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xiv Preface

Supply chain man- From this definition, it is apparent that e-business involves looking at how electronic
agement (SCM)
communications can be used to enhance all aspects of an organization’s supply chain man-
The coordination of all
supply activities of an agement. It also involves optimizing an organization’s value chain, a related concept that
organization from its describes the different value-adding activities that connect a company’s supply side with its
suppliers and partners to
its customers. demand side. The e-business era also involves management of a network of interrelated
value chains or value networks.

What is e-commerce management?

Electronic To this point we have exclusively used the term ‘e-business’, but what of ‘e-commerce’? Both
commerce these terms are applied in a variety of ways; to some they mean the same, to others they are
(e-commerce)
All electronically mediated quite different. As explained in Chapter 1, what is most important is that they are applied
information exchanges consistently within organizations so that employees and external stakeholders are clear
between an organization
and its external stake- about how the organization can exploit electronic communications. The distinction made in
holders. this book is to use ‘electronic commerce’ (e-commerce) to refer to all types of electronic
transactions between organizations and stakeholders whether they are financial transactions
Value chain
or exchanges of information or other services. These e-commerce transactions are either
A model for analysis of
how supply chain activi- buy-side e-commerce or sell-side e-commerce and the management issues involved with
ties can add value to each aspect are considered separately in Part 2 of the book. ‘E-business’ is applied as a
products and services
delivered to the customer. broader term encompassing e-commerce but also including all electronic transactions
within an organization.
Value networks Management of e-commerce involves prioritizing buy-side and sell-side activities and
The links between an
organization and its putting in place the plans and resources to deliver the identified benefits. These plans need
strategic and non- to focus on management of the many risks to success, some of which you may have experi-
strategic partners that enced when using e-commerce sites, from technical problems such as transactions that fail,
form its external value
chain. sites that are difficult to use or are too slow, through to problems with customer service or
fulfilment, which also indicate failure of management.

How is this book structured?

Electronic business The overall structure of the book shown in Figure P.1 follows a logical sequence: introducing
(e-business)
e-business terms, concepts and history of development in Part 1; reviewing alternative
All electronically mediated
information exchanges, strategic approaches and applications of e-business in Part 2; and how strategy can be
both within an organiz- implemented in Part 3. Within this overall structure, differences in how electronic com-
ation and with external
stakeholders supporting munications are used to support different business processes are considered separately. This
the range of business is achieved by distinguishing between how electronic communications are used, from buy-
processes. side e-commerce aspects of supply chain management in Chapters 6 and 7, to the marketing
perspective of sell-side e-commerce in Chapters 8 and 9. Figure P.1 shows the emphasis of
Buy-side
e-commerce perspective for the particular chapters.
E-commerce transactions
between an organization
and its suppliers and Part 1: Introduction (Chapters 1–4)
other partners.
Sell-side Part 1 introduces e-business and e-commerce. It seeks to clarify basic terms and concepts by
e-commerce looking at different interpretations of terms and applications through case studies.
E-commerce transactions
between an organization Chapter 1: Introduction to e-business and e-commerce. Definition of the meaning and scope
and its customers.
of e-business and e-commerce. Introduction to business use of the Internet – what are the
benefits and barriers to adoption and how widely used is it?