BEC 4.4 Flashcards
The Internet: implications for business
How can the Internet be defined?
International network composed of servers around the world that communicate with each other
Identify the costs associated with implementing EDI
- Legal costs
- Hardware costs
- Costs of translation software
- Costs of data transmission
- Process reengineering and employee training costs for affected applications
- Costs associated with security, monitoring, and control procedures
Define B2B transactions and identify the 3 different markets
B2B transaction = When a business sells its products/services to other businesses
- B2B e-commerce: many businesses buy, sell, or trade their products and services with other businesses.
- Electronic market: very common for B2B transactions to occur electronically via the Internet
- Direct market: also very common for B2B transactions to occur electronically between businesses when there is a preexisting relationship
Identify some advantages of B2B e-commerce
- Speed
- Time
- Personalization
- Security
- Reliability
Define electronic funds tranfer (EFT) systems
Major form of electronic payment for banking and retailing industries.
Uses a variety of technologies to transact, process, and verify money transfers and credits between banks, businesses, and consumers. The Federal Reserve wire system is used very frequently in EFT to reduce the time and expense required to process checks and credit transactions
Define EDI
Computer-to-computer exchange of business transaction documents in structured formats that allows for direct processing of the data by the receiving system
How are EDI transactions submitted, and what is mapping?
Submitted in a standard data format
Mapping is the process of determining the correspondence between elements in a company’s terminology and elements in standard EDI terminology
What are the features of EDI?
- Allows transmission of elecronic documents between computer systems in different organizations
- Reduces handling costs and speeds transaction processing
- Requires that all transactions be submitted in a standard data format
- Can be implemented using direct links, VANs, or over the Internet
What are some controls for an EDI system?
- Encryption of data
- Activity logs of failed transaction
- Network and sender/recipient acknowledgments
What is e-commerce?
Involves electronic consummation of exchange transactions.
Normally implies the use of the Internet but a private network can also be used
How does EDI differ from e-commerce on a cost, security, speed, and network basis?
- Cost: EDI is more expensive than e-commerce
- Security: EDI is more secure than e-commerce
- Speed: E-commerce is faster than EDI
- Network: EDI uses VAN (private) and e-commerce uses the Internet (public)
Define and describe the purpose of business processing reengineering (BPR).
Analysis and design of business processes and information systems to achieve significant performance improvements.
Purpose is to simplify the system, make it more effective, and improve entity’s quality & service
Define and describe the purpose of enterprise resource planning (ERP).
Cross-functional enterprise system that integrates and automates the many business processes and systems that must work together in various functions (e.g., manufacturing, distribution, human resources) of a business
Supply chain management is concerned with what 4 characteristics of every sale?
- Goods received should match goods ordered (What)
- Goods should be delivered by the date promised (When)
- Goods should be delivered to the location requested (Where)
- Goods’ cost should be the lowest price (How much)
Compare and contract HTML, HTTP, and URL
- Hypertext markup language (HTML) is a tag-based formatting language used for Web Pages
- Hypertext transfer protocol (HTTP) is the communications protocol used to transfer Web pages on the World Wide Web
- Uniform resource locator (URL) is the technical name for a Web address, which direct users to a specific location on the Web
