The internet economy has changed our understanding of business processes. New models of business processes have been developed. No longer only the collecting and storing of information is important, but also the selection of the relevant data and information sources.
Since the 1990ies the companies have come into use to think in business processes. Especially the modellng is a fundamental method to make complex business processes more comprehensible and understandable.
Table of Contents
1. Introduction
2. Conditions of the Internet Economy
2.1. Internet Economy and related terms
2.2. Technological Basics of the Internet
2.3. Implications of the Internet as a network
3. Change in the processes
3.1. Business processes
3.2. Concept of the value chain by PORTER
3.3. Business processes modelling
4. Strategic dimension
4.1. Electronic markets
4.2. Transformation of the focus
4.3. Representative business segments
4.4. Value added concepts
5. Summary
Objectives and Core Topics
This report aims to analyze how the internet economy has fundamentally transformed business processes, forcing companies to move beyond traditional structures toward integrated e-business models to remain competitive in a globalized, networked market environment.
- The impact of the internet on traditional business process management.
- Strategic shifts required by the emergence of electronic markets.
- Technological drivers and their influence on organizational restructuring.
- Methods for modeling business processes in complex network environments.
- The role of information management and value-added concepts in the modern economy.
Excerpt from the Book
3.3. Business processes modelling
Since the 1990ies companies have come into use to think in business processes. As shown above, that is thanks to PORTER for some cause. So every business project has to begin with the analysis, the modelling, and the optimization of business processes.
Especially the modelling is a fundamental method to make complex business processes more comprehensible and understandable. Models reflect the reality in incorporeal and abstract form. As computer science often is called the science of abstraction, modelling is a typical tool in the strategic management of e-business processes.
According to the definition of the business process the typical elements of business models are nodes for the process start and process end, activities and the interruptions of activities. The links are shown by arrows to fix their direction of effect. A business model (see figure 6) depicts mainly the business process with its elements process performance, the process control, and process design, and in addition the information system:
Summary of Chapters
1. Introduction: Examines how the internet economy has fundamentally changed business understanding, mandating the adoption of integrated e-business and IT-supported structures.
2. Conditions of the Internet Economy: Defines the core concepts of the internet economy, the underlying technological basics, and the structural implications of the internet as a global network.
3. Change in the processes: Explores the shift in business processes, utilizing Porter’s value chain and process modeling as critical tools to manage the transition to a networked economy.
4. Strategic dimension: Discusses the transformation of strategic focus through electronic markets, new business segments, and value-added concepts like Supply Chain Management.
5. Summary: Concludes that the internet economy is a continuous process requiring holistic management that balances both "hard" and "soft" success factors to maintain market viability.
Keywords
Internet economy, e-business, business processes, value chain, strategic management, electronic markets, networking, process modeling, information technology, cost cutting, virtual community, competitive advantage, Supply Chain Management, digitalization, innovation.
Frequently Asked Questions
What is the primary subject of this report?
The report focuses on how the internet economy has transformed traditional business processes and the strategic adjustments necessary for companies to thrive in this new environment.
What are the core thematic areas covered?
The main themes include internet-driven process changes, Porter's value chain adaptation, electronic market mechanics, and modern value-added concepts like SCM and virtual communities.
What is the central research question?
The paper investigates how companies can adapt their organizational structures and processes to the fast-changing conditions and technological innovations inherent in the internet economy.
Which scientific methodology is primarily applied?
The author uses a literature-based analysis of management theories, process models, and strategic frameworks (such as Porter's value chain) to evaluate the impact of digital integration.
What is the main focus of the middle section?
The middle chapters address the operational and strategic shifts, detailing how to model business processes and manage them within a complex network architecture.
Which keywords define this work?
Key terms include E-business, Internet economy, Business process modeling, Value chain, and Strategic management.
How does the "death of distance" influence business?
It allows even small enterprises to compete on global markets, breaking traditional locational constraints and necessitating new digital working methods.
What role does E-controlling play?
E-controlling is identified as a significant new field for monitoring e-business activities, ensuring that performance indicators are adjusted in real-time to match economic changes.
Why is value chain analysis still relevant?
Despite the digital shift, Porter’s value chain remains a critical tool for isolating key success factors and identifying where IT tools can provide comparative advantages.
- Quote paper
- Dipl.-Kff. Susanna Mandorf (Author), 2008, Processes in the Internet Economy, Munich, GRIN Verlag, https://www.grin.com/document/91457
