An E-Commerce Systems Integration Framework

By Capozzoli, Ernest A.; True, Sheb L. | Southern Business Review, Spring 2001 | Go to article overview

An E-Commerce Systems Integration Framework


Capozzoli, Ernest A., True, Sheb L., Southern Business Review


E-Commerce is deploying computer and communications technologies to support an organization's sales process (Capozzoli, True, & Pritchett, 2000). It can be dichotomized as Business to Consumer (B2C) and Business to Business (B2B), is increasing at a rapid rate, and is expected to continue although estimates vary substantially. For example, Marketer.com (2001) estimates that B2C activity will grow from $60 billion in 2000 to $428 billion in 2005, and Goldman Sachs (Marketer.com, 2001) is estimating $2.1 trillion for the same period. In 2000, worldwide B2B Internet commerce surpassed $433 billion. That total is projected to reach $919 billion in 2001 and $8.5 trillion by 2005 (Gartner Corporation, 2001). The requirement of systems integration is being driven by this growth.

The success of E-Commerce activity is directly affected by system integration efforts associated with traditional back office and web-based systems. The potential benefits of enterprise-wide E-Commerce activities (e.g., customer relationship, inventory, and process management) to an organization emphasize the need for system integration beyond individual sales transactions. Indeed, the range of business processes that represent a more complex and dynamic business arrangement in which advancing technologies should be effectively integrated into the planning process is broad. Unfortunately, many organizations are not capitalizing on the synergistic advantages of integrated systems (Maruca, 1999). Fewer than one-third of Internet retailers have integrated their back office inventory databases with their front-end web systems (Spieler, 2001). Despite the apparent lack of integration, some organizations are attempting to coordinate such customer activities. Wal-Mart has established a goods returns policy that allows a customer the option to return merchandise purchased on-line to any WalMart store (Wal-Mart, 2001).

Planning for and integrating ECommerce technologies are essential to an organization's survival. The success of a strategy depends on doing many things well and integrating those activities (Porter, 1996). According to Mintzberg (1994), an organization must do three things better than the competition: it must know itself, have robust business systems, and have both an internal and external focus. Following these guidelines is made more difficult by a rapidly changing and advancing technological environment. E-Commerce capabilities have enabled both buyers and sellers of products to obtain more and better information faster. This shifting of the channel power structure is creating chaos in traditional business processes and in the development and maintenance of internal (e.g., employee) and external (e.g., customer and supplier) relationships. The goals of these systems are to improve financial performance and to create and sustain competitive advantages. Thus, organizations need to better understand the system as a whole. One means of accomplishing this is via planned periodic reviews of ECommerce activities as they relate to existing business processes and systems.

Capozzoli, True, and Pritchett (2000) set forth an initial framework for describing the relationship between E-Commerce activity and systems integration that is categorized in five levels. A Level-1 company makes little or no use of computers and/or communications technology, and a Level-5 firm makes extensive, cutting-edge use of these tools (see Figure 1). The purpose of this paper is to further develop this framework for positioning organizational business processes and technological capabilities consistent with Mintzberg's and Porter's guidelines. Framework Discussion E-Commerce activities, both B2C and 13213, can address different requirements and must be identified, managed, and measured as such. Understanding these distinctions is crucial because they can influence system integration requirements, but current measurement indicators are incomplete and may give erroneous and unreliable output.

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

An E-Commerce Systems Integration Framework
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.