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Intel Corp - An example of Intel Corp - An example of Business to Business E-Business to Business E-
Commerce in EuropeCommerce in Europe
Jeremy LaddsJeremy Ladds
Manager, Internet Marketing & E-Commerce, Direct AccountsManager, Internet Marketing & E-Commerce, Direct Accounts
Intel Corporation (UK) LtdIntel Corporation (UK) Ltd
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AgendaAgenda
E-Commerce DriversE-Commerce DriversIntel’s Business to Business E-Commerce Intel’s Business to Business E-Commerce
ProgramProgramLessons learnedLessons learnedSummarySummary
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Dell Computer CorporationDell Computer Corporation
““. . . the more effectively Intel matches . . . the more effectively Intel matches production and delivery of its production and delivery of its microprocessors to Dell’s demand, the microprocessors to Dell’s demand, the more Dell’s efficiency improves . . . more Dell’s efficiency improves . . .
By optimizing the supply chain, we all By optimizing the supply chain, we all win.”win.”
Source: CIO Magazine 8/15/98
Customers are Business Customers are Business DriversDrivers
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Intel is a Global CompanyIntel is a Global Company
1997 Revenue of $25.1B1997 Revenue of $25.1B44% from the Americas44% from the Americas
27% Europe27% Europe19% APAC19% APAC10% Japan10% Japan
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Inte
l’s
Inte
l’s
Ch
oic
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ice
Development StrategiesDevelopment StrategiesAlternative approaches to e-business Alternative approaches to e-business
programsprograms–Select isolated, supporting businessSelect isolated, supporting business
lower risk, lower rewardlower risk, lower reward develop, learn & rollout to other businessesdevelop, learn & rollout to other businesses
–Target a mainstream businessTarget a mainstream business higher risk, higher rewardhigher risk, higher reward develop, learn & rollout throughout companydevelop, learn & rollout throughout company
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Intel E-Business PilotIntel E-Business Pilot Private extranet for OEMs and distributorsPrivate extranet for OEMs and distributors Personalized delivery of encrypted information Personalized delivery of encrypted information Real-time order managementReal-time order management 24x724x7 WorldwideWorldwide Information &Information &
transactiontransaction
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Strategic Business ValueStrategic Business ValueBroaden and deepen sales reach Broaden and deepen sales reach – Automate order management & info deliveryAutomate order management & info delivery
Connect geographically dispersed customer Connect geographically dispersed customer base, especially those who don’t have EDIbase, especially those who don’t have EDI
Provide 24x7 order capabilitiesProvide 24x7 order capabilities
Improve customer serviceImprove customer service– Automate tactical sales tasksAutomate tactical sales tasks
– Enable faster/better access to informationEnable faster/better access to information
Make it easier to do business with IntelMake it easier to do business with IntelMake it easier to do business with IntelMake it easier to do business with Intel
Focus Resources on More Value-AddFocus Resources on More Value-AddFocus Resources on More Value-AddFocus Resources on More Value-Add
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Methodology - Methodology - Whole Company InvolvedWhole Company Involved
IS Role
Planning & Logistics
RoleSales &
Marketing Role
ManagementBuy In Product
GroupInput
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Key LearningsKey Learnings Connectivity and Internet performance Connectivity and Internet performance
– affected by many factors, must be all correct to workaffected by many factors, must be all correct to work Client desktop/browser and their local network performanceClient desktop/browser and their local network performance ISP connection and the long-haul to international backboneISP connection and the long-haul to international backbone The server environment and application design efficiencyThe server environment and application design efficiency
– measured by customer experience, avoid theoretical testingmeasured by customer experience, avoid theoretical testing
– improvements may require industry/country-wide collaborationimprovements may require industry/country-wide collaboration
Strong encryptionStrong encryption– HTTPS very sensitive, particularly to packet loss, apps efficiency HTTPS very sensitive, particularly to packet loss, apps efficiency
& client performance& client performance..
Business process re-engineeringBusiness process re-engineering– using new technology a big jobusing new technology a big job
– major efforts to make the way for business sales forcemajor efforts to make the way for business sales force
SupportSupport– require significant training on browser and web itselfrequire significant training on browser and web itself
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Key LearningsKey Learnings
ContentContentConnectivityConnectivityAuthorization & EntitlementAuthorization & EntitlementSupportSupportArchitectureArchitectureFocus on customer-centric design Focus on customer-centric design Anticipate iterative design - firmly understand Anticipate iterative design - firmly understand
the end pointthe end point
Plan for impactPlan for impacton future growthon future growthPlan for impactPlan for impact
on future growthon future growth
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• Mission Statement ‘97/98Be a world leader in marketing,
selling, and supporting Intel products
and the Intel brands on the web.
• Mission Statement ‘98/99Use the unique power of the Internet
to create significant value for Intel,
our Brands and our Customers.
E-Commerce AimsE-Commerce AimsShift with TimeShift with Time
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Know what to measure…. Know what to measure…. but have faith!but have faith!
““What's my ROI on e-commerce? What's my ROI on e-commerce? ARE YOU CRAZYARE YOU CRAZY? This is Columbus ? This is Columbus in the New World. What was his ROI? ”in the New World. What was his ROI? ”
Andrew Grove, Andrew Grove, Chairman & former CEO of IntelChairman & former CEO of IntelThe EconomistThe EconomistMay, 1997May, 1997