“Intranet, Extranet, E-commerce,

Turning the Virtual into a Successful Reality”












Hello!
 

Welcome, I am now (1999) working on this web site, let me know if you have some troubles reading it......
I have simply used Office 2000 / Microsoft to put this document (abstract) on line within 10 minutes....... I hope you can read it!
I should improve the lay out soon... if I have time......

Best regards!......

Lionel

Lionel.pardin@hec.ca



 
 
 
 
Université Robert SCHUMAN,
IECS STRASBOURG - FRANCE
Formation Internationale à la Gestion
“Intranet, Extranet, E-commerce,
Turning the Virtual into a Successful Reality”
Lionel Pardin, 1999.
 
 

                                                           Paper Supervisor : Catherine Ledig, IBM engineer
                                                           Secondary Reader : Kostas Nanopoulos, statistician
 

 


 

                                    Acknowledgements :

                                    I would like to thank the following person who help me anytime anywhere to
                                    write this paper during the past two years :

                                    Catherine Ledig, Kostas Nanopoulos, Deirdre Clancy, Maura Clancy
                                    Patricia Craig, Edouard Petit, Joël Doucet, Christel Durand, , Andrew
                                    Cowderoy, Stéphane Matchinsky, Pat Finnegan, Claudia Demonteil, Carlos
                                    Lopes, Caroline Schmitt, Bertrand Barthelot, …
 

                                    And escpecially my family.
 
 
 



 
 

“Intranet, Extranet, E-commerce,

Turning the Virtual into a Successful Reality”
 
 
 
 
 
 
 

Table of contents :






Introduction

PART A : State-of the Current Economic Environment

A-1         Traditional Business – Some Limits
A-2         Nothing New About Business Online!
A-3         A Turbulent Environment
A-4         New Technologies helping changes
A-5         Towards A Digital Economy
A-6         A Challenge to Society: An Emerging Electronic Market
A-7         Information Technology – A Synonym of Local Development
A-8         A New Market With New Market Players
 

PART B : Demand Analysis

B-1         Understanding challenges of information society.
B-2         Information technology financing and controlling
B-3         Organisational needs
B-4         Marketing needs : What does the global consumers market expect ?
 

PART  C : The Company Environment: Organisational and Technical Elements

C-1         Impact of Information Technologies on companies
C-2         Innovation and Organisation – a Clash of Forces that Generates Conflict
C-3         The Technological History of the Company
The Origin of the Client-Server
The Limits of the Client-Server
Next step : The network oriented model

PART D    Moving towards a solution:

The network oriented technology

D-1         Internet technology, 10 basics features
D-2         Intranet approach
D-3         The Intranet technology services
Transport services :
Administrative services :
Security services :
Services to share information :
Communication services and co-operative work :
Address book :
Applications development services :The Intranet – A Universal client-server ?
D-4         Intranet, a less expensive information system                                                                                                D-5         Next step of Intranet, the extended GroupWare
D-6         A new culture way : The intrapreneurship
D-7         Electronic commerce in practice :
The online management technology
The online payment technology

 

The network oriented strategy

D-8         Five business models to unlock new point of view
Definition
Business model analysis proposal
Value chains identification (1)
Electronic interaction patterns (2)
Electronic value chain reorganisation (3)
Electronic commerce return on investments  (4)
D-9         Two main business model approaches
D-10       Analysis of business models Examples
 1. Administration to administration
 2. Business to administration
 3. Business to administration
 4. Business to customers
 5. Business to services
D-11        Marketing on-line
Online marketing definition
People : Who is on line ?
Product : What product or service will they buy ?
A new marketing concept : one-to-one
Price : How much will they spend ?
On line promotion and E-PUB
Conclusion

E Project implementation:

E-1  Electronic business prerequisites
E-2  Evolutionary path of a web site
E-3  Electronic commerce project: From IS to IOS
E-4  To be successful with an Ecommerce project
Project organisation : the pilot team
Life cyle of cycle of the Ecommerce project
Ecommerce project step by step
Ecommerce – Possible Obstacles

 
 
 



 
 

Introduction
 
 
The recent progress just reached by the three main technological domains -Computer, telecommunications, and software-
changed our lives. Besides, there is a merger of all these technologies on Internet where services are developing. As a Forrester
industry report proclaims; “the Internet removes many barriers to communication with customers and employees by eliminating
the obstacles created by geography, time zones, and location, creating a frictionless business environment”. Before this merging
of the technologies, opportunities to create new business models with new value chains in the tertiary or quaternary sector were
reduced because of the constraints on time and space. Now the creation of this new electronic market (arrived by the merging
of the new technologies) allows companies to make decisions on shorter and shorter term on line, to bargain and to sell more
products/ services and/or create new ones. Worldwide business will be affected by this electronic revolution.

Thus, this includes the widespread distribution of knowledge, leisure, and learning materials, and will results in a complete
change of the society. The Bangmann report[1] this. In 1991, Internet users were 1.4 millions, now there are 140 million users;
according to the World Trade Organisation. Therefore millions of people “live” on this electronic market. The question is how
can we define this virtual place?

The OCDE[2] in 1997 gave the following definition about this new way market players can meet and trade: “Electronic
commerce designate in general all kind of business transactions, that associate households and organisations, realised through
digital dataprocessing, notably texts, sounds and pictures”. This can be considered as a little limiting, because electronic
commerce implies also relations between administrations and companies. In the US, the same year, the Executive Office of the
President presented ecommerce the following way : 

“The Internet is going to revolutionise the retail sector and direct marketing. Consumers will be able to go shopping on the
Internet without leaving their house and be able to purchase a wide range of products from suppliers based anywhere in the
world. Households will be able to see products on their computers and on their TV as well, and have access to information
concerning them, see in which way they could dispose them, order on line their selection and pay without leaving their living
room”. I would suggest that this definition is too market oriented and focuses too much on the general public. Among companies
themselves, it will also be a revolution to have access to all other companies catalogues and order on line. The Lorentz[3] report
consider the part of business to business electronic commerce will be 80 % of the on line business. The WTO World Trade
Organisation in 1998 is reveals: “Electronic commerce can be easily defined as all activities such as production advertising, sales
performed by the intermediary of telecommunication networks”. This definition is perhaps too vague. In 1997, the European
Commission proposes a more complete description: “Electronic commerce allows market players to do business electronically.
It is based on electronic dataprocessing that include data such as texts, sounds and video movie. The following diverse activities
are covered : goods and services trade, on line delivery of digital information, stocks electronic transfers, electronic
stock-exchange activities, electronic bill of lading, commercial auctions, concept creation, co-operation and engineering, public
markets, direct sales to consumers and after-sales services. Products as well as services and more "traditional" activities of
recent date are concerned”.

Another fact that is revealing is the following one: American newspapers discuss about France and position of the French stock
exchange. The French stock exchanges offers expensive shares only. These shares would be more attractively priced if all
French companies updated their technological equipment with the Intranet technology[4].

This electronic revolution can only be successful if managers are trained and skilled to run this updated organisation. The
modern manager will need new skills coming from the use of information system like Intranet. He will more than ever need to
manage information and will have to decentralise it. The Intranet is becoming more and more influential because its applications
covers all companies’ departments such as marketing, finance, research, and manufacturing. The Intranet generates numerous
ways in how people work. Users will become the main resources creating information. Problems of Intranet imply a change
mainly within the company in order to improve communication and to spread information, but partners are also involved. These
increasingly become the heart of companies strategies, helping companies to build a structural advantage in front of competitors.
Intranet technology, implies new possibilities, a cutback in costs, and efficiency. The Intranet means consequently a deep change
of internal workflow of companies. 

My main area of study was information system management at IECS and helped to understand not simply the techniques but all
aspects of information management. The objective was to identify information flows, to number them, to evaluate them (in terms
of costs and quantity of information) to finally rationalise them in order to reach an optimal information flow. To be the first
informed allows the opportunity to act first. The information management system does not only mean controlling work methods
but it also defines strategies and it means that companies can develop, communicate and change with their environment. This
course major offers the opportunity to be something more than auditors; it gives us track signals to help becoming a manager. It
also gives a comprehensive view of the whole company’s information system. It is because the Intranet project constitutes a
general political issue for companies that I decided to choose it as a topic for this paper.

Therefore, I will try answering the following questions: What is electronic business? Which market players are implied? What is
the reality of the electronic market? Nowadays what do people and company expect about this new way of doing business?
What is the state of the current environment of companies? Is information technology synonym of local development? What is
the technological history of the company? From this state-of-the-art, how could company move towards electronic business?
Great beyond hopes and chimera what is the reality of the Intranet technology? What strategy should company go for ? How
can companies select the business model? What is on-line marketing, E-advertising? Eventually, how can a company implement
this project ?