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1 Click to edit Master title style INTRODUCING A COLLABORATIVE BUSINESS MODEL FOR EUROPEAN ERP VALUE CHAINS OF SMEs: The PANDA EU Project Ioannis Ignatiadis (Centre for Applied Research in Information Systems, Kingston University, UK)» Fifth level Jonathan Briggs (Centre for Applied Research in Information Systems, Kingston University, UK) Adomas Svirskas (Department of Computer Science, Vilnius University, Lithuania) Kostas Bougiouklis (Q-Plan North Greece, Thessaloniki, Greece) Adamantios Koumpis (Altec, Thessaloniki, Greece) 1

2 1 2 3 Click to Business edit Master Models title style Business Model of Dell Business Model Concept Business Model Type» Fifth level Business Model of Amazon Business Model Type Business Model of ebay Dell Amazon ebay Conceptual levels Instance levels DEFINITION What is a business model? META-MODEL What elements belong into a business model? TAXONOMY OF TYPES Which business models resemble each other? SUB-(META)-MODELS What are the common characteristics? INSTANCES (VIEW OF COMPANY) MODELLED INSTANCE REAL WORLD COMPANY Source: Osterwalder, Pigneur and Tucci (2005) 2

3 Click The to edit PANDA Master Project title style Collaborative Process Automation Support using Service Level Agreements and Intelligent dynamic Agents in SME clusters Address current inefficiencies in ERP value chains and increase the level of services for the end customers Facilitate efficient value chain operations Broaden opportunities» Fifth for international level e-collaborations (European clusters in ERP industry). The outcome of PANDA is an advanced B2B web platform, dedicated on serving the international value chain operations of the European ERP industry. Validation in two large international informal ERP value chains, involving 2 ERP vendors, 200 ERP national representatives, and dealers, 50 IT consultants, and 40,000 end customers in 7 European countries. 3

4 Multiple Functions/ Integrated Functional Integration Click to Business edit Master Models title style» Fifth level E-Mall Collaboration Platform Value Chain Service Provider Third Party Marketplace Virtual Community Value Chain Integrator PANDA PANDA PANDA E-Procurement E-Auction Single Function E-Shop Trust Services Info Brokerage lower Degree of Innovation higher 4 Source: Timmers (1998)

5 Users: Click to edit Master title style ERP Vendors National Click Representatives to edit Master text styles Dealers Consultants Target Market NOT End Customers (however can give feedback with regards to project status) ERP Projects:» Fifth level large international or interregional ERP projects requiring cooperation of at least 2 partners Vendor Types: SME ERP vendors with mainly national and/or partially international activities Solutions and services in the small medium ERP market segment Their value chains consisting of thousands of service providers in the ERP 5 industry

6 Click to edit Master title style Supported Value Chains Hierarchical Value Chains Proprietary solution (ERP system) developed by one vendor Standard modules are offered with sufficient functionality Possibility to be adapted to customer needs Wide value-chain network providing sales, consulting and customer technical support» Fifth level Flat Value Chains Open source solution (ERP system) Promoted as commodity through resellers Subscription-based business for the provision of services (support) Low-entry level for customers 6

7 Click Supported to edit Master ERP Projects title style 1. ERP implementation (software installation, customisation, data transition, training, technical support for a specific period, update with new versions for a specific Click period to and edit the Master related services, text etc) styles 2. New ERP versions (e.g. new licences & technical support for the installation of new versions) 3. Upgrade of existing Fourth ERP level(e.g. the customer has a basic version of an ERP and decides to buy additional modules and/or include additional premises (in other regions), etc)» Fifth level 4. Technical support (e.g. New contract for technical support of existing customer for a specific period) 7

8 Click The to edit PANDA Master Solution title style Form Request-Based Virtual Organisations (RBVOs) as flexible clusters reflecting European ERP value chains. Use sector-specific Service Level Agreements (SLAs), acting as the regulating framework, among value chain members, for RBVOs operations. Utilise a community» of Fifth Intelligent level Software Agents (Multi-Agent System) that aorchestrate and automate procedures and operations of RBVOs (partner identification and selection, monitoring of project status, etc) in a predefined, standardized and automatically generated manner. Use SOA (Web Services) for adaptation in different ERP value chain characteristics. 8

9 Click to edit PANDA Master title style RBVO e-business Model» Fifth levelb2b Integrated e-collaboration platform (SOA) Service- Level Agreements Multi- Agent System 9

10 Click PANDA to edit Supported Master Activities title style 1. Pre-sales activity: formulation and submission of an offer to an end customer, providing necessary references, such as estimation of time schedule and cost, general conditions for project implementation, etc. 2. Formation of consortium per ERP project: searching for potential partners based on the Collaboration Request which incorporates major characteristics Third of the level ERP project as well as specific conditions set by the client. 3. Overall monitoring / management of the consortium during implementation:» including Fifth level (if needed) re-planning of the project and/or reconfiguration of the RBVO, and 4. Management of partner profiles: automatic update of the profiles of all partners-members of an RBVO following project termination (reputation management). 10

11 » Fifth level Functionality: Click to VO edit Life-cycle Master in title Collaborative style ERP Projects Reconfiguration Identifi- cation Click to edit Master tion text styles Forma- Termination Operation ERP Project at Sign SLA Agreements Customer Site(s): amongst Implementation Identify Suitable Partners and Start Project Implementation Partners E-commerce State at of Customer the Art Report Monitor Project and Partner Performance Close Project, Rate Partners, Archive Results 11

12 Market Complementarities Click to edit Master title style Partner Relationship Management Systems Define groups of collaborating organizations (partners) and manage their relations E.g. Onyx Partner Portal, OpenBox Partner Management, Siebel PRM ERP Industry Portals Partner Accreditation, Manage Partner Relationships, Partner Support SAP Service Market-place, Oracle Partner Network Access, Compiere ERP Business Solutions Web-based Supply Chain» Fifth Planning level Systems Sharing Product Description Catalogue, Order Status Information, Inventory Data, Demand Projections E2open, Adexa Supply Chain Planning Web-based Project Management Systems collaborative management of project resources online Xcolla, Project Activator, BPS Project, ValleySpeak Project Server 12

13 Click to edit Master title style PANDA Differentiation Focus on SMEs (ERP Vendors, Dealers, National Representatives, Consultants) No tie-in to particular ERP Vendors (also allows for possibility to choose amongst competing ERP solutions) Adaptability of platform» Fifth to level different ERP value chains characteristics (business, operational, legal issues) Web 2.0 characteristics, easy to use Find and manage collaborating partners in real-time 13

14 User Needs Click to edit Master title style Need Partner Identification Current Solution Personal contacts and Click to edit Master recommendations text styles Communication of Mostly by telephone and project requirements and status Experience sharing Mostly personal from previous similar contacts projects» Fifth level Standardisation of Ad-hoc formation of contracts for contracts international projects Availability of Not implemented, or feedback regarding paper-based project outcome Maintenance of a pool Offline, or other of partners (VBE) specialised systems (Excel, CRM, etc) PANDA Platform Automatic partner identification by agents system Holding of project data in system database History of completed projects, including solutions provided, approaches and issues Storage of SLA templates Online archival of project results and partner performance Management (registration, examination, rating, etc) of 14 companies

15 Click to edit Master title style Conclusions Collaborative Business Model Benefits Reduction of transaction costs Expansion of geographical activities Establishment and maintenance of a VBE in the European ERP Industry (SMEs) Building of Third new level networks and strategic alliances Optimisation of efficiency of business processes» Fifth level Better promotion of company s products and services Enrichment of know-how with regards to e-business processes Acceleration of negotiation and contracting processes Addressing peculiarities of value chains Lower cost of participation compared to proprietary e-business 15 solutions

16 Click to edit Master title style INTRODUCING A COLLABORATIVE BUSINESS MODEL FOR EUROPEAN ERP VALUE CHAINS OF SMEs: The» Fifth PANDA level EU Project Questions? 16