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Developing eBusiness Applications

eBusiness applications can be quite complex. They may consist of hardware, software, people, procedures and information. Accordingly, application development projects can also be quite complex. Some projects might be focus on a specific function like taking sales orders online while others are concerned with integrating all of an organizations disparate parts (Accounting, HR, Sales, Logistics, Manufacturing, etc...) into one single interconnected nervous system. Others still might involve several companies and attempt to streamline a value chain which spans across organizational boundaries.

For a variety of reasons a business may choose to build an application from scratch, to buy tools and technology parts and put them together, to buy customizable packaged solutions, or buy the use of an application from a remote 3rd party network. Here is an overview of some eBusiness development options.
ebusiness_development_options.png

Posted by Mark Hemphill on February 4, 2004 | Permalink

Comments

Hi! I found this section of the lecture today kinda interesting. I mean it didn't really surprise me awhole lot, but it was interesting. But now that I think about it, I can understand why different components of the ebusiness may have to form partnerships with other companies or even other parts of its own business just to make the whole ebusiness work. As long, as you can trust the company you are forming a partnership with, I think the idea is great. It seems to make life easier for everybody and both sides of the partnership benefit from it. I found it interesting to learn how ebusinesses develop and the different ways they develop!

Posted by: Jen | Mar 1, 2006 11:57:46 PM

Developing ebusiness aplication is complex and so much understanding from the both side of the customer of the application and the builder of that application.Though it is complex but i find this topics interesting and find many understanding about the development process of ebusiness.The customer can build the applicatiion in his own for his company or he can purchase it from the builder company who are specialist.As they have some specific need,when they use this software package in different sector so they want those kinds of package which will meet their needs as well as which will be cost effeting for them.When they need this package they go to the builder.The builder do the rest for them.From the buyers point of view they will consult with the company what they want and they will try to meet their option what they choose.In this way they build the partnership which is necessary in ebusiness.The partner also give the buyers company solution if they further needs.So this context of this lecture is quit interesting,it gives the option the ebusiness have for developing the ebusiness application.

Posted by: MD.GOLAM MORTOZA | Mar 3, 2006 6:27:46 PM

I found reading this post not very interesting or informative, until I got to the graphic. It really made the example of eBusiness Development Options become more clear and easier to understand how they are interconnected like networks. I was wondering if anyone knew of some examples of businesses that may "choose to build an application from scratch" ?

Posted by: Tasia Bulger | Mar 3, 2006 9:50:49 PM

Well Tasia, I can think of one specific business that would build their own application - the Canadian Government. Some of the systems we currently use at my workplace (S'Side Tax Centre) were built from the ground up by our technical people (IT Support) years ago (and some of them need to be updated big time!). The reason for this is that there were no other businesses doing the same type of work, especially on the grand scale that the government was at the time.

However, in recent years, things have changed. Last year, the Canada Revenue Agency (CRA tax people) implemented a new software package purchased and customized by an outside provider, SAP, to replace several stand-alone software products that included: timesheet reporting, inventory management, procurement (ordering supplies), staffing, accounting, etc.

This new system was not optimistically anticipated by the staff, especially those in human resources, but through a long (2-year) implementation process, all players involved were included in the planning and testing stages to minimize the negative impacts on all staff.

The last year has seen its ups and downs in the training and utilization of this new software (CAS system provided by SAP), but after working out the bugs, it is certainly more efficient than its predecessors. The management team of the CRA was forward-thinking in providing staff with lots of training and practice sessions to learn the new system before it was finally implemented, which allowed users to make mistakes and learn from them in a safe manner.

Although, this was a purchased software, we continue to offer up suggestions for improvements, and for the most part, our IT support folks make the upgrades themselves; however, if the need arises, they do consult with the SAP technical staff when problems arise that may require additional input on the workings of the base software.

So, the diagram above is very familiar to me after having gone through our own software implementation process at work. It can work very easily with the proper preparation.

Posted by: Michelle Neill | Mar 4, 2006 11:41:36 PM

I am preparing for the test and I forget how the "outsource" section works. Can someone give me an example?

Posted by: Charity | Mar 23, 2006 12:02:39 PM

Hey here is an example of Dell computers outsourcing. Dell Outsourcing Bringing business to India, servicing customers in the United States. Most business do this to for cost benefits. Although there may be other disadvantages involved as well. Many American companies like Dell have moved customer service divisions back to America as a result of poor quality customer service.
This might help too: Outsourcing

Posted by: Nick Diamond | Mar 25, 2006 2:40:31 AM

Hey Good stuff. Yes I agree developing an application is complex and most of all it can cost a lot of money if it fails to operate as we intended it to do. And I believe outsourcing is the way to go. Because it saves a lot of money and it makes your business profitable. I will use the same example as the one above. Apple builds computers and designs their own software’s. But Dell outsources their software from Microsoft and other software companies. If you compare the 2 compare the 2 companies you will see dell is well known and is widely used and most of all is the top PC Company in the world.

Posted by: Patient Nkulu | Apr 7, 2006 10:59:20 AM

Posted by: keshava Raghu Urs | Sep 22, 2007 7:30:53 AM

To be completely honest, I'm really confused about this topic. To me, it seems like you can pick a computer from a place like Dell and put your own options into it. Almost like when buying a car. This is why i'm confused..a little help?

Posted by: Katelyn Murnaghan | Oct 9, 2007 1:19:24 PM

From the eBusiness development model, I don't understand what hybrid means. Can you please clarify this?

Posted by: Karen Deveaux | Oct 9, 2007 8:50:20 PM

Hi Katelyn, honesty is good!

You're thinking about personal computers when you ask this question - a relatively simple purchase. A business doesn't buy technology quite in this way. In business a software purchase is a very strategic thing. It can make or break a company.

Typically they decide what kind of business solution they want to create and then either build it themselves, buy a packaged solution, or acquire the services of a third-party to do all the work for them (either build it for them or offer it as a web service).

Posted by: Mark | Oct 10, 2007 9:59:31 AM

@ Karen,

Ok, so do you know what a hybrid is? A hybrid is something that combines elements of different, otherwise separate things.

In this case there are ebusiness development options that are a combination of these major options.

Some examples:
Build + partner: This would be when a company acquires the services of an outside firm (partner) to develop a custom software solution for them (build).

Buy+partner: This would be when a company acquires the use of a software solution (buy) from a partner who hosts the software and offers it as an online service to the company through a network.

Buy+build: Some software exists to help you create other software. An example of a buy/build hybrid would be when a company buys an application toolkit which they then use to build their own custom software solution. The toolkit may save them a lot of time and money in the development process. It gets them started. But then they go ahead and use it to develop (build) their own specific application.

Posted by: Mark | Oct 10, 2007 10:07:38 AM

Mark you made this topic very simple and convenient with your explanation. Thanks.

Posted by: Shakti Arora | Oct 17, 2007 5:40:59 PM

That really cleared things up

Posted by: Nick Drake | Nov 26, 2007 2:41:11 PM

That really cleared things up

Posted by: Nick Drake | Nov 26, 2007 2:41:58 PM

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