E-Commerce and ERP

25 April 2024 14:37

1. Overview, Definitions, Advantages & Disadvantages of E – Commerce, Threats of E – Commerce, Managerial Prospective, Rules & Regulations For
Controlling E – Commerce, Cyber Laws.

Overview:
E-Commerce or Electronics Commerce is a methodology of modern business, which addresses the need of business organizations, vendors and
customers to reduce cost and improve the quality of goods and services while increasing the speed of delivery. Ecommerce refers to the paperless
exchange of business information using the following ways −

Electronic Data Interchange (EDI)

Electronic Mail (e-mail)
Electronic Bulletin Boards
Electronic Fund Transfer (EFT)
Other Network-based technologies

Definitions:
E-commerce, short for electronic commerce, refers to the buying and selling of goods and services over the internet. It encompasses a wide range of
transactions, including online retail, electronic payments, online auctions, and internet banking. E-commerce has transformed the way businesses
operate and how consumers shop, providing convenience, accessibility, and global reach.

Advantages & Disadvantages of E – Commerce:

• Advantages of E-Commerce
1. Selling Internationally
It is a platform where any trader or business may advertise their goods as much as possible around the globe.
Additionally, anybody can purchase the item for themselves from any location.
In this, communication between the client and the merchant is simple. E-commerce functions as a worldwide business
model as a result. The businessman may boost the worth of his product brand by doing this.
2. Accessibility
Anything may now be purchased quite easily. On the e-commerce platform, products are accessible around the clock.
Compared to offline markets, it is considerably better.
3. Cheap
The client and the firm are linked directly through this business strategy. Because of this, any business or group may
offer their goods directly to consumers. The business could increase its margin in this. The same client can purchase
the good or service for less money online than in a physical store.
4. Domestic Delivery
A customer's requested item is quickly delivered to his home via an e-commerce company. Additionally, client
complaints are addressed along with this. People prefer to purchase goods online because of this.
5. Locating Basics
Finding the products you need in the offline market is really challenging. At the same time, we may use a single click to
browse an online e-commerce website and purchase the products we need. Customers have far more convenience with
this alternative than with an offline market.
• Disadvantages of E-Commerce
1. Safety
E-Commerce has a significant issue from online fraud. Hackers steal personal information, financial information, and
other data from websites. The issue of hacking persists because of any negligence.
No website makes any assurances that your personal information won't be compromised, and hacking has always been
seen as a drawback of e-commerce. Therefore, create a secure password for your online store.
2. Fear
When purchasing online, most of the shops lack a physical presence, and before completing online payment, customers
have reservations about this. People worry that they will lose their money if the wrong goods are delivered and that it
would be challenging to obtain their money back if the website is unreliable.
3. Some things are difficult to purchase online
if you believe that you can buy everything and everything online. You are, therefore, completely mistaken in your
thinking. Some necessary items and valuables are challenging to purchase online. People believe it is more appropriate
to purchase items like jewellery from brick-and-mortar (physical store )stores rather than online.
4. Delivery Is Late
You are granted a specific amount of time while buying on an e-commerce website, after which you will get your
purchase. However, this seldom occurs, and for some reason, the merchandise usually arrives to you sooner than
promised.
5. Self-Awareness
Online shopping is impossible since we cannot physically inspect or test anything before making a purchase.
Occasionally, an item may appear appealing on the website, but in practice, it may be considerably worse. The main
drawback of e-commerce is this. People who are offline can touch and see the object of their choice.
6. Risk of Privacy
Privacy Every individual is required to disclose their personal information, such as name, address, phone number, etc.,
to the online retailer before completing a transaction. Some e-commerce websites have such porous security that
hackers may quickly access them. Personal data about persons is also taken. The folks may incur high costs because
of this catastrophe. People are reluctant to purchase online because of this.

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 of this catastrophe. People are reluctant to purchase online because of this.

Threats of E – Commerce:
Since E-commerce deals with the transfer of money digitally, hackers and attackers use this as an opportunity to break into E-commerce websites
and gain some financial profit from them.

• Financial fraud: Whenever an online transaction or transfer of funds takes place, it always asks for some pin or passwords to authenticate and
allows only the authorized person to process the transactions. But due to some spyware and viruses used by attackers, they ca n also process
the transactions of the users by allowing the unauthorized person, which will lead to causing a financial fraud with the user .

• Phishing: It is one of the most common attacks nowadays on the users, where the attackers send emails and messages to a large number of
users which contain a special link in it. When the users open that link in their browser, the malware starts downloading in t he background and
the attacker gets full control over the financial information about the users. They make fake websites to make the users beli eve their website
and fill out their financial credentials.

• SQL injections: SQL injections are used by attackers to manipulate the database of large organizations. Attackers enter malicious code full o f
malware into the database and then they search for targeted queries in the database and then they collect all the sensitive i nformation in the
database.

• Cross-site scripting (XSS): Hackers target the website of E-commerce companies by entering malicious code into their codebase. It is a very
harmful attack as the control of the entire website goes into the hands of the attackers. It can enable the attackers to trac k the users by using
their browsing activity and their cookies. For More details please read the what is cross-site scripting XSS article.

• Trojans: Attackers make software that may appear to be useful before downloading, but after downloading the software it installs all t he
malicious programs on the computer. It collects data like personal details, address, email, financial credentials and it may cause data leaks.
Brute force attacks: Hackers draw patterns and use random methods to crack into someone else’s account as an unauthorized use r. It requires
the use of multiple algorithms and permutations and combinations to crack the password of an account by the attacker.

• DDoS attacks: Distributed Denial of Service (DDoS) attacks are most commonly used by hackers to not allow original legitimate users to acce ss
and buy and sell products from the E-commerce platforms. Hackers use a large number of computers to flood the number of requests to the
server so that at one time the server crashes out.

Managerial Prospective:
1. Planning for Success:
• Know Your Goals: Make sure your online goals match your overall business goals.
• Know Your Market: Understand who your customers are and what they want.
• Plan Long-term: Make a clear plan for how you'll grow your online business over time.
2. Making Things Run Smoothly:
• Use Good Systems: Make sure your online store talks well with your other business systems, like keeping track of inventory an d orders.
• Get Things to Customers Fast: Work closely with your suppliers to get products to your customers quickly and without mistakes .
• Help Customers Out: Make sure you're there for your customers when they need help, whether it's answering questions or dealin g with
problems.
3. Being Flexible and Creative:
• Try New Tech: Keep an eye on new technology that can make your online business better.
• Be Ready to Change: Be quick to make changes if something's not working or if there's a new opportunity.
• Make Things Better: Always look for ways to improve your online store and how you do business.
4. Keeping Risks in Check:
• Keep Things Safe: Make sure your website and your customers' information are safe from hackers.
• Follow the Rules: Know and follow the laws and rules that apply to online businesses, like how you handle customers' data and how you pay
taxes.
• Have a Backup Plan: Be ready for things to go wrong, like if your website goes down or your suppliers can't deliver.

Rules & Regulations For Controlling E – Commerce:

• Consumer Protection Act (2019) and Consumer Protection (E-Commerce) Rules (2020): These regulations focus on protecting consumer
rights. They mandate e-commerce platforms to display clear information about products and services, make it easy for customers to complain
if something's wrong, and handle returns and refunds well.
• Information Technology Act (2000) and the Information Technology (Intermediary Guidelines) Rules (2011): These laws, from 2000 and
2011, set out the rules for doing business online. They say who's responsible if something goes wrong when people buy and sel l things online.
They also tell online marketplaces to have ways for people to complain and to remove anything illegal from their sites.
• Foreign Direct Investment (FDI) Policy: These rules say how much foreign companies can invest in online selling, especially in areas like selling
lots of different brands. They're meant to make sure that local businesses have a fair chance to compete.
• Reserve Bank of India (RBI) Guidelines for e-Payments: These guidelines, set by the Reserve Bank of India, make sure that paying for things
online is safe. They're important for making people feel confident about buying things on the internet.

Cyber Laws:
• Online Rules: Cyber laws are like rules for the internet. They're there to keep things safe and fair when people use computers and the
internet.
• Protecting Digital Space: These laws are made to protect things like personal information, online transactions, and digital content from bad
guys who might try to steal or misuse them.
• Preventing Cybercrime: Cyber laws also help catch and punish people who do bad things online, like hacking into websites, spreading viruses,

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 • Preventing Cybercrime: Cyber laws also help catch and punish people who do bad things online, like hacking into websites, spreading viruses,
or stealing money from online accounts.
• Keeping the Internet Fair: These laws make sure that everyone plays by the same rules on the internet, whether they're big companies, small
businesses, or regular people surfing the web.

2.Technologies : Relationship Between E – Commerce & Networking, Different Types of Networking Commerce, Internet, Intranet &
Extranet, EDI Systems Wireless Application Protocol : Definition, Hand Held Devices, Mobility & Commerce, Mobile Computing,
Wireless Web, Web Security, Infrastructure Requirement For E – Commerce .

Technologies:
Relationship Between E – Commerce & Networking:
The relationship between e-commerce and networking is quite strong, as networking technologies play a crucial role in enabling and facilitating e-
commerce activities.

• Infrastructure for Online Transactions: Networking technologies provide the infrastructure needed for e-commerce transactions to occur over
the internet. This includes the physical infrastructure (such as servers, routers, and cables) and the communication protocol s (like TCP/IP) that
allow data to be exchanged between computers and devices.
• Website and Application Hosting: E-commerce websites and applications are hosted on servers connected to computer networks. Networking
technologies ensure that these servers are accessible to users worldwide, allowing them to browse products, make purchases, a nd interact
with the e-commerce platform.
• Online Payments and Transactions: Networking technologies enable secure online payment processing, allowing customers to make
transactions using credit cards, digital wallets, or other payment methods. Secure communication protocols (such as SSL/TLS) encrypt sensitive
data during transmission, ensuring the security of financial transactions over the internet.
• Supply Chain Management: Networking technologies facilitate communication and collaboration between various stakeholders in the e -
commerce supply chain, including suppliers, manufacturers, distributors, and logistics partners. This enables real -time tracking of inventory,
orders, and shipments, optimizing the efficiency and responsiveness of supply chain operations.
• Customer Engagement and Support: Networking technologies support various communication channels for customer engagement and
support, such as email, live chat, social media, and voice/video calls. These channels allow e -commerce businesses to interact with customers,
address inquiries, resolve issues, and provide personalized assistance in real-time.
• Data Analytics and Personalization: Networking technologies enable the collection, processing, and analysis of vast amounts of data
generated by e-commerce transactions and customer interactions. This data is used to gain insights into customer behavior, preferences, and
trends, enabling personalized product recommendations, targeted marketing campaigns, and optimization of the e -commerce experience.

Different Types of Networking Commerce:

1. Business-to-Consumer (B2C):
○ Definition: B2C networking commerce involves transactions between businesses and individual consumers.
○ Example: Online retail stores where consumers purchase products directly from businesses over the internet.
2. Business-to-Business (B2B):
○ Definition: B2B networking commerce involves transactions between businesses, such as manufacturers, wholesalers, and distributors.
○ Example: Online platforms where businesses purchase raw materials, supplies, or services from other businesses.
3. Consumer-to-Consumer (C2C):
○ Definition: C2C networking commerce involves transactions where consumers sell products or services directly to other consumers.
○ Example: Online marketplaces or classified ad websites where individuals buy and sell used goods, handmade items, or services.
4. Consumer-to-Business (C2B):
○ Definition: C2B networking commerce involves transactions where consumers offer products, services, or expertise to businesses.
○ Example: Freelancing platforms where individuals provide services like graphic design, writing, or consulting to businesses on a contract
basis.
5. Government-to-Business (G2B):
○ Definition: G2B networking commerce involves transactions between government agencies and businesses.
○ Example: Online portals where businesses interact with government agencies for licenses, permits, tax filings, or procurement
opportunities.
6. Government-to-Citizen (G2C):
○ Definition: G2C networking commerce involves transactions between government agencies and individual citizens.
○ Example: Government websites or portals where citizens access public services, pay taxes, or apply for benefits online.
7. Peer-to-Peer (P2P):
○ Definition: P2P networking commerce involves direct transactions between individuals or peers without the involvement of
intermediaries.
○ Example: Peer-to-peer lending platforms where individuals borrow or lend money directly to each other without traditional financial
institutions.
8. Mobile Commerce (M-Commerce):
○ Definition: M-commerce involves conducting e-commerce transactions using mobile devices such as smartphones and tablets.
○ Example: Mobile apps or websites where users browse products, make purchases, and manage accounts using their mobile devices.

Internet:
The granddaddy of them all, the internet is a massive public network that connects billions of devices around the world. Anyo ne with an
internet connection can access the vast amount of information and resources available online, from websites and email to soci al media and
streaming services. Think of it as a giant digital highway system.
Intranet & Extranet:
• Intranet: In contrast, an intranet is a private network built within an organization. It's like a smaller, internal highway system acce ssible only to

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 • Intranet: In contrast, an intranet is a private network built within an organization. It's like a smaller, internal highway system acce ssible only to
authorized users, typically the organization's employees. Employees can use the intranet to access company resources, communi cate with
colleagues, collaborate on projects, and find important information. Security is a major concern, so intranets are typically firewalled off from
the public internet.
• Extranet: An extranet acts as a bridge between an organization's intranet and the outside world. It allows controlled access to specifi c
information and resources on the intranet for authorized external parties like suppliers, vendors, or even customers. Imagine it as a
designated lane on the internal highway that allows approved outsiders to access specific areas. This facilitates secure coll aboration and
information sharing with external partners.

EDI Systems Wireless Application Protocol:

Definition:
• Electronic Data Interchange (EDI) is a system for exchanging business data between organizations in a standardized format. It allows different
computer systems to communicate seamlessly regardless of the specific software they use. EDI is essentially the electronic ex change of
business documents between companies in a standardized format. Imagine replacing paper -based purchase orders, invoices, and shipping
notices with secure electronic transmissions. That's the core idea behind EDI.

• Wireless Application Protocol (WAP) is a set of communication protocols and an application environment designed for mobile devices to
access the internet. It was introduced in the late 1990s but has largely been superseded by modern web browsers and technolog ies. Unlike
the web browsers you use today, WAP browsers used a special markup language called WML (Wireless Markup Language) to display
information. WML was similar to HTML (Hypertext Markup Language) used on webpages, but simpler and optimized for small screen s.

Hand Held Devices:

Handheld devices refer to portable electronic devices that can be carried by an individual. Examples include smartphones, tablets, handheld
computers, and personal digital assistants (PDAs). These devices typically support wireless connectivity and are capable of accessing WAP-enabled
services and applications.

Mobility & Commerce:

Mobility in commerce refers to the ability to conduct business transactions and access services from anywhere, using mobile devices. WAP
technology facilitates mobile commerce (m-commerce) by providing a means for users to browse online stores, make purchases, conduct financial
transactions, and access other commercial services using their mobile devices.

Mobile Computing:
Mobile computing involves the use of portable computing devices, such as smartphones and tablets, to perform various computing tasks while on
the move. WAP enables mobile computing by allowing users to access internet-based resources, applications, and services from their mobile
devices, regardless of their location.

Wireless Web:
The wireless web refers to the subset of the internet that is accessible via wireless networks, using devices such as smartphones, tablets, and other
wireless-enabled devices. WAP technology plays a crucial role in enabling access to the wireless web by providing standards and protocols for
delivering web content and services to mobile devices. In the early days of the internet, most connections were wired, using ethernet cables. With
the rise of mobile devices and advancements in cellular networks (like 3G, 4G, and now 5G), users can access the web from anywhere with a
wireless signal.

Web Security:
Web security encompasses a range of measures and practices aimed at safeguarding web-based resources, applications, and services from various
security threats and vulnerabilities. In the context of WAP and EDI systems, ensuring web security is essential to protect sensitive information,
prevent unauthorized access, and maintain the integrity and availability of data.
• Encryption: Encryption is the process of encoding information to prevent unauthorized access. Secure communication protocols like HTTPS
use encryption to protect data during transmission, ensuring it's unreadable to unauthorized parties.
• Authentication: Authentication verifies the identity of users, devices, or systems accessing web-based resources. Strong methods like
passwords and biometrics prevent unauthorized access to sensitive data.
• Authorization: Authorization controls determine the level of access granted to authenticated users. Role -based access control ensures users
have access only to necessary resources, minimizing risks of unauthorized actions or data exposure.
• Firewalls: Firewalls monitor and control network traffic to protect web servers from unauthorized access and cyber threats by filtering and
blocking suspicious activity.
• Intrusion Detection and Prevention Systems (IDPS): IDPS monitor network activities for signs of malicious behavior, helping mitigate risks and
prevent security breaches.
• Vulnerability Management: Vulnerability Management involves identifying and remediating security vulnerabilities in web infrastructure
through regular assessments and patch management to reduce the likelihood of exploitation by cyber attackers.

Infrastructure Requirement For E – Commerce:

Ecommerce infrastructure is a collection of hardware, software, network, facilities, etc. That you need to run an ecommerce business. When you
have the right infrastructure, you will have an optimized business performance.

Infrastructure is following that is require for e-commerce :

(i) Marketing: Effective marketing strategies are crucial for attracting customers to an e-commerce platform. This includes digital marketing
techniques such as search engine optimization (SEO), social media marketing, email marketing, and online advertising.

(ii) Facilities: Facilities encompass physical infrastructure such as warehouses, distribution centers, and fulfilment centers. These faciliti es are
essential for storing inventory, managing logistics, and fulfilling customer orders efficiently.

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 essential for storing inventory, managing logistics, and fulfilling customer orders efficiently.

(iii) Customer Services: Providing excellent customer service is essential for building trust and loyalty among e -commerce customers. This
includes offering multiple channels for customer support, such as live chat, email, and phone support, as well as implementin g robust systems
for managing inquiries, complaints, and returns.

(iv) Information Technology: Information technology infrastructure forms the backbone of e-commerce operations. This includes e-commerce
platforms, website hosting, content management systems (CMS), payment gateways, security protocols, and other technologies ne cessary for
managing online transactions, data storage, and website functionality.

(v) Fulfilment: Fulfilment infrastructure involves processes and systems for managing inventory, order processing, and shipping. This include s
inventory management software, order management systems (OMS), shipping carriers, and logistics partners to ensure timely and accurate
delivery of orders to customers.

(vi) Finance and Administration: Sound financial and administrative infrastructure is essential for managing e-commerce operations
effectively. This includes accounting systems, payment processing solutions, tax compliance, legal compliance, and administra tive processes
for managing finances, contracts, and regulatory requirements.

(vii) Human Resources: Skilled personnel are vital for driving e-commerce success. This includes hiring and training staff for various roles such
as customer service, marketing, IT, logistics, finance, and administration. Creating a positive workplace environment and off ering continuous
opportunities for professional growth are crucial for keeping talented employees and ensuring high productivity.

3.Business Models of e – commerce : Model Based On Transaction Type, Model Based On Transaction Party - B2B, B2C, C2B, C2C, E –
Governance.

Model Based On Transaction Type:

1. Brokerage Model:
○ In the brokerage model, the e-commerce platform acts as an intermediary between buyers and sellers, facilitating transactions. The
platform typically charges a fee or commission for connecting buyers with sellers. Examples include real estate websites, stock trading
platforms, and online travel agencies.
2. Aggregator Model:
○ The aggregator model involves integrating information or services from various sources into a single platform for users. This model adds
value by simplifying the search and comparison process for consumers. Examples include travel comparison websites, job search
engines, and food delivery apps that aggregate restaurant options. Ex- FLIPKART
3. Infomediary Model:
○ In the infomediary model, the e-commerce platform collects and analyses consumer data to provide valuable insights to businesses.
These insights can be used for targeted marketing, product development, and personalized recommendations. Examples include
websites that offer personalized recommendations based on user preferences and behaviour.
4. Community Model:
○ The Community Model is all about bringing together people who like the same things. E-commerce websites using this model create
places where users can chat, leave reviews, and share their own stuff. This helps everyone connect and talk more. Examples include
sites like Facebook Marketplace and forums where people who really love something can chat.
5. Subscription Model:
○ The subscription model involves charging customers a recurring fee in exchange for access to products or services over a specified
period. E-commerce platforms using this model offer subscriptions for digital content, software, streaming services, and curated boxes
of physical goods. Examples include Netflix, Spotify, and subscription-based e-commerce stores.
6. Affiliate Model:
○ In the affiliate model, e-commerce platforms earn revenue by promoting third-party products or services and earning a commission for
referred sales or leads. Affiliates typically use tracking links or codes to track referrals and receive compensation based on predefined
criteria, such as clicks, sales, or sign-ups. Examples include affiliate marketing networks, product review blogs, and influencer marketing
platforms.

Model Based On Transaction Party - B2B, B2C, C2B, C2C, E – Governance:

E-commerce business models can generally be categorized into the following categories.

1. Business-to-Business (B2B): This involves transactions between two businesses. For example, a manufacturer selling components to another
company that assembles them into a final product.
2. Business-to-Consumer (B2C): This involves transactions between a business and individual consumers. For instance, when you buy a product
from an online retailer like Amazon.
3. Consumer-to-Consumer (C2C): This involves transactions between individual consumers. Examples include selling goods on platforms like
eBay or Craigslist.
4. Consumer-to-Business (C2B): This involves individual consumers providing products or services to businesses. For example, freelance writers
selling articles to a media company.
5. Business-to-Government (B2G): This involves transactions between a business and a government entity. It could include selling goods or
services to government agencies, such as a technology company providing software to a city government.
6. Government-to-Business (G2B): This involves transactions where a government provides services or goods to businesses. An example could
be a government agency issuing permits or licenses to businesses.
7. Government-to-Citizen (G2C): This involves interactions where a government provides services or information directly to citizens. This might

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 7. Government-to-Citizen (G2C): This involves interactions where a government provides services or information directly to citizens. This might
include things like issuing passports, providing public education, or offering healthcare services.

E – Governance:
E-Governance, short for electronic governance, refers to the use of information and communication technologies (ICTs) by government agencies to
provide public services, exchange information, and engage with citizens. It encompasses a wide range of activities aimed at enhancing the efficiency,
transparency, and accessibility of government services and processes through digital means.

Here are some key aspects of e-governance:

1. Online Service Delivery: E-governance allows government services to be delivered electronically, such as applying for licenses, paying taxes,
accessing healthcare information, or obtaining official documents like birth certificates or passports through government web sites or
dedicated online portals.
2. Digital Communication: Governments use digital channels such as email, social media, and mobile apps to communicate with citizens,
disseminate information about policies, programs, and initiatives, and gather feedback or opinions from the public.
3. Transparency and Accountability: E-governance initiatives often aim to increase transparency in government operations by making
information about government activities, budgets, expenditures, and decision-making processes accessible to the public through online
platforms. This helps promote accountability and reduce corruption.

4.E – strategy : Overview, Strategic Methods for developing E – commerce.

Overview:
E-Strategy is an iterative process(cyclical and continuous approach) to create and/or modify an organization's business model for eBusiness.
e-Strategy helps create shareholder value. In other words, it helps identify the "new" business model to compete in the "new" world that now
includes the internet based ecosystem.

Strategic Methods for developing E – commerce:

Developing an e-commerce strategy involves careful planning and consideration of various factors to ensure the success and long-term survival of
the online business. Here are some strategic methods for developing an e-commerce strategy:

1. Market Research and Analysis: Understand your target audience and competitors to identify opportunities and gaps in the market. This helps
you figure out how you can stand out and meet your customers' needs better.
2. Optimize User Experience (UX): Your website or app should be easy to use and look nice. This makes it more likely that people will buy from
you and want to come back.
3. Implement Effective Marketing and Advertising Strategies: Utilize various marketing channels and tactics to attract, convert, and retain
customers. Use different ways to tell people about your products, like social media or ads. This helps more people find out a bout what you're
selling and buy from you.
4. Prioritize Customer Service and Satisfaction: Be really nice and helpful to the people who buy from you. If they have a problem, try to fix it
quickly. Happy customers are more likely to come back and tell their friends about you.
5. Monitor and Analyse Performance: Continuously track e-commerce metrics and analytics data to optimize performance and make data -
driven decisions. Look at the numbers to see if your business is doing well. Check things like how many people are visiting y our website and
how many are buying from you. This helps you know what's working and what you might need to change.

5. Four C’s : ( Convergence, Collaborative Computing, Content Management & Call Center ).
a) Convergence : Technological Advances in Convergence – Types, Convergence and its implications, Convergence & Electronic Commerce.
b) Collaborative Computing : Collaborative product development, contract as per CAD, Simultaneous Collaboration, Security.
c) Content Management : Definition of content, Authoring Tools & Content Management, Content – partnership, repositories,
convergence, providers, Web Traffic & Traffic Management ; Content Marketing.
d) Call Center : Definition, Need, Tasks Handled, Mode of Operation, Equipment , Strength & Weaknesses of Call Center, Customer
Premises Equipment (CPE).

Four C’s : ( Convergence, Collaborative Computing, Content Management & Call Center ).
1. Convergence:
This means things coming together. In technology, convergence refers to different devices or technologies becoming similar or working
together. For example, smartphones are a convergence of phones, computers, and cameras.
2. Collaborative Computing:
This is about people working together using computers or digital tools. It could be things like sharing files online, working on documents
together, or having virtual meetings with colleagues from different locations.
3. Content Management:
This involves creating, storing, organizing, and delivering information electronically. Businesses use content management sy stems to manage
websites, blogs, social media content, and other digital assets.
4. Call Center:
A call center is a place where people answer calls from customers or clients. They might provide customer service, take order s, or offer
technical support over the phone. Call centers can also use technology like chatbots or automated systems to handle inquiries .

a) Convergence : Technological Advances in Convergence – Types, Convergence and its implications, Convergence & Electronic Commerce.
Technological Advances in Convergence-

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 Technological Advances in Convergence-
Technological advances in convergence refer to the integration of different technologies or devices into a single platform or system. This can include
the merging of functionalities traditionally found in separate devices, such as phones, cameras, and computers, into multifunctional devices like
smartphones. It can also involve the convergence of networks, where different types of communication, such as voice, video, and data, are
transmitted over the same network infrastructure.

Types:
• Data Integration: Traditionally, E-commerce platforms and ERPs operated in separately. Convergence allows for seamless data flow between
the two. This means real-time inventory updates, order fulfillment tracking, and automatic customer data synchronization.
• Functional Integration: Imagine managing your online store and back-office operations from a single platform. Convergence allows features
like order processing, customer relationship management (CRM), and accounting to be integrated within the E -commerce system.

Convergence and its implications:

• Improved Efficiency: Imagine no more jumping between systems to manage different aspects of your business. Convergence streamlines
operations, saving time and reducing errors.
• Enhanced Customer Experience: Real-time data means faster order fulfillment and accurate inventory information. This translates to happier
customers and a competitive edge.
• Better Decision-Making: Convergence means bringing everything together to see your business as a whole. When you use data to understand
things better, all from one place, it helps you make smarter choices for making your business bigger.

Convergence & Electronic Commerce:

• Automated Order Processing: Orders placed online can automatically trigger updates in the ERP system, streamlining fulfillment processes.
• Inventory Management: Real-time stock levels ensure you never oversell or understock products, leading to increased customer satisfaction.
• Improved Customer Service: Customer data from the E-commerce platform can be easily accessed by support teams, facilitating personalized
service.

b) Collaborative Computing : Collaborative product development, contract as per CAD, Simultaneous Collaboration, Security.
Collaborative Product Development (CPD):
• Imagine engineers, designers, and suppliers working on a product simultaneously using a central platform.
• CPD tools allow for real-time updates, shared revisions, and streamlined communication, leading to faster development cycles and improved
product quality.

Contract as per CAD (Computer-Aided Design):

Imagine you're working on designing a new product, like a car or a toy. You use special software called CAD (Computer-Aided Design) to create
detailed drawings and plans for how the product will look and work.
Now, let's say you need to work with other people, like engineers or manufacturers, to finalize your design. With collaborative computing, everyone
involved can look at the same CAD drawings and make suggestions or changes together, all at the same time. This way, everyone stays on the same
page and can work together smoothly.

Simultaneous Collaboration:
• Forget waiting your turn to edit a file. Collaborative tools allow multiple users to work on the same document or model at the same time.
• This facilitates faster decision-making, reduces turnaround times, and improves overall productivity by eliminating the need for back -and-forth
communication and file sharing delays.

Security:
Security is top priority when dealing with sensitive product data. Here's how collaborative platforms address it:
• Access Controls: Granular permission settings ensure only authorized users can access specific data and functionalities.
• Data Encryption: Sensitive information is encrypted at rest and in transit, protecting it from unauthorized access.
• Version Control: Track changes and revert to previous versions if needed, ensuring data integrity.

c) Content Management: Definition of content, Authoring Tools & Content Management, Content – partnership, repositories, convergence,
providers, Web Traffic & Traffic Management ; Content Marketing.

Definition of Content:
Content is any information you share with your audience. It can be informative (blog posts, articles), entertaining (videos, social media posts,
podcasts), or convincing (marketing copy, product descriptions).

Authoring Tools & Content Management:

• Authoring tools are software programs that help you create and edit content. These can be simple text editors or complex design software
depending on your needs.
• Content management systems (CMS) are platforms that store, organize, and publish your content. They offer user-friendly interfaces for non-
technical users to manage content without needing coding knowledge.

Content – partnership:
Content partnerships are a powerful way to grow your personal brand and reach new audiences. They involve collaborating with other content
creators, influencers, or organizations to produce and distribute valuable content that benefits both parties.

Repositories:

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 Repositories:
The choice of where to store your content depends on your specific needs and budget. Here are some popular options:
• Cloud storage platforms (Dropbox, Google Drive) offer a convenient and cost -effective way to store various file types. They are ideal for
smaller businesses or individual creators who need basic storage and file sharing capabilities.
• Digital asset management (DAM) systems are specialized solutions designed for managing rich media content such as images, vid eos, and
audio files. DAM systems provide advanced features for organizing, tagging, and version control, making them ideal for busine sses that deal
with large volumes of creative assets.
• Content management systems (CMS) often come with built-in content repositories. This is a good option for businesses that primarily create
text-based content for their website or blog. However, some CMS platforms may have limitations on storage capacity or file types f or rich
media content.

Convergence:
In the context of content management, convergence refers to the merging of different content types (text, video, audio) into a unified experience.
This allows you to deliver a more engaging and interactive experience for your audience.

Content Providers:
These are companies or individuals who create and distribute content. They can be freelance writers, stock photo agencies, or even internal content
creation teams within your organization.

Web Traffic & Traffic Management:

Web traffic refers to the number of visitors to your website, and traffic management involves strategies to attract those visitors. Content marketing
is a powerful tool for driving organic traffic. By creating high-quality, informative, and engaging content that is optimized for search engines, you can
attract visitors who are actively searching for information related to your products or services. Content marketing can also help to improve your
website's ranking in search results, making it more visible to potential customers.

Content Marketing:
This is the strategic use of content to attract, engage, and convert your target audience into customers. Instead of directly selling, they focus on
providing useful information to build trust and credibility. This can include blog posts, videos, social media posts, and more. The aim is to drive
traffic, improve brand awareness, and support customer loyalty.

(Imagine you have a favourite store that sells clothes. Usually, they might advertise their products directly, like showing pictures of their latest outfits or offering discounts.
But with content marketing, they do something different. They create helpful or interesting content that you might enjoy, like fashion tips, styling advice, or behind-the-scenes videos showing how clothes
are made. They share this content on their website, social media, or even in emails.
Now, when you see their posts or articles, you find them useful or entertaining. You might learn new things about fashion orget inspired by their ideas. Over time, you start to trust and like this store even
more because they're not just trying to sell you stuff – they're also giving you something valuable.)

d) Call Center : Definition, Need, Tasks Handled, Mode of Operation, Equipment , Strength & Weaknesses of Call Center, Customer Premises
Equipment (CPE).

Definition:
A call center is a centralized office or facility where trained agents handle incoming and outgoing phone calls from customers or clients. The main
purpose of a call center is to provide customer support, answer inquiries, resolve issues, and handle various types of communication.

Need:
Call centers are needed because they serve as a primary point of contact between a business and its customers. They help businesses manage high
volumes of incoming calls efficiently, provide timely assistance to customers, and maintain a positive brand image through excellent customer
service.

Tasks Handled:
Call center agents handle a wide range of tasks, including:
• Answering customer inquiries about products or services
• Providing technical support or troubleshooting assistance
• Processing orders or reservations
• Handling complaints or concerns
• Conducting surveys or market research
• Following up on customer issues or requests

Mode of Operation:
Call centers operate using various modes, such as inbound, outbound, or blended:
• Inbound: Agents receive incoming calls from customers seeking assistance or information.
• Outbound: Agents make outgoing calls to customers for purposes like sales, follow-ups, or surveys.
• Blended: Call centers handle both inbound and outbound calls, depending on the needs of the business.

Equipment:
Call centers require specific equipment to operate effectively, including:
• Phone systems (such as PBX or VoIP)
• Computers with customer relationship management (CRM) software
• Headsets for agents
• Call recording and monitoring systems
• Automated call distribution (ACD) systems
• Interactive voice response (IVR) systems

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Strengths & Weaknesses:
• Strengths:
○ Efficient handling of large call volumes
○ Improved customer service and satisfaction
○ Standardized processes and procedures
○ Ability to track and monitor call performance
○ Flexibility to scale operations based on demand
• Weaknesses:
○ Potential for long wait times during peak periods
○ Language or cultural barriers in multinational call centers
○ High employee turnover rates
○ Costly to set up and maintain
○ Risk of negative customer experiences due to agent errors or limitations

Customer Premises Equipment (CPE):

Customer Premises Equipment (CPE) plays a vital role in connecting customers to telecommunications services. It includes devices like modems,
routers, set-top boxes, and analog telephone adapters, which are installed at a customer's home or business. These devices enable customers to
access services such as telephone, internet, and television provided by telecommunications companies.
While call centers primarily focus on handling customer inquiries and support, they usually operate using their internal infrastructure and wouldn't
directly deal with Customer Premises Equipment. Instead, call centers rely on their own systems, such as phone systems, computers with CRM
software, and headsets, to efficiently manage incoming and outgoing calls and provide quality customer service.

Supply Chain Management : E – logistics, Supply Chain Portal, Supply Chain Planning Tools (SCP Tools), Supply Chain Execution (SCE), SCE -
Framework, Internet’s effect on Supply Chain Power.

Supply chain management (SCM) is the art and science of managing the flow of goods and services from raw materials all the way to the end
customer. It's a complex process that involves a network of different players working together to get products where they need to be, when they
need to be there.

Core Functions:
1. Planning & Procurement(buying): This encompasses predicting demand, acquiring materials, and bargaining with suppliers to secure
favourable prices.
2. Production: This involves converting raw materials into finished products with optimal efficiency.
3. Inventory Management: This entails maintaining an optimal level of stock to prevent shortages or excess inventory.
4. Warehousing: This involves strategically storing products to facilitate efficient distribution.
5. Transportation & Logistics: This encompasses the movement of products from manufacturing facilities to warehouses and ultimately to
customers.
6. Distribution & Fulfillment: This entails delivering products to the final point of sale or directly to customers.
7. Returns Management: This involves efficiently handling customer returns for exchange or refund.

E – logistics:
E-logistics, short for electronic logistics, refers to the use of information technology (IT) and digital tools to manage and optimize various side of
logistics operations within the supply chain. It encompasses a range of activities, from purchasing and inventory management to transportation and
distribution, all conducted electronically.
E-logistics is like using computers, software, and the internet to make shipping and delivering goods easier and more efficient. It involves things like
tracking shipments online, using software to plan the best routes for delivery trucks, and automatically updating inventory levels in warehouses. By
digitizing and automating logistics processes, e-logistics helps businesses reduce costs, improve accuracy, and deliver goods to customers faster.

Supply Chain Portal:

A Supply Chain Portal is like a digital hub where businesses can manage and coordinate various aspects of their supply chain in one place. It's a
website or platform that provides access to tools, information, and resources related to sourcing, procurement, production, logistics, and
distribution.

1. Communicate and Collaborate: Share information and collaborate with suppliers, manufacturers, distributors, and other partners involved in
the supply chain.
2. Manage Orders and Inventory: Place orders, track shipments, and monitor inventory levels in real-time to ensure smooth operations and
timely delivery of products.
3. Access Data and Analytics: Analyse data and generate reports on key supply chain metrics, such as order fulfillment rates, inventory turnover,
and transportation costs, to make informed decisions and optimize performance.
4. Streamline Processes: Automate routine tasks, such as order processing and invoicing, to reduce errors, save time, and improve efficiency.
5. Ensure Compliance and Traceability: Monitor compliance with regulations and standards, as well as track the origin and movement of
products throughout the supply chain to ensure quality control and traceability.

Supply Chain Planning Tools (SCP Tools):

Supply Chain Planning Tools (SCP Tools) are like digital assistants that help businesses manage and optimize their supply chain operations. They use
technology to analyse data, make predictions, and generate plans to improve efficiency and effectiveness across various aspects of the supply chain.

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how SCP tools work:
1. Demand Planning: SCP tools help businesses forecast customer demand for their products. By analyzing historical sales data, market trends,
and other factors, these tools predict how much of each product customers will want in the future. This helps businesses make informed
decisions about production, inventory levels, and resource allocation.
2. Inventory Optimization: SCP tools help businesses optimize their inventory levels to balance supply and demand. By considering factors like
lead times, storage costs, and demand variability, these tools recommend the right amount of inventory to keep on hand to min imize
stockouts and excess inventory.
3. Production Planning: SCP tools help businesses plan and schedule their production activities more efficiently. They consider factors like
production capacity, resource availability, and order lead times to generate production schedules that meet customer demand w hile
minimizing costs and maximizing throughput.
4. Logistics and Distribution Planning: SCP tools help businesses optimize their transportation and distribution networks. They analyze factors
like shipping costs, transit times, and warehouse capacities to recommend the most cost -effective and efficient routes for delivering products
to customers.
5. Risk Management: SCP tools help businesses identify and mitigate risks in the supply chain. By analyzing factors like supplier reliability,
geopolitical events, and natural disasters, these tools help businesses anticipate and prepare for potential disruptions to e nsure continuity of
operations.

Supply Chain Execution (SCE):

Supply Chain Execution (SCE) refers to the operational aspects of managing and coordinating the flow of goods and information within a supply
chain. It encompasses the processes involved in fulfilling customer orders, from the point of order placement to delivery.
In simpler terms, SCE is all about making sure that products get from where they're made to where they need to go, efficiently and effectively. It
involves tasks like managing inventory, coordinating transportation, handling warehouse operations, and ensuring timely delivery to customers.

Here's a breakdown of key components of Supply Chain Execution:

1. Order Management: This involves processing customer orders, managing order fulfillment workflows, and ensuring orders are accurately
picked, packed, and shipped.
2. Inventory Management: SCE includes activities related to managing inventory levels, such as receiving, storing, and tracking inventory in
warehouses or distribution centers. The goal is to maintain optimal inventory levels to meet customer demand while minimizing carrying costs
and stockouts.
3. Warehouse Management: This involves the efficient operation of warehouses or distribution centers, including tasks like organizing inventory,
optimizing storage space, managing picking and packing processes, and coordinating inbound and outbound shipments.
4. Transportation Management: SCE includes managing transportation activities such as route planning, carrier selection, rental consolidation,
and tracking shipments in transit. The aim is to ensure timely and cost-effective delivery of products to customers while optimizing
transportation resources.
5. Order Fulfillment: SCE encompasses the entire order fulfillment process, from receiving customer orders to delivering products to their final
destination. This involves coordinating activities across different stages of the supply chain to meet customer expectations for product quality,
availability, and delivery speed.

SCE - Framework:
A Supply Chain Execution (SCE) framework serves as a structured approach to manage and optimize the flow of goods, information, and finances
across the supply chain. Here's a basic framework:
1. Plan:
○ Demand Planning: Forecasting customer demand and aligning it with production and procurement plans.
○ Supply Planning: Assessing the availability of materials, capacity, and resources to fulfil demand.
○ Inventory Planning: Optimizing inventory levels to balance service levels and costs.
2. Source:
○ Supplier Management: Selecting, managing, and developing relationships with suppliers to ensure timely and quality supply of
materials.
○ Procurement: Acquiring goods and services at the best possible cost, considering quality, lead times, and supplier reliability.
3. Make:
○ Manufacturing: Converting raw materials into finished products efficiently while maintaining quality standards.
○ Production Scheduling: Creating schedules to optimize resource utilization, minimize lead times, and meet customer demand.
4. Deliver:
○ Warehouse Management: Managing the storage, handling, and movement of inventory within warehouses or distribution centers.
○ Transportation Management: Planning, optimizing, and executing the movement of goods from suppliers to customers.
○ Order Management: Processing customer orders, managing order fulfillment, and ensuring on-time delivery.
5. Return:
○ Reverse Logistics: Handling returns, repairs, recycling, or disposal of products, aiming to minimize costs and environmental impact.
6. Integration:
○ Information Systems Integration: Integrating various software systems (e.g., ERP, WMS, TMS) to enable seamless flow of information
across the supply chain.
○ Collaboration: Facilitating communication and collaboration among supply chain partners to improve visibility and responsiveness.
7. Measurement and Improvement:
○ Key Performance Indicators (KPIs): Establishing metrics to measure performance across the supply chain (e.g., fill rate, on-time delivery,
inventory turns).
○ Continuous Improvement: Analyzing performance data, identifying areas for improvement, and implementing corrective actions to
enhance efficiency and effectiveness.

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SCE-Internet’s effect on Supply Chain Power:
SCE (Supply Chain Execution) leverages the internet in several ways to empower the supply chain, giving businesses greater efficiency, visibility, and
control. Here's how SCE-Internet can impact supply chain power:
Increased Visibility:
• Real-time Tracking: The internet allows for real-time tracking of goods throughout the supply chain. Businesses can monitor inventory levels,
shipment locations, and potential delays, enabling proactive decision-making.
• Improved Communication: Information sharing across the supply chain is streamlined. Manufacturers, distributors, and retailers can
collaborate and share data seamlessly, improving coordination and reducing errors.
Enhanced Efficiency:
• Automated Processes: Repetitive tasks like order processing and shipment scheduling can be automated, freeing up resources for more
strategic activities.
• Data-Driven Decisions: The wealth of data collected through the internet allows for data-driven decision-making. Businesses can analyse
trends, identify bottlenecks, and optimize their supply chain for better performance.
Greater Control:
• Demand Forecasting: Internet-based analytics can be used to forecast demand more accurately, leading to better inventory management and
reduced stockouts.
• Risk Management: Real-time data allows for better identification and mitigation of potential supply chain disruptions. Businesses can react
faster to unforeseen events like port closures or raw material shortages.

8. E – Payment Mechanism: Payment through card system, E – Cheque, E – Cash, E – Payment Threats & Protections.
Electronic payment mechanisms, such as payment through card systems, e-cheques, e-cash, come with their own set of benefits and challenges.

Payment through card system:

• This refers to using cards like debit cards, credit cards, or prepaid cards for transactions.
• The card reader transmits encrypted data to the issuing bank for authorization and transfers funds electronically.
• Protections: Use of EMV chip technology, two-factor authentication, and encryption to enhance security. Prompt reporting of lost or stolen
cards, and monitoring transactions for any suspicious activity.

E – Cheque:
An e-cheque, also known as an electronic check or digital check, is a modern alternative to the traditional paper check. It offers a similar function but
utilizes electronic means to transfer funds from the payer's checking account to the payee's account.
Here's a breakdown of e-cheques:
How it Works:
• Instead of a physical check, the payer provides their bank account details and payment information electronically. This can b e done through a
payment portal, accounting software, or even online banking platforms.
• The information is then transmitted securely through an Automated Clearing House (ACH) network.
• The ACH network verifies the account details and initiates the transfer of funds between the payer's and payee's banks.
• The payee receives the funds electronically into their checking account.

E – Cash:
E-cash is a form of electronic payment system where a certain amount of money is stored on a client device (like a PC or mobile device) and made
accessible for internet transactions. It's also known as (cyber-cash, digital cash, or e-money), and it utilizes e-cash software installed on the user's PC
or electronic devices. Both the customer and the merchant need to sign up with the bank issuing e-cash. In e-cash transactions, money is transferred
directly from the customer's desktop to the merchant's site. As a result, e-cash transactions usually require no remote authorization, no signature
validation, and no personal identification number (PIN) codes to confirm identities at the point of sale. It's similar to transmitting numbers from one
computer to another.

E-cash can be implemented in two ways: on-line and off-line. In online implementation, e-cash is stored by the bank or issuer, and the consumer
needs to request it when a consumer makes payment. In contrast, offline e-cash is kept by the consumer in a device such as a smart card or other
type of token.

The user first needs an e-cash software program and an e-cash bank account from which e-cash can be withdrawn or deposited. The user withdraws
the e-cash from the account onto his/her computer and spends it on the Internet without being traced or having personal information available to
other parties involved in the process. The recipients of the e-cash can then send the money to their bank account, similar to depositing "real" cash.
1. Consumer buys e-cash from bank
2. Bank sends e-cash bits to consumer (after charging that amount plus fee)
3. The consumer sends e-cash to the merchant.
4. The merchant checks with the bank that the e-cash is valid (checking for forgery or fraud).
5. The bank verifies that the e-cash is valid.
6. Parties complete the transaction: for example, the merchant presents the e-cash to the issuing bank for deposit once goods or services are
delivered.

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E – Payment Threats & Protections:
Making online payments is convenient, but it's important to be aware of the threats and take steps to protect yourself.
Common Payment Threats:
○ Malware and Ransomware: These malicious programs can steal your financial information or lock you out of your device until you pay a
ransom. They can be downloaded through phishing emails, infected websites, or fake software updates.
○ Phishing Scams: Misleading emails or messages try to trick you into revealing personal information like passwords or credit card details.
They often appear to be from legitimate sources like banks or credit card companies.
○ Public Wi-Fi: Using unsecure Wi-Fi networks leaves your data vulnerable to interception by hackers. Avoid making payments on public
Wi-Fi unless you're using a Virtual Private Network (VPN).
○ Unsecured Websites: When making online purchases, ensure the website is secure. Look for the padlock symbol in the address bar and
a URL that starts with "HTTPS" instead of "HTTP."
○ Mobile Payment Vulnerabilities: Unpatched apps or malware on your phone can compromise your mobile payment security.

Protecting Yourself:
○ Strong Passwords & Two-Factor Authentication: Use complex passwords for your online accounts and enable two-factor authentication
(2FA) whenever possible. 2FA adds an extra layer of security by requiring a code from your phone or email in addition to your password.
○ Be Wary of Emails and Calls: Don't click on links or attachments in suspicious emails or respond to unsolicited calls requesting your
financial information. Legitimate companies won't ask for sensitive information through these channels.
○ Secure Your Devices: Keep your operating system, apps, and antivirus software up to date. Avoid downloading apps from untrusted
sources.
○ Review Bank Statements Regularly: Monitor your bank and credit card statements for unauthorized transactions. Report any suspicious
activity immediately.
○ Use Secure Wi-Fi: Avoid making payments on public Wi-Fi if possible. If you must, consider using a VPN to encrypt your data.

9. E – Marketing : Home –shopping, E-Marketing, Tele-marketing.

Home –shopping:
This refers to methods where you can shop from the comfort of your home without physically going to a store. It can involve:
• Traditional TV Home Shopping: Products are presented on television channels with hosts demonstrating and explaining features. Orders are
placed by phone or online.
• Catalog Shopping: Printed catalogs showcase products with descriptions and ordering information.

E-Marketing:
This is the use of electronic channels to promote and sell products or services. It encompasses a wide range of strategies:
• Search Engine Marketing (SEM): Techniques to improve your website's ranking in search engine results pages (SERPs) to drive organic traffic.
• Social Media Marketing (SMM): Utilizing social media platforms like Facebook, Instagram, or Twitter to connect with potential customers and
promote your brand.
• Email Marketing: Sending targeted email campaigns to promote products, share news, or offer discounts.
• Content Marketing: Creating valuable content (blogs, articles, videos) to attract and engage potential customers.
• Pay-Per-Click (PPC) Advertising: Running targeted ads on search engines or social media platforms where you pay each time someone clicks
on your ad.

Tele-marketing.
This involves contacting potential customers by phone to generate leads, evaluate potential customers' interest, or directly sell products or services
• Outbound Calls: Outbound telemarketing involves agents proactively reaching out to potential customers or leads. These calls are initiated by
the company to promote products or services, generate sales, or conduct market research.

• Inbound Calls: Inbound telemarketing involves handling incoming calls from customers who are responding to marketing efforts or seeking
assistance. These calls may include inquiries about products, placing orders, or requesting customer support.

• Lead Generation: Lead generation is about finding people who might want to buy what you're selling. With lead generation telemarketing,
people called agents try to find these potential customers. They talk to individuals or businesses to learn about what they m ight need or want
to buy. They ask questions to see if these people could become actual customers.

• Sales Calls: Sales calls involve agents actively selling products or services to potential customers. These calls may follow up on leads g enerated
through marketing efforts, outbound prospecting, or inbound inquiries.

Feature Home Shopping E-Marketing Telemarketing

Channel TV, Catalogs, Online Digital Platforms (Websites, Email, Social Media etc.) Telephone
Interaction Passive (Watching TV, Browsing Catalog) Interactive (Clicking, Following, Responding) One-on-One Conversation
Focus Product Presentation Brand Awareness, Lead Generation, Sales Direct Sales, Lead Generation

10. Electronic Data Interchange (EDI): Meaning, Benefits, Concepts, Application, EDI Model, Protocols (UN EDI FACT / GTDI, ANSI X –
12), Data Encryption (DES / RSA).

Meaning: Electronic Data Interchange (EDI) is like a digital language that allows different computer systems to talk to each other and exchange
information. Instead of using paper documents like invoices or purchase orders, EDI lets businesses send this information electronically, saving time

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information. Instead of using paper documents like invoices or purchase orders, EDI lets businesses send this information electronically, saving time
and reducing errors.

Benefits: EDI offers several advantages:

• Faster Communication: Information can be exchanged almost instantly, speeding up business transactions.
• Cost Savings: By eliminating the need for paper-based processes, businesses can save money on printing, postage, and manual labor.
• Accuracy: Since data is transferred electronically, there's less chance of errors compared to manual data entry.
• Improved Efficiency: Automation of document processing reduces the time and effort required for tasks like order processing and inventory
management.

Concepts: At its core, EDI involves translating information from a company's internal format into a standard electronic format that can be
understood by other systems. This involves mapping data fields and defining rules for how information should be structured and transmitted.
EDI follows a set of rules (like a recipe) for sending and receiving data. This ensures everything is formatted correctly and includes all the necessary
information.
Similar to regional variations in languages, EDI has different protocols like UN/EDIFACT and ANSI ASC X12. These define the specific way data is
structured within EDI.
EDI takes data security seriously. Techniques like DES and RSA encryption scramble information before sending it, like locking it in a vault, to ensure
only authorized parties can access it.

Application: EDI is widely used in various industries for tasks like:

• Ordering and purchasing
• Invoicing and billing
• Inventory management
• Shipping and logistics

EDI Model:
The basic process of EDI-based transactions is the same as their manual. The only difference that EDI makes is that its transactions are done
electronically, and data packets are formatted according to the standards of EDI. The following figure describes the basic process of the EDI model:

1st. In EDI model, firstly the sender must generate the application file using its business application system. This file contains the processed
documents. The document sent by the sender has to be translated into an agreed EDI standard format. The process of translatin g EDI
documents into EDI standard format is called mapping.
2nd. The translation software uses this mapping to translate the transaction of EDI so that it can easily understand y the receivi ng organization.
3rd. The document file is sent electronically either through a value-added network using EDI software, a web-based EDI tool, or outsourcing with
an EDI service provider.
4th. The trading partner receives the file. The receiver translates the file from the EDI standard format to a file usable by thei r Business Application
Software.
5th. An acknowledgement document is generated to the originating organization. (means that once the receiving organization receives the
electronic document sent by the sender (originating organization), they acknowledge receipt of the document by generating ano ther document
confirming its successful reception.)

Protocols (UN EDI FACT / GTDI, ANSI X – 12):

UN/EDIFACT (United Nations/Electronic Data Interchange For Administration, Commerce, and Transport)/GTDI (Global Trade Data Interchange) and
ANSI X12(American National Standards Institute X12) are both standards for electronic data interchange (EDI), used for exchanging business
documents electronically in a standardized format.

UN EDI FACT/ GTDI:

Developed by the United Nations, UN/EDIFACT is widely used internationally, especially in Europe and Asia.
It provides a set of syntax rules to structure data and standardize the electronic exchange of information between trading partners.
UN/EDIFACT messages cover a wide range of business processes, including orders, invoices, shipping notices, and more.
It's based on a hierarchical structure of segments, which are composed of elements.
UN/EDIFACT messages are typically transmitted over a variety of communication protocols, including Value Added Networks (VANs ), AS2, FTP,
etc.

1. Character Set, Vocabulary, and Syntax:

1. Just like any language, EDIFACT has its own rules. These rules include:
1. Character Set: The specific characters that can be used in messages.
2. Vocabulary (Data Elements): The words or pieces of information that can be included in messages.
3. Grammar (Syntax): The rules for how to arrange the words and pieces of information in a message.
2. Message Structure:
1. EDIFACT messages are made up of different parts:
1. Data Elements: These are like the building blocks of the message. They represent individual pieces of information, like a product
code or a customer's name.

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 code or a customer's name.
2. Segments: Groups of related data elements are grouped together into segments. Segments are like sentences that convey a
specific type of information, such as an order or an invoice. Each segment has a unique identifier, like a code, which tells you what
kind of information it contains. For example, if you're sending an order, you might have segments for the order details, the buyer's
information, the seller's information, and so on.
3. Message Types: Message types are like templates or blueprints for structuring segments in a specific way to convey different
types of business information. These templates ensure that everyone follows the same format when exchanging messages. For
example, there are standard message types for orders, invoices, shipping notices, and more.
3. Uniformity and Efficiency:
1. The syntax of EDIFACT ensures that messages can be understood by all parties involved, no matter what hardware or software
they're using. This makes communication smoother between different companies.
2. EDIFACT also allows for efficient data transfer. Unlike fixed-length data records where every space needs to be filled, EDIFACT only
sends the necessary segments and data elements with actual content. This saves time and reduces the amount of unnecessary
data being transmitted.

ANSI X – 12:
EDI ANSI X12 provides a standardized format and guidelines for exchanging various business documents electronically, such as purchase orders,
invoices, and shipment notifications.
Just like with UN/EDIFACT, EDI ANSI X12 defines specific structures for different types of business documents.
Each document type is assigned a unique identifier, called a transaction set, which outlines the format and content of the message.
For example, an EDI ANSI X12 850 transaction set represents a purchase order, while an EDI ANSI X12 810 transaction set represents an invoice.
These transaction sets contain segments and data elements, which organize the information in a standardized way, making it easier to understand
and process. A transaction set carries the same information as the printed version of the document, but it's a condensed version, focusing only on
what's necessary.

Imagine the printed document having three main parts:

1. Header: This part has general info, like the date, addresses of the sender and receiver, and any terms and conditions.
2. Detail: Here, you'll find the specific items or line-by-line details of the business deal. For example, in a purchase order, it might list the item
number, description, quantity ordered, and price for each item.
3. Summary: This part gives an overview or summary of the whole transaction. For instance, in a purchase order, it might show the total v alue of
the order.

Data Encryption (DES / RSA):

DES: DES ( Data Encryption Standard ) Algorithm Part -1 Explained in Hindi l Network Security (4 parts)

DES is an implementation of a Feistel Cipher. It uses 16 round Feistel structure. The block size is 64-bit. Though, key length is 64-bit, DES has an
effective key length of 56 bits, since 8 of the 64 bits of the key are not used by the encryption algorithm (function as check bits only). General
Structure of DES is depicted in the following illustration −

The initial and final permutations are straight Permutation boxes (P-boxes) that are inverses of each other.

• Round Function The heart of this cipher is the DES function, f. The DES function applies a 48-bit key to the rightmost 32 bits to produce a 32-
bit output.

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 • Expansion Permutation Box − Since right input is 32-bit and round key is a 48-bit, we first need to expand right input to 48 bits.
• XOR (Whitener). − After the expansion permutation, DES does XOR operation on the expanded right section and the round key. The round
key is used only in this operation.
• Substitution Boxes. − The S-boxes carry out the real mixing (confusion). DES uses 8 S-boxes, each with a 6-bit input and a 4-bit output.

• There are a total of eight S-box tables. The output of all eight s-boxes is then combined in to 32 bit section.
• Straight Permutation − The 32 bit output of S-boxes is then subjected to the straight permutation with rule.

RSA: RSA Algorithm Part-1 Explained With Solved Example in Hindi (3 Parts)

RSA encryption algorithm is a type of public-key encryption algorithm.

Public Key encryption algorithm is also called the Asymmetric algorithm. Asymmetric algorithms are those algorithms in which sender and receiver
use different keys for encryption and decryption. Each sender is assigned a pair of keys:
• Public key
• Private key
The Public key is used for encryption, and the Private Key is used for decryption. Decryption cannot be done using a public key. The two keys are
linked, but the private key cannot be derived from the public key. The public key is well known, but the private key is secret and it is known only to
the user who owns the key. It means that everybody can send a message to the user using user's public key. But only the user can decrypt the
message using his private key.

RSA Encryption Algorithm: RSA is the most common public-key algorithm, named after its inventors Rivest, Shamir, and Adelman (RSA).

This example shows how we can encrypt plaintext 9 using the RSA public-key encryption algorithm. This example uses
prime numbers 7 and 11 to generate the public and private keys.
Explanation:
Step 1: Select two large prime numbers, p, and q.
p=7
q = 11
Step 2: Multiply these numbers to find n = p x q, where n is called the modulus for encryption and decryption.
First, we calculate
n=pxq
n = 7 x 11
n = 77
Step 3: Choose a number e less that n, such that n is relatively prime to (p - 1) x (q -1). It means that e and (p - 1) x (q -
1) have no common factor except 1. Choose "e" such that 1<e < φ (n), e is prime to φ (n), gcd (e, d (n)) =1.
Second, we calculate
AD

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AD
φ (n) = (p - 1) x (q-1)
φ (n) = (7 - 1) x (11 - 1)
φ (n) = 6 x 10
φ (n) = 60
Let us now choose relative prime e of 60 as 7.
AD
Thus the public key is <e, n> = (7, 77)
Step 4: A plaintext message m is encrypted using public key <e, n>. To find ciphertext from the plain text following formula is
used to get ciphertext C.
To find ciphertext from the plain text following formula is used to get ciphertext C.
C = me mod n
C = 97 mod 77
C = 37
Step 5: The private key is <d, n>. To determine the private key, we use the following formula d such that:
De mod {(p - 1) x (q - 1)} = 1
7d mod 60 = 1, which gives d = 43
The private key is <d, n> = (43, 77)
Step 6: A ciphertext message c is decrypted using private key <d, n>. To calculate plain text m from the ciphertext c
following formula is used to get plain text m.
m = cd mod n
m = 3743 mod 77
m=9
In this example, Plain text = 9 and the ciphertext = 37

11. Risk of E – Commerce: Overview, Security for E – Commerce, Security Standards, Firewall, Cryptography, Key Management, Password
Systems, Digital certificates, Digital signatures.

Overview:
1. Security Breaches: Hackers love targeting online stores, trying to steal customer data. It's a big deal because it can harm your reputation and
land you in trouble. Nearly a third of all successful hacks happen on e-commerce sites. To stay safe, enhance your security with SSL
certificates, pick a secure platform, and keep a close watch for anything fishy.
2. Refunds and Disputes: Sometimes, customers ask for their money back or argue about their purchases. Chargebacks are like a double
whammy – you lose the sale and have to pay extra fees. Make sure your refund rules are crystal clear and deal with arguments gently to keep
customers smiling.
3. Intellectual Property Issues: Copying stuff from others, whether it's images or text, can land you in trouble. Always create your own content
or use properly licensed material to avoid legal trouble.
4. Low SEO Ranking: If people can't find your store on Google, you're in trouble. Invest in understanding how to boost your search engine
ranking to get noticed by potential customers.
5. DDOS Attacks: These attacks overload your website with fake traffic, causing it to crash. Have a plan to protect against them, like monitor ing
your traffic or using cloud services.
6. Stolen Credit Card Info: This is a big one. If thieves get their hands on customer credit card info, it's bad news for everyone. Follow strict
security standards to keep this from happening.
7. Poor Customer Service: Treat your customers right, or they'll take their business elsewhere. Invest in quality service to keep them happy and
coming back for more.
8. Inadequate Authentication: Simple passwords aren't enough anymore. Enhance your security with multi-factor authentication to keep the
bad guys out.
9. Currency Exchange Risks: If you're selling globally, currency rates can mess with your profits. Try to stick to one currency or use payment
platforms that handle conversions for you.
10. Customer Expectations: If your site doesn't match up to what customers expect, they'll go somewhere else. Keep up with the latest trends
and make sure your site is easy to use and looks good.

Security for E – Commerce:

Security is paramount in e-commerce due to the inherent risks associated with online transactions. Here are some key aspects to consider for
securing e-commerce:
• Secure Sockets Layer (SSL) Encryption: SSL certificates encrypt data transferred between the user's browser and the server, ensuring that
sensitive information like credit card details are securely transmitted.
• Secure Payment Gateways: Utilize reputable payment gateways that offer robust security measures to process transactions securely. These
gateways often employ tokenization and encryption to safeguard payment information.

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 gateways often employ tokenization and encryption to safeguard payment information.
• Multi-factor Authentication (MFA): Implement MFA to add an extra layer of security for user accounts. This can involve requiring a
combination of passwords, security questions, SMS codes, or biometric authentication.
• Regular Security Audits and Updates: Conduct regular security audits to identify vulnerabilities and patch any security loopholes promptly.
Keep all software and systems up-to-date with the latest security patches and updates.
• Secure Hosting and Infrastructure: Choose a reliable hosting provider that prioritizes security and offers features like DDoS protection,
firewall configuration, and regular backups to safeguard against potential attacks.
• Fraud Detection and Prevention: Employ fraud detection tools and algorithms to monitor transactions for suspicious activities and flag
potentially fraudulent transactions for further review.

Security Standards:
Security standards play a crucial role in mitigating risks associated with e-commerce. Here are some key security standards commonly applied in the
industry:

1. Payment Card Industry Data Security Standard (PCI DSS): PCI DSS is a set of security standards designed to ensure that companies that
accept, process, store, or transmit credit card information maintain a secure environment. It includes requirements for netwo rk security, data
encryption, access control, and regular monitoring.
2. Transport Layer Security (TLS): TLS is a cryptographic protocol that ensures secure communication over a computer network. It encrypts data
transmitted between a user's browser and the e-commerce server, safeguarding sensitive information such as credit card details, passwords,
and personal data.
3. Secure Sockets Layer (SSL): SSL is a predecessor of TLS and provides a secure connection between web servers and browsers. While TLS has
largely replaced SSL due to security vulnerabilities, SSL is still referenced in the context of older systems and protocols.
4. ISO/IEC 27001: ISO/IEC 27001 is an internationally recognized standard for information security management systems (ISMS). It provides a
systematic approach to managing sensitive company information, ensuring its confidentiality, integrity, and availability.
5. ISO/IEC 27002: ISO/IEC 27002 provides guidelines and best practices for implementing security controls based on the requirements outlined in
ISO/IEC 27001. It covers various aspects of information security, including organizational security, access control, cryptography, and incident
management.

Firewall:
Firewalls act as a barrier between a trusted internal network and untrusted external networks (like the internet). They monitor and control incoming
and outgoing network traffic based on predetermined security rules. Risks such as unauthorized access, malware attacks, and data breaches can be
mitigated by properly configuring and maintaining firewalls. They can prevent unauthorized access to sensitive data stored on e-commerce servers
and protect against various types of cyber threats.

Cryptography:
Cryptography involves securing communication and data by converting it into a format that is unreadable without the proper decryption key. It
helps ensure confidentiality, integrity, and authenticity of data transmitted over the internet. Risks such as eavesdropping, data tampering, and
identity theft can be mitigated through the use of cryptographic techniques like encryption, digital signatures, and hashing algorithms.

Key Management:
Key management refers to the process of generating, storing, distributing, and revoking cryptographic keys used in encryption systems. It's a crucial
aspect of maintaining the security of sensitive data and communications. Effective key management ensures that only authorized users can access
encrypted data and that the encryption keys are protected from unauthorized access or tampering.

Key management involves several important tasks:

• Key Generation: The process of creating cryptographic keys using secure random number generators or key derivation functions.
• Key Storage: Safely storing encryption keys to prevent unauthorized access. This may involve using hardware security modules (HSMs), secur e
key vaults, or encryption algorithms to protect keys at rest.
• Key Distribution: Transmitting encryption keys securely to authorized parties or devices. This can be done using secure channels, such as
encrypted connections or secure messaging protocols.
• Key Rotation: Regularly changing encryption keys to reduce the risk of compromise. Key rotation helps mitigate the impact of key exposure
and improves overall security.
• Key Revocation: Disabling or revoking encryption keys that are compromised, no longer needed, or have been used for an extended period.
This prevents unauthorized access to encrypted data.
• Key Escrow: Storing copies of encryption keys with a trusted third party for recovery purposes. Key escrow can be useful for ensuring acc ess to
encrypted data in case of key loss or system failure.
• Key Destruction: Securely deleting encryption keys when they are no longer needed to prevent unauthorized access to sensitive data.

Password Systems:
• Weak Passwords: Users may choose weak passwords that are easy to guess or crack, such as "password123" or common words.
• Password Reuse: Users often reuse passwords across multiple accounts, increasing the risk of a security breach if one account is
compromised.
• Phishing Attacks: Attackers may use phishing emails or fake websites to trick users into revealing their passwords.
• Brute Force Attacks: Hackers can attempt to guess passwords by systematically trying different combinations until they find the correct one.
• Credential Stuffing: Attackers use stolen username/password combinations from one service to gain unauthorized access to other services
where users have reused the same credentials.

Digital certificates:
A digital certificate, also known as a public key certificate or identity certificate, is essentially an electronic document that verifies the online identity

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A digital certificate, also known as a public key certificate or identity certificate, is essentially an electronic document that verifies the online identity
of an entity (website, server, user, or device). It acts like a digital passport in the online world.

Imagine you're shopping online. A digital certificate helps ensure you're on the legitimate website of the store you intended to visit, not a fake one
designed to steal your information.

Here's a breakdown of how digital certificates work:

• Public Key Infrastructure (PKI): Digital certificates rely on a system called Public Key Infrastructure (PKI). PKI involves a trusted third -party
called a Certificate Authority (CA) that issues and verifies certificates.
• The Contents: A digital certificate contains several key pieces of information:
○ The identity of the entity the certificate belongs to (e.g., website name, organization name)
○ The entity's public key (used for encryption)
○ The issuing CA's information and digital signature
○ Validity period (certificates have expiration dates)
• The Process: When you visit a website secured with a digital certificate (usually indicated by a lock icon in your browser bar), your brow ser
checks the certificate's validity with the issuing CA. If everything checks out, the browser establishes a secure encrypted c onnection with the
website. This ensures that the data you send and receive is confidential and hasn't been tampered with.

Digital certificates play a crucial role in securing online transactions and communication. They help ensure:
• Authentication: You're interacting with the genuine entity you intend to (website, server, etc.).
• Data Encryption: Information exchanged is scrambled and can only be decrypted by the authorized recipient.
• Data Integrity: You can be confident the data hasn't been altered during transmission.

Digital signatures:
1. Cryptographic Magic: Digital signatures rely on the principles of cryptography, which involves scrambling and unscrambling data using keys.
There are two main keys involved:
○ Private Key: This is a confidential key kept securely by the signer. It's akin to a secret password used for creating the signature.
○ Public Key: Unlike the private key, the public key is shared openly and can be distributed to anyone who needs to verify the signature.
It's used to authenticate the signature.
2. The Signing Process: When you digitally sign a document or message:
○ First, a cryptographic hash function is applied to the content of the document. This function generates a unique, fixed-length string of
characters, called a hash or digest. The hash is essentially a digital fingerprint of the document's content.
○ Next, this hash is encrypted using your private key. The result is your digital signature.
3. Verification: Now, let's say someone receives the digitally signed document and wants to verify its authenticity:
○ They obtain your public key, which is openly available.
○ Using this public key, they decrypt the digital signature, revealing the original hash.
○ Then, they independently compute the hash of the received document using the same cryptographic hash function.
○ If the hash they compute matches the decrypted hash from the digital signature, it means the document hasn't been tampered with
since it was signed, and it indeed originated from the owner of the private key. In other words, the signature is valid, and the document
is considered authentic.

12. Enterprise Resource Planning (ERP) : Features, capabilities and Overview of Commercial Software, re-engineering work
processes for IT applications, Business Process Redesign, Knowledge engineering and data warehouse . Business Modules: Finance,
Manufacturing (Production), Human Resources, Plant Maintenance, Materials Management, Quality Management, Sales &
Distribution ERP Package, ERP Market: ERP Market Place, SAP AG, PeopleSoft, BAAN, JD Edwards, Oracle Corporation ERP-Present
and Future: Enterprise Application Integration (EAI), ERP and E-Commerce, ERP and Internet, Future Directions in ERP

Enterprise Resource Planning (ERP) systems are like a bundle of helpful tools for businesses. They're like a superhero team for your company's tasks,
all working together to make things run smoothly.
Imagine having all your important information in one place, instead of scattered everywhere. That's what ERP systems do—they gather up data from
different parts of your business and put it all in one central spot. This makes it easier to see what's going on and helps you save time and money by
getting rid of repetitive tasks.
In today's fast-paced world, it's crucial for companies to be quick on their feet and run efficiently. That's where ERP systems come in handy,
especially for manufacturing companies. They help you stay nimble and keep your business healthy.

Features:
Some key features that ERP systems offer:
• Integration: This means bringing together all your business processes and data into one system, so everything works together seamlessly.
• Automation: ERP systems automate repetitive tasks, so you can focus on more important things.
• Data Analysis: ERP systems provide businesses with a wealth of data that can be used to identify trends, make better decisions, and improve
overall performance.
• Tracking and Visibility: ERP systems let you see what's happening in your business in real-time, so you're always in the know.
• Reporting: They generate reports that give you insights into how your business is doing and where you can improve.
• Accounting: ERP systems manage your finances, so you can keep track of your money and make sure everything adds up.
• Supply Chain Management: They help you keep track of your inventory and make sure everything gets where it needs to go.
• Human Resource Management: ERP systems help you manage your employees, from hiring to payroll to performance reviews.
• Customer Relationship Management: They help you keep track of your customers and make sure they're happy with your products or

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 • Customer Relationship Management: They help you keep track of your customers and make sure they're happy with your products or
services.
• Financial Management: They help you manage your money, from budgeting to forecasting to reporting.
• Sales and Marketing: ERP systems help you keep track of your sales and marketing efforts, so you can see what's working and what's not.

Capabilities and Overview of Commercial Software:

Capabilities of ERP Systems:
• Centralized Data: ERP systems provide a centralized database for storing and accessing all relevant information, ensuring data consistency and
accuracy.
• Real-time Visibility: ERP software offers real-time visibility into business operations, enabling businesses to monitor performance and respond
quickly to changing conditions.
• Streamlined Processes: ERP automates and streamlines business processes, reducing inefficiencies and improving productivity.
• Compliance and Security: ERP systems make sure that businesses follow the rules set by the government and keep information safe. They do
this by having things like passwords and controls to make sure only the right people can access certain data.

Overview of Commercial Software:

• SAP ERP: SAP is like a big toolbox for businesses. It has different tools for different jobs, like managing money, keeping track of inventory, and
handling orders. Big companies like using SAP because it can do a lot of things and works well for complex operations.
• Microsoft Dynamics 365: Think of Microsoft Dynamics 365 as a set of software tools made by Microsoft to help businesses with their finances,
sales, and customers. It's like having a helpful assistant that keeps everything organized and running smoothly.
• NetSuite ERP: NetSuite is like a cloud-based command center for businesses. It helps keep track of finances, inventory, and customer
relationships, all in one place. It's popular because it's easy to use and can be accessed from anywhere with an internet connection.

Re-engineering work processes for IT applications:(AGMIRITM)

Re-engineering work processes for IT applications involves redesigning and improving business processes to make them more efficient,
effective, and aligned with the capabilities of information technology (IT) systems.
1. Assessment: Begin by assessing current work processes to identify inefficiencies, bottlenecks, and areas for improvement.
2. Goal Setting: Set specific goals for the re-engineering effort, such as making processes faster or improving customer satisfaction. These goals
should be specific, measurable, achievable, relevant, and time-bound (SMART). For example, reducing processing time by 50% or improving
customer satisfaction ratings by 20%.
3. Mapping Processes: Map out how tasks are currently done to understand where changes can be made.
4. Identifying IT Solutions: Look at the computer programs and systems you already have to see if they can help with the changes you want to
make. If they can't, find new ones that fit what you need to make your work easier and faster.
5. Redesigning Processes: After checking how things are done and setting goals, change the way tasks are handled to make them better. This
could mean making steps simpler, using computers to do tasks automatically, or rearranging who does what in the team.
6. Implementing IT Solutions: Start using new computer programs or improve the ones you already have to support the changes you've made to
how things are done. This might mean adjusting settings in the software, creating new features, or making different programs work together
smoothly.
7. Training and Change Management: Teach everyone how to use the new tools and understand why the changes are happening.
8. Monitoring and Optimization: Keep an eye on things to make sure the changes are working well. Adjust if needed.

Business Process Redesign:

Business Process Redesign (BPR) is like giving your business a makeover. It's about taking a close look at how things are done and finding better,
more efficient ways to do them. It aims to achieve significant improvements in performance metrics like cost reduction, faster cycle times, and
enhanced customer service.
Here's what it involves:
1. Identify Process: First, you need to pinpoint the specific process or set of tasks that you want to improve. This could be anything from how
orders are processed to how customer inquiries are handled.
2. Evaluate Process: Once you've identified the process, you need to take a closer look at how it currently works. This involves analyzing each
step to identify any bottlenecks, inefficiencies, or areas for improvement.
3. Re-design Process: After evaluating the process, it's time to redesign it to make it better. This could involve simplifying steps, automating
tasks, or reorganizing roles and responsibilities to make the process more efficient and effective.
4. Implement and Control Process: Once you've redesigned the process, it's time to put the changes into action. This involves implementing the
new process and putting controls in place to ensure that it's followed correctly. It's also important to monitor the process closely to identify
any issues and make adjustments as needed.

Knowledge engineering and data warehouse.

• Knowledge Engineering: Knowledge engineering involves capturing, organizing, and leveraging the expertise and knowledge within an
organization to improve decision-making processes and automate tasks.
Knowledge is information or expertise that people have in their heads or in documents. To capture knowledge, you can talk to experts or
experienced people in the company, ask them questions, or look at documents like manuals and procedures. Once you have all th is
information, you need to organize it neatly so that it's easy to find when you need it. After you've gathered and organized t he information,
you can use it to help make decisions and do tasks more easily. Knowledge is always changing, so you need to keep updating an d improving it.

• Data Warehousing: Data warehousing involves the process of collecting, storing, and organizing large volumes of data from multiple sources
within an organization. This centralized repository, known as a data warehouse, provides a unified view of data for analysis and reporting
purposes.

Business Modules:-
Finance:

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Finance:
The financial module in an ERP system is typically one of the core components, responsible for managing all financial transactions and processes
within an organization.
• Tracks all your money coming in (revenue) and going out (expenses).
• Handles tasks like accounts payable/receivable, general ledger, and budgeting.
• Creates financial reports and helps you analyze your financial health.

Manufacturing (Production):
The Manufacturing or Production module in an ERP system is designed to streamline and optimize the production process. It covers various aspects
of manufacturing operations, from planning and scheduling to execution and quality control.
• Bill of Materials (BOM): The BOM is a comprehensive list of all components, parts, and raw materials required to manufacture a product.
• Routing and Work Centers: Defines production steps and locations.
• Work Orders Management: Work orders are instructions that detail the tasks, resources, and timelines required to produce a specific quantity
of a product.
• Capacity Planning and Scheduling: This feature helps in optimizing production schedules by considering available resources (machinery, labor,
etc.) and capacity constraints.
• Shop Floor Control: Shop floor control enables real-time monitoring and management of production activities on the shop floor.
• Quality Control and Inspection: Quality control processes are integrated into the manufacturing module to ensure that products meet
specified quality standards.
• Inventory Management: Inventory management functionalities within the production module track raw materials, work -in-progress (WIP),
and finished goods inventory. It helps in optimizing inventory levels, reducing carrying costs, and minimizing stockouts.
• Material Requirements Planning (MRP): MRP calculates material requirements based on production schedules, BOMs, and inventory levels.
• Production Costing and Analysis: This feature calculates the cost of manufacturing products, including direct labor, materials, and overhead
costs.
• Integration with Other Modules: Coordinates with other ERP functions.

Human Resources:
Human Resources (HR) is a critical function within any organization, focusing on the management of people.
1. Personal Management
Maintain comprehensive records of employees' personal information, including contact details, emergency contacts, and personal identification
documents. Track details of employees' work history within the organization, including roles, departments, start dates, end dates, and reasons for
leaving (if applicable). Ensure that employee records and personal data handling comply with relevant laws and regulations, such as GDPR, HIPAA,
etc.
2. Organization Management
See and organize the company structure, including departments, teams, and who reports to whom. Create and manage job roles and positions in
the company. Keep track of open jobs, job descriptions, and responsibilities. Predict how many staff members are needed based on the company's
goals and market trends. This includes planning for future leaders and identifying any skill gaps. Help the company smoothly handle big changes like
Changing the company's structure, such as reorganizing departments or roles, Combining with another company to form a new, or Buying another
company to expand the business. Ensure good communication and smooth transitions during these changes.
3. Payroll Management
Automate the calculation and distribution of employee salaries, including regular pay, bonuses, and incentives. Manage various deductions (taxes,
social security, health insurance) and contributions (retirement plans, savings schemes). Ensure payroll processes comply with local and
international labor laws and regulations. Facilitate timely disbursement of salaries through direct deposit, checks, or other payment methods.
4. Time Management
Monitor and record employee attendance, including clock-in/clock-out times, breaks, and leave taken. Manage various types of leave (annual leave,
sick leave, maternity/paternity leave) and handle leave requests and approvals. Track and approve overtime hours worked by employees. Ensure
compliance with labor laws regarding overtime pay. Create and manage work schedules and shifts.
5. Personal Development
Develop and manage training programs to enhance employees' skills. Include on-the-job training, workshops, and e-learning modules.
Conduct regular performance reviews to assess employee performance. Assist employees in planning their career paths within the organization.
Identify skill gaps and provide targeted training to address these gaps. Pair employees with mentors who can guide and advise them.

Plant Maintenance:
The Plant Maintenance module in ERP software helps manage all maintenance activities for machines and equipment within a company.
1. Integrated Solution
The Plant Maintenance module is part of a larger ERP system that supports the entire organization. It helps manage all maintenance activities for
machines and equipment, ensuring smooth operations across the company.
2. Flexible System Structure
The module allows you to organize technical systems in various ways. This flexibility makes it easy to navigate and manage maintenance tasks.
3. Documentation
All planning, processing, and history of maintenance tasks are recorded in the system. This ensures that there is a complete and accurate record of
all maintenance activities.
4. Historical Database
The system saves all past maintenance tasks like inspections, servicing, and repairs. If a machine breaks down frequently, you can look at the repair
history to identify patterns and address the root cause.
5. Analysis and Reporting
The system provides various reports and analysis options to evaluate maintenance data. You can generate a report to see which machines require
the most maintenance and why. If the data shows a certain part fails often, you can replace it before it causes a machine to stop working.

Materials Management:

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Materials Management:
The Materials Management module in ERP (Enterprise Resource Planning) systems helps manage all aspects of materials and inventory within an
organization. Here’s an overview of its key components:
1. Procurement Management:
This is where you request materials and start the process of making purchase orders. Select suppliers and manage relationships with them to ensure
you get the best materials. Create, track, and manage your purchase orders to ensure everything is ordered correctly and on time.
2. Inventory Management
Keep an eye on inventory levels to make sure you have enough materials without overstocking. Organize and control how materials are stored in
warehouses to maximize space and efficiency. Manage how materials are distributed to production lines or other departments. Applying methods
like FIFO (First In, First Out) or LIFO (Last In, First Out) for inventory valuation.
3. Material Requirement Planning (MRP)
Predict future material needs based on production schedules and sales forecasts. Plan when and how to buy materials to meet production needs.
Plan the timing of orders so materials arrive when they are needed, avoiding delays.
4. Goods Receipt and Quality Management
When materials arrive, record and verify that you received what you ordered. Check the quality of materials when they arrive to ensure they meet
your standards.
5. Vendor Management
Assess and rate suppliers based on their performance to ensure you are working with the best. Negotiate terms, prices, and contracts with suppliers
to get the best deals.
6. Reporting and Analytics
Create reports on stock levels, movements, and valuations to keep track of inventory. Report on purchase orders, supplier performance, and
procurement costs to monitor spending.
7. Compliance and Documentation
Ensure all materials and processes comply with industry regulations to avoid legal issues. Keep detailed records of all transactions, orders, and
inventory movements for audits and compliance.

Quality Management:
The Quality Management (QM) module within an ERP system acts as a central hub for ensuring consistent product quality throughout your
manufacturing or production processes.
• Quality Planning:
These are like detailed guides that say when and how to check stuff during the making process. They also set the standards fo r what's
considered good quality for materials. We use special tools, like control charts and stats, to watch how things are going. Th is helps us catch
any problems early.
• Quality Control (QC):
Instead of checking things by hand, we use machines to help us. They collect data from inspections and tests. We don't wait u ntil the end to
see if things are good. We watch during the process to spot any issues early. If we find something wrong, we don't just ignor e it. We figure out
why it happened and make sure it doesn't happen again. This keeps our products top-notch!

Sales & Distribution ERP Package:

A Sales & Distribution ERP package is a software solution designed to manage the sales and distribution processes of a business within an Enterprise
Resource Planning (ERP) system. This package typically includes modules or functionalities specifically tailored to handle tasks related to sales order
processing, inventory management, pricing, billing, shipping, and customer relationship management (CRM).

The goal of such a package is to integrate and streamline the entire sales process, from receiving orders to delivering products or services to
customers, while also providing tools for analyzing sales performance, managing customer relationships, and optimizing inventory levels. This helps
businesses improve efficiency, reduce costs, and enhance customer satisfaction by ensuring accurate and timely order fulfillment.

ERP Market:-
The ERP market is a dynamic arena where businesses seek software solutions to streamline their operations and enhance efficiency.
Here's a closer look at some significant players in this market:

1. ERP Market Place: This is where companies go to find the right software for their needs. It's like a big shopping area where
businesses can explore different options, talk to experts, and choose the best ERP solution for them.
2. SAP AG: SAP AG, commonly known as SAP, SAP is one of the biggest names in the ERP market. They make software that helps
businesses with lots of things like managing money, keeping track of employees, handling orders, and more. Their software is used
by companies all over the world, no matter how big or small.
3. PeopleSoft: PeopleSoft, now owned by Oracle Corporation, provides ERP solutions primarily focused on human capital
management (HCM), financial management, and supply chain management. Their software is known for its robust features
tailored for large enterprises.
4. BAAN: Baan, now part of Infor, specializes in ERP solutions for manufacturing companies. Baan's ERP software offers
functionalities for managing production processes, supply chain operations, distribution, and financials, catering specifical ly to the
needs of manufacturing industries.
5. JD Edwards: JD Edwards, also owned by Oracle Corporation, offers ERP solutions targeted at industries like manufacturing,
distribution, and asset-intensive sectors. Their software encompasses modules for financial management, supply chain
management, manufacturing, and project management, among others.

Oracle Corporation ERP-Present and Future:-

Enterprise Application Integration (EAI):

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Enterprise Application Integration (EAI):
ERP and E-Commerce:
ERP and Internet:
Future Directions in ERP

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