable, quick-
er, mobile and global. More significantly, digitally-aware
B2B customers are expecting ‘Amazon-like’ experiences
including seamless commercial transactions when buy-
ing, receiving and returning products.2 Businesses have
shifted their purchasing research and transaction activi-
ties towards online3 especially when customer expecta-
tions for a full spectrum of services and support that are
hosted online have continued to increase.4 Despite these
customer expectations, there are fundamental differences
between B2B and B2C commercial transactions which
need to be understood and managed.
This chapter discusses B2B e-commerce, supply chain management, and collaborative commerce. It begins with an overview of key concepts like B2B commerce, supply chains, and net marketplaces. It then explains the procurement process and how supply chains relate to multi-tiered networks of suppliers. Major trends in supply chain management are described like just-in-time production and adaptive supply chains. The chapter also discusses different models of B2B exchanges like private industrial networks and industry consortia. It concludes with a case study of Elemica, a chemical industry hub that facilitates cooperation between competitors through anonymous transactions.
The document discusses electronic business (e-business) and electronic commerce (e-commerce), defining them and differentiating the two. It then lists three successful e-commerce companies (Amazon, Dell, Apple) and three failed ones (MVP.com, Thought Inc., Channel A), providing brief explanations for each. Finally, it discusses factors driving and inhibiting e-commerce growth in India, and provides statistics on e-commerce usage and growth in the country from 2006-2011.
This document discusses electronic commerce (EC) and IT-enabled services. It defines different types of EC like B2B, B2C, and B2E. It describes the benefits of EC for organizations and consumers, including expanding markets and reducing costs. It also outlines some technical and non-technical limitations of EC, such as security issues, high development costs, and lack of trust from users. The document provides an overview of how EC transforms businesses and suggests companies integrate EC into their operations through strategies like using intranets and connecting to e-marketplaces.
Copy of the benefits and barriers of e business1nam126
E-business can provide significant benefits to the healthcare industry by improving quality of care, reducing costs, speeding up information sharing, and enhancing care delivery. To implement e-business, healthcare organizations should first diagnose operational pain points, prioritize the processes causing the most issues, examine risks and returns on investment, and then execute e-business solutions that will provide the greatest benefits.
This document discusses how electronic data interchange (EDI) and business-to-business (B2B) integration provides financial benefits to retailers, distributors, manufacturers, and suppliers. It explains that B2B integration allows companies to reduce inventory costs, improve operational efficiencies, lower transaction processing costs, and gain competitive advantages. While challenging to implement, establishing electronic exchanges with trading partners can help companies increase revenue, cut expenses, and make more money overall.
Best Practices How To Make Collaboration Workguestb10b8c
The document discusses best practices for making collaboration work effectively in organizations. It recommends that organizations undergo a collaborative discovery process to understand existing collaborative behaviors and opportunities. It also recommends investing in trust between parties, recognizing the time required to collaborate, examining opportunities to improve interactions, and using a modeling methodology for mission-critical collaborations. Additionally, it provides guidance on creating a rational technology environment and providing collaboration training.
E-Commerce Integration and Implementation IssuesNurul Izzah
This document discusses e-commerce integration and implementation issues in Malaysia. It begins by providing background on the Malaysian government's initiatives to promote ICT usage and shift the economy to knowledge-based. It then explores opportunities of e-commerce as well as challenges related to cost, infrastructure, skills, security, privacy and legal issues. Critical success factors are also examined, including organizational commitment, technology selection, and building customer trust.
THE NEXT INDUSTRIAL REVOLUTION. HOW E-COMMERCE IS TRANSFORMING B2BCEO Magazyn Polska
Forrester Research estimates that cross-border B2B e-com-
merce transactions will reach US $1.2 trillion by 2021.1
With the advent of the internet and digitalization, the
opportunity for companies to boost revenues by tapping
global markets and to drive down costs through greater
efficiency has also opened up new prospects for earnings
growth. This huge potential is forcing B2B companies to
adapt their supply chains to be more like a business-to-
consumer (B2C) channel i.e. flexible, agile, scalable, quick-
er, mobile and global. More significantly, digitally-aware
B2B customers are expecting ‘Amazon-like’ experiences
including seamless commercial transactions when buy-
ing, receiving and returning products.2 Businesses have
shifted their purchasing research and transaction activi-
ties towards online3 especially when customer expecta-
tions for a full spectrum of services and support that are
hosted online have continued to increase.4 Despite these
customer expectations, there are fundamental differences
between B2B and B2C commercial transactions which
need to be understood and managed.
This chapter discusses B2B e-commerce, supply chain management, and collaborative commerce. It begins with an overview of key concepts like B2B commerce, supply chains, and net marketplaces. It then explains the procurement process and how supply chains relate to multi-tiered networks of suppliers. Major trends in supply chain management are described like just-in-time production and adaptive supply chains. The chapter also discusses different models of B2B exchanges like private industrial networks and industry consortia. It concludes with a case study of Elemica, a chemical industry hub that facilitates cooperation between competitors through anonymous transactions.
The document discusses electronic business (e-business) and electronic commerce (e-commerce), defining them and differentiating the two. It then lists three successful e-commerce companies (Amazon, Dell, Apple) and three failed ones (MVP.com, Thought Inc., Channel A), providing brief explanations for each. Finally, it discusses factors driving and inhibiting e-commerce growth in India, and provides statistics on e-commerce usage and growth in the country from 2006-2011.
This document discusses electronic commerce (EC) and IT-enabled services. It defines different types of EC like B2B, B2C, and B2E. It describes the benefits of EC for organizations and consumers, including expanding markets and reducing costs. It also outlines some technical and non-technical limitations of EC, such as security issues, high development costs, and lack of trust from users. The document provides an overview of how EC transforms businesses and suggests companies integrate EC into their operations through strategies like using intranets and connecting to e-marketplaces.
Copy of the benefits and barriers of e business1nam126
E-business can provide significant benefits to the healthcare industry by improving quality of care, reducing costs, speeding up information sharing, and enhancing care delivery. To implement e-business, healthcare organizations should first diagnose operational pain points, prioritize the processes causing the most issues, examine risks and returns on investment, and then execute e-business solutions that will provide the greatest benefits.
This document discusses how electronic data interchange (EDI) and business-to-business (B2B) integration provides financial benefits to retailers, distributors, manufacturers, and suppliers. It explains that B2B integration allows companies to reduce inventory costs, improve operational efficiencies, lower transaction processing costs, and gain competitive advantages. While challenging to implement, establishing electronic exchanges with trading partners can help companies increase revenue, cut expenses, and make more money overall.
Best Practices How To Make Collaboration Workguestb10b8c
The document discusses best practices for making collaboration work effectively in organizations. It recommends that organizations undergo a collaborative discovery process to understand existing collaborative behaviors and opportunities. It also recommends investing in trust between parties, recognizing the time required to collaborate, examining opportunities to improve interactions, and using a modeling methodology for mission-critical collaborations. Additionally, it provides guidance on creating a rational technology environment and providing collaboration training.
E-Commerce Integration and Implementation IssuesNurul Izzah
This document discusses e-commerce integration and implementation issues in Malaysia. It begins by providing background on the Malaysian government's initiatives to promote ICT usage and shift the economy to knowledge-based. It then explores opportunities of e-commerce as well as challenges related to cost, infrastructure, skills, security, privacy and legal issues. Critical success factors are also examined, including organizational commitment, technology selection, and building customer trust.
The said research paper involves a study of the
impact of Electronic Commerce on Business. The research
study has highlighted the Management Information Systems,
Finance and Accounting, Marketing and Computer Sciences
of E-Commerce on Business. E-commerce is a way of
conducting business over the Internet. Though it is a relatively
new concept, it has the potential to alter the traditional form
of economic activities. Already it affects such large sectors as
communications, finance and retail trade and holds promises
in areas such as education, health and government. The
largest effects may be associated not with many of the impacts
that command the most attention but with less visible, but
potentially more pervasive, effects on routine business
activities. The integration of Electronic Commerce and
Business will bring a renaissance in marketing function. As it
present opportunities to get close to the customer to bring the
customer inside the company, to explore new product ideas
and pretest them against real customers.
Connected Shipping: Riding the Wave of E-CommerceCognizant
Digital platforms, applications and processes are rapidly changing how shipping and transportation companies operate. Our primary research study confirmed that while acknowledging the importance of a Web-based business model, many shipping companies are proceeding cautiously. Based on our analysis of the e-commerce market and the approaches that some companies are taking, we have defined a maturity framework to help shippers better assess their current capabilities and plan ahead.
This document discusses different types of e-commerce including B2B, B2C, B2G, C2C, G2C, and G2B. It defines each type and provides examples. The key stages of the e-commerce process are described as a consumer browsing a merchant's website, selecting items, providing payment and address details, receiving order confirmation, and order fulfillment. Advantages of e-commerce include 24/7 availability, low costs, and broad reach, while disadvantages include inability to examine products physically and security risks.
Major Disruption! (Report)
Cloud computing is disrupting more than our technological norms. It is also creating new business models and new ways of working together.
KEY MESSAGES
• Cloud computing is disrupting more than our technological norms. It is completely transforming the way businesses interact, people collaborate, and business models are designed.
• Both within and outside the IT sector, companies are capitalising on the changing landscape by using and offering cloud services. This allows them to meet customer expectations, operate in a more agile fashion,
and develop new revenue streams.
• As a result of these changes, companies are becoming both consumers and providers, sometimes simultaneously.
• New business models and changing customer expectations will lead to increased competition and declining revenue and profit opportunities
unless companies proactively change—and continue to change—their understanding of the market and their role in it.
• Survival—not to mention profitability and long-term viability—depends on a company's ability to transform its business models and go-to-market structures.
• Unfortunately, the majority of companies continue to pursue their traditional approaches, failing to satisfy customers and therefore missing out on revenue opportunities.
The Massachusetts Department of Unemployment Assistance faced several challenges with its legacy on-premise systems, including lack of flexibility, security issues, high costs, and reliability problems. To address these issues, the organization migrated its applications to Amazon Web Services, improving security, response times, scalability, and disaster recovery. This successful cloud migration served as a model for other government agencies.
The results of our latest study on ‘Smart data transformation,’ carried out with Fraunhofer FIT, are here. In this special research report, we wanted to understand the business benefits, challenges and success factors around this topic, as well as identify key needs to facilitate the effective implementation of smart data transformation.
This document discusses enterprise e-business and e-commerce systems. It covers topics such as the scope and types of e-business and e-commerce, including business-to-business, business-to-consumer, and consumer-to-consumer models. It also discusses e-commerce mechanisms like online stores, auctions, and payments systems. The goal is to describe how digital technologies and the internet can be used to transform business processes and enable online buying and selling of goods and services.
This document summarizes a study of how B2B e-commerce players in India have increasingly adopted BPO business models, especially in procurement and disposal services. The study examines case studies of four leading Indian B2B e-commerce firms to analyze the evolution of their business models in the context of inadequate domestic market opportunities. It finds an overall trend of these firms adopting BPO and ITES business models in a reactive way to lack of revenue growth in core e-commerce areas. The paper also acknowledges limitations due to the lack of authentic data on the Indian e-commerce sector.
This chapter introduces electronic commerce and discusses its key concepts. It describes how e-commerce involves using technology, particularly the Internet, to conduct business transactions. The chapter outlines different models of e-commerce, including business-to-consumer, business-to-business, and others. It also discusses how economic forces have driven a second wave of e-commerce focused on profitability through analyzing business processes and revenue models. The chapter covers challenges of global e-commerce like cultural and legal differences between countries.
This document provides an overview of electronic commerce, including definitions of key terms like B2B, B2C, and B2E commerce. It describes the dimensions of electronic commerce as communications, business processes, services, online interactions, and collaborations. Electronic commerce can involve pure digital transactions, physical transactions, or a mix. The document also outlines different business models for electronic commerce, like electronic marketplaces and interorganizational information systems. It discusses the drivers of electronic commerce like business pressures and technological changes. Finally, it notes the benefits of electronic commerce for organizations, consumers, and society, as well as some technical and non-technical limitations.
The document discusses whether there should be governance for e-commerce in India. It outlines the current regulatory framework covering IT acts, contract acts, consumer protection acts, and data privacy laws. It also reviews regulations in other countries like the European Union, South Korea, and the UK. The document concludes by proposing areas that could be covered under a new e-commerce law in India, including recognizing e-commerce as a business sector, limiting liability for third-party goods, and harmonizing laws around logistical services.
The document discusses the origins and growth of the Internet and World Wide Web. It describes how the Internet began as a US Defense Department network and then expanded to academic and research institutions. The development of HTML, Web browsers, and graphical user interfaces allowed the World Wide Web to emerge and gain widespread popularity in the 1990s. The Internet uses packet switching and protocols like TCP/IP to transmit data between networked computers.
The Work Ahead: Moving Healthcare Organizations into the Digital AgeCognizant
For healthcare payers and providers, the digital revolution offers a powerful prescription for transforming an industry value chain in need of drastic modernization. In this installment of our Work Ahead research series, we look at the way forward to the future of work for healthcare.
In our latest piece, we share unique perspectives on how artificial intelligence is amplifying human potential and reshaping business. This article explore 3 fundamental questions:
How will AI shift the expectations of my customers?
How will AI transform the way my competitors run their businesses?
How should my company respond to AI?
E-commerce refers to digitally enabled commercial transactions between organizations and individuals, primarily focusing on facilitating order fulfillment. It differs from e-business in that e-business may also involve customer service and product development. The document outlines eight unique features of e-commerce technology, types of e-commerce including B2C, B2B, C2C and M-commerce, and limitations to the growth of B2C e-commerce such as expensive technology requirements and cultural attraction to physical markets. It also describes three eras of e-commerce and disciplines concerned with e-commerce such as information systems, economics, and marketing.
- Integrating the businesses could create synergies by sharing resources and leveraging existing customer relationships, but may also introduce complexity
- Keeping the businesses separate allows them to develop customized strategies for different customer segments and market dynamics
- The core competencies, target customers, product offerings, and business models of the traditional vs Internet business should be evaluated to determine the best organizational structure
- An integrated structure may be preferable if there are significant overlaps, while separate structures work better for businesses with different competencies, customers, or markets
1) The document discusses how customer communications are shifting from traditional print to digital channels as consumers increasingly use technologies like smartphones, tablets, and social media.
2) It recommends that companies develop a centralized customer communications management strategy to optimize engagement across both traditional and emerging digital channels. This will simplify processes, reduce costs, and improve the customer experience.
3) Key elements of an effective strategy include identity management, content management, analytics, and supporting emerging channels like digital mail - which provides consumers a single access point for all communications.
In our latest white paper, our expert authors share insights on why an integrated, real-time approach is key to business planning in the digital age. This special report is the great work of our supply chain experts, who are leading some of our firm’s most innovative thinking and solutions with top global clients.
Learn About:
The evolution of planning capabilities in the enterprise
Why an integrated business planning (IBP) framework should include end-to-end business processes across the organization
A view into the different maturity levels an organization can achieve and strategies for developing a digital-driven IBP framework
How companies can get started and accelerate their journey to advanced business planning
White paper on a new solution to EDI communications using a newly introduced SOAP API for sending EDI Docs anywhere, to any trading partner. Low cost, easy to implement.
Modern supply chain management whitepaper Martin Leung
The document discusses challenges that companies face with complex supply chains and demanding customers requiring faster innovation. It recommends leveraging APIs and microservices to modernize legacy B2B/EDI systems in order to decrease partner onboarding times and increase supply chain agility. A case study example shows how wrapping existing EDI interfaces with APIs allowed a manufacturer to significantly reduce partner onboarding from a year to just weeks.
Building Business-To-Business Supply Chain Networks - Who Are the Players? 24...Lora Cecere
Executive Overview
Today, supply chains are networked. They are not linear. Instead, there are interdependencies with outsourced contract manufacturing companies, third-party logistics providers (3PLs), freight forwarders, and transportation providers. While our relationships are outsourced, our information technology systems are not. Companies have automated the enterprise; but the automation of the extended value chain remains an opportunity.
It is now possible. B2B network solutions are now in their second decade of maturity. Yet, only 7% of flows move through B2B networks0F0F0F . They are maturing and should be considered as a part of a supply chain IT architecture.
Today, most of the networks depend on ad hoc, manual processes. Despite a decade of technology evolution on B2B connectivity, the majority of the flows in the extended network move through spreadsheets, email, and Electronic Data Interchange (EDI). As a result, as things change in the network, it is hard for trading partners to keep the information synchronized. It may be integrated, but it is not synchronized. Why? There is no network system of record. The flows are point-to-point. Data latency is high. As a result, when the data is received, it is often out-of-sync and out-of-date. The links are fragile. As a result, multi-party process automation is not possible.
Most companies know the problem, but they are confused on where to start to solve it. They lack clarity on three basic questions:
1. Why a B2B Supply Chain Business Network Solution versus EDI?
2. Why a B2B Supply Chain Business Network Solution versus ERP?
3. Which B2B Supply Chain Business Network Solution to use?
Answering these questions is the goal of this report.
This document provides an overview of key concepts related to e-commerce including definitions of e-commerce, classifications of e-commerce applications, types of e-commerce, benefits and limitations of e-commerce, and technologies that enable e-commerce such as HTML, TCP/IP, and data warehousing. It also discusses driving forces behind the growth of e-commerce and infrastructure requirements for e-commerce networks.
The said research paper involves a study of the
impact of Electronic Commerce on Business. The research
study has highlighted the Management Information Systems,
Finance and Accounting, Marketing and Computer Sciences
of E-Commerce on Business. E-commerce is a way of
conducting business over the Internet. Though it is a relatively
new concept, it has the potential to alter the traditional form
of economic activities. Already it affects such large sectors as
communications, finance and retail trade and holds promises
in areas such as education, health and government. The
largest effects may be associated not with many of the impacts
that command the most attention but with less visible, but
potentially more pervasive, effects on routine business
activities. The integration of Electronic Commerce and
Business will bring a renaissance in marketing function. As it
present opportunities to get close to the customer to bring the
customer inside the company, to explore new product ideas
and pretest them against real customers.
Connected Shipping: Riding the Wave of E-CommerceCognizant
Digital platforms, applications and processes are rapidly changing how shipping and transportation companies operate. Our primary research study confirmed that while acknowledging the importance of a Web-based business model, many shipping companies are proceeding cautiously. Based on our analysis of the e-commerce market and the approaches that some companies are taking, we have defined a maturity framework to help shippers better assess their current capabilities and plan ahead.
This document discusses different types of e-commerce including B2B, B2C, B2G, C2C, G2C, and G2B. It defines each type and provides examples. The key stages of the e-commerce process are described as a consumer browsing a merchant's website, selecting items, providing payment and address details, receiving order confirmation, and order fulfillment. Advantages of e-commerce include 24/7 availability, low costs, and broad reach, while disadvantages include inability to examine products physically and security risks.
Major Disruption! (Report)
Cloud computing is disrupting more than our technological norms. It is also creating new business models and new ways of working together.
KEY MESSAGES
• Cloud computing is disrupting more than our technological norms. It is completely transforming the way businesses interact, people collaborate, and business models are designed.
• Both within and outside the IT sector, companies are capitalising on the changing landscape by using and offering cloud services. This allows them to meet customer expectations, operate in a more agile fashion,
and develop new revenue streams.
• As a result of these changes, companies are becoming both consumers and providers, sometimes simultaneously.
• New business models and changing customer expectations will lead to increased competition and declining revenue and profit opportunities
unless companies proactively change—and continue to change—their understanding of the market and their role in it.
• Survival—not to mention profitability and long-term viability—depends on a company's ability to transform its business models and go-to-market structures.
• Unfortunately, the majority of companies continue to pursue their traditional approaches, failing to satisfy customers and therefore missing out on revenue opportunities.
The Massachusetts Department of Unemployment Assistance faced several challenges with its legacy on-premise systems, including lack of flexibility, security issues, high costs, and reliability problems. To address these issues, the organization migrated its applications to Amazon Web Services, improving security, response times, scalability, and disaster recovery. This successful cloud migration served as a model for other government agencies.
The results of our latest study on ‘Smart data transformation,’ carried out with Fraunhofer FIT, are here. In this special research report, we wanted to understand the business benefits, challenges and success factors around this topic, as well as identify key needs to facilitate the effective implementation of smart data transformation.
This document discusses enterprise e-business and e-commerce systems. It covers topics such as the scope and types of e-business and e-commerce, including business-to-business, business-to-consumer, and consumer-to-consumer models. It also discusses e-commerce mechanisms like online stores, auctions, and payments systems. The goal is to describe how digital technologies and the internet can be used to transform business processes and enable online buying and selling of goods and services.
This document summarizes a study of how B2B e-commerce players in India have increasingly adopted BPO business models, especially in procurement and disposal services. The study examines case studies of four leading Indian B2B e-commerce firms to analyze the evolution of their business models in the context of inadequate domestic market opportunities. It finds an overall trend of these firms adopting BPO and ITES business models in a reactive way to lack of revenue growth in core e-commerce areas. The paper also acknowledges limitations due to the lack of authentic data on the Indian e-commerce sector.
This chapter introduces electronic commerce and discusses its key concepts. It describes how e-commerce involves using technology, particularly the Internet, to conduct business transactions. The chapter outlines different models of e-commerce, including business-to-consumer, business-to-business, and others. It also discusses how economic forces have driven a second wave of e-commerce focused on profitability through analyzing business processes and revenue models. The chapter covers challenges of global e-commerce like cultural and legal differences between countries.
This document provides an overview of electronic commerce, including definitions of key terms like B2B, B2C, and B2E commerce. It describes the dimensions of electronic commerce as communications, business processes, services, online interactions, and collaborations. Electronic commerce can involve pure digital transactions, physical transactions, or a mix. The document also outlines different business models for electronic commerce, like electronic marketplaces and interorganizational information systems. It discusses the drivers of electronic commerce like business pressures and technological changes. Finally, it notes the benefits of electronic commerce for organizations, consumers, and society, as well as some technical and non-technical limitations.
The document discusses whether there should be governance for e-commerce in India. It outlines the current regulatory framework covering IT acts, contract acts, consumer protection acts, and data privacy laws. It also reviews regulations in other countries like the European Union, South Korea, and the UK. The document concludes by proposing areas that could be covered under a new e-commerce law in India, including recognizing e-commerce as a business sector, limiting liability for third-party goods, and harmonizing laws around logistical services.
The document discusses the origins and growth of the Internet and World Wide Web. It describes how the Internet began as a US Defense Department network and then expanded to academic and research institutions. The development of HTML, Web browsers, and graphical user interfaces allowed the World Wide Web to emerge and gain widespread popularity in the 1990s. The Internet uses packet switching and protocols like TCP/IP to transmit data between networked computers.
The Work Ahead: Moving Healthcare Organizations into the Digital AgeCognizant
For healthcare payers and providers, the digital revolution offers a powerful prescription for transforming an industry value chain in need of drastic modernization. In this installment of our Work Ahead research series, we look at the way forward to the future of work for healthcare.
In our latest piece, we share unique perspectives on how artificial intelligence is amplifying human potential and reshaping business. This article explore 3 fundamental questions:
How will AI shift the expectations of my customers?
How will AI transform the way my competitors run their businesses?
How should my company respond to AI?
E-commerce refers to digitally enabled commercial transactions between organizations and individuals, primarily focusing on facilitating order fulfillment. It differs from e-business in that e-business may also involve customer service and product development. The document outlines eight unique features of e-commerce technology, types of e-commerce including B2C, B2B, C2C and M-commerce, and limitations to the growth of B2C e-commerce such as expensive technology requirements and cultural attraction to physical markets. It also describes three eras of e-commerce and disciplines concerned with e-commerce such as information systems, economics, and marketing.
- Integrating the businesses could create synergies by sharing resources and leveraging existing customer relationships, but may also introduce complexity
- Keeping the businesses separate allows them to develop customized strategies for different customer segments and market dynamics
- The core competencies, target customers, product offerings, and business models of the traditional vs Internet business should be evaluated to determine the best organizational structure
- An integrated structure may be preferable if there are significant overlaps, while separate structures work better for businesses with different competencies, customers, or markets
1) The document discusses how customer communications are shifting from traditional print to digital channels as consumers increasingly use technologies like smartphones, tablets, and social media.
2) It recommends that companies develop a centralized customer communications management strategy to optimize engagement across both traditional and emerging digital channels. This will simplify processes, reduce costs, and improve the customer experience.
3) Key elements of an effective strategy include identity management, content management, analytics, and supporting emerging channels like digital mail - which provides consumers a single access point for all communications.
In our latest white paper, our expert authors share insights on why an integrated, real-time approach is key to business planning in the digital age. This special report is the great work of our supply chain experts, who are leading some of our firm’s most innovative thinking and solutions with top global clients.
Learn About:
The evolution of planning capabilities in the enterprise
Why an integrated business planning (IBP) framework should include end-to-end business processes across the organization
A view into the different maturity levels an organization can achieve and strategies for developing a digital-driven IBP framework
How companies can get started and accelerate their journey to advanced business planning
White paper on a new solution to EDI communications using a newly introduced SOAP API for sending EDI Docs anywhere, to any trading partner. Low cost, easy to implement.
Modern supply chain management whitepaper Martin Leung
The document discusses challenges that companies face with complex supply chains and demanding customers requiring faster innovation. It recommends leveraging APIs and microservices to modernize legacy B2B/EDI systems in order to decrease partner onboarding times and increase supply chain agility. A case study example shows how wrapping existing EDI interfaces with APIs allowed a manufacturer to significantly reduce partner onboarding from a year to just weeks.
Building Business-To-Business Supply Chain Networks - Who Are the Players? 24...Lora Cecere
Executive Overview
Today, supply chains are networked. They are not linear. Instead, there are interdependencies with outsourced contract manufacturing companies, third-party logistics providers (3PLs), freight forwarders, and transportation providers. While our relationships are outsourced, our information technology systems are not. Companies have automated the enterprise; but the automation of the extended value chain remains an opportunity.
It is now possible. B2B network solutions are now in their second decade of maturity. Yet, only 7% of flows move through B2B networks0F0F0F . They are maturing and should be considered as a part of a supply chain IT architecture.
Today, most of the networks depend on ad hoc, manual processes. Despite a decade of technology evolution on B2B connectivity, the majority of the flows in the extended network move through spreadsheets, email, and Electronic Data Interchange (EDI). As a result, as things change in the network, it is hard for trading partners to keep the information synchronized. It may be integrated, but it is not synchronized. Why? There is no network system of record. The flows are point-to-point. Data latency is high. As a result, when the data is received, it is often out-of-sync and out-of-date. The links are fragile. As a result, multi-party process automation is not possible.
Most companies know the problem, but they are confused on where to start to solve it. They lack clarity on three basic questions:
1. Why a B2B Supply Chain Business Network Solution versus EDI?
2. Why a B2B Supply Chain Business Network Solution versus ERP?
3. Which B2B Supply Chain Business Network Solution to use?
Answering these questions is the goal of this report.
This document provides an overview of key concepts related to e-commerce including definitions of e-commerce, classifications of e-commerce applications, types of e-commerce, benefits and limitations of e-commerce, and technologies that enable e-commerce such as HTML, TCP/IP, and data warehousing. It also discusses driving forces behind the growth of e-commerce and infrastructure requirements for e-commerce networks.
Electronic data interchange (EDI) allows businesses to electronically transmit standard business documents like orders and invoices between computer systems without human intervention. EDI began in the 1970s when the transportation industry formed a committee to develop standards. There are three main types of EDI systems: batch, event-driven, and interactive. EDI provides benefits like reduced costs and improved customer service but also faces challenges like inflexibility and high implementation costs.
EDI: Workhorse of the Value Chain - 10 FEB 2014Lora Cecere
Executive Overview
The evolution of Electronic Data Interchange (EDI) standards and the evolution of Business-To-Business (B2B) connectivity processes are now four decades old. Most executives see the progress as slow and expensive. They are frustrated. They question the value.
Companies want to power value networks. They want to connect with trading partners. They want to make the process both faster and easier. As a result, many are asking, “Does EDI use really matter? Is there value in the automation of B2B/EDI connectivity to power value networks?” Increasingly, companies are looking for the truth. This report attempts to answer these questions.
Companies want to build value networks and connect with trading partners. In our work with manufacturing clients, we see that nine out of ten companies want to build a more effective end-to-end value network. There is a growing understanding that the enterprise-centric endeavors over the last decade have plateaued, and that there are significant costs and waste improvements to be had with the building of effective connectivity for the extended supply chain.
However, most companies see EDI, and the exchange of documents through established protocols, as old- school processes. They are looking for “a better mousetrap.” In the last decade, many techniques evolved and they were overhyped. Early in the decade there were claims that XML was going to make EDI outdated.
Similarly, the use of business portals and business networks, sometimes termed trading partner exchanges, were touted as better ways of improving trading partner connectivity. The promise was lower cost, faster onboarding, and greater partner penetration. However, today EDI is the predominate method for B2B connectivity.
No company studied uses just one method for B2B connectivity. Connectivity between trading partners is usually a mix of portal, business network, and manual processes. While companies have invested in portals, trading exchanges, and automated business networks, the adoption is low. Portals are one-way communication. The use of portals is too passive and companies struggle to synchronize the many changes that occur in sales and purchase order processing through this passive form of connectivity. Likewise, the adoption of business networks in the establishment of B2B connectivity has been too slow. The networks require a mass of partners connected as a community, and this development has been too slow.
Among the EDI/XML users surveyed for this report, EDI is used nearly six times more frequently in the connection of trading partners than portals, and eight times more frequently than the use of business networks (e.g., trading exchanges or specialized industry hubs). We also find that the process of sales order management is more mature, and better automated, than those of procurement. EDI/XML is the workhorse of the extended supply chain.
Maturity in EDI/XML matters.
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The document discusses various theoretical aspects and market research related to the US e-commerce market. It covers topics like stages of B2C e-commerce, competitive advantages, drivers for e-commerce including cost and flexibility. It also discusses trends like social commerce, flash sales, recommendations, and new business models targeting planned vs impulse purchases. Market research shows the US e-commerce market is growing significantly and consumers are increasingly shopping online over physical stores. User interface features that enrich customer experience are also driving more online sales.
The document discusses various theoretical aspects and market research findings related to the US e-commerce market. It covers topics such as the stages of B2C e-commerce, competitive advantages, drivers for e-commerce including cost and flexibility. It also discusses trends like social commerce, flash sales, recommendations, and the growth of the US e-commerce market from $200B to over $300B by 2016. The document provides examples of new e-commerce business models and discusses which have survived, as well as the shift from physical to online stores.
This document provides an overview of electronic commerce and discusses various aspects of its technological framework. It describes 6 layers that make up the architecture for electronic commerce applications: 1) application services, 2) brokerage and data management, 3) interfaces and support, 4) secure messaging, 5) middleware services, and 6) network infrastructure. Each layer provides distinct functions to enable integration, data sharing, and transactions across organizations. The document also discusses specific technologies and standards that comprise the different layers, such as EDI, HTML, and encryption, which work together to facilitate electronic commerce.
The document discusses the architectural framework for electronic commerce. It proposes that the framework consists of six layers of functionality: 1) application services, 2) brokerage services, 3) interface and support layers, 4) secure messaging and document interchange, 5) middleware and structured document interchange, and 6) network infrastructure and communication services. These layers work together to integrate information access and exchange across applications, enabling a seamless transition between current and future computing resources.
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This document provides an overview of theoretical aspects and market research on the US e-commerce market. It discusses stages of business-to-consumer e-commerce, competitive advantages, drivers and recent trends in e-commerce business models. Market research shows the large and growing US e-commerce market, with online shopping increasing in frequency. New models like online brands, social commerce and customized experiences are driving sales, while earlier models like group buying face challenges.
The document discusses findings from the third volume of the Global Interconnection Index, which measures and forecasts growth in private interconnection bandwidth worldwide to support digital business. Some key points:
- By 2022, installed interconnection bandwidth capacity is forecast to reach over 13,300 terabits per second globally, representing 51% annual growth.
- Enterprises are expected to experience the most growth and become the largest consumers of interconnection bandwidth as they leverage hybrid multicloud platforms for digital transformation.
- All regions show strong interconnection bandwidth growth forecasts, with Asia Pacific experiencing the fastest growth at 57% annually through 2022.
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The document discusses electronic data interchange (EDI), which allows computer applications to exchange business information electronically in a standardized format. It provides examples of how EDI streamlines processes between buyers and sellers by automating tasks like order placement, confirmation, shipping notices and invoices. Companies benefit from EDI through increased efficiency, reduced costs, faster transactions and inventory management. While errors can still occur, EDI overall provides advantages over traditional paper-based processes.
The document is a project report submitted by Shubham Garg, a 3rd year BCA student at Dezyne E'cole College in Ajmer, India. It discusses electronic commerce (e-commerce) and is organized into 8 chapters that cover topics such as the introduction to e-commerce, the role of the World Wide Web, the architectural framework for e-commerce, and security and technology aspects of e-commerce. The student thanks his college and project guide for their assistance in completing the project report.
This document provides an overview of electronic commerce and discusses its key components. It begins with an introduction to electronic commerce and outlines 6 layers that make up its architecture framework: (1) applications, (2) brokerage and data management, (3) interfaces and support, (4) secure messaging, (5) middleware, and (6) network infrastructure. It then provides more details on each of these layers and how they work together to enable electronic commerce applications and transactions in a seamless manner.
This document provides an overview of e-business and e-commerce. It defines e-business as applying information and communication technologies to support all business activities. E-business is divided into internal systems, enterprise communication/collaboration, and electronic commerce (B2B, B2C). Common e-business models include e-shops, e-commerce platforms, e-procurement, e-malls, and e-auctions. E-business can also be classified based on the relationship between different entities like businesses, governments, and consumers. The document then defines e-commerce as buying/selling products or services via computer networks and the internet, noting it is often considered the sales aspect of e-business. Finally,
Maybe you can already recite the sales pitch for cloud computing in your sleep—how it’s faster, more flexible, and economical than amassing your own servers on site. But, as Joe Weinman argues in “Rethinking the Benefits of Cloud,” that’s just scratching the surface. In this exclusive white paper, Weinman, author of Cloudonomics: The Business Value of Cloud Computing, explores some of the overlooked—and more nuanced—business benefits of moving workloads to the cloud, such as faster innovation, global expansion, and customer satisfaction.
The document discusses the topic of electronic commerce and is structured as a project report submitted by a student named Mohit Bairwa. It contains 8 chapters that cover introductions to e-commerce concepts, the relationship between e-commerce and the world wide web, the architectural framework for e-commerce applications, technologies that power the web, network security and firewalls, examples of e-commerce companies, and a pictorial representation and conclusion of e-commerce. The student acknowledges help from their college and professor in completing the project report.
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SAP The Changing Face of Business Networks Whitepaper
1. SAP White Paper
Information Interchange OnDemand
The Changing Face of Business Networks
How On-Demand Solutions are
Revolutionizing B2B Collaboration
2.
3. Table of Contents
5 Executive Summary
6 The Changing Face of Business
Networks
7 Enterprise Business Collaboration
Challenges
8 Addressing the B2B Collaboration
Challenge
What Industry Leaders Are Doing
Getting a Handle on Costs
Simplification and Consolidation
Frank Ruland
Siddharth Taparia
9 Simpler and More Flexible B2B
Collaboration with On-Demand
Solutions in the Cloud
10 SAP Information Interchange
OnDemand (IIOD) – Revolutionizing the B2B Network
12 Customer Success—
Artoni Transporti
13 Conclusion
14 Glossary of Acronyms and Terms
4. Enterprises are responding to the
challenges of globalization by
transforming business networks and
improving B2B collaboration with
customers, partners, and suppliers.
Organizations that adopt on-demand
B2B process transactions in the cloud will
realize the greatest benefits in the form of
reduced IT cost, lower compliance risk,
and a distinct competitive edge.
5. EXECUTIVE SUMMARY
Executive Summary
Globalization, competitive pressures,
and the increased speed of business
mean that organizations must have the
necessary automated systems and processes in place to address supply chain
complexity and quickly create a collaborative partner community. While the
benefits of e-business initiatives are
clear, enabling business-to-business
(B2B) integration using point-to-point
EDI translators is time intensive and
cost-prohibitive because of IT resource
requirements and ongoing operational
expense barriers. Manual approaches
and legacy technologies such as B2B
converters can no longer keep pace
with the requirements for greater operational efficiency and lower cost. However, new solutions are emerging which
simplify the B2B landscape by eliminating point-to-point integrations. They
enable a rich repository of partners and
facilitate the rapid growth of a processintegrated partner network. Furthermore, B2B enablers which employ a canonical messaging approach to process
structuring can result in dramatic cost
savings, increased business agility, accelerated decision-making, and lower
compliance risk—while providing partners, customers, and suppliers with a
distinct competitive edge.
SAP White Paper –The Changing Face of Business Networks
5
6. The Changing Face of Business Networks
Business networks have been around
since the late 1970s, when the era of
electronic data interchanges, or EDIs,
began within the automotive industry.
Before EDI, the only way to move documents between businesses was by mail
or courier. There were no electronic options, and fax technology was not yet a
practical solution. While B2B transactions have now been automated for over
three decades, the high cost of establishing these networks has made them
prohibitive for all but the largest of companies. Those organizations realized tremendous savings by linking electronically with large suppliers or key customers.
Early EDI was originally based on private
networks, requiring large capital outlays
to implement. Adding incremental business partners was costly because the
network architecture consisted of pointto-point connections. Savings achieved
in these first-generation digital marketplaces focused almost entirely on lowering the cost of procured goods. Because
traditional procurement systems and
processes remained largely unchanged,
procurement process cost reductions
were minimal.
EDI demonstrated the substantial savings opportunity from connecting buyers and suppliers over networks and automating business-to-business
transactions. More recently, pervasive,
low-cost connectivity to the Internet has
lowered the barrier to entry for enterprises of all sizes, enabling them to connect electronically with counterparts for
a fraction of the cost of a traditional EDI
system. This has fueled the boom in
B2B marketplaces, portals and networks. New systems now automate the
procurement, sales process, and inventory management, as well as tighten the
relationship between buyers and their
suppliers in the supply chain. The days
of EDI message formats dominating the
B2B world are past. Online Survey results from the February, 2011 Forrester
Re earch, Inc., report “The Future of
s
EDI” indicated that the most common
message format (42% of the total) has
become spreadsheets and other text
documents. That percentage continues
to increase. EDI comes in a close second
(41%); followed by industry standard
XML like PIDX, CIDX, ACORD, and HL7;
financial formats like ACH, SWIFT and
FIX; flat files; proprietary XML; and RosettaNet PIPs.
B2B integration is evolving at a faster
rate than ever before, and is influenced
by the emergence of cloud-based social
networks such as LinkedIn, Xing, and
Facebook. These types of networks use
a common cloud-based platform, along
with consistent interfaces and processes that every member can easily access
and use. The cost of entry is minimal,
and the value of the network for individual members increases as the network
adds new participants and expands in
diversity and coverage. Now B2B integration is not just about exchanging
documents, but about fostering a collaborative community. As a result, increased collaboration between companies and their customers, partners, and
suppliers has become a critical requirement for business success.
Are you ready to compete in a global economy?
SAP Information Interchange OnDemand can
help you connect, transact and collaborate
better with your business network.
7. Enterprise Business
Collaboration Challenges
Despite investments in EDI and the advent of newer B2B marketplaces, an Aberdeen research study of 191 supply
chain executives found that only 14% of
respondents indicated that they could
perform online trading partner collaboration1. At the same time, supply chain
complexity is rising due to globalization.
For the enterprise, this means working
with more global suppliers, reaching out
to more global customers, and dealing
with truly global competitors. In a costconstrained business climate, companies are continuing their journey towards outsourced supply chains from a
manufacturing and logistics standpoint.
In such an environment, it has become
difficult for companies to stay informed
and in control of every stage of their
supply chains. Businesses are now more
reliant on their network of partners than
ever before, and are being challenged by
two major trends.
Increasing Complexity of Business
Networks - In most business networks
today, the amount of data transferred
between network partners has grown
exponentially. Business processes now
span companies, industries, and geographic boundaries as businesses reach
out to new markets in the quest for continued growth. The increasing number of
business partners as well as mergers
and acquisitions on both the supply and
buy side adds further complexity. IT and
the business must establish interfaces
to each of these partners and maintain
them over time.
Accelerated Speed of Business - The
rapid pace of globalization and market
changes provide only a short window of
opportunity for adopting successful networking strategies. Companies that
have operated for generations without
competition are realizing that they must
rapidly and dramatically transform their
business strategies now if they want to
retain existing customers and attract
new ones. Shorter innovation cycles
mean that new products and services
are being introduced at more frequent
intervals. Dynamic market conditions result in regular and sometimes unexpected changes in partner relationships. This
accelerated cycle has an influence on
the number of interfaces that must be
established, maintained and eventually
retired during the relationship lifecycle.
Top Business Challenges Driving New Approaches to B2B Collaboration
Rising logistics cost
Rising raw materials/
manufacturing costs
Rising complexity of managing
an increasingly global
business network
Escalating customer
service demands
The need to consolidate B2B
integration platforms and create
a single B2B integration platform
0%
10%
20%
30%
40%
50%
Percent of Respondents
Figure 1: Multiple business challenges are driving global enterprises to examine
new approaches to B2B collaboration with partner and customers.
Source: Aberdeen Research, May 20112
SAP White Paper –The Changing Face of Business Networks
7
8. Addressing the B2B Collaboration Challenge
WHAT INDUSTRY LEADERS
ARE DOING
According to Aberdeen Research,
“best-in-class” companies lead the way
in the percentage of transactions received electronically. A “best-in-class”
company is defined as one that follows
practices that are the best currently being employed and are superior to the industry average, resulting in the top industry performance. They share more
information electronically with partners,
especially critical transaction information such as purchase orders and payment status (by a factor of two to three
times). Their suppliers are more likely to
share electronic information such as
purchase order acknowledgements, advance shipping notices, and invoices. In
addition, 40% of the best-in-class are
even willing to share some of their more
sensitive information, such as manufacturing plans and release schedules.
When asked about the top challenges
that these companies are facing to improve integration and collaboration,
42% of companies cited rising logistics
costs, 40% cited rising raw material and
manufacturing costs, and 38% also cited the rising complexity of managing an
increasingly global business network3.
Getting a Handle on Costs
A recent Forrester Research study
asking participants to identify the main
business drivers influencing the requirement to improve interactions with their
external partners provides additional
validation and confirms that cost is a
key motivator. Forrester identified two
closely related business drivers that tied
for first place. 82% of respondents cited
the need to reduce rising costs for the
business, as well as the need to exchange electronic documents with business partners4.
Why is cost a major issue? Manual
document exchange is still prevalent in
many firms, bringing higher operational
costs. Moving to electronic documents
saves both time and money. Point-topoint electronic business interfaces are
expensive, with an estimated internal
cost of $15,000 per partner interface.
Most enterprises still have to exchange
standard business documents with large
numbers of trading partners via manual
methods, including email. Aberdeen
conducted a survey of over 191 supply
chain executives where only 14% of responents indicated that they had the
ability to perform onine trading partner
collaboration5. While the need to exchange electronic documents with business partners is cost-related, enterprises achieve other benefits from doing
business electronically. Electronic document exchanges enable enterprises to
respond faster to changing business
needs, reducing process cycle times. For
example, using electronic documents in
supply chain inventory scenarios can reduce cycle times resulting in cost savings. Other business issues that rank
highly are the needs for real-time visibility into business processes, increased
business agility, and better solutions for
supporting compliance and risk management for B2B exchanges. Enterprises are finding it increasingly important
to view an up-to-date status of particu-
lar business transactions involving trading partners. Modern B2B tools can provide a web-based portal for tracking the
status of B2B transactions as they flow
between enterprises.
Simplification and Consolidation
Enterprises also face technical challenges when considering new B2B process exchange solutions. The most significant technical problem, affecting
66% of respondents, is the difficulty
that organizations face when they have
to integrate their inbound/outbound EDI
transactions with other applications.
The main reason for this is that so many
organizations use separate tools for EDI
integration and application / process integration. The second biggest issue is
effectively responding to new business
requests, which arises from difficulty in
creating, testing, and implementing new
partner or transaction sets. Other issues
include difficulty in managing a partner
community (especially as it grows), supporting smaller, non-EDI-capable partners, and the inability to support process improvement efforts.
Companies that resist change and
continue to operate at the status quo
cannot keep pace with the speed of
business today. In a highly competitive
environment with ever-expanding global supply chains, businesses must increase the efficiency of their processes
without impacting profitability. So how
should enterprises address the issue of
improving business process integration? How can organizations avoid the
business and technical pitfalls sometimes associated with adopting a new
way of operating?
9. Simpler and More Flexible B2B Collaboration
with On-Demand Solutions in the Cloud
A state-of-the-art on-demand B2B solution should include the capabilities of
a business process management (BPM)
solution with its collection of natively integrated business objects, empowering
individual companies to optimize core
operations and work together as a business network. A service-oriented B2B
solution tightly integrated with backend
systems facilitates improved collaboration, with active sharing of information
among customers and partners. This solution provides all participants with increased visibility into processes, enabling partners to accelerate the pace of
innovation. They can then take advantage of evolving business opportunities
quickly, while improving operational efficiencies and reducing risk.
By eliminating point-to-point interfaces with trading partners and reconfiguring IT systems to employ a cloud-based
B2B solution for faster and easier adaptability, companies can service-enable
enterprise resource planning (ERP), customer relationship management (CRM),
and supply chain management (SCM)
applications to function like web services that anyone in the network can use.
This approach simplifies change management, integration, and information
sharing with the partner network, as well
as delivering cost benefits to the enterprise. The benefits to organizations that
deploy B2B integration solutions extend
beyond cost savings as illustrated in Figure 2. While the highest benefit, reduction in manual processing and administrative work, is cost-related, a large
percentage of companies have made
significant hard metrics improvements
in other areas, including higher levels of
customer satisfaction and increases in
perfect order fulfillment.
On-demand B2B solutions take a holistic approach to addressing application
integration, process integration, and
B2B integration using a common tool
set which creates a level of network interface standardization. Not only does
an on-demand solution provide a more
flexible approach to integration, but it
also reduces overall maintenance costs.
Having a common infrastructure and
standard interfaces for handling enterprise integration needs reduces maintenance efforts, as one vendor assumes
the responsibility for ensuring the functional integration of all system components. Specialized legacy point-to-point
B2B tools require labor-intensive integration work to obtain internal data and
transform it to match the document
type and format that meets the needs of
each trading partner. New on-demand
B2B solutions reduce this effort by using
more productive integration techniques
to support the transfer of data between
internal applications.
Top Benefits Derived from B2B Customer Collaboration
Reduction in manual
processing and
administrative work
Increased
customer satisfaction
Reduced data errors
Increase in perfect order
fulfillment percentage
Reduction in costs to
process a customer order
0% 10% 20% 30% 40% 50% 60% 70% 80%
Percent of Respondents
Figure 2: Benefits associated with B2B customer collaboration efforts include
increases in customer satisfaction as well as operational cost savings.
Source: Aberdeen Research 6
SAP White Paper –The Changing Face of Business Networks
9
10. REVOLUTIONIZING THE B2B NETWORK
SAP Information Interchange OnDemand
(IIOD)
SAP Information Interchange OnDemand (IIOD) is a B2B integration solution that provides a simpler, more affordable way to connect with customers
and suppliers for B2B e-commerce. Using pre-configured profiles, an enterprise can make changes within its supply chain without time- and
resource-intensive point-to-point integration. Process collaboration allows
trading partners to exchange richer data
more frequently, increasing forecast accuracy, hastening planning velocity, improving workload balancing, and streamlining cash flow management. SAP IIOD
is focused on deep integration with key
enterprise applications and eliminates
the need for multiple point-to-point links
by moving business process translation
to an integration cloud. SAP IIOD provides a consistent foundation that enables businesses to connect, transact,
and collaborate with partners. While
other B2B vendors with cloud-based offerings optionally translate between two
trading partners for a fee, SAP IIOD does
the translation as a core service.
SAP Information Interchange OnDemand provides a B2B content engine,
combined with a package of partner profiles. This combination enables a company to establish a connection with a
business partner just once for each process—and instantly exchange related
electronic documents, such as purchase
orders, forecasts, invoices, and delivery
notes, using existing SAP applications.
Because the solution supports collaboration with partners for all types of materials, goods, and services—not only indirect goods—it can broaden the scope
of a company’s B2B commerce initiatives for even greater return on investment. The SAP IIOD software content
engine integrates directly with back-end
SAP software using SAP NetWeaver Process Integration (PI) or other enterprise
application integration (EAI) tools,
translating documents into a universal
meta format and then into the appropriate partner format. The content engine
leverages pre-built partner profiles representing the business logic, formats,
and protocols of specific trading partners for different business processes.
The SAP IIOD interface architecture
was developed using a unique, canonical
approach to messaging. By definition,
something which is canonical provides
the simplest form possible, based on a
consistent and standardized approach.
Canonical messaging deploys a reusable
interface that can communicate between different data formats and applications. All data in this messaging architecture, regardless of origin or format,
The content repository allows SAP customers to integrate once and re-use
standard interfaces across the Business Partner Network.
CURRENT POINT-TO-POINT APPROACH
B2B/EDI INTEGRATION 1.0
CENTRAL B2B CONTENT REPOSITORY:
INTEGRATE ONCE
B2B/EDI INTEGRATION 2.0
SAP
IIOD
• 3rd party integration for EDI
• Not scalable
• Need for internal resources
SAP Information Interchange OnDemand
• Faster implementation
• Bigger flexibility
• Lower TCO
Figure 3: The canonical messaging approach used by SAP IIOD significantly
reduces interface development time, simplifies interface asset management,
and reduces integration and maintenance costs.
11. REVOLUTIONIZING THE B2B NETWORK
conforms to a common set of definitions, enabling SAP IIOD to function as
an intermediary between a source application and a target application. Consequently, the SAP IIOD solution can significantly reduce the operational
complexity for enterprises that exchange information between multiple
applications and multiple B2B partners.
In contrast, older point-to-point messaging approaches require considerably
more time and resources to deploy,
since a unique data interface must be
created for each new application exchange. Used appropriately, canonical
messages will streamline application integration and SOA initiatives, and have
the potential to substantially reduce integration development and maintenance costs.7
New SAP IIOD pre-built partner profiles can be purchased as relationships
are established with new customers,
suppliers, and logistics service providers. After activation by SAP the profiles
,
enable business to be conducted with
them electronically. If SAP does not
have a pre-built profile for a trading
partner for a specific process, SAP will
provide one.
With SAP Information Interchange OnDemand, companies of all sizes gain full,
flexible B2B functionality, quickly and
cost-effectively, as well as the ability to
scale operations up to millions of transactions per year through automation.
The benefits are compelling:
•• Reduced IT costs and business partner onboarding time: SAP IIOD eliminates the need for mapping tradingpartner formats and constantly
investing in new time-and-material IT
services to integrate with your value
chain. Plus, you get well-defined inter-
SAP White Paper –The Changing Face of Business Networks
faces into your operating system
environment.
•• Increased business agility: SAP IIOD
simplifies and streamlines the process
of adding new trading partners, and
making changes to partners and applications, to meet evolving business
needs.
•• Lower compliance risk: Now you can
comply with any customer or partner
B2B or EDI request without having to
build point-to-point integration and
stay compliant over time. SAP keeps
partner profiles up-to-date for you.
•• IT simplification: With no mappings to
constantly manage and configure, SAP
Information Interchange OnDemand
frees up crucial IT resources currently
under-utilized so they can be rechanneled to higher-value initiatives.
11
12. SHARPENING THE COMPETITIVE EDGE FOR ARTONI TRANSPORTI
Customer Success—Artoni Transporti
SAP Information Interchange OnDemand has been a catalyst in the transformation of Artoni Transporti S.p.A.
from a regional European transportation
company to a leader in global supply
chain logistics. Established in Italy in
1933 to provide goods delivery, the company was an early adopter of information technology beginning in the 1970s.
Artoni has always pursued a customercentered philosophy which has been
fundamental to its growth and success.
As the new millennium approached, Artoni observed the effects of globalization first-hand on the transportation industry. Many customers had expanded
into international markets and adopted
longer and more complex supply chains.
The industry was changing quickly, and
Artoni recognized that these customers
would require a much higher level of service as they expanded globally. The
company also knew that synergies could
be achieved by integrating transport,
warehouse management and international forwarding services into a single
comprehensive logistics solution. As a
result, Artoni Transporti became one of
the first 3PL (third-party logistics)
providers.
The emergence of 3PL providers required a structured, highly collaborative
approach among all of the players in the
extended supply chain, with the goal of
improving efficiencies and driving down
costs. The entire process was supported
by information technologies capable of
facilitating communication with the customer, as well as integration between
the various players in the extended logistics chain. The initial business-tobusiness network required the creation
of point-to-point electronic interfaces to
each partner, one at a time. This time
and resource-intensive process took ten
years to complete. While this was an im-
portant development, Artoni realized
that a point-to-point business network
lacked flexibility and could never scale
fast enough to provide the competitive
advantages required for success in the
global economy.
Artoni Transporti sought a simpler and
more efficient way to build a business
collaboration network which took a
standardized and repeatable approach
to logistics management. The objective
was clear: improve customer relations
by enabling Artoni and its partners to
more easily share growing volumes of
information. This goal led to an evaluation of the SAP Information Interchange
OnDemand (IIOD) solution in the context of the implementation of SAP Transportation Management. The SAP B2B
content engine, combined with a package of pre-built partner profiles, eliminated the need for time-consuming
point-to-point integration and standards
enforcement. Leveraging the flexible and
streamlined approach to business collaboration provided by SAP Artoni was
,
able to create a B2B network of 600
partners, customers, and suppliers in
less than five months.
“It used to take days, sometimes
weeks, to add new partners to our network” says Artoni Director of Worldwide
,
Channel Partners, Giacomo Coppi. “With
the SAP solution, the same process now
only takes a few hours to accomplish.”
Standardized interfaces from SAP enable Artoni to more readily exchange orders, invoices, and payments with global
partners in the U.S., China, and Latin
America. The solution has helped Artoni
realize improved sales, customer service, and cash flow, while reducing operational costs. Customers, partners, and
suppliers today expect more than just
cost efficiencies from a logistics and
transport service provider. With the SAP
IIOD solution, Artoni Transporti can also
deliver improved automated business
processes that sharpen their competitive edge in the global marketplace.
“It used to take days, sometimes weeks, to add new
partners to our network. With the SAP solution, the
same process now only takes a few hours to accomplish.”
Giacomo Coppi, Director of Worldwide Channel Partners, Artoni Transporti
13. Conclusion
In today’s dynamic e-commerce environment, businesses must have the necessary automated systems and processes in place to address supply chain
complexity, accelerate the speed of
business, and create a collaborative
partner community. Manual approaches
and legacy B2B technologies such as
point-to-point EDI connections can no
longer keep pace with the requirements
for greater operational efficiency and
lower cost. Cloud-based, on-demand
B2B networks simplify the landscape by
eliminating point-to-point integrations,
easily enabling a rich content repository
of partners, and facilitating the rapid
growth of a process-integrated partner
network.
SAP Information Interchange OnDemand helps increase visibility and control over B2B transactions, optimizes
decision making, and simplifies access
to the transactional information outside
the four walls of your business. SAP IIOD
automates business transactions and
eliminates manual and paper-based processes within your business network to
deliver greater flexibility and efficiency.
The result is dramatic cost savings, increased business agility, accelerated decision-making, and lower compliance
risk—while providing a critical competitive edge for partners, customers, and
suppliers.
LEARN MORE
Contact SAP today to learn how SAP Information Interchange OnDemand can help you
connect, transact and collaborate better with
your business network. More information is
available at www.sap.com/b2b
FOOTNOTES
1. Aberdeen Research: Strategies for Building
an ROI Business Case, June 2011
2. Ibid
3. Ibid
4. Forrester Research, Inc.: The Future of EDI,
Feb. 2011
5. Aberdeen Research: Strategies for Building
an ROI Business Case, June 2011
6. Ibid
7. Gartner Group: How a Canonical Messaging
Approach Can Help You Simplify and Reduce
Interface Assets, May 2011
SAP White Paper –The Changing Face of Business Networks
13
14. Glossary of Acronyms and Terms
B2B—Business-to-Business—
describes commerce transactions
between businesses
BPM—Business Process Management—a holistic management approach
focused on aligning all aspects of an organization with the wants and needs of
its partners and customers
Canonical messaging - A canonical
message is an intermediary. An interface that employs canonical messaging
transforms data from the format, structure and semantics native to the source
application to that of the established canonical intermediary, and from the canonical intermediary into the format,
structure and semantics that the target
applications require.
CRM—Customer Relationship Management—a business process for managing a company’s interactions with
customers, clients and sales prospects
EAI –Enterprise Application Integration - a framework that enables integration of systems and applications across
the enterprise
EDI—Electronic Data Interchange—
the structured transmission of data between organizations by electronic
means (from one computer system to
another computer system)
ERP—Enterprise Resource Planning—
a business process which integrates internal and external management information across an entire organization,
embracing finance/accounting, manufacturing, sales and service, and customer relationship management
IIOD—Information Interchange OnDemand—the leading cloud-based B2B solution from SAP
SOA—Service-Oriented Architecture—a
set of principles and methodologies for
designing and developing software in the
form of interoperable services