The European e-Business Report The European e ... - empirica

More documents

Recommendations

Info

The European E-Business Report 2005 E-business and the efficiency of development-to-production processes The issue of efficiency of development and production processes is closely related to the more general one of integration along the value chain, discussed above. However, it was treated separately in the study because it needs to be addressed from a peculiar sector-specific angle. Sector-specific factors that currently influence the efficiency of development and production processes are: product proliferation, short life cycle, changing customer patterns, the need for systems that can efficiently handle small orders and production batches, reduced lead times and rapidly changing production parameters. There are diverse strategies which may support companies in dealing with the issue of demand-driven production and lead time shortening. All of them, however, imply that access to sales data should be as detailed and up-to-date as possible. Advances in technologies, such as CRM (customer relationship management) systems, are useful for better capturing, exploiting and managing customer needs and preferences. Distance from the market requires links and agreements with the downstream players of the value chain for such an issue to be effectively dealt with. Availability and usage of structured information on customers and markets are key factors for gaining efficiency. At a general sector level, the usage of CRM applications is limited, being adopted by firms representing 16% of employment. Usage rises by size of the company, but even among larger firms, this application is presently used by less than one third of players. The fragmentation of the supply chain and the distance of many players from the final customers might account for the low diffusion of such applications. Emerging opportunities for marketing and sales Data from the e-Business Survey 2005 show that selling online is not widespread in this industry and that the corresponding volume of sales is quite low. Take-up of B2B e-commerce in the T&C industry has been slower than in other more standardised consumer good sectors (books, music and software). A major reason for this is the problem of product property description. There have been remarkable technological advances, and many EU funded projects in this field are running. However greater technological development, integration and standardisation are necessary to implement systems for full 3 dimensional visualisation, virtual fitting and system independent colour rendering technologies. These technologies are still complex, expensive and require a degree of equipment and literacy which is not commonly at hand in the sector. Although the potential benefits of e-business in exploiting data from market and customers are largely recognised, firms from this sector are poorly involved in its use. The percentage of enterprises that use specific ICT solutions for online marketing or sales is fairly low, representing 14% of the sector’s employment. Even among large firms, only 20% have implemented ICT systems for this purpose. While the large majority of companies have a website, only a minority of them use it with a proactive marketing purpose. An interesting, albeit not typical case study in this context is YOOX, illustrating how the web can be used for developing brand and image. The business example of Greekfashion demonstrates the role that an industry association can have in providing B2B related services to its members. Case studies and business examples The sector report on the T&C industry (July 2005) contains short case studies and examples of e- business activity in companies from the sector. These 'activity views' support the analysis of both the survey and from desk research, and provide further insight in current e-business trends and developments. Exhibit 2.2-3 summarises the 'activity views' which are featured in more detail in the report. 81
The European E-Business Report 2005 Exhibit 2.2-3: E-Business Activity Views featured in the sector study E-Business Activity Views Country Topics Case Study: Rifil Order – the provision of value-added services to SME customers Case Study: Liolà – business process integration at a medium-sized producer of women’s clothing Case Study: Ludvig Svensson AB – more efficient financial and production management and improved customer service Case Study: YOOX – a new approach in the fashion market Business example: Greekfashion.gr Romania Italy Sweden Italy Greece Discussion of challenges and success factors for planning, implementing and introducing an order management system for SMEs implemented by a Romanian yarns producer Discussion of challenges and success factors for planning, implementing and introducing automation of distribution process Insight into the use of CRM and ERP systems to improve company’s efficiency along the value chain Insight into a web-based company which manages marketing and sales activities in the fashion sector through its website Example of a B2B portal which promotes the creation of a communication network among its members, and offers IT services to its customers 2.2.4 Anticipated implications of e-business for the industry Based on survey results, case studies and desk research, e-Business W@tch has drawn conclusions about opportunities and risks which e-business may bring about for SMEs from this sector. Opportunities • Speed up information flows along the value chain • Increase efficiency of internal processes and adopt standards • Extend market reach and increase visibility • Monitor demand changes and exploit customerrelated information • Improve customer service Risks & barriers • Lack of technical skills • Lack of standardisation in business exchanges Opportunities for SMEs stemming from e-business Small and medium-sized enterprises may profit from ICT and electronic business in the following ways: • Speeding up information flows. This is crucial in a sector where market trends are forcing companies towards small batch production, shorter lead times and proximity to the final customer. • Increasing supply chain efficiency. Using e-business to decrease cost and error rates in commercial transactions could be a driver for e-business. Due to the large number of transactions and exchanges along the value chain, even limited improvements can turn into significant savings. • Improving internal processes and adopting leading companies’ standards. By the introduction of e-business applications companies are able to optimise their internal processes, especially in the areas of production, logistics and administration. 82
Page 1 and 2:
The European e-Business Report 2005
Page 3 and 4:
The e-Business W@tch The European C
Page 5 and 6:
The European E-Business Report 2005
Page 7 and 8:
Page 9 and 10:
Page 11 and 12:
Page 13 and 14:
Page 15 and 16:
Page 17 and 18:
16 The European E-Business Report 2
Page 19 and 20:
The European e-Business W@tch Secti
Page 21 and 22:
Page 23 and 24:
Page 25 and 26:
Page 27 and 28:
Page 29 and 30:
Page 31 and 32:
Page 33 and 34:
Page 35 and 36:
Page 37 and 38:
Page 39 and 40:
Page 41 and 42:
Page 43 and 44:
Page 45 and 46:
Page 47 and 48:
Page 49 and 50:
Page 51 and 52: Types of ICT solutions used and pro
Page 53 and 54: The European E-Business Report 2005
Page 101: The European E-Business Report 2005
Page 105 and 106: 84 The European E-Business Report 2
Page 115 and 116: 94 The European E-Business Report 2
Page 125 and 126: 104 The European E-Business Report
Page 153 and 154:
Page 155 and 156:
134 The European E-Business Report
Page 157 and 158:
Page 159 and 160:
Page 161 and 162:
Page 163 and 164:
Page 165 and 166:
Page 167 and 168:
Page 169 and 170:
Page 171 and 172:
Page 173 and 174:
Page 175 and 176:
Page 177 and 178:
Page 179 and 180:
Page 181 and 182:
Page 183 and 184:
Page 185 and 186:
Page 187 and 188:
Page 189 and 190:
Page 191 and 192:
Page 193 and 194:
Page 195 and 196:
Exhibit 3.2-1: Greek information so
Page 197 and 198:
Page 199 and 200:
Page 201 and 202:
Page 203 and 204:
Page 205 and 206:
Page 207 and 208:
Page 209 and 210:
Page 211 and 212:
Page 213 and 214:
Page 215 and 216:
Page 217 and 218:
Page 219 and 220:
Page 221 and 222:
Page 223 and 224:
Page 225 and 226:
Page 227 and 228:
Page 229 and 230:
Page 231 and 232:
Page 233 and 234:
Page 235 and 236:
The E-Business Scoreboard - a two-l
Page 237:
Contact information e-Business W@tc
show all

The European e-Business Report The European e ... - empirica

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?