Jackie WilliamsonRegional Director Small Business Service Jackie Williamson Small Business Service...

Jackie Williamson Regional Director Small Business Service

Jackie Williamson Small Business Service

National ICTRegional Director

West Midlands


E Commerce within an integrated

E Government Strategy

Benefits to Small and Medium Size Businesses


Information Communication and Technology

Contributes 25% to UK Growth

………..Recent Study by London Economics


Agenda

Helping Businesses• UK Business Population• Government on Line, structure of

support for SMEs• Issues in Supporting SMEs• Afternoon Workshop


A Look at the UK

• Population UK 59.8 million

• GDP (2000) £945 billion

• 3.7 million companies


Business Population

500+

250 - 500

200 - 250

20 - 200

1 - 19

0 Sole Traders

3515

3220

1570

6957

0

1274

730

2324

340

Number of Businesses

Number employees

Total 3.7 million(Source: ONS Feb 2002)

98%

2%


UK Yield on ICT Investment

(Source: London Economics)

0

5

10

15

20

25

30

35

40

45

% Output

Total Growth Manufacturing Financial Transport, Wholesale

Intermediation & Retail


Government on Line

DTI

Small Business Service UK on line 4 Business

Business Support Specialist ICT Advise

Business Links

Small – Medium Businesses


Government on Line DTI

Small Business Service UK on line 4 Business

Business Support Specialist ICT Advise

Regional Development Agency

Business Links

Small – Medium Businesses


Trading online by size

0

5

10

15

20

25

30

35

Large Medium Small Micro

%

(Source: International Benchmarking Study)


E Government & e Commerce

• Government Targets• By 2003

- 1.5 million small & medium businesses will be connected to the internet

- 1 million trading on line• Where we are now in 2003 ?

- 1.6 million connected

- Trading on line target not met


Benefits / drivers

0

5

10

15

20

25

30

35

Reduce costs Customerrelationship

Keep up withcompetitors

Internalcommunications

%

(Source: International Benchmarking Study)


e business Changes the way companies conduct business

Lastminute.com – ‘ranked as the leading online travel agency across Europe’

• Airline tickets• Hotel rooms• Package holidays• Entertainment tickets• Resturants reservations• Gifts and auctions


The benefits grow with use

Operational Saving / A shop window Enhanced customer

Efficiencies to the world & supplier relations

The benefits

Internal use Establish Enable Generate

Web site transactions interactions Transform core


Barriers

0

5

10

15

20

25

30

35

Set up cost Runningcosts

Lack of time Lack of skills Lack ofknowledge

%

(Source: International Benchmarking 2002)


e-mail

website

e-commerce

e-business

transformedorganisations

Business benefits

Extent of organisational change & sophistication

- efficient internal and external communications

- place in worldwide market- window on worldwide suppliers

- order and pay online, reducing transaction costs- maximise accessibility and speed

- integrate supply chain so manufacture and delivery become seamless- minimise waste at every stage of the supply chain

- open systems of information for customers, suppliers and partners- new business models based on interworking between organisations and individuals

Adapted from Cisco led Information Age Partnership study on e-commerce in small business

Model of e-adoption ladder


e-mail

website

e-commerce

transformedorganisations

Business benefits

Extent of organisational change & sophistication

- efficient internal and external communications

- place in worldwide market- window on worldwide suppliers

- order and pay online, reducing transaction costs- maximise accessibility and speed

- integrate supply chain so manufacture and delivery become seamless- minimise waste at every stage of the supply chain

- open systems of information for customers, suppliers and partners- new business models based on interworking between organisations and individuals

Adapted from Cisco led Information Age Partnership study on e-commerce in small business

Model of e-adoption ladder

e-business


People

Processes Technology

Environment

SkillsSkills

ManagementManagement

LeadershipLeadershipSecurity

SecurityRegulatio

n

Regulatio

n

e-business

Broadband

Broadband

Wireless

Wireless

H/W

H/W

Buy-side

Buy-side

Sell-sideSell-sideIns

ideIns

ide

CultureCulture

BACS

BACS

Economy


Workshop

• Scene setting – results of International Benchmarking Study/ Europe, Canada, Australia

• How to overcome the barriers for implementation

• Tools for business support organisation

• SME successes

• Framework for implementation


National Targets

Awareness

Promotional campaign

Showcasing

E-Commerce Awards

ServiceChannels

Network of advisers

Tools & Collateral

Technology Means Business

Implementation

Web based resources

Business Support Funding

Partnerships & Clubs

Research & Benchmarking

Channel Development

Achieving the targets

Jackie WilliamsonRegional Director Small Business Service Jackie Williamson Small Business Service...

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