Chapter Two
Chapter Two
Spotting E-Business
Trends
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What is a Trend?
What is a Trend?
A trend is a compass for navigating a sea of
chaos
Points the way to a new
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Themes, like “aging demographics” or “decreasing
attention spans”
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Cost curves - like Moore’s Law - decreasing
hardware and computing costs
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Innovation - mobile devices
Trends are essential filters for managers so that
they can separate signal from noise
“Look Before, or you’ll find yourself behind.”
- Benjamin Franklin
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E-Business Trends
E-Business Trends
Trends: spotting, analyzing, and exploiting
themes in technology, markets, etc.
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Ways to think further into the future
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Identify ideas that will impact and disrupt business
Strategy: how to exploit e-business trends to
create profits
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Screen opportunities, identify value
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Translate trends into opportunities
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Translate opportunities into strategy
Trend-spotting drives strategy
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E-Business Trends
E-Business Trends
Customer trends
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Faster Service
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Self service
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More Product Choices
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Integrated solutions, not piecemeal products
E-service - service and process trends
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Convergence of sales and service
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Seamless Support
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Flexible fulfillment convenient delivery
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Increased Process Visibility
“The rearview mirror is always clearer than the windshield.”
- Warren Buffet (CEO Berkshire Hathaway)
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E-Business Trends (cont.)
E-Business Trends (cont.)
Organizational trends
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Outsourcing -- retain the core, outsource the rest
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Contract manufacturing
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Virtual Distribution, Private hubs and Public exchanges
Employee Trends
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Hiring the Best and Brightest
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Keeping talented employees
Enterprise technology trends
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Integrated enterprise apps
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Multi-Channel Integration -- user view integration
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Middleware -- back-end integration
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General Technology Trends
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Wireless Web Applications
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Handheld Computing and Information Appliances
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Infrastructure convergence
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Application Service Providers
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Web Services
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E-learning tools and methods
E-Business Trends (cont.)
E-Business Trends (cont.)
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Consumer Trends: Faster Service
Consumer Trends: Faster Service
People want to maximize their limited available
time
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Value for the time
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Getting things done right everytime
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Right levels of service
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Entertaining and engaging experiences
Often, the answer is to integrate previously
separate processes in fulfilling orders
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Inc.
Consumer Trends: 100 Years of Convenience
Consumer Trends: 100 Years of Convenience
1893 – Sears and Roebuck offers first catalog
1993 – Sears folds catalog operation
1997 – online retailing takes off
2000 – Amazon.com sends out print catalogs
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Self-Service: Empowered Customers
Self-Service: Empowered Customers
Self-Service is Maturing
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24/7 ordering without sales personnel
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Disintermediation
source: www.s1.com
Self-Service complementing Full-service:
Example from the Insurance Industry
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Integrated Solutions, Not Piecemeal
Integrated Solutions, Not Piecemeal
Products
Products
One-stop life-needs providers
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Wal-Mart
One-stop lifestyle providers
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The Gap
One-stop life-path providers
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Toys-R-Us
Long term drivers and demand for
integrated solutions are clear
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Inc.
Integrated Solutions, Not Piecemeal Products
Integrated Solutions, Not Piecemeal Products
Past -- Product-based
competition
Product
functionality
Price
Service
•
Comprehensive range of
products and services
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Solution-oriented
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Integrated & Personalized
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Lifetime value approach
•
What is the total cost of
ownership
•
What is the ROI?
•
Customer self-service
•
Configurations geared to
needs
•
Simplified decision-making
Product
and
service
Value
Customer
empower-
ment
Today -- Solution-based
competition