IMPACT OF E-COMMORCE IN SUPPLY CHAIN CASE OF ABRAA.COMTHESIS STUDENT NAME: AISHA MINHASREGISTERATION NUMBER: 3152-9001001SUPERVISOR NAME: Dr.MUMTAZ ALINEWPORTS INSTITUTEOF COMMUNICATION & ECONOMICSACKNOWLEGEMENTStarting with name of Allah almighty who blessed me for the opportunity for postgraduate to flourish and make my future bright. Project of MBA final year with majors of Supply Chain and able make protrude analysis on the fastest growing magamanent of supply chain with collaboration with internet. Supervisor Dr Mumtaz Ali helps me out to for this case of study and give a great delivery of knowledge, ideas and their research papers make my project more efficient and effective.
Beside this my father Farooq Ahmed Minhas the man who encourage and help me out to gather data and strengthens me to make and give my best output. I am very thankful to my supervisor who helps me when I need his help, my place of education where my dreams come true Newports Institute of Communication & Economics provide platforms to implement my ideas through which we taught throughout in MBA courses ,provide the most efficient and practical teachers who give confidence to students to prove themselves in this race of world and get the best jobs. The main tools provided by institute is library where we can find number of books to enhance the knowledge and should be competed with intelligent and guanine ideas. TABLE OF CONTENTS Chapter 1 – Introduction Background StudyStatement of the ProblemResearch QuestionsResearch ObjectivesSignificance of Research 1.6 Limitations and delimitationsChapter 2 – Review of Literature Literature reviewTheoretical frameworkHypothesisChapter 3 – Research Methodology The design methods and proceduresSamplingSInstrument SelectionData CollectionChapter 4 – Results and Discussion ResultsDiscussion of results Chapter 5 – Conclusion Conclusion RecommendationsCHAPTER 1INTRODUCTION1.1BACK GROUND OF STUDYE- Commerce dates back to the invention of the very old notion of “sell and buy”, electricity, computer, modems, cables and the internet.
E – Commerce become possible in 1991 when the internet was opened to commercial use. Since that date thousands of business have be taken up residence at websites. At first, the term commerce meant the process of execution of commercial transaction electronically with the help of the leading technologies such as Electronic Data Interchange (EDI) and electronic fund transfer (EFT) which gave opportunity for users to exchange business information and do electronic transactions. The ability to use technologies appeared in the late 1970 and allowed business companies and organizations to send commercial documents electronically. Although the internet began to advance in popularity among the general public in 1994, it took approximately four years to develop the security protocols (for example, HTTP) and DSL which allowed rapid access and persistent connection to the internet. In 2000 a great number of business companies in the United States and Western Europe represent their service in World Wide Web. At this time the meaning of E – Commerce was changed.
People began to define the term E – Commerce as the process pf purchasing of available good and services over the internet using secure connections and electronic payment services. By the end of 2001, the largest form of E- Commerce, business to business (B2B) business model had around $ 700 billion in transactions. According to all available data, E – Commerce sales continued to grow in the next few years and, by the 2007, E- Commerce sales accounted for 3.4 percent of total sales. Connecting supplier and buyer was the old mean of communication for the purpose of sell and buy the product.
In early 90’s introduction of logistics give evolution to supply chain management which deals from planning ,sourcing , manufacturing , warehousing are also those activities that will be implemented in state of 20’s by United State of America. Than emerges of supply chain with E- Business become the rapid phase of doing business as it not only safe time but also lead to reduction of cost of product which will result for both seller and buyer in term of price satisfactions. Supply chain in field of business growing rapidly. In the era of 21st century boosting of E- commerce now it’s also known as E-business entering in form of versatility to from B2B business model. Now business world become race in which frequent change of business strategy, operations, information and IT (Information Technology) make work easier but make complex to meet rapid advancement in technology field.
We can find number of E –Business website that is connecting the world globally. Being a business runner to meet my customer demand need of supplies will take a second where we find number of exporter of our product .In that context E-Business give comfort zone to both exporter and importer. Main element of Supply chain is depending of raw material, manufacture, storage house, distributor, retailer and customer. Turning Supply chain towards E- Business it merges elements of supply chain in Vendor and procure form.
These electronic meetings give resolution in domain of supply chain. As upcoming time is going to be known as computerized data base because from retail shop to company level everyone is going to use different software to store data packages. E- Resource Planning current drive of E-Commerce now getting apparent feature in supply chain. Upgraded version of E-Commerce in form of ERP-II is using in business.
Through E-Commerce it’s lowing the cost of production and increase the efficiency of company the most important it saving the time so its result to lead competitive edge of our competitor. Abraa.com the word Abraa is the Arabic word for a tradional wooden board that connects people and carry goods.Abraa.com is where MENA regions business and traders go to the source product from manufactures and suppliers from globe of the world.Abraa.com formerly known as Dubailist.
com is based in Dubai and is currently operating 3 different countries with the ethos of connecting market.Abraa.com enables buyers to source the products with confidence and ease.
That in return empowers our member with authentic buying request, genuine opportunities for upselling and future business prospects. Mission to make it easy to do business around the globe. We have also developed cutting edge tools and marketing strategies for our distributors, supplies and resellers giving them research global audience for their products. We also verified and Trusted partners so that you can purchase through Abraa with assurance and peace of mind.
1.2STATEMENT OF THE PROBLEMMostly people are not familiar with E-Business. Due to unawareness people think it is only buying and selling good on platform of Internet. People think that online business is fraud here want to change mind set of public sector of business. How it changes the element of supply chain and synchronize. Advancement of technology in business in form of E- Business changes the process of supply chain. Also how online business reduces cost of production, globally product will promote and it increases sale of business.
In actual practice selling good and service is complex process and lead to high cost for product in which we need a labor, data collection, data entry, operational cost and many other miscellaneous expenses that make increase in price of production. It take number of days to connect supplier with actual buyer which result the activities are going slow of business and other competitor enter in the market and win the customer satisfaction . 1.
3 RESEARCH QUESTIONWhat is the way that E-Business reduce cost of production?What are the components of supply chain affects E –Commerce What are the leads of product through E –Business?What are the procedures that online business increase sales of good?1.4 RESEARCH OBJECTIVESFocusing on importance of E- Commerce and its impact on supply chain and globally as both has its broader aspect now becoming important day by day. E-Business connecting the world means one country to other country from it domain. Firstly in early 90’s people will travel to expand its business to a particular country.
E-Business now a days reducing time of and connecting particular business globally. Now it shorter the process of supply chain collecting, planning and designing the information to make elements of supply chain to work efficiently. Integration of E-Business and Supply chain is going to change and give dimensions to B2B business model. Technological converge is having a profound impact on business, much as other converging force of supply chain in to electronic ways gives significant potential result to increase in sales of business inform of large output not improve company profile also have deviated impact on economy. 1.
5 SIGNIFIGANCE OF RESEARCH Integration of elements of Supply chain and E-Business through this research will provide the impact of E-Commerce that how it gives diversified result to business. It not only meaningfully to supply chain but also other parts of business. Coming world is going to know as “DIGITAL WORLD” is going to be common in business, so it will help business to understand how online business in terms of E-Business/E-Commerce are prevailing and give an more and more impact on demanding of supply chain. As modern medium is introduced in supply chain management in form of warehouse , logistics , connection between supplier and buyer on one platform via internet known to be E- Business make ease of activity to do business transaction under one umbrella .
Significant cost saving from the disintermediation of supplier relationship and distribution, that elimination of middle man is the most wide spread about the impact of it .Instantaneous transmission of information via E- COMMORECE direct relationship between supplier and companies. Now there are major three ways that E- Commerce has converted supply chain cores into B2B electronic business model. Securing ware house space towards online retail experience affect only how supply chain is are managed, but where and how inventory is housed between production and delivery to consumers. As shipper navigate the current transitory state from E- Commerce .As shippers adapt to service online shoppers and face limited supply but increasing need for warehouse , they can turn logistics and technology towards to maximize the efficiency with which they operate in space available to them.
New technologies the popularity to improve supply chain management continue to rise towards online shopping needs to rely. With ware house space limited and customer experience service expectations reaching new heights, strategy can rely on both hardware and software solutions to improve supply chain practices. This study will also help in a better understanding of how E-commerce related awareness can be spread so that even small scale businesses can flourish by making their supply chain methods even efficient. It will also aid the multinational companies in delivering their orders more quickly and in dealing with the increasing demand of products and services both. E-commerce is necessary to cater to the needs of all customers at all times.
It uses state of the art technology and is capable of helping the users choose from multiple options and easy to access software. This can be advanced and improved from time to time to help the efficiency increase even more. Since supply chain is a field of providing opportunities, E-commerce will be an added bonus when the two combine. LIMITATIONS AND DELIMTATIONSDiffusion in field Supply chain operations through E- Commerce meet with business world globally also make the process easier and change in methodology work in supply chain resulting increase of output of result in their product. Number of people growing their business through internet to extend, growth and promotion of business though internet. Expeditiously people are adopting this phase of E-Commerce in order to upgrade it according to growing and prevailing of internet impact on all fields of business you see Middle East Market, Europe Market etc. Working on that phase of integrations of Supply chain and E-commerce.
The diffusion of E-Commerce has been accepted by many organizations and operations. Especially in supply chain management and the integration of partner firm, the diffusion of E- Commerce improves information coordination. The adoption and diffusion E – Commerce in a supply chain operational environment can reduce uncertainty and improve coordination. When scope of E-Commerce diffusion is completely extended to supplier and buyer in supply chain operational environment the coordination result will satisfy different competitive performance need. Large scope of is completely lead to better performance of business activities.
Environment of E- Commerce limits the source of primary data where as it give the source of secondary data. Also it hits the local market in comparison of international market that deals electronically through source of internet. General practice of selling and buying are Obsolete through online business. With E – Commerce comes the perception that the business environment is more dynamic and become more uncertain than its traditional counterpart. The exchange of information is difficult, help to give congregate information of product and industry.
We can only give specific data about product. It limits the following point while using tool components of supply chain:Communication perspective: It limits the delivery of good and services, information, or any payments over computer networks. Business process perspective: E- commerce is the application of digital technology toward the automation of business transaction and work flow.Service perspective: E – commerce is tool that addresses the desire firm, consumer and management to cut service costs while improving the quality of good and increasing the speed of service delivery.Online perspective: E- Business is a tool provides the capability of buying and selling products and information on the internet and other online service.Collaboration perspective: E – Commerce is the frame work for inter and intra-organizational collaboration.Community perspective: E –Commerce provides a gathering place for community members, to learn, transact, and Collabra As proceeding towards modern technology (very common words are now use in Developed parts of country ROBOTICS), mentioning this word because are coming world is totally depend on computer technology. B2B and B2C business trend are very common and getting fame day by day in business world through E-Business that merges every operation of business and making business life cycle complicate .
Invention and now innovation carries more complex but have versatile effect on internet business. Innovation in technology and other advancements making supply chain to fast boost. E-commerce (electronic commerce or EC) is the buying and selling of good and services, or the transmitting of funds of data, over an electronic network, primarily the internet. These business transactions occur either as business to business, business to consumer, consumer to consumer or consumer to business. The term e- commerce and e- business are often used interchangeably. The term e-tail is also sometimes used in reference to transactional process for online shopping.
Electronic Business is the practice of selling good and service through internet and carrying other business activity by computer. An electronic transaction is the sale or purchase of good and services, whether between business, household, individuals, government, and other public or private organization, conducted over computer – mediated networks. The good and services are ordered over those networks , but the payments and the ultimate delivery of good or service maybe conducted on and off line. In commerce supply chain management, the management of the flow of goods and services involves the movement of storage raw material, of work in process inventory, and of finished goods from point of origin to point of consumption. Interlinked networks channels and mode of business combine in provision of good and service required by end customer as supply chain management involves design, planning, and execution building a competitive infrastructure. Supply chain management practically draws the practice of areas of industrial engineering ,operations of management , logistics , procurement , information technology are strived an integrated approach.
To satisfy customer is the highlighted element of SCM which meet the challenges in form make product cycle innovative, maximize profit, amount of data, increasing number of alternative.CHAPTER 22.1 REVIEW OF LITERATUTRESE-Business customizes the process of supply chain. It gave rapid phase to complete the business targets without any was time, good and services. Environment of E-Commerce give speed, complete information, market information and competition, visibility of product, services and finance facility. In contrast with connecting main component of supply chain supplier and buyer on one platform. Relationship between E- Commerce and Supply chain is becoming and developing more rapidly because it give ease to do business online and internet that connect and make web of connectivity of people. The value of working in stage and by best segments is captured wholly by constructive a new “WEB” connecting the globe of world through internet integrates and shorter supply chain elements and wastages of time only on one click you can order numbers of order just in time (Tyndal et al.
) The meteoric growth of internet based on E- Business at the turn of last century is truly baffling. During the last decade of, this market space has grown in several directions .In first decade period the emergence of portals and search engines. Business to Business segments is going to operate in internet business market place, they innovated unique proposition to create value in process. Dimensions of business model involve the following elements describe below:The technology aspect primarily comprising of telecommunication, networking and other infrastructure issue. The software domain that includes programming language, web page and design, customer interface and transaction management, security and privacy management large scale data mining.
The management aspect that deal with the strategy of organization for value creation for growth and retention of customer satisfactions and development. The statuary and legal dimension that address various cyber laws dealing with security, crimes etc. Government policies for nurturing the internet base E- Business / E – Commerce. This introduction depicts that how variable both dependent and independent create interlinked connection that make and give use full impact that E- Business relies on component of supply chain management. Every component of SCM play vital role to make E-Business efficient and effective.
When we talk about the relationship of E-commerce with Supply chain we not only discuss the benefits it brings to the companies but also the customers as it is a mutually benefitting relationship. It helps make things easier to handle and to cope with the increasing demand of supplies as it is a more effective method of delivering things on time. E – COMMERECE A dependent variable is what you measure in the experiment and what is affected during the experiment. The dependent variable responds to the independent variable.
It is called dependent variable because it depends on independent variable. The next business resolution are the nexus of people , computer , network in terms to achieve business goals by selling good and service by reducing cost of good these combination will be called as E-Commerce (Palmisano, 1998). Electronic data has been used to interchange widely in transformation between supplier buyer and customer. Bar coding is still heavily used to ensure and product tagging. These long established technologies are not expensive as compare to RFID, when considering their boost implementation in micro and macro level in supply chain (Smith, 2005). Internet fairly entertains E-Customer to access the product and services, vertical information (product access to supplier) easily accessible at low cost (Kolesar ; Galbraith, 2000).
E- Business places new demands not only give delivery on new technology, but on the way that business process are designed. At present, technology is forcing organization to embark on E – Business before they have built a coherent model of the business process they need ( Froehlich et al , N/A ). E- COMMORECE HIERARCHY 1381125-171450ELECTRONIC MARKET00ELECTRONIC MARKET378142439433518287992595246VALUENETWORK00VALUENETWORK3075940310070500101917530721290040005002319654BYER /CUTOMER00BYER /CUTOMER-285762424430MANUFACTURE00MANUFACTURE962025100330 In above E- Commerce hierarchy and model tells internet plays vital role for supply chain components connecting supplier and byer on one platform.
Making a web of people that connect with each other from one part to another part of country. Above hierarchy model was found in (Cibbora, 1993). One surface of picture describes the manufacture phase that includes the supplier side and plays role of distributor and on other hand buyer become end customer in form of importer. Internet economy emphasizes the networking of economic actors and process by means of electronic communication media and the related change in structure of value of creation , mechanism of market function , professional life , and consumption pattern the following terms depicts internet economy (Writz, 2001) . Development of industry so far om computing channel with medium to grow business is globally via internet and interchange of information form source of digital medium (Dolber Et Al , 1998) Emergence of business on the internet brings a new set of challenge to coordinating supply chain activities. Firm business conducting business electronically face several challenges in the environment of E-Commerce have significant of impact of relationships of supply chain.
Today E-Commerce environment has intensified strategy to emphasis on speed, reduction pf production life cycle, rate of increase of new product method and increasd speed of customer transaction (Greenstein and Fein man, 2000)Various type of E – Business are:TeleshoppingAutomated market ( transaction in form of EFT , EDI, SWIFT )Automated market ( human decision , choice is required )Wireless cellular mobile phoneWWW most common form website.E-COMMERCE THROUGH THE HISTORYE-commerce has profoundly affected the supply chains of numerous items. Obviously, the supply chains of data products have seen the most change ( Dewan, Freimer; Seidmann 2000). Makers of physical items have likewise turned to the Internet as an immediate channel of dissemination.
The immediate channel represents an alternate set of choices and difficulties from those in the current “blocks and-mortar” retail channel. These two directs contrast in client composes, tasks of request satisfaction, cost structure, benefit commitments, need in proportioning, strategic necessity, desires for benefit quality, level of market division, access to request/supply data, what’s more, returns arrangements. A great part of the early work on buyer related web based business centered on the adjustments in channels and the descending business sector weight on costs. For sure, one of the most punctual such examinations (Brynjolfsson &Smith ,(2000) found that costs in the late 1990s for homogeneous items like books and CDs were 9-16% lower in e-channels than in ordinary outlets. However, for some items, the inventory network difficulties of supported value rivalry wound up obvious by 2001 with the many fizzled business models. (Pyke, Johnson, & Desmond 2001) portray the troubles of adequately executing e-satisfaction and build up a structure for assessing the difficulties of fulfillment for a particular item. Lee and Whang (2001) depict key exercises effective organizations have utilized and present a system for making e-satisfaction successful.
Chen (2001) inspects the intriguing inquiry regarding evaluating and dispatching techniques. Utilizing diverse costs an e-posterior can tempt a few clients to sit tight for their request and hence acquire some propelled interest data. Utilizing a stochastic model, he builds up an ideal valuing strategy for an e-posterior.
Johnson and Meller (2002) create stochastic models of coordination’s frameworks utilized in e-satisfaction focuses. They utilize their model to demonstrate why a few frameworks were powerful in diminishing expenses while others fizzled. Amid the late 1990’s, many instructing cases were produced on (now fizzled) dot.com retailers, for example, eToys and Streamline. In this paper, we just incorporate cases composed since 2000 that have a huge inventory network part. All things being equal, a portion of the cases we incorporate into the web based business class are focused on fizzled organizations.
For sure, the core interest of these cases is store network challenges that prompted the company’s disappointment. Table 2 demonstrates the cases evaluated in this paper, including their e-Business center and the regions inside supply chain administration that are featured for the situation. For instance, the Webvan case looks at the difficulties of quickly assembling an appropriation framework.
Garden.com inspects issues of provider administration and clashing motivating forces in a virtual supply chain. In the two cases, the production network challenges prompted the disappointment of these organizations. In differentiation to these cases, Chempoint outlines a virtual store network for the conveyance of little volume, claim to fame synthetic concoctions where the provider motivating forces were all the more intently aliened – prompting a fruitful plan of action.
Chempoint could manufacture a pleasant business by both increasing the value of their clients through item information and better arrange satisfaction alongside painstakingly developing an arrangement of responsive providers. The Papirius/Office Depot case looks at the opposition in Eastern Europe for the workplace supplies advertise and the job web based business is playing in that advancing business sector. At long last the 7Dream case, situated in Japan, is an intriguing case of a blocks and snaps answer for the last mile issue. Clients requesting from a wide range of sellers on the 7Dream site get their conveyance at the closest 7-11 accommodation store where they can pay in money. Returns are likewise overseen through the stores.
Two papers in this Special Issue address two inquiries that emerge in internet business: “Given the continuous data of free market activity over the Internet, how might one register accessible to-Promise (ATP)?” “If clients are given the decision of a need benefit with quicker conveyance at a higher cost, what ought to be the ideal proportioning arrangement of stock?” Tending to the principal question, Chen, Zhao and Ball (2002) consider the design to-arrange framework working under a clump mode ATP whereby client demands are gathered into a cluster and hence handled together by a model that decides the ATP responsibilities and asset portion. The paper thinks about the production network execution as for certain ATP parameters like the grouping interim. The maker is anticipated that would illuminate a blended number program for each group interim. The program catches request profiles and supply requirements (e.g., crude material accessibility, creation limit, material similarity and client inclination) and expands the operational benefits.
Its yield incorporates last gathering gets ready for requests, arrange acknowledgment choices, what’s more, conveyance amount after some time. It consecutively runs the program on Maxtor’s information and determines a few bits of knowledge (with respect to bunch size and adaptability). The model certainly pictures an assembling framework that conveys tweaked items in an upgraded benefit mode (utilizing constant inventory network deceivability) – very reasonable in the Internet age. The second inquiry is tended to by (Cattani ; Souza, 2002). They think about two kinds (high versus low need) of client requests touching base at Poisson rates. Requests are met from a typical stock that the server recharges at a limited speed yet stops when the stock achieves a specific level. In managing the unmistakable client requests, the maker can either receive first-start things out served (FCFS) approach or a proportioning strategy where the firm ships orders for the need clients under a specific level of stock.
The advantage of direct channel producer is stock and transporting adaptability, as some online clients are more ready to hold up longer than others. The paper creates models of queuing frameworks or birth-passing procedures and determines the extra esteem (as far as operational benefits) of the apportioning approach over the FCFS strategy under three situations of lost deals, accumulation and their mix. They offer a vast number of numerical races to infer some helpful subjective bits of knowledge.
This paper represents the extra favorable circumstances of online business over the conventional retail channels, for example, conveyance time adaptability or strategic arrangements. With respect to last mentioned, note that in the plan of internet business circulation framework, the material stream and the data stream can be decoupled – the conveyance procedure may take an alternate course from the request stream. One may arrange a book at Amazon’s site, yet the real conveyance may originate from the stockroom of its merchant Ingram Books. In this manner, an online firm can build a virtual calculated system that comprises of its providers’ and retailers’ strategic resources and additionally its own (Lee and Whang 2001). Present day fabricating requires adaptability because of solid rivalry, quick evolving client inclinations, shortening item life cycle and item assortment expansion. Alongside unique limit allotment, proficient material acquirement frames a column to bolster adaptable assembling.
The Internet again offers a characteristic stage to encourage proficient obtainment as various purchasers and merchants locate one another and execute as indicated by some pre-determined conventions (represented by the commercial center or dealers’ inward standards). While e-Procurement is the identical representation of online business, they have a wide range of perspectives. For instance, online business frequently faces an extensive number of singular buyers, while e-Procurement as a rule includes dealings with organizations. Obviously, numerous e-Procurement thoughts, for example, dynamic markets and sale hypothesis have been for quite some time contemplated zones inside financial aspects (e.
g. barters, see Milgrom and Weber (1982) or on the other hand Riley and Samuelson (1980)). Ongoing work has started to investigate how on-line trades affect the obtainment procedure and the supply chains of person organizations. For instance, Kaplan and Sawhney (2000) and Wise and Morrison (2000) both create systems to comprehend what kinds of trades would show up for diverse kinds of items and analyzed how trades may develop. Jap and Mohr (2002) investigate why a few firms are effective with e-acquirement systems while others are most certainly not. Lee and Whang (2002a) show how auxiliary on-line markets affectthe store network. Pyke and Johnson (2002) contrast numerous e-acquisition methodologies with conventional key coalitions.
In the previous three years, there have been a few intriguing cases composed on e-Procurement. Five cases outlined here look at the job of industry trades: SciQuest is centered around the lab and science inquire about network; Instill is engaged on the sustenance administrations industry;Connections and PassAct in the electronic segments industry; and eSkye is centered around the liquor drink industry. For each situation, the organization’s unique center was that of a data middle person – connecting purchasers and 8 venders together while never contacting the item. While all met with some level of achievement, they likewise found noteworthy opposition in the store network as they tested the control balance between clients, merchants, and providers. Today, the three survivors (Ingrain, eSkye, and SciQuest) have all reoriented their plan of action toward offering acquirement programming, particularly situated to their individual industry. The PassAct case looks at the issues looked by trades and why many have fizzled.
A related case, Quantum, looks at the inventory network difficulties of a computerized stockpiling gadget organization furthermore; it’s a response to the advancement of an industry consortium trade.SUPPLY CHAIN A store network can be characterized as at least three associations specifically connected by at least one of the streams of items, administrations, accounts, and data from a source to a client (Mentzer et al., 2001). Administration of the store network is basically administration of the connections and exercises among the part associations.
These connections extend from single exchanges to complex reliant connections. As the business condition turns out to be more complex, associations perceive that numerous advantages can be gotten from closer, long haul connections (Ganesan, 1994). Day (2000) dares to state that submitted connections are among the most solid of points of interest in light of their intrinsic obstructions to rivalry. The objective of inventory network administration is for part associations to cooperate in close, long haul connections to increment the upper hand of the inventory network all in all (Mentzer et al.
, 2001). The marvel alluded to as “the next business upheaval” – the nexus of PCs, systems, individuals, and business objectives for reasons for offering products, administrations, and data – is an inventive method to cut expenses, develop markets and gainfulness, and enhance investor return with respect to conventional business techniques (Palmisano, 1998). This blend is the business wonder alluded to as web based business: the exchange of products and ventures that happens electronically, for example, over the Internet (Dolber et al., 1998). Projections in the business-to-business (B2B) internet business field are stunning, going from $1.
3 trillion by 2003 (Dolber et al., 1998) to over $8 trillion by 2005 (Pastore, 2001). The proportion of online business exchange to conventional channels is anticipated to fluctuate enormously by industry, from a high of more than 20 percent for registering to simply more than 1 percent for mechanical gear (Goldman-Sachs and Company, 1999). While the downturn in online business stock valuations in 2000 brought about the disappointment of numerous online business adventures, the development in B2B web based business is still on track.
In 2000, the estimation of overall B2B Internet business deals exchanges outperformed $433 billion, a 189 percent expansion more than 1999 deals exchanges (Pastore, 2001). The rise of business on the Internet brings another arrangement of difficulties to organizing store network exercises. Firms leading business electronically confront a few contrasts in the internet business condition that may significantly affect overseeing connections in the production network. Difficulties that are every now and again specified in both the prominent press and scholarly writing are the speed of business and the level of availability among inventory network associations. These distinctions can prompt larger amounts of vulnerability and changes in the conventional structures of supply chains, which can impact the achievement of production network relationship administration.
Since this marvel is so new, little research has tended to the effect of web based business on relationship administration. As organizations endeavor to make an accomplishment in overseeing connections inside their supply chains, the web based business condition presents associations with new elements to oversee. We directed a subjective research concentrate to decide how web based business organizations see the new condition and to investigate how they are overseeing connections in their supply chains under these new conditions. The motivation behind this paper is to manufacture a grounded hypothesis of the effect of web based business on relationship administration in the inventory network utilizing the examination discoveries, bolstered by existing examination in web based business and relationship administration. CONNECTIVITYBusiness to Business transaction are common in typical supply chain, as companies purchase components and products such as other raw material for use in the manufacturing process in the context of communication , Business to business refers to method by which employees from different companies can connect with one another , such as through social media . This type of communication between the employees of two or more companies is called B2B communication. One click become most important and familiar use and growing of this strategy at rapid fast now a days.
Saving time without any wastage of product and time, fastest work in form of speed, reduction of cost, collaboration of supplier and buyer at one platform, product and service are now most common trend use by business expert to make business activities done efficiently and effectively. That all lead towards B2B business model (Bill Dubious, 2015). Supply Chain Management is considered as back bone of E- Commerce because it use multiple components of SCM in form of resource , finance , raw material , ware house , shipments facility (Gaurav Patil, N/A). Connectivity leads with two major asserts of internet which include interaction and market access to understand value of E-Commerce with connectivity (Hamill, 1947).
Firms are not longer to restrict their business activities within domain it should have a global access to grow business globally opening to new markets (Cairncross, 1997). Manufactures of physical products have also returned to the internet as direct channel of distribution via email on electronic medium if there is any error in product customer contact with distributor, manufacture claim the request and PQC made product quality complain and manufacture solve and return goods as soon as possible making customer satisfaction(Dewan,Freimer ; Seidmann 2000). The caption demand profiles and supply constraints including raw material availability, production capacity, and material computability and customer performance maximizes the operational profits. It output includes final assembly plans of order, order acceptance, order decision and delivery over time (Chen, Zao ; Ball ,2002). The information share among business partners producers and retailer in supply chain will increase the integration and coordination of them and reduce stock volume, sale rate, better recognition of customer needs and order of product (Grain ; Shaw, 2004).E-COLLABORATION By e-Collaboration we mean the use of the Internet among business partners beyond transactions. Unlike e-Commerce or e-Procurement, whose functions are well defined, e-Collaboration exists in a variety of functions.
Examples are different models of information sharing, collaborative decision-making, and product change management. Information Sharing. An information hub can also serve as an efficient platform to share information among supply chain partners. For example, Baker Street Technologies, a Toronto-based startup, offers a web-based platform that provides a real-time link among supply chain partners. Its information hub technology offers cross-enterprise visibility of supply chain activities. In one implementation, partners share and view purchase orders, sales orders, invoices, checks and other business documents over the Internet. Only the directory and high-level data are kept at the hub, while detailed information and documents are stored at the local sites. When there is a legitimate request, the hub offers the summary or aggregate data.
By double-clicking on a data item, one can drill down to the document level and access the local data. In this way an integrated view of supply chain status is collected from disparate information sources and projected on the web site. Similarly, Adaptec, a fab-less semiconductor company also relies on advanced Internet-based solutions to exchange information and coordinate their production plans with their supply chain partners. Using a software called Alliance developed by Extricity (now part of FreeMarket), the company communicates in real time with their foundry TSMC (Taiwan Semiconductor Manufacturing Company) and their assembly partners Amkor, ASAT and Seiko with information such as detailed and complex design drawings, prototype plans, test results, and production and shipment schedules.
This arrangement greatly facilitates their ability to be aware of demand and supply levels, and can respond quickly to potential mismatch problems. It also helps to shorten their new product development times. With the use of Alliance, Adaptec’s cycle time was cut by more than half. Collaborative Planning. The Internet provides a system architecture to implement collaborative decision making in a cost-effective way. Several companies (e.g., American Software and Syncra) have developed an information hub that facilitates knowledge sharing and collaborative decision making in the spirit of CPFR, or Collaborative Planning, Forecasting and Replenishment (see Syncra (1998)).
Supply chain part- 12 SUPPLY CHAIN MANAGEMENT ners first exchange product forecasts and replenishment plans. Then, its technology synchronizes and develops new agreed-upon plans that closely match supply with market demand. As a result, they can jointly reduce inventory costs and raise customer service levels. Nabisco and Wegmans had successfully implemented a pilot of CPFR, with very encouraging results.
The total snack nut category sales went up by 11% while the corresponding sales at other retailers actually declined by 9% in the test period. Nabisco’s leading brand Planter’s saw its sales increase by 40% as a result of better planned promotions and discounting given to Wegmans stores, which was enabled by the collaborative efforts in replenishment. Finally, Nabisco’s warehouse fill rate increased from 93% to 97%, while inventory dropped by 18%. Several other pilots are now under way at Schnuck Markets, Kmart, Circuit City, Procter ; Gamble, Kimberly Clark, Sara Lee, and Wal-Mart.
Yet another company applies a similar idea to resource planning. Extracting data from multiple partners, their system allows comparative cost analysis on the supply chain level – including tradeoffs between lead time versus fill reliability, and decreased assets versus increased throughput. It also facilitates demand and supply analysis, so the original equipment manufacturer can understand final demand and supply constraints. It additionally analyzes target inventories and safety capacities to meet customer commitments and achieve targeted profitability.
New Product Development. The information hub can also be used to deliver the efficiency and speed demanded in new product development and product change management. Agile Software (www.agilesoft.com), for example, facilitates collaborative product development using the Internet. As product life cycles became shorter and shorter, managing product rollovers is now a routine challenge faced by many high tech companies.
Product rollover, defined as the transition from one version of a product to its successor, is often a vulnerable time for a company. One of the major risks in product rollover is the time taken to have all the new parts ready for the rollover. Engineering changes involved in rollovers may require both new suppliers, new bills of materials, and new requirements for existing parts. Agile Software has been able to help companies like Dell, Lucent Technologies, PairGains, WebTV, and Flextronics to use its Internet-based software systems so that engineering changes can be made effortless. Another example of this application is in a major construction project, where numerous geographically-dispersed partners – project teams, architect, auditors, accountants, suppliers and subcontractors – communicate and collaborate.
The web site serves as the information hub (using the solution by Framework Technologies) for the project, cutting across geographic and organizational boundaries Supply Chain Integration over the Internet 13 of a supply chain. Authorized team members can review, contribute and comment in real time on project-related documents of various formats like text documents, CAD files, schedules, spreadsheets, photos, database queries, and other web-enabled applications. The hub maintains the revision history of CAD models and other documents. Cisco also has a similar application. Notifications of changes are automatically sent via e-mail to appropriate team members. Changes in bills of materials are also broadcast to suppliers via the CCO site. According to Cisco, this has reduced engineering change order (ECO) cycle time from 25 days to 10 days within the last 4 years. This improves quality significantly and reduces inventory write-offs, and ultimately, improving overall profitability.
THE FUTURE TEND- ITS INTELLIGENCEAs various applications of e-Business are implemented, we believe the next trend of e-Business is intelligence at the supply chain level. The Internet revolution has made a deluge of data available at managers’ terminals. But it remains a challenge to systematically extract meaningful information from the data, present it in a user-friendly interface, and optimize on actionable parameters.
Luckily, various performance metrics for the supply chain can be obtained easily as a byproduct of the information hub model. For example, two startups SeeCommerce and Harmony Software provide supply chain partners with supply-chain-wide metrics such as fill-rates, percentage of complete orders, turnaround time, orderlevel costing, forecast accuracy, customer support service level, and stock levels at each site. Data collection spans multiple applications across enterprises – by geography, product line, and time. This information can be used for benchmarking against the best practices and improving the overall performance of the supply chain. It can also be used as an alert system, so that anytime some key metrics exceed some pre-specified thresholds, alerts are sent to the appropriate entities. Another key benefit of supply-chain-level performance measurement lies in the reduction of printed reports and administrative/distribution costs by making information accessible to authorized personnel via a web browser. Optimization as the next step of intelligence is already incorporated in some software engines by companies like i2 and Manugistics. Freightwise is an example in this direction.
It operates an open e-market for transportation services matching buyers and sellers. But Freightwise provides other value-added services including intelligence. It allows a shipper to view various options arising from the bids at the exchange and makes a recommendation regarding which options to take to minimize the cost under a set of constraints.
Another example is Cisco, which, as described earlier, has used the Internet effectively as a means for procurement and sales management. But the company wants to do more. The newest development at Cisco is the new eHub that contains 16 SUPPLY CHAIN MANAGEMENT intelligence. The new eHub, to be built by Manugistics, is supposed to be smart enough to detect problems (such as supply shortage, schedule gone out of control, and other disruptions in the supply chain), identify the right parties, and create new plans of actions. If this trend continues, the decision environment in the manufacturing sector will look more like that in the financial sector. In the past, manufacturing has operated on monthly or weekly cycles. MRP was run monthly, and the information feedback (like consumer market trends or material price movement) came a week or a month later. While several decisions were made minute by minute on the plant floor, decision makers were poorly equipped with relevant information.
Conditions beyond the manufacturing floor or the company boundary were taken as a black box, so in the absence of data, optimization on a global scale was limited or prohibited. By contrast, a financial trader working in the foreign currency exchange market, for example, operates on the clockspeed of seconds to exploit fleeting opportunities of arbitrage, armed with real-time data feeds and dynamic analysis tools. Now that the Internet creates a new environment for manufacturing with real-time market data and various operational instruments (like multiple secondary markets, longterm contracts, forwards and futures), manufacturing will also require similar information systems to support such dynamic decisions and actions. It is our belief that the next generation of e-Business products and services will address these needs.
REDUCTION OF COSTTwo major component of supply chain (Exporter and Importer) are giving dynamic impact on E –Commerce platform which reduces cost of production, operation of business, wastage of product and time, save ordering cost and no need for safety good. On B2B platform we have variety of choices to order our desire good in form of quantity we order. This model facilitate from order to shipment when product is transfer from seller to buyer (Raybort and Saviolka,1995). Supplier is the component of supply chain management which leads a main role of distributor channel because it supplies the good to retailer from warehouse this is the general practice when it emerges in B2B model supplier play the role of wholesaler, exporter and manufacture. It is only because when supplier display it goods on via internet in form of it have chance to make showcase of product and details about product and company where it will see by other people on globe level(Aldridge Et Al,1997) E-Commerce focused on reduction of price and downward pressure price of market to channel medium of internet by giving different offer in form of paid member ship and give services of warehouse, logistics where sell and buy made on one part to other part on paid membership (Brynjolfsson & Smith,2000). Process of logistic service including planning, implementing and controlling the efficient, effective flow and storage of raw material, inproccess inventory, finished goods, and related information from point of origin to point of consumption develop logistic system used in fulfillment centers (Johnson & Meller, 2000) B2B transaction are applicable directly between and online buyer and seller an online intermediate. The mention intermediate could be a sector or electronic system and or in o rganization reduce cost of good in form there is no need of third person part to introduce goods and make commission on products in such way it reduce price of goods (Choi Et Al,1997). Examine the interesting question to cutting down the price of goods when it gets to consumer by retailer and retailer from manufacture sposticatic method of E-Tailer raised question for decreasing price and soon E-Tailer are known to market to cut manufacre price (Chen ,2001).
Efficient mode of channel introduce to make price down is A2A application to application and consumer to application C2A methods of logistics were introduced to control the span of material and this is special service for supplier(Mier Et Al,2003). Modern production method, processing and data transfer will cost reduction in companies and commercial organization it accelerates the commerce and increase of commercial competition.Buyer this concept depicts that customer bought the good from retailer and if product in display on outlets this is general practice. While when we see the buyer buy product on platform of B2B model here buyer will know as importer.
Now the retailer is removed directly by end customer. Buyer has generate RFQ (Request for quotation) to acquire to the commodity and service. There are several type of supplier:ExporterWhole sellerMiddle menManufactureSPEEDWhen the respondents of give their views of speed of the E-Commerce they emphasis on two components the increasing rate of change and the pace of decision making In discussing how business is rapidly taking place in field of E-Commerce environment, correspondents talk about intent time and that one year in E-Commerce is equivalent to four years in business tradional cycle. Regardless of the industry ,type of company they agreed electronic business involve quickly.s Speed being the market person both inform of supplier and retailer we don’t want any delay in business transaction because business world has rapid fast and growing rapidly. E –Commerce made life easier and fast to achieve goal of business before delay of any business activity now there are many medium is available and competition is growing fastly all now business are done on one click and here phase of satisfaction start (Susan L. Golicic , 2002).
Reduction of cost in E- Commerce leads to reduce labor cost and other cost, in many areas of documents, preparation, reconciliation, mail preparation, telephone calling, data entry, over time and supervision expenses. E – Business help can help in many areas, thereby cost of individual cost of transaction of business. The use of emails and electronic invoicing is tremendous way of saving traditional method (Brick ; Mortar , 2018 ). Speed, reduction of cost, supplier and buyer are the main components of supply chain management. Supply chain management is growing in business industry adopting of E- Business in SCM make activities of easier and first and wastage of time , delay in business process , barrier between supplier and buyer there hurdles eliminate by Internet economy and give a revolution to the world of business(Colvin,1999) Environments are being distributed by an increasing pace of technological change, speed, and spread explosion of growth and avliablilty of knowledge. The proifileration of technological and managerial know how is dismasting economic and political boundaries but surely moving towards a borderless market place (Arcola, 1997). The effects of applying electronic data transfer from one part country towards globe of world as it includes number of industries like food ,cloth many other and retails market especially internal organization(Dasila ; Fishman , 2007).
First come first served policy is also working which show rapid fast growth of popularity of goods with manufacture, retailer is rationing policy where the firms order the ship for priority customer under certain level of inventory. FCFS policy under the condition of lots sales, backlog and their combination they offer large number of numerical runs to have qualitative insights (Cattani ; Souza ,2002).2.2 THERIOTCAL FRAME WORK-171451224155Market connectivity00Market connectivity3162300160655E – COMMORCE00E – COMMORCE9334491351280781049389255 87630021209000-133350317500Reduction in cost00Reduction in cost-219075404495Speed00Speed 2.
3 RESEARCH HYPOTHESISH1: There is significant impact of connectivity on E- CommerceH2: There is significant impact of reduction of cost on product through E- Commerce.H3: There is significant impact of speed in efficient and effective way of business activity through E-commerce.IMPACT OF E-COMMORECE IN SUPPLY CHAINE-commerce does not just mean trading and shopping on the Internet. It means business efficiency at all operation levels even at the supply chain level which is the most important part for any manufacturing unit. Executives know it is critical to effective business operations. Supply Chain Management means coordinating, scheduling and controlling procurement, production, inventories and deliveries of products and services to customers. The E-commerce is the backbone of SCM, a very critical component of E-commerce. Like the ERP wave a few years ago, the current drive towards e-commerce and the Internet is also making companies look at their way of doing business.
In today’s world, there is a constant pressure to reduce the cost of doing the business in order to maintain the competitive edge. The major four key aspects of the business: lower costs, faster delivery, higher quality and mass customization. According to some industry estimates, logistics and inventory cost constitute around 68% of the turnover of a manufacturing company. Globally, logistics constitute around 20% of the express cargo and freight industry. Despite the recession and its inevitable effect on manufacturing, there is a growing market for supply chain management (SCM) applications. With a market climbing to billions range at mid-decade, manufacturers are clearly seeing the necessity of SCM solutions to streamline the management of the total supply chain with the help of e commerce. Integrated supply chain management (SCM) system and e commerce is the backbone to achieve the e-business objectives and to beat competition in the cut throat business environment.
Supply Chain Efficiency can improve customer service – having the right product at the right place at the right time. Supply Chain Efficiency can save money/reduce costs. According to a recent benchmarking study conducted by Pittiglio Rabin Todd & McGrath, one of the founders of the Supply-Chain Council, best in class companies have an advantage in total supply chain management cost of 3 to 6 percent of revenue (Total supply chain management cost is the sum of Order Management, Material Acquisition, Inventory Carrying, and Supply-Chain Finance, Planning, and MIS Costs).
A significant number of companies in the India have implemented their Internet platform for Supply Chain Efficiency in the past 2 to 3 years, and the large of them will follow in the next few years. E-commerce is depends as the use of the Internet and the Web to transact business. E-commerce is different from e-business in that e-business refers to transactions and processes within an organization. For example, a company’s on-line inventory control system is an e-business component and not part of e-commerce. The inventory control system does not directly generate revenue for the company. There are major types of e-commerce: business-to-business (B2B), business-to-consumer (B2C), consumer-to-consumer (C2C), peer-to-peer (P2P), and mobile commerce (m-commerce) A supply chain is the network of activities that deliver a product or service to the customer. These include sourcing raw materials and parts, manufacturing and assembling the products, warehousing, order entry and tracking, distribution through the channels, and delivery to the customer.
An organization’s supply chain is facilitated by an information system that allows relevant information such as sales data, sales forecasts, and promotions to be shared among members of the supply chain. At the beginning of the chain are the external suppliers who supply and transport raw materials and components to the manufacturers. Manufacturers transform these materials into products that are shipped either to the manufacturer’s own distribution centers or to wholesalers. Next, the product is shipped to retailers who sell the product to the customer. Goods own from the beginning of the chain through the manufacturing process to the customer. Relevant information’s back and forth a mong members of the supply chain.
CHAPTER 33.1 THE DESIGN – METHODS AND PROCEDURESThis research followed the method of quantitative analysis.Avaliability of existence research papers, blog & book references become the part of this research. Experience of people are major part of accountability in this research because their professional life make this thesis authentic in a way their work in different organization in field of supply chain and using of E- Business makes easy to obtain the desired result. Data is also gather from different websites as there are number of E – Business Links are available it gather both secondary and primary data. For making questionnaire on the variables which I select that give and significant impact on E- Business field are the component which is use full for my research.
Questionnaire is made on the basis of hypothesis statement which made number of questions through which data is gathered. Personal experience is also included in this research design for this purpose being a student I gather the data for my project through survey for this purpose I worked with organization of Abraa.com totally work on E- Business which give me an idea to select topic for my project. In this period the practice of E –Business was a new and dynamic field for me as the major of supply chain components are the most prominent feature of E –Business websites as Internet business wholly depends on supply chain elements.
Major source of data collection of my project are the links of E-Business that was now commonly getting privilege in Pakistan. Now every business use this E –links of commerce that’s why we find a giant competition in business market. Questionnaires are filled by 100 employees of different organizations in order to get appropriate result for my project. 3.2 SAMPLINGSimple Random Sampling technique is used to measure the result of project. Statistical Package for the Social Sciences software is used to calculate random sampling of data. In which we analysis the component of supply chain is important for E – Business.ANOVA testing applied to get the result of project keeping E-Commerce a major tool of speed ,reduction and connectivity make the efficiency of business.
In which designation, age, gender play the vital rule in part to gather information. Random selection is used to get the desired result focusing people who work in different companies of supply chain. Linear Regression is calculated to show the desired result between dependent versus independent variables.ANOVA test is used to measure results between number of groups by which we get desired result to analysis the variables between independent and dependent.
3.3 INSTRUMENT SELECTIONFor the research study, author developed a questionnaire on the basis of the hypothesis .The instrument that author use for the research for was questionnaire .Self –administrated instrument was handed over the correspondents to conclude the research. Nature of questions was closed to Liker scale of 1to 5were used to record the response of sample. Questionnaires are filled in which E-Commerce have questions related to its privilege in exchange of information, product and technological growth. Connection with goods with desired manufactures and supply time.
Reduce of cost in labor, competitive discounts of goods. Disagree, strongly disagree, neutral, agree strongly agree in which people give their options on their experience and suggestion in questionnaires to calculate the results between groups of variables’.3.
4 DATA COLLECTIONSurvey, interaction with employees, existing research papers filling of questionnaire personal experiences working with employees are the part of data collection. Secondary data with internet resource and the elective of Enterprise Resource Planning are the major source of collecting data. Supervisor guidelines and key points of researches and articles are the major part of collecting data.
Data gathered at secondary and primary level secondary are the articles, research paper while primary data is questionnaire finding variable which fits by frame work conceptually ideas jot down and approved by experts who are in field of supply chain. Supply chain components are in way of supplier, manufacture, warehouse, and logistics .Employee involvement both male and female from top to bottom management help in gathering data to get the desired out comes of input.Chapter 4 4.1 DISCUSION OF EXPERIMENTAL RESULTS 4.2 CONNECTIVITY WITH E-COMMORECEConnectivity provides a level of interaction that will achieved through information flows, multidirectional in way of internet or many ways of communication business to business and business to consumer on internet (Hoffman Et Al,1995).Connection of E-Commerce give a dynamic results with manufacture where there is number of manufactures find online and number of listing supplies of goods through which you will get your supplies and meet your demand.
In other words manufactures should have goods in order to produce and meet supply and demand time. Below descriptive statistics shows you the resultant between the connection of manufacture, complimentary good and supply and demand time:ANALAYSIS OF CONNECTIVITIY WITH E-COMORRCEREGRESSION ANALYSISDescriptive StatisticsMean Std. Deviation NE-Commerce is medium of inter exchange information. 4.03 .979 100Connectivity at same time with different manufactures. 4.
06 .962 100Connect different complimentary goods. 3.
91 .944 100Connectivity reduce supply and demand time. 3.96 1.014 100Ecommerce reduce the cost of handling inventory. 4.02 1.
015 100It offers competitive discounts of goods. 3.67 1.138 100Reduce Labor Cost.
4.04 1.044 100Fast access on website. 4.02 .864 100Fast transaction done through Ecommerce.
4.11 .909 100Through RFID pickup of goods shortens. 4.
04 .790 100Variables Entered/RemovedaModel Variables Entered Variables Removed Method1 Connectivity at same time with different manufactures . Stepwise (Criteria: Probability-of-F-to-enter <= .
050, Probability-of-F-to-remove >= .100).a.Dependent Variable: Significant impact of E-Commerce with connectivityANOVAaModel Sum of Squares DfMean Square F Sig.
1 Regression 26.008 1 26.008 36.992 .
000bResidual 68.902 98 .703 Total 94.910 99 a .Dependent Variable: Significant impact of E-Commerce with connectivity.
b. Predictors 🙁 Constant), Connectivity at same time with different manufactures.Residuals StatisticsaMinimum Maximum Mean Std. Deviation NPredicted Value 1.
87 4.53 4.03 .513 100Residual -2.998 1.133 .000 .834 100Std.
Predicted Value -4.220 .977 .000 1.000 100Std. esidual-3.575 1.351 .
000 .995 100Dependent Variable: Significant impact of E-Commerce with connectivity.4.3 REDUCTION OF COST WITH E-COMMORECE Reduction of cost results to reduce labor cost in many different ways to cut down the prices with advanced mode of technologies, handling of product is the most important tool that while storage product should be stored properly and in the competitive world where there are number of goods are available to give discounted good in way to have profit margins or also to run business activities below descriptive statistics show the results of reduction and have significant impact on E-commence. ANALYSIS OF REDUCTION OF COST WITH E-COMMORECEREGRESSION ANALYSISDescriptive StatisticsMean Std. Deviation NE-Commerce spread awareness regarding product globally 4.03 .
915 100Connectivity at same time with different manufactures. 4.06 .962 100Connect different complimentary goods.
3.91 .944 100Connectivity reduce supply and demand time.3.96 1.014 100E-Commerce reduce the cost of handling inventory. 4.02 1.015 100It offers competitive cost of goods. 3.67 1.138 100Reduce Labor Cost.4.04 1.044 100Fast access on website. 4.02 .864 100Fast Transaction done through E-Commerce. 4.11 .909 100Through RFID pickup of goods shortens 4.04 .790 100Variables Entered/RemovedaModel Variables Entered Variables Removed Method1 Fast Transaction done through E-Commerce . Stepwise (Criteria: Probability-of-F-to-enter <= .050, Probability-of-F-to-remove >= .100).2 Connect different complimentary goods . Stepwise (Criteria: Probability-of-F-to-enter <= .050, Probability-of-F-to-remove >= .100).3 Fast access of website. . Stepwise (Criteria: Probability-of-F-to-enter <= .050, Probability-of-F-to-remove >= .100).a. Dependent Variable: Reduction of cost ANOVAaModel Sum of Squares DfMean Square F Sig.1 Regression 14.696 1 14.696 21.114 .000bResidual 68.214 98 .696 Total 82.910 99 2 Regression 20.175 2 10.087 15.597 .000cResidual 62.735 97 .647 Total 82.910 99 3 Regression 22.780 3 7.593 12.123 .000dResidual 60.130 96 .626 Total 82.910 99 a. Dependent Variable: Reduction of cost.b. Predictors: (Constant), Fast Transaction done through E-Commercec. Predictors: (Constant), Connect Dsifferent Complimentary goods.d. Predictors: (Constant), Fast access on website.Residuals StatisticsaMinimum Maximum Mean Std. Deviation NPredicted Value 2.83 4.80 4.03 .480 100Residual -2.012 1.524 .000 .779 100Std. Predicted Value -2.508 1.602 .000 1.000 100Std. Residual -2.542 1.926 .000 .985 100Dependent Variable: Reduction of cost4.4 SPEEDS WITH E-COMMORECESpeed interacts the strategic fit with competitive market and time based access to make work quickly and easier way (Stalk, 1998).In order to make business activities efficient there should be the fastest and advance mode of business strategies like access to internet in forms of internet, business transaction rather manual documentation should have software storage to enter online business transactions and modern means of technology like RFID show how it shortens the work and have fastest way information to show the manufacture about goods. Following descriptive statistics show that speed is vital for success of business.ANALYSIS OF SPEED WITH E-COMMORECEREGRESSION ANALYSISDescriptive StatisticsMean Std. Deviation NE-Commerce is easier access technological growth. 4.07 .946 100Connectivity at same time with different manufactures. 4.06 .962 100Connect different complimentary goods. 3.91 .944 100Connectivity reduce supply and demand time. 3.96 1.014 100E-Commerce reduce the cost of handling inventory. 4.02 1.015 100It offers competitive discounts of goods. 3.67 1.138 100Reduce labor cost 4.04 1.044 100Fast access on website. 4.02 .864 100Fast transaction done through E-Commerce. 4.11 .909 100Through RFID pickup of goods shortens. 4.04 .790 100ANOVAaModel Sum of Squares DfMean Square F Sig.1 Regression 24.021 9 2.669 3.725 .001bResidual 64.489 90 .717 Total 88.510 99 a. Dependent Variable: Speedb. Predictors: (Constant),Through RFID pickup goods shortens, Fast access on websiteResiduals StatisticsaMinimum Maximum Mean Std. Deviation NPredicted Value 2.43 4.87 4.07 .493 100Residual -3.429 1.567 .000 .807 100Std. Predicted Value -3.323 1.624 .000 1.000 100Std. Residual -4.051 1.851 .000 .953 100a. Dependent Variable:SpeedGRAPH PRESENTATION OF GENDERThe above graphs depicts that participants in collection of data are males and females which shows number of females are more 63.63% which gave the result that E-Commerce without supply chain has not significant and efficient in work. The mail percentage is about 37, 37% of male’s person are participants to make the results efficient and gave their views.SUMMARY OF INDIVIDUALS QUESTIONSE-Commerce is medium of interchange information.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.03 100 .979 4.00 .098 100.0% 100.0% .959E-Commerce spread awareness regarding product globally.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.03 100 .904 4.00 .090 100.0% 100.0% .817E-Commerce is easier to access as technological growth.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.07 100 .946 4.00 .095 100.0% 100.0% .894Connectivity at same time with different manufactures.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.05 100 .957 4.00 .096 100.0% 100.0% .917Connect different complimentary goods.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance3.91 100 .944 4.00 .094 100.0% 100.0% .891Connectivity reduce supply and demand time.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance3.96 100 1.014 4.00 .101 100.0% 100.0% 1.029E-Commerce reduce the cost of handling inventory.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.00 100 1.015 4.00 .102 100.0% 100.0% 1.030It offers competitive discounts of goods.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance3.68 100 1.145 4.00 .114 100.0% 100.0% 1.311Reduce labor cost.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.04 100 1.044 4.00 .104 100.0% 100.0% 1.089Fast access on website.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.03 100 .870 4.00 .087 100.0% 100.0% .757Fast transaction done through E-Commerce.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.12 100 .902 4.00 .090 100.0% 100.0% .814Through RFID pickup goods shortens.Mean N Std. Deviation Median Std. Error of Mean % of Total N % of Total Sum Variance4.04 100 .790 4.00 .079 100.0% 100.0% .625E-Commerce with integration of connectivity, speed and reduction are interlinked if connectivity link with desired producer or manufacture that connect with desired buyer fast medium if website access to find things on one touch exchange of information and growth of technology alteration of commentary goods availability, handling of goods are easier wastage of product reduces, reduction of cost both in labor and goods and have competitive market or spread business universally and to spread business worldwide give consequential effect on E-Business following are the results of analysis with E-Commerce. In the below results impact of E-Commerce with connectivity with manufacture having mean is 4.06, complimentary goods mean is 3.91 and supply and demand time mean is 3.96.Significant of E-Commerce which leads reduce in cost with handling inventory mean is 4.02, labor cost mean is 4.04, cost of goods mean is 3.67.Speed leads mean with website access is 4.02, transaction done mean is 4.11and RFID mean is 4.04.CHAPTER 55.1 CONCLUSIONSupply chain now a days is the privilege taking department in all business. Mass market and Multi Nationals Companies have their supply chain department because to make their work efficient and effective. The era of 21st century is digital medium where the business activities running online B2B business are taking part, internet is connecting from one platform to another platform. Websites, webpages, online shopping, knowing what to buy? How to buy are become easier with E-Commerce.E-commerce with the elements of supply chain is making efficient and smart work of business. When business runs online it’s not reduce the pressure of work but also give you to connects with world, your product is on known to be globally with the connection contrast it makes work speedy to access what you want and gets in connection with your desired manufacture. Workforce of labor in form of manpower are reducing. Due to competitive market business work smartly in order to become online business, transactions. Following points are followed by enterprise by U.S practice is:Encourage in meaning full strategically theories, not budgeting. Improvement in finical, managerial and technological strengths.Add value to productsIntegrate supply chain to improve business performance.On online business you will connect your business with competitor business where you make business work more efferent. Connection with importer and exporter, meeting supply and demand time, finding of complimentary good ,Handling of goods properly,transaction done online, access to world wide web, getting information and updating yourself,reduction in cost of goods and manpower ,services offered online such as warehouse that makes the wastages of goods reduced modern technologies means give significant impact on E-commerce.5.2 RECOMMADATIONSSAFTEY STOCKA stock which companies make in hand in order to meet demand when demand is more and supplies are less so company make safe stock to meet the desired level of demand and have produce good whereas E-Business make shortens this concepts of safety stock because when you want inventory in short period you have number of suppliers from different corners of world and through online you get your desired stock. It leads to held an item in order to reduce risk it acts as buffer in case the sales of an item are greater than planned or the supplier is unable to deliver additional units at expected time.ROLE OF INFORMATION TECHNOLOGY IN SUPPLY CHAIN MANAGEMENT Recently the concepts of supply chain design and management have become a popular operations paradigm. This has intensified with the development of information and communication technologies (ICT) that include electronic data interchange (EDI), the Internet and World Wide Web (WWW) to overcome the ever-increasing complexity of the systems driving buyer–supplier relationships. The complexity of SCM has also forced companies to go for online communication systems. For example, the Internet increases the richness of communications through greater interactivity between the firm and the customer (Watson et al., 1998). Graham and Hardaker (2000) highlight the role of the Internet in building commercially viable supply chains in order to meet the challenges of virtual enterprises. Philip and Pedersen (1997) attempt to study the ways in which the business community harnesses EDI with the help of a literature survey based on the application. Armstrong and Hagel (1996) argue that there is beginning of an evolution in supply chain towards online business communities. For example, General Electrics trading process network is an online business community that allows the company to transact about $1 billion dollar worth of business with their suppliers located all over the globe. Big three auto makers in the US are in the process of launching the automotive network exchange (ANX) to further understand the impending effects of electronic business communities. ANX will establish a standard method for parts suppliers to communicate with and obtain order information from the auto manufacturers (Graham and Hardaker, 2000). Supply chain management emphasizes the overall and long-term benefit of all parties on the chain through co-operation and information sharing. This signifies the importance of communication and the application of IT in SCM. This is largely caused by variability of ordering (Yu et al., 2001). Information sharing between members of a supply chain using EDI technology should be increased to reduce uncertainty and enhance shipment performance of suppliers and greatly improve the performance of the supply chain system (Srinivasan et al., 1994). Companies need to invest large amount of money for redesigning internal organizational and technical processes, changing traditional and fundamental product distribution channels and customer service procedure and training staff to achieve IT-enabled supply chain (Motwani et al., 2000). The following are some of the problems often cited in the literature both by the researchers and practitioners when developing an IT-integrated SCM: lack of integration between IT and business model, lack of proper strategic planning, poor IT infrastructure, insufficient application of IT in virtual enterprise, and inadequate implementation knowledge of IT in SCM. There is no comprehensive framework available on the application of IT for achieving an effective SCM. Considering the importance of such a framework, an attempt has been made in this paper to develop such a framework based on a more systemic literature review. REDUCE IN WASTAGE Through production a lot of materials is wasted by manufactures, supply chain safes the wastages informs of different concepts introduce in supply chain managements by Just in time by cost reduction but the process of the following:Heijunka: Production leveling method means limitation to produce of goods.Kanban: To improve the production methods.Kaizen: Continuous improvement.IMPLEMENTATION IN SUPPLY CHAIN We review several issues related to the implementation of the information hub. As mentioned above, the information hub has three models – eMarket, e-Buyer and e-Supplier. Prom the economic welfare point of view, e-Market is likely to yield the maximum efficiency to the community of the supply chain. By sharing a single hub, the supply chain will avoid redundant investment in creating multiple hubs. It also avoids the complications of the e-Buyer (or e-Supplier) model where suppliers (or buyers) have to comply with different rules and standards associated with different hubs. Further, all transacting parties will enjoy the benefits of one-stop shopping. On the other hand, e-Market may be more difficult to implement. Many parties (often competing parties) may have difficulties in reaching an agreement to share the same hub. A common concern is competition among partners over the ownership of customers. A distributor may justifiably worry about the possibility that the hub model will link manufacturers directly to end consumers and ultimately eliminate the role of intermediaries. Even original equipment manufacturers (OEMs) may be vulnerable since distributors may offer products to end consumers in alliance with contract manufacturers, thereby bypassing OEMs. If this concern prevails, e-Buyer or e-Supplier will be easier to implement than e-Market. The information hub and e-Business can be an extension to ERP systems. Moreover, for a large decentralized company, the information hub can play a hybrid role of internal and external systems. Consider a company again called Acme selling electro-mechanical parts. Acme has a highly decentralized organizational structure – due to its growth by acquisitions. Acme felt that they could further exploit potential synergy 14 SUPPLY CHAIN MANAGEMENT in operations. While divisions commonly shared customers and suppliers, their logistics and information systems remained isolated from each other. Four years ago, one division successfully implemented an ERP system originally designed only for its product lines. Over time other divisions with legacy systems and different ERP systems approached them to connect to the ERP system for logistics coordination. Now the ERP system has become a de facto information hub linking multiple internal divisions and external entities like customers, suppliers and logistics partners. Currently, the ERP system handles 50% of the transactions of Acme, but its target is 80% within a year. In this case, the ERP system has evolved to the information hub without initial planning. The information hub does not necessarily represent a single physical entity. As distributed object-oriented computing is developed, individual functional modules may reside at scattered locations and be invoked only as needs arise. Thus, the information hub could exist only as a logical entity – physically, it is a collection of nodes in the network. While we focus our discussion on information flows, the idea can be extended to include the logistics hub. A logistics hub is a merge-andfork point in material flows. A logistics hub subsumes an information hub, but involves the additional dimension of physical material handling. Examples include supplier hubs at manufacturing companies and the integrated logistics hub operated by third party logistics providers. There are numerous hurdles to information hubs. The first and foremost challenge is that of aligning incentives of different partners. It would be naive to think that supply chain integration will automatically increase each partner’s profit. In fact, each partner is wary of the possibility of other partners abusing trust and reaping all or a lion’s share of the benefits from supply chain integration. Even when each partner is guaranteed a positive gain in return for participation, partners may haggle over how to split the gain. This may potentially lead to a failure to agree – i.e., resulting in prisoner’s dilemma. Thus, trust and cooperation become critical ingredients in a supply chain partnership. On the other hand, trust needs to be rationalized by a relevant economic return. As mentioned earlier, supply chain integration involves sharing information and knowledge, re-allocation of decision rights, and organizational linkages. When information is shared among supply chain partners, special attention is needed to ensure that the information be kept confidential among authorized personnel, and that the information be used for its original intent only. Technology is another constraint to the establishment of an information hub. Implementation of a cross-enterprise information system is costly, time-consuming and risky. Partners may not agree on the spec- Supply Chain Integration over the Internet 15 ifications of the technical system, and how to split the cost of investing in the system. Finally, companies have to face the challenge of extending or replacing their legacy systems to fit into the new system. Every organization has inertia in committing to a major change. This inertia is well justified in many cases, since the main source of the inertia is the lack of a clear vision and quantitative analysis to direct and guide their e-BusinessORDERING INVENTORYOrder place online by customer the challenge here is to convey the right and detail information to the manufacture. Here, a strong network manufacture retailer and customer play the challenging role to find the right person on right time for production of goods. Ordering online leads to E-Commerce introduce this service online have manage quotation then purchase order, order acceptance, ordering process stock availability, sales return involves in ordering inventory online.WARE HOUSE SERVICESOnline method of business also facilitates the customer by providing different services like warehouse is the most important to make inventory save so, whenever you order your product and it needs a special care and you are paid member of a particular business online you will enjoy this service of warehouse without any headache you find warehouse than make contract with the owner. Reduced distribution cost of E-Commerce companies’ ship their product from centralized warehouses. This eliminates the need of multiple stock stores and reduces the total distribution cost. Also many companies pass shipping cost to their customer.Warehouse offers pick and pack managing picking single product from aster cater cartons to guarantee unit picking. Customs pachaginging type merchandise valuables, fragile objects, mass market, products, electronics and IT ornaments. Deployment of specialized couriers for B2B and B2C deliveries.TECHNOLOGICAL GROWTHBar code, RFID, different modes of transportation, are the invention, commercialization are improvement in technology. It is an exponential or hyperbolic process whereby new technologies easier and faster resulting in accelerating change. Economically increase in output in words that invents or improves process, which is used to get a bigger rewards for the same amount of work.Differnt software are developed to keep the storage of goods. Online websites HTML are the web developer to make advance development of websites on websites you find number of listing items with numbers of suppliers this make the advancements of business work smartly. It forms a supply listing pages, supplies listing items have individual picture of every items in which it results to make connectivity with correct person to order its commodity.EFFICIENCEY IN WORKThrough smart and efficient work in business when you know the completion in market, your competitor information, technological change is an automation that allow firms to produce with a unit of input. Productivity in forms allow people to produce more in hour of work. Accounting software that freed accounting departments from cumbersome-paper based process. Flow in information through internet, business transaction done, storage of data online leads to efficiency and effective means of activities.Advertsiing done online rather than ordinary mode of advertisement.Admistration of work both in management and activities done with full form of knowledge.Focusing on efficiency put efforts on managing and marketing your business, growing the reaches of your commerce become reality. Logistics professional who can fill orders as fast as you can sell will bring peace in mind and encourage growth by eliminating fears to keep up. The best way to successfully grow your E-commerce is to strengthen your customer service.REDUCTION IN LABOR COSTReduced labor cost E-Commerce reduce labor cost. Selling online reduces or even eliminates the need for sales person. Companies can still offer customer support, but the cost of online customer service representatives is less than a tradional sales team. Reduce Marketing cost, advertising online is more effective than other advertising methods. In most cases the return on investment is much higher than tradional print, television and radio. Distribution cost is also reduced as company’s offers customer service informs of warehouse where shipment is charge to customer and unnecessary stock also reduce labor cost. FLOW OF INFORMATIONE-Commerce is an opportunity that can increase speed of service delivery and the flow of information in the way reducing red tape encouraged with paper documentation substituting it for electronic style of document which will consequently minimize the administrative cost incurred the result of costly servicing of human and paper work. The other way by minimizing bottleneck experience in an event of break down across the two streams given in massive system. Therefore reducing the frequency of service error by providing real time window to everything happening in the chain. So when there’s a break down it will provide an outside looking in solutions that will get the system back working in to time. FUTURE BENEFITS OF E-COMMORECE IN SUPPLY CHAINS.Purchasing and freight billing: The increased popularity of E-Commerce is due to multitude of operational benefits it can bring to purchasing practice. These benefits results to reduce cost of paper transaction, shorter ordering cycle and the subsequent inventory reduction from speedy transmission of purchase order relate information, and enhanced opportunities of supplier/buyer partnership through enhancement of web communication in business to business communication. Freight billing result the risk of over payment, and the countless hour of paper work, or need of third part contract. By intercepting duplicate billing and incorrect charges will occurred amount of shipping charges.Online shipping inquiry and tracking: E-Commerce allow user to establish account and on real time about cargo information. This also made create and submits bill of landing, place a cargo, order, and analyze chargers, cargo claim and many other functions. This give instant information to every department of company to access any location. Parcel shipment can easily be tracked and confirmed. Person transportation and performance can be analyzed, thus help customer to negotiate rates and improved service. In addition to that E-Commerce allow to track shipment of individual product and performs other supply chain management and decision support system.Shipping Documents and Labelling: There will be less need of manual interpretation because standards bill of landing, shipping label and carrier manifest will be automatically produced this will include specialized export documentation required for overseas shipment. Paperwork is significantly reduced and shipping department work efficiently.Operations: Internet trade is not without problems for the supplier. There are number of several issues for security, building trust, confidence and the need of regulatory legal frame work. There should be an information of verified supplier and buyers to win confidence both supplier and buyer for sell and purchase (Emiliani abd Stec , 2001).Build to order not require just in time but also the most computerized version of Enterprise Resource Planning. With its facilitation of real time communication between supplier and buyer, production process, marketing functions are the components of BTO in internet. Role of internet with elements of supply chain include following key points are;Detail examination of internet usage and performance of supply chain and developing industrial area practice.Building dynamic manufacturing supply chain model of web based in each collaborative industrial sector.HTML prototype for web page of supply chain.Sector based model and prototypes.Logistics: It includes the control of flow of material virtually in forms to design the plan scheduling, design, implanting and delivery to end consumer. 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