E-commerce

1
E-commerce

• Lecture 5
• Supply chain management
• and E-procurement

2
E-commerce

• Objectives
• By the end of the lecture students should
• Appreciate the main elements of supply chain
  management
• Appreciate the potential of information systems
  to support supply and value chain management
• Appreciate the benefits and risks of
  e-procurement
• Appreciate the integration options with IS and
  e-procurement suppliers

3
E-commerce

• Supply chain management
• What is it?
• Options

4
E-commerce

• Supply chain management
• Internal value chain
• External value chain

5
E-commerce

• Logistics
• Inbound logistics
• Outbound logistics

6
E-commerce

• Supply chain models
• Push supply chain
• Pull supply chain

7
E-commerce

• Value chain
• Within each element
• At interface between elements

8
E-commerce

• Internal value chain weakness
• Applicable to manufacturing
• One-way chain
• No emphasis on importance of networks

9
E-commerce

• Value stream
• Problem solving task
• Information management task
• Physical transformation task

10
E-commerce

• Value chain analysis
• Five step analysis

11
E-commerce

• Value networks
• Supply-side partners
• Partners filling core value chain activities
• Sell-side partners
• Value chain integrators

12
E-commerce

• Value networks
• Electronic interconnections
• Dynamic nature of network
• Varied partner links

13
E-commerce

• Virtual organisation
• Processes transcend boundaries
• Production processes flexible
• Geographical dispersal
• Telecommunications

14
E-commerce

• Restructuring the supply chain
• Vertical integration
• Virtual integration

15
E-commerce

• Restructuring the supply chain
• Increased efficiency
• Reduced complexity
• Improved data integration
• Reduced cost
• Innovation

16
E-commerce

• IS supported supply chain
• Upstream supply chain management
• Downstream supply chain management
• Outbound logistics management

17
E-commerce

• IS infrastructure
• Supply chain visibility
• Managing the supply chain

18
E-commerce

• SCM strategy process
• Managing partnerships
• Managing global distribution

19
E-commerce

• Managing global distribution
• Select distributors
• Select distributors capable of developing markets
• Treat local distributors as long-term partners

20
E-commerce

• Managing global distribution
• Support market entry
• Control marketing strategy
• Obtain detailed data from distributors
• Build links

21
E-commerce

• E-procurement
• What is it?

22
E-commerce

• E-procurement
• At the right price
• Delivery at the right time
• Are of the right quality
• Of the right quantity
• From the right source

23
E-commerce

• Types of procurement
• (what is bought)
• Production-related procurement
• Non-production-related procurement
• MRO goods

24
E-commerce

• Types of procurement
• (how it is bought)
• Systematic sourcing
• Spot sourcing

25
E-commerce

• E-procurement
• Drivers
• Reduced purchasing cycle time and cost
• Enhanced budgetary control
• Elimination of administrative errors

26
E-commerce

• E-procurement Aims
• Increasing buyers productivity
• Lowering prices
• Improving information management
• Improving the payment process

27
E-commerce

• E-procurement outcomes
• Cost savings
• Impact on profitability
• Risks and impacts
• Technology risks

28
E-commerce

• E-procurement
• Implementation
• System integration

29
E-commerce

• E-procurement
• Electronic B2B marketplaces
• Types of marketplace
• Systematic sourcing
• Spot sourcing
• Metamediaries

30
E-commerce

• E-procurement
• Automated E-purchasing
• Software agents

31
E-commerce

• Objectives
• Appreciate the main elements of supply chain
  management
• Appreciate the potential of information systems
  to support supply and value chain management
• Appreciate the benefits and risks of
  e-procurement
• Appreciate the integration options with IS and
  e-procurement suppliers