Models of Collaboration in EBusiness

1
Models of Collaboration in E-Business

• Amiya K. Chakravarty
• B. Freeman School of Business
• Tulane University
• New Orleans, USA

2
Business Scenarios

• Customers less loyal or demand low prices
• Growing outsourcing of operations
• Accelerating Product Life cycles
• Rapid Proliferation of Technologies and
  Approaches
• New Business Models alter Competition

3
Collaboration Goals/Challenges

• Reduce Product Development Time and costs
• Accelerate Fulfillment
• Manage Virtual Supply Chain
• Scale Best Practices Through Trading Partner
  Network
• Maximize Customer Loyalty
• Reduce Asset Intensity

4
Business Models
Value Chain Integrators
High
Collaboration Platforms
B2B Procurement
Private exchanges
Functional Integration
B2B Sell
e-market place
Value Chain Service Provider
e-auction
B2C e-procurement
Trust Services
Infomediaries
B2C Sell
Low
High
Innovation
Low
5
Supplier Relationship Management

• Information Exchange
• Direct and Indirect information
• Bullwhip
• Coordinated Planning
• What to do with information
• CPFR
• Cisco, Extricity, Adaptec/TSMC
• Project Management
• Coordination in time
• Event Driven
• Multiple suppliers delivering components of a
  product (quantity, delivery schedule,
  specifications
• Multiple suppliers working on the same product in
  sequence
• Resource Sharing
• Workflow

6
Collaborative Product Commerce
 
Innovation Management
Project Management Platform
Innovative
Knowledge Content
Virtual Product Configuration
Design Portals
PDM Applications
Sourcing
Routine
Product Engineering
Retirement
Concept generation
Production
Support
Product Life Cycle
7
Customer and Market Collaboration

• Coordinated Advertising
• Affiliate Marketing
• Coordinated Product Promotion
• Synchronizing for Fulfillment and Payments
• Demand-Forecast Revisions
• Demand Brokering
• CRM
• Call Center

8
Modes of Information Exchange
9
Information Access
Company A
Company B
Clients Web Browser
Company C
Web Server
10
Data Exchange

• Data Category
• Frequency of Exchange
• Technology for moving data (middleware)
• Client interacts with user interface

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Application Sharing
 
Logic
Data
User Interface
 
Tier 1
Tier 2
Tier 3

• User interface captures queries and data through
  menus, windows, graphical representations
• Service attached to the logic layer to process
  queries
• Services also extract relevant information from
  appropriate databases
• Leverages binding of data in applications

12
Process Sharing Work Flow

• Follows Business Rules to pass information to
  partners
• Identifies and assigns resources required for
  work completion
• Activates appropriate procedures for task
  execution
• Updates data and status
• Activates external systems/applications
• Users can view outstanding tasks and select tasks
  for execution
• Places tasks in queue of unavailable resources
• Tracks task performance

13
Middleware Remote Process Call (RPC)
 
Server
-Establish recipient list -Prepare message
text -Place the memo in mail
Client
Send a Memo
RPC

• Synchronous data transfer
• Simple
• A large number of instructions to process a
  request (gt10,000)
• Need to wait for response
• A form of request/response model

         
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Database Interface
Application 1
Oracle
Call Level Interface
Driver Manager
Sybase
Application 2
DB2

• Interface for data conversion appropriate for the
  remote system
• Links with multiple databases require Driver
  Manager and Call Level Interface (CLI)

15
Message Oriented Middleware (MOM)

• Two types
• Message Queuing
• Publish/Subscribe

• Message Queuing
• Synchronous
• Confidential information to a single destination
• Reliable
• Message may not be received in real-time

Application 3
Application 1
Queue Manager
Queue Manager
API
API
Application 4
Application 2
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Publish/Subscribe

• Asynchronous
• Delivers to more than one receiver at a time
• Publishes information on multiple communication
  channels
• Consumers subscribe to channels of interest
• Intelligent routing to topic-specific subscribers
  
• Identifies message source
• Invokes rules that control processing and
  distribution
• May include dynamic-routing, and
  information-sharing logic

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Values and Costs

• Interaction frequency may increase value
• Revenue/Cost per interaction
• Complex collaborations require larger investments
  to set them up (Public Processes)
• Unsophisticated partners require subsidy to setup
  their processes (Private Processes)
• Value of collaboration is partner-specific

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Example

• Manufacturer and Two Partners Supplier, and Bank
• Number of interactions per period v
• Revenue and cost per interaction R and c
• Fixed cost for setting up collaboration F
• Cost of subsidizing partner s

 
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Value of Collaborationv (R c) s
Process-Sharing
ACCESS