Enterprise Mobility & Mobile Commerce. Fortune Co. goes for EM a Fortune 100 company goes mobile In...

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Enterprise Mobility & Mobile Commerce

Transcript of Enterprise Mobility & Mobile Commerce. Fortune Co. goes for EM a Fortune 100 company goes mobile In...

Enterprise Mobility & Mobile Commerce

Fortune Co. goes for EM

• a Fortune 100 company goes mobile• In early 2008, a Fortune 100 company provided

its employees with mobile access to its back-end CRM system in an effort to improve sales team efficiency,drive revenue growth, and maximize face time withclients and prospects. Extending its Siebel system to mobile devices allowed the company to:

• Increase revenue by creating new efficiencies in the field

Fortune Co. goes for EM

• Enhance CRM ROI by enabling increased adoption and use by employees

• Streamline integration of multiple commercial and EMBRACING ENTERPRISE MOBILITY legacy systems on a single platform

• Expand functionality of existing mobile devices by delivering information drawn from multiple data sources

Fortune Co. goes for EM

• Gain competitive advantage by providing access to actionable, real-time information about clients,products, claims, etc. that enhance the sales force’s ability to bolster customer service and close deals•The company began on a small scale, mobilizing only one division. But by approaching its mobile strategy in a holistic manner that accounted for growth,scalability, and potential user groups, it crafted an enterprise solution that can extend to additional business units, partners, and consumers

ENTERPRISE MOBILITY

• “the ability for an enterprise to connect and control suppliers, partners, employees, assets, products, and customers from any location,”

• Enterprise-wide mobility offers companies the opportunity to improve productivity, drive revenue, and build and deepen their relationships with customers, employees,and partners. Organizations in a diverse range of verticals have already developed and executed enterprise-wide mobility strategies

ENTERPRISE MOBILITY

• Firms that choose to ignore this trend will likely find themselves at a competitive disadvantage in the not-so-distant future.

• To understand what’s at stake, one needs look no further than the unstoppable growth in the use of mobile devices to access web-based content.

ENTERPRISE MOBILITY

• Meeting consumer demand• “Smartphone apps have become a key platform for businesses

and clearly there is more to apps than just games.”• Many companies are already capitalizing on smartphone

growth by developing customer-focused mobile applications designed to build loyalty, pinpoint high-value customers, and drive revenue

• . For example, Pizza Hut launched a mobile meal ordering application that has been downloaded more than 150,000 times. The company reports that customers spend more money when they order via smartphone than they otherwise do because the application is rich with savvy product placement and promotions

ENTERPRISE MOBILITY

• With more and more companies developing these custom applications, integrating a mobile strategy into sales and marketing plans is fast becoming essential to winning and retaining clients.

• Empowering employees• “When employees go mobile, efficiency increases 15 to

30 percent”. A successful mobile strategy does more than simply connect with customers – it also allows businesses to empower employees at every level of the organization, driving productivity, efficiency, and job satisfaction

ENTERPRISE MOBILITY• Enterprise-wide mobility can also help companies

address some of the big picture trends reshaping business.Chief among these is the rise of the mobile workforce. It’s estimated that mobile workers currently make up 35 percent of all corporate employees, a number expected to jump to over 70 percent as employees continue demanding more flexibility, and employers look to reduce the costs associated with maintaining brick and mortar sales and marketing offices. In addition, mobile workers put in more hours on the job. According to a recent survey of 600 employees, BlackBerry users work approximately 15 additional hours each week because they are always connected to critical business and transaction systems.

ENTERPRISE MOBILITY• Managing an increasingly mobile workforce brings a

whole new set of challenges – facilitating collaboration among widely dispersed employees, managing paperwork and administrative issues, and disseminating internal HR and benefits information.

• But a well-planned enterprise mobility strategy can help mitigate these issues by providing a secure, reliable way to deliver crucial real time data, facilitating communication among different work groups, increasing the speed at which far-flung employees can create and process contracts, purchase orders, and other documents, and creating workflows that allow data from different sources to be combined and accessed in a way that makes it relevant to all employee groups.

the seven key hurdles that haveled to the Mobility chaos

• 1. Apps rolled out on multiple mobile platforms

• 2. Multiple development tools and frameworks deployed to build mobile apps

• 3. More than one Mobile Device Management (MDM) platform in use

the seven key hurdles that haveled to the Mobility chaos

• 4. Inadequate attention to security

• 5. Adoption of multiple middleware and frameworks

• 6. Creation of siloed back-end systems,infrastructure and tactical web services

• 7. Partnerships built with several vendors of mobile technology

Smartphone Definition

A smartphone or smart phone is a mobile phone with an advanced mobile operating system which combines features of a personal computer operating system with other features useful for mobile or handheld use.They typically combine the features of a cell phone with those of other popular mobile devices, such as personal digital assistant (PDA), media player and GPS navigation unit. Most smartphones can access the Internet, have a touchscreen user interface, can run third-party apps, music players and are camera phones..

• Mobile Commerce

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NextBus: A Superb Customer Service

• The Problem– Buses in San Francisco have difficulty keeping to

20 minute schedule during rush hours– Posted schedule becomes meaningless

• The Solution– Bus riders carrying Internet-enabled cell phone or

PDA helps:• Find estimated arrival time at each stop, digitally in real time• Soon location-based advertisements will pop up—you have time

to get a cup of coffee before the bus arrives—Starbuck’s is 200 feet to the right

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NextBus (cont.)

• The Results– Passengers in San Francisco are happy with

the system• Worries about missing the bus are diminished• May discover they have time for a cup of coffee

before the bus arrives

– Bus company can:• Schedule better• Arrange for extra buses when needed• Improve operations

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NextBus Operational Model

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Mobile Applications - 1

• Vehicles– transmission of news, road condition etc– ad-hoc network with near vehicles to prevent

accidents

• Emergencies– early transmission of patient data to the hospital– ad-hoc network in case of earthquakes, cyclones– military ...

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Mobile Applications - 2

• Travelling salesmen– direct access to central customer files– consistent databases for all agents– mobile office

• Web access– outdoor Internet access – intelligent travel guide with up-to-date

location dependent information

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Mobile Applications - 3

• Location aware services– find services in the local environment, e.g. printer

• Information services– push: e.g., stock quotes– pull: e.g., nearest cash ATM

• Disconnected operations– mobile agents, e.g., shopping

• Entertainment– ad-hoc networks for multi user games

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Mobile Applications in Industry

• Wireless access: phone.com

• Alerting services: myalert.com

• Location services: airflash.com

• Intranet applications: imedeon.com

• Banking services: macalla.com

• Web access: wapforum.com

• Mobile agents: tryllian.com

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Mobile Commerce: Overview

• Mobile commerce (m-commerce,

m-business)—any e-commerce done in a wireless environment, especially via the Internet– Can be done via the Internet, private

communication lines, smart cards, etc.– Creates opportunity to deliver new services to

existing customers and to attract new ones

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Classes of M-Commerce Applications

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Services

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And more…

ShoppingBanking Trading

TicketingEntertainment

Terminology and Standards

• GPS: Satellite-based Global Positioning System• PDA: Personal Digital Assistant—handheld

wireless computer• SMS: Short Message Service• EMS: Enhanced Messaging Service• MMS: Multimedia Messaging Service• WAP: Wireless Application Protocol• Smartphones—Internet-enabled cell phones

with attached applications

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Specific Attributes of M-Commerce

• Attributes of m-commerce and its economic advantages– Mobility—users carry cell phones or other

mobile devices– Broad reach —people can be reached at any

time

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Attributes of M-Commerce (cont.)

• Value-added attributes of m-commerce– Ubiquity—easier information access in real-time– Convenience—devices that store data and have

Internet, intranet, extranet connections

– Instant connectivity—easy and quick connection to Internet, intranets, other mobile devices, databases

– Personalization—preparation of information for individual consumers

– Localization of products and services—knowing where the user is located at any given time and match service to them

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Characteristics of M-Commerce•

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The Drivers

• Widespread availability of devices• No need for a PC• Handset culture• Vendors’ push

• Declining prices• Improvement of

bandwidth• Explosion of EC in

general

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Mobile Computing Infrastructure

• Cellular (mobile) phones• Attachable keyboard• PDAs• Interactive pagers• Other devices

– Notebooks– Handhelds– Smartpads

• Screenphones—a telephone equipped with color screen, keyboard, e-mail, and Internet capabilities

• Wirelined—connected by wires to a network

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Hardware

Mobile Computing Infrastructure (cont.)

• Unseen infrastructure requirements– Suitably configured wireline or wireless WAN

modem– Web server with wireless support– Application or database server– Large enterprise application server– GPS locator used to determine the location of

mobile computing device carrier

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Mobile Computing Infrastructure (cont.)

• Software– Microbrowser– Mobile client operating system (OS)– Bluetooth—a chip technology and WPAN standard

that enables voice and data communications between wireless devices over short-range radio frequency (RF)

– Mobile application user interface– Back-end legacy application software– Application middleware– Wireless middleware

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is a short-range radio technology aimed at is a short-range radio technology aimed at

simplifying communications among simplifying communications among Internet devices and between devices and Internet devices and between devices and the Internet. It also aims to simplify data the Internet. It also aims to simplify data synchronization between Internet devices synchronization between Internet devices and other computers. and other computers.

BluetoothBluetooth

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Authorization (whether device X is allowed to Authorization (whether device X is allowed to have access service Y)have access service Y)•Trusted Device: The device has been Trusted Device: The device has been

previously authenticated, a link key is stored previously authenticated, a link key is stored and the device is marked as and the device is marked as ““trustedtrusted”” in the in the Device Database.Device Database.

•Untrusted Device: The device has been Untrusted Device: The device has been previously authenticated, link key is stored but previously authenticated, link key is stored but the device is not marked as the device is not marked as ““trustedtrusted”” in the in the Device DatabaseDevice Database

•Unknown Device: No security information is Unknown Device: No security information is available for this device. This is also an available for this device. This is also an untrusted device.untrusted device.

Bluetooth Bluetooth SecuritySecurity

Mobile Computing Infrastructure (cont.)

• Networks and access– Wireless transmission media

• Microwave• Satellites• Radio• Infrared• Cellular radio technology

– Wireless systems

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Delta Airlines Wireless System

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Security Issues

• Viruses

• Smart card security solutions– Voice communication can be intercepted by

hackers– One solution is an embedded biometric add-

on

• Back-end security solutions—public key infrastructure (PKI) and M-CERT (mobile certification)

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Interactive Voice Response

• Interactive voice response (IVR)—a computer voice system that enables users to request and receive information and to enter and change data through regular telephone lines or through 1G cell phones– Patients schedule doctors’ appointments– Users request pick-up from FedEx– Employees find information, select, or change

benefits packages– Electric utilities can respond to customers

reporting power outages42

Voice Portals

• Voice portal—a Web site with audio interface, accessed by making a phone call– Request information verbally from system that:

• Retrieves the information• Translates it into a computer-generated voice reply• Tells you what you want to know

– Iping.com—reminder and notification service– Helps businesses find new customers

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Mobile Financial Applications

• Wireless electronic payment systems– Mobile phones become secure, self-contained

purchasing tools capable of instantly authorizing payments over the cellular network for goods and services consumed

• Micropayments—electronic payments for small-purchase amounts (generally less than $10)

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Mobile Financial Applications (cont.)

• M-wallet (mobile wallet)—a wireless wallet that enables cardholders to make purchases with a single click from their wireless devices

• Bill payments directly from cell phone via:– Bank– Credit card– Prepaid arrangement

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Examples of Financial Applications

• Swedish Postal Bank• Dagens Industri• Citibank• Japanese banks

• Hoover’s wireless (hoover.com)

• ASB Bank (New Zealand)

• Boston’s Faneuil Hall Marketplace

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Mobile Shopping Supported by CRM

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Targeted Advertisement

• Personalization of services and enhanced user interface for wireless Web pages from barnesandnoble.com– Knowing user preferences or surfing habits

user-specific advertising messages to the location of mobile users

– Using GPS marketers can send location-sensitive messages can be sent

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Targeted Advertisement (cont.)

• Get paid to listen to advertisements—listen to a 10–second ad before you dial your cell phone, and get 2 minutes of free long-distance time– Program flopped in the U.S.– SingTel of Singapore recouped its initial

investment from ad revenues in about a year

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Targeted Advertisement (cont.)

• Advertisement strategies and guidelines—Wireless Advertising Association (waaglobal.org) is trying to establish wireless ad guidelines– Opt-in ad programs involving mobile message alerts – Addressing issues like spamming and unethical

strategies:• Confirmed opt-insConfirmed opt-ins• Personally identifiable informationPersonally identifiable information• Push advertisingPush advertising

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Wireless Advertising in Action

• GPS helps target users from their location– Vindigo.com—places to go and things to do in

your area– GeePS.com—location-based start-up sent

coupons to customers cell phones– Go2Online.com—locations-based Web

domain helps mobile travelers find anything (e.g., the nearest oil change)

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Supporting Customers & Business Partners

(Consumer Services)• Using voice portals in marketing and

customer service– Use vendor’s voice portal to check status of

deliveries to a job site– Service technicians provided with diagnostic

information, enabling them diagnosis of difficult problems

– Sales people check inventory status during a meeting to help close a sale

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Supporting Mobile Employees

• Smartphones and hand-held devices

• Wearable wireless devices—mobile wireless computing devices for employees who work on buildings and other difficult-to-climb places– Cameras Screen– Keyboard Touch-panel display

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Supporting Mobile Employees (cont.)

• Job dispatch– Transportation (delivery of food, oil, newspapers,

cargo, courier services, tow trucks)– Taxis (already in use in Korea and Singapore)– Utilities (gas, electricity, phone, water)– Field service (computer, office equipment, home

repair)– Health care (visiting nurses, doctors, social

services)– Security (patrols, alarm installation)

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Supporting Mobile Employees (cont.)

• Sales force automation (SFA) tools– Integrate software aimed at m-commerce

applications– Equipped with smartphones providing easy

access to customer data at the central office• Contact management informationContact management information• Product and spare part availabilityProduct and spare part availability• Deal trackingDeal tracking

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Non-Internet Intrabusiness Applications

• Wireless networking used for item picking in warehouses

• Delivery and order status updates

• Online dispatching– Online diagnosis support from remote

locations– Parts ordering/inventory queries

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Non-Internet Intrabusiness Applications (cont.)

• Mobile shop-floor quality control systems enable – Voice reports by inspectors– Data collection from facilities– Transmission to a central processor

• Salespeople connect to corporate networks

• Remote database queries

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Internet-BasedIntrabusiness Applications

• Applications implemented inside enterprises, some examples:– Sonera (Finland): electronic funds transfer

(EFT) of paychecks– Chicago’s United Center: inventory can be

taken in a matter of hours– FedEx and UPS: access Web, e-mail,

databases, intranets, etc.

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Internet-BasedIntrabusiness Applications (cont.)– Bertelsmann AG: gives junior-level executives

wireless access to a company portal, JuniorNet, accessible from almost anywhere

– Kemper Insurance Company: lets property adjusters report from the scene of an accident

– U.S. Internal Revenue Service: equipping field employees with mobile devices that allows audits to be conducted anywhere, anytime

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Intelligent Office Connected by Wireless LAN

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Mobile B2B and Supply Chain Applications

• Both sell-side and buy-side of ERP• Unified messaging makes user’s device less of

an issue– Telemetry drives supply chain efficiency and

productivity through automation of:• Data capture• Improved billing timeliness and accuracy• Reduced overhead• Increased customer satisfaction

– Collaboration among members of the supply chain is facilitated by mobile capabilities

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Mobile Consumer and Personal Service Applications (cont.)

• Wireless telemedicine—use of mobile telecommunications infrastructures and multimedia technologies to provide medical information and deliver health care services remotely

• Other services for consumers– Providing news, weather, and sports reports– Online language translations– Information bout tourist attractions (hours, prices)– Emergency services

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Mobile Consumer and Personal Service Applications (cont.)

• Non-Internet consumer applications– Smart cards used in transportation

“Contactless” cards (proximity cards) used to pay bus and subway fares and road tolls

– Amplified remote-sensing cards have an RF (radio frequency) of up to 30 meters used for toll collection

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Location-Based Commerce• Location-based commerce (L-commerce)—e-

commerce applications provided to customers based on a user’s specific location

• Location-based technologies– Global positioning systems—a wireless system that

uses satellites to enable users to determine their position anywhere on the earth

– Geographical information systems (GIS)—relates longitude and latitude of GPS into place or address (mapinfo.com)

– GPS on handsets—stand-alone units for tracking applications

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Location-Based Services Involving Maps

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Exhibit 8.15GPS System

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Barriers to L-Commerce

• The accuracy of some of the location technologies

• The cost-benefit justification

• M-spam

• The bandwidth of GSM networks

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Limitations of M-Commerce

• Usability problem– Usability of a site is critical to attract attention

and retain user stickiness– Effectiveness, efficiency, satisfaction– Some mobile devices are found to be

ineffective– Customers want to find exactly what they are

looking for, easily and quickly, not possible in the 2G text-based environment

– More and faster multimedia will be available as 3G spreads

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Technical Limitations

• Lack of standardized security protocol– Security methodology needs to be incorporated in

mobile– Customer confidence is low

• Insufficient bandwidth– Limits the extent to which mobility can be viewed

commodity

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Implementing M-Commerce

– Basic (fixed) fees– Point-of-traffic fees– Transaction fees– Content and service charges– Payment clearing

– Hosting fees– Certification (PKI)

fees

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Revenue models

Implementing M-Commerce (cont.)

• M-commerce value chain– Involves many partners– Success depends on

• Coordination among participants• Sufficient compensation for all

– Use ASP to deliver m-commerce or– Large companies contract other vendors to

complement their services

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Implementing M-Commerce (cont.)

• Consumer confidence and trust– Customers love free or inexpensive services

like those offered by iMode– Customers not willing to pay large amounts of

money for services unless they trust the product/vendor

– Confidence should increase with reliable payment mechanisms

– Research is being conducted in this area

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Managerial Issues

• What is our timetable?

• Which applications first?

• Is it real or just a buzzword?

• Which system to use?

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Summary

• Characteristics and attributes of m-commerce• Drivers of m-commerce• Supporting technologies• Wireless standards and technologies• Finance and marketing applications

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