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MIS (E Commerce)
MIS (E Commerce)
If there is a direct financial transaction involved with the electronic process using
Internet technologies it is e-commerce. If there is a non-financial transaction with an
electronic process using Internet technologies it is e-business. Any transaction with an
electronic process using Internet technologies is e-business. For example, ordering a
book on Amazon.com is e-commerce and e-business. Creating a map with directions
from your home to the post office on Google maps is e-business (no e-commerce
involved). The above confusion is quite similar to what exists between Marketing and
sales. Sales are part of Marketing. Marketing includes other activities, such as
Advertising which is not Sales. The most prevalent of E-Commerce models can be
classified as
1. Business to Consumer (B2C)
2. Business to Business (B2B),
3. Business to Employee (B2E),
4. Consumer to Consumer (C2C) and
5. E-Government
• Government to Citizens/Customers (G2C)
• Government to Business (G2B)
• Government to Government (G2G
Example – B2B
A car manufacturer (like Pak Suzuki for example) can mail or fax a purchase order
formatted per its company’s requirements, to a steel supplier (like Pakistan Steel Mills),
and conduct a purchase transaction. Under the B2B Model however, industry standards
(such as Electronic Data Interchange) are used for transmitting data related to
commercial transactions between the manufacturer and the supplier. Pak Suzuki,
therefore, will be required to pre-format its purchase order data as per the standard,
while Pakistan Steel Mills will setup their systems to accept the PO data per the
1.5 E Government
E-Government / electronic government / digital government, or online government. The
terms refer to government’s use of information and communication technology (ICT) to
exchange information and services with citizens, businesses, and other arms of
government. E-Government may be applied by legislature, judiciary, or administration,
in order to improve internal efficiency, the delivery of public services, or processes of
democratic governance. The primary delivery models are
1. Government-to-Citizen or Government-to-Customer (G2C)
2. Government-to-Business (G2B) and
3. Government-to-Government (G2G).
Government to Citizen (G2C)
E-Learning
E-Learning is the online delivery of information for purposes of education, training,
knowledge management, or performance management. It is a web - enabled system
1.7 M-Commerce
Electronic commerce has gradually shifted to a modern form in the name of Mobile
commerce. M-Commerce (mobile commerce) refers to the conduct of e-commerce via
wireless devices. These devices can be connected to the Internet, making it possible for
users to conduct transactions from anywhere. The employees need to collaborate and
communicate with office employees and to access corporate data, rapidly and
conveniently. Such a capability is provided by m-commerce. Two main characteristics
are driving the interest in m-commerce: mobility and reach ability. Mobility implies that
the Internet access travels with the customers. M-commerce is appealing because
wireless offers customers information from any location. This enables employees to
contact the office from anywhere they happen to be or customer. Reachability means
that people can be contacted at any time, which most people see as a convenience of
modern life.
These two characteristics – mobility and reachability break the geographical and time
barriers. As a result, mobile terminals such as PDA or cell phone with Internet access
can be used to obtain realtime information and to communicate from anywhere, at any
time.
Security Concerns
With all its benefits, e-commerce is still faced with a lot of concerns from security point
of view. Physical details of the products are not available in case of internet shopping
than in case of walking around. In case they are available, they need to be accurate and
supported with images of the product. That is lack of physical feel of the product should
be electronically supported. Once you enter your personal information and credit card
details on a vendor website, you have no control on where that information is going, or
to whom it is being transmitted to or shared with.
Although the links are secured for privacy purposes but information may be leaked out
deliberately by any of the connected parties e.g. supplier. Although there are means of
increasing security of digitally transmitted transaction data (such as using encryption
technology and digital certificates), the threat of hackers getting at your personal
information is always a real one – perhaps not from your computer, but may be from
vendors or his business partners systems.
1. Virtual warehousing – e.g., upon the receipt of a customer order, the vendor orders
the goods from the manufacturer and has them shipped directly to the customer. The
vendor can carry less or no inventory, and thereby reduce warehouse, insurance and
financing costs for inventory while being able to offer a greater selection of products.
2. Vertical integration – e.g., upon the receipt of an order, by means of website
connections, the vendor automatically arranges shipping, delivery, installation and after
sales service through an expanded geographically based network of alliance partners.
IT business process risks arise where analyses of security and information processing
do not extend to entire business processes, but merely to parts thereof. Such risks may
arise from: lack of data flow transparency, inadequate integration of systems, or
deficient reconciliation and control procedures in interfaces between subprocesses
arising from the exchange of data between two subsystems within business processes.
In this situation, there is a risk that IT controls, such as access rights or data back-up
procedures, will only be effective for the subprocesses, but not for the aggregated
processes.