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Presentation of the eBusiness project of the Business Unit Paper

Presentation of the eBusiness project of the Business Unit Paper. Jürgen Hackenbroich Global eCommerce Coordination Business Group Specialty Products Juergen.Hackenbroich.jh@Bayer-AG.de. Agenda. eStrategy. eBusiness Model. eTransactions. eDesign. eOutlook.

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Presentation of the eBusiness project of the Business Unit Paper

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  1. Presentation of the eBusiness project of theBusiness Unit Paper Jürgen HackenbroichGlobal eCommerce Coordination Business Group Specialty ProductsJuergen.Hackenbroich.jh@Bayer-AG.de

  2. Agenda eStrategy eBusiness Model eTransactions eDesign eOutlook SolutionsforPaper.com - The global online home for the paper industry

  3. Business Unit Paper - part of Bayer´s Business Group Specialty Products Health Care Agriculture Polymers Chemicals Pharmaceutical Crop Protection Plastics Fine Chemicals Specialty Prod. Diagnostics Animal Health Rubber Paper Polymer Additives Consumer Care Polyurethanes H & R Ion Exch. Resins Textile Auxiliaries Coatings & Col. H.C. Starck Material Protection Leather Fibers Wolff Walsrode EC

  4. Sales (m Euro) 237 Market Share (in %) 11% No. Employees 450 Share of sales (in %) Europe: 45% Americas: 34% Asia Pacific: 21% • Strong market position • Global reach • Wide product and service range • Business driven by large international key accounts Product Groups • Optical Brighteners • Dyes • Pigments • Processing Chemicals • Finishing Agents • Products for Carbonless Copying Paper Customer Service • Applications Advice • In-house Simulation and Testing • Logistics services Main Customers • Top ten customers account for approx. 50% of the business • Top ten paper manufacturers account for approx. 30% of the world paper production Key facts 1999

  5. eStrategy Approach “Run” • Implement and host • Technical implementation • Run and host “Build” • Conceptual design of the “To-Be” eCommerce services • Information • Communication • Transaction/Interaction • Prepare for the implementation of targeted eCommerce models and services “Think” • Determine the eStrategy • eBusiness opportunity assessment • Identification of the To-Be eCommerce portfolio and services • eAlliancies / eMarketplaces / own Portal • High level business case • Key enablers Plan Do Review The internet year has three months, therefore the project builds on continuous learning through creating a recurring plan.

  6. eBusiness trends within the paper chemicalsindustry • Intermediaries are stealing value from traditional distributors • Papermartuk.co.uk offers paper products to the end customer markets, thus eliminating traditional wholesalers and their margins. Founding members are StoraEnso, UPM Kymmene, Haindl, Contract Paper, … • Traditional competitors are forming eAlliances • Hercules and its 13 partners (e.g. Eastman Chemical, Rohm and Haas, Solutia, Occidental Chemical, Sunoco Chemicals, etc.) founded a global, internet-based B2B marketplace called Enerva. The main purpose of this website is the optimisation of relationships of joint ventures and the integration of supply chain processes • New marketplaces offer value added services to the industry • PrintBid.com offers automated requests for quotes • PaperExchange.com offers credit and logistics facilities • Pulpandpaper.net has strategic alliances with publishers and news services worldwide to supply industry information

  7. Paper Chemicals Int. Paper Georgia- Pacific Ciba BASF Nalco Hays Nippon Kayaku BU PAP Basic/Static Website Interactive Website Scope of the eCommerce project within BU PAP Transactional services Marketplaces eAlliance Competitive position assessment

  8. Targeted eBusiness Models Basic/Static Website • BU PAP static website, offering information services online to its target user groups • BU PAP transactional web services, offering existing processes through the net (e.g. online order transactions, technical support) • BU PAP process and channel creation, creating new interactive consultation, fully integrated customer channels (chat rooms, open forums, online tutorials) • New business creation, through participation in existing chemicals and paper chemicals marketplaces vs. the creation of ePartnerships and Alliances Transactional Services Interactive Website eMarketplaces/ eAlliances The focus areas cover the realization of 4 eBusiness models

  9. Vision and mission statement BU PAP • Calendar for events and trade fairs • Company news from the press/paper news • Industry statistics • Glossary of eCommerce terms • Case studies • Technical specification sheets • Promotional materials • Who´s who • Safety policies • Environmental information • Comment/feedback and FAQs • Online tutorials technical & general All groups R & D • Legal information & responsible care • Product information • Safety data sheets • Product alerts • Private rooms for discussion • Links to key contacts in the BU PAP Purchasing • General financial performance Bayer AG • Product information • Terms and conditions • Product alerts • Order enquiries • Invoice tracking • Online ordering • Offer requests for quotes • Order tracking • Shipment tracking Manufacturing • Legal information and responsible care • Product information • Terms and conditions 32 services will form the basis for the initial website personalizing core target groups

  10. Main Navigation Facts & Figures Products & Services Orders & Support News & Highlights Research & Development Business Unit Paper Vision & Mission Product Information Product Catalog What’s new on the website General Information Product Applications Corporate Information Request for Quote Paper News Objectives Product Announcements Environmental Protection & Safety Online Ordering Demo Industry Statistics Structure Case Studies Locations & Contacts Order Management Center News about Business Unit Paper Facilities Technology Job Service Registration News about Bayer Open Forum Technical Services General Selling Terms Events & Trade Fairs Forum Logistics Services All about eBusiness Literature & Images Secure Password FAQs FAQs Website channel system - Services

  11. SAP R/3 functionality R/3 eCommerce-application eC Business Center personalized area unpersonalized area eC area for registered customer area for non-registered customer Product Catalogue Direct Ordering eC Online Ordering Center Request for quote Shopping basket Login / logoff login Fill in form sheet R/3 eC Articles already purchased from our customers including price information etc. My Catalogue Catalogue Product Catalogue select eC Shop. basket Shopping basket RfQ R/3 R/3 will be realized with standard BAPI eC Create Inquiry Create Order Create Inquiry transaction generate e-mail Order entry R/3 R/3 R/3 R/3 History Inquiry List Offer List Order List Contract List list Tracking R/3 R/3 R/3 eC eC eC eC Agencies Customer Data Terms & Conditions Agencies & Sales reps. Service Analysis Accounts Documents CRM display

  12. Online planning tools Order Tracking and Tracing Exception handling/ complaint management „Pre-Sales & After Sales Service“ Service level analysis Contact management Payment conditions/contract management Requests for Quotes/offers „Sales“ Product catalogue Customer data Online ordering Low High Value to the customer Transactional services

  13. IT infrastructure User Frontend eC Application Middleware Backend ATP / Pricing and order entry (synchronous data exchange) browser Web- Server Domino and Application Server Realtime Data Warehouse (asynchronous data exchange) Backend systems R/3 ISV RW • User Management • Personalisation • Transactions • Content Management • (Imperia) Marketplace Customer system Supplier System

  14. Design Principles • Image/Distinctive Brand Positioning • Create a Bayer BU Paper Brandworld with consideration of the Bayer Corporate Design • Image promotion of Bayer by development of a UCP (Unique Content Proposition) • Topicality • A degree of topicality and user-friendliness that is as high as possible • Easy updating and maintenance of the site by integrating a very user-friendly editorial system • Provide a modular expandable basis for future online projects • Use the latest, trend-setting techniques • Service • Exploit the internet as a service and advertising platform • Dynamic database solution for easily locating product and service information • A transparent and intuitive navigation • Clearly highlight the interactive and communication functions • Integrate eBusiness and eCommerce solutions into the online marketing channel to simplify transactions and improve operational efficiency

  15. Online ordering and transactional services Characteristics Main navigation • Personalisation • Relevance • Convenience • Speed Roll over Dynamic generation of content, based on specifications of each target group Support navigation Announcement and teaser Website - structure, navigation, design

  16. myWebsite Principle Content Configurator Principle Personalised Channel Systems • Sales • Purchasing • Research • Production • Process Engineering Characteristics • The content configurator draws together content appropriate to identified target groups • It increases the appearance of a specialised website tailored to a target group’s direct needs (Quick to define and adjust to keep relevance) • Users can move swiftly from the tailored site to the general view for other occasional needs (Fast access to frequently used information; no loss of overall richness of site) • Monitoring reports will identify who is interested in what on the site, without the users having to identify themselves or type in information Personalised Web site

  17. Go Live of Transactional Services in April/May 2001 Overview project timeline Go live 2000 March April May June July August September October Think Build Test/Run • Determine the eStrategy for the BU PAP • eBusiness opportunity assessment • To-Be eCommerce portfolio and services • High level business case (Focus: investments in hard, middle, software) • Key enablers • Conceptual design of the “To-Be” eCommerce services • Information • Communication • Transaction/Interaction • Prepare for the implementation of targeted eCommerce models and services • Implement and host • Technical implementation • Run and host

  18. Next steps: Global roll out assuring identical Look & Feel worldwide

  19. Corporate log in (dot.com) - Go regional

  20. Our Screensaver for take-away: The art to make fine paper

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