managing e-business & high technology (9)

BS3912 Week 9 1

Managing e-Business & High Technology (9)

Last time – Purchasing and inbound logistics» The rôle of Procurement» E-Procurement» Assignment workshop – some specific guidance

This Week Submitting your assignment Designing an integrated supply-chain (Chaffey Chapter 11)

» Focus group activity – experiences as an e-purchaser» Undertake analysis of e-business systems» Identify key elements of approaches to improve

interface & security design of e-commerce systems» Re-using legacy applications

BS3912 Week 9 2

Assignment 1 Make sure you cover the points that attract marks:

» Executive Summary – write it last, place it first– Make the executive want to “buy” your proposal– For example: “If you do this it will cost X and pay for itself

in Y months, yielding an extra profit of Z over six years”» Introduction and description of your project» Market analysis – environment and opportunity» Revenue and savings » Costs » Analysis of Business Case – back up assertions you made

Hand in your printed report with standard cover sheet Also use Turnitin to send me the file you printed

» Don’t worry if there are hand-drawn bits missing from file

BS3912 Week 9 3

Using Turnitin

You should have received an e-mail from To sign on, use your University e-mail address and the

temporary password supplied, for example:» [email protected]» Wot8Funn1pw

The system will make you change your password to one you can remember, and let you update your details

You are now set up to submit your report» Turnitin will eventually generate a “Similarity report”

highlighting any content that matches stuff in its database» It’s not a perfect process, so don’t expect 0% similarity

E-Mail me if you have difficulty submittinghttp://www.submit.ac.uk/static_jisc/ac_uk_index.html

BS3912 Week 8 4

Getting the Interface rightBuilding the systems to ensure that

promises are kept

What Does B2C e-Commerce Require?

Let’s review our experiences as e-purchasers

BS3912 Week 9 5

Activity: Summarize your experiences

Goal: to examine experiences as buyers to find out what:» Delights online purchasers» Puts them off using an online vendor» Goes wrong» Would make things better

Methodology» Form 2 or 3 groups and make a list of your thoughts» We’ll then consolidate your lists and evaluate each point

Outcome» Some design criteria we can apply to the business

BS3912 Week 9 6

Work-sheet 1

Positive factors(things you’ve liked about an on-line vendor)

1

2

3

4

5

Negative factors(things that have put you off returning to a vendor)

1

2

3

4

5

BS3912 Week 9 7

Work-sheet 2 Errors to guard against

(what went wrong)

1

2

3

4

5 6

Potential improvements(things you’d like to see adopted by vendors)

1

2

3

4

5

BS3912 Week 9 8

Work-sheet 1 (Previous years) Positive factors

(things you’ve liked about an on-line vendor)» FAQs» Global wide range of choice» Good online support / live chat» Competitive pricing» Speed of purchase action» User feedback/reviews» Up to date stock position» Good contact details

Others from earlier years» Easy navigation (matches user

model, or has good search)» Extras (reviews, recipes, newsletters,

tech info…)» Convenience (don’t go out)

Negative factors(things that have put you off returning to a vendor) » Query/ticket black hole» Security worse than appears» Hidden/misleading Ts&Cs» No choice of shipper» Poor after-sales support

Buck-passing» Courier damage en route

Others from earlier years» Pop-ups and adverts» No way to get human response» Unreliable or slow site» Navigation non-intuitive – can’t find

what I want to buy or to know» Frustration with repeated input

BS3912 Week 9 9

Work-sheet 2 (Previous years) Errors to guard against

(what went wrong)

» Unconfirmed orders (did I pay or not?)

» Crash halfway through» Arcane editing rules or

No feedback on user error» Empties form on error» Choice not on drop-down

Others from earlier years» Complacency (no enhancement)» Not holding customer data but

asking for it again» Lack of live link to LoB system» Wrong Goods supplied

(fraudulently or in error)» Late delivery

Potential improvementsto be adopted by vendors» Courier Service

– warns of delivery– Choice of courier– Ability to have goods left

» Clarity & usability– Good search facilities – Clear shipping cost and VAT– Navigation matches buyer’s

view of the world» Order/shipment tracking» “Goodwill repair”

Others from earlier years» Better Images of products» Confidence in Security

BS3912 Week 9 10

Issues of Web-Based Development Benyon-Davies (p.436) sees

this as a complex process» Consumers depend on IT

system, » which is funded by business,» which is funded by consumers

Consumers see front-end system..» ..and judge you on them,» but revenue depends on

robust back-end systems The same model holds for

intranets (internal customers)» Key thing is to understand the

consumers

ICT system

ConsumerProducer

Production Consumption

Investment

From Benyon-Davies (2004) E-Business, p.437

BS3912 Week 9 11

Workflow Management is key component

To understand workflow, we need to analyse stakeholder requirements and expectations

Then devise the simplest approach to meeting them…» …not forgetting that not every interaction will fit our model,

and that we need to consider how to put errors right» Flow of work will therefore include exception flows

Serious problems arise if you get it wrong:» Kent CC investment in crashing Icelandic bank

(paid consultant for warnings on credit rating changes, but warning email went only to officer who was on leave)

» HBOS systemic ignoring of letters(scanned in OK, but nobody charged with answering them)

BS3912 Week 9 12

Real Business is Event-driven

Activities can be classified as Reactive or Event-driven

» We react to an EVENT by starting a PROCESS » For example: phone rings, we talk to a customer and begin

an enquiry or order process

Self-driven – a chain of related actions» Automatically proceed from one task to another» For example: classic production-line, or» continuous process of steel-rolling

Typically we do a mixture of the two:» Each event interrupt starts a process of several stages

BS3912 Week 9 13

A Business Process in an Estate Agent

Trigger is approach by potential vendor

Speed is essential, but process must be thorough

Once listing is complete, new processes can occur» Produce “particulars”» Match to registered

buyers and inform them» Post listing on web and

distribute particulars» Negotiate inspections…

Chaffey Fig.11.1

BS3912 Week 9 14

Plan for the Week’s Learning Undertake analysis of e-business systems

» Start with a simple mail-driven scenario» Think about how it would be handled by software

Identify key elements of approaches to improve interface design of e-commerce systems» Requires understanding of stake-holders» and their different tolerance and requirements

Identify security requirements and map them on software facilities

Some symbols(Chaffey: Fig.11.2)

BS3912 Week 9 15Taken from Chaffey: Fig.11.3

Main Operations for Workflow Software

BS3912 Week 9 16

Event-driven Process Chain (EPC) model

from Chaffey: Fig.11.4

BS3912 Week 9 17

Understanding our Data

Many of the data-objects persist through the chain» Each activity exists to change data, or to» Provide it to one of the humans or other systems involved

Normally we use a database as the glue between actions, and perform Data Modelling» First stage is to identify ENTITIES – groupings of data that

usually apply to something or somebody in the real world» Entities could include Customers, Employees, Orders…» Properties of the object are handled as ATTRIBUTES of

the Entity» Then we look at the RELATIONSHIP between entities» Result is an Entity-Relationship model (BS2907)

BS3912 Week 9 18

Generic B2C Entity-Relationship diagram

Taken from Chaffey: Fig.11.5

BS3912 Week 9 19

System Architecture for e-Business

Usual structure is Client-Server» Server holds shared data centrally» Client software interacts with user of system

Client can be generic, like a web-browser, orspecial-purpose, like a proprietary EDI client

Server could be one or more systems» Web servers are often single layer (even if duplicated)» Anything more secure will be layered

– Internet-connected server handles incoming user request– Checks requests then passes them to an application…– Which itself may use a database server

» Fact: Applications fail, standard software is more reliable

BS3912 Week 9 20

Three-tier Client Server for e-Business


BS3912 Week 9 21

e-Business Architecture

modified from Chaffey: Fig.11.7

Firewall goes here

BS3912 Week 9 22

Usability

ISO Standards » 9241-11: Guidance on Usability (1998)

Usability: the extent to which a product can be used by specified users to achieve specified goals with effectiveness, efficiency and satisfaction in a specified context of use.

» 13407 covers Human-centred design processes for interactive systems

» TR 16982: Usability methods supporting HC design Source: Bevan, N International Standards for HCI and

Usability in International Journal of Human Computer Studies, 55(4), 533-552 (online at http://www.usabilitynet.org/papers/HCI-Usability_standards.pdf

Also by Bevan: http://www.usabilitynet.org/trump/

BS3912 Week 9 23

General Considerations Bevan proposes some approaches in the diagram below Deep analysis is needed between stakeholder meeting

and first prototype» Use-case analysis is a popular way to achieve this

From http://www.usabilitynet.org/trump/

BS3912 Week 9 24

Use-Case Analysis Approach

Identify Actors» These are objects or people that interact with the system» But are not part of the system

Identify Use-cases» The different things actors may want to do with the system» Typically activities that are part of the actor-system

dialogue, such as starting it, amending data… Relate Actors to use-cases

» Try to ensure that any actor can do anything relevant Develop use-case scenarios

» Start with pre-condition (e.g. user active on web-site)» Then define a task to be completed (e.g. Register)

Schneider and Winters (1998) cited by Chaffey

BS3912 Week 9 25

Actors and Use-cases

Chaffey: Fig.11.8

BS3912 Week 9 26

Use-case Scenario for Purchase Cycle


BS3912 Week 9 27

Primary Scenario for Register use-case


BS3912 Week 9 28

Development of User Community

Some of our users are internal, or may be employed to use the system

Customers are not – they’ll not visit unless there’s something in it for them» We may be able to improve experience by personalizing it» Though some customers may see that as intrusive

Others may have commercial reasons to use our system

User familiarity with the Internet is also a factor» In the early stages, you can scare users away

(only problem when you target a new demographic)» Later they’ll have expectations and leave if they’re not met

BS3912 Week 9 29

Different types of audience


BS3912 Week 9 30

Development of Internet user familiarity

Taken from Chaffey (2003): Fig.11.13

BS3912 Week 9 31

Customer scenarios and service quality

A customer scenario is a set of tasks that a particular customer wants or needs to do in order to accomplish his or her desired outcome

Customer

I want to... I want to...I want to...I want to...

SuccessfulOutcome:

Patricia Seybold, The Customer Revolution

Example:• New customer – open online account• Existing customer – transfer account online• Existing customer – find additional product

From Chaffey, online resource

BS3912 Week 9 32

Site Navigation Schemes

It’s usually held to be a good thing if every page is available with the minimum number of clicks, but:» This implies larger number of choices at each level…» and so more reading before the click

In reality, we should seek to minimize time taken to find required information» Needs good understanding of users’ view of the site» Which will not be the same as the company’s

Optimization involves a shared taxonomy» Sections of site should have mutually understood purpose» Users select a coherent section from options as needed» Each section organized to match user expectations

BS3912 Week 9 33

Site Design Background

Assume that web users are fickle and impulsive» Leave your site if they can’t quickly figure it out» So make it easy to enter site and get some value out» Navigation must be clear, simple and consistent» Organization of site must match users’ expectations

Site is part of your organization’s branding» Style, aesthetics and personality must support the brand» Usually implies need for consistency» Content must be engaging and relevant

“Users spend most of their time on other sites. This means that users prefer your site to work the same way as all the other sites they already know” Jakob Nielsen

BS3912 Week 9 34

Site Design Principles

Follow standards and emulate best-of-breed Support Marketing Objectives Support Communication Objectives Recognize customers’ familiarity (or lack of it)

» with Internet, company, products, and this web-site Minimize technology pre-requisites

» Connection speed, screen resolution, browser, plug-ins Aesthetics: Graphics, colour, layout, typography, clutter Structure – not too deep or too shallow Navigation

» Where am I? Where next? How do I get there (or back)?

BS3912 Week 9 35

Deep and Shallow Site Organizations

Taken from Chaffey: Fig.11.15Deep hierarchy

Shallow hierarchy

BS3912 Week 8 36

Security

Being covered in more depth in BS3909

BS3912 Week 9 37

Misuse of Information Systems

Chaffey: Fig.11.17

Chaffey: Fig.11.19

BS3912 Week 9 38

Slammer Worm – the first half hour

Chaffey: Fig.11.18

BS3912 Week 9 39

Do you Trust the Internet?

Any packet you send can be inspected en route » Some form of encryption is vital for privacy» e-mail is in clear, so don’t include credit card information

e-Commerce depends on Public Key Cryptography» Messages are encrypted with a public key, but can only be

decrypted by a corresponding private key » You can also do the opposite – encrypt with a private key so

the messages can be decrypted with a public key – useful for authentication as nobody but you can encrypt

» SSL (secure sockets layer) makes this easy to use

These approaches can be combined into a Secure Electronic Transaction

BS3912 Week 9 40

Security requirements for e-commerce

Authentication – are parties to the transaction who they claim to be?

Privacy and confidentiality – is transaction data protected? » Consumer may want to make an anonymous purchase» Are all non-essential traces of a transaction removed from

the public network and all intermediary records eliminated? Integrity – is whole message sent and not corrupted? Non-repudiability –

ensures sender cannot deny sending message Availability and reliability –

how can we eliminate threats to continuity & performance?

BS3912 Week 9 41

Public-key Cryptography


BS3912 Week 9 42

Secure Electronic Transaction (SET)

Chaffey (2003): Fig.11.19

3

1a

1b

5b

5a

4a

4b

BS3912 Week 9 43

Open Buying model for B2B

For B2C, we usuallyhave separate relationswith each vendor

On B2B, there could becomplex networks oftrade

One proposed way tostandardize is this OpenBuying Model from Visa,MasterCard, Microsoft…

Another is the “OpenTrading Protocol”, but this has done littlesince 1998

Chaffey: Fig.11.20

BS3912 Week 9 44

Legacy Applications

Term used to describe stuff that works Sometimes it’s very old

» Over 30 years in some cases (CICS announced in 1969)» We may have lost the source code, but that’s not a major

problem if nothing has gone wrong for the last ten years» Components have been working together well» BUT: typically designed for a pre-Windows world

Often efficient to put a modern interface on to it» Web interactions are passed to legacy code on server» Most application environments contain web interfaces to

bridge to legacy applications Legacy systems integrated in Waterstone’s Case Study

BS3912 Week 9 45

Summary

Understanding on-line customers isn’t easy» But we need to try to do it well» Use-case analysis is a valuable technique» It can help us maximize user satisfaction,

and even get an optimal site navigation scheme

Security of e-Commerce is essential» Most implementation rely on public key cryptography» SSL is part of the protocol stack of all major Operating

systems – make sure it’s set to 128-bit encryption» Secure Electronic Transactions supported by banks

Front ends to legacy applications help with reliability

BS3912 Week 9 46

Invitation from IBM Hursley

Smarter Cities Night event on the 9th May 2011 from 16:00 to 18:30 at the IBM Innovation Centre, Hursley (Near Winchester)

http://www.youtube.com/watch?v=_6b_ztbpRaw&feature=related During the evening we will provide to you a deep dive into

IBM's vision for Smarter Cities, the current and future city challenges, and insights into how technology can serve citizens' needs.

This event has been specifically tailored and organised for an academic audience.

The evening concludes with a Panel Discussion Please register at http://ibm.co/smartercitiesnight

managing e-business & high technology (9)

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