Lecture 4 - e-Business Networks

Question 1

What is intelligent interoperability?

Answer 1

Using IoT as a technological enabler so that heterogeneous (different types/kinds) devices can cooperate well with each other.

Question 2

What is a network and what are the 2 components?

Answer 2

A structure in which different (1) actors are linked together with (2) ties.

Actors can be roles, individuals, organizations, industries.

Ties can be based on anything that generates a relationship.

Question 3

What is a corporate network?

Answer 3

A long-term arrangement among distinct but related for-profit organizations.

• > This can also be a virtual partnership
• > Participants remain their own authority in major budgeting and pricing matters

Question 4

What is a fluid organization?

Answer 4

A networked enterprise that allows reorganization on the fly, depending on the innovation challenge and task at hand.

Question 5

What are 3 features of inter-company networks?

Answer 5

1. It consists of nodes and relationships
   (relationships are based on exchange of goods, information and knowledge)
2. Manages interdependence between companies
   (so not just acquiring firms, they are still independent firms, AND, it is based on purposeful collaboration and specific communication patterns)
3. They can vary with respect to goals, boundaries, structures, processes and other attributes

Question 6

What are the 6 main characteristics of networked organizations?

Answer 6

1. The links between participants are based on various types of exchange.
2. Networks have a distinct boundary with their environments
3. Participants pursue a common goal
4. There is business collaboration|(insourcing, outsourcing, rightsourcing)
5. All participants have their own diverse, specific goals as well
6. Relations are characterized by mutual investments, or inter dependencies (not only simple transactions)

Question 7

What two types of networks are there between independent companies?

Answer 7

1. Stable Networks
   Long-term, limited number participants, aim to service predictable markets and the use of partial outsourcing to introduce flexibility in the value chain.
2. Dynamic Networks
   Temporary alliances to respond to actual market focuses. Focused on more than a single project or order.

-> More a spectrum though

Question 8

What two types of networks exist based on network STRUCTURE?

Answer 8

1. Tightly coupled networks
   Stable network with shared planning and control cycles. Nodes aim to attain a shared goal. They may include pre-defined interaction patterns, requiring detailed agreements between nodes.
2. Loosely coupled networks
   Independent trading partners who can unilaterally change their internal processes/systems without influencing the other nodes.

Question 9

What are three types of organizational structures?

Answer 9

1. Hierarchical
2. Flat
3. Networked

Question 10

What are the characteristics of an hierarchical organizational structure?

Answer 10

It is bureaucratic with defined levels of management, where there is a clear division of labor roles.
It works best in a stable and certain environment. The power is centralized and data storage and processing is also centralized.

Question 11

What are the characteristics of a flat organizational structure?

Answer 11

Decision-making is pushed down to the lowest level. There are informal roles within the organization, and it is often SME’s and young organizations that work like this. They are best suitable in unstable and uncertain environments. Power structure is centralized, and in terms of technology- PC’s are often used.

Question 12

What are the characteristics of a networked organizational structure?

Answer 12

It is comprised of formal and informal communication networks. They are flexible and able to adapt. Best suitable in unstable and uncertain environment. The power is distributed, and technology wise they make use of internet and cloud computing.

Question 13

What are (many) advantages of networked organizations?
*similar to those of e-Business

Answer 13

Reduction of total costs 
 Reduction of inventory
 Improved fulfillment cycle time
 Productivity increase 
 Improved capacity 
 Avoidance of problems of effort duplication & inefficiency
 Increase of intellectual assets 
 Delivery improvement 
 Diversified business and trading 
 Competitive advantage 
 Untapped markets 
 Enhanced speed and efficiency

Question 14

What are two types of flow in a supply chain?

Answer 14

1. Material flow

2. Information flow

Question 15

What is managed in a supply chain?

no need to know everything, but recognize

Answer 15

• Enterprise Information systems
• sourcing and procurement
• production scheduling
• order processing
• inventory management
• warehousing
• customer service
• after-market disposition of packaging and materials

Question 16

What is an integrated supply chain?

Answer 16

Multiple firms within a shared market segment who collaboratively plan, implement and monitor the flow of goods, services and information.

Question 17

What is the goal of an integrated supply chain?

Answer 17

Increasing customer-perceived value and optimize efficiency.

Question 18

What are the 4 features/characteristics of an integrated supply chain?
(learn by heart)

Answer 18

• Processes are inter-organizational, but not controlled by a single organization
• Production processes are flexible with different parties involved at different times
• Parties involved in producing a single product are often geographically dispersed;
• Coordination depends on IT infrastructure and telecommunication networks

Question 19

What are the 4 main benefits of integrated supply chains?

learn by heart

Answer 19

• Reduced inventories
• Cost savings
• Improved value of goods & services you can deliver
• Tighter links with business partners

Question 20

What is industry 4.0?

Answer 20

The 4th industrial revolution, referring to the use of cyber physical systems to monitor, analyze and automate business.

1. use of water and steam power (to run facilities)
2. use of electrical power (mass production)
3. use of electronics and IT (to automate production)

Question 21

What are some traits of industry 4.0?

just to vaguely know

Answer 21

• New level of organization and control over the entire value chain.
• Goal: integrated & automated & optimized production flow and more individualized customer products.
• Starts at product design, ends at upgrade and maintenance for delivered products.
• Based on digitization of entire production environment.