Project Name: Strategic IT Plan for HHI

Submitted by: Roy Louis Garcia

Department: Information TechnologyFocus Area: Enterprise Application Architecture for Small Business

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Table of Contents

Introduction.................................................................................................................................................3

Analysis of EAI for HHI.................................................................................................................................4

Systems and Data Integration.....................................................................................................................6

Part 1: Integration Issues.........................................................................................................................6

Part 2: Design, Planning and Deployment...............................................................................................7

E-business or E-commerce..........................................................................................................................8

Enterprise Information Systems................................................................................................................10

Security Issues...........................................................................................................................................11

Transformation through Web-based technology......................................................................................12

Proposed Web Site Design........................................................................................................................13

Analysis......................................................................................................................................................15

Appendix A: Copies of sample Web pages created...................................................................................16

Appendix B: Annotated Bibliography:........................................................................................................19

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Introduction

HHI manufactures and sells rustic and specialty decorative hardware for doors and windows

through printed catalogs distributed to door and window retailers, and at home shows. Currently, they

have no web presence unlike their competitors: Wild West Hardware and Rustica Hardware.

In order to compete, HHI needs to improve their IT infrastructure and implement e-commerce,

particularly web-based business operations, to open new ways of marketing, conducting business-to-

business operations, and establishing business-to-consumer direct sales as well. With these change

increase in marketing and sales, including extending sales into Canada and Mexico will benefit the

company. The effective application and management of IT will make processes better, faster and

cheaper. Applying Enterprise Application Integration (EAI) will aid in planning for this transition from HHI’s

legacy system to the targeted, new integrated system.

Analysis of the current legacy system should be made to better implement the planned

integration. Enterprise Architecture should aid management to make decisions on the approach to make

these changes with the least negative effect on its current operations. Currently, there are separate

systems supporting critical functions—primarily accounting, inventory management, and sales order and

fulfillment. Most of these commercial off-the-shelf (COTS) systems were purchased individually over time

and are not integrated. They result duplicate data entry, data discrepancies, and information processing

inefficiencies. Systems are generally reconciled manually at the end of each week. Orders, which are

sometimes lost or misplaced, are accepted by phone, fax, or mail exclusively. The ideal of EAI is to

integrate not only technology, but people and business processes as well.

Accountingsystem

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Analysis of EAI for HHI

EAI, will HHI to have to opportunity in solidifying external relationships with suppliers, customers

and shipping companies. EAI not only deals with technology but also deals with people and their behavior

towards this change. "Integrating software and hardware—the technical integration—is only one aspect of

integration. The biggest challenge may be the behavioral integration." (Lee 2003)

PeopleA board composed of Chief Executive Officer (CEO), Chief Operations Officer (COO), Chief Financial Officer (CFO) and Development and Strategic Planning Officer (DSPO)*30 full time employees20 artisans on contract as needed3 IT support

Technologyaccounting systeminventory management system

sales order and fulfillment system

ProcessProduction of productsTaking OrdersDelivery of ProductsCustomer SupportInventoryManagementMarketingFinancialsSales

Management should decide if the legacy systems will still be in used and if middleware should be

incorporated for integration. Currently, the Business Process Diagram of HHI would show:

EAI would be able to help management see that integration is needed and all the systems can be

consolidated. This will ease internal business processes. It would also speed up ordering time and

improve customer experience. More people can be reached by having web presence and customers will

CUSTOMERS

ARTISANS

Heathwood Hardware, Inc.Customer

Service/ SalesProduction Inventory Delivery

delivery

High dem

and inventory

management system

SuppliesM

aterialss

sales order and fulfillment system

delivery

PROCUREMENT

CARRIERsales order

and fulfillment system

order

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be able to track the delivery of their product. Suppliers of materials will have automated replenish system

with HHI. Artisans will be able to view work orders online and may even bypass HHI and deliver the

product from their shops. All these will be possible with an integrated system. HHI still has a long way to

go but integration through Enterprise Architecture is a requirement. They may consolidate every planning

in one system that can handle financials, inventory and management. They can even keep COTS and

choose a middleware approach. No matter what they decide on, proper architecture should be applied in

order to connect machines, people and processes.

The challenges for integration dwells on Management decision to have Business Processes

Reengineering and make changes or retire legacy systems, or opt spending money on middleware that

will aid in integration. Of course there is always the human factor of behavior towards change and

integration.

Accountingsystem

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Systems and Data Integration

Part 1: Integration Issues

As discussed in the previous section. Management needs to decide on whether to use

middleware or make the website a focal point of the business. Replacing the commercial off-the-shelf

(COTS) systems is crucial. If Business Process Reengineering (BPR) would be applied, retiring the

legacy systems should be discussed. This will lessen the complexity of the Enterprise Integration

Architecture. The current data integration comprises of:

No Middleware and Retired COTS

CARRIERCUSTOMERS

ARTISANS

Heathwood Hardware, Inc.Customer

Service/ SalesProduction Inventory Delivery

deliveryHigh

deman

d

inventory management

system

SuppliesM

aterialss

sales order and fulfillment system

delivery

PROCUREMENT

sales order and fulfillment

system

order

Accountingsystem

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Part 2: Design, Planning and Deployment

IT Planning:

Scope Analysis System Analysis: analyze existing database and interface for the following:

Database Design and Migration Plan: Identify Users and their access privilegeso Identify all entities that translates to tables:

Customers Management Internal Employees Artisans Products and Categories Etc

Interface Design and Security

Extranet or Internal Portal (Modular) MODULE 1: Management/IT/System Interface MODULE 2: Inventory/Accounting/Human Resources MODULE 3: Test Environment

Web Development and Interoperability MODULE 5: User and Security MODULE 6: Interface Design MODULE 7: E-Commerce

Web Design (Customer/Supplier/Procurement/Public View) MODULE 8: Login and Site Mapping MODULE 9: Features and Usability Testing MODULE 10: Operations and Transactions Testing in Development Environment

DUPLICATE WEB SITE as Production CopyGO-LIVE Planning and Management:

Marketing Company Identity/Design Go Live for each Module

sales order and fulfillment

systeminventory

management system

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E-business or E-commerce

Management’s decision to conduct business electronically entails crucial and necessary long-

term decisions. An e-commerce website development project does not happen overnight and takes more

than just picking the right people, tools, payment merchants and products. Establishing an e-commerce

site involve management choices that has long term effect it the success of the project. One example of a

decision is regarding whether web hosting should be in-house, meaning the team will be acquiring a

machine that will host the webserver, which will contain the files and database related to HHI’s website or

leased. HHI’s ability to have its own web host machine is unlikely. It is not feasible for them or any first-

time-on-the-web company. What they can opt to do is to acquire dedicated hosting or even a shared

hosting. The important thing is that they can acquire an SSL certificate from a secured hosting company.

It is always advantageous to be under the protection of a well-known bigger hosting company that invest

on your own server and be responsible for everything. If the future, when HHI successfully grows, having

an in-house hosting is realistic and maybe the right decision.

The next decision is to pick the type of hosting OS. Linux is more stable, secured and preferred

choice for e-commerce sites. In effect, HHI can also choose to save money by picking non-propriety

applications: Apache, as the webserver; MySQL, for database; and Php for scripting language. Once HHI

have these in place, they can opt to use Joomla, a Content Management System.

Joomla is one of the most popular and used open source CMS because of its user-friendliness,

customizability and expandability. Designers, developers, administrators and users will be able to create

websites that caters to their need. The most challenging part with Joomla is the one-time installation,

customization and initial security setups, but the actual maintenance is shared by assigned users with

different roles. These roles, such as administrator, manager, publisher, author, editor and registered are

the default roles which has specific access that ultimately make website maintenance a collaborative

effort. Lastly, it is an open source program and cost to install, customize and maintain is so much lower

than hiring developers and being stuck with them for updates.

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Security is also a concern when using Joomla. Joomla is still prone to attacks, but there are

various websites and books that offer information on how to make a Joomla installation secure. There are

sites that explore Joomla security and forums that can provide substantial information on how to make a

part of your Joomla install secured.

Lastly, another open source program that can save HHI money should be considered. VirtueMart

is an” e-Commerce shopping cart solution for Joomla. It is used by thousands of store owners. It can be

run in Store- and Catalog-Mode. With its powerful Administration Tool you can handle an unlimited

Number of Categories, Products, Orders, Discounts, Shopper Groups and Customers.”(“VirtueMart”

2001)

When all these are in place, HHI will need to establish business processes around these

technologies. The diagram below shows interaction points relating to e-commerce:

www.HHI.com/productionwww.HHI.com/training PROCUREMENT

Management/Stake HoldersARTISANS

Production Inventory Delivery

CARRIERCUSTOMERS

IT Support

Purchase/Advertise

www.HHI.com/shopnowwww.HHI.com/sales

www.HHI.com/contact

Customer Service/ Sales

Marketing

www.HHI.com/trackorderww.HHI.com/

shipping

www.HHI.com/inventorywww.HHI.com/supplier

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Enterprise Information Systems

HHI’s potential growth from creating a website not only introduces possibilities but before that,

adjustments need to be made. One example of such adjustment is having the need to abide or establish

standards. An example of such standard is data representation and portability. The reason for doing this

is to be assured that external companies will be able to use your data on their system if needed. If given

early enough, they can adjust their requirements accordingly. This can be done technically, by making

sure that the database can be exported to an XML file that can be used by another. Also, the need to

functionally determine what data can be divulge to certain people needs to be discussed. Privacy and the

general rules on data stewardship are important. This is the reason why most websites would have a

Privacy Policy visible on their site. This is also the reason why some companies’ website prefer not to

enable data collection; legal issues need to be considered when opt to save sensitive information from

site visitors.

Having acquired integration status, HHI’s is geared to creating a strong position over its current

and future competitors in the Information Technology arena. With the website, the demographics of

customers can be collected and used to improve products and services. Also, HHI can now compete on

seeking not only individuals as customers but also businesses. HHI stakeholders and employees will

benefit in terms of increased financial returns or a better quality of life. HHI will realize how this IT

innovation will generate the following: increased profit, improved IT stratagem, and an improved quality of

life for all. In order to realize these, the website needs to also be integrated internally.

Diagram:

External DatabaseAMEX MERCHANT

External DatabaseVISA MERCHANT

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Security Issues

Security is important on any website, especially those designed to take in personal information

and save them on some database. HHI’s will be using some kind of shopping cart system. Security

should start with the installation of this module. Using an open source shopping cart system, Virtue Mart,

guarantees numerous forums, and documentation about security implementation. The use of SSL

certificate and https: address is standard and actually required by credit card merchants. Aside from the

module that involves money transactions, there is still a need to secure the whole Content Management

System (CMS) which is Joomla.

Joomla is known for its user-friendliness, customizability and expandability. Designers,

developers, administrators and sales people will be able to access the website depending on what they

need to interact with. Joomla is powerful and easy to implement. The most challenging part with Joomla is

the one-time installation, customization and initial security setups, but the actual maintenance is shared

by assigned users with different roles. These roles, such as administrator, manager, publisher, author,

LEGACY: sales order

and fulfillment system

CUSTOMERS

www.HHI.com/shopnow

Customer Service/ Sales

HHI Marketing

www.HHI.com/saleswww.HHI.com/contact

Database

migration

XML

XML

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editor and registered are the default roles which has specific access that ultimately make website

maintenance a collaborative effort. This creates the need to give access to the only people allowed to

interact with certain information. Joomla has the capability to assign roles and pages to each user,

according to their functions.

HHI will need to choose a good hosting company that is known for the security and uptime

history. For security, it is a balance of having enough resources for webmasters but is also stable and

reliable. Of course, HHI will have to invest on hosting and acquire the minimum requirement for

supporting a secured e-commerce system. SSL certificate is needed for credit card merchants. This

means that the site should have a dedicated IP address. This can only achieve if HHI will choose a

dedicated server at most, but a dedicated IP address within a shared hosting server is suffice.

Transformation through Web-based technology

The website will then enable HHI customers to browse products and order online. They should be

able to register to have access to some privilege pages like special deals, change password and

information, track order and delivery, pay via PayPal and credit card, etc. They should also be able to

submit product reviews and rating, submit customer service concerns and other push oriented

information. This enables management to listen more to customer purchase behavior and learn to market

HHI products accordingly. Management can use tools to access to Web Traffic Information, Monthly

Sales Report, Inventory Panel and Reports, etc. Internal Employees will have their Self Service Page that

enables them to clock-in. request for benefits, adjust their work schedule and request for day offs.

Marketing may now have a strong marketing tool in Mass-mailing capability: both electronically and snail

mail. Customer signing up will know that their information will be kept and can be used for marketing as

long as they do not opt out of it. All these will change the way HHI interacts externally and internally. HHI

can now market itself not only to geographically isolated community, but within virtual communities of

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consumers. The internet’s rich pool of community will now open up to HHI. HHI will now grow along with

the progressive transformation of the internet.

Cheaper unlimited online access, wireless connectivity of portable gadgets, the increasing

number of web 2.0 content geared to wider spectrum of people and the commercial success of

companies providing free and money-making web solutions. The popularity of portable computing via

various gadgets: laptops; smart cell phones, and netbooks create a bigger market of potential consumers

for businesses of all sorts. Google AdSense brings income to website owners with valued content to offer

to this market. If before, most website owners are big businesses that pay big to get their flashy website

up and running, now we see a shift in this paradigm. A HHI’s IT team, even with newly acquired

programming skill can earn residual income from Google Adsense for HHI. The possibilities are limitless.

Proposed Web Site Design

The approach of our web designer is to preserve the authentic rustic-look and feel that is familiar

to HHI’s traditional customers. This approach also has the differentiation effect from HHI’s two considered

rivals. Instead of presenting the products like a customer is purchasing from some warehouse or

stockroom, HHI aims to presents its products as if they were displayed in a showroom. Below are sample

graphics that aims to capture these intentions:

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Hidden behind the rustic-look, the website will have private pages that showcase the true value

and modernity of the website. Depending on login credentials, customers, suppliers, procurement,

artisans, etc. will be able to view pages that are specific to what they are allowed to do on the site. The

diagram on the next page shows these various pages and connections:

Diagram:

sales orderfulfillment accountingInventory

ManagementUser Management

Product listinge-commerce

ARTISANS

Production

Inventory

Delivery

PROCUREMENT

CARRIER

CUSTOMERS

Management/Stake Holders

IT Support

www.HHI.com/shopnowwww.HHI.com/sales

www.HHI.com/contact

www.HHI.com/productionwww.HHI.com/training

Customer Service/ Sales

Marketing

www.HHI.com/trackorderww.HHI.com/

shipping

www.HHI.com/inventorywww.HHI.com/supplier

Note: Color CoordinationDenotes access to the pages

Server Info:Operating System: LinuxDatabase: MySQL version

5.1.47Scripting Language: Php

5.2.14Web Server: Apache 2.2.16

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Analysis

HHI’s decision to expand its market by creating a website opens the company’s doors to

possibilities. Along with these possibilities are decisions that need to be made in order to push the web

sites potential to its maximum. Even though the website will be the focal point of processes, other

integration points need to be considered. The website makes HHI part of a community that is governed by

innovation, profit and ease of use. HHI need not aim to embrace everything modern but be

knowledgeable enough to evaluate trends to adapt and justify some to reject. Ultimately, the project aims

to provide customers to browse products and order online. They should be able to register to have access

to some privilege pages like special deals, change password and information, track order and delivery,

pay via PayPal and credit card, etc. They should also be able to submit product reviews and rating,

submit customer service concerns and other push oriented information.

Aside from customers, management should be able to have access to Web Traffic Information,

Monthly Sales Report, Inventory Panel and Reports, etc. IT Support would have access to the back panel,

Traffic Analytics, FTP, SSH, Development Pages, Technical Support Forums, etc. Internal Employees

working on various departments would be able to interact with Customers, Artisans, Carriers,

Management, IT Support, etc. Procurement companies have access to their own interface for Inventory

Supplies. Access to database will be possible for automation. Artisans would be able to have their own

assigned login to view orders assigned to them. The website will also support various communication and

collaborative tools: internal messaging, workflow, surveys, internal news, etc.

One of the most important aspects of deciding to join in the internet revolution is a company’s

ability to adapt to the changes happening within the e-community. Considering this means that HHI may

not only be a company adapting to changes, but become one that pioneers changes. This will happen as

HHI aims to take advantage of adapting to the newest e-commerce paraigms available: Web 2.0

marketing, cloud computing, AdSense, etc.

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Appendix A: Copies of sample Web pages created

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URL: http://vle13.capella.edu/1251344/default.html

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Appendix B: Annotated Bibliography:

Ferrera, A. Preventing SQL Injections. Retrieved: November 28, 2010, from http://developer.joomla.org/security/articles-tutorials/258-preventing-sql-injections.html

This article may be too technical but I will use this page to show an example on how an attack to Joomla can be patched

Joomla Security Center. Retrieved: November 28, 2010, from http://developer.joomla.org/security.html

This website is where I will get information regarding the JSST or Joomla Security Strike Team. I will also use this to discuss Joomla security risks submitted to the Joomla Community.

http://www.joomla.org

This is the official Joomla website. I will use this as a reference for documentation and case studies related to Joomla security

http://www.apache.org

This is the official Apache site. I will use this to discuss Apache related security settings to make Joomla more secured

http://extensions.joomla.org

This is a community-driven download and forum site for Joomla Extensions. I will use this to discuss vulnerability due to extensions and how members of the community warns each other for malicious extensions.

http://www.sigsiu.com

This is the site of a popular extension that has support forum for Joomla-related issues.

Lee J., Siau K., & Hong S.(2003). Enterprise Integration with ERP and EAI. Communications of the ACM Vol. 46, No. 2 ( Feb 2003 ed.) 54-60 doi:10.1145/606272.606273

This is a good source for understanding the basics of ERP and EAI.

Muthu S.,Whitman L., & Cheraghi S. H. 1999. “Business Process Reengineering: a Consolidated Methodology.” Industrial Engineering Theory, Applications and Practice November 1999: 17-20. Retrieved November 4, 2010 from http://webs.twsu.edu/whitman/papers/ijii99muthu.pdf

This source discusses the benefits of BPO.

VirtueMart Retrieved from http://extensions.joomla.org/extensions/e-commerce/shopping-cart/129 This source discusses the benefits of VirtueMart and its e-Commerce capabilities.

North, B. Joomla! 1.5: A User's Guide: Building a Successful Joomla! Powered Website. New Jersey, Prentice Hall.

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This book helps both the beginners and advance users of Joomla. I currently use this as a reference and training material to my clients who wants to learn Joomla. In this book, I will use it to tackle the installation part and how crucial it is to establish security early on.

Severdia, R., & Crowder, K. (2009). Using Joomla: Building Powerful and Efficient Web Sites. California: O' Reilly Media.

This is a book I will be using to list security good practices for Joomla.