What is eBusiness?
eBusiness presents a broader dimension of eCommerce as it represents the use of electronic
especially web and other network technology, for business.
1. A range of online tools and processes that transform a company’s value proposition by using
sophisticated data warehousing to target customers more effectively, networks to link companies with
suppliers, distributors and other business partners; and flexible organisational infrastructures that
adapt to change.
2. A way for companies to participate as part of a larger networked community of providers, each
bringing specialised skills and new levels of performance to an e-market place.
Useful eBusiness Terms
Interaction between businesses either in an established supply chain, or with trading partners. The
electronically link your business with that of your suppliers could lead to faster restocking times, lower
levels, and lower costs. If you have been considering engaging in business-to-consumer e-commerce,
some thought also to ways in which you could lower costs or increase your efficiency by engaging in
A contact manager, job activity and job tracking system that allows fast and flexible communications
Content Management System
A software package that creates and maintains content on a website by providing a set of tools for
editing and publishing the webpages and directories that makes up a website.
eCRM (electronic Customer Relationship Management)
An integrated sales, marketing and service strategy that is used to identify, attract and retain an
organisation’s customers through innovative Internet technology.
eMarketplace (electronic marketplace)
An online trading forum where companies buy and sell products and services using different trading and
purchasing mechanisms, including catalogues, auctions, reverse auctions, requests for quote (RFQ) and
requests for tender (RFT).
eProcurement (electronic procurement)
A business-to-business (B2B) purchasing system that offers electronic purchase order processing and
enhanced administrative functions for buyers and suppliers.
An intranet partially accessible to authorized outsiders. Whereas an intranet resides behind a firewall
accessible only to people who are members of the same company or organisation, an extranet provides
various levels of accessibility to outsiders.
A worldwide network of computers that facilitates data communication services such as remote login,
transfer, electronic mail, newsgroups and the World Wide Web.
Local Area Network (LAN)
A network of computers communicating over short distances in restricted areas, such as a campus of a
university. Many LANs have connections to larger networks.
The use of a wireless terminal, such as a mobile phone or personal digital assistant (PDA), and a network
access information and conduct transactions that result in the transfer of value.
Uses Internet, intranet and extranet technology to collaborate amongst certain groups of users, such as
employees or partners.
Examples of eBusiness
Label Manufacturer Uses the Internet to increase export sales by allowing agents and distributors
from all over the world to see the latest designs, place orders and manage their
Olive Farmer Listing of products on the website for sale as well as providing an online
shopping facility for a network of other olive farms.
Restaurant No website is required to benefit from wireless technology and handheld digital
assistants taking orders from tables which are electronically sent to the kitchen.
Pottery Importer A content management system allows up to date products, pricing and gallery
events timetable to be published internally, reducing costs of external website
Implementation of an online process automated system using an Application
Service Provider model to streamline job applications process.
Entering hundreds of agricultural machinery equipment online ensures stock
availability is more timely recorded across multiple dealer locations and
marketed more effectively to rural customers.
Instant online ordering using handheld digital assistants for 24 sales
representatives provides greater efficiency in the supply chain and provides
management with a real time contact management tool.
Using streaming video on a website to show not tell visitors about the motorcycle
service being offered utilises the advantages offered by an increasing number of
broadband internet connections.
Horse Transporter The Internet provides a critical document management system to keep owners
and trainers of horses flown to and from Melbourne informed of their progress.
The Intranet provides a way for all offices to share information and reducing
Building Company The use of an electronic customer relationship management tool assists in the
job scheduling, workflow process and accountability of projects in the building
Most Australian websites are hosted on a dedicated web server at the external web hosting provider’s
location. The benefits of a web hosting provider include:
· Domain Name Services – including website name registration, website forwarding, providing multiple
email accounts and domain name protection services.
· Storage and Backup – of the website and files including databases and email lists.
· Server Speed and Reliability – of the website is important as people are accessing your business
website from computers around the world. It is important that a website is always accessible and
uninterrupted by power failures and server faults.
· Management Information – Web hosting companies should provide access to real-time website traffic
statistics which will allow your business to evaluate and monitor the number of visitors, time spent
viewing and which country the visitors originate from.
· Security – Webhosting companies have systems and processes in place which reduce the risk of a
security breach on your website (such as viruses and hackers).
· Technical Support – Time is money and hence you should check to ensure that your web hosting
company has a dedicated technical support team to answer questions and solve technical problems via a
telephone and or an email support centre.
· Advanced Solutions – To provide a full range of solutions including managed services across various
office locations, shopping cart e-commerce technology, secure servers, content management systems,
database hosting and wireless services.
· Pricing - Website hosting is a competitive industry and fees typically range from $20 to $100 per
The difference in price relates to the amount of Megabyte Disk Space, the monthly data transfer per
month, number of email addresses and whether there is e-commerce and database connectivity.
Broadband Internet Access
There are several types of connection for businesses to subscribe to:
· Narrowband - a narrowband connection to the Internet through a telephone line, normally through a
or 56 kilobytes per second speed modem.
· ISDN (Integrated Services Digital Network) - a system of digital phone connections that allows one line
handle several applications at once (e.g. videoconferencing, facsimile, telephone and computer).
· Broadband - A permanent, high-speed connection between your computer and an ISP that does not
a dedicated telephone line. Broadband means a high-speed Internet connection that is, at the very least
128kbps, which is almost three times the speed of a narrowband 56kbps dial-up connection. Most
broadband services are available at speeds of 256kbps, 512kbps, 1500kbps and even faster. There are
three main technologies used to deliver broadband:
Cable – The television cable network is used to connect to the Internet.
ADSL – The existing telephone wires are used to send information to/ from your computer and ISP
Satellite - A satellite dish sends and receives signals to your computer.
Broadband offers the following advantages to business:
· Faster Uploads and Downloads – Allowing business to send and receive plans, documents and images
with their associates as well as share large files quicker than mailing or faxing.
· Affordability - High-speed broadband packages (at speeds of 256kbps, 512kbps and 1500kbps) start
around $29.95 (with download limits from 200mb) and go up, depending on the ISP, from $30 through
$100 per month depending on the speed and the limit of data you can download in one calendar month.
· Speed - It is typically 10 to 30 times faster than dial up.
· Constant Internet Access - Provides a constant Internet connection, thereby avoiding redialling the
· Reliability –there are fewer drop outs and no engaged signals.
Internet Security Software – software which combines antivirus and firewall software and often includes
antispam and other security and productivity features.
Anti-Virus Software – Over 50,000 computer viruses are registered globally and they spread typically by
email attachments, Internet downloads, shared disks, CD-ROMs and other sources. In order to protect
computer and the information held on it, anti-virus software is recommended. A virus is any computer
program written to damage computer systems (e.g. erases your vital files).
Firewall - A Firewall prevents unauthorized access to or from a private network by examining each
and blocking those that do not meet the specified security criteria.
· Firewalls can provide many levels of security.
· Firewall use does require some skill, so seek technical advice to set up your firewall to suit your needs
see your ISP or computer retailer.
· Some firewall software comes in shrink-wrapped boxes and can be purchased from a computer retailer
software dealer. Other firewall software can be directly downloaded from the World Wide Web. Set
firewall to update itself automatically.
Trusting the Internet: A Small Business Guide to E-security
The National Office for the Information Economy has published a guide, Trusting the Internet: A Small
Guide to E-security, which can help you understand the key issues of Internet security —
This report overviews critical questions that every Australian business with an online presence need to
· How do I set up a secure website?
· How do I tell if I'm completing a secure transaction?
· How do I protect my company from viruses?
· How do I make sure my passwords are appropriate and secure?
· How do I make sure my PC is secure?
· How do I choose the best authentication system?
The Privacy Amendment (Private Sector) Act 2000
In December 2000 the Privacy Amendment (Private Sector) Act was passed through Federal Parliament.
This amends the Privacy Act 1988 which previously applied primarily to federal public sector agencies.
Under the changes to the Privacy Act, a set of National Privacy Principles (NPPs), which describe
standards for the handling of personal information apply to the private sector. These principles relate to
manner in which personal information may be collected and used, and to whom it may be disclosed. The
NPPs require that businesses which use personal information be open about their information practices
maintain the accuracy of the personal information. As a result of the amendments, the Privacy Act
the private sector as well as the public sector.
The amendments generally do not apply to businesses with an annual turnover of $3 million or less,
those businesses choose to 'opt-in'or conduct particular types of business.
You should conduct your own detailed research and/or seek legal advice before finalising a privacy
These notes are for your general guidance only.
More information is available at www.privacy.gov.au
following elements are important to include:
· Legal statement - A statement that the website will not collect or disclose any personal information
without first obtaining user approval, unless required to do so to satisfy legal obligation
· Data sharing - An outline of the circumstances under which the personal data might be shared with
· Log files - Information on what log file information (such as the addresses of visitors to the website)
is stored by the website
· Email addresses - Provisions regarding how email addresses submitted to the website will be used.
The objectives of this training module are to provide insights and smart tips and demystifying eBusiness
· Developing your website using Content Management Systems
· Supply Chain Management and Online Process Automation
· Online and eMarketing
· Buying and Selling online
· Broadband Infrastructure Requirements
· Approaching Export
· Wireless and Mobile Applications
· Knowledge Management (Using Intranets)
· Electronic Customer Relationship Management
· eSecurity and Trust
Developing your Website (Content Management Systems)
Utilize your existing website in Content Management System
By implementing a content management system, you may wish to move your existing website content
the new system. Although a content management system offers a template for your website, be sure to
your existing content, images, pictures and files. You don’t have to start afresh and develop completely
Avoid high external rates for content changes
By implementing a content management system, you can remove the higher costs of simple updates to
website that external contractors or web developers can charge. Instead, the content management
will allow you or a member of your organisation to enter changes into a friendly interface avoiding the
understand how to use website publishing programs.
Supply Chain Management/ Online Process Automation
Remove steps in repetitive processes!
Internet technology can remove repetitive steps in a process or create more time/cost effective way to
achieve a repeated task. This can be as simple as creating web based forms that initiate another task or
produces a report or automatic calculations of payments to more complex applications involving online
inventory, tracking and workflow management capabilities.
Incorporate customers and suppliers access in the design
Supply chain management systems typically allow clients access to your manufacturing process, stock
control, warehousing/logistics or distribution process in order to make the ‘supply of stock or service’
efficient. Be sure to design your system with customer’s feedback not only in the design phase but
the development period. Gaining feedback is very important to meet the needs of your customers and
Increasingly, small and medium sized businesses are advertising on Internet search engines by
“keywords” which relate to their business product or service. When people type these key words (for
example, ‘plumber’, ‘car dealer’, ‘newsagent’, etc) into a search engine, such as www.yahoo.com.au or
search.ninemsn.com.au, the return list of results will feature the business who sponsored or paid for
keyword higher in the results ranking!
Email Marketing is simple
A simple and cost effective method of promoting your online business is to collect your client email
by asking them to join or ‘opt in’ to an email newsletter. Email newsletters are written very easily and
complete list of contacts can be sent using a standard email program by creating lists that segments of
database belong to.
Buying and Selling Online
Clearly state Warranty and Refund policies
With more businesses now selling their products and services securely online by accepting online credit
transactions, a smart tip is to ensure that your terms and conditions are clearly displayed on the website
comply with all Australian federal, state and territory laws. Similarly, warranty and refund policies are
important to online shoppers, particularly those who are buying from overseas and require this
Look for Testimonials and Customer Service email
To provide a level of comfort the organisation you are buying from online is going to fulfill your online
your satisfaction, look for a customer feedback or written testimonials on the website. Furthermore, you
send an email requesting further information which will test the level of customer service offered –
be very important following the purchase if you need service and other information!