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Web 1.0

Business Applications

• Digital Expectations:• Competitive pressures

• reduce cost• Improving customer service• Improve efficiency• Sharing knowledge

• Has to be part of overall business strategy

Business Applications

• Stock exchanges (threat of Electronic Communications Networks)

• Banks (ATMs, online banking)• Manufacturing (Just in Time, supply chain

management)• Health care (sharing of patient records,

telemedicine) • Retail (Wal-Mart’s real time inventory systems)• Logistics (FedEx and UPS tracking systems)• Law enforcement (network database records)• Airlines (reservation systems, Sabre )• Currency Trading (Largest international trade item)

Business Applications

• Distribution of service: serving your customers at where they are (bank branches) making time and location irrelevant

• Supply chain management in cutting cost

• Sharing ideas and collaboration • Sharing business data (EDI) and cutting

transaction costs• Real time systems

Business Applications

• Location Independence Online education Telecommuting Day trading

• Globalization (international expansion) Multiple units in different parts of the world

sharing corporate information Serving other global organizations

• Work teams Sharing ideas, information (business is

about information today)

Typical Applications

• Access to data• PC networks and Internet applications

• Collaboration• CRM, ERP, Portal, Conferencing, Collaborative

Tools, Messaging

The Internet Changing Lifestyles

• Email, IM as a means to communicate• Online banking• Online shopping• trade stocks over the Internet • listen to radio on the Internet• XM and Sirius: Satellite FM radio in your car• Establish personal relationships on the

Internet• Research products• Book flights and hotels• Mobile apps

Has it Made a Difference?

• Not revolution but evolution• Internet usage increasing• Companies keep deploying Internet technology• Revolution in technology not business practices

Has it Made a Difference?

• ‘Brands will Die’• not necessarily

• Encyclopedia Britannica• Microsoft• Wal-Mart

• but the impact has been felt• Eaton’s• Consumer’s Distributing• Woodward’s• K-Mart

Has it Made a Difference?

• Prices will Fall• Tough to prove

• Internet comparison shopping – real?

http://www.pricegrabber.com (and .ca)

http://www.ebay.com

Has it Made a Difference?

• ‘Middlemen will Die’• some disintermediation, but not to the scale

envisioned• expedia.ca versus travel agents• video versus pay-per-view• dealers versus direct automobiles online

• Auctions do Disintermediate Ebay.com, bid.com, priceline.com

Has it Made a Difference?

• ‘Being First is Key’• substitution is fast• sustainability lies in continuous innovation

• Wal-Mart• FedEx• Google

Web 2.0

Web 2.0

Defined

• If Web 1.0 introduced a customer, then• Web 2.0 introduced a participant

• Evolution, not revolution here• Web 1.0, 1996: 250,000 servers• Web 2.0, 2008: 80,000,000+ servers

Attributes

• Peer Production / Collaboration• Linux, Apache

• OpenSource• Wikipedia

• Crowdsourcing / Sharing• blogging• RSS

• Globalization• Integrity• Interdependence

Peer Production as a Core

• ‘The GoldCorp Challenge’• 1. Give $10 million

to your geologists• 2. Give $575,000

to strangers

Wikinomics

• Collaborate• participatory

news

Wikinomics

• Collaborate• crowdsourcing

Wikinomics

• Contribute• Weblogs

(blogs)

Wikinomics

• Contribute• Weblogs

(blogs)

Wikinomics

• Porosity• Transparency

Where is it Going?

• Peering• against the hierarchical model

• Sharing• against the IP model

• RIAA versus MP3• DRM act in Canada• Skype

• Globalization• collaboration• production

Social Networking in Organizations

• Teaming and collaboration• BestBuy installers wiki

• Recruitment and on-boarding• Linked-In for networking and searching• skills development tools

• Content and Expertise Capture• capturing tacit knowledge

• Innovation