E-Commerce Transition Model for Supply Chain Management

Abstract

The creation of Internet-based companies is changing the way business is being carried out and increasing the pressure on traditional firms, which now need to adapt to the new challenges brought about by the so-called digital economy. Successful electronic commerce activities depend on the partners involved in the product or service being delivered. Firms able to communicate with their partners electronically for procurement, sales, or supply chain management have become what many call clicks-and-mortar companies. An empirically based technological model that helps organizations understand the requirements of moving towards the seamless integration of intra-and inter-organizational processes is proposed. This five-wave transitional model accompanies key decision-makers through progressive steps that correspond to different business-to-business e-commerce needs and specifications. As organizations move along these technological waves, we can witness the gradual opening-up of new opportunities for carrying out business. This paper presents the model, its requirements and its technological and organizational underpinnings. The model is illustrated with examples from organizations in a major industrial sector.