Week 4 - e-Business Systems Flashcards
What is a B2B transaction and how are these transactions typically carried out?
Business to Business - High Volume automated transactions that occur repeatedly.
What is a B2C transaction and how are these transactions typically carried out?
Business to Customers - 24/7 ordering and shopping, Music downloads and software, Account based services e.g. banks
How do partnerships develop between customer and supplier and what is the benefit of this?
Develop a close and long-term information rich relationship, the technology can be used to stabilise relationships within the supply chain, to lock-in customers and lock-out competitors.
What is the benefit of Supply chain partners using an Inter-organisational System? (IOS)
The ability to effectively meet end-user requirements by rapidly transferring information back and forth in the supply chain.
Define what an Electronic Data Interchange (EDI) is.
The transfer of structured data, by agreed message standards, from one computer system to another, by electronic means.
What is the two main EDI Standards for coding business documents?
EDIFACT and XML
What are the long term benefits of EDI?
- Commitment to long term investment and refinement.
- Speeds up the trade cycle by sending invoices quickly, thereby improving cash flow.
- Saves money by cutting staff costs.
- EDI enables small companies to do business with larger firms that insist on using EDI.
- Reduces risk of human error.
What is the purpose of Value Added Networks (VANs) and what does it offer?
Small companies without IT expertise buy the services of VANs. They provide services such as EDI transation services; Secuirity; Document Interchange Assistance; Standard Message Formats; Communication protocols, and communication parameters.
Through what medium can Internet Based EDI be implemented?
Through a VPN (Virtual Private Network)
