1 pertemuan 10 understanding public b2b exchanges and portals matakuliah: j0324/sistem e-bisnis...
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Pertemuan 10 Understanding Public B2B
Exchanges and Portals
Matakuliah : J0324/Sistem e-Bisnis
Tahun : 2005
Versi : 02/02
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Learning Outcomes
Pada akhir pertemuan ini, diharapkan mahasiswa
akan mampu :
• menguraikan konsep dan aplikasi portal pertukaran informasi B2B
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Outline Materi
• B2B Electronic Exchanges – An Overview
• B2B Portals
• Third Party (Trading) Exchanges
• Consortium Trading Exchanges
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B2B Portals
• B2B portals: Information portals for businesses
• Pure information portals include:– directories of products offered by each seller– lists of buyers and what they want– other industry or general information
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B2B Portal Examples
• Thomas Register—information portal– Sellers distribute information on what they
have to sell– Buyers can find what they need and purchase
over a comprehensive and secure procurement channel
• reduce costs• shrink cycle times• improve productivity
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B2B Portal Examples (cont.)
• Alibaba.com—started as a pure information portal and is moving toward becoming a trading exchange– Huge database is a horizontal information portal with
offerings in a wide variety of product categories– Reverse auctions – Features–free email, email alerts, etc– Revenue model—advertisement and fees for special
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Third Party (Trading) Exchanges
• Third-party exchanges are characterized by two contradicting properties– they are neutral, not favoring either sellers or
buyers– they do not have a built-in constituency of
sellers or buyers and sometimes have a problem attracting enough buyers and sellers to attain financial viability
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Third Party (Trading) Exchanges (cont.)
• A major problem is:Market liquidity: The degree to which something can be bought or sold in a marketplace without affecting its price
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Third Party (Trading) Exchanges (cont.)
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Third Party (Trading) Exchanges (cont.)
• Buyer aggregation modelbuyers’ RFQs are aggregated and then linked to a pool of suppliers that are automatically notified of the RFQs
• Suitability– aggregation models work best with MROs and
services that are well defined, that have stable prices, and where the supplier or buyer base is fragmented
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Third Party (Trading) Exchanges (cont.)
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Dynamic Trading: Matching and Auctions
• Dynamic trading: Exchange trading that occurs in situations when prices are being determined by supply and demand (e.g., in auctions)
• Matching– supply and demand– quantity, delivery times, and locations
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Dynamic Trading: Matching and Auctions (cont.)
• Auctions– Exchanges offer members the ability to
conduct auctions or reverse auctions in private trading rooms
• auction services as one of its many activities• fully dedicated to auctions
– Many-to-many public auctions—vertical, horizontal, run on the Internet or over private lines
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Building E-Marketplaces
• Building e-marketplaces is a complex process– usually performed by a major B2B software
company• Commerce One• Ariba• Oracle• IBM
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Building E-Marketplaces (cont.)
• Integration issue– Seamless integration is needed between the
third-party exchange and the participants’ front and back-office systems
– In private exchanges the seller’s computing system must be integrated with the customers systems
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Building E-Marketplaces (cont.)
– External communications• Web/client access• Data exchange• Direct application integration• Shared procedures
– Process and information coordination in integration
how to coordinate external communications with internal information systems
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Building E-Marketplaces (cont.)
– Use of Web services in integrationWeb Services enable different Web-based systems to communicate with each other using Internet-based protocols such as XML
– System and information management in integration
management of software, hardware, and several information components, including partner-profile information, data and process definitions, communications and security settings, and users’ information
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Support Services for Public and Private Marketplaces
• Directory services and search engines– Directory services help buyers and sellers
manage the task of finding potential partners
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Support Services for Public and Private Marketplaces (cont.)
• Partner relationship management (PRM): Business strategy that focuses on providing comprehensive quality service to business partners
• E-communities and PRMB2B application needs to provide community services such as chat rooms, bulletin boards, and possibly personalized Web pages
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Support Services for Public and Private Marketplaces (cont.)
• Integration (as per Keenan Report)– Business-to-exchange (B2X) hubs connect all
of the Internet business services• e-merchant services• exchange infrastructure• buying and selling• member enterprises• other B2X exchanges
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Implementation Issues
• Private vs. public exchangesPrivate exchanges: E-marketplaces that are owned and operated by one company. Also known as company-centric marketplaces
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Implementation Issues (cont.)
• Problems with private exchanges– Transaction fees—required to pay transaction fees
with existing customers– Sharing information—do not want to share business
data with competitors– Cost savings—not great enough to attract buyers– Recruiting suppliers—lose direct contact with
customers– Too many exchanges
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Implementation Issues (cont.)
• Supply chain improvers– Companies want to streamline their internal
supply chains, which requires integration with internal operations instead of “plugging in” to an exchange’s infrastructure
• Major problem is trust in the large corporation running the exchange
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Implementation Issues (cont.)
• Software agents in B2B enable customized syndication of content and services from multiple sources on the Internet to any device connected to the Internet– provide real-time, tighter integration between buyers
and sellers– facilitate management of multiple trading partners and
their transactions across multiple virtual industry exchanges
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Example: Asite
• Asite’s B2B marketplace for the construction industry– B2B e-marketplace for the construction
industry in the United Kingdom– This industry is typified by a high degree of
physical separation and fragmentation, and communication among the members of the supply chain is a primary problem
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Asite (cont.)
– Two of the major advantages of the Internet:• ability it provides to communicate more
effectively• increased processing power made possible by
Internet technologies
– Asite decided not to build its own technology, but to establish partnerships with technology vendors that have highly specialized products
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Asite (cont.)
• Commerce One provides the business solution for the portal
• Microsoft provides the technology platform and core applications
• Attenda is the designer and manager of the Internet infrastructure
– Asite is committed to strong partnerships that allow it to seamlessly interact with other e-marketplaces
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Asite (cont.)
– Internet browser is all that is needed to connect to Asite’s portal
– Ease of access makes it particularly well suited to an industry such as construction
• Construction firms streamline their supply chains
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Asite (cont.)
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• Source : Turban, Efraim, David King, Jae Lee and Dennis Viehland. Electronic Commerce. A Managerial Perspective (2004). Prentice Hall. PPT for Chapter : 7